Document_and_Entity_Informatio
Document and Entity Information Document | 9 Months Ended | ||
Sep. 30, 2014 | Oct. 24, 2014 | Oct. 24, 2014 | |
Shares Outstanding Class A | Shares Outstanding Class B | ||
Entity Information [Line Items] | ' | ' | ' |
Entity Registrant Name | 'NACCO INDUSTRIES INC | ' | ' |
Entity Central Index Key | '0000789933 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Document Type | '10-Q | ' | ' |
Document Period End Date | 30-Sep-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q3 | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 5,725,879 | 1,573,804 |
Unaudited_Condensed_Consolidat
Unaudited Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |||
ASSETS | ' | ' | ' |
Cash and cash equivalents | $50,598 | $95,390 | $79,353 |
Accounts receivable, net | 97,639 | 120,789 | 107,630 |
Accounts receivable from affiliates | 44,339 | 32,636 | 30,551 |
Inventories, net | 220,607 | 184,445 | 207,349 |
Deferred income taxes | 11,486 | 14,452 | 14,428 |
Prepaid expenses and other | 25,774 | 13,578 | 15,644 |
Total current assets | 450,443 | 461,290 | 454,955 |
Property, plant and equipment, net | 252,039 | 219,256 | 193,864 |
Coal supply agreements and other intangibles, net | 57,017 | 59,685 | 64,590 |
Other non-current assets | 69,661 | 69,725 | 64,680 |
Total assets | 829,160 | 809,956 | 778,089 |
LIABILITIES AND EQUITY | ' | ' | ' |
Accounts payable | 149,343 | 133,016 | 141,919 |
Revolving credit agreements of subsidiaries - not guaranteed by the parent company | 69,805 | 23,460 | 37,812 |
Current maturities of long-term debt of subsidiaries - not guaranteed by the parent company | 7,886 | 7,859 | 7,850 |
Accrued payroll | 19,136 | 29,030 | 22,469 |
Other current liabilities | 41,325 | 44,754 | 40,418 |
Total current liabilities | 287,495 | 238,119 | 250,468 |
Long-term debt of subsidiaries - not guaranteed by the parent company | 138,958 | 152,431 | 129,123 |
Mine closing reserves | 36,217 | 29,764 | 29,212 |
Pension and other postretirement obligations | 7,312 | 7,648 | 6,873 |
Long-term deferred income taxes | 23,304 | 24,786 | 23,074 |
Other long-term liabilities | 66,632 | 59,428 | 63,618 |
Total liabilities | 559,918 | 512,176 | 502,368 |
Common stock: | ' | ' | ' |
Capital in excess of par value | 0 | 941 | 367 |
Retained earnings | 274,297 | 301,227 | 284,523 |
Accumulated other comprehensive loss | -12,450 | -12,259 | -17,107 |
Total stockholders' equity | 269,242 | 297,780 | 275,721 |
Total liabilities and equity | 829,160 | 809,956 | 778,089 |
Shares Outstanding Class A | ' | ' | ' |
Common stock: | ' | ' | ' |
Common stock | 5,821 | 6,290 | 6,357 |
Shares Outstanding Class B | ' | ' | ' |
Common stock: | ' | ' | ' |
Common stock | $1,574 | $1,581 | $1,581 |
Unaudited_Condensed_Consolidat1
Unaudited Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
Shares Outstanding Class A | ' | ' | ' |
Common stock, par value | $1 | $1 | $1 |
Common stock, shares outstanding | 5,821,078 | 6,290,414 | 6,356,996 |
Shares Outstanding Class B | ' | ' | ' |
Common stock, par value | $1 | $1 | $1 |
Common stock, convertible conversion ratio | 1 | 1 | 1 |
Common stock, shares outstanding | 1,573,804 | 1,581,106 | 1,581,406 |
Unaudited_Condensed_Consolidat2
Unaudited Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Revenues | $221,714 | $228,614 | $599,497 | $620,683 |
Cost of sales | 175,171 | 179,395 | 480,260 | 477,573 |
Gross profit | 46,543 | 49,219 | 119,237 | 143,110 |
Earnings of unconsolidated mines | 12,064 | 11,808 | 36,069 | 34,187 |
Operating expenses | ' | ' | ' | ' |
Selling, general and administrative expenses | 46,373 | 43,269 | 145,792 | 142,054 |
Amortization of intangible assets | 911 | 1,076 | 2,667 | 2,736 |
Operating expenses | 47,284 | 44,345 | 148,459 | 144,790 |
Operating profit | 11,323 | 16,682 | 6,847 | 32,507 |
Other expense (income) | ' | ' | ' | ' |
Interest expense | 2,046 | 1,044 | 5,450 | 3,496 |
Income from other unconsolidated affiliates | -191 | -286 | -159 | -1,013 |
Closed mine obligations | 316 | 266 | 940 | 943 |
Other, net, including interest income | 86 | 174 | -65 | 517 |
Other (income) expense | 2,257 | 1,198 | 6,166 | 3,943 |
Income before income tax provision (benefit) | 9,066 | 15,484 | 681 | 28,564 |
Income tax provision (benefit) | 1,367 | 3,159 | -1,870 | 6,670 |
Net income | $7,699 | $12,325 | $2,551 | $21,894 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Basic earnings (loss) per share (in dollars per share) | $1.02 | $1.54 | $0.33 | $2.68 |
Diluted earnings (loss) per share (in dollars per share) | $1.02 | $1.54 | $0.33 | $2.67 |
Dividends per share (in dollars per share) | $0.26 | $0.25 | $0.77 | $0.75 |
Basic weighted average shares outstanding | 7,515 | 7,988 | 7,688 | 8,173 |
Diluted weighted average shares outstanding | 7,533 | 7,996 | 7,702 | 8,193 |
Unaudited_Condensed_Consolidat3
Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $7,699 | $12,325 | $2,551 | $21,894 |
Foreign currency translation adjustment | -740 | -21 | -656 | -85 |
Deferred gain on available for sale securities | 33 | 151 | 270 | 443 |
Current period cash flow hedging activity, net of $351 tax expense and $457 tax benefit in the three and nine months ended September 30, 2014, respectively, and $88 tax benefit and $344 tax expense in the three and nine months ended September 30, 2013, respectively. | 590 | -124 | -860 | 573 |
Reclassification of hedging activities into earnings, net of $137 and $324 tax benefit in the three and nine months ended September 30, 2014, respectively, and $24 tax expense and $146 tax benefit in the three and nine months ended September 30, 2013, respectively. | 249 | -38 | 602 | 235 |
Current period pension and postretirement plan adjustment, net of $3,497 tax expense in both the three and nine months ended September 30, 2013, respectively. | 0 | 3,652 | 0 | 3,652 |
Current period curtailment gain into earnings, net of $578 tax expense in both the three and nine months ended September 30, 2013, respectively | 0 | -1,123 | 0 | -1,123 |
Reclassification of pension and postretirement adjustments into earnings, net of $75 and $235 tax benefit in the three and nine months ended September 30, 2014, respectively, and $109 and $517 tax benefit in the three and nine months ended September 30, 2013, respectively. | 180 | 254 | 453 | 1,059 |
Total other comprehensive income (loss) | 312 | 2,751 | -191 | 4,754 |
Comprehensive income | $8,011 | $15,076 | $2,360 | $26,648 |
Unaudited_Condensed_Consolidat4
Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Current period cash flow hedging activity, tax expense (benefit) | $351 | ($88) | ($457) | $344 |
Reclassification of hedging activities into earnings, tax benefit (expense) | -137 | 24 | -324 | -146 |
Current period pension and postretirement plan adjustment, tax expense | ' | 3,497 | ' | 3,497 |
Current period curtailment gain into earnings, tax expense | 0 | 578 | 0 | 578 |
Reclassification of pension and postretirement adjustments into earnings, tax benefit | ($75) | ($109) | ($235) | ($517) |
Unaudited_Condensed_Consolidat5
Unaudited Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Operating activities | ' | ' |
Net income | $2,551 | $21,894 |
Adjustments to reconcile from net income to net cash provided by operating activities: | ' | ' |
Depreciation, depletion and amortization | 19,445 | 16,377 |
Amortization of deferred financing fees | 347 | 442 |
Deferred income taxes | 994 | -7,401 |
Other | 10,086 | -15,797 |
Working capital changes: | ' | ' |
Accounts receivable | 10,511 | 12,199 |
Inventories | -36,183 | -37,776 |
Other current assets | -7,921 | -2,548 |
Accounts payable | 16,884 | 13,843 |
Other current liabilities | -14,496 | 5,750 |
Net cash provided by for operating activities | 2,218 | 6,983 |
Investing activities | ' | ' |
Expenditures for property, plant and equipment | -47,663 | -24,905 |
Cash in escrow for investment | 0 | -5,000 |
Other | 366 | 1,055 |
Net cash used for investing activities | -47,297 | -28,850 |
Financing activities | ' | ' |
Additions to long-term debt | 1,553 | 1,511 |
Reductions of long-term debt | -2,000 | -11,762 |
Net additions (reductions) to revolving credit agreements | 33,345 | 5,136 |
Cash dividends paid | -5,884 | -6,133 |
Purchase of treasury shares | -26,447 | -27,355 |
Other | -255 | -26 |
Net cash provided by (used for) financing activities | 312 | -38,629 |
Effect of exchange rate changes on cash | -25 | -6 |
Cash and cash equivalents | ' | ' |
Decrease for the period | -44,792 | -60,502 |
Balance at the beginning of the period | 95,390 | 139,855 |
Balance at the end of the period | $50,598 | $79,353 |
Unaudited_Condensed_Consolidat6
Unaudited Condensed Consolidated Statements of Changes in Equity (USD $) | Total | Total Stockholders' Equity | Common Stock | Common Stock | Capital in Excess of Par Value | Retained Earnings | Foreign Currency Translation Adjustment | Deferred Gain (Loss) on Available for Sale Securities | Deferred Gain (Loss) on Cash Flow Hedging | Pension and Postretirement Plan Adjustment |
Shares Outstanding Class A | Shares Outstanding Class B | |||||||||
Balance, beginning of period at Dec. 31, 2012 | ' | $281,331,000 | $6,771,000 | $1,582,000 | $24,612,000 | $270,227,000 | ($574,000) | $292,000 | ($286,000) | ($21,293,000) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation | ' | 1,230,000 | 80,000 | ' | 1,150,000 | ' | ' | ' | ' | ' |
Purchase of treasury shares | ' | -27,355,000 | -495,000 | ' | -25,395,000 | -1,465,000 | ' | ' | ' | ' |
Net income | 21,894,000 | 21,894,000 | ' | ' | ' | 21,894,000 | ' | ' | ' | ' |
Conversion of Class B to Class A shares | ' | ' | 1,000 | -1,000 | ' | ' | ' | ' | ' | ' |
Cash dividends on Class A and Class B common stock: $0.7650 per share | ' | -6,133,000 | 0 | 0 | ' | -6,133,000 | ' | ' | ' | ' |
Current period other comprehensive income (loss) | ' | 4,583,000 | ' | ' | ' | ' | -85,000 | 443,000 | 573,000 | 3,652,000 |
Current period curtailment gain into earnings, net of $578 tax expense in both the three and nine months ended September 30, 2013, respectively | -1,123,000 | -1,123,000 | ' | ' | ' | ' | ' | ' | ' | -1,123,000 |
Reclassification adjustment to net income (loss) | ' | 1,294,000 | ' | ' | ' | ' | ' | ' | 235,000 | 1,059,000 |
Balance, end of period at Sep. 30, 2013 | ' | 275,721,000 | 6,357,000 | 1,581,000 | 367,000 | 284,523,000 | -659,000 | 735,000 | 522,000 | -17,705,000 |
Balance, beginning of period at Dec. 31, 2013 | ' | 297,780,000 | 6,290,000 | 1,581,000 | 941,000 | 301,227,000 | -803,000 | 1,021,000 | 676,000 | -13,153,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock-based compensation | ' | 1,433,000 | 26,000 | ' | 1,407,000 | ' | ' | ' | ' | ' |
Purchase of treasury shares | ' | -26,447,000 | -502,000 | ' | -2,348,000 | -23,597,000 | ' | ' | ' | ' |
Net income | 2,551,000 | 2,551,000 | ' | ' | ' | 2,551,000 | ' | ' | ' | ' |
Conversion of Class B to Class A shares | ' | ' | 7,000 | -7,000 | ' | ' | ' | ' | ' | ' |
Cash dividends on Class A and Class B common stock: $0.7650 per share | ' | -5,884,000 | ' | ' | ' | -5,884,000 | ' | ' | ' | ' |
Current period other comprehensive income (loss) | ' | -1,246,000 | ' | ' | ' | ' | -656,000 | 270,000 | -860,000 | ' |
Current period curtailment gain into earnings, net of $578 tax expense in both the three and nine months ended September 30, 2013, respectively | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reclassification adjustment to net income (loss) | ' | 1,055,000 | ' | ' | ' | ' | ' | ' | 602,000 | 453,000 |
Balance, end of period at Sep. 30, 2014 | ' | $269,242,000 | $5,821,000 | $1,574,000 | $0 | $274,297,000 | ($1,459,000) | $1,291,000 | $418,000 | ($12,700,000) |
Unaudited_Condensed_Consolidat7
Unaudited Condensed Consolidated Statements of Changes in Equity (Parenthetical) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | |
Statement of Stockholders' Equity [Abstract] | ' | ' |
Cash dividends on Class A and Class B common stock: $0.7650 per share | $0.77 | $0.75 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying Unaudited Condensed Consolidated Financial Statements include the accounts of NACCO Industries, Inc. (the “parent company” or “NACCO”) and its wholly owned subsidiaries (collectively, “NACCO Industries, Inc. and Subsidiaries” or the “Company”). Intercompany accounts and transactions are eliminated in consolidation. The Company's subsidiaries operate in the following principal industries: mining, small appliances and specialty retail. The Company manages its subsidiaries primarily by industry. | |
The North American Coal Corporation and its affiliated companies (collectively, “NACoal”) mine and market steam and metallurgical coal for use in power generation and steel production and provide selected value-added mining services for other natural resources companies. Hamilton Beach Brands, Inc. (“HBB”) is a leading designer, marketer and distributor of small electric household appliances, as well as commercial products for restaurants, bars and hotels. The Kitchen Collection, LLC (“KC”) is a national specialty retailer of kitchenware and gourmet foods operating under the Kitchen Collection® and Le Gourmet Chef® store names in outlet and traditional malls throughout the United States. | |
These financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the financial position of the Company at September 30, 2014 and the results of its operations, comprehensive income (loss), cash flows and changes in equity for the nine months ended September 30, 2014 and 2013 have been included. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
The balance sheet at December 31, 2013 has been derived from the audited financial statements at that date but does not include all of the information or notes required by U.S. GAAP for complete financial statements. | |
Operating results for the three and nine months ended September 30, 2014 are not necessarily indicative of the results that may be expected for the remainder of the year ending December 31, 2014. The HBB and KC businesses are seasonal and a majority of revenues and operating profit typically occurs in the second half of the calendar year when sales of small electric household appliances to retailers and consumers increase significantly for the fall holiday selling season. For further information regarding seasonality of these businesses, refer to the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
Certain amounts in the prior periods' Unaudited Condensed Consolidated Financial Statements have been reclassified to conform to the current period's presentation. |
Recently_Issued_Accounting_Sta
Recently Issued Accounting Standards | 9 Months Ended |
Sep. 30, 2014 | |
New Accounting Pronouncement or Change in Accounting Principle, Current Period Disclosures [Abstract] | ' |
Recently Issued Accounting Standards | ' |
Recently Issued Accounting Standards | |
Accounting Standards Adopted in 2014: In April 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-08, "Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity," which includes amendments that change the requirements for reporting discontinued operations and require additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations - that is, a major effect on the organization's operations and financial results - should be presented as discontinued operations. Examples include a disposal of a major geographic area, a major line of business, or a major equity method investment. Additionally, the ASU requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. The Company adopted this guidance during the first quarter of 2014. The adoption did not have an effect on the Company’s financial position, results of operations, cash flows or related disclosures. | |
Accounting Standards Not Yet Adopted: In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers," which supersedes most current revenue recognition guidance, including industry-specific guidance, and requires entities to recognize revenue in a way that depicts the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and is to be applied retrospectively, with early application not permitted. The Company is currently assessing the impact of implementing this guidance on the Company's financial position, results of operations, cash flows and related disclosures. | |
In August 2014, the FASB issued ASU No. 2014-15, "Preparation of Financial Statements - Going Concern: Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern," to provide guidance about management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. Specifically, the amendments (1) provide a definition of the term “substantial doubt,” (2) require an evaluation every reporting period, (3) provide principles for considering the mitigating effect of management’s plans, (4) require certain disclosures when substantial doubt is alleviated as a result of consideration of management’s plans, (5) require an express statement and other disclosures when substantial doubt is not alleviated, and (6) require an assessment for a period of one year after the date that financial statements are issued. ASU 2014-15 is effective for fiscal years ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The Company does not expect the adoption of this guidance to have an effect on the Company's financial position, results of operations, cash flows or related disclosures. |
Inventories
Inventories | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Inventory Disclosure [Abstract] | ' | |||||||||||
Inventories | ' | |||||||||||
Inventories | ||||||||||||
Inventories are summarized as follows: | ||||||||||||
SEPTEMBER 30 | DECEMBER 31 | SEPTEMBER 30 | ||||||||||
2014 | 2013 | 2013 | ||||||||||
Coal - NACoal | $ | 25,749 | $ | 24,710 | $ | 21,048 | ||||||
Mining supplies - NACoal | 18,641 | 17,406 | 17,131 | |||||||||
Total inventories at weighted average cost | 44,390 | 42,116 | 38,179 | |||||||||
Sourced inventories - HBB | 130,012 | 90,713 | 112,250 | |||||||||
Retail inventories - KC | 46,205 | 51,616 | 56,920 | |||||||||
Total inventories at FIFO | 176,217 | 142,329 | 169,170 | |||||||||
$ | 220,607 | $ | 184,445 | $ | 207,349 | |||||||
Stockholders_Equity
Stockholders Equity | 9 Months Ended | |||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||
Stockholders Equity | ' | |||||||||||||||||
Stockholders' Equity | ||||||||||||||||||
Stock Repurchase Program: On November 8, 2011, the Company announced that its Board of Directors approved the repurchase of up to $50 million of the Company's Class A Common Stock outstanding (the "2011 Stock Repurchase Program"). The original authorization for the 2011 Stock Repurchase Program was set to expire on December 31, 2012; however, in November 2012, the Company's Board of Directors approved an extension of the 2011 Stock Repurchase Program through December 31, 2013. In total, the Company repurchased $35.6 million of Class A Common Stock under the 2011 Stock Repurchase Program. | ||||||||||||||||||
On November 12, 2013, the Company's Board of Directors terminated the 2011 Stock Repurchase Program and approved a new stock repurchase program (the "2013 Stock Repurchase Program") providing for the purchase of up to $60 million of the Company's Class A Common Stock outstanding through December 31, 2015. The timing and amount of any repurchases under the 2013 Stock Repurchase Program are determined at the discretion of the Company's management based on a number of factors, including the availability of capital, other capital allocation alternatives and market conditions for the Company's Class A Common Stock. The 2013 Stock Repurchase Program does not require the Company to acquire any specific number of shares. It may be modified, suspended, extended or terminated by the Company at any time without prior notice and may be executed through open market purchases, privately negotiated transactions or otherwise. All or part of the repurchases under the 2013 Stock Repurchase Program may be implemented under a Rule 10b5-1 trading plan, which would allow repurchases under pre-set terms at times when the Company might otherwise be prevented from doing so under applicable securities laws. | ||||||||||||||||||
During the three months ended September 30, 2014, the Company repurchased a total of 235,194 shares of Class A Common Stock for an aggregate purchase price of $12.2 million under the 2013 Stock Repurchase Program at a weighted average purchase price of $51.86 per share. During the nine months ended September 30, 2014, the Company repurchased a total of 501,531 shares of Class A Common Stock for an aggregate purchase price of $26.4 million under the 2013 Stock Repurchase Program at a weighted average purchase price of $52.73 per share. | ||||||||||||||||||
Amounts Reclassified out of Accumulated Other Comprehensive Income (Loss): The following table summarizes the amounts reclassified out of Accumulated other comprehensive income (loss) ("AOCI") and recognized in the Unaudited Condensed Consolidated Statements of Operations: | ||||||||||||||||||
Amount Reclassified from AOCI | ||||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||||
30-Sep | 30-Sep | |||||||||||||||||
Details about AOCI Components | 2014 | 2013 | 2014 | 2013 | Location of (gain) loss reclassified from AOCI into income (loss) | |||||||||||||
(Gain) loss on cash flow hedging | ||||||||||||||||||
Foreign exchange contracts | $ | 8 | $ | (62 | ) | $ | (194 | ) | $ | (79 | ) | Cost of sales | ||||||
Interest rate contracts | 378 | — | 1,120 | 460 | Interest expense | |||||||||||||
386 | (62 | ) | 926 | 381 | Total before income tax expense (benefit) | |||||||||||||
(137 | ) | 24 | (324 | ) | (146 | ) | Income tax expense (benefit) | |||||||||||
$ | 249 | $ | (38 | ) | $ | 602 | $ | 235 | Net of tax | |||||||||
Pension and postretirement plan | ||||||||||||||||||
Actuarial loss | $ | 273 | $ | 396 | $ | 742 | $ | 1,709 | (a) | |||||||||
Prior-service credit | (18 | ) | (33 | ) | (54 | ) | (133 | ) | (a) | |||||||||
255 | 363 | 688 | 1,576 | Total before income tax benefit | ||||||||||||||
(75 | ) | (109 | ) | (235 | ) | (517 | ) | Income tax benefit | ||||||||||
$ | 180 | $ | 254 | $ | 453 | $ | 1,059 | Net of tax | ||||||||||
Total reclassifications for the period | $ | 429 | $ | 216 | $ | 1,055 | $ | 1,294 | Net of tax | |||||||||
(a) These AOCI components are included in the computation of pension and postretirement health care (income) expense. See Note 10 for further discussion. |
Fair_Value_Disclosure
Fair Value Disclosure | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Disclosure | ' | ||||||||||||||||
Fair Value Disclosure | |||||||||||||||||
Recurring Fair Value Measurements: The following table presents the Company's assets and liabilities accounted for at fair value on a recurring basis: | |||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||
Quoted Prices in | Significant | ||||||||||||||||
Active Markets for | Significant Other | Unobservable | |||||||||||||||
Identical Assets | Observable Inputs | Inputs | |||||||||||||||
Description | Date | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
September 30, 2014 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,955 | $ | 6,955 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 538 | — | 538 | — | |||||||||||||
Foreign currency exchange contracts | 213 | — | 213 | — | |||||||||||||
$ | 7,706 | $ | 6,955 | $ | 751 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Foreign currency exchange contracts | $ | 29 | $ | — | $ | 29 | $ | — | |||||||||
Contingent consideration | 1,606 | — | — | 1,606 | |||||||||||||
$ | 1,635 | $ | — | $ | 29 | $ | 1,606 | ||||||||||
December 31, 2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,540 | $ | 6,540 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 937 | — | 937 | — | |||||||||||||
Foreign currency exchange contracts | 83 | — | 83 | — | |||||||||||||
$ | 7,560 | $ | 6,540 | $ | 1,020 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Foreign currency exchange contracts | $ | 14 | $ | — | $ | 14 | $ | — | |||||||||
Contingent consideration | 1,581 | — | — | 1,581 | |||||||||||||
$ | 1,595 | $ | — | $ | 14 | $ | 1,581 | ||||||||||
September 30, 2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,010 | $ | 6,010 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 645 | — | 645 | — | |||||||||||||
Foreign currency exchange contracts | 111 | — | 111 | — | |||||||||||||
$ | 6,766 | $ | 6,010 | $ | 756 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Contingent consideration | $ | 1,572 | $ | — | $ | — | $ | 1,572 | |||||||||
$ | 1,572 | $ | — | $ | — | $ | 1,572 | ||||||||||
Bellaire Corporation (“Bellaire”) is a non-operating subsidiary of the Company with legacy liabilities relating to closed mining operations, primarily former Eastern U.S. underground coal mining operations. In connection with Bellaire's normal permit renewal with the Pennsylvania Department of Environmental Protection ("DEP"), Bellaire established a $5 million mine water treatment trust (the "Mine Water Treatment Trust") to provide a financial assurance mechanism in order to assure the long-term treatment of post-mining discharges. Bellaire's Mine Water Treatment Trust invests in available for sale securities that are reported at fair value based upon quoted market prices in active markets for identical assets; therefore, they are classified as Level 1 within the fair value hierarchy and in the table above. | |||||||||||||||||
Interest rate swap agreements and forward foreign currency exchange contracts held by the Company have been designated as hedges of forecasted cash flows. The Company does not currently hold any nonderivative instruments designated as hedges or any derivatives designated as fair value hedges. The Company uses significant other observable inputs to value derivative instruments used to hedge foreign currency and interest rate risk; therefore, they are classified within Level 2 of the valuation hierarchy. The fair value for these contracts is determined based on exchange rates and interest rates, respectively. The Company uses a present value technique that incorporates the LIBOR-swap curve, foreign currency spot rates and foreign currency forward rates to value its derivatives, including its interest rate swap agreements and foreign currency exchange contracts, and also incorporates the effect of its subsidiary and counterparty credit risk into the valuation. | |||||||||||||||||
The contingent consideration is structured as an earn-out payment to the sellers of Reed Minerals. The earn-out is calculated as a percentage by which the monthly average coal selling price exceeds an established threshold multiplied by the number of tons sold during the month. The earn-out period covers the first 15.0 million tons of coal sold from certain Reed Minerals coal reserves. There is no monetary cap on the amount payable under this contingent payment arrangement. The liability for contingent consideration is included in Other long-term liabilities in the Unaudited Condensed Consolidated Balance Sheets. Earn-out payments, if payable, are paid quarterly. No earn-out payments were made during the three and nine months ended September 30, 2014. | |||||||||||||||||
The estimated fair value of the contingent consideration was determined based on the income approach with key assumptions that include future projected metallurgical coal prices, forecasted coal deliveries and the estimated discount rate used to determine the present value of the projected contingent consideration payments. Future projected coal prices were estimated using a stochastic modeling methodology based on Geometric Brownian Motion with a risk neutral Monte Carlo simulation. Significant assumptions used in the model include coal price volatility and the risk-free interest rate based on U.S. Treasury yield curves with maturities consistent with the expected life of the contingent consideration. Volatility is considered a significant assumption and is based on historical coal prices. A significant increase or decrease in any of the aforementioned key assumptions related to the fair value measurement of the contingent consideration may result in a significantly higher or lower reported fair value for the contingent consideration liability. | |||||||||||||||||
The future anticipated cash flow for the contingent consideration was discounted using an interest rate that appropriately captures a market participant's view of the risk associated with the liability. This fair value measurement is based on significant inputs not observable in the market and thus represents a Level 3 measurement within the fair value hierarchy. | |||||||||||||||||
There were no transfers into or out of Levels 1, 2 or 3 during the three and nine months ended September 30, 2014 and 2013. | |||||||||||||||||
Other Fair Value Measurement Disclosures: The carrying amounts of cash and cash equivalents, accounts receivable and accounts payable approximate fair value due to the short-term nature of these instruments. Revolving credit agreements and long-term debt are recorded at carrying value in the Unaudited Condensed Consolidated Balance Sheets. The fair value of revolving credit agreements approximates their carrying value as the stated rates of the debt reflect recent market conditions. The fair values of revolving credit agreements and long-term debt, excluding capital leases, were determined using current rates offered for similar obligations taking into account subsidiary credit risk, which is Level 2 as defined in the fair value hierarchy. At September 30, 2014, both the fair value and the book value of the revolving credit agreements and long-term debt, excluding capital leases, was $204.7 million. At December 31, 2013, both the fair value and the book value of the revolving credit agreements and long-term debt, excluding capital leases, was $170.7 million. At September 30, 2013, the fair value of the revolving credit agreements and long-term debt, excluding capital leases, was $161.8 million compared with the book value of $161.4 million. |
Unconsolidated_Subsidiaries
Unconsolidated Subsidiaries | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ' | |||||||||||||||
Unconsolidated Subsidiaries | ' | |||||||||||||||
Unconsolidated Subsidiaries | ||||||||||||||||
NACoal has two consolidated mining operations: Mississippi Lignite Mining Company (“MLMC”) and Reed Minerals, and provides dragline mining services for independently owned limerock quarries in Florida. NACoal also has the following wholly owned unconsolidated subsidiaries that each meet the definition of a variable interest entity and are accounted for using the equity method: | ||||||||||||||||
The Coteau Properties Company ("Coteau") | ||||||||||||||||
The Falkirk Mining Company ("Falkirk") | ||||||||||||||||
The Sabine Mining Company ("Sabine") | ||||||||||||||||
Demery Resources Company, LLC (“Demery”) | ||||||||||||||||
Caddo Creek Resources Company, LLC (“Caddo Creek”) | ||||||||||||||||
Coyote Creek Mining Company, LLC (“Coyote Creek”) | ||||||||||||||||
Camino Real Fuels, LLC (“Camino Real”) | ||||||||||||||||
Liberty Fuels Company, LLC (“Liberty”) | ||||||||||||||||
NoDak Energy Services, LLC ("NoDak") | ||||||||||||||||
Coteau, Falkirk and Sabine were developed between 1974 and 1981 and operate lignite coal mines under long-term contracts with various utility customers. Coteau, Falkirk and Sabine are capitalized primarily with debt financing, which the utility customers have arranged and guaranteed, and are without recourse to NACCO and NACoal. Demery, Caddo Creek, Coyote Creek, Camino Real and Liberty (collectively with Coteau, Falkirk and Sabine, the "Unconsolidated Mines") were formed to develop, construct and operate surface mines under long-term contracts. Demery commenced delivering coal to its customer in 2012 and is expected to reach full production levels in 2016. Liberty commenced production in 2013 but is not expected to produce tons for Mississippi Power Company's new Kemper County Energy Facility for the remainder of 2014. Production levels are expected to increase gradually beginning in 2015 to full production of approximately 4.3 million tons of coal annually beginning in 2019. Construction of the Kemper County Energy Facility is still ongoing which may affect the pace of the increase in deliveries. Mining permits needed to commence mining operations were issued in 2013 for Caddo Creek and Camino Real. Caddo Creek expects to begin making initial coal deliveries in late 2014. Camino Real expects initial deliveries in the second half of 2015, and expects to mine approximately 2.5 million to3.0 million tons of coal annually when at full production. Coyote Creek received its mining permit in October 2014 and is developing a mine in Mercer County, North Dakota, from which it expects to deliver approximately 2.5 million tons of coal annually beginning in mid-2016. NoDak was formed to operate and maintain a coal processing facility. | ||||||||||||||||
The contracts with the customers of the Unconsolidated Mines provide for reimbursement at a price based on actual costs plus an agreed pre-tax profit per ton of coal sold or actual costs plus a management fee. Although NACoal owns 100% of the equity and manages the daily operations of these entities, the Company has determined that the equity capital provided by NACoal is not sufficient to adequately finance the ongoing activities or absorb any expected losses without additional support from the customers. The customers have a controlling financial interest and have the power to direct the activities that most significantly affect the economic performance of the entities. As a result, NACoal is not the primary beneficiary and therefore does not consolidate these entities' financial position or results of operations. The income taxes resulting from the operations of the Unconsolidated Mines are solely the responsibility of the Company. The pre-tax income from the Unconsolidated Mines is reported on the line “Earnings of unconsolidated mines” in the Unaudited Condensed Consolidated Statements of Operations, with related income taxes included in the provision for income taxes. The Company has included the pre-tax earnings of the Unconsolidated Mines above operating profit because they are an integral component of the Company's business and operating results. The pre-tax income from NoDak is reported on the line "(Income) loss from other unconsolidated affiliates" in the "Other expense (income)" section of the Unaudited Condensed Consolidated Statements of Operations, with the related income taxes included in the provision for income taxes. | ||||||||||||||||
North American Coal Corporation India Private Limited ("NACC India") was formed to provide technical business advisory services to the third-party owners of a coal mine in India. During the first nine months of 2014, NACoal recognized a $1.1 million after-tax charge to establish an allowance against the receivable from NACC India's customer. During the third quarter of 2014, NACC India's customer defaulted on its contractual payment obligations and as a result of this default, NACC India has terminated its contract with the customer and is pursuing contractual remedies. Prior to contract termination, NACC India met the definition of a variable interest entity of which NACoal was not the primary beneficiary and was accounted for using the equity method with net income or loss reported on the line "(Income) loss from other unconsolidated affiliates" in the "Other expense (income)" section of the Unaudited Condensed Consolidated Statements of Operations. Subsequent to contract termination, NACC India is no longer a variable interest entity and its financial position and results of operations are consolidated by NACoal as of the contract termination date. | ||||||||||||||||
The investments in the Unconsolidated Mines and NoDak and related tax positions totaled $28.9 million at September 30, 2014. The investments in the Unconsolidated Mines, NoDak and NACC India and related tax positions totaled $33.1 million and $35.2 million at December 31, 2013 and September 30, 2013, respectively. These amounts are included on the line “Other Non-current Assets” in the Unaudited Condensed Consolidated Balance Sheets. The Company's maximum risk of loss relating to these entities is limited to its invested capital, which was $3.8 million, $5.4 million and $5.0 million at September 30, 2014, December 31, 2013, and September 30, 2013 respectively. | ||||||||||||||||
Included in "Accounts receivable from affiliates" is $42.2 million, $27.9 million and $26.7 million as of September 30, 2014, December 31, 2013 and September 30, 2013, respectively, due from Coyote Creek, primarily for the purchase of a dragline from NACoal. | ||||||||||||||||
Summarized financial information for the Unconsolidated Mines, NoDak and NACC India is as follows: | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Revenues | $ | 150,529 | $ | 152,999 | $ | 437,127 | $ | 433,937 | ||||||||
Gross profit | $ | 19,504 | $ | 18,847 | $ | 56,123 | $ | 55,859 | ||||||||
Income before income taxes | $ | 12,201 | $ | 12,172 | $ | 36,363 | $ | 35,650 | ||||||||
Net income | $ | 9,372 | $ | 9,471 | $ | 28,046 | $ | 27,463 | ||||||||
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Contingencies | ' |
Contingencies | |
Various legal and regulatory proceedings and claims have been or may be asserted against NACCO and certain subsidiaries relating to the conduct of their businesses, including product liability, patent infringement, asbestos-related claims, environmental and other claims. These proceedings and claims are incidental to the ordinary course of business of the Company. Management believes that it has meritorious defenses and will vigorously defend the Company in these actions. Any costs that management estimates will be paid as a result of these claims are accrued when the liability is considered probable and the amount can be reasonably estimated. Although the ultimate disposition of these proceedings is not presently determinable, management believes, after consultation with its legal counsel, that the likelihood is remote that material costs will be incurred in excess of accruals already recognized. | |
HBB is investigating or remediating historical environmental contamination at some current and former sites operated by HBB or by businesses it acquired. Based on the current stage of the investigation or remediation at each known site, HBB estimates the total investigation and remediation costs and the period of assessment and remediation activity required for each site. The estimate of future investigation and remediation costs is primarily based on variables associated with site clean-up, including, but not limited to, physical characteristics of the site, the nature and extent of the contamination and applicable regulatory programs and remediation standards. No assessment can fully characterize all subsurface conditions at a site. There is no assurance that additional assessment and remediation efforts will not result in adjustments to estimated remediation costs or the time frame for remediation at these sites. | |
HBB's estimates of investigation and remediation costs may change if it discovers contamination at additional sites or additional contamination at known sites, if the effectiveness of its current remediation efforts change, if applicable federal or state regulations change or if HBB's estimate of the time required to remediate the sites changes. HBB's revised estimates may differ materially from original estimates. | |
At September 30, 2014, December 31, 2013, and September 30, 2013, HBB had accrued an undiscounted obligation of $10.0 million, $6.9 million and $7.2 million, respectively, for environmental investigation and remediation activities. In addition, HBB estimates that it is reasonably possible that it may incur up to $4.2 million of additional expenses related to the environmental investigation and remediation at these sites. | |
During the nine months ended September 30, 2013, HBB recorded a $2.3 million charge to establish a liability for environmental investigation and remediation activities at the Picton, Ontario facility. During the nine months ended September 30, 2014, HBB recorded an additional $3.3 million charge to increase the liability at the Picton, Ontario facility as a result of an environmental study performed in the second quarter of 2014. | |
During the nine months ended September 30, 2014 and 2013, HBB recorded a $0.8 million and $1.6 million reduction, respectively, in selling, general and administrative expenses as a result of a third party's commitment to share in anticipated remediation costs at HBB's Southern Pines and Mt. Airy locations. |
Product_Warranties
Product Warranties | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Product Warranties Disclosures [Abstract] | ' | |||
Product Warranties | ' | |||
Product Warranties | ||||
HBB provides a standard warranty to consumers for all of its products. The specific terms and conditions of those warranties vary depending upon the product brand. In general, if a product is returned under warranty, a refund is provided to the consumer by HBB's customer, the retailer. Generally, the retailer returns those products to HBB for a credit. The Company estimates the costs which may be incurred under its standard warranty programs and records a liability for such costs at the time product revenue is recognized. | ||||
The Company periodically assesses the adequacy of its recorded warranty liabilities and adjusts the amounts as necessary. Factors that affect the Company's warranty liability include the number of units sold, historical and anticipated rates of warranty claims and the cost per claim. | ||||
Changes in the Company's current and long-term recorded warranty liability are as follows: | ||||
2014 | ||||
Balance at January 1 | $ | 5,343 | ||
Warranties issued | 5,325 | |||
Settlements made | (6,402 | ) | ||
Balance at September 30 | $ | 4,266 | ||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income taxes | ' |
Income Taxes | |
The income tax provision includes U.S. federal, state and local, and foreign income taxes and is based on the application of a forecasted annual income tax rate applied to the current quarter's year-to-date pre-tax income or loss. In determining the estimated annual effective income tax rate, the Company analyzes various factors, including projections of the Company's annual earnings, taxing jurisdictions in which the earnings will be generated, the impact of state and local income taxes, the Company's ability to use tax credits and net operating loss carryforwards, and available tax planning alternatives. Discrete items, including the effect of changes in tax laws, tax rates and certain circumstances with respect to valuation allowances or other unusual or non-recurring tax adjustments are reflected in the period in which they occur as an addition to, or reduction from, the income tax provision, rather than included in the estimated effective annual income tax rate. | |
The effective income tax rate for the three months ended September 30, 2014 was 15.1%. The effective income tax rate for the nine months ended September 30, 2014 was not meaningful as the $1.9 million income tax benefit is not directly correlated to the $0.7 million pre-tax income. The effective income tax rates were impacted by favorable net discrete tax items totaling $0.6 million and $2.0 million in the three and nine months ended September 30, 2014, respectively, primarily resulting from return to provision adjustments attributable to changes in estimates and the conclusion of the 2011 and 2012 U.S. federal tax return examinations. The effective income tax rates for the three and nine months ended September 30, 2013 were 20.4% and 23.4%, respectively. Discrete tax items impacting the three and nine months ended September 30, 2013 were not significant. |
Retirement_Benefit_Plans
Retirement Benefit Plans | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Retirement Benefit Plans | ' | |||||||||||||||
Retirement Benefit Plans | ||||||||||||||||
The Company maintains various defined benefit pension plans that provide benefits based on years of service and average compensation during certain periods. The Company's policy is to make contributions to fund these plans within the range allowed by applicable regulations. Plan assets consist primarily of publicly traded stocks and government and corporate bonds. Pension benefits were frozen for all employees effective as of the close of business on December 31, 2013. All eligible employees of the Company, including employees whose pension benefits are frozen, receive retirement benefits under defined contribution retirement plans. | ||||||||||||||||
The Company also maintains postretirement health care plans which provide benefits to eligible retired employees. All health care plans of the Company have a cap on the Company's share of the costs. These plans have no assets. Under the Company's current policy, plan benefits are funded at the time they are due to participants. | ||||||||||||||||
The components of pension and postretirement health care expense (income) are set forth below: | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
U.S. Pension and Postretirement Health Care | ||||||||||||||||
Service cost | $ | 18 | $ | 20 | $ | 53 | $ | 58 | ||||||||
Interest cost | 691 | 698 | 2,180 | 2,164 | ||||||||||||
Expected return on plan assets | (1,143 | ) | (1,100 | ) | (3,551 | ) | (3,403 | ) | ||||||||
Amortization of actuarial loss | 256 | 365 | 690 | 1,617 | ||||||||||||
Amortization of prior service credit | (18 | ) | (33 | ) | (54 | ) | (133 | ) | ||||||||
Curtailment | — | (1,701 | ) | — | (1,701 | ) | ||||||||||
Total | $ | (196 | ) | $ | (1,751 | ) | $ | (682 | ) | $ | (1,398 | ) | ||||
Non-U.S. Pension | ||||||||||||||||
Interest cost | $ | 50 | $ | 48 | $ | 149 | $ | 149 | ||||||||
Expected return on plan assets | (75 | ) | (72 | ) | (224 | ) | (215 | ) | ||||||||
Amortization of actuarial loss | 17 | 31 | 52 | 92 | ||||||||||||
Total | $ | (8 | ) | $ | 7 | $ | (23 | ) | $ | 26 | ||||||
Business_Segments
Business Segments | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Business Segments | ' | |||||||||||||||
Business Segments | ||||||||||||||||
NACCO is a holding company with the following principal subsidiaries: NACoal, HBB and KC. See Note 1 for a discussion of the Company's industries and product lines. NACCO's non-operating segment, NACCO and Other, includes the accounts of the parent company and Bellaire Corporation ("Bellaire"), a non-operating subsidiary of the Company. | ||||||||||||||||
Financial information for each of NACCO's reportable segments is presented in the following table. The line “Eliminations” in the Revenues section eliminates revenues from HBB sales to KC. The amounts of these revenues are based on current market prices of similar third-party transactions. No other sales transactions occur among reportable segments. | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Revenues | ||||||||||||||||
NACoal | $ | 49,840 | $ | 52,870 | $ | 139,492 | $ | 147,584 | ||||||||
HBB | 135,155 | 134,099 | 354,865 | 354,901 | ||||||||||||
KC | 37,551 | 42,618 | 107,231 | 120,709 | ||||||||||||
Eliminations | (832 | ) | (973 | ) | (2,091 | ) | (2,511 | ) | ||||||||
Total | $ | 221,714 | $ | 228,614 | $ | 599,497 | $ | 620,683 | ||||||||
Operating profit (loss) | ||||||||||||||||
NACoal | $ | 4,362 | $ | 9,740 | $ | 11,198 | $ | 32,721 | ||||||||
HBB | 9,531 | 11,788 | 12,719 | 18,461 | ||||||||||||
KC | (1,429 | ) | (3,658 | ) | (12,198 | ) | (14,045 | ) | ||||||||
NACCO and Other (a) | (1,073 | ) | (1,155 | ) | (4,429 | ) | (4,690 | ) | ||||||||
Eliminations | (68 | ) | (33 | ) | (443 | ) | 60 | |||||||||
Total | $ | 11,323 | $ | 16,682 | $ | 6,847 | $ | 32,507 | ||||||||
Net income (loss) | ||||||||||||||||
NACoal | $ | 3,185 | $ | 7,794 | $ | 8,815 | $ | 26,337 | ||||||||
HBB | 6,008 | 7,427 | 7,717 | 10,913 | ||||||||||||
KC | (966 | ) | (2,822 | ) | (7,656 | ) | (8,492 | ) | ||||||||
NACCO and Other | (906 | ) | (1,137 | ) | (3,776 | ) | (4,188 | ) | ||||||||
Eliminations | 378 | 1,063 | (2,549 | ) | (2,676 | ) | ||||||||||
Total | $ | 7,699 | $ | 12,325 | $ | 2,551 | $ | 21,894 | ||||||||
(a) During the second quarter of 2014, the Company recorded a $1.1 million charge included in selling, general and administrative expenses in NACCO and Other to correct a prior period accounting error related to an increase in the estimated liability for certain frozen deferred compensation plans. Management, quantitatively and qualitatively, assessed the materiality of the error and the correction thereof and concluded that the effect of the previous accounting treatment was not material to prior periods, expected 2014 full-year results, or trend of earnings and determined no material misstatements existed in those prior periods and no restatement of those prior period financial statements was necessary. |
Acquisition
Acquisition | 9 Months Ended |
Sep. 30, 2014 | |
Business Combinations [Abstract] | ' |
Acquisition | ' |
Acquisition | |
During the fourth quarter of 2013, NACoal acquired the equipment of National Coal of Alabama, Inc. ("NCOA") in exchange for the assumption of outstanding debt of $9.7 million associated with the acquired equipment. The outstanding debt was repaid concurrently with the acquisition of the equipment utilizing borrowings under NACoal's existing unsecured revolving line of credit. In April 2014, NACoal acquired coal reserves and prepaid royalties and assumed certain reclamation obligations of NCOA. The acquisition of NCOA did not include any additional cash consideration. This acquisition, which is being accounted for as a business combination, provides additional coal reserves in Alabama and equipment that can be used to mine these acquired coal reserves and coal reserves at NACoal's Reed Minerals mines, also located in Alabama. During the nine months ended September 30, 2014, the Company incurred $0.1 million in acquisition costs related to NCOA, which are included in Selling, general and administrative expenses in the Unaudited Condensed Consolidated Statements of Operations. The Company has incurred total acquisition costs of $0.4 million related to NCOA. | |
The determination of the fair value of assets acquired and liabilities assumed as of the April 2014 acquisition date is preliminary as the Company has not finalized its analysis of the fair value of the equipment, coal reserves, prepaid royalties and reclamation obligations. The final allocation is expected to be completed as soon as practicable but no later than 12 months after the acquisition date. |
Subsequent_Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
Subsequent Events | |
In October 2014, NACoal sold assets classified as held for sale at September 30, 2014 to Mississippi Power Company for $5.0 million and will recognize a gain of $3.5 million in the fourth quarter of 2014. |
Significant_Accounting_Policie
Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Use of estimates | ' |
These financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP") for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the financial position of the Company at September 30, 2014 and the results of its operations, comprehensive income (loss), cash flows and changes in equity for the nine months ended September 30, 2014 and 2013 have been included. These Unaudited Condensed Consolidated Financial Statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013. | |
The balance sheet at December 31, 2013 has been derived from the audited financial statements at that date but does not include all of the information or notes required by U.S. GAAP for complete financial statements. | |
Reclassifications | ' |
Certain amounts in the prior periods' Unaudited Condensed Consolidated Financial Statements have been reclassified to conform to the current period's presentation. | |
Product Warranties | ' |
HBB provides a standard warranty to consumers for all of its products. The specific terms and conditions of those warranties vary depending upon the product brand. In general, if a product is returned under warranty, a refund is provided to the consumer by HBB's customer, the retailer. Generally, the retailer returns those products to HBB for a credit. The Company estimates the costs which may be incurred under its standard warranty programs and records a liability for such costs at the time product revenue is recognized. | |
Income Taxes | ' |
The income tax provision includes U.S. federal, state and local, and foreign income taxes and is based on the application of a forecasted annual income tax rate applied to the current quarter's year-to-date pre-tax income or loss. In determining the estimated annual effective income tax rate, the Company analyzes various factors, including projections of the Company's annual earnings, taxing jurisdictions in which the earnings will be generated, the impact of state and local income taxes, the Company's ability to use tax credits and net operating loss carryforwards, and available tax planning alternatives. Discrete items, including the effect of changes in tax laws, tax rates and certain circumstances with respect to valuation allowances or other unusual or non-recurring tax adjustments are reflected in the period in which they occur as an addition to, or reduction from, the income tax provision, rather than included in the estimated effective annual income tax rate. |
Inventories_Tables
Inventories (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Inventory Disclosure [Abstract] | ' | |||||||||||
Schedule of Inventory | ' | |||||||||||
Inventories are summarized as follows: | ||||||||||||
SEPTEMBER 30 | DECEMBER 31 | SEPTEMBER 30 | ||||||||||
2014 | 2013 | 2013 | ||||||||||
Coal - NACoal | $ | 25,749 | $ | 24,710 | $ | 21,048 | ||||||
Mining supplies - NACoal | 18,641 | 17,406 | 17,131 | |||||||||
Total inventories at weighted average cost | 44,390 | 42,116 | 38,179 | |||||||||
Sourced inventories - HBB | 130,012 | 90,713 | 112,250 | |||||||||
Retail inventories - KC | 46,205 | 51,616 | 56,920 | |||||||||
Total inventories at FIFO | 176,217 | 142,329 | 169,170 | |||||||||
$ | 220,607 | $ | 184,445 | $ | 207,349 | |||||||
Stockholders_Equity_Tables
Stockholders Equity (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||
Equity [Abstract] | ' | |||||||||||||||||
Amounts Reclassified out of Accumulated Other Comprehensive Income | ' | |||||||||||||||||
The following table summarizes the amounts reclassified out of Accumulated other comprehensive income (loss) ("AOCI") and recognized in the Unaudited Condensed Consolidated Statements of Operations: | ||||||||||||||||||
Amount Reclassified from AOCI | ||||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||||
30-Sep | 30-Sep | |||||||||||||||||
Details about AOCI Components | 2014 | 2013 | 2014 | 2013 | Location of (gain) loss reclassified from AOCI into income (loss) | |||||||||||||
(Gain) loss on cash flow hedging | ||||||||||||||||||
Foreign exchange contracts | $ | 8 | $ | (62 | ) | $ | (194 | ) | $ | (79 | ) | Cost of sales | ||||||
Interest rate contracts | 378 | — | 1,120 | 460 | Interest expense | |||||||||||||
386 | (62 | ) | 926 | 381 | Total before income tax expense (benefit) | |||||||||||||
(137 | ) | 24 | (324 | ) | (146 | ) | Income tax expense (benefit) | |||||||||||
$ | 249 | $ | (38 | ) | $ | 602 | $ | 235 | Net of tax | |||||||||
Pension and postretirement plan | ||||||||||||||||||
Actuarial loss | $ | 273 | $ | 396 | $ | 742 | $ | 1,709 | (a) | |||||||||
Prior-service credit | (18 | ) | (33 | ) | (54 | ) | (133 | ) | (a) | |||||||||
255 | 363 | 688 | 1,576 | Total before income tax benefit | ||||||||||||||
(75 | ) | (109 | ) | (235 | ) | (517 | ) | Income tax benefit | ||||||||||
$ | 180 | $ | 254 | $ | 453 | $ | 1,059 | Net of tax | ||||||||||
Total reclassifications for the period | $ | 429 | $ | 216 | $ | 1,055 | $ | 1,294 | Net of tax | |||||||||
(a) These AOCI components are included in the computation of pension and postretirement health care (income) expense. See Note 10 for further discussion. |
Fair_Value_Disclosure_Tables
Fair Value Disclosure (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Schedule of fair value, assets and liabilities measured on recurring basis | ' | ||||||||||||||||
The following table presents the Company's assets and liabilities accounted for at fair value on a recurring basis: | |||||||||||||||||
Fair Value Measurements at Reporting Date Using | |||||||||||||||||
Quoted Prices in | Significant | ||||||||||||||||
Active Markets for | Significant Other | Unobservable | |||||||||||||||
Identical Assets | Observable Inputs | Inputs | |||||||||||||||
Description | Date | (Level 1) | (Level 2) | (Level 3) | |||||||||||||
September 30, 2014 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,955 | $ | 6,955 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 538 | — | 538 | — | |||||||||||||
Foreign currency exchange contracts | 213 | — | 213 | — | |||||||||||||
$ | 7,706 | $ | 6,955 | $ | 751 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Foreign currency exchange contracts | $ | 29 | $ | — | $ | 29 | $ | — | |||||||||
Contingent consideration | 1,606 | — | — | 1,606 | |||||||||||||
$ | 1,635 | $ | — | $ | 29 | $ | 1,606 | ||||||||||
December 31, 2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,540 | $ | 6,540 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 937 | — | 937 | — | |||||||||||||
Foreign currency exchange contracts | 83 | — | 83 | — | |||||||||||||
$ | 7,560 | $ | 6,540 | $ | 1,020 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Foreign currency exchange contracts | $ | 14 | $ | — | $ | 14 | $ | — | |||||||||
Contingent consideration | 1,581 | — | — | 1,581 | |||||||||||||
$ | 1,595 | $ | — | $ | 14 | $ | 1,581 | ||||||||||
September 30, 2013 | |||||||||||||||||
Assets: | |||||||||||||||||
Available for sale securities | $ | 6,010 | $ | 6,010 | $ | — | $ | — | |||||||||
Interest rate swap agreements | 645 | — | 645 | — | |||||||||||||
Foreign currency exchange contracts | 111 | — | 111 | — | |||||||||||||
$ | 6,766 | $ | 6,010 | $ | 756 | $ | — | ||||||||||
Liabilities: | |||||||||||||||||
Contingent consideration | $ | 1,572 | $ | — | $ | — | $ | 1,572 | |||||||||
$ | 1,572 | $ | — | $ | — | $ | 1,572 | ||||||||||
Unconsolidated_Subsidiaries_Ta
Unconsolidated Subsidiaries (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Equity Method Investments and Joint Ventures [Abstract] | ' | |||||||||||||||
Schedule of Variable Interest Entities | ' | |||||||||||||||
Summarized financial information for the Unconsolidated Mines, NoDak and NACC India is as follows: | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Revenues | $ | 150,529 | $ | 152,999 | $ | 437,127 | $ | 433,937 | ||||||||
Gross profit | $ | 19,504 | $ | 18,847 | $ | 56,123 | $ | 55,859 | ||||||||
Income before income taxes | $ | 12,201 | $ | 12,172 | $ | 36,363 | $ | 35,650 | ||||||||
Net income | $ | 9,372 | $ | 9,471 | $ | 28,046 | $ | 27,463 | ||||||||
Product_Warranties_Tables
Product Warranties (Tables) | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Product Warranties Disclosures [Abstract] | ' | |||
Current and Long-term Recorded Warranty Liability | ' | |||
Changes in the Company's current and long-term recorded warranty liability are as follows: | ||||
2014 | ||||
Balance at January 1 | $ | 5,343 | ||
Warranties issued | 5,325 | |||
Settlements made | (6,402 | ) | ||
Balance at September 30 | $ | 4,266 | ||
Retirement_Benefit_Plans_Table
Retirement Benefit Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||
Components of Pension and Postretirement Health Care Expense | ' | |||||||||||||||
The components of pension and postretirement health care expense (income) are set forth below: | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
U.S. Pension and Postretirement Health Care | ||||||||||||||||
Service cost | $ | 18 | $ | 20 | $ | 53 | $ | 58 | ||||||||
Interest cost | 691 | 698 | 2,180 | 2,164 | ||||||||||||
Expected return on plan assets | (1,143 | ) | (1,100 | ) | (3,551 | ) | (3,403 | ) | ||||||||
Amortization of actuarial loss | 256 | 365 | 690 | 1,617 | ||||||||||||
Amortization of prior service credit | (18 | ) | (33 | ) | (54 | ) | (133 | ) | ||||||||
Curtailment | — | (1,701 | ) | — | (1,701 | ) | ||||||||||
Total | $ | (196 | ) | $ | (1,751 | ) | $ | (682 | ) | $ | (1,398 | ) | ||||
Non-U.S. Pension | ||||||||||||||||
Interest cost | $ | 50 | $ | 48 | $ | 149 | $ | 149 | ||||||||
Expected return on plan assets | (75 | ) | (72 | ) | (224 | ) | (215 | ) | ||||||||
Amortization of actuarial loss | 17 | 31 | 52 | 92 | ||||||||||||
Total | $ | (8 | ) | $ | 7 | $ | (23 | ) | $ | 26 | ||||||
Business_Segments_Tables
Business Segments (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Reporting Information | ' | |||||||||||||||
Financial information for each of NACCO's reportable segments is presented in the following table. The line “Eliminations” in the Revenues section eliminates revenues from HBB sales to KC. The amounts of these revenues are based on current market prices of similar third-party transactions. No other sales transactions occur among reportable segments. | ||||||||||||||||
THREE MONTHS ENDED | NINE MONTHS ENDED | |||||||||||||||
SEPTEMBER 30 | SEPTEMBER 30 | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Revenues | ||||||||||||||||
NACoal | $ | 49,840 | $ | 52,870 | $ | 139,492 | $ | 147,584 | ||||||||
HBB | 135,155 | 134,099 | 354,865 | 354,901 | ||||||||||||
KC | 37,551 | 42,618 | 107,231 | 120,709 | ||||||||||||
Eliminations | (832 | ) | (973 | ) | (2,091 | ) | (2,511 | ) | ||||||||
Total | $ | 221,714 | $ | 228,614 | $ | 599,497 | $ | 620,683 | ||||||||
Operating profit (loss) | ||||||||||||||||
NACoal | $ | 4,362 | $ | 9,740 | $ | 11,198 | $ | 32,721 | ||||||||
HBB | 9,531 | 11,788 | 12,719 | 18,461 | ||||||||||||
KC | (1,429 | ) | (3,658 | ) | (12,198 | ) | (14,045 | ) | ||||||||
NACCO and Other (a) | (1,073 | ) | (1,155 | ) | (4,429 | ) | (4,690 | ) | ||||||||
Eliminations | (68 | ) | (33 | ) | (443 | ) | 60 | |||||||||
Total | $ | 11,323 | $ | 16,682 | $ | 6,847 | $ | 32,507 | ||||||||
Net income (loss) | ||||||||||||||||
NACoal | $ | 3,185 | $ | 7,794 | $ | 8,815 | $ | 26,337 | ||||||||
HBB | 6,008 | 7,427 | 7,717 | 10,913 | ||||||||||||
KC | (966 | ) | (2,822 | ) | (7,656 | ) | (8,492 | ) | ||||||||
NACCO and Other | (906 | ) | (1,137 | ) | (3,776 | ) | (4,188 | ) | ||||||||
Eliminations | 378 | 1,063 | (2,549 | ) | (2,676 | ) | ||||||||||
Total | $ | 7,699 | $ | 12,325 | $ | 2,551 | $ | 21,894 | ||||||||
(a) During the second quarter of 2014, the Company recorded a $1.1 million charge included in selling, general and administrative expenses in NACCO and Other to correct a prior period accounting error related to an increase in the estimated liability for certain frozen deferred compensation plans. Management, quantitatively and qualitatively, assessed the materiality of the error and the correction thereof and concluded that the effect of the previous accounting treatment was not material to prior periods, expected 2014 full-year results, or trend of earnings and determined no material misstatements existed in those prior periods and no restatement of those prior period financial statements was necessary. |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |||
Inventory Disclosure [Abstract] | ' | ' | ' |
Coal - NACoal | $25,749 | $24,710 | $21,048 |
Mining supplies - NACoal | 18,641 | 17,406 | 17,131 |
Total inventories at weighted average cost | 44,390 | 42,116 | 38,179 |
Sourced inventories - HBB | 130,012 | 90,713 | 112,250 |
Retail inventories - KC | 46,205 | 51,616 | 56,920 |
Total inventories at FIFO | 176,217 | 142,329 | 169,170 |
Inventories, net | $220,607 | $184,445 | $207,349 |
Stockholders_Equity_Share_Repu
Stockholders Equity (Share Repurchase Program) (Details) (Shares Outstanding Class A, USD $) | 12 Months Ended | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2013 | Nov. 08, 2011 | Sep. 30, 2014 | Sep. 30, 2014 | Nov. 12, 2013 | |
2011 Stock Repurchase Program | 2011 Stock Repurchase Program | 2013 Stock Repurchase Program | 2013 Stock Repurchase Program | 2013 Stock Repurchase Program | |
Equity, Class of Treasury Stock [Line Items] | ' | ' | ' | ' | ' |
Stock repurchase program, authorized amount | ' | $50,000,000 | ' | ' | $60,000,000 |
Treasury stock acquisition | $35,600,000 | ' | $12,197,408 | $26,400,000 | ' |
Stock repurchase program, shares acquired during period | ' | ' | 235,194 | 501,531 | ' |
Stock repurchase program, shares acquired during period, weighted-average cost per share | ' | ' | $51.86 | $52.73 | ' |
Stockholders_Equity_Amounts_Re
Stockholders Equity (Amounts Reclassified out of Accumulated Other Comprehensive Income) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Cost of sales | $175,171 | $179,395 | $480,260 | $477,573 | ||||
Interest expense | 2,046 | 1,044 | 5,450 | 3,496 | ||||
Income from continuing operations before income tax provision | -9,066 | -15,484 | -681 | -28,564 | ||||
Income tax expense (benefit) | -1,367 | -3,159 | 1,870 | -6,670 | ||||
Total reclassifications for the period | -7,699 | -12,325 | -2,551 | -21,894 | ||||
Reclassification out of Accumulated Other Comprehensive Income | ' | ' | ' | ' | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total reclassifications for the period | 429 | 216 | 1,055 | 1,294 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Loss (gain) on cash flow hedging | ' | ' | ' | ' | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Income from continuing operations before income tax provision | 386 | -62 | 926 | 381 | ||||
Income tax expense (benefit) | 137 | -24 | 324 | 146 | ||||
Total reclassifications for the period | 249 | -38 | 602 | 235 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Loss (gain) on cash flow hedging | Foreign exchange contracts | ' | ' | ' | ' | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Cost of sales | 8 | -62 | -194 | -79 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Loss (gain) on cash flow hedging | Interest rate contracts | ' | ' | ' | ' | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Interest expense | 378 | 0 | 1,120 | 460 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Pension and postretirement plan | ' | ' | ' | ' | ||||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Actuarial loss | 273 | [1] | 396 | [1] | 742 | [1] | 1,709 | [1] |
Prior-service credit | -18 | [1] | -33 | [1] | -54 | [1] | -133 | [1] |
Income from continuing operations before income tax provision | 255 | 363 | 688 | 1,576 | ||||
Income tax expense (benefit) | 75 | 109 | 235 | 517 | ||||
Total reclassifications for the period | $180 | $254 | $453 | $1,059 | ||||
[1] | These AOCI components are included in the computation of pension and postretirement health care (income) expense. See Note 10 for further discussion. |
Fair_Value_Disclosure_On_a_Rec
Fair Value Disclosure (On a Recurring Basis) (Details) (Fair value measurements, recurring, USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |||
Level 1 | ' | ' | ' |
Assets: | ' | ' | ' |
Available for sale securities | $6,955 | $6,540 | $6,010 |
Interest rate swap agreements | 0 | 0 | 0 |
Foreign currency exchange contracts | 0 | 0 | 0 |
Assets at fair value | 6,955 | 6,540 | 6,010 |
Liabilities: | ' | ' | ' |
Foreign currency exchange contracts | 0 | 0 | ' |
Contingent consideration | 0 | 0 | 0 |
Liabilities at fair value | 0 | 0 | 0 |
Level 2 | ' | ' | ' |
Assets: | ' | ' | ' |
Available for sale securities | 0 | 0 | 0 |
Interest rate swap agreements | 538 | 937 | 645 |
Foreign currency exchange contracts | 213 | 83 | 111 |
Assets at fair value | 751 | 1,020 | 756 |
Liabilities: | ' | ' | ' |
Foreign currency exchange contracts | 29 | 14 | ' |
Contingent consideration | 0 | 0 | 0 |
Liabilities at fair value | 29 | 14 | 0 |
Level 3 | ' | ' | ' |
Assets: | ' | ' | ' |
Available for sale securities | 0 | 0 | 0 |
Interest rate swap agreements | 0 | 0 | 0 |
Foreign currency exchange contracts | 0 | 0 | 0 |
Assets at fair value | 0 | 0 | 0 |
Liabilities: | ' | ' | ' |
Foreign currency exchange contracts | 0 | 0 | ' |
Contingent consideration | 1,606 | 1,581 | 1,572 |
Liabilities at fair value | 1,606 | 1,581 | 1,572 |
Total | ' | ' | ' |
Assets: | ' | ' | ' |
Available for sale securities | 6,955 | 6,540 | 6,010 |
Interest rate swap agreements | 538 | 937 | 645 |
Foreign currency exchange contracts | 213 | 83 | 111 |
Assets at fair value | 7,706 | 7,560 | 6,766 |
Liabilities: | ' | ' | ' |
Foreign currency exchange contracts | 29 | 14 | ' |
Contingent consideration | 1,606 | 1,581 | 1,572 |
Liabilities at fair value | $1,635 | $1,595 | $1,572 |
Fair_Value_Disclosure_Narrativ
Fair Value Disclosure (Narrative) (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Aug. 31, 2012 | Oct. 01, 2010 |
Reed Minerals | Reed Minerals | Reed Minerals | Bellaire Corporation | ||||
T | |||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Fair value of trust assets | ' | ' | ' | ' | ' | ' | $5,000,000 |
Tons of coal sold from reserves covered in earn-out period for earn-out calculation | ' | ' | ' | ' | ' | 15,000,000 | ' |
Earn-out payments | ' | ' | ' | 0 | 0 | ' | ' |
Long-term debt excluding capital leases fair value | 204,700,000 | 170,700,000 | 161,800,000 | ' | ' | ' | ' |
Long-term debt excluding capital leases book value | $204,700,000 | $170,700,000 | $161,400,000 | ' | ' | ' | ' |
Unconsolidated_Subsidiaries_De
Unconsolidated Subsidiaries (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | |||||||||||||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Jun. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
Subsidiaries | Coyote Creek | Coyote Creek | Coyote Creek | Other noncurrent assets | Other noncurrent assets | Other noncurrent assets | Liberty | Coyote Creek | Variable interest entity, not primary beneficiary | Variable interest entity, not primary beneficiary | Variable interest entity, not primary beneficiary | Variable interest entity, not primary beneficiary | NACC India customer | Minimum | Maximum | |||||
T | T | Allowance for doubtful accounts | Camino Real | Camino Real | ||||||||||||||||
T | T | |||||||||||||||||||
Variable Interest Entity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of wholly owned subsidiaries | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Production capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4,300,000 | 2,500,000 | ' | ' | ' | ' | ' | 2,500,000 | 3,000,000 |
Valuation allowances and reserves, adjustments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,100,000 | ' | ' |
Investment in unconsolidated operations and related tax position | ' | ' | ' | ' | ' | ' | ' | ' | 28,900,000 | 33,100,000 | 35,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Variable interest entity, reporting entity involvement, maximum risk of loss | 3,800,000 | 5,000,000 | 3,800,000 | 5,000,000 | 5,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts receivable from affiliates | 44,339,000 | 30,551,000 | 44,339,000 | 30,551,000 | 32,636,000 | 42,200,000 | 27,900,000 | 26,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues | 221,714,000 | 228,614,000 | 599,497,000 | 620,683,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 150,529,000 | 152,999,000 | 437,127,000 | 433,937,000 | ' | ' | ' |
Gross profit | 46,543,000 | 49,219,000 | 119,237,000 | 143,110,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19,504,000 | 18,847,000 | 56,123,000 | 55,859,000 | ' | ' | ' |
Income before income taxes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,201,000 | 12,172,000 | 36,363,000 | 35,650,000 | ' | ' | ' |
Net income | $7,699,000 | $12,325,000 | $2,551,000 | $21,894,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9,372,000 | $9,471,000 | $28,046,000 | $27,463,000 | ' | ' | ' |
Contingencies_Details
Contingencies (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
In Millions, unless otherwise specified | Picton, Ontario facility | Picton, Ontario facility | Southern Pines and Mt. Airy | Southern Pines and Mt. Airy | |||
Selling, general and administrative expenses | Selling, general and administrative expenses | ||||||
Site Contingency [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Accrual for environmental investigation and remediation activities | $10 | $6.90 | $7.20 | ' | ' | ' | ' |
Loss contingency, range of possible loss, maximum | 4.2 | ' | ' | ' | ' | ' | ' |
Liability for environmental investigation and remediation | ' | ' | ' | 3.3 | 2.3 | ' | ' |
Recoveries from third-party commitments to share remediation costs | ' | ' | ' | ' | ' | $0.80 | $1.60 |
Product_Warranties_Details
Product Warranties (Details) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ' |
Balance at beginning of period | $5,343 |
Warranties issued | 5,325 |
Settlements made | -6,402 |
Balance at end of period | $4,266 |
Income_Taxes_Income_Taxes_Deta
Income Taxes Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Effective income tax rate | 15.10% | 20.40% | ' | 23.40% |
Income tax expense (benefit) | $1,367,000 | $3,159,000 | ($1,870,000) | $6,670,000 |
Pre-tax income | 9,066,000 | 15,484,000 | 681,000 | 28,564,000 |
Tax adjustments, settlements, and unusual provisions | $600,000 | ' | $2,000,000 | ' |
Retirement_Benefit_Plans_Detai
Retirement Benefit Plans (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
U.S. Pension and Postretirement Health Care | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Service cost | $18 | $20 | $53 | $58 |
Interest cost | 691 | 698 | 2,180 | 2,164 |
Expected return on plan assets | -1,143 | -1,100 | -3,551 | -3,403 |
Amortization of actuarial loss | 256 | 365 | 690 | 1,617 |
Amortization of prior service credit | -18 | -33 | -54 | -133 |
Curtailment | 0 | -1,701 | 0 | -1,701 |
Total | -196 | -1,751 | -682 | -1,398 |
Non-U.S. Pension | ' | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ' |
Interest cost | 50 | 48 | 149 | 149 |
Expected return on plan assets | -75 | -72 | -224 | -215 |
Amortization of actuarial loss | 17 | 31 | 52 | 92 |
Total | ($8) | $7 | ($23) | $26 |
Business_Segments_Details
Business Segments (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | $221,714 | $228,614 | $599,497 | $620,683 | ||||
Operating profit (loss) | 11,323 | 16,682 | 6,847 | 32,507 | ||||
Net income (loss) | 7,699 | 12,325 | 2,551 | 21,894 | ||||
Selling, general and administrative expenses | 46,373 | 43,269 | 145,792 | 142,054 | ||||
Operating segments | NACoal | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 49,840 | 52,870 | 139,492 | 147,584 | ||||
Operating profit (loss) | 4,362 | 9,740 | 11,198 | 32,721 | ||||
Net income (loss) | 3,185 | 7,794 | 8,815 | 26,337 | ||||
Operating segments | HBB | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 135,155 | 134,099 | 354,865 | 354,901 | ||||
Operating profit (loss) | 9,531 | 11,788 | 12,719 | 18,461 | ||||
Net income (loss) | 6,008 | 7,427 | 7,717 | 10,913 | ||||
Operating segments | KC | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | 37,551 | 42,618 | 107,231 | 120,709 | ||||
Operating profit (loss) | -1,429 | -3,658 | -12,198 | -14,045 | ||||
Net income (loss) | -966 | -2,822 | -7,656 | -8,492 | ||||
Operating segments | NACCO and Other (a) | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Operating profit (loss) | -1,073 | [1] | -1,155 | [1] | -4,429 | [1] | -4,690 | [1] |
Net income (loss) | -906 | -1,137 | -3,776 | -4,188 | ||||
Selling, general and administrative expenses | ' | ' | 1,100 | ' | ||||
Eliminations | ' | ' | ' | ' | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ||||
Revenues | -832 | -973 | -2,091 | -2,511 | ||||
Operating profit (loss) | -68 | -33 | -443 | 60 | ||||
Net income (loss) | $378 | $1,063 | ($2,549) | ($2,676) | ||||
[1] | During the second quarter of 2014, the Company recorded a $1.1 million charge included in selling, general and administrative expenses in NACCO and Other to correct a prior period accounting error related to an increase in the estimated liability for certain frozen deferred compensation plans. Management, quantitatively and qualitatively, assessed the materiality of the error and the correction thereof and concluded that the effect of the previous accounting treatment was not material to prior periods, expected 2014 full-year results, or trend of earnings and determined no material misstatements existed in those prior periods and no restatement of those prior period financial statements was necessary. |
Acquisition_Details
Acquisition (Details) (NCOA, USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2014 |
NCOA | ' | ' |
Business Acquisition [Line Items] | ' | ' |
Debt assumed | $9.70 | ' |
Current quarter acquisition cost | ' | 0.1 |
Total acquisition cost | ' | $0.40 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 3 Months Ended | 1 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 | Oct. 31, 2014 |
Forecasted | Subsequent event | |
Subsequent Event [Line Items] | ' | ' |
Proceeds from sale of assets held for sale | ' | $5 |
Gain (loss) on sale of assets classified as held for sale | $3.50 | ' |