Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Jul. 23, 2014 | |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'XRAY | ' |
Entity Registrant Name | 'DENTSPLY INTERNATIONAL INC /DE/ | ' |
Entity Central Index Key | '0000818479 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 141,777,636 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Net sales | $765,225 | $761,010 | $1,495,339 | $1,493,094 |
Cost of products sold | 340,756 | 346,054 | 676,665 | 689,938 |
Gross profit | 424,469 | 414,956 | 818,674 | 803,156 |
Selling, General and Administrative Expense | 296,121 | 289,921 | 583,963 | 583,598 |
Restructuring and other costs | 1,242 | 2,169 | 2,035 | 2,834 |
Operating income | 127,106 | 122,866 | 232,676 | 216,724 |
Other income and expenses: | ' | ' | ' | ' |
Interest expense | 11,798 | 11,507 | 22,753 | 26,728 |
Interest income | -1,744 | -2,243 | -3,179 | -4,418 |
Other expense (income), net | 575 | 4,223 | 963 | 7,141 |
Income before income taxes | 116,477 | 109,379 | 212,139 | 187,273 |
Income Tax Expense (Benefit) | 26,096 | 22,870 | 48,548 | 26,412 |
Equity in net earnings (loss) of unconsolidated affilated company | -367 | 2,182 | -657 | 403 |
Net income | 90,014 | 88,691 | 162,934 | 161,264 |
Net Income (Loss) Attributable to Noncontrolling Interest | 21 | 1,463 | 63 | 2,351 |
Net income attributable to DENTSPLY International | $89,993 | $87,228 | $162,871 | $158,913 |
Earnings per common share: | ' | ' | ' | ' |
Basic (in dollars per share) | $0.63 | $0.61 | $1.15 | $1.11 |
Diluted (in dollars per share) | $0.62 | $0.60 | $1.13 | $1.10 |
Weighted average common shares outstanding: | ' | ' | ' | ' |
Basic (in shares) | 141,790 | 142,922 | 141,921 | 142,849 |
Diluted (in shares) | 144,164 | 145,133 | 144,288 | 145,107 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Net income | $90,014 | $88,691 | $162,934 | $161,264 |
Other comprehensive income (loss), net of tax: | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -27,640 | 5,886 | -28,675 | -88,256 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 440 | -13,362 | 2,197 | 14,756 |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | -1,762 | -16,629 | -3,803 | -8,989 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | 823 | 540 | 1,141 | 3,316 |
Other Comprehensive Income (Loss), Net of Tax | -28,139 | -23,565 | -29,140 | -79,173 |
Total comprehensive (loss) income | 61,875 | 65,126 | 133,794 | 82,091 |
Comprehensive (Income) Loss, Net of Tax, Attributable to Noncontrolling Interest | -254 | 2,019 | -140 | 2,200 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $62,129 | $63,107 | $133,934 | $79,891 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $66,929 | $74,954 |
Accounts and notes receivable-trade, net | 503,972 | 472,802 |
Inventories, net | 461,203 | 438,559 |
Prepaid expenses and other current assets | 199,170 | 157,487 |
Total Current Assets | 1,231,274 | 1,143,802 |
Property, plant and equipment, net | 639,212 | 637,172 |
Identifiable intangible assets, net | 765,105 | 795,323 |
Goodwill, net | 2,278,798 | 2,281,596 |
Other noncurrent assets, net | 157,984 | 220,154 |
Total Assets | 5,072,373 | 5,078,047 |
Current Liabilities: | ' | ' |
Accounts payable | 143,562 | 132,789 |
Accrued liabilities | 412,849 | 339,308 |
Income taxes payable | 38,604 | 14,446 |
Notes payable and current portion of long-term debt | 301,294 | 309,862 |
Total Current Liabilities | 896,309 | 796,405 |
Long-term debt | 1,065,881 | 1,166,178 |
Deferred income taxes | 231,005 | 238,394 |
Other noncurrent liabilities | 294,404 | 299,096 |
Total Liabilities | 2,487,599 | 2,500,073 |
Commitments and contingencies | ' | ' |
Equity: | ' | ' |
Preferred stock, $.01 par value; .25 million shares authorized; no shares issued | 0 | 0 |
Common stock, $.01 par value; 200.0 million shares authorized; 162.8 million shares issued at June 30, 2014 and December 31, 2013 | 1,628 | 1,628 |
Capital in excess of par value | 217,274 | 255,272 |
Retained earnings | 3,239,641 | 3,095,721 |
Accumulated other comprehensive loss | -97,999 | -69,062 |
Treasury stock, at cost, 21.0 million and 20.5 million shares at June 30, 2014 and December 31, 2013, respectively | -777,081 | -748,506 |
Total DENTSPLY International Equity | 2,583,463 | 2,535,053 |
Noncontrolling Interests | 1,311 | 42,921 |
Total Equity | 2,584,774 | 2,577,974 |
Total Liabilities and Equity | $5,072,373 | $5,078,047 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 250,000 | 250,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 162,800,000 | 162,800,000 |
Treasury stock, shares | 21,000,000 | 20,500,000 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $162,934 | $161,264 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation | 42,325 | 41,743 |
Amortization | 24,493 | 23,434 |
Amortization of deferred financing costs | 2,285 | 2,592 |
Deferred income taxes | -4,893 | -8,564 |
Share based compensation expense | 13,358 | 12,023 |
Stock option income tax benefit | -349 | -1,122 |
Equity in earnings from unconsolidated affiliates | 657 | -403 |
Other Noncash Income (Expense) | -9,110 | 11,480 |
Changes in operating assets and liabilities, net of acquisitions: | ' | ' |
Accounts and notes receivable-trade, net | -31,505 | -72,324 |
Inventories, net | -22,427 | -40,700 |
Prepaid expenses and other current assets | -6,068 | 26,364 |
Other noncurrent assets, net | 1,096 | 845 |
Accounts payable | 10,613 | -11,143 |
Accrued liabilities | -6,228 | -2,051 |
Income taxes payable | 35,532 | -17,670 |
Other noncurrent liabilities | 7,532 | 6,100 |
Net cash provided by operating activities | 220,245 | 131,868 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -48,831 | -46,151 |
Cash paid for acquisitions of businesses, net of cash acquired | -2,009 | -3,939 |
Proceeds from Hedge, Investing Activities | 1,674 | 7,499 |
Payments for Derivative Instrument, Investing Activities | 4,006 | 94,843 |
Expenditures for identifiable intangible assets | -1,316 | -963 |
Proceeds from sale of property, plant and equipment, net | 277 | 2,209 |
Net cash used in investing activities | -55,346 | -136,188 |
Cash flows from financing activities: | ' | ' |
Net change in short-term borrowings | -38,087 | 40,450 |
Cash paid for treasury stock | -54,586 | -62,278 |
Cash dividends paid | -18,453 | -16,928 |
Cash paid for acquisition of noncontrolling interests of consolidated subsidiaries | -33 | -8,960 |
Payments on long-term borrowings | -75,371 | 0 |
Proceeds from exercise of stock options | 12,736 | 31,213 |
Excess tax benefits from share based compensation | 349 | 1,122 |
Proceeds from Derivative Instrument, Financing Activities | 0 | 25 |
Payments for Derivative Instrument, Financing Activities | 0 | 80 |
Net cash used in financing activities | -173,445 | -15,436 |
Effect of exchange rate changes on cash and cash equivalents | 521 | -3,349 |
Net (decrease) increase in cash and cash equivalents | -8,025 | -23,105 |
Cash and cash equivalents at beginning of period | 74,954 | ' |
Cash and cash equivalents at end of period | 66,929 | ' |
Purchase of short-term investments | $1,135 | $0 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (USD $) | Total | Common Stock | Capital in Excess of Par Value | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total DENTSPLY International Equity | Noncontrolling Interests |
In Thousands, unless otherwise specified | ||||||||
Beginning Balance at Dec. 31, 2012 | $2,249,443 | $1,628 | $246,548 | $2,818,461 | ($144,200) | ($713,739) | $2,208,698 | $40,745 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 161,264 | ' | ' | ' | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | -79,173 | ' | ' | ' | -79,022 | ' | -79,022 | -151 |
Net Income (Loss) Attributable to Noncontrolling Interest | 2,351 | ' | ' | ' | ' | ' | ' | 2,351 |
Net income attributable to DENTSPLY International | 158,913 | ' | ' | 158,913 | ' | ' | 158,913 | ' |
Exercise of stock options | 31,213 | ' | -3,937 | ' | ' | 35,150 | 31,213 | ' |
Tax benefit from stock options exercised | 1,122 | ' | 1,122 | ' | ' | ' | 1,122 | ' |
Share based compensation expense | 12,023 | ' | 12,023 | ' | ' | ' | 12,023 | ' |
Funding of Employee Stock Ownership Plan | 4,657 | ' | 959 | ' | ' | 3,698 | 4,657 | ' |
Treasury shares purchased | -62,278 | ' | ' | ' | ' | -62,278 | -62,278 | ' |
RSU distributions | -3,383 | ' | -8,342 | ' | ' | 4,959 | -3,383 | ' |
RSU dividends | ' | ' | -151 | -151 | ' | ' | ' | ' |
Cash dividends ($0.1325 in 2014, $0.1250 in 2013 per share) | -17,832 | ' | ' | -17,832 | ' | ' | -17,832 | ' |
Stockholders' Equity Attributable to Parent | ' | 1,628 | 244,598 | 2,959,391 | -223,222 | -732,210 | 2,250,185 | ' |
Stockholders' Equity Attributable to Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | 37,911 |
Ending Balance at Jun. 30, 2013 | 2,288,096 | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance at Dec. 31, 2013 | 2,577,974 | 1,628 | 255,272 | 3,095,721 | -69,062 | -748,506 | 2,535,053 | 42,921 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Net income | 162,934 | ' | ' | ' | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | -29,140 | ' | ' | ' | -23,407 | ' | -23,407 | -203 |
Other Comprehensive Income (Loss), Net of Tax excluding Acquisition of NCI | -23,610 | ' | ' | ' | ' | ' | ' | ' |
Net Income (Loss) Attributable to Noncontrolling Interest | 63 | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to DENTSPLY International | 162,871 | ' | ' | ' | ' | ' | 162,871 | ' |
Acquisition of noncontrolling interest | -87,283 | ' | -40,283 | ' | -5,530 | ' | -45,813 | -41,470 |
Exercise of stock options | 12,736 | ' | -2,204 | ' | ' | 14,940 | 12,736 | ' |
Tax benefit from stock options exercised | 349 | ' | 349 | ' | ' | ' | 349 | ' |
Share based compensation expense | 13,358 | ' | 13,358 | ' | ' | ' | 13,358 | ' |
Funding of Employee Stock Ownership Plan | 5,953 | ' | 1,535 | ' | ' | 4,418 | 5,953 | ' |
Treasury shares purchased | -54,586 | ' | ' | ' | ' | -54,586 | -54,586 | ' |
RSU distributions | -4,264 | ' | -10,917 | ' | ' | 6,653 | -4,264 | ' |
RSU dividends | ' | ' | -164 | -164 | ' | ' | ' | ' |
Cash dividends ($0.1325 in 2014, $0.1250 in 2013 per share) | -18,787 | ' | ' | -18,787 | ' | ' | -18,787 | ' |
Stockholders' Equity Attributable to Parent | 2,583,463 | 1,628 | 217,274 | 3,239,641 | -97,999 | -777,081 | 2,583,463 | ' |
Stockholders' Equity Attributable to Noncontrolling Interest | 1,311 | ' | ' | ' | ' | ' | ' | 1,311 |
Ending Balance at Jun. 30, 2014 | $2,584,774 | ' | ' | ' | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_CHA1
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Statement of Stockholders' Equity [Abstract] | ' | ' |
Cash dividends, per share | $0.13 | $0.13 |
SIGNIFICANT_ACCOUNTING_POLICIE
SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
SIGNIFICANT ACCOUNTING POLICIES | ' |
SIGNIFICANT ACCOUNTING POLICIES | |
The accounting policies of the Company, as applied in the interim consolidated financial statements presented herein are substantially the same as presented in the Company’s Form 10-K for the year ended December 31, 2013, except as may be indicated below: | |
Accounts and Notes Receivable | |
The Company sells dental and certain healthcare products through a worldwide network of distributors and directly to end users. For customers on credit terms, the Company performs ongoing credit evaluations of those customers’ financial condition and generally does not require collateral from them. The Company establishes allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments based on historical averages of aged receivable balances and the Company’s experience in collecting those balances, customer specific circumstances, as well as changes in the economic and political environments. The Company records a provision for doubtful accounts, which is included in “Selling, general and administrative expenses” on the Consolidated Statements of Operations. | |
Accounts and notes receivables – trade, net are stated net of allowances for doubtful accounts and trade discounts, which were $12.1 million at June 30, 2014 and $14.7 million at December 31, 2013. | |
Marketable Securities | |
The Company’s marketable securities consist of corporate convertible bonds that are classified as available-for-sale in “Other noncurrent assets, net” on the Consolidated Balance Sheets as the instruments mature in December 2015. The Company determined the appropriate classification at the time of purchase and will re-evaluate such designation as of each balance sheet date. In addition, the Company reviews the securities each quarter for indications of possible impairment. If an impairment is identified, the determination of whether the impairment is temporary or other-than-temporary requires significant judgment. The primary factors that the Company considers in making this judgment include the extent and time the fair value of each investment has been below cost and the existence of a credit loss. If a decline in fair value is judged other-than-temporary, the basis of the securities is written down to fair value and the amount of the write-down is included as a realized loss in the Consolidated Statement of Operations. Changes in fair value are reported in accumulated other comprehensive income (“AOCI”). | |
The convertible element of the bonds has not been bifurcated from the underlying bonds as the element does not contain a net-settlement feature, nor would the Company be able to achieve a hypothetical net-settlement that would substantially place the Company in a comparable cash settlement position. As such, the derivative is not accounted for separately from the bond. The cash paid by the Company was equal to the face value of the bonds issued, and therefore, the Company has not recorded any bond premium or discount on acquiring the bonds. The fair value of the bonds was $64.3 million and $70.0 million at June 30, 2014 and December 31, 2013, respectively. At June 30, 2014 and December 31, 2013, an unrealized holding gain of $8.9 million and $12.7 million, respectively, on available-for-sale securities, net of tax, has been recorded in AOCI. | |
Revisions in Classification | |
Certain revisions in classification have been made to prior year’s data in order to conform to current year presentation. | |
New Accounting Pronouncements | |
In March 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-05, “Foreign Currency Matters (Topic 830): Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity.” This newly issued accounting standard requires a cumulative translation adjustment (“CTA”) attached to the parent’s investment in a foreign entity should be released in a manner consistent with the derecognition guidance on investment entities. Thus the entire amount of CTA associated with the foreign entity would be released when there has been a sale of a subsidiary or group of net assets within a foreign entity and the sale represents a complete liquidation of the investment in the foreign entity, a loss of a controlling financial interest in an investment in a foreign entity, or step acquisition for a foreign entity. The Company adopted this accounting standard for the quarter ended March 31, 2014. The adoption of this standard did not materially impact the Company’s financial position or results of operations. | |
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit when a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” The newly issued accounting standard requires the netting of unrecognized tax benefits against a deferred tax asset for a loss or other carryforward that would apply in settlement of the uncertain tax positions. Under the new standard, unrecognized tax benefits will be netted against all available same-jurisdiction losses or other tax carryforwards that would be utilized, rather than only against carryforwards that are created by the unrecognized tax benefit. The Company adopted this accounting standard for the quarter ended March 31, 2014. The adoption of this standard did not materially impact the Company’s financial position or results of operations. | |
In April 2014, the FASB issued ASU No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” This newly issued accounting standard changes the criteria for determining which disposals can be presented as discontinued operations and modifies related disclosure requirements. This standard will have the impact of reducing the frequency of disposals reported as discontinued operations, by requiring such a disposal to represent a strategic shift that has or will have a major effect on entity’s operations and financial results. Additionally, existing provisions that prohibit an entity from reporting a discontinued operation if it has certain continuing cash flows or involvement with the component after a disposal are eliminated by this standard. The ASU also expands the disclosures for discontinued operations and requires new disclosures related to individually significant disposals that do not qualify as discontinued operations. This standard allows for early adoption and the Company expects to adopt this accounting standard no later than the quarter ended March 31, 2015. The adoption of this standard is not expected to materially impact the Company’s financial position or results of operations. | |
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. This newly issued accounting standard is intended to improve the reporting of revenue. The Company has not yet determined the impact from adoption of this new accounting pronouncement on the Company’s financial position or results of operations. The Company expects to adopt this accounting standard for the quarter ended March 31, 2017. Early adoption is not permitted. |
STOCK_COMPENSATION
STOCK COMPENSATION | 6 Months Ended | |||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||||||
STOCK COMPENSATION | ' | |||||||||||||||||||||
STOCK COMPENSATION | ||||||||||||||||||||||
The following table represents total stock based compensation expense for non-qualified stock options, restricted stock units (“RSU”) and the tax related benefit for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Stock option expense | $ | 2,829 | $ | 2,876 | $ | 4,503 | $ | 5,005 | ||||||||||||||
RSU expense | 4,366 | 3,337 | 8,085 | 6,269 | ||||||||||||||||||
Total stock based compensation expense | $ | 7,195 | $ | 6,213 | $ | 12,588 | $ | 11,274 | ||||||||||||||
Total related tax benefit | $ | 1,979 | $ | 1,788 | $ | 3,543 | $ | 2,865 | ||||||||||||||
At June 30, 2014, the remaining unamortized compensation cost related to non-qualified stock options is $13.6 million, which will be expensed over the weighted average remaining vesting period of the options, or approximately 1.8 years. At June 30, 2014, the unamortized compensation cost related to RSU is $27.4 million, which will be expensed over the weighted average remaining restricted period of the RSU, or approximately 1.6 years. | ||||||||||||||||||||||
The following table reflects the non-qualified stock option transactions from December 31, 2013 through June 30, 2014: | ||||||||||||||||||||||
Outstanding | Exercisable | |||||||||||||||||||||
(in thousands, except per share data) | Shares | Weighted | Aggregate | Shares | Weighted | Aggregate | ||||||||||||||||
Average | Intrinsic | Average | Intrinsic | |||||||||||||||||||
Exercise | Value | Exercise | Value | |||||||||||||||||||
Price | Price | |||||||||||||||||||||
Balance at December 31, 2013 | 8,295 | $ | 35.04 | $ | 111,450 | 6,225 | $ | 33.67 | $ | 92,200 | ||||||||||||
Granted | 920 | 45.23 | ||||||||||||||||||||
Exercised | (390 | ) | 32.63 | |||||||||||||||||||
Cancelled | (5 | ) | 45.15 | |||||||||||||||||||
Forfeited | (24 | ) | 41.01 | |||||||||||||||||||
Balance at June 30, 2014 | 8,796 | $ | 36.2 | $ | 98,117 | 6,906 | $ | 34.48 | $ | 88,889 | ||||||||||||
At June 30, 2014, the weighted average remaining contractual term of all outstanding options is approximately 5.7 years and the weighted average remaining contractual term of exercisable options is approximately 4.8 years. | ||||||||||||||||||||||
The following table summarizes the unvested RSU transactions from December 31, 2013 through June 30, 2014: | ||||||||||||||||||||||
(in thousands, except per share data) | Shares | Weighted Average | ||||||||||||||||||||
Grant Date | ||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Balance at December 31, 2013 | 1,131 | $ | 38.81 | |||||||||||||||||||
Granted | 443 | 45.16 | ||||||||||||||||||||
Vested | (272 | ) | 36.69 | |||||||||||||||||||
Forfeited | (97 | ) | 40.88 | |||||||||||||||||||
Balance at June 30, 2014 | 1,205 | $ | 41.45 | |||||||||||||||||||
COMPREHENSIVE_INCOME
COMPREHENSIVE INCOME | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
COMPREHENSIVE INCOME [Abstract] | ' | |||||||||||||||||||||||
COMPREHENSIVE INCOME | ' | |||||||||||||||||||||||
COMPREHENSIVE INCOME | ||||||||||||||||||||||||
During the quarter ended June 30, 2014, foreign currency translation adjustments included currency translation losses of $20.6 million and losses on the Company’s loans designated as hedges of net investments of $1.2 million. During the quarter ended June 30, 2013, foreign currency translation adjustments included currency translation gains of $1.3 million and gains of $4.0 million on the Company’s loans designated as hedges of net investments. During the six months ended June 30, 2014, foreign currency translation adjustments included currency translation losses of $19.7 million and losses on the Company’s loans designated as hedges of net investments of $3.2 million. During the six months ended June 30, 2013, foreign currency translation adjustments included currency translation losses of $100.6 million and gains on the Company’s loans designated as hedges of net investments of $12.5 million. These foreign currency translation adjustments were offset by movements on derivative financial instruments, which are discussed in Note 10, Financial Instruments and Derivatives. | ||||||||||||||||||||||||
The cumulative foreign currency translation adjustments included translation gains of $224.6 million and $249.9 million at June 30, 2014 and December 31, 2013, respectively, were offset by losses of $112.1 million and $108.9 million, respectively, on loans designated as hedges of net investments. These foreign currency translation adjustments were partially offset by movements on derivatives financial instruments, which are discussed in Note 10, Financial Instruments and Derivatives. | ||||||||||||||||||||||||
Changes in AOCI, net of tax, by component for the six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||||
(in thousands) | Foreign Currency Translation Adjustments | Gain and (Loss) on Derivative Financial Instruments Designated as Cash Flow Hedges | Gain and (Loss) on Derivative Financial Instruments Designated as Net Investment Hedges | Net Unrealized Holding Gain (Loss) on Available-for-Sale Securities | Pension Liability Adjustments | Total | ||||||||||||||||||
Balance at December 31, 2013 | $ | 140,992 | $ | (21,753 | ) | $ | (151,114 | ) | $ | 12,729 | $ | (49,916 | ) | $ | (69,062 | ) | ||||||||
Other comprehensive income (loss) before reclassifications | (22,942 | ) | (2,717 | ) | 849 | (3,803 | ) | 197 | (28,416 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 4,065 | — | — | 944 | 5,009 | ||||||||||||||||||
Net (decrease) increase in other comprehensive income | (22,942 | ) | 1,348 | 849 | (3,803 | ) | 1,141 | (23,407 | ) | |||||||||||||||
Foreign currency translation related to acquisition of noncontrolling interests | (5,530 | ) | — | — | — | — | (5,530 | ) | ||||||||||||||||
Balance at June 30, 2014 | $ | 112,520 | $ | (20,405 | ) | $ | (150,265 | ) | $ | 8,926 | $ | (48,775 | ) | $ | (97,999 | ) | ||||||||
(in thousands) | Foreign Currency Translation Adjustments | Gain and (Loss) on Derivative Financial Instruments Designated as Cash Flow Hedges | Gain and (Loss) on Derivative Financial Instruments Designated as Net Investment Hedges | Net Unrealized Holding Gain (Loss)on Available-for-Sale Securities | Pension Liability Adjustments | Total | ||||||||||||||||||
Balance at December 31, 2012 | $ | 54,302 | $ | (17,481 | ) | $ | (125,661 | ) | $ | 17,822 | $ | (73,182 | ) | $ | (144,200 | ) | ||||||||
Other comprehensive income (loss) before reclassifications | (88,105 | ) | (1,503 | ) | 16,056 | (8,989 | ) | 1,439 | (81,102 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 203 | — | — | 1,877 | 2,080 | ||||||||||||||||||
Net (decrease) increase in other comprehensive income | (88,105 | ) | (1,300 | ) | 16,056 | (8,989 | ) | 3,316 | (79,022 | ) | ||||||||||||||
Balance at June 30, 2013 | $ | (33,803 | ) | $ | (18,781 | ) | $ | (109,605 | ) | $ | 8,833 | $ | (69,866 | ) | $ | (223,222 | ) | |||||||
Reclassification out of accumulated other comprehensive income (expense) to the Consolidated Statements of Operations for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Details about AOCI Components | Amounts Reclassified from AOCI | Affected Line Item in the | ||||||||||||||||||||||
Three Months Ended June 30, | Statements of Operations | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Gains and (losses) on derivative financial instruments: | ||||||||||||||||||||||||
Interest rate swaps | $ | (929 | ) | $ | (918 | ) | Interest expense | |||||||||||||||||
Foreign exchange forward contracts | (1,651 | ) | 631 | Cost of products sold | ||||||||||||||||||||
Foreign exchange forward contracts | (58 | ) | (10 | ) | SG&A expenses | |||||||||||||||||||
Commodity contracts | (158 | ) | 45 | Cost of products sold | ||||||||||||||||||||
(2,796 | ) | (252 | ) | Net (loss) gain before tax | ||||||||||||||||||||
819 | 171 | Tax benefit (expense) | ||||||||||||||||||||||
$ | (1,977 | ) | $ | (81 | ) | Net of tax | ||||||||||||||||||
Amortization of defined benefit pension and other postemployment benefit items: | ||||||||||||||||||||||||
Amortization of prior service benefits | $ | 35 | $ | 33 | (a) | |||||||||||||||||||
Amortization of net actuarial losses | (721 | ) | (1,357 | ) | (a) | |||||||||||||||||||
(686 | ) | (1,324 | ) | Net loss before tax | ||||||||||||||||||||
213 | 392 | Tax benefit | ||||||||||||||||||||||
$ | (473 | ) | $ | (932 | ) | Net of tax | ||||||||||||||||||
Total reclassifications for the period | $ | (2,450 | ) | $ | (1,013 | ) | ||||||||||||||||||
(a) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the three months ended June 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Details about AOCI Components | Amounts Reclassified from AOCI | Affected Line Item in the | ||||||||||||||||||||||
Six Months Ended June 30, | Statements of Operations | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Gains and (losses) on derivative financial instruments: | ||||||||||||||||||||||||
Interest rate swaps | $ | (1,856 | ) | $ | (1,830 | ) | Interest expense | |||||||||||||||||
Foreign exchange forward contracts | (3,296 | ) | 1,129 | Cost of products sold | ||||||||||||||||||||
Foreign exchange forward contracts | (157 | ) | (40 | ) | SG&A expenses | |||||||||||||||||||
Commodity contracts | (403 | ) | 202 | Cost of products sold | ||||||||||||||||||||
(5,712 | ) | (539 | ) | Net (loss) gain before tax | ||||||||||||||||||||
1,647 | 336 | Tax benefit (expense) | ||||||||||||||||||||||
$ | (4,065 | ) | $ | (203 | ) | Net of tax | ||||||||||||||||||
Amortization of defined benefit pension and other postemployment benefit items: | ||||||||||||||||||||||||
Amortization of prior service benefits | $ | 69 | $ | 67 | (b) | |||||||||||||||||||
Amortization of net actuarial losses | (1,439 | ) | (2,725 | ) | (b) | |||||||||||||||||||
(1,370 | ) | (2,658 | ) | Net loss before tax | ||||||||||||||||||||
426 | 781 | Tax benefit | ||||||||||||||||||||||
$ | (944 | ) | $ | (1,877 | ) | Net of tax | ||||||||||||||||||
Total reclassifications for the period | $ | (5,009 | ) | $ | (2,080 | ) | ||||||||||||||||||
(b) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the six months ended June 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). |
EARNINGS_PER_COMMON_SHARE
EARNINGS PER COMMON SHARE | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
EARNINGS PER COMMON SHARE | ' | |||||||||||||||
EARNINGS PER COMMON SHARE | ||||||||||||||||
The dilutive effect of outstanding non-qualified stock options and RSU is reflected in diluted earnings per share by application of the treasury stock method. The following table sets forth the computation of basic and diluted earnings per common share for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Basic Earnings Per Common Share Computation | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands, except per share amounts) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Net income attributable to DENTSPLY International | $ | 89,993 | $ | 87,228 | $ | 162,871 | $ | 158,913 | ||||||||
Weighted average common shares outstanding | 141,790 | 142,922 | 141,921 | 142,849 | ||||||||||||
Earnings per common share - basic | $ | 0.63 | $ | 0.61 | $ | 1.15 | $ | 1.11 | ||||||||
Diluted Earnings Per Common Share Computation | ||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||
Net income attributable to DENTSPLY International | $ | 89,993 | $ | 87,228 | $ | 162,871 | $ | 158,913 | ||||||||
Weighted average common shares outstanding | 141,790 | 142,922 | 141,921 | 142,849 | ||||||||||||
Incremental weighted average shares from assumed exercise of dilutive options from stock-based compensation awards | 2,374 | 2,211 | 2,367 | 2,258 | ||||||||||||
Total weighted average diluted shares outstanding | 144,164 | 145,133 | 144,288 | 145,107 | ||||||||||||
Earnings per common share - diluted | $ | 0.62 | $ | 0.6 | $ | 1.13 | $ | 1.1 | ||||||||
The calculation of weighted average diluted shares outstanding excludes options to purchase 1.0 million and 1.4 million shares of common stock that were outstanding during the three and six months ended June 30, 2014, respectively, because their effect would be antidilutive. There were 2.9 million and 3.5 million antidilutive shares of common stock outstanding during the three and six months ended June 30, 2013, respectively. |
BUSINESS_ACQUISITIONS
BUSINESS ACQUISITIONS | 6 Months Ended |
Jun. 30, 2014 | |
Business Combinations [Abstract] | ' |
BUSINESS ACQUISITIONS | ' |
BUSINESS ACQUISITIONS | |
Effective January 1, 2014, the Company recorded a liability for the contractual purchase of the remaining shares of one variable interest entity. The amount is preliminary and is based on the Company’s best estimate of this obligation, which is subject to contractual adjustments. As a result, the Company recorded a reduction to additional paid in capital for the excess of the purchase price above the carrying value of the noncontrolling interest. The Company anticipates the cash outflow for this purchase to be later in 2014. |
SEGMENT_AND_GEOGRAPHIC_INFORMA
SEGMENT AND GEOGRAPHIC INFORMATION | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
SEGMENT INFORMATION | ' | |||||||||||||||
SEGMENT INFORMATION | ||||||||||||||||
The Company has numerous operating businesses covering a wide range of dental and certain healthcare products and geographic regions, primarily serving the professional dental market. Professional dental products represented approximately 88% of sales in each of the three months ended June 30, 2014 and 2013, respectively, and 88% and 89% of sales for the six months ended June 30, 2014 and 2013, respectively. | ||||||||||||||||
The operating businesses are combined into operating groups, which generally have overlapping product offerings, geographical presence, customer bases, distribution channels, and regulatory oversight. These operating groups are considered the Company’s reportable segments as the Company’s chief operating decision-maker regularly reviews financial results at the operating group level and uses this information to manage the Company’s operations. The accounting policies of the segments are consistent with those described in the Company’s most recently filed Form 10-K in the summary of significant accounting policies. The Company evaluates performance of the segments based on the groups’ net third party sales, excluding precious metal content, and segment income. The Company defines net third party sales excluding precious metal content as the Company’s net sales excluding the precious metal cost within the products sold, and this is considered a non-US GAAP measure. The Company’s exclusion of precious metal content in the measurement of net third party sales enhances comparability of performance between periods as it excludes the fluctuating market prices of the precious metal content. The Company defines segment income as net operating income before restructuring and other costs, interest expense, interest income, other expense (income), net and provision for income taxes. A description of the products and services provided within each of the Company’s three reportable segments is provided below. | ||||||||||||||||
Significant interdependencies exist among the Company’s operations in certain geographic areas. Inter-segment sales are at prices intended to provide a reasonable profit to the manufacturing unit after recovery of all manufacturing costs and to provide a reasonable profit for purchasing locations after coverage of marketing and general and administrative costs. | ||||||||||||||||
During the first quarter of 2014, the Company realigned reporting responsibilities for multiple locations as a result of changes to the management structure. The segment information below reflects the revised structure for all periods shown. | ||||||||||||||||
Dental Consumables and Certain International Businesses | ||||||||||||||||
This segment includes responsibility for the design and manufacture of the Company’s chairside consumable products. It also has responsibilities for sales and distribution of certain small equipment and chairside consumable products in the United States, Germany and certain other European regions as well as responsibility for the sales and distribution of certain endodontic products in Germany and certain other European regions. In addition, this segment has responsibilities for sales and distribution of chairside consumable, endodontic and dental laboratory products in Australia. | ||||||||||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | ||||||||||||||||
This segment includes responsibility for the design, manufacture, sales and distribution of most of the Company’s dental specialty products, including endodontic, orthodontic and implant products, in most regions of the world. In addition, this segment is responsible for the design, manufacture, sales and distribution of most of the Company’s dental laboratory products. This segment is also responsible for the sales and distribution of most of the Company’s other dental products, including most dental consumables, within certain European regions as well as Japan, Canada and Mexico, and the design, manufacture, worldwide distribution and sales of certain non-dental products, excluding urological and surgery-related products. | ||||||||||||||||
Healthcare and Emerging Markets Businesses | ||||||||||||||||
This segment is responsible for the worldwide design, manufacture, sales and distribution of the Company’s healthcare products, primarily urological and surgery-related products, throughout most of the world. This segment also includes the responsibility for the sales and distribution of most of the Company’s dental products, including most dental consumables, sold in Eastern Europe, Middle East, South America, Latin America, Asia (excluding Japan) and Africa. | ||||||||||||||||
The following tables set forth information about the Company’s segments for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Third Party Net Sales | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 183,741 | $ | 170,688 | $ | 357,716 | $ | 334,395 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 442,655 | 458,128 | 875,062 | 906,105 | ||||||||||||
Healthcare and Emerging Markets Businesses | 139,848 | 133,054 | 264,794 | 254,793 | ||||||||||||
All Other (a) | (1,019 | ) | (860 | ) | (2,233 | ) | (2,199 | ) | ||||||||
Total net sales | $ | 765,225 | $ | 761,010 | $ | 1,495,339 | $ | 1,493,094 | ||||||||
(a) Includes amounts recorded at Corporate headquarters. | ||||||||||||||||
Third Party Net Sales, Excluding Precious Metal Content | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 183,638 | $ | 170,596 | $ | 357,552 | $ | 334,205 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 408,631 | 413,386 | 800,312 | 802,302 | ||||||||||||
Healthcare and Emerging Markets Businesses | 139,648 | 132,833 | 264,450 | 254,296 | ||||||||||||
All Other (b) | (1,019 | ) | (860 | ) | (2,233 | ) | (2,199 | ) | ||||||||
Total net sales, excluding precious metal content | 730,898 | 715,955 | 1,420,081 | 1,388,604 | ||||||||||||
Precious metal content of sales | 34,327 | 45,055 | 75,258 | 104,490 | ||||||||||||
Total net sales, including precious metal content | $ | 765,225 | $ | 761,010 | $ | 1,495,339 | $ | 1,493,094 | ||||||||
(b) Includes amounts recorded at Corporate headquarters. | ||||||||||||||||
Inter-segment Net Sales | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 32,209 | $ | 31,372 | $ | 60,810 | $ | 61,602 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 50,487 | 49,472 | 100,718 | 92,437 | ||||||||||||
Healthcare and Emerging Markets Businesses | 2,639 | 3,464 | 5,945 | 6,577 | ||||||||||||
All Other (c) | 62,484 | 60,238 | 123,268 | 117,665 | ||||||||||||
Eliminations | (147,819 | ) | (144,546 | ) | (290,741 | ) | (278,281 | ) | ||||||||
Total | $ | — | $ | — | $ | — | $ | — | ||||||||
(c) Includes amounts recorded at Corporate headquarters and one distribution warehouse not managed by named segments. | ||||||||||||||||
Segment Operating Income (Loss) | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 66,147 | $ | 59,863 | $ | 124,656 | $ | 114,178 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 79,616 | 79,758 | 153,529 | 149,436 | ||||||||||||
Healthcare and Emerging Markets Businesses | 9,959 | 8,623 | 14,683 | 10,089 | ||||||||||||
All Other (d) | (27,374 | ) | (23,209 | ) | (58,157 | ) | (54,145 | ) | ||||||||
Segment operating income | 128,348 | 125,035 | 234,711 | 219,558 | ||||||||||||
Reconciling Items: | ||||||||||||||||
Restructuring and other costs | 1,242 | 2,169 | 2,035 | 2,834 | ||||||||||||
Interest expense | 11,798 | 11,507 | 22,753 | 26,728 | ||||||||||||
Interest income | (1,744 | ) | (2,243 | ) | (3,179 | ) | (4,418 | ) | ||||||||
Other expense (income), net | 575 | 4,223 | 963 | 7,141 | ||||||||||||
Income before income taxes | $ | 116,477 | $ | 109,379 | $ | 212,139 | $ | 187,273 | ||||||||
(d) Includes the results of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. | ||||||||||||||||
Assets | ||||||||||||||||
(in thousands) | June 30, 2014 | December 31, 2013 | ||||||||||||||
Dental Consumable and Certain International Businesses | $ | 706,509 | $ | 683,965 | ||||||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 3,346,528 | 3,364,190 | ||||||||||||||
Healthcare and Emerging Markets Businesses | 932,438 | 925,742 | ||||||||||||||
All Other (e) | 86,898 | 104,150 | ||||||||||||||
Total | $ | 5,072,373 | $ | 5,078,047 | ||||||||||||
(e) Includes the assets of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. |
INVENTORIES
INVENTORIES | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
INVENTORIES | ' | |||||||
INVENTORIES | ||||||||
Inventories are stated at the lower of cost or market. The cost of inventories determined by the last-in, first-out (“LIFO”) method at June 30, 2014 and December 31, 2013 were $7.7 million and $6.5 million, respectively. The cost of other inventories was determined by the first-in, first-out (“FIFO”) or average cost methods. If the FIFO method had been used to determine the cost of LIFO inventories, the amounts at which net inventories are stated would be higher than reported at June 30, 2014 and December 31, 2013 by $6.1 million and $5.9 million, respectively. | ||||||||
The Company establishes reserves for inventory estimated to be obsolete or unmarketable. Assumptions about future demand and market conditions are considered when estimating these reserves. The inventory valuation reserves were $37.4 million and $34.2 million at June 30, 2014 and December 31, 2013, respectively. | ||||||||
Inventories, net of inventory valuation reserves, consist of the following: | ||||||||
(in thousands) | June 30, 2014 | December 31, 2013 | ||||||
Finished goods | $ | 293,776 | $ | 285,271 | ||||
Work-in-process | 75,929 | 67,718 | ||||||
Raw materials and supplies | 91,498 | 85,570 | ||||||
Inventories, net | $ | 461,203 | $ | 438,559 | ||||
BENEFIT_PLANS
BENEFIT PLANS | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | ' | |||||||||||||||
BENEFIT PLANS | ' | |||||||||||||||
BENEFIT PLANS | ||||||||||||||||
The following sets forth the components of net periodic benefit cost of the Company’s defined benefit plans and for the Company’s other postemployment benefit plans for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Defined Benefit Plans | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 3,549 | $ | 3,662 | $ | 7,101 | $ | 7,385 | ||||||||
Interest cost | 2,861 | 2,445 | 5,726 | 4,922 | ||||||||||||
Expected return on plan assets | (1,391 | ) | (1,230 | ) | (2,777 | ) | (2,477 | ) | ||||||||
Amortization of prior service credit | (35 | ) | (33 | ) | (69 | ) | (67 | ) | ||||||||
Amortization of net actuarial loss | 709 | 1,269 | 1,417 | 2,549 | ||||||||||||
Curtailments and settlement gains | — | (235 | ) | — | (625 | ) | ||||||||||
Net periodic benefit cost | $ | 5,693 | $ | 5,878 | $ | 11,398 | $ | 11,687 | ||||||||
Other Postemployment Benefit Plans | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 44 | $ | 61 | $ | 89 | $ | 123 | ||||||||
Interest cost | 140 | 122 | 280 | 243 | ||||||||||||
Amortization of net actuarial loss | 12 | 88 | 22 | 176 | ||||||||||||
Net periodic benefit cost | $ | 196 | $ | 271 | $ | 391 | $ | 542 | ||||||||
The following sets forth the information related to the contributions to the Company’s benefit plans for 2014: | ||||||||||||||||
(in thousands) | Pension | Other | ||||||||||||||
Benefits | Postemployment Benefits | |||||||||||||||
Actual contributions through June 30, 2014 | $ | 6,508 | $ | 121 | ||||||||||||
Projected contributions for the remainder of the year | 6,059 | 381 | ||||||||||||||
Total projected contributions | $ | 12,567 | $ | 502 | ||||||||||||
RESTRUCTURING_AND_OTHER_COSTS
RESTRUCTURING AND OTHER COSTS | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Notes to Financial Statements [Abstract] | ' | |||||||||||||||||||
RESTRUCTURING AND OTHER COSTS | ' | |||||||||||||||||||
RESTRUCTURING AND OTHER COSTS | ||||||||||||||||||||
Restructuring Costs | ||||||||||||||||||||
During the three and six months ended June 30, 2014, the Company recorded net restructuring costs of $1.2 million and $2.0 million, respectively. During the three and six months ended June 30, 2013, the Company recorded net restructuring costs of $2.1 million and $2.8 million, respectively. These costs are recorded in “Restructuring and other costs” in the Consolidated Statements of Operations and the associated liabilities are recorded in “Accrued liabilities” in the Consolidated Balance Sheets. | ||||||||||||||||||||
At June 30, 2014, the Company’s restructuring accruals were as follows: | ||||||||||||||||||||
Severance | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 1,282 | $ | 5,764 | $ | — | $ | 7,046 | ||||||||||||
Provisions | 109 | 243 | 3,210 | 3,562 | ||||||||||||||||
Amounts applied | (601 | ) | (3,270 | ) | (388 | ) | (4,259 | ) | ||||||||||||
Change in estimates | (313 | ) | (770 | ) | (7 | ) | (1,090 | ) | ||||||||||||
Balance at June 30, 2014 | $ | 477 | $ | 1,967 | $ | 2,815 | $ | 5,259 | ||||||||||||
Lease/Contract Terminations | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 748 | $ | 98 | $ | — | $ | 846 | ||||||||||||
Provisions | 11 | 81 | 33 | 125 | ||||||||||||||||
Amounts applied | (64 | ) | (264 | ) | — | (328 | ) | |||||||||||||
Change in estimate | (14 | ) | 96 | — | 82 | |||||||||||||||
Balance at June 30, 2014 | $ | 681 | $ | 11 | $ | 33 | $ | 725 | ||||||||||||
Other Restructuring Costs | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 58 | $ | 658 | $ | — | $ | 716 | ||||||||||||
Provisions | — | — | 4 | 4 | ||||||||||||||||
Amounts applied | (62 | ) | (237 | ) | — | (299 | ) | |||||||||||||
Change in estimate | 20 | (272 | ) | — | (252 | ) | ||||||||||||||
Balance at June 30, 2014 | $ | 16 | $ | 149 | $ | 4 | $ | 169 | ||||||||||||
The following table provides the year-to-date changes in the restructuring accruals by segment: | ||||||||||||||||||||
(in thousands) | December 31, | Provisions | Amounts | Change in Estimates | June 30, 2014 | |||||||||||||||
2013 | Applied | |||||||||||||||||||
Dental Consumable and Certain International Businesses | $ | 656 | $ | 1,483 | $ | (65 | ) | $ | — | $ | 2,074 | |||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 6,333 | 1,510 | (3,609 | ) | (1,195 | ) | 3,039 | |||||||||||||
Healthcare and Emerging Markets Businesses | 1,245 | 698 | (903 | ) | — | 1,040 | ||||||||||||||
All Other | 374 | — | (309 | ) | (65 | ) | — | |||||||||||||
Total | $ | 8,608 | $ | 3,691 | $ | (4,886 | ) | $ | (1,260 | ) | $ | 6,153 | ||||||||
FINANCIAL_INSTRUMENTS_AND_DERI
FINANCIAL INSTRUMENTS AND DERIVATIVES | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Notes to Financial Statements [Abstract] | ' | ||||||||||||||||||||||||
FINANCIAL INSTRUMENTS AND DERIVATIVES | ' | ||||||||||||||||||||||||
FINANCIAL INSTRUMENTS AND DERIVATIVES | |||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | |||||||||||||||||||||||||
The Company’s activities expose it to a variety of market risks, which primarily include the risks related to the effects of changes in foreign currency exchange rates, interest rates and commodity prices. These financial exposures are monitored and managed by the Company as part of its overall risk management program. The objective of this risk management program is to reduce the volatility that these market risks may have on the Company’s operating results and equity. The Company employs derivative financial instruments to hedge certain anticipated transactions, firm commitments, or assets and liabilities denominated in foreign currencies. Additionally, the Company utilizes interest rate swaps to convert variable rate debt to fixed rate debt and to convert fixed rate debt to variable rate debt, cross currency basis swaps to convert debt denominated in one currency to another currency and commodity swaps to fix certain variable raw material costs. | |||||||||||||||||||||||||
Derivative Instruments Designated as Hedging | |||||||||||||||||||||||||
Cash Flow Hedges | |||||||||||||||||||||||||
The following table summarizes the notional amounts of cash flow hedges by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months, with a discussion of the various cash flow hedges by derivative instrument type following the table: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 395,392 | $ | 296,707 | |||||||||||||||||||||
Interest rate swaps | 197,164 | 123,871 | |||||||||||||||||||||||
Commodity contracts | 2,325 | 2,325 | |||||||||||||||||||||||
Total derivative instruments designated as cash flow hedges | $ | 594,881 | $ | 422,903 | |||||||||||||||||||||
Foreign Exchange Risk Management | |||||||||||||||||||||||||
The Company uses a layered hedging program to hedge select anticipated foreign currency cash flows to reduce volatility in both cash flows and reported earnings of the consolidated Company. The Company accounts for the designated foreign exchange forward contracts as cash flow hedges. As a result, the Company records the fair value of the contracts primarily through AOCI based on the tested effectiveness of the foreign exchange forward contracts. The Company measures the effectiveness of cash flow hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be deferred in AOCI and released and recorded on the Consolidated Statements of Operations in the same period that the hedged transaction is recorded. The time value component of the fair value of the derivative is deemed ineffective and is reported currently in “Other expense (income), net” on the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. The Company hedges various currencies, with the most significant activity occurring in euros, Swedish kronor, Canadian dollars, and Swiss francs. | |||||||||||||||||||||||||
These foreign exchange forward contracts generally have maturities up to 18 months and the counterparties to the transactions are typically large international financial institutions. | |||||||||||||||||||||||||
Interest Rate Risk Management | |||||||||||||||||||||||||
The Company uses interest rate swaps to convert a portion of its variable interest rate debt to fixed interest rate debt. At June 30, 2014, the Company has two groups of significant interest rate swaps. One of the groups of swaps has notional amounts totaling 12.6 billion Japanese yen, and effectively converts the underlying variable interest rate to a fixed interest rate of 0.2% for an initial term of three years, ending in September 2014. Another swap has a notional amount of 65.0 million Swiss francs, and effectively converts the underlying variable interest rate to a fixed interest rate of 0.7% for an initial term of five years, ending in September 2016. | |||||||||||||||||||||||||
The Company enters into interest rate swap contracts infrequently as they are only used to manage interest rate risk on long-term debt instruments and not for speculative purposes. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
Commodity Risk Management | |||||||||||||||||||||||||
The Company enters into precious metal commodity swap contracts to effectively fix certain variable raw material costs typically for up to 18 months. These swaps are used to stabilize the cost of components used in the production of certain of the Company’s products. The Company generally accounts for the commodity swaps as cash flow hedges. As a result, the Company records the fair value of the contracts primarily through AOCI based on the tested effectiveness of the commodity swaps. The Company measures the effectiveness of cash flow hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be deferred in AOCI and released and recorded on the Consolidated Statements of Operations in the same period that the hedged transaction is recorded. The time value component of the fair value of the derivative is deemed ineffective and is reported currently in “Interest expense” on the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI in the Consolidated Balance Sheets and income (expense) in the Company’s Consolidated Statements of Operations related to all cash flow hedges for the three months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | (149 | ) | Interest expense | $ | (929 | ) | ||||||||||||||||||
Foreign exchange forward contracts | (4,636 | ) | Cost of products sold | (1,651 | ) | ||||||||||||||||||||
Foreign exchange forward contracts | 45 | SG&A expenses | (58 | ) | |||||||||||||||||||||
Commodity contracts | 101 | Cost of products sold | (158 | ) | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | (151 | ) | |||||||||||||||||||||
Commodity contracts | Interest expense | (11 | ) | ||||||||||||||||||||||
Total in cash flow hedging | $ | (4,639 | ) | $ | (2,796 | ) | $ | (162 | ) | ||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | 401 | Interest expense | $ | (918 | ) | |||||||||||||||||||
Foreign exchange forward contracts | (5,324 | ) | Cost of products sold | 631 | |||||||||||||||||||||
Foreign exchange forward contracts | (97 | ) | SG&A expenses | (10 | ) | ||||||||||||||||||||
Commodity contracts | (1,243 | ) | Cost of products sold | 45 | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | 202 | ||||||||||||||||||||||
Commodity contracts | Interest expense | (27 | ) | ||||||||||||||||||||||
Total for cash flow hedging | $ | (6,263 | ) | $ | (252 | ) | $ | 175 | |||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI in the Consolidated Balance Sheets and income (expense) in the Company’s Consolidated Statements of Operations related to all cash flow hedges for the six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | (537 | ) | Interest expense | $ | (1,856 | ) | ||||||||||||||||||
Foreign exchange forward contracts | (3,569 | ) | Cost of products sold | (3,296 | ) | ||||||||||||||||||||
Foreign exchange forward contracts | 35 | SG&A expenses | (157 | ) | |||||||||||||||||||||
Commodity contracts | 203 | Cost of products sold | (403 | ) | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | (45 | ) | |||||||||||||||||||||
Commodity contracts | Interest expense | (24 | ) | ||||||||||||||||||||||
Total in cash flow hedging | $ | (3,868 | ) | $ | (5,712 | ) | $ | (69 | ) | ||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | 593 | Interest expense | $ | (1,830 | ) | |||||||||||||||||||
Foreign exchange forward contracts | (1,302 | ) | Cost of products sold | 1,129 | |||||||||||||||||||||
Foreign exchange forward contracts | 89 | SG&A expenses | (40 | ) | |||||||||||||||||||||
Commodity contracts | (1,259 | ) | Cost of products sold | 202 | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | 189 | ||||||||||||||||||||||
Commodity contracts | Interest expense | (40 | ) | ||||||||||||||||||||||
Total for cash flow hedging | $ | (1,879 | ) | $ | (539 | ) | $ | 149 | |||||||||||||||||
Overall, the derivatives designated as cash flow hedges are considered to be highly effective. At June 30, 2014, the Company expects to reclassify $7.6 million of deferred net losses on cash flow hedges recorded in AOCI to the Consolidated Statements of Operations during the next 12 months. This reclassification is primarily due to the sale of inventory that includes hedged purchases and recognized interest expense on interest rate swaps. The term over which the Company is hedging exposures to variability of cash flows (for all forecasted transactions, excluding interest payments on variable interest rate debt) is typically 18 months. | |||||||||||||||||||||||||
For the roll forward of derivative instruments designated as cash flow hedges in AOCI see Note 3, Comprehensive Income. | |||||||||||||||||||||||||
Hedges of Net Investments in Foreign Operations | |||||||||||||||||||||||||
The Company has significant investments in foreign subsidiaries the most significant of which are denominated in euros, Swiss francs, Japanese yen and Swedish kronor. The net assets of these subsidiaries are exposed to volatility in currency exchange rates. To hedge a portion of this exposure the Company employs both derivative and non-derivative financial instruments. The derivative instruments consist of foreign exchange forward contracts and cross currency basis swaps. The non-derivative instruments consist of foreign currency denominated debt held at the parent company level. Translation gains and losses related to the net assets of the foreign subsidiaries are offset by gains and losses in derivative and non-derivative financial instruments designated as hedges of net investments, which are included in AOCI. Any cash flows associated with these instruments are included in investing activities on the Consolidated Statements of Cash Flows except for derivative instruments that include an other-than-insignificant financing element, in which case all cash flows will be classified as financing activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following table summarizes the notional amounts of hedges of net investments by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 179,378 | $ | 116,391 | |||||||||||||||||||||
Cross currency basis swaps | 487,681 | 154,479 | |||||||||||||||||||||||
Total derivative instruments designated as net investment hedges | $ | 667,059 | $ | 270,870 | |||||||||||||||||||||
On February 14, 2014, the Company de-designated 449.8 million euros of foreign exchange forward contracts that were previously designated as net investment hedges. The change in the value of the de-designated hedges will be recorded in “Other expense (income), net” on the Consolidated Statements of Operations and will offset the change in the value of non-designated euro denominated cross currency basis swaps as further noted in the section below titled Derivative Instruments Not Designated as Hedges. | |||||||||||||||||||||||||
The fair value of the cross currency basis swaps and foreign exchange forward contracts is the estimated amount the Company would receive or pay at the reporting date, taking into account the effective interest rates, cross currency swap basis rates and foreign exchange rates. The effective portion of the change in the value of these derivatives is recorded in AOCI, net of tax effects. | |||||||||||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI on the Consolidated Balance Sheets and income (expense) on the Company’s Consolidated Statements of Operations related to the hedges of net investments for the three months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | 1,572 | Interest income | $ | 674 | ||||||||||||||||||||
Interest expense | (384 | ) | |||||||||||||||||||||||
Foreign exchange forward contracts | 1,272 | Other expense (income), net | (73 | ) | |||||||||||||||||||||
Total for net investment hedging | $ | 2,844 | $ | 217 | |||||||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | (13,735 | ) | Interest income | $ | 1,270 | |||||||||||||||||||
Interest expense | 1,345 | ||||||||||||||||||||||||
Total for net investment hedging | $ | (13,735 | ) | $ | 2,615 | ||||||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI on the Consolidated Balance Sheets and income (expense) on the Company’s Consolidated Statements of Operations related to the hedges of net investments for the six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | (3,087 | ) | Interest income | $ | 1,351 | |||||||||||||||||||
Interest expense | 157 | ||||||||||||||||||||||||
Foreign exchange forward contracts | 4,341 | Other expense (income), net | 175 | ||||||||||||||||||||||
Total for net investment hedging | $ | 1,254 | $ | 1,683 | |||||||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | 26,150 | Interest income | $ | 2,657 | ||||||||||||||||||||
Interest expense | (257 | ) | |||||||||||||||||||||||
Total for net investment hedging | $ | 26,150 | $ | 2,400 | |||||||||||||||||||||
Fair Value Hedges | |||||||||||||||||||||||||
The Company uses interest rate swaps to convert a portion of its fixed interest rate debt to variable interest rate debt. The Company has a group of U.S. dollar denominated interest rate swaps with an initial total notional value of $150.0 million to effectively convert the underlying fixed interest rate of 4.1% on the Company’s $250.0 million Private Placement Notes (“PPN”) to variable rate for an initial term of five years, ending February 2016. The notional value of the swaps will decline proportionately as portions of the PPN mature. These interest rate swaps are designated as fair value hedges of the interest rate risk associated with the hedged portion of the fixed rate PPN. Accordingly, the Company will carry the portion of the hedged debt at fair value, with the change in debt and swaps offsetting each other on the Consolidated Statements of Operations. Any cash flows associated with these instruments are included in operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following table summarizes the notional amounts of fair value hedges by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Interest rate swaps | $ | 105,000 | $ | 60,000 | |||||||||||||||||||||
The following tables summarize the amount of income (expense) recorded on the Company’s Consolidated Statements of Operations related to the hedges of fair value for the three and six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Income (Expense) Recognized | ||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Interest rate swaps | Interest expense | $ | 133 | $ | (151 | ) | $ | 220 | $ | (89 | ) | ||||||||||||||
Derivative Instruments Not Designated as Hedges | |||||||||||||||||||||||||
The Company enters into derivative instruments to hedge the foreign exchange revaluation risk associated with recorded assets and liabilities that are denominated in a non-functional currency. The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances and are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. The Company primarily uses foreign exchange forward contracts and cross currency basis swaps to hedge these risks. Any cash flows associated with the foreign exchange forward contracts and interest rate swaps not designated as hedges are included in cash from operating activities on the Consolidated Statements of Cash Flows. Any cash flows associated with the cross currency basis swaps not designated as hedges are included in investing activities on the Consolidated Statements of Cash Flows except for derivative instruments that include an other-than-insignificant financing element, in which case the cash flows will be classified as financing activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following tables summarize the aggregate notional amounts of the Company’s economic hedges not designated as hedges by derivative instrument types at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,084,838 | $ | 1,084,838 | |||||||||||||||||||||
Interest rate swaps | 3,709 | 989 | |||||||||||||||||||||||
Cross currency basis swaps | 718,907 | 718,907 | |||||||||||||||||||||||
Total for instruments not designated as hedges | $ | 1,807,454 | $ | 1,804,734 | |||||||||||||||||||||
The Company maintains Swiss franc denominated cross currency basis swaps to offset an intercompany Swiss franc note receivable at a U.S. dollar functional entity. The hedge declines each quarter to coincide with expected repayments of the note. At June 30, 2014, the remaining notional value of the cross currency swaps was 91.4 million Swiss francs. | |||||||||||||||||||||||||
On February 14, 2014, a series of U.S. dollar denominated intercompany note receivables were transferred from a euro functional entity to a U.S. dollar functional entity at which point the underlying foreign currency revaluation risk that was hedged by non-designated cross currency swaps totaling 449.8 million euro was eliminated. As a result, the company de-designated an offsetting amount of 449.8 million euro of net investment hedges. The change in the value of the de-designated net investment hedges will be recorded in “Other expense (income), net” on the Consolidated Statements of Operations and will offset the change in the value of the non-designated euro denominated cross currency swaps until both sets of hedges mature in December 2014. | |||||||||||||||||||||||||
The following table summarizes the amounts of gains (losses) recorded on the Company’s Consolidated Statements of Operations related to the economic hedges not designated as hedging for the three and six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Gain (Loss) Recognized | ||||||||||||||||||||||||
Three Months Ended June 30, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange forward contracts (a) | Other expense (income), net | $ | (716 | ) | $ | 568 | |||||||||||||||||||
DIO equity option contracts | Other expense (income), net | 90 | 45 | ||||||||||||||||||||||
Interest rate swaps | Interest expense | (16 | ) | 11 | |||||||||||||||||||||
Cross currency basis swaps (a) | Other expense (income), net | (4,005 | ) | 24,057 | |||||||||||||||||||||
Total for instruments not designated as hedges | $ | (4,647 | ) | $ | 24,681 | ||||||||||||||||||||
(a) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Gain (Loss) Recognized | ||||||||||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange forward contracts (b) | Other expense (income), net | $ | (5,157 | ) | $ | 3,083 | |||||||||||||||||||
DIO equity option contracts | Other expense (income), net | (138 | ) | 13 | |||||||||||||||||||||
Interest rate swaps | Interest expense | (27 | ) | 21 | |||||||||||||||||||||
Cross currency basis swaps (b) | Other expense (income), net | (3,180 | ) | (1,376 | ) | ||||||||||||||||||||
Total for instruments not designated as hedges | $ | (8,502 | ) | $ | 1,741 | ||||||||||||||||||||
(b) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. | |||||||||||||||||||||||||
Consolidated Balance Sheets Location of Derivative Fair Values | |||||||||||||||||||||||||
The following tables summarize the fair value and consolidated balance sheet location of the Company’s derivatives at June 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
(in thousands) | Prepaid | Other | Accrued | Other | |||||||||||||||||||||
Expenses | Noncurrent | Liabilities | Noncurrent | ||||||||||||||||||||||
and Other | Assets, Net | Liabilities | |||||||||||||||||||||||
Designated as Hedges | Current Assets, Net | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 2,392 | $ | 258 | $ | 7,988 | $ | 928 | |||||||||||||||||
Commodity contracts | 48 | — | 5 | — | |||||||||||||||||||||
Interest rate swaps | 567 | 1,003 | 506 | 555 | |||||||||||||||||||||
Cross currency basis swaps | 560 | — | 6,072 | 15,507 | |||||||||||||||||||||
Total | $ | 3,567 | $ | 1,261 | $ | 14,571 | $ | 16,990 | |||||||||||||||||
Not Designated as Hedges | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,850 | $ | — | $ | 3,107 | $ | — | |||||||||||||||||
DIO equity option contracts | — | — | — | 279 | |||||||||||||||||||||
Interest rate swaps | — | — | 81 | 203 | |||||||||||||||||||||
Cross currency basis swaps | — | — | 38,638 | 1,457 | |||||||||||||||||||||
Total | $ | 1,850 | $ | — | $ | 41,826 | $ | 1,939 | |||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
(in thousands) | Prepaid | Other | Accrued | Other | |||||||||||||||||||||
Expenses | Noncurrent | Liabilities | Noncurrent | ||||||||||||||||||||||
and Other | Assets, Net | Liabilities | |||||||||||||||||||||||
Designated as Hedges | Current Assets, Net | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,517 | $ | 255 | $ | 10,280 | $ | 940 | |||||||||||||||||
Commodity contracts | — | 1 | 434 | 1 | |||||||||||||||||||||
Interest rate swaps | 789 | 1,617 | 466 | 419 | |||||||||||||||||||||
Cross currency basis swaps | 530 | — | 2,223 | 16,413 | |||||||||||||||||||||
Total | $ | 2,836 | $ | 1,873 | $ | 13,403 | $ | 17,773 | |||||||||||||||||
Not Designated as Hedges | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 3,128 | $ | — | $ | 2,328 | $ | — | |||||||||||||||||
DIO equity option contracts | — | — | — | 142 | |||||||||||||||||||||
Interest rate swaps | — | — | 85 | 256 | |||||||||||||||||||||
Cross currency basis swaps | — | — | 38,551 | 1,941 | |||||||||||||||||||||
Total | $ | 3,128 | $ | — | $ | 40,964 | $ | 2,339 | |||||||||||||||||
Balance Sheet Offsetting | |||||||||||||||||||||||||
Substantially all of the Company’s derivative contracts are subject to netting arrangements, whereby the right to offset occurs in the event of default or termination in accordance with the terms of the arrangements with the counterparty. While these contracts contain the enforceable right to offset through netting arrangements with the same counterparty, the Company elects to present them on a gross basis on the Consolidated Balance Sheets. | |||||||||||||||||||||||||
Offsetting of financial assets and liabilities under netting arrangements at June 30, 2014: | |||||||||||||||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 4,500 | $ | — | $ | 4,500 | $ | (3,533 | ) | $ | — | $ | 967 | ||||||||||||
Commodity contracts | 48 | — | 48 | (5 | ) | — | 43 | ||||||||||||||||||
Interest rate swaps | 1,570 | — | 1,570 | (1,188 | ) | — | 382 | ||||||||||||||||||
Cross currency basis swaps | 560 | — | 560 | (560 | ) | — | — | ||||||||||||||||||
Total Assets | $ | 6,678 | $ | — | $ | 6,678 | $ | (5,286 | ) | $ | — | $ | 1,392 | ||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 12,023 | $ | — | $ | 12,023 | $ | (2,123 | ) | $ | — | $ | 9,900 | ||||||||||||
Commodity contracts | 5 | — | 5 | (5 | ) | — | — | ||||||||||||||||||
DIO equity option contracts | 279 | — | 279 | — | — | 279 | |||||||||||||||||||
Interest rate swaps | 1,345 | — | 1,345 | (57 | ) | — | 1,288 | ||||||||||||||||||
Cross currency basis swaps | 61,674 | — | 61,674 | (3,101 | ) | — | 58,573 | ||||||||||||||||||
Total Liabilities | $ | 75,326 | $ | — | $ | 75,326 | $ | (5,286 | ) | $ | — | $ | 70,040 | ||||||||||||
Offsetting of financial assets and liabilities under netting arrangements at December 31, 2013: | |||||||||||||||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 4,900 | $ | — | $ | 4,900 | $ | (4,641 | ) | $ | — | $ | 259 | ||||||||||||
Commodity contracts | 1 | — | 1 | (1 | ) | — | — | ||||||||||||||||||
Interest rate swaps | 2,406 | — | 2,406 | (1,979 | ) | — | 427 | ||||||||||||||||||
Cross currency basis swaps | 530 | — | 530 | (530 | ) | — | — | ||||||||||||||||||
Total Assets | $ | 7,837 | $ | — | $ | 7,837 | $ | (7,151 | ) | $ | — | $ | 686 | ||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 13,548 | $ | — | $ | 13,548 | $ | (3,467 | ) | $ | — | $ | 10,081 | ||||||||||||
Commodity contracts | 435 | — | 435 | (1 | ) | — | 434 | ||||||||||||||||||
DIO equity option contracts | 142 | — | 142 | — | — | 142 | |||||||||||||||||||
Interest rate swaps | 1,226 | — | 1,226 | (62 | ) | — | 1,164 | ||||||||||||||||||
Cross currency basis swaps | 59,128 | — | 59,128 | (3,621 | ) | — | 55,507 | ||||||||||||||||||
Total Liabilities | $ | 74,479 | $ | — | $ | 74,479 | $ | (7,151 | ) | $ | — | $ | 67,328 | ||||||||||||
FAIR_VALUE_MEASUREMENT
FAIR VALUE MEASUREMENT | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
FAIR VALUE MEASUREMENT | ' | |||||||||||||||
FAIR VALUE MEASUREMENT | ||||||||||||||||
The Company records financial instruments at fair value with unrealized gains and losses related to certain financial instruments reflected in AOCI on the Consolidated Balance Sheets. In addition, the Company recognizes certain liabilities at fair value. The Company applies the market approach for recurring fair value measurements. Accordingly, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. | ||||||||||||||||
The fair value of financial instruments is determined by reference to various market data and other valuation techniques as appropriate. The Company believes the carrying amounts of cash and cash equivalents, accounts receivable (net of allowance for doubtful accounts), prepaid expenses and other current assets, accounts payable, accrued liabilities, income taxes payable and notes payable approximate fair value due to the short-term nature of these instruments. The Company estimated the fair value and carrying value of total long-term debt, including the current portion, was $1,338.7 million and $1,299.9 million, respectively, at June 30, 2014. At December 31, 2013, the Company estimated the fair value and carrying value, including the current portion, was $1,387.7 million and $1,370.8 million, respectively. The interest rate on the $450.0 million Senior Notes, the $300.0 million Senior Notes, and the $250.0 million PPN are fixed rates of 4.2%, 2.8% and 4.1%, respectively, and their fair value is based on the interest rates as of June 30, 2014. The interest rates on variable rate term loan debt and commercial paper are consistent with current market conditions, therefore the fair value of these instruments approximates their carrying values. | ||||||||||||||||
The following tables set forth by level within the fair value hierarchy the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis at June 30, 2014 and December 31, 2013, which are classified as “Cash and cash equivalents,” “Prepaid expenses and other current assets, net,” “Other noncurrent assets, net,” “Accrued liabilities,” and “Other noncurrent liabilities” in the Consolidated Balance Sheets. Financial assets and liabilities that are recorded at fair value as of the balance sheet date are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. | ||||||||||||||||
June 30, 2014 | ||||||||||||||||
(in thousands) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets | ||||||||||||||||
Interest rate swaps | $ | 1,570 | $ | — | $ | 1,570 | $ | — | ||||||||
Commodity contracts | 48 | — | 48 | — | ||||||||||||
Cross currency basis swaps | 560 | — | 560 | — | ||||||||||||
Foreign exchange forward contracts | 4,500 | — | 4,500 | — | ||||||||||||
DIO Corporation convertible bonds | 64,323 | — | — | 64,323 | ||||||||||||
Total assets | $ | 71,001 | $ | — | $ | 6,678 | $ | 64,323 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | 1,345 | $ | — | $ | 1,345 | $ | — | ||||||||
Commodity contracts | 5 | — | 5 | — | ||||||||||||
Cross currency basis swaps | 61,674 | — | 61,674 | — | ||||||||||||
Foreign exchange forward contracts | 12,023 | — | 12,023 | — | ||||||||||||
Long term debt | 106,577 | — | 106,577 | — | ||||||||||||
DIO equity option contracts | 279 | — | — | 279 | ||||||||||||
Total liabilities | $ | 181,903 | $ | — | $ | 181,624 | $ | 279 | ||||||||
December 31, 2013 | ||||||||||||||||
(in thousands) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets | ||||||||||||||||
Interest rate swaps | $ | 2,406 | $ | — | $ | 2,406 | $ | — | ||||||||
Commodity contracts | 1 | — | 1 | — | ||||||||||||
Cross currency basis swaps | 530 | — | 530 | — | ||||||||||||
Foreign exchange forward contracts | 4,900 | — | 4,900 | — | ||||||||||||
DIO Corporation convertible bonds | 70,019 | — | — | 70,019 | ||||||||||||
Total assets | $ | 77,856 | $ | — | $ | 7,837 | $ | 70,019 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | 1,226 | $ | — | $ | 1,226 | $ | — | ||||||||
Commodity contracts | 435 | — | 435 | — | ||||||||||||
Cross currency basis swaps | 59,128 | — | 59,128 | — | ||||||||||||
Foreign exchange forward contracts | 13,548 | — | 13,548 | — | ||||||||||||
Long term debt | 152,370 | — | 152,370 | — | ||||||||||||
DIO equity option contracts | 142 | — | — | 142 | ||||||||||||
Total liabilities | $ | 226,849 | $ | — | $ | 226,707 | $ | 142 | ||||||||
Derivative valuations are based on observable inputs to the valuation model including interest rates, foreign currency exchange rates, future commodities prices and credit risks. As discussed in Note 10, Financial Instruments and Derivatives, commodity contracts, certain interest rate swaps and foreign exchange forward contracts are considered cash flow hedges. In addition, certain cross currency basis swaps and foreign exchange forward contracts are considered hedges of net investments in foreign operations. | ||||||||||||||||
The Company uses the income method valuation technique to estimate the fair value of the DIO Corporation convertible bonds. The significant unobservable inputs for valuing the corporate bonds are DIO Corporation’s stock volatility factor of approximately 40% and corporate bond rating which implies approximately a 13% discount rate on the valuation model. Significant observable inputs used to value the corporate bonds include foreign exchange rates and DIO Corporation’s period-ending market stock price. | ||||||||||||||||
The Company has valued the DIO equity option contracts using a Monte Carlo simulation which uses several estimates and probability assumptions by management including the future stock price, the stock price as a multiple of DIO earnings and the probability of the sellers to reduce their shares held by selling into the open market. The fair value of equity option contracts are reported in “Other noncurrent liabilities,” on the Consolidated Balance Sheets and changes in the fair value are reported in “Other expense (income), net” in the Consolidated Statements of Operations. | ||||||||||||||||
The following table presents a reconciliation of the Company’s Level 3 holdings measured at fair value on a recurring basis using unobservable inputs: | ||||||||||||||||
(in thousands) | DIO Corporation | DIO Equity | ||||||||||||||
Convertible | Options | |||||||||||||||
Bonds | Contracts | |||||||||||||||
Balance at December 31, 2013 | $ | 70,019 | $ | (142 | ) | |||||||||||
Unrealized loss: | ||||||||||||||||
Reported in AOCI, pretax | (5,428 | ) | — | |||||||||||||
Unrealized loss: | ||||||||||||||||
Reported in other expense (income), net | — | (138 | ) | |||||||||||||
Effects of exchange rate changes | (268 | ) | 1 | |||||||||||||
Balance at June 30, 2014 | $ | 64,323 | $ | (279 | ) | |||||||||||
For the six months ended June 30, 2014, there were no purchases, issuances or transfers of Level 3 financial instruments. |
INCOME_TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
INCOME TAXES | ' |
INCOME TAXES | |
Uncertainties in Income Taxes | |
The Company recognizes in the interim consolidated financial statements, the impact of a tax position, if that position is more likely than not of being sustained on audit, based on the technical merits of the position. | |
It is reasonably possible that certain amounts of unrecognized tax benefits will significantly increase or decrease within 12 months of the reporting date of the Company’s interim consolidated financial statements. Expiration of statutes of limitation in various jurisdictions during the next 12 months could include unrecognized tax benefits of approximately $1.1 million. | |
Other Tax Matters | |
For the six months ended June 30, 2014, the effective tax rate was unfavorably impacted by the Company’s change in the mix of consolidated earnings. For the six months ended June 30, 2013, the Company recorded a tax benefit of $9.4 million related to U.S. federal legislative changes enacted in January 2013, relating to 2012, and a benefit of $3.1 million related to prior year tax matters. |
FINANCING_ARRANGEMENTS
FINANCING ARRANGEMENTS | 6 Months Ended |
Jun. 30, 2014 | |
Debt Disclosure [Abstract] | ' |
FINANCING ARRANGEMENTS | ' |
NOTE 13 – FINANCING ARRANGEMENTS | |
The Company refinanced the first required payment of $75.0 million under the PPN due February 2016 by issuing commercial paper. The second required payment of $100.0 million due in February 2015 has been classified as current on the Consolidated Balance Sheets. | |
On July 23, 2014, the Company entered into an Amended and Extended Revolving Credit Agreement to replace the 2011 Revolving Credit Agreement dated July 27, 2011, that had provided for a multi-currency revolving credit facility in an aggregate amount of up to $500.0 million through July 27, 2016. The new Credit Agreement provides for a new five year, $500.0 million multi-currency revolving credit facility through July 23, 2019 (the “Facility”) to provide working capital from time to time for the Company and for other general corporate purposes. The Facility is unsecured and contains certain affirmative and negative covenants, which are generally consistent with the prior agreement, relating to the Company’s operations and financial condition, including prescribed leverage and interest coverage ratios. The Facility contains customary events of default. Upon the occurrence of an event of default, all outstanding borrowings under the Credit Agreement may be accelerated and become immediately due and payable. At June 30, 2014, outstanding borrowings, in the form of issued commercial paper, were $62.0 million under the current multi-currency revolving facility. | |
The Company’s revolving credit facility, term loans and PPN contain certain affirmative and negative covenants relating to the Company's operations and financial condition. At June 30, 2014, the Company was in compliance with all debt covenants. | |
At June 30, 2014, the Company had total unused lines of credit, including lines available under its short-term arrangements and revolving credit agreement, of $511.1 million. |
GOODWILL_AND_INTANGIBLE_ASSETS
GOODWILL AND INTANGIBLE ASSETS | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
Notes to Financial Statements [Abstract] | ' | |||||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ' | |||||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ||||||||||||||||||||||||
The Company performed the required annual impairment tests of goodwill as of April 30, 2014 on 15 reporting units. As discussed in Note 6, Segment Information, effective in the first quarter of 2014, the Company realigned reporting responsibilities for multiple locations. For any realignment that resulted in reporting unit changes, the Company applied the relative fair value method to determine the reallocation of goodwill of the associated reporting units. | ||||||||||||||||||||||||
To determine the fair value of the Company’s reporting units, the Company uses a discounted cash flow model with market-based support as its valuation technique to measure the fair value for its reporting units. The discounted cash flow model uses five-year forecasted cash flows plus a terminal value based on a multiple of earnings. In addition, the Company applies gross margin and operating expense assumptions consistent with historical trends. The total cash flows were discounted based on a range between 8.6% to 14.0%, which included assumptions regarding the Company’s weighted-average cost of capital. The Company considered the current market conditions both in the U.S. and globally, when determining its assumptions. Lastly, the Company reconciled the aggregated fair values of its reporting units to its market capitalization, which included a reasonable control premium based on market conditions. As a result of the annual impairment tests of goodwill, no impairment was identified. | ||||||||||||||||||||||||
In addition, the Company assessed the annual impairment of indefinite-lived intangible assets as of April 30, 2014, which largely consists of acquired tradenames, in conjunction with the annual impairment tests of goodwill. The performance of the Company’s annual impairment test did not result in any impairment of the Company’s indefinite-lived assets. | ||||||||||||||||||||||||
A reconciliation of changes in the Company’s goodwill is as follows: | ||||||||||||||||||||||||
(in thousands) | Dental Consumable Businesses and Certain International Businesses | Dental Specialty and Laboratory Businesses and Certain Global Distribution Businesses | Healthcare and Emerging Markets Businesses | Total | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 325,044 | $ | 1,576,126 | $ | 380,426 | $ | 2,281,596 | ||||||||||||||||
Adjustments of provisional amounts on prior acquisitions | — | (240 | ) | — | (240 | ) | ||||||||||||||||||
Effects of exchange rate changes | 533 | (12,696 | ) | 9,605 | (2,558 | ) | ||||||||||||||||||
Balance at June 30, 2014 | $ | 325,577 | $ | 1,563,190 | $ | 390,031 | $ | 2,278,798 | ||||||||||||||||
Identifiable definite-lived and indefinite-lived intangible assets consist of the following: | ||||||||||||||||||||||||
June 30, 2014 | December 31, 2013 | |||||||||||||||||||||||
(in thousands) | Gross | Accumulated | Net | Gross | Accumulated | Net | ||||||||||||||||||
Carrying | Amortization | Carrying | Carrying | Amortization | Carrying | |||||||||||||||||||
Amount | Amount | Amount | Amount | |||||||||||||||||||||
Patents | $ | 181,716 | $ | (95,703 | ) | $ | 86,013 | $ | 181,847 | $ | (91,736 | ) | $ | 90,111 | ||||||||||
Trademarks | 84,739 | (37,998 | ) | 46,741 | 85,922 | (35,994 | ) | 49,928 | ||||||||||||||||
Licensing agreements | 32,130 | (21,910 | ) | 10,220 | 31,950 | (20,992 | ) | 10,958 | ||||||||||||||||
Customer relationships | 499,208 | (98,815 | ) | 400,393 | 497,108 | (82,381 | ) | 414,727 | ||||||||||||||||
Total definite-lived | $ | 797,793 | $ | (254,426 | ) | $ | 543,367 | $ | 796,827 | $ | (231,103 | ) | $ | 565,724 | ||||||||||
Indefinite-lived Trademarks and In-process R&D | $ | 221,738 | $ | — | $ | 221,738 | $ | 229,599 | $ | — | $ | 229,599 | ||||||||||||
Total identifiable intangible assets | $ | 1,019,531 | $ | (254,426 | ) | $ | 765,105 | $ | 1,026,426 | $ | (231,103 | ) | $ | 795,323 | ||||||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
COMMITMENTS AND CONTINGENCIES | |
Litigation | |
On June 18, 2004, Marvin Weinstat, DDS and Richard Nathan, DDS filed a class action suit in San Francisco County, California alleging that the Company misrepresented that its Cavitron® ultrasonic scalers are suitable for use in oral surgical procedures. The Complaint seeks a recall of the product and refund of its purchase price to dentists who have purchased it for use in oral surgery. The Court certified the case as a class action in June 2006 with respect to the breach of warranty and unfair business practices claims. The class that was certified is defined as California dental professionals who, at any time during the period beginning June 18, 2000 through September 14, 2012, purchased and used one or more Cavitron® ultrasonic scalers for the performance of oral surgical procedures on their patients, which Cavitrons® were accompanied by Directions for Use that “Indicated” Cavitron® use for “periodontal debridement for all types of periodontal disease.” The case went to trial in September 2013, and on January 22, 2014, the San Francisco Superior Court issued its decision in the Company’s favor, rejecting all of the plaintiffs’ claims. The plaintiffs have appealed the Superior Court’s decision, and the appeal is now pending. The Company intends to defend against this appeal. | |
On December 12, 2006, a Complaint was filed by Carole Hildebrand, DDS and Robert Jaffin, DDS in the Eastern District of Pennsylvania (the Plaintiffs subsequently added Dr. Mitchell Goldman as a named class representative). The case was filed by the same law firm that filed the Weinstat case in California. The Complaint asserts putative class action claims on behalf of dentists located in New Jersey and Pennsylvania. The Complaint seeks damages and asserts that the Company’s Cavitron® ultrasonic scaler was negligently designed and sold in breach of contract and warranty arising from misrepresentations about the potential uses of the product because it cannot assure the delivery of potable or sterile water. Following grant of a Company Motion and dismissal of the case for lack of jurisdiction, the plaintiffs filed a second complaint under the name of Dr. Hildebrand’s corporate practice, Center City Periodontists, asserting the same allegations (this case is now proceeding under the name “Center City Periodontists”). The plaintiffs moved to have the case certified as a class action, to which the Company has objected and filed its brief. The Court has not yet ruled on class certification. The Court subsequently granted a Motion filed by the Company and dismissed plaintiffs’ New Jersey Consumer Fraud and negligent design claims, leaving only a breach of express warranty claim, in response to which the Company has filed a Motion for Summary Judgment. | |
On January 20, 2014, the Company was served with a qui tam complaint filed by two former and one current employee of the Company under the Federal False Claims Act and equivalent state and city laws. The lawsuit was previously under seal in the U.S. District Court for the Eastern District of Pennsylvania. The complaint alleges, among other things, that the Company engaged in various illegal marketing activities, and thereby caused dental and other healthcare professionals to file false claims for reimbursement with Federal and State governments. The relators seek injunctive relief, fines, treble damages, and attorneys’ fees and costs. On January 27, 2014, the United States filed with the Court a notice that it had elected not to intervene in the qui tam action at this time. The United States’ notice indicated that the named state and city co-plaintiffs had authorized the United States to communicate to the Court that they also had decided not to intervene at this time. These non-intervention decisions do not prevent the qui tam relators from litigating this action, and the United States and/or the named states and/or cities may seek to intervene in the action at a later time. The Company has filed a motion to dismiss the complaint and intends to vigorously defend itself in the litigation. | |
The Company does not believe a loss is probable related to the above litigation. Further a reasonable estimate of a possible range of loss cannot be made. In the event that one or more of these matters is unfavorably resolved, it is possible the Company’s results from operations could be materially impacted. | |
In 2012, the Company received subpoenas from the United States Attorney’s Office for the Southern District of Indiana (the “USAO”) and from the Office of Foreign Assets Control of the United States Department of the Treasury (“OFAC”) requesting documents and information related to compliance with export controls and economic sanctions regulations by certain of its subsidiaries. The Company has voluntarily contacted OFAC and the Bureau of Industry and Security of the United States Department of Commerce (“BIS”), in connection with these matters as well as regarding compliance with export controls and economic sanctions regulations by certain other business units of the Company identified in connection with an internal review by the Company. The Company is cooperating with the USAO, OFAC and BIS with respect to these matters. | |
At this stage of the inquiries, the Company is unable to predict the ultimate outcome of these matters or what impact, if any, the outcome of these matters might have on the Company’s consolidated financial position, results of operations or cash flows. Violations of export control or economic sanctions laws or regulations could result in a range of governmental enforcement actions, including fines or penalties, injunctions and/or criminal or other civil proceedings, which actions could have a material adverse effect on the Company’s reputation, business, financial condition and results of operations. At this time, no claims have been made against the Company. | |
In addition to the matters disclosed above, the Company is, from time to time, subject to a variety of litigation and similar proceedings incidental to its business. These legal matters primarily involve claims for damages arising out of the use of the Company’s products and services and claims relating to intellectual property matters including patent infringement, employment matters, tax matters, commercial disputes, competition and sales and trading practices, personal injury and insurance coverage. The Company may also become subject to lawsuits as a result of past or future acquisitions or as a result of liabilities retained from, or representations, warranties or indemnities provided in connection with, divested businesses. Some of these lawsuits may include claims for punitive and consequential, as well as compensatory damages. Based upon the Company’s experience, current information and applicable law, it does not believe that these proceedings and claims will have a material adverse effect on its consolidated results of operations, financial position or liquidity. However, in the event of unexpected further developments, it is possible that the ultimate resolution of these matters, or other similar matters, if unfavorable, may be materially adverse to the Company’s business, financial condition, results of operations or liquidity. | |
While the Company maintains general, products, property, workers’ compensation, automobile, cargo, aviation, crime, fiduciary and directors’ and officers’ liability insurance up to certain limits that cover certain of these claims, this insurance may be insufficient or unavailable to cover such losses. In addition, while the Company believes it is entitled to indemnification from third parties for some of these claims, these rights may also be insufficient or unavailable to cover such losses. | |
Purchase Commitments | |
From time to time, the Company enters into long-term inventory purchase commitments with minimum purchase requirements for raw materials and finished goods to ensure the availability of products for production and distribution. These commitments may have a significant impact on levels of inventory maintained by the Company. |
SIGNIFICANT_ACCOUNTING_POLICIE1
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Accounts and Notes Receivable-Trade | ' |
Accounts and Notes Receivable | |
The Company sells dental and certain healthcare products through a worldwide network of distributors and directly to end users. For customers on credit terms, the Company performs ongoing credit evaluations of those customers’ financial condition and generally does not require collateral from them. The Company establishes allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments based on historical averages of aged receivable balances and the Company’s experience in collecting those balances, customer specific circumstances, as well as changes in the economic and political environments. The Company records a provision for doubtful accounts, which is included in “Selling, general and administrative expenses” on the Consolidated Statements of Operations. | |
Marketable Security | ' |
Marketable Securities | |
The Company’s marketable securities consist of corporate convertible bonds that are classified as available-for-sale in “Other noncurrent assets, net” on the Consolidated Balance Sheets as the instruments mature in December 2015. The Company determined the appropriate classification at the time of purchase and will re-evaluate such designation as of each balance sheet date. In addition, the Company reviews the securities each quarter for indications of possible impairment. If an impairment is identified, the determination of whether the impairment is temporary or other-than-temporary requires significant judgment. The primary factors that the Company considers in making this judgment include the extent and time the fair value of each investment has been below cost and the existence of a credit loss. If a decline in fair value is judged other-than-temporary, the basis of the securities is written down to fair value and the amount of the write-down is included as a realized loss in the Consolidated Statement of Operations. Changes in fair value are reported in accumulated other comprehensive income (“AOCI”). | |
The convertible element of the bonds has not been bifurcated from the underlying bonds as the element does not contain a net-settlement feature, nor would the Company be able to achieve a hypothetical net-settlement that would substantially place the Company in a comparable cash settlement position. As such, the derivative is not accounted for separately from the bond. The cash paid by the Company was equal to the face value of the bonds issued, and therefore, the Company has not recorded any bond premium or discount on acquiring the bonds. | |
Reclassification, Policy | ' |
Revisions in Classification | |
Certain revisions in classification have been made to prior year’s data in order to conform to current year presentation. | |
New Accounting Pronouncements, Policy | ' |
New Accounting Pronouncements | |
In March 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-05, “Foreign Currency Matters (Topic 830): Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity.” This newly issued accounting standard requires a cumulative translation adjustment (“CTA”) attached to the parent’s investment in a foreign entity should be released in a manner consistent with the derecognition guidance on investment entities. Thus the entire amount of CTA associated with the foreign entity would be released when there has been a sale of a subsidiary or group of net assets within a foreign entity and the sale represents a complete liquidation of the investment in the foreign entity, a loss of a controlling financial interest in an investment in a foreign entity, or step acquisition for a foreign entity. The Company adopted this accounting standard for the quarter ended March 31, 2014. The adoption of this standard did not materially impact the Company’s financial position or results of operations. | |
In July 2013, the FASB issued ASU No. 2013-11, “Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit when a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” The newly issued accounting standard requires the netting of unrecognized tax benefits against a deferred tax asset for a loss or other carryforward that would apply in settlement of the uncertain tax positions. Under the new standard, unrecognized tax benefits will be netted against all available same-jurisdiction losses or other tax carryforwards that would be utilized, rather than only against carryforwards that are created by the unrecognized tax benefit. The Company adopted this accounting standard for the quarter ended March 31, 2014. The adoption of this standard did not materially impact the Company’s financial position or results of operations. | |
Description of New Accounting Pronouncements Not yet Adopted [Text Block] | ' |
In April 2014, the FASB issued ASU No. 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity.” This newly issued accounting standard changes the criteria for determining which disposals can be presented as discontinued operations and modifies related disclosure requirements. This standard will have the impact of reducing the frequency of disposals reported as discontinued operations, by requiring such a disposal to represent a strategic shift that has or will have a major effect on entity’s operations and financial results. Additionally, existing provisions that prohibit an entity from reporting a discontinued operation if it has certain continuing cash flows or involvement with the component after a disposal are eliminated by this standard. The ASU also expands the disclosures for discontinued operations and requires new disclosures related to individually significant disposals that do not qualify as discontinued operations. This standard allows for early adoption and the Company expects to adopt this accounting standard no later than the quarter ended March 31, 2015. The adoption of this standard is not expected to materially impact the Company’s financial position or results of operations. | |
In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606)”. This newly issued accounting standard is intended to improve the reporting of revenue. The Company has not yet determined the impact from adoption of this new accounting pronouncement on the Company’s financial position or results of operations. The Company expects to adopt this accounting standard for the quarter ended March 31, 2017. Early adoption is not permitted. |
STOCK_COMPENSATION_Stock_Compe
STOCK COMPENSATION Stock Compensation (Tables) | 6 Months Ended | |||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | ' | |||||||||||||||||||||
he following table reflects the non-qualified stock option transactions from December 31, 2013 through June 30, 2014: | ||||||||||||||||||||||
Outstanding | Exercisable | |||||||||||||||||||||
(in thousands, except per share data) | Shares | Weighted | Aggregate | Shares | Weighted | Aggregate | ||||||||||||||||
Average | Intrinsic | Average | Intrinsic | |||||||||||||||||||
Exercise | Value | Exercise | Value | |||||||||||||||||||
Price | Price | |||||||||||||||||||||
Balance at December 31, 2013 | 8,295 | $ | 35.04 | $ | 111,450 | 6,225 | $ | 33.67 | $ | 92,200 | ||||||||||||
Granted | 920 | 45.23 | ||||||||||||||||||||
Exercised | (390 | ) | 32.63 | |||||||||||||||||||
Cancelled | (5 | ) | 45.15 | |||||||||||||||||||
Forfeited | (24 | ) | 41.01 | |||||||||||||||||||
Balance at June 30, 2014 | 8,796 | $ | 36.2 | $ | 98,117 | 6,906 | $ | 34.48 | $ | 88,889 | ||||||||||||
Schedule of Stock Based Compensation | ' | |||||||||||||||||||||
The following table represents total stock based compensation expense for non-qualified stock options, restricted stock units (“RSU”) and the tax related benefit for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Stock option expense | $ | 2,829 | $ | 2,876 | $ | 4,503 | $ | 5,005 | ||||||||||||||
RSU expense | 4,366 | 3,337 | 8,085 | 6,269 | ||||||||||||||||||
Total stock based compensation expense | $ | 7,195 | $ | 6,213 | $ | 12,588 | $ | 11,274 | ||||||||||||||
Total related tax benefit | $ | 1,979 | $ | 1,788 | $ | 3,543 | $ | 2,865 | ||||||||||||||
Schedule of Nonvested Share Activity | ' | |||||||||||||||||||||
The following table summarizes the unvested RSU transactions from December 31, 2013 through June 30, 2014: | ||||||||||||||||||||||
(in thousands, except per share data) | Shares | Weighted Average | ||||||||||||||||||||
Grant Date | ||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Balance at December 31, 2013 | 1,131 | $ | 38.81 | |||||||||||||||||||
Granted | 443 | 45.16 | ||||||||||||||||||||
Vested | (272 | ) | 36.69 | |||||||||||||||||||
Forfeited | (97 | ) | 40.88 | |||||||||||||||||||
Balance at June 30, 2014 | 1,205 | $ | 41.45 | |||||||||||||||||||
COMPREHENSIVE_INCOME_Comprehen
COMPREHENSIVE INCOME Comprehensive Income (Tables) | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
COMPREHENSIVE INCOME [Abstract] | ' | |||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||||||
Changes in AOCI, net of tax, by component for the six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||||
(in thousands) | Foreign Currency Translation Adjustments | Gain and (Loss) on Derivative Financial Instruments Designated as Cash Flow Hedges | Gain and (Loss) on Derivative Financial Instruments Designated as Net Investment Hedges | Net Unrealized Holding Gain (Loss) on Available-for-Sale Securities | Pension Liability Adjustments | Total | ||||||||||||||||||
Balance at December 31, 2013 | $ | 140,992 | $ | (21,753 | ) | $ | (151,114 | ) | $ | 12,729 | $ | (49,916 | ) | $ | (69,062 | ) | ||||||||
Other comprehensive income (loss) before reclassifications | (22,942 | ) | (2,717 | ) | 849 | (3,803 | ) | 197 | (28,416 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 4,065 | — | — | 944 | 5,009 | ||||||||||||||||||
Net (decrease) increase in other comprehensive income | (22,942 | ) | 1,348 | 849 | (3,803 | ) | 1,141 | (23,407 | ) | |||||||||||||||
Foreign currency translation related to acquisition of noncontrolling interests | (5,530 | ) | — | — | — | — | (5,530 | ) | ||||||||||||||||
Balance at June 30, 2014 | $ | 112,520 | $ | (20,405 | ) | $ | (150,265 | ) | $ | 8,926 | $ | (48,775 | ) | $ | (97,999 | ) | ||||||||
(in thousands) | Foreign Currency Translation Adjustments | Gain and (Loss) on Derivative Financial Instruments Designated as Cash Flow Hedges | Gain and (Loss) on Derivative Financial Instruments Designated as Net Investment Hedges | Net Unrealized Holding Gain (Loss)on Available-for-Sale Securities | Pension Liability Adjustments | Total | ||||||||||||||||||
Balance at December 31, 2012 | $ | 54,302 | $ | (17,481 | ) | $ | (125,661 | ) | $ | 17,822 | $ | (73,182 | ) | $ | (144,200 | ) | ||||||||
Other comprehensive income (loss) before reclassifications | (88,105 | ) | (1,503 | ) | 16,056 | (8,989 | ) | 1,439 | (81,102 | ) | ||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | 203 | — | — | 1,877 | 2,080 | ||||||||||||||||||
Net (decrease) increase in other comprehensive income | (88,105 | ) | (1,300 | ) | 16,056 | (8,989 | ) | 3,316 | (79,022 | ) | ||||||||||||||
Balance at June 30, 2013 | $ | (33,803 | ) | $ | (18,781 | ) | $ | (109,605 | ) | $ | 8,833 | $ | (69,866 | ) | $ | (223,222 | ) | |||||||
Reclassification out of Accumulated Other Comprehensive Income | ' | |||||||||||||||||||||||
Reclassification out of accumulated other comprehensive income (expense) to the Consolidated Statements of Operations for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Details about AOCI Components | Amounts Reclassified from AOCI | Affected Line Item in the | ||||||||||||||||||||||
Three Months Ended June 30, | Statements of Operations | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Gains and (losses) on derivative financial instruments: | ||||||||||||||||||||||||
Interest rate swaps | $ | (929 | ) | $ | (918 | ) | Interest expense | |||||||||||||||||
Foreign exchange forward contracts | (1,651 | ) | 631 | Cost of products sold | ||||||||||||||||||||
Foreign exchange forward contracts | (58 | ) | (10 | ) | SG&A expenses | |||||||||||||||||||
Commodity contracts | (158 | ) | 45 | Cost of products sold | ||||||||||||||||||||
(2,796 | ) | (252 | ) | Net (loss) gain before tax | ||||||||||||||||||||
819 | 171 | Tax benefit (expense) | ||||||||||||||||||||||
$ | (1,977 | ) | $ | (81 | ) | Net of tax | ||||||||||||||||||
Amortization of defined benefit pension and other postemployment benefit items: | ||||||||||||||||||||||||
Amortization of prior service benefits | $ | 35 | $ | 33 | (a) | |||||||||||||||||||
Amortization of net actuarial losses | (721 | ) | (1,357 | ) | (a) | |||||||||||||||||||
(686 | ) | (1,324 | ) | Net loss before tax | ||||||||||||||||||||
213 | 392 | Tax benefit | ||||||||||||||||||||||
$ | (473 | ) | $ | (932 | ) | Net of tax | ||||||||||||||||||
Total reclassifications for the period | $ | (2,450 | ) | $ | (1,013 | ) | ||||||||||||||||||
(a) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the three months ended June 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||
Details about AOCI Components | Amounts Reclassified from AOCI | Affected Line Item in the | ||||||||||||||||||||||
Six Months Ended June 30, | Statements of Operations | |||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Gains and (losses) on derivative financial instruments: | ||||||||||||||||||||||||
Interest rate swaps | $ | (1,856 | ) | $ | (1,830 | ) | Interest expense | |||||||||||||||||
Foreign exchange forward contracts | (3,296 | ) | 1,129 | Cost of products sold | ||||||||||||||||||||
Foreign exchange forward contracts | (157 | ) | (40 | ) | SG&A expenses | |||||||||||||||||||
Commodity contracts | (403 | ) | 202 | Cost of products sold | ||||||||||||||||||||
(5,712 | ) | (539 | ) | Net (loss) gain before tax | ||||||||||||||||||||
1,647 | 336 | Tax benefit (expense) | ||||||||||||||||||||||
$ | (4,065 | ) | $ | (203 | ) | Net of tax | ||||||||||||||||||
Amortization of defined benefit pension and other postemployment benefit items: | ||||||||||||||||||||||||
Amortization of prior service benefits | $ | 69 | $ | 67 | (b) | |||||||||||||||||||
Amortization of net actuarial losses | (1,439 | ) | (2,725 | ) | (b) | |||||||||||||||||||
(1,370 | ) | (2,658 | ) | Net loss before tax | ||||||||||||||||||||
426 | 781 | Tax benefit | ||||||||||||||||||||||
$ | (944 | ) | $ | (1,877 | ) | Net of tax | ||||||||||||||||||
Total reclassifications for the period | $ | (5,009 | ) | $ | (2,080 | ) | ||||||||||||||||||
(b) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the six months ended June 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). |
EARNINGS_PER_COMMON_SHARE_Tabl
EARNINGS PER COMMON SHARE (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Computation of Basic and Diluted Earnings Per Common Share | ' | |||||||||||||||
The following table sets forth the computation of basic and diluted earnings per common share for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Basic Earnings Per Common Share Computation | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands, except per share amounts) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Net income attributable to DENTSPLY International | $ | 89,993 | $ | 87,228 | $ | 162,871 | $ | 158,913 | ||||||||
Weighted average common shares outstanding | 141,790 | 142,922 | 141,921 | 142,849 | ||||||||||||
Earnings per common share - basic | $ | 0.63 | $ | 0.61 | $ | 1.15 | $ | 1.11 | ||||||||
Diluted Earnings Per Common Share Computation | ||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||
Net income attributable to DENTSPLY International | $ | 89,993 | $ | 87,228 | $ | 162,871 | $ | 158,913 | ||||||||
Weighted average common shares outstanding | 141,790 | 142,922 | 141,921 | 142,849 | ||||||||||||
Incremental weighted average shares from assumed exercise of dilutive options from stock-based compensation awards | 2,374 | 2,211 | 2,367 | 2,258 | ||||||||||||
Total weighted average diluted shares outstanding | 144,164 | 145,133 | 144,288 | 145,107 | ||||||||||||
Earnings per common share - diluted | $ | 0.62 | $ | 0.6 | $ | 1.13 | $ | 1.1 | ||||||||
SEGMENT_AND_GEOGRAPHIC_INFORMA1
SEGMENT AND GEOGRAPHIC INFORMATION (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Net Sales | ' | |||||||||||||||
The following tables set forth information about the Company’s segments for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Third Party Net Sales | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 183,741 | $ | 170,688 | $ | 357,716 | $ | 334,395 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 442,655 | 458,128 | 875,062 | 906,105 | ||||||||||||
Healthcare and Emerging Markets Businesses | 139,848 | 133,054 | 264,794 | 254,793 | ||||||||||||
All Other (a) | (1,019 | ) | (860 | ) | (2,233 | ) | (2,199 | ) | ||||||||
Total net sales | $ | 765,225 | $ | 761,010 | $ | 1,495,339 | $ | 1,493,094 | ||||||||
(a) Includes amounts recorded at Corporate headquarters | ||||||||||||||||
Net Sales, Excluding Precious Metal Content | ' | |||||||||||||||
Third Party Net Sales, Excluding Precious Metal Content | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 183,638 | $ | 170,596 | $ | 357,552 | $ | 334,205 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 408,631 | 413,386 | 800,312 | 802,302 | ||||||||||||
Healthcare and Emerging Markets Businesses | 139,648 | 132,833 | 264,450 | 254,296 | ||||||||||||
All Other (b) | (1,019 | ) | (860 | ) | (2,233 | ) | (2,199 | ) | ||||||||
Total net sales, excluding precious metal content | 730,898 | 715,955 | 1,420,081 | 1,388,604 | ||||||||||||
Precious metal content of sales | 34,327 | 45,055 | 75,258 | 104,490 | ||||||||||||
Total net sales, including precious metal content | $ | 765,225 | $ | 761,010 | $ | 1,495,339 | $ | 1,493,094 | ||||||||
(b) Includes amounts recorded at Corporate headquarters | ||||||||||||||||
Intersegment Net Sales | ' | |||||||||||||||
Inter-segment Net Sales | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 32,209 | $ | 31,372 | $ | 60,810 | $ | 61,602 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 50,487 | 49,472 | 100,718 | 92,437 | ||||||||||||
Healthcare and Emerging Markets Businesses | 2,639 | 3,464 | 5,945 | 6,577 | ||||||||||||
All Other (c) | 62,484 | 60,238 | 123,268 | 117,665 | ||||||||||||
Eliminations | (147,819 | ) | (144,546 | ) | (290,741 | ) | (278,281 | ) | ||||||||
Total | $ | — | $ | — | $ | — | $ | — | ||||||||
(c) Includes amounts recorded at Corporate headquarters and one distribution warehouse not managed by named segments. | ||||||||||||||||
Segment Operating Income | ' | |||||||||||||||
Segment Operating Income (Loss) | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Dental Consumable and Certain International Businesses | $ | 66,147 | $ | 59,863 | $ | 124,656 | $ | 114,178 | ||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 79,616 | 79,758 | 153,529 | 149,436 | ||||||||||||
Healthcare and Emerging Markets Businesses | 9,959 | 8,623 | 14,683 | 10,089 | ||||||||||||
All Other (d) | (27,374 | ) | (23,209 | ) | (58,157 | ) | (54,145 | ) | ||||||||
Segment operating income | 128,348 | 125,035 | 234,711 | 219,558 | ||||||||||||
Reconciling Items: | ||||||||||||||||
Restructuring and other costs | 1,242 | 2,169 | 2,035 | 2,834 | ||||||||||||
Interest expense | 11,798 | 11,507 | 22,753 | 26,728 | ||||||||||||
Interest income | (1,744 | ) | (2,243 | ) | (3,179 | ) | (4,418 | ) | ||||||||
Other expense (income), net | 575 | 4,223 | 963 | 7,141 | ||||||||||||
Income before income taxes | $ | 116,477 | $ | 109,379 | $ | 212,139 | $ | 187,273 | ||||||||
(d) Includes the results of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. | ||||||||||||||||
Assets | ' | |||||||||||||||
(in thousands) | June 30, 2014 | December 31, 2013 | ||||||||||||||
Dental Consumable and Certain International Businesses | $ | 706,509 | $ | 683,965 | ||||||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 3,346,528 | 3,364,190 | ||||||||||||||
Healthcare and Emerging Markets Businesses | 932,438 | 925,742 | ||||||||||||||
All Other (e) | 86,898 | 104,150 | ||||||||||||||
Total | $ | 5,072,373 | $ | 5,078,047 | ||||||||||||
(e) Includes the assets of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. |
INVENTORIES_Tables
INVENTORIES (Tables) | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories, net | ' | |||||||
Inventories, net of inventory valuation reserves, consist of the following: | ||||||||
(in thousands) | June 30, 2014 | December 31, 2013 | ||||||
Finished goods | $ | 293,776 | $ | 285,271 | ||||
Work-in-process | 75,929 | 67,718 | ||||||
Raw materials and supplies | 91,498 | 85,570 | ||||||
Inventories, net | $ | 461,203 | $ | 438,559 | ||||
BENEFIT_PLANS_Tables
BENEFIT PLANS (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract] | ' | |||||||||||||||
Components of Net Periodic Benefit Cost | ' | |||||||||||||||
The following sets forth the components of net periodic benefit cost of the Company’s defined benefit plans and for the Company’s other postemployment benefit plans for the three and six months ended June 30, 2014 and 2013: | ||||||||||||||||
Defined Benefit Plans | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 3,549 | $ | 3,662 | $ | 7,101 | $ | 7,385 | ||||||||
Interest cost | 2,861 | 2,445 | 5,726 | 4,922 | ||||||||||||
Expected return on plan assets | (1,391 | ) | (1,230 | ) | (2,777 | ) | (2,477 | ) | ||||||||
Amortization of prior service credit | (35 | ) | (33 | ) | (69 | ) | (67 | ) | ||||||||
Amortization of net actuarial loss | 709 | 1,269 | 1,417 | 2,549 | ||||||||||||
Curtailments and settlement gains | — | (235 | ) | — | (625 | ) | ||||||||||
Net periodic benefit cost | $ | 5,693 | $ | 5,878 | $ | 11,398 | $ | 11,687 | ||||||||
Other Postemployment Benefit Plans | Three Months Ended | Six Months Ended | ||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Service cost | $ | 44 | $ | 61 | $ | 89 | $ | 123 | ||||||||
Interest cost | 140 | 122 | 280 | 243 | ||||||||||||
Amortization of net actuarial loss | 12 | 88 | 22 | 176 | ||||||||||||
Net periodic benefit cost | $ | 196 | $ | 271 | $ | 391 | $ | 542 | ||||||||
Information Related to the Contributions to the Compnay's Benefit Plans | ' | |||||||||||||||
The following sets forth the information related to the contributions to the Company’s benefit plans for 2014: | ||||||||||||||||
(in thousands) | Pension | Other | ||||||||||||||
Benefits | Postemployment Benefits | |||||||||||||||
Actual contributions through June 30, 2014 | $ | 6,508 | $ | 121 | ||||||||||||
Projected contributions for the remainder of the year | 6,059 | 381 | ||||||||||||||
Total projected contributions | $ | 12,567 | $ | 502 | ||||||||||||
RESTRUCTURING_AND_OTHER_COSTS_
RESTRUCTURING AND OTHER COSTS (Tables) | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Notes to Financial Statements [Abstract] | ' | |||||||||||||||||||
Restructuring Accruals | ' | |||||||||||||||||||
At June 30, 2014, the Company’s restructuring accruals were as follows: | ||||||||||||||||||||
Severance | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 1,282 | $ | 5,764 | $ | — | $ | 7,046 | ||||||||||||
Provisions | 109 | 243 | 3,210 | 3,562 | ||||||||||||||||
Amounts applied | (601 | ) | (3,270 | ) | (388 | ) | (4,259 | ) | ||||||||||||
Change in estimates | (313 | ) | (770 | ) | (7 | ) | (1,090 | ) | ||||||||||||
Balance at June 30, 2014 | $ | 477 | $ | 1,967 | $ | 2,815 | $ | 5,259 | ||||||||||||
Lease/Contract Terminations | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 748 | $ | 98 | $ | — | $ | 846 | ||||||||||||
Provisions | 11 | 81 | 33 | 125 | ||||||||||||||||
Amounts applied | (64 | ) | (264 | ) | — | (328 | ) | |||||||||||||
Change in estimate | (14 | ) | 96 | — | 82 | |||||||||||||||
Balance at June 30, 2014 | $ | 681 | $ | 11 | $ | 33 | $ | 725 | ||||||||||||
Other Restructuring Costs | ||||||||||||||||||||
(in thousands) | 2012 and | 2013 Plans | 2014 Plans | Total | ||||||||||||||||
Prior Plans | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 58 | $ | 658 | $ | — | $ | 716 | ||||||||||||
Provisions | — | — | 4 | 4 | ||||||||||||||||
Amounts applied | (62 | ) | (237 | ) | — | (299 | ) | |||||||||||||
Change in estimate | 20 | (272 | ) | — | (252 | ) | ||||||||||||||
Balance at June 30, 2014 | $ | 16 | $ | 149 | $ | 4 | $ | 169 | ||||||||||||
Cumulative Amounts for the Provisions and Adjustments and Amounts Applied for All the Plans by Segment | ' | |||||||||||||||||||
The following table provides the year-to-date changes in the restructuring accruals by segment: | ||||||||||||||||||||
(in thousands) | December 31, | Provisions | Amounts | Change in Estimates | June 30, 2014 | |||||||||||||||
2013 | Applied | |||||||||||||||||||
Dental Consumable and Certain International Businesses | $ | 656 | $ | 1,483 | $ | (65 | ) | $ | — | $ | 2,074 | |||||||||
Dental Specialty and Laboratory and Certain Global Distribution Businesses | 6,333 | 1,510 | (3,609 | ) | (1,195 | ) | 3,039 | |||||||||||||
Healthcare and Emerging Markets Businesses | 1,245 | 698 | (903 | ) | — | 1,040 | ||||||||||||||
All Other | 374 | — | (309 | ) | (65 | ) | — | |||||||||||||
Total | $ | 8,608 | $ | 3,691 | $ | (4,886 | ) | $ | (1,260 | ) | $ | 6,153 | ||||||||
FINANCIAL_INSTRUMENTS_AND_DERI1
FINANCIAL INSTRUMENTS AND DERIVATIVES (Tables) | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | ' | ||||||||||||||||||||||||
The Company enters into derivative instruments to hedge the foreign exchange revaluation risk associated with recorded assets and liabilities that are denominated in a non-functional currency. The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances and are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. The Company primarily uses foreign exchange forward contracts and cross currency basis swaps to hedge these risks. Any cash flows associated with the foreign exchange forward contracts and interest rate swaps not designated as hedges are included in cash from operating activities on the Consolidated Statements of Cash Flows. Any cash flows associated with the cross currency basis swaps not designated as hedges are included in investing activities on the Consolidated Statements of Cash Flows except for derivative instruments that include an other-than-insignificant financing element, in which case the cash flows will be classified as financing activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following tables summarize the aggregate notional amounts of the Company’s economic hedges not designated as hedges by derivative instrument types at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,084,838 | $ | 1,084,838 | |||||||||||||||||||||
Interest rate swaps | 3,709 | 989 | |||||||||||||||||||||||
Cross currency basis swaps | 718,907 | 718,907 | |||||||||||||||||||||||
Total for instruments not designated as hedges | $ | 1,807,454 | $ | 1,804,734 | |||||||||||||||||||||
The Company maintains Swiss franc denominated cross currency basis swaps to offset an intercompany Swiss franc note receivable at a U.S. dollar functional entity. The hedge declines each quarter to coincide with expected repayments of the note. At June 30, 2014, the remaining notional value of the cross currency swaps was 91.4 million Swiss francs. | |||||||||||||||||||||||||
On February 14, 2014, a series of U.S. dollar denominated intercompany note receivables were transferred from a euro functional entity to a U.S. dollar functional entity at which point the underlying foreign currency revaluation risk that was hedged by non-designated cross currency swaps totaling 449.8 million euro was eliminated. As a result, the company de-designated an offsetting amount of 449.8 million euro of net investment hedges. The change in the value of the de-designated net investment hedges will be recorded in “Other expense (income), net” on the Consolidated Statements of Operations and will offset the change in the value of the non-designated euro denominated cross currency swaps until both sets of hedges mature in December 2014. | |||||||||||||||||||||||||
The following table summarizes the amounts of gains (losses) recorded on the Company’s Consolidated Statements of Operations related to the economic hedges not designated as hedging for the three and six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Gain (Loss) Recognized | ||||||||||||||||||||||||
Three Months Ended June 30, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange forward contracts (a) | Other expense (income), net | $ | (716 | ) | $ | 568 | |||||||||||||||||||
DIO equity option contracts | Other expense (income), net | 90 | 45 | ||||||||||||||||||||||
Interest rate swaps | Interest expense | (16 | ) | 11 | |||||||||||||||||||||
Cross currency basis swaps (a) | Other expense (income), net | (4,005 | ) | 24,057 | |||||||||||||||||||||
Total for instruments not designated as hedges | $ | (4,647 | ) | $ | 24,681 | ||||||||||||||||||||
(a) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Gain (Loss) Recognized | ||||||||||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | |||||||||||||||||||||||
Foreign exchange forward contracts (b) | Other expense (income), net | $ | (5,157 | ) | $ | 3,083 | |||||||||||||||||||
DIO equity option contracts | Other expense (income), net | (138 | ) | 13 | |||||||||||||||||||||
Interest rate swaps | Interest expense | (27 | ) | 21 | |||||||||||||||||||||
Cross currency basis swaps (b) | Other expense (income), net | (3,180 | ) | (1,376 | ) | ||||||||||||||||||||
Total for instruments not designated as hedges | $ | (8,502 | ) | $ | 1,741 | ||||||||||||||||||||
(b) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in “Other expense (income), net” on the Consolidated Statements of Operations. | |||||||||||||||||||||||||
Fair Value and Consolidated Balance Sheet Location of the Company's Derivatives | ' | ||||||||||||||||||||||||
The following tables summarize the fair value and consolidated balance sheet location of the Company’s derivatives at June 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
(in thousands) | Prepaid | Other | Accrued | Other | |||||||||||||||||||||
Expenses | Noncurrent | Liabilities | Noncurrent | ||||||||||||||||||||||
and Other | Assets, Net | Liabilities | |||||||||||||||||||||||
Designated as Hedges | Current Assets, Net | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 2,392 | $ | 258 | $ | 7,988 | $ | 928 | |||||||||||||||||
Commodity contracts | 48 | — | 5 | — | |||||||||||||||||||||
Interest rate swaps | 567 | 1,003 | 506 | 555 | |||||||||||||||||||||
Cross currency basis swaps | 560 | — | 6,072 | 15,507 | |||||||||||||||||||||
Total | $ | 3,567 | $ | 1,261 | $ | 14,571 | $ | 16,990 | |||||||||||||||||
Not Designated as Hedges | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,850 | $ | — | $ | 3,107 | $ | — | |||||||||||||||||
DIO equity option contracts | — | — | — | 279 | |||||||||||||||||||||
Interest rate swaps | — | — | 81 | 203 | |||||||||||||||||||||
Cross currency basis swaps | — | — | 38,638 | 1,457 | |||||||||||||||||||||
Total | $ | 1,850 | $ | — | $ | 41,826 | $ | 1,939 | |||||||||||||||||
December 31, 2013 | |||||||||||||||||||||||||
(in thousands) | Prepaid | Other | Accrued | Other | |||||||||||||||||||||
Expenses | Noncurrent | Liabilities | Noncurrent | ||||||||||||||||||||||
and Other | Assets, Net | Liabilities | |||||||||||||||||||||||
Designated as Hedges | Current Assets, Net | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 1,517 | $ | 255 | $ | 10,280 | $ | 940 | |||||||||||||||||
Commodity contracts | — | 1 | 434 | 1 | |||||||||||||||||||||
Interest rate swaps | 789 | 1,617 | 466 | 419 | |||||||||||||||||||||
Cross currency basis swaps | 530 | — | 2,223 | 16,413 | |||||||||||||||||||||
Total | $ | 2,836 | $ | 1,873 | $ | 13,403 | $ | 17,773 | |||||||||||||||||
Not Designated as Hedges | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 3,128 | $ | — | $ | 2,328 | $ | — | |||||||||||||||||
DIO equity option contracts | — | — | — | 142 | |||||||||||||||||||||
Interest rate swaps | — | — | 85 | 256 | |||||||||||||||||||||
Cross currency basis swaps | — | — | 38,551 | 1,941 | |||||||||||||||||||||
Total | $ | 3,128 | $ | — | $ | 40,964 | $ | 2,339 | |||||||||||||||||
Offsetting Derivative Assets and Liabilities [Table Text Block] | ' | ||||||||||||||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 4,500 | $ | — | $ | 4,500 | $ | (3,533 | ) | $ | — | $ | 967 | ||||||||||||
Commodity contracts | 48 | — | 48 | (5 | ) | — | 43 | ||||||||||||||||||
Interest rate swaps | 1,570 | — | 1,570 | (1,188 | ) | — | 382 | ||||||||||||||||||
Cross currency basis swaps | 560 | — | 560 | (560 | ) | — | — | ||||||||||||||||||
Total Assets | $ | 6,678 | $ | — | $ | 6,678 | $ | (5,286 | ) | $ | — | $ | 1,392 | ||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 12,023 | $ | — | $ | 12,023 | $ | (2,123 | ) | $ | — | $ | 9,900 | ||||||||||||
Commodity contracts | 5 | — | 5 | (5 | ) | — | — | ||||||||||||||||||
DIO equity option contracts | 279 | — | 279 | — | — | 279 | |||||||||||||||||||
Interest rate swaps | 1,345 | — | 1,345 | (57 | ) | — | 1,288 | ||||||||||||||||||
Cross currency basis swaps | 61,674 | — | 61,674 | (3,101 | ) | — | 58,573 | ||||||||||||||||||
Total Liabilities | $ | 75,326 | $ | — | $ | 75,326 | $ | (5,286 | ) | $ | — | $ | 70,040 | ||||||||||||
Offsetting of financial assets and liabilities under netting arrangements at December 31, 2013: | |||||||||||||||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Assets | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 4,900 | $ | — | $ | 4,900 | $ | (4,641 | ) | $ | — | $ | 259 | ||||||||||||
Commodity contracts | 1 | — | 1 | (1 | ) | — | — | ||||||||||||||||||
Interest rate swaps | 2,406 | — | 2,406 | (1,979 | ) | — | 427 | ||||||||||||||||||
Cross currency basis swaps | 530 | — | 530 | (530 | ) | — | — | ||||||||||||||||||
Total Assets | $ | 7,837 | $ | — | $ | 7,837 | $ | (7,151 | ) | $ | — | $ | 686 | ||||||||||||
Gross Amounts Not Offset in the Consolidated Balance Sheets | |||||||||||||||||||||||||
(in thousands) | Gross Amounts Recognized | Gross Amount Offset in the Consolidated Balance Sheets | Net Amounts Presented in the Consolidated Balance Sheets | Financial Instruments | Cash Collateral Received/Pledged | Net Amount | |||||||||||||||||||
Liabilities | |||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 13,548 | $ | — | $ | 13,548 | $ | (3,467 | ) | $ | — | $ | 10,081 | ||||||||||||
Commodity contracts | 435 | — | 435 | (1 | ) | — | 434 | ||||||||||||||||||
DIO equity option contracts | 142 | — | 142 | — | — | 142 | |||||||||||||||||||
Interest rate swaps | 1,226 | — | 1,226 | (62 | ) | — | 1,164 | ||||||||||||||||||
Cross currency basis swaps | 59,128 | — | 59,128 | (3,621 | ) | — | 55,507 | ||||||||||||||||||
Total Liabilities | $ | 74,479 | $ | — | $ | 74,479 | $ | (7,151 | ) | $ | — | $ | 67,328 | ||||||||||||
Cash Flow Hedging | ' | ||||||||||||||||||||||||
Summary of Notional Amounts and Fair Value of the Company's Hedges | ' | ||||||||||||||||||||||||
The following table summarizes the notional amounts of cash flow hedges by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months, with a discussion of the various cash flow hedges by derivative instrument type following the table: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 395,392 | $ | 296,707 | |||||||||||||||||||||
Interest rate swaps | 197,164 | 123,871 | |||||||||||||||||||||||
Commodity contracts | 2,325 | 2,325 | |||||||||||||||||||||||
Total derivative instruments designated as cash flow hedges | $ | 594,881 | $ | 422,903 | |||||||||||||||||||||
Foreign Exchange Risk Management | |||||||||||||||||||||||||
The Company uses a layered hedging program to hedge select anticipated foreign currency cash flows to reduce volatility in both cash flows and reported earnings of the consolidated Company. The Company accounts for the designated foreign exchange forward contracts as cash flow hedges. As a result, the Company records the fair value of the contracts primarily through AOCI based on the tested effectiveness of the foreign exchange forward contracts. The Company measures the effectiveness of cash flow hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be deferred in AOCI and released and recorded on the Consolidated Statements of Operations in the same period that the hedged transaction is recorded. The time value component of the fair value of the derivative is deemed ineffective and is reported currently in “Other expense (income), net” on the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. The Company hedges various currencies, with the most significant activity occurring in euros, Swedish kronor, Canadian dollars, and Swiss francs. | |||||||||||||||||||||||||
These foreign exchange forward contracts generally have maturities up to 18 months and the counterparties to the transactions are typically large international financial institutions. | |||||||||||||||||||||||||
Interest Rate Risk Management | |||||||||||||||||||||||||
The Company uses interest rate swaps to convert a portion of its variable interest rate debt to fixed interest rate debt. At June 30, 2014, the Company has two groups of significant interest rate swaps. One of the groups of swaps has notional amounts totaling 12.6 billion Japanese yen, and effectively converts the underlying variable interest rate to a fixed interest rate of 0.2% for an initial term of three years, ending in September 2014. Another swap has a notional amount of 65.0 million Swiss francs, and effectively converts the underlying variable interest rate to a fixed interest rate of 0.7% for an initial term of five years, ending in September 2016. | |||||||||||||||||||||||||
The Company enters into interest rate swap contracts infrequently as they are only used to manage interest rate risk on long-term debt instruments and not for speculative purposes. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
Commodity Risk Management | |||||||||||||||||||||||||
The Company enters into precious metal commodity swap contracts to effectively fix certain variable raw material costs typically for up to 18 months. These swaps are used to stabilize the cost of components used in the production of certain of the Company’s products. The Company generally accounts for the commodity swaps as cash flow hedges. As a result, the Company records the fair value of the contracts primarily through AOCI based on the tested effectiveness of the commodity swaps. The Company measures the effectiveness of cash flow hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be deferred in AOCI and released and recorded on the Consolidated Statements of Operations in the same period that the hedged transaction is recorded. The time value component of the fair value of the derivative is deemed ineffective and is reported currently in “Interest expense” on the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in cash from operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI in the Consolidated Balance Sheets and income (expense) in the Company’s Consolidated Statements of Operations related to all cash flow hedges for the three months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | (149 | ) | Interest expense | $ | (929 | ) | ||||||||||||||||||
Foreign exchange forward contracts | (4,636 | ) | Cost of products sold | (1,651 | ) | ||||||||||||||||||||
Foreign exchange forward contracts | 45 | SG&A expenses | (58 | ) | |||||||||||||||||||||
Commodity contracts | 101 | Cost of products sold | (158 | ) | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | (151 | ) | |||||||||||||||||||||
Commodity contracts | Interest expense | (11 | ) | ||||||||||||||||||||||
Total in cash flow hedging | $ | (4,639 | ) | $ | (2,796 | ) | $ | (162 | ) | ||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | 401 | Interest expense | $ | (918 | ) | |||||||||||||||||||
Foreign exchange forward contracts | (5,324 | ) | Cost of products sold | 631 | |||||||||||||||||||||
Foreign exchange forward contracts | (97 | ) | SG&A expenses | (10 | ) | ||||||||||||||||||||
Commodity contracts | (1,243 | ) | Cost of products sold | 45 | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | 202 | ||||||||||||||||||||||
Commodity contracts | Interest expense | (27 | ) | ||||||||||||||||||||||
Total for cash flow hedging | $ | (6,263 | ) | $ | (252 | ) | $ | 175 | |||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI in the Consolidated Balance Sheets and income (expense) in the Company’s Consolidated Statements of Operations related to all cash flow hedges for the six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | (537 | ) | Interest expense | $ | (1,856 | ) | ||||||||||||||||||
Foreign exchange forward contracts | (3,569 | ) | Cost of products sold | (3,296 | ) | ||||||||||||||||||||
Foreign exchange forward contracts | 35 | SG&A expenses | (157 | ) | |||||||||||||||||||||
Commodity contracts | 203 | Cost of products sold | (403 | ) | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | (45 | ) | |||||||||||||||||||||
Commodity contracts | Interest expense | (24 | ) | ||||||||||||||||||||||
Total in cash flow hedging | $ | (3,868 | ) | $ | (5,712 | ) | $ | (69 | ) | ||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Effective Portion Reclassified from AOCI into Income (Expense) | Ineffective Portion Recognized in Income (Expense) | ||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Interest rate swaps | $ | 593 | Interest expense | $ | (1,830 | ) | |||||||||||||||||||
Foreign exchange forward contracts | (1,302 | ) | Cost of products sold | 1,129 | |||||||||||||||||||||
Foreign exchange forward contracts | 89 | SG&A expenses | (40 | ) | |||||||||||||||||||||
Commodity contracts | (1,259 | ) | Cost of products sold | 202 | |||||||||||||||||||||
Ineffective Portion: | |||||||||||||||||||||||||
Foreign exchange forward contracts | Other expense (income), net | $ | 189 | ||||||||||||||||||||||
Commodity contracts | Interest expense | (40 | ) | ||||||||||||||||||||||
Total for cash flow hedging | $ | (1,879 | ) | $ | (539 | ) | $ | 149 | |||||||||||||||||
Overall, the derivatives designated as cash flow hedges are considered to be highly effective. At June 30, 2014, the Company expects to reclassify $7.6 million of deferred net losses on cash flow hedges recorded in AOCI to the Consolidated Statements of Operations during the next 12 months. This reclassification is primarily due to the sale of inventory that includes hedged purchases and recognized interest expense on interest rate swaps. The term over which the Company is hedging exposures to variability of cash flows (for all forecasted transactions, excluding interest payments on variable interest rate debt) is typically 18 months. | |||||||||||||||||||||||||
For the roll forward of derivative instruments designated as cash flow hedges in AOCI see Note 3, Comprehensive Income. | |||||||||||||||||||||||||
Net Investment Hedging [Member] | ' | ||||||||||||||||||||||||
Summary of Notional Amounts and Fair Value of the Company's Hedges | ' | ||||||||||||||||||||||||
The Company has significant investments in foreign subsidiaries the most significant of which are denominated in euros, Swiss francs, Japanese yen and Swedish kronor. The net assets of these subsidiaries are exposed to volatility in currency exchange rates. To hedge a portion of this exposure the Company employs both derivative and non-derivative financial instruments. The derivative instruments consist of foreign exchange forward contracts and cross currency basis swaps. The non-derivative instruments consist of foreign currency denominated debt held at the parent company level. Translation gains and losses related to the net assets of the foreign subsidiaries are offset by gains and losses in derivative and non-derivative financial instruments designated as hedges of net investments, which are included in AOCI. Any cash flows associated with these instruments are included in investing activities on the Consolidated Statements of Cash Flows except for derivative instruments that include an other-than-insignificant financing element, in which case all cash flows will be classified as financing activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following table summarizes the notional amounts of hedges of net investments by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Foreign exchange forward contracts | $ | 179,378 | $ | 116,391 | |||||||||||||||||||||
Cross currency basis swaps | 487,681 | 154,479 | |||||||||||||||||||||||
Total derivative instruments designated as net investment hedges | $ | 667,059 | $ | 270,870 | |||||||||||||||||||||
On February 14, 2014, the Company de-designated 449.8 million euros of foreign exchange forward contracts that were previously designated as net investment hedges. The change in the value of the de-designated hedges will be recorded in “Other expense (income), net” on the Consolidated Statements of Operations and will offset the change in the value of non-designated euro denominated cross currency basis swaps as further noted in the section below titled Derivative Instruments Not Designated as Hedges. | |||||||||||||||||||||||||
The fair value of the cross currency basis swaps and foreign exchange forward contracts is the estimated amount the Company would receive or pay at the reporting date, taking into account the effective interest rates, cross currency swap basis rates and foreign exchange rates. The effective portion of the change in the value of these derivatives is recorded in AOCI, net of tax effects. | |||||||||||||||||||||||||
The following tables summarize the amount of gains (losses) recorded in AOCI on the Consolidated Balance Sheets and income (expense) on the Company’s Consolidated Statements of Operations related to the hedges of net investments for the three months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
June 30, 2014 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | 1,572 | Interest income | $ | 674 | ||||||||||||||||||||
Interest expense | (384 | ) | |||||||||||||||||||||||
Foreign exchange forward contracts | 1,272 | Other expense (income), net | (73 | ) | |||||||||||||||||||||
Total for net investment hedging | $ | 2,844 | $ | 217 | |||||||||||||||||||||
June 30, 2013 | |||||||||||||||||||||||||
Gain (Loss) in AOCI | Consolidated Statements of Operations Location | Recognized in Income (Expense) | |||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||
Effective Portion: | |||||||||||||||||||||||||
Cross currency basis swaps | $ | (13,735 | ) | Interest income | $ | 1,270 | |||||||||||||||||||
Interest expense | 1,345 | ||||||||||||||||||||||||
Total for net investment hedging | $ | (13,735 | ) | $ | 2,615 | ||||||||||||||||||||
Fair Value Hedging | ' | ||||||||||||||||||||||||
Summary of Notional Amounts and Fair Value of the Company's Hedges | ' | ||||||||||||||||||||||||
The Company uses interest rate swaps to convert a portion of its fixed interest rate debt to variable interest rate debt. The Company has a group of U.S. dollar denominated interest rate swaps with an initial total notional value of $150.0 million to effectively convert the underlying fixed interest rate of 4.1% on the Company’s $250.0 million Private Placement Notes (“PPN”) to variable rate for an initial term of five years, ending February 2016. The notional value of the swaps will decline proportionately as portions of the PPN mature. These interest rate swaps are designated as fair value hedges of the interest rate risk associated with the hedged portion of the fixed rate PPN. Accordingly, the Company will carry the portion of the hedged debt at fair value, with the change in debt and swaps offsetting each other on the Consolidated Statements of Operations. Any cash flows associated with these instruments are included in operating activities on the Consolidated Statements of Cash Flows. | |||||||||||||||||||||||||
The following table summarizes the notional amounts of fair value hedges by derivative instrument type at June 30, 2014 and the notional amounts expected to mature during the next 12 months: | |||||||||||||||||||||||||
Aggregate | Aggregate Notional Amount Maturing within 12 Months | ||||||||||||||||||||||||
Notional | |||||||||||||||||||||||||
(in thousands) | Amount | ||||||||||||||||||||||||
Interest rate swaps | $ | 105,000 | $ | 60,000 | |||||||||||||||||||||
The following tables summarize the amount of income (expense) recorded on the Company’s Consolidated Statements of Operations related to the hedges of fair value for the three and six months ended June 30, 2014 and 2013: | |||||||||||||||||||||||||
Consolidated Statements of Operations Location | Income (Expense) Recognized | ||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||
Interest rate swaps | Interest expense | $ | 133 | $ | (151 | ) | $ | 220 | $ | (89 | ) | ||||||||||||||
FAIR_VALUE_MEASUREMENT_Tables
FAIR VALUE MEASUREMENT (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Financial Assets and Liabilities that are Recorded at Fair Value and Classified Based on the Lowest Level of Input | ' | |||||||||||||||
The following tables set forth by level within the fair value hierarchy the Company’s financial assets and liabilities that were accounted for at fair value on a recurring basis at June 30, 2014 and December 31, 2013, which are classified as “Cash and cash equivalents,” “Prepaid expenses and other current assets, net,” “Other noncurrent assets, net,” “Accrued liabilities,” and “Other noncurrent liabilities” in the Consolidated Balance Sheets. Financial assets and liabilities that are recorded at fair value as of the balance sheet date are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. | ||||||||||||||||
June 30, 2014 | ||||||||||||||||
(in thousands) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets | ||||||||||||||||
Interest rate swaps | $ | 1,570 | $ | — | $ | 1,570 | $ | — | ||||||||
Commodity contracts | 48 | — | 48 | — | ||||||||||||
Cross currency basis swaps | 560 | — | 560 | — | ||||||||||||
Foreign exchange forward contracts | 4,500 | — | 4,500 | — | ||||||||||||
DIO Corporation convertible bonds | 64,323 | — | — | 64,323 | ||||||||||||
Total assets | $ | 71,001 | $ | — | $ | 6,678 | $ | 64,323 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | 1,345 | $ | — | $ | 1,345 | $ | — | ||||||||
Commodity contracts | 5 | — | 5 | — | ||||||||||||
Cross currency basis swaps | 61,674 | — | 61,674 | — | ||||||||||||
Foreign exchange forward contracts | 12,023 | — | 12,023 | — | ||||||||||||
Long term debt | 106,577 | — | 106,577 | — | ||||||||||||
DIO equity option contracts | 279 | — | — | 279 | ||||||||||||
Total liabilities | $ | 181,903 | $ | — | $ | 181,624 | $ | 279 | ||||||||
December 31, 2013 | ||||||||||||||||
(in thousands) | Total | Level 1 | Level 2 | Level 3 | ||||||||||||
Assets | ||||||||||||||||
Interest rate swaps | $ | 2,406 | $ | — | $ | 2,406 | $ | — | ||||||||
Commodity contracts | 1 | — | 1 | — | ||||||||||||
Cross currency basis swaps | 530 | — | 530 | — | ||||||||||||
Foreign exchange forward contracts | 4,900 | — | 4,900 | — | ||||||||||||
DIO Corporation convertible bonds | 70,019 | — | — | 70,019 | ||||||||||||
Total assets | $ | 77,856 | $ | — | $ | 7,837 | $ | 70,019 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | 1,226 | $ | — | $ | 1,226 | $ | — | ||||||||
Commodity contracts | 435 | — | 435 | — | ||||||||||||
Cross currency basis swaps | 59,128 | — | 59,128 | — | ||||||||||||
Foreign exchange forward contracts | 13,548 | — | 13,548 | — | ||||||||||||
Long term debt | 152,370 | — | 152,370 | — | ||||||||||||
DIO equity option contracts | 142 | — | — | 142 | ||||||||||||
Total liabilities | $ | 226,849 | $ | — | $ | 226,707 | $ | 142 | ||||||||
Reconciliation of the Company's Assets Measured at Fair Value on a Recurring Basis Using Unobservable Inputs (Level 3): | ' | |||||||||||||||
The following table presents a reconciliation of the Company’s Level 3 holdings measured at fair value on a recurring basis using unobservable inputs: | ||||||||||||||||
(in thousands) | DIO Corporation | DIO Equity | ||||||||||||||
Convertible | Options | |||||||||||||||
Bonds | Contracts | |||||||||||||||
Balance at December 31, 2013 | $ | 70,019 | $ | (142 | ) | |||||||||||
Unrealized loss: | ||||||||||||||||
Reported in AOCI, pretax | (5,428 | ) | — | |||||||||||||
Unrealized loss: | ||||||||||||||||
Reported in other expense (income), net | — | (138 | ) | |||||||||||||
Effects of exchange rate changes | (268 | ) | 1 | |||||||||||||
Balance at June 30, 2014 | $ | 64,323 | $ | (279 | ) | |||||||||||
GOODWILL_AND_INTANGIBLE_ASSETS1
GOODWILL AND INTANGIBLE ASSETS (Tables) | 6 Months Ended | |||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||
Notes to Financial Statements [Abstract] | ' | |||||||||||||||||||||||
Changes In Goodwill Table Text Block | ' | |||||||||||||||||||||||
A reconciliation of changes in the Company’s goodwill is as follows: | ||||||||||||||||||||||||
(in thousands) | Dental Consumable Businesses and Certain International Businesses | Dental Specialty and Laboratory Businesses and Certain Global Distribution Businesses | Healthcare and Emerging Markets Businesses | Total | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 325,044 | $ | 1,576,126 | $ | 380,426 | $ | 2,281,596 | ||||||||||||||||
Adjustments of provisional amounts on prior acquisitions | — | (240 | ) | — | (240 | ) | ||||||||||||||||||
Effects of exchange rate changes | 533 | (12,696 | ) | 9,605 | (2,558 | ) | ||||||||||||||||||
Balance at June 30, 2014 | $ | 325,577 | $ | 1,563,190 | $ | 390,031 | $ | 2,278,798 | ||||||||||||||||
Reconciliation of Changes in the Company's Goodwill | ' | |||||||||||||||||||||||
GOODWILL AND INTANGIBLE ASSETS | ||||||||||||||||||||||||
The Company performed the required annual impairment tests of goodwill as of April 30, 2014 on 15 reporting units. As discussed in Note 6, Segment Information, effective in the first quarter of 2014, the Company realigned reporting responsibilities for multiple locations. For any realignment that resulted in reporting unit changes, the Company applied the relative fair value method to determine the reallocation of goodwill of the associated reporting units. | ||||||||||||||||||||||||
To determine the fair value of the Company’s reporting units, the Company uses a discounted cash flow model with market-based support as its valuation technique to measure the fair value for its reporting units. The discounted cash flow model uses five-year forecasted cash flows plus a terminal value based on a multiple of earnings. In addition, the Company applies gross margin and operating expense assumptions consistent with historical trends. The total cash flows were discounted based on a range between 8.6% to 14.0%, which included assumptions regarding the Company’s weighted-average cost of capital. The Company considered the current market conditions both in the U.S. and globally, when determining its assumptions. Lastly, the Company reconciled the aggregated fair values of its reporting units to its market capitalization, which included a reasonable control premium based on market conditions. As a result of the annual impairment tests of goodwill, no impairment was identified. | ||||||||||||||||||||||||
In addition, the Company assessed the annual impairment of indefinite-lived intangible assets as of April 30, 2014, which largely consists of acquired tradenames, in conjunction with the annual impairment tests of goodwill. The performance of the Company’s annual impairment test did not result in any impairment of the Company’s indefinite-lived assets. | ||||||||||||||||||||||||
A reconciliation of changes in the Company’s goodwill is as follows: | ||||||||||||||||||||||||
(in thousands) | Dental Consumable Businesses and Certain International Businesses | Dental Specialty and Laboratory Businesses and Certain Global Distribution Businesses | Healthcare and Emerging Markets Businesses | Total | ||||||||||||||||||||
Balance at December 31, 2013 | $ | 325,044 | $ | 1,576,126 | $ | 380,426 | $ | 2,281,596 | ||||||||||||||||
Adjustments of provisional amounts on prior acquisitions | — | (240 | ) | — | (240 | ) | ||||||||||||||||||
Effects of exchange rate changes | 533 | (12,696 | ) | 9,605 | (2,558 | ) | ||||||||||||||||||
Balance at June 30, 2014 | $ | 325,577 | $ | 1,563,190 | $ | 390,031 | $ | 2,278,798 | ||||||||||||||||
Identifiable definite-lived and indefinite-lived intangible assets consist of the following: | ||||||||||||||||||||||||
June 30, 2014 | December 31, 2013 | |||||||||||||||||||||||
(in thousands) | Gross | Accumulated | Net | Gross | Accumulated | Net | ||||||||||||||||||
Carrying | Amortization | Carrying | Carrying | Amortization | Carrying | |||||||||||||||||||
Amount | Amount | Amount | Amount | |||||||||||||||||||||
Patents | $ | 181,716 | $ | (95,703 | ) | $ | 86,013 | $ | 181,847 | $ | (91,736 | ) | $ | 90,111 | ||||||||||
Trademarks | 84,739 | (37,998 | ) | 46,741 | 85,922 | (35,994 | ) | 49,928 | ||||||||||||||||
Licensing agreements | 32,130 | (21,910 | ) | 10,220 | 31,950 | (20,992 | ) | 10,958 | ||||||||||||||||
Customer relationships | 499,208 | (98,815 | ) | 400,393 | 497,108 | (82,381 | ) | 414,727 | ||||||||||||||||
Total definite-lived | $ | 797,793 | $ | (254,426 | ) | $ | 543,367 | $ | 796,827 | $ | (231,103 | ) | $ | 565,724 | ||||||||||
Indefinite-lived Trademarks and In-process R&D | $ | 221,738 | $ | — | $ | 221,738 | $ | 229,599 | $ | — | $ | 229,599 | ||||||||||||
Total identifiable intangible assets | $ | 1,019,531 | $ | (254,426 | ) | $ | 765,105 | $ | 1,026,426 | $ | (231,103 | ) | $ | 795,323 | ||||||||||
SIGNIFICANT_ACCOUNTING_POLICIE2
SIGNIFICANT ACCOUNTING POLICIES Additional Information (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Trade Accounts Receivable | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' |
Allowance for doubtful accounts | $12,100,000 | $14,700,000 |
Noncurrent Assets Member | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' |
Accumulated Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | 8,900,000 | 12,700,000 |
Corporate Bond Securities | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Value | $64,323,000 | $70,019,000 |
STOCK_COMPENSATION_Stock_Compe1
STOCK COMPENSATION Stock Compensation (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '5 years 8 months |
Exercisable options, weighted average remaining contractual term (in years) | '4 years 9 months |
Nonqualified Stock Options Member | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Unamortized compensation cost | 13.6 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '1 year 9 months |
Performance Based Restricted Stock and Restricted Stock Units | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Unamortized compensation cost | 27.4 |
Restricted Stock Units (RSUs) [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '1 year 7 months |
STOCK_COMPENSATION_Total_Stock
STOCK COMPENSATION Total Stock Based Compensation Expense and the Tax Related Benefit (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||||||||||||||||||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | |||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | ' | ' | ' | ' | |||||||||||||||||||||
he following table reflects the non-qualified stock option transactions from December 31, 2013 through June 30, 2014: | |||||||||||||||||||||||||
Outstanding | Exercisable | ||||||||||||||||||||||||
(in thousands, except per share data) | Shares | Weighted | Aggregate | Shares | Weighted | Aggregate | |||||||||||||||||||
Average | Intrinsic | Average | Intrinsic | ||||||||||||||||||||||
Exercise | Value | Exercise | Value | ||||||||||||||||||||||
Price | Price | ||||||||||||||||||||||||
Balance at December 31, 2013 | 8,295 | $ | 35.04 | $ | 111,450 | 6,225 | $ | 33.67 | $ | 92,200 | |||||||||||||||
Granted | 920 | 45.23 | |||||||||||||||||||||||
Exercised | (390 | ) | 32.63 | ||||||||||||||||||||||
Cancelled | (5 | ) | 45.15 | ||||||||||||||||||||||
Forfeited | (24 | ) | 41.01 | ||||||||||||||||||||||
Balance at June 30, 2014 | 8,796 | $ | 36.2 | $ | 98,117 | 6,906 | $ | 34.48 | $ | 88,889 | |||||||||||||||
Total related tax benefit | $1,979 | $1,788 | $3,543 | $2,865 | |||||||||||||||||||||
Allocated Share-based Compensation Expense | 7,195 | 6,213 | 12,588 | 11,274 | |||||||||||||||||||||
Employee Stock Option [Member] | ' | ' | ' | ' | |||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | |||||||||||||||||||||
Allocated Share-based Compensation Expense | 2,829 | 2,876 | 4,503 | 5,005 | |||||||||||||||||||||
Restricted Stock Units (RSUs) [Member] | ' | ' | ' | ' | |||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | |||||||||||||||||||||
Allocated Share-based Compensation Expense | $4,366 | $3,337 | $8,085 | $6,269 |
STOCK_COMPENSATION_NonQualifie
STOCK COMPENSATION Non-Qualified Stock Option Transactions (Details) (USD $) | 6 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '5 years 8 months | ' |
Restricted Stock Units (RSUs) [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '1 year 7 months | ' |
Nonqualified Stock Options Member | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | '1 year 9 months | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' | ' |
Outstanding, beginning balance (in shares) | 8,295 | ' |
Granted (in shares) | 920 | ' |
Exercised (in shares) | -390 | ' |
Cancelled (in shares) | -5 | ' |
Forfeitured (in shares) | -24 | ' |
Outstanding, ending balance (in shares) | 8,796 | ' |
Outstanding Weighted Average Exercise Price (in dollars per share) | $36.20 | $35.04 |
Outstanding Weighted Average Exercise Price, Granted (in dollars per share) | $45.23 | ' |
Outstanding Weighted Average Exercise Price, Exercised (in dollars per share) | $32.63 | ' |
Outstanding Weighted Average Exercise Price, Cancelled (in dollars per share) | $45.15 | ' |
Outstanding Weighted Average Exercise Price, Forfeited (in dollars per share) | $41.01 | ' |
Outstanding Aggregate Intrinsic Value | $98,117 | $111,450 |
Exercisable options (in shares) | 6,906 | 6,225 |
Exercisable weighted average exercise price (in dollars per share) | $34.48 | $33.67 |
Exercisable Aggregate Intrinsic Value | $88,889 | $92,200 |
STOCK_COMPENSATION_Unvested_RS
STOCK COMPENSATION Unvested RSU Transactions (Details) (USD $) | 6 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Dec. 31, 2013 |
Weighted Average Grant Date Fair Value | ' | ' |
Unvested beginning balance (in dollars per share) | $41.45 | $38.81 |
Granted (in dollars per share) | $45.16 | ' |
Vested (in dollars per share) | $36.69 | ' |
Forfeited (in dollars per share) | $40.88 | ' |
Restricted Stock Units (RSUs) [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 1,205 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 443 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 272 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 97 | ' |
Number of Shares [Roll Forward] | ' | ' |
Unvested beginning balance (in shares) | 1,131 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 443 | ' |
Vested (in shares) | -272 | ' |
Forfeited (in shares) | -97 | ' |
Unvested ending balance (in shares) | 1,205 | ' |
COMPREHENSIVE_INCOME_Comprehen1
COMPREHENSIVE INCOME Comprehensive Income - Additional Information (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ($97,999,000) | ($223,222,000) | ($97,999,000) | ($223,222,000) | ($69,062,000) | ($144,200,000) | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | -28,416,000 | -81,102,000 | ' | ' | ||||
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | ' | ' | -23,407,000 | -79,022,000 | ' | ' | ||||
Comprehensive (Income) Loss, Net of Tax, Attributable to Noncontrolling Interest | -254,000 | 2,019,000 | -140,000 | 2,200,000 | ' | ' | ||||
Other Comprehensive (Income) Loss, Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Noncontrolling Interest | ' | ' | -5,530,000 | ' | ' | ' | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -27,640,000 | 5,886,000 | -28,675,000 | -88,256,000 | ' | ' | ||||
AOCI - Foreign currency translation adjustments, gains | 224,600,000 | ' | 224,600,000 | ' | 249,900,000 | ' | ||||
AOCI - Foreign currency translation adjustments, losses | -112,100,000 | ' | -112,100,000 | ' | -108,900,000 | ' | ||||
Income Tax Expense (Benefit) | 26,096,000 | 22,870,000 | 48,548,000 | 26,412,000 | ' | ' | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -2,450,000 | -1,013,000 | -5,009,000 | -2,080,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 5,009,000 | 2,080,000 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 62,129,000 | 63,107,000 | 133,934,000 | 79,891,000 | ' | ' | ||||
Accumulated Net Gain (Loss) from Designated or Qualifying Net Investment Hedges [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -150,265,000 | -109,605,000 | -150,265,000 | -109,605,000 | -151,114,000 | -125,661,000 | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | 849,000 | 16,056,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | 849,000 | 16,056,000 | ' | ' | ||||
Accumulated Defined Benefit Plans Adjustment [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -48,775,000 | -69,866,000 | -48,775,000 | -69,866,000 | -49,916,000 | -73,182,000 | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | 197,000 | 1,439,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 944,000 | 1,877,000 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | 1,141,000 | 3,316,000 | ' | ' | ||||
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 8,926,000 | 8,833,000 | 8,926,000 | 8,833,000 | 12,729,000 | 17,822,000 | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | -3,803,000 | -8,989,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -3,803,000 | -8,989,000 | ' | ' | ||||
Accumulated Translation Adjustment [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | 112,520,000 | -33,803,000 | 112,520,000 | -33,803,000 | 140,992,000 | 54,302,000 | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | -22,942,000 | -88,105,000 | ' | ' | ||||
Comprehensive (Income) Loss, Net of Tax, Attributable to Noncontrolling Interest | ' | ' | -5,530,000 | ' | ' | ' | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -20,600,000 | 1,300,000 | -19,700,000 | -100,600,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -22,942,000 | -88,105,000 | ' | ' | ||||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | -20,405,000 | -18,781,000 | -20,405,000 | -18,781,000 | -21,753,000 | -17,481,000 | ||||
Other Comprehensive Income (Loss), before Reclassification, Net of Tax | ' | ' | -2,717,000 | -1,503,000 | ' | ' | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 4,065,000 | 203,000 | ' | ' | ||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -1,348,000 | 1,300,000 | ' | ' | ||||
Net Investment Hedging [Member] | Accumulated Translation Adjustment [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | -1,200,000 | 4,000,000 | -3,200,000 | 12,500,000 | ' | ' | ||||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | -2,796,000 | -252,000 | -5,712,000 | -539,000 | ' | ' | ||||
Income Tax Expense (Benefit) | 819,000 | 171,000 | 1,647,000 | 336,000 | ' | ' | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -1,977,000 | -81,000 | -4,065,000 | -203,000 | ' | ' | ||||
Accumulated Defined Benefit Plans Adjustment [Member] | ' | ' | ' | ' | ' | ' | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ||||
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | -686,000 | -1,324,000 | -1,370,000 | -2,658,000 | ' | ' | ||||
Income Tax Expense (Benefit) | 213,000 | 392,000 | 426,000 | 781,000 | ' | ' | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -473,000 | -932,000 | -944,000 | -1,877,000 | ' | ' | ||||
Other Comprehensive Income (Loss), Amortization Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Prior Service Cost (Credit), before Tax | 35,000 | [1] | 33,000 | [2] | 69,000 | [1] | 67,000 | [1] | ' | ' |
Other Comprehensive Income (Loss) adjustment from AOCI,Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | ($721,000) | [2] | ($1,357,000) | [2] | ($1,439,000) | [1] | ($2,725,000) | [1] | ' | ' |
[1] | ) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the six months ended JuneB 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). | |||||||||
[2] | (a) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the three months ended JuneB 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). |
COMPREHENSIVE_INCOME_Balances_
COMPREHENSIVE INCOME Balances included in AOCI, Net of Tax, in the Consolidated Balance Sheets (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | ($69,062) | ($144,200) |
Other comprehensive income (loss) before reclassifications | ' | ' | -28,416 | -81,102 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 5,009 | 2,080 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 62,129 | 63,107 | 133,934 | 79,891 |
Ending balance | -97,999 | -223,222 | -97,999 | -223,222 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | ' | ' | -23,407 | -79,022 |
Accumulated Defined Benefit Plans Adjustment [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | -49,916 | -73,182 |
Other comprehensive income (loss) before reclassifications | ' | ' | 197 | 1,439 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 944 | 1,877 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | 1,141 | 3,316 |
Ending balance | -48,775 | -69,866 | -48,775 | -69,866 |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | 12,729 | 17,822 |
Other comprehensive income (loss) before reclassifications | ' | ' | -3,803 | -8,989 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -3,803 | -8,989 |
Ending balance | 8,926 | 8,833 | 8,926 | 8,833 |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | -21,753 | -17,481 |
Other comprehensive income (loss) before reclassifications | ' | ' | -2,717 | -1,503 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 4,065 | 203 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -1,348 | 1,300 |
Ending balance | -20,405 | -18,781 | -20,405 | -18,781 |
Accumulated Net Gain (Loss) from Designated or Qualifying Net Investment Hedges [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | -151,114 | -125,661 |
Other comprehensive income (loss) before reclassifications | ' | ' | 849 | 16,056 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | 849 | 16,056 |
Ending balance | -150,265 | -109,605 | -150,265 | -109,605 |
Accumulated Translation Adjustment [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' | ' |
Beginning balance | ' | ' | 140,992 | 54,302 |
Other comprehensive income (loss) before reclassifications | ' | ' | -22,942 | -88,105 |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | ' | ' | 0 | 0 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | ' | -22,942 | -88,105 |
Ending balance | $112,520 | ($33,803) | $112,520 | ($33,803) |
COMPREHENSIVE_INCOME_Reclassif
COMPREHENSIVE INCOME Reclassification out of Accumulated Other Comprehensive Income (Expense) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Cost of Goods Sold | $340,756 | $346,054 | $676,665 | $689,938 | ||||
Selling, General and Administrative Expense | 296,121 | 289,921 | 583,963 | 583,598 | ||||
Income Tax Expense (Benefit) | 26,096 | 22,870 | 48,548 | 26,412 | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -2,450 | -1,013 | -5,009 | -2,080 | ||||
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | -2,796 | -252 | -5,712 | -539 | ||||
Income Tax Expense (Benefit) | 819 | 171 | 1,647 | 336 | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -1,977 | -81 | -4,065 | -203 | ||||
Accumulated Defined Benefit Plans Adjustment [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | -686 | -1,324 | -1,370 | -2,658 | ||||
Income Tax Expense (Benefit) | 213 | 392 | 426 | 781 | ||||
Net Income (Loss) Available to Common Stockholders, Basic | -473 | -932 | -944 | -1,877 | ||||
Other Comprehensive Income (Loss), Amortization Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Prior Service Cost (Credit), before Tax | 35 | [1] | 33 | [2] | 69 | [1] | 67 | [1] |
Other Comprehensive Income (Loss) adjustment from AOCI,Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | -721 | [2] | -1,357 | [2] | -1,439 | [1] | -2,725 | [1] |
Cash Flow Hedging | Designated as Hedging Instrument [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -2,796 | -252 | -5,712 | -539 | ||||
Interest Expense | Cash Flow Hedging | Designated as Hedging Instrument [Member] | Interest Rate Swap | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -929 | -918 | -1,856 | -1,830 | ||||
Cost of Sales [Member] | Cash Flow Hedging | Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -1,651 | 631 | -3,296 | 1,129 | ||||
Cost of Sales [Member] | Cash Flow Hedging | Designated as Hedging Instrument [Member] | Commodity Contract [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -158 | 45 | -403 | 202 | ||||
Selling, General and Administrative Expenses [Member] | Cash Flow Hedging | Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ' | ' | ' | ' | ||||
Reclassification of Acuumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | ($58) | ($10) | ($157) | ($40) | ||||
[1] | ) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the six months ended JuneB 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). | |||||||
[2] | (a) These accumulated other comprehensive income components are included in the computation of net periodic benefit cost for the three months ended JuneB 30, 2014 and 2013 (see Note 8, Benefit Plans, for additional details). |
EARNINGS_PER_COMMON_SHARE_Addi
EARNINGS PER COMMON SHARE Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Disclosure - Earnings per Common Share - Additional Information [Abstract] | ' | ' | ' | ' |
Antidilutive common stock options not included in the computation of diluted earnings per common share (in shares) | 1 | 2.9 | 1.4 | 3.5 |
EARNINGS_PER_COMMON_SHARE_Comp
EARNINGS PER COMMON SHARE Computation of Basic and Diluted Earnings Per Common Share (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Disclosure - Computation of Basic and Diluted Earnings Per Common Share [Abstract] | ' | ' | ' | ' |
Net income attributable to DENTSPLY International | $89,993 | $87,228 | $162,871 | $158,913 |
Shares | ' | ' | ' | ' |
Basic (in shares) | 141,790 | 142,922 | 141,921 | 142,849 |
Incremental shares from assumed exercise of dilutive options from stock-based compensation awards (in shares) | 2,374 | 2,211 | 2,367 | 2,258 |
Diluted (in shares) | 144,164 | 145,133 | 144,288 | 145,107 |
Earnings per common share | ' | ' | ' | ' |
Basic (in dollars per share) | $0.63 | $0.61 | $1.15 | $1.11 |
Diluted (in dollars per share) | $0.62 | $0.60 | $1.13 | $1.10 |
SEGMENT_INFORMATION_Additional
SEGMENT INFORMATION Additional Information (Detail) (Dental Products) | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | |
Dental Products | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' |
Percentage of sales, professional dental products | 88.00% | 88.00% | 89.00% |
SEGMENT_INFORMATION_Net_Sales_
SEGMENT INFORMATION Net Sales (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Net sales | $765,225 | $761,010 | $1,495,339 | $1,493,094 | ||||
Operating Segments [Member] | Healthcare and Emerging Markets Businesses [Member] | ' | ' | ' | ' | ||||
Net sales | 139,848 | 133,054 | 264,794 | 254,793 | ||||
Operating Segments [Member] | Dental Specialty and Laboratory Businesses [Member] | ' | ' | ' | ' | ||||
Net sales | 442,655 | 458,128 | 875,062 | 906,105 | ||||
Operating Segments [Member] | Dental Consumables and Certain International Businesses [Member] | ' | ' | ' | ' | ||||
Net sales | 183,741 | 170,688 | 357,716 | 334,395 | ||||
Operating Segments [Member] | All Other | ' | ' | ' | ' | ||||
Net sales | ($1,019) | [1] | ($860) | [1] | ($2,233) | [1] | ($2,199) | [1] |
[1] | (a) Includes amounts recorded at Corporate headquarters |
SEGMENT_INFORMATION_Net_Sales_1
SEGMENT INFORMATION Net Sales, Excluding Precious Metal Content (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Statement [Line Items] | ' | ' | ' | ' | ||||
Net Sales, excluding precious metal content | $730,898 | $715,955 | $1,420,081 | $1,388,604 | ||||
Precious metal content of sales | 34,327 | 45,055 | 75,258 | 104,490 | ||||
Net Sales, including precious metal content | 765,225 | 761,010 | 1,495,339 | 1,493,094 | ||||
Operating Segments [Member] | Healthcare and Emerging Markets Businesses [Member] | ' | ' | ' | ' | ||||
Statement [Line Items] | ' | ' | ' | ' | ||||
Net Sales, excluding precious metal content | 139,648 | 132,833 | 264,450 | 254,296 | ||||
Net Sales, including precious metal content | 139,848 | 133,054 | 264,794 | 254,793 | ||||
Operating Segments [Member] | Dental Specialty and Laboratory Businesses [Member] | ' | ' | ' | ' | ||||
Statement [Line Items] | ' | ' | ' | ' | ||||
Net Sales, excluding precious metal content | 408,631 | 413,386 | 800,312 | 802,302 | ||||
Net Sales, including precious metal content | 442,655 | 458,128 | 875,062 | 906,105 | ||||
Operating Segments [Member] | Dental Consumables and Certain International Businesses [Member] | ' | ' | ' | ' | ||||
Statement [Line Items] | ' | ' | ' | ' | ||||
Net Sales, excluding precious metal content | 183,638 | 170,596 | 357,552 | 334,205 | ||||
Net Sales, including precious metal content | 183,741 | 170,688 | 357,716 | 334,395 | ||||
Operating Segments [Member] | All Other | ' | ' | ' | ' | ||||
Statement [Line Items] | ' | ' | ' | ' | ||||
Net Sales, excluding precious metal content | -1,019 | [1] | -860 | [1] | -2,233 | [1] | -2,199 | [1] |
Net Sales, including precious metal content | ($1,019) | [2] | ($860) | [2] | ($2,233) | [2] | ($2,199) | [2] |
[1] | (b) Includes amounts recorded at Corporate headquarters | |||||||
[2] | (a) Includes amounts recorded at Corporate headquarters |
SEGMENT_INFORMATION_Intersegme
SEGMENT INFORMATION Intersegment Net Sales (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenue, Net | $765,225 | $761,010 | $1,495,339 | $1,493,094 | ||||
Total | 0 | 0 | 0 | 0 | ||||
Intersegment Eliminations [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenue, Net | ' | ' | -290,741 | -278,281 | ||||
Intersegment Eliminations | -147,819 | -144,546 | ' | ' | ||||
Intersegment Eliminations [Member] | Dental Consumables and Certain International Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenues | 32,209 | 31,372 | ' | ' | ||||
Revenue, Net | ' | ' | 60,810 | 61,602 | ||||
Intersegment Eliminations [Member] | Dental Specialty and Laboratory Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenues | 50,487 | 49,472 | ' | ' | ||||
Revenue, Net | ' | ' | 100,718 | 92,437 | ||||
Intersegment Eliminations [Member] | Healthcare and Emerging Markets Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenues | 2,639 | 3,464 | ' | ' | ||||
Revenue, Net | ' | ' | 5,945 | 6,577 | ||||
Intersegment Eliminations [Member] | All Other | ' | ' | ' | ' | ||||
Segment Reporting, Revenue Reconciling Item [Line Items] | ' | ' | ' | ' | ||||
Revenues | 62,484 | [1] | 60,238 | [1] | ' | ' | ||
Revenue, Net | ' | ' | $123,268 | [1] | $117,665 | [1] | ||
[1] | (c) Includes amounts recorded at Corporate headquarters and one distribution warehouse not managed by named segments. |
SEGMENT_INFORMATION_Segment_Op
SEGMENT INFORMATION Segment Operating Income (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | $127,106 | $122,866 | $232,676 | $216,724 | ||||
Restructuring and other costs | 1,242 | 2,169 | 2,035 | 2,834 | ||||
Interest expense | 11,798 | 11,507 | 22,753 | 26,728 | ||||
Interest income | -1,744 | -2,243 | -3,179 | -4,418 | ||||
Other expense (income), net | 575 | 4,223 | 963 | 7,141 | ||||
Income before income taxes | 116,477 | 109,379 | 212,139 | 187,273 | ||||
Operating Segments [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | 128,348 | 125,035 | 234,711 | 219,558 | ||||
Operating Segments [Member] | Healthcare and Emerging Markets Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | 9,959 | 8,623 | 14,683 | 10,089 | ||||
Operating Segments [Member] | Dental Specialty and Laboratory Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | 79,616 | 79,758 | 153,529 | 149,436 | ||||
Operating Segments [Member] | Dental Consumables and Certain International Businesses [Member] | ' | ' | ' | ' | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | 66,147 | 59,863 | 124,656 | 114,178 | ||||
Operating Segments [Member] | All Other | ' | ' | ' | ' | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' | ||||
Segment operating income | ($27,374) | [1] | ($23,209) | [1] | ($58,157) | [1] | ($54,145) | [1] |
[1] | (d) Includes the results of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. |
SEGMENT_INFORMATION_Assets_Det
SEGMENT INFORMATION Assets (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ||
Assets | $5,072,373 | $5,078,047 | ||
Operating Segments [Member] | Dental Consumables and Certain International Businesses [Member] | ' | ' | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ||
Assets | 706,509 | 683,965 | ||
Operating Segments [Member] | Dental Specialty and Laboratory Businesses [Member] | ' | ' | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ||
Assets | 3,346,528 | 3,364,190 | ||
Operating Segments [Member] | Healthcare and Emerging Markets Businesses [Member] | ' | ' | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ||
Assets | 932,438 | 925,742 | ||
Operating Segments [Member] | All Other | ' | ' | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ' | ' | ||
Assets | $86,898 | [1] | $104,150 | [1] |
[1] | (e) Includes the assets of Corporate headquarters, inter-segment eliminations and one distribution warehouse not managed by named segments. |
INVENTORIES_Additional_Informa
INVENTORIES Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Disclosure - Inventories, Net - Additional Information [Abstract] | ' | ' |
LIFO inventory amount | $7.70 | $6.50 |
Inventory, LIFO reserve | 6.1 | 5.9 |
Inventory valuation reserve | $37.40 | $34.20 |
INVENTORIES_Inventories_Detail
INVENTORIES Inventories (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory, Net [Abstract] | ' | ' |
Finished goods | $293,776 | $285,271 |
Work-in-process | 75,929 | 67,718 |
Raw materials and supplies | 91,498 | 85,570 |
Inventory, net | $461,203 | $438,559 |
BENEFIT_PLANS_Components_of_Ne
BENEFIT PLANS Components of Net Periodic Benefit Cost (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | $0 | ' | ' | ' |
Pension Plans, Defined Benefit | ' | ' | ' | ' |
Service cost | 3,549 | 3,662 | 7,101 | 7,385 |
Interest cost | 2,861 | 2,445 | 5,726 | 4,922 |
Expected return on plan assets | -1,391 | -1,230 | -2,777 | -2,477 |
Amortization of prior service cost | -35 | -33 | -69 | -67 |
Amortization of net loss | 709 | 1,269 | 1,417 | 2,549 |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | ' | -235 | 0 | -625 |
Defined Benefit Plan, Net Periodic Benefit Cost | 5,693 | 5,878 | 11,398 | 11,687 |
Other Postretirement Benefit Plans, Defined Benefit | ' | ' | ' | ' |
Service cost | 44 | 61 | 89 | 123 |
Interest cost | 140 | 122 | 280 | 243 |
Amortization of net loss | 12 | 88 | 22 | 176 |
Defined Benefit Plan, Net Periodic Benefit Cost | $196 | $271 | $391 | $542 |
BENEFIT_PLANS_Information_Rela
BENEFIT PLANS Information Related to the Contributions to the Company's Benefit Plans (Details) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Pension Plans, Defined Benefit [Member] | ' |
Schedule of Employee Benefit Plans [Line Items] | ' |
Actual contributions through June 30, 2012 | $6,508 |
Projected for the remainder of the year | 6,059 |
Defined Benefit Plan, Expected Contributions in Current Fiscal Year | 12,567 |
Other Postretirement Benefit Plans, Defined Benefit [Member] | ' |
Schedule of Employee Benefit Plans [Line Items] | ' |
Actual contributions through June 30, 2012 | 121 |
Projected for the remainder of the year | 381 |
Defined Benefit Plan, Expected Contributions in Current Fiscal Year | $502 |
RESTRUCTURING_AND_OTHER_COSTS_1
RESTRUCTURING AND OTHER COSTS Additional Information (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
RESTRUCTURING AND OTHER COSTS [Abstract] | ' | ' | ' | ' |
Restructuring and Related Cost, Expected Cost | $1.20 | $2.10 | $2 | $2.80 |
RESTRUCTURING_AND_OTHER_COSTS_2
RESTRUCTURING AND OTHER COSTS Restructuring Accruals (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | $8,608 |
Restructuring Charges | 3,691 |
Amounts applied | -4,886 |
Restructuring Reserve, Accrual Adjustment | -1,260 |
Ending Balance | 6,153 |
Contract Termination [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 846 |
Restructuring Charges | 125 |
Amounts applied | -328 |
Restructuring Reserve, Accrual Adjustment | 82 |
Ending Balance | 725 |
Contract Termination [Member] | Restructuring Fiscal 2012 And Prior Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 748 |
Restructuring Charges | 11 |
Amounts applied | -64 |
Restructuring Reserve, Accrual Adjustment | -14 |
Ending Balance | 681 |
Contract Termination [Member] | Restructuring Fiscal 2013 Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 98 |
Restructuring Charges | 81 |
Amounts applied | -264 |
Restructuring Reserve, Accrual Adjustment | 96 |
Ending Balance | 11 |
Contract Termination [Member] | Restructuring Fiscal 2014 Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 0 |
Restructuring Charges | 33 |
Amounts applied | 0 |
Restructuring Reserve, Accrual Adjustment | 0 |
Ending Balance | 33 |
Other Restructuring | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 716 |
Restructuring Charges | 4 |
Amounts applied | -299 |
Restructuring Reserve, Accrual Adjustment | 252 |
Ending Balance | 169 |
Other Restructuring | Restructuring Fiscal 2012 And Prior Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 58 |
Restructuring Charges | 0 |
Amounts applied | -62 |
Restructuring Reserve, Accrual Adjustment | -20 |
Ending Balance | 16 |
Other Restructuring | Restructuring Fiscal 2013 Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 658 |
Restructuring Charges | 0 |
Amounts applied | -237 |
Restructuring Reserve, Accrual Adjustment | 272 |
Ending Balance | 149 |
Other Restructuring | Restructuring Fiscal 2014 Plans [Member] | ' |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 0 |
Restructuring Charges | 4 |
Amounts applied | 0 |
Restructuring Reserve, Accrual Adjustment | 0 |
Ending Balance | $4 |
RESTRUCTURING_AND_OTHER_COSTS_3
RESTRUCTURING AND OTHER COSTS Provisions and Adjustments and Amounts Applied for All Plans by Segment (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | $3,691 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 8,608 |
Amounts applied | -4,886 |
Ending Balance | 6,153 |
Restructuring Reserve, Accrual Adjustment | -1,260 |
Dental Consumables and Certain International Businesses [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 1,483 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 656 |
Amounts applied | -65 |
Ending Balance | 2,074 |
Restructuring Reserve, Accrual Adjustment | 0 |
Dental Specialty and Laboratory Businesses [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 1,510 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 6,333 |
Amounts applied | -3,609 |
Ending Balance | 3,039 |
Restructuring Reserve, Accrual Adjustment | 1,195 |
Healthcare and Emerging Markets Businesses [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 698 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 1,245 |
Amounts applied | -903 |
Ending Balance | 1,040 |
Restructuring Reserve, Accrual Adjustment | 0 |
All Other | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 0 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 374 |
Amounts applied | -309 |
Ending Balance | 0 |
Restructuring Reserve, Accrual Adjustment | 65 |
Employee Severance [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 3,562 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 7,046 |
Amounts applied | -4,259 |
Ending Balance | 5,259 |
Restructuring Reserve, Accrual Adjustment | -1,090 |
Restructuring Fiscal 2012 And Prior Plans [Member] | Employee Severance [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 109 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 1,282 |
Amounts applied | -601 |
Ending Balance | 477 |
Restructuring Reserve, Accrual Adjustment | 313 |
Restructuring Fiscal 2013 Plans [Member] | Employee Severance [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 243 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 5,764 |
Amounts applied | -3,270 |
Ending Balance | 1,967 |
Restructuring Reserve, Accrual Adjustment | -770 |
Restructuring Fiscal 2014 Plans [Member] | Employee Severance [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Restructuring Charges | 3,210 |
Restructuring Reserve [Roll Forward] | ' |
Beginning Balance | 0 |
Amounts applied | -388 |
Ending Balance | 2,815 |
Restructuring Reserve, Accrual Adjustment | $7 |
FINANCIAL_INSTRUMENTS_AND_DERI2
FINANCIAL INSTRUMENTS AND DERIVATIVES Additional Information (Detail) | 6 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | Feb. 14, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Apr. 04, 2011 | Feb. 28, 2010 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Feb. 14, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | |
group | EUR (€) | Interest Rate Swap | Interest Rate Swap | Private Placement Notes | Private Placement Notes | Private Placement Notes | Private Placement Notes | Unsecured Senior Notes | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Euro Member Countries, Euro | Switzerland, Francs | Switzerland, Francs | Japan, Yen | |
Currency, Japanese Yen | Currency, Swiss Franc | Fair Value Hedging | Interest Rate Swap | Interest Rate Swap | Interest Rate Swap | Tranche C | Cash Flow Hedging | Foreign Exchange Contract [Member] | Interest Rate Swap | Interest Rate Swap | Commodity Contract [Member] | Cross Currency Basis Swaps | USD ($) | Interest Rate Swap | Foreign Exchange Forward | Cross Currency Basis Swaps | Not Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | |||
Fair Value Hedging | Fair Value Hedging | Fair Value Hedging | USD ($) | USD ($) | Cash Flow Hedging | Cash Flow Hedging | Fair Value Hedging | Cash Flow Hedging | USD ($) | USD ($) | USD ($) | USD ($) | Foreign Exchange Contract [Member] | Interest Rate Swap | Cross Currency Basis Swaps | Interest Rate Swap | |||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | EUR (€) | Cash Flow Hedging | CHF | Cash Flow Hedging | ||||||||||||||
CHF | JPY (¥) | ||||||||||||||||||||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative, Term of Contract [Line Items] | ' | ' | '3 years | '5 years | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Advances to Affiliate | ' | € 449,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum Length of Time Hedged in Interest Rate Cash Flow Hedge | '18 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative, Notional Amount | ' | ' | ' | ' | ' | ' | 150,000,000 | ' | ' | 594,881,000 | 395,392,000 | 197,164,000 | 105,000,000 | 2,325,000 | ' | 1,807,454,000 | 3,709,000 | 1,084,838,000 | 718,907,000 | 449,800,000 | 65,000,000 | 91,400,000 | 12,600,000,000 |
Derivative, Notional amount maturing within 12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | 422,903,000 | 296,707,000 | 123,871,000 | 60,000,000 | 2,325,000 | ' | 1,804,734,000 | 989,000 | 1,084,838,000 | 718,907,000 | ' | ' | ' | ' |
Fixed interest rate | ' | ' | ' | ' | ' | ' | 4.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | 250,000,000 | 450,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of groups of significant interest rate swaps (in groups) | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt, maturity term (in years) | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $7,600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
FINANCIAL_INSTRUMENTS_AND_DERI3
FINANCIAL INSTRUMENTS AND DERIVATIVES Summary of Notional Amounts and Fair Value of the Company's Cash Flow Hedges (Detail) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Designated as Hedging Instrument [Member] | Cash Flow Hedging | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | $594,881 |
Derivative, Notional amount maturing within 12 months | 422,903 |
Designated as Hedging Instrument [Member] | Commodity Contract [Member] | Cash Flow Hedging | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | 2,325 |
Derivative, Notional amount maturing within 12 months | 2,325 |
Designated as Hedging Instrument [Member] | Interest Rate Swap | Cash Flow Hedging | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | 197,164 |
Derivative, Notional amount maturing within 12 months | 123,871 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | Cash Flow Hedging | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | 395,392 |
Derivative, Notional amount maturing within 12 months | 296,707 |
Not Designated as Hedging Instrument [Member] | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | 1,807,454 |
Derivative, Notional amount maturing within 12 months | 1,804,734 |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' |
Derivative, Notional Amount | 3,709 |
Derivative, Notional amount maturing within 12 months | $989 |
FINANCIAL_INSTRUMENTS_AND_DERI4
FINANCIAL INSTRUMENTS AND DERIVATIVES Fair Value of Cross Currency Basis Swaps that are Designated as Hedges of Net Investments in Foreign Operations (Details) | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Feb. 14, 2014 |
In Thousands, unless otherwise specified | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Euro Member Countries, Euro |
USD ($) | Cross Currency Basis Swaps | Net Investment Hedging [Member] | Net Investment Hedging [Member] | Net Investment Hedging [Member] | Not Designated as Hedging Instrument [Member] | |
USD ($) | USD ($) | Foreign Exchange Contract [Member] | Cross Currency Basis Swaps | Foreign Exchange Contract [Member] | ||
USD ($) | USD ($) | EUR (€) | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' |
Derivative, Notional Amount | $1,807,454 | $718,907 | $667,059 | $179,378 | $487,681 | € 449,800 |
Derivative, Notional amount maturing within 12 months | $1,804,734 | $718,907 | $270,870 | $116,391 | $154,479 | ' |
FINANCIAL_INSTRUMENTS_AND_DERI5
FINANCIAL INSTRUMENTS AND DERIVATIVES Summary of Notional Amounts and Fair Value of the Company's Fair Value Hedges (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Derivative [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Net of Tax | ($28,139) | ($23,565) | ($29,140) | ($79,173) |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Interest Rate Swap | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' |
Derivative, Notional Amount | 105,000 | ' | 105,000 | ' |
Derivative, Notional amount maturing within 12 months | $60,000 | ' | $60,000 | ' |
FINANCIAL_INSTRUMENTS_AND_DERI6
FINANCIAL INSTRUMENTS AND DERIVATIVES Fair value and Location on the Consolidated Balance Sheets (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | $3,567 | $2,836 |
Derivative Assets Not Designated as Hedges | 1,850 | 3,128 |
Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 1,261 | 1,873 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 14,571 | 13,403 |
Derivative Liabilities Not Designated as Hedges | 41,826 | 40,964 |
Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 16,990 | 17,773 |
Derivative Liabilities Not Designated as Hedges | 1,939 | 2,339 |
Foreign Exchange Forward | Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 2,392 | 1,517 |
Derivative Assets Not Designated as Hedges | 1,850 | 3,128 |
Foreign Exchange Forward | Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 258 | 255 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Foreign Exchange Forward | Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 7,988 | 10,280 |
Derivative Liabilities Not Designated as Hedges | 3,107 | 2,328 |
Foreign Exchange Forward | Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 928 | 940 |
Derivative Liabilities Not Designated as Hedges | 0 | 0 |
Commodity Contract [Member] | Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 48 | 0 |
Commodity Contract [Member] | Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 0 | 1 |
Commodity Contract [Member] | Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 5 | 434 |
Commodity Contract [Member] | Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 0 | 1 |
Interest Rate Swap | Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 567 | 789 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Interest Rate Swap | Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 1,003 | 1,617 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Interest Rate Swap | Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 506 | 466 |
Derivative Liabilities Not Designated as Hedges | 81 | 85 |
Interest Rate Swap | Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 555 | 419 |
Derivative Liabilities Not Designated as Hedges | 203 | 256 |
Cross Currency Basis Swaps | Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 560 | 530 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Cross Currency Basis Swaps | Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Designated as Hedges | 0 | 0 |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Cross Currency Basis Swaps | Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 6,072 | 2,223 |
Derivative Liabilities Not Designated as Hedges | 38,638 | 38,551 |
Cross Currency Basis Swaps | Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Designated as Hedges | 15,507 | 16,413 |
Derivative Liabilities Not Designated as Hedges | 1,457 | 1,941 |
Dio Equity Option Contracts | Prepaid Expenses and Other Current Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Dio Equity Option Contracts | Other Noncurrent Assets | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Assets Not Designated as Hedges | 0 | 0 |
Dio Equity Option Contracts | Accrued Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Not Designated as Hedges | 0 | 0 |
Dio Equity Option Contracts | Other Noncurrent Liabilities | ' | ' |
Derivatives, Fair Value [Line Items] | ' | ' |
Derivative Liabilities Not Designated as Hedges | $279 | $142 |
FINANCIAL_INSTRUMENTS_AND_DERI7
FINANCIAL INSTRUMENTS AND DERIVATIVES Impact of the Company's Cash Flow Hedges (Detail) (Designated as Hedging Instrument [Member], Cash Flow Hedging, USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ($4,639) | ($6,263) | ($3,868) | ($1,879) |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -2,796 | -252 | -5,712 | -539 |
Ineffective portion Recognized in Income | -162 | 175 | -69 | 149 |
Interest Rate Swap | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | -149 | 401 | -537 | 593 |
Interest Rate Swap | Interest Expense | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -929 | -918 | -1,856 | -1,830 |
Foreign Exchange Contract [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | ' | ' | ' | 89 |
Derivative Instruments, Loss Recognized in Other Comprehensive Income (Loss), Effective Portion | 45 | -97 | 35 | ' |
Derivative Instruments, Gain Recognized in Other Comprehensive Income (Loss), Effective Portion | -4,636 | -5,324 | -3,569 | -1,302 |
Foreign Exchange Contract [Member] | Cost of Sales [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -1,651 | 631 | -3,296 | 1,129 |
Foreign Exchange Contract [Member] | Selling, General and Administrative Expenses [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | -58 | -10 | -157 | -40 |
Foreign Exchange Contract [Member] | Other Expense | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Ineffective portion Recognized in Income | -151 | 202 | -45 | 189 |
Commodity Contract [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 101 | -1,243 | 203 | -1,259 |
Commodity Contract [Member] | Interest Expense | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Ineffective portion Recognized in Income | -11 | -27 | -24 | -40 |
Commodity Contract [Member] | Cost of Sales [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | ($158) | $45 | ($403) | $202 |
FINANCIAL_INSTRUMENTS_AND_DERI8
FINANCIAL INSTRUMENTS AND DERIVATIVES Impact of the Companys Fair Value Hedges (Details) (Designated as Hedging Instrument [Member], Interest Expense, Fair Value Hedging, Interest Expense, USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Designated as Hedging Instrument [Member] | Interest Expense | Fair Value Hedging | Interest Expense | ' | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | $133 | ($151) | $220 | ($89) |
FINANCIAL_INSTRUMENTS_AND_DERI9
FINANCIAL INSTRUMENTS AND DERIVATIVES Impact of the Company's Hedges of Net Investments (Detail) (Designated as Hedging Instrument [Member], Net Investment Hedging [Member], USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $2,844 | ($13,735) | $1,254 | $26,150 |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | 217 | 2,615 | 1,683 | 2,400 |
Cross Currency Basis Swaps | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | 1,572 | -13,735 | -3,087 | 26,150 |
Cross Currency Basis Swaps | Interest Income | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | 674 | 1,270 | 1,351 | 2,657 |
Cross Currency Basis Swaps | Interest Expense | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | -384 | 1,345 | 157 | -257 |
Cross Currency Basis Swaps | Other Expense | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Net | -73 | ' | 175 | ' |
Foreign Exchange Contract [Member] | ' | ' | ' | ' |
Derivative Instruments and Hedging Activities Disclosure [Line Items] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $1,272 | ' | $4,341 | ' |
Recovered_Sheet1
FINANCIAL INSTRUMENTS AND DERIVATIVES Impact of the Company's Hedges Not Designated as Hedging (Detail) (Not Designated as Hedging Instrument [Member], USD $) | 3 Months Ended | 6 Months Ended | ||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||||
Derivative [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | ($4,647) | $24,681 | ($8,502) | $1,741 | ||||
Foreign Exchange Contract [Member] | Other Expense | ' | ' | ' | ' | ||||
Derivative [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | -716 | [1] | 568 | [1] | -5,157 | [2] | 3,083 | [2] |
Equity Option [Member] | Other Expense | ' | ' | ' | ' | ||||
Derivative [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | 90 | 45 | -138 | 13 | ||||
Interest Rate Swap | Interest Expense | ' | ' | ' | ' | ||||
Derivative [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | -16 | 11 | -27 | 21 | ||||
Cross Currency Basis Swaps | Other Expense | ' | ' | ' | ' | ||||
Derivative [Line Items] | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | ($4,005) | [1] | $24,057 | [1] | ($3,180) | [2] | ($1,376) | [2] |
[1] | a) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in bOther expense (income), netb on the Consolidated Statements of Operations. Consolidated Statements of Operations LocationB Gain (Loss) Recognized Six Months Ended June 30, (in thousands) 2014B 2013 Foreign exchange forward contracts (b)B Other expense (income), netB $(5,157)B $3,083DIO equity option contractsB Other expense (income), netB (138)B 13Interest rate swapsB Interest expenseB (27)B 21Cross currency basis swaps (b)B Other expense (income), netB (3,180)B (1,376)Total for instruments not designated as hedges $(8,502)B $1,741 | |||||||
[2] | (b) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in bOther expense (income), netb on the Consolidated Statements of Operations. |
Recovered_Sheet2
FINANCIAL INSTRUMENTS AND DERIVATIVES Amounts recorded in AOCI related to cash flow hedging instruments (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | ($27,640,000) | $5,886,000 | ($28,675,000) | ($88,256,000) |
Accumulated Translation Adjustment [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | -20,600,000 | 1,300,000 | -19,700,000 | -100,600,000 |
Net Investment Hedging [Member] | Accumulated Translation Adjustment [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | ($1,200,000) | $4,000,000 | ($3,200,000) | $12,500,000 |
Recovered_Sheet3
FINANCIAL INSTRUMENTS AND DERIVATIVES Offsetting Balance Sheet (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative assets, net amounts presented in the consolidated balance sheets | $6,678 | $7,837 |
Derivative Asset, Securities Purchased under Agreements to Resell, Securities Borrowed, Collateral, Oblitagion to Return Securities | -5,286 | -7,151 |
Derivative assets, net amount | 1,392 | 686 |
Derivative assets, gross amounts recognized | 6,678 | 7,837 |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 75,326 | 74,479 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 5,286 | 7,151 |
Derivative liabilities, gross amounts recognized | 75,326 | 74,479 |
Derivative liabilities, net amount | 70,040 | 67,328 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Foreign Exchange Contract [Member] | ' | ' |
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative assets, net amounts presented in the consolidated balance sheets | 4,500 | 4,900 |
Derivative Asset, Securities Purchased under Agreements to Resell, Securities Borrowed, Collateral, Oblitagion to Return Securities | -3,533 | -4,641 |
Derivative assets, net amount | 967 | 259 |
Derivative assets, gross amounts recognized | 4,500 | 4,900 |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 12,023 | 13,548 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 2,123 | 3,467 |
Derivative liabilities, gross amounts recognized | 12,023 | 13,548 |
Derivative liabilities, net amount | 9,900 | 10,081 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Commodity Contract [Member] | ' | ' |
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative assets, net amounts presented in the consolidated balance sheets | 48 | 1 |
Derivative Asset, Securities Purchased under Agreements to Resell, Securities Borrowed, Collateral, Oblitagion to Return Securities | -5 | -1 |
Derivative assets, net amount | 43 | 0 |
Derivative assets, gross amounts recognized | 48 | 1 |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 5 | 435 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 5 | 1 |
Derivative liabilities, gross amounts recognized | 5 | 435 |
Derivative liabilities, net amount | 0 | 434 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Interest Rate Swap | ' | ' |
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative assets, net amounts presented in the consolidated balance sheets | 1,570 | 2,406 |
Derivative Asset, Securities Purchased under Agreements to Resell, Securities Borrowed, Collateral, Oblitagion to Return Securities | -1,188 | -1,979 |
Derivative assets, net amount | 382 | 427 |
Derivative assets, gross amounts recognized | 1,570 | 2,406 |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 1,345 | 1,226 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 57 | 62 |
Derivative liabilities, gross amounts recognized | 1,345 | 1,226 |
Derivative liabilities, net amount | 1,288 | 1,164 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Cross Currency Basis Swaps | ' | ' |
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative assets, net amounts presented in the consolidated balance sheets | 560 | 530 |
Derivative Asset, Securities Purchased under Agreements to Resell, Securities Borrowed, Collateral, Oblitagion to Return Securities | -560 | -530 |
Derivative assets, net amount | 0 | 0 |
Derivative assets, gross amounts recognized | 560 | 530 |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 61,674 | 59,128 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 3,101 | 3,621 |
Derivative liabilities, gross amounts recognized | 61,674 | 59,128 |
Derivative liabilities, net amount | 58,573 | 55,507 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Dio Equity Option Contracts | ' | ' |
Offsetting Assets and Liabilities [Line Items] | ' | ' |
Derivative liabilities, net amounts presented in the consolidated balance sheets | 279 | 142 |
Derivative Liability, Securities Sold under Agreements to Resell, Securities Loaned, Collateral, Right to Reclaim Securities | 0 | 0 |
Derivative liabilities, gross amounts recognized | 279 | 142 |
Derivative liabilities, net amount | 279 | 142 |
Derivative assets, gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | $0 | $0 |
FAIR_VALUE_MEASUREMENT_Financi
FAIR VALUE MEASUREMENT Financial Assets and Liabilities that are Recorded at Fair Value and Classified Based on the Lowest Level of Input (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | $71,001 | $77,856 |
Liabilities | 181,903 | 226,849 |
Interest Rate Swap | ' | ' |
Assets | 1,570 | 2,406 |
Liabilities | 1,345 | 1,226 |
Commodity Contract [Member] | ' | ' |
Assets | 48 | 1 |
Liabilities | 5 | 435 |
Cross Currency Interest Rate Swaps | ' | ' |
Assets | 560 | 530 |
Liabilities | 61,674 | 59,128 |
Foreign Exchange Forward | ' | ' |
Assets | 4,500 | 4,900 |
Liabilities | 12,023 | 13,548 |
Long-term Debt | ' | ' |
Liabilities | 106,577 | 152,370 |
Corporate Bond Securities | ' | ' |
Assets | 64,323 | 70,019 |
Dio Equity Option Contracts | ' | ' |
Liabilities | 279 | 142 |
Fair Value, Inputs, Level 1 | ' | ' |
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Fair Value, Inputs, Level 2 | ' | ' |
Assets | 6,678 | 7,837 |
Liabilities | 181,624 | 226,707 |
Fair Value, Inputs, Level 2 | Interest Rate Swap | ' | ' |
Assets | 1,570 | 2,406 |
Liabilities | 1,345 | 1,226 |
Fair Value, Inputs, Level 2 | Commodity Contract [Member] | ' | ' |
Assets | 48 | 1 |
Liabilities | 5 | 435 |
Fair Value, Inputs, Level 2 | Cross Currency Interest Rate Swaps | ' | ' |
Assets | 560 | 530 |
Liabilities | 61,674 | 59,128 |
Fair Value, Inputs, Level 2 | Foreign Exchange Forward | ' | ' |
Assets | 4,500 | 4,900 |
Liabilities | 12,023 | 13,548 |
Fair Value, Inputs, Level 2 | Long-term Debt | ' | ' |
Liabilities | 106,577 | 152,370 |
Fair Value, Inputs, Level 3 | ' | ' |
Assets | 64,323 | 70,019 |
Liabilities | 279 | 142 |
Fair Value, Inputs, Level 3 | Corporate Bond Securities | ' | ' |
Assets | 64,323 | 70,019 |
Fair Value, Inputs, Level 3 | Dio Equity Option Contracts | ' | ' |
Liabilities | $279 | $142 |
FAIR_VALUE_MEASUREMENT_Reconci
FAIR VALUE MEASUREMENT Reconciliation Assets Measured at Fair Value on a Recurring Basis Using Unobservable Inputs (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Corporate Bond Securities | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Beginning Balance | $70,019 |
Unrealized Loss Reported in AOCI | -5,428 |
Effect of exchange rate changes | -268 |
Ending Balance | 64,323 |
Dio Equity Option Contracts | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Beginning Balance | -142 |
Unrealized Gain Reported in other expense (income), net | -138 |
Effect of exchange rate changes | 1 |
Ending Balance | ($279) |
FAIR_VALUE_MEASUREMENT_Additio
FAIR VALUE MEASUREMENT Additional Information (Detail) (USD $) | 6 Months Ended | ||||||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 |
Corporate Bond Securities | Fixed rate senior notes $450 million due August 2021 | Tranche C | Tranche B | Tranche A | Private Placement Notes | Fixed Rate Senior Notes | Estimate of Fair Value, Fair Value Disclosure | Estimate of Fair Value, Fair Value Disclosure | Carrying (Reported) Amount, Fair Value Disclosure | Carrying (Reported) Amount, Fair Value Disclosure | |
Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | U.S. Dollar Denominated Expiring March 2016 | U.S. Dollar Denominated Due August 2016 | |||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term Debt, Fair Value | ' | ' | ' | ' | ' | ' | ' | $1,338.70 | $1,387.70 | $1,299.90 | $1,370.80 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 40.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior Notes | ' | ' | $450 | $300 | $250 | ' | ' | ' | ' | ' | ' |
Debt, fixed rate | ' | 4.10% | ' | ' | ' | 4.20% | 2.80% | ' | ' | ' | ' |
Discount rate | 13.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME_TAXES_Additional_Inform
INCOME TAXES Additional Information (Detail) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Income Taxes [Line Items] | ' |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | $9.40 |
Effective Income Tax Rate Reconciliation, Prior Year Income Taxes, Amount | 3.1 |
Future Period Member | ' |
Income Taxes [Line Items] | ' |
Unrecognized tax benefits, expiration of statues of limitation | $1.10 |
FINANCING_ARRANGEMENTS_LongTer
FINANCING ARRANGEMENTS Long-Term Borrowings (Detail) (USD $) | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jul. 24, 2014 |
In Millions, unless otherwise specified | Commercial Paper [Member] | Private Placement [Member] | Revolving Credit Agreement [Member] | Revolving Credit Agreement [Member] | |
Subsequent Event [Member] | |||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' |
Long-term Debt | ' | $75 | ' | ' | ' |
Short-term Debt | ' | ' | 100 | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | ' | ' | 500 |
Line of Credit Facility, Amount Outstanding | ' | ' | ' | 62 | ' |
Line of Credit Facility, Remaining Borrowing Capacity | $511.10 | ' | ' | ' | ' |
GOODWILL_AND_INTANGIBLE_ASSETS2
GOODWILL AND INTANGIBLE ASSETS Reconciliation of Changes in Goodwill (Detail) (USD $) | 6 Months Ended |
In Thousands, unless otherwise specified | Jun. 30, 2014 |
Goodwill [Roll Forward] | ' |
Balance, beginning of the year | $2,281,596 |
Goodwill, Purchase Accounting Adjustments | -240 |
Goodwill, Translation Adjustments | -2,558 |
Balance, end of the year | 2,278,798 |
Dental Consumables and Certain International Businesses [Member] | ' |
Goodwill [Roll Forward] | ' |
Balance, beginning of the year | 325,044 |
Goodwill, Purchase Accounting Adjustments | 0 |
Goodwill, Translation Adjustments | 533 |
Balance, end of the year | 325,577 |
Dental Specialty and Laboratory Businesses [Member] | ' |
Goodwill [Roll Forward] | ' |
Balance, beginning of the year | 1,576,126 |
Goodwill, Purchase Accounting Adjustments | -240 |
Goodwill, Translation Adjustments | -12,696 |
Balance, end of the year | 1,563,190 |
Healthcare and Emerging Markets Businesses [Member] | ' |
Goodwill [Roll Forward] | ' |
Balance, beginning of the year | 380,426 |
Goodwill, Purchase Accounting Adjustments | 0 |
Goodwill, Translation Adjustments | 9,605 |
Balance, end of the year | $390,031 |
GOODWILL_AND_INTANGIBLE_ASSETS3
GOODWILL AND INTANGIBLE ASSETS Identifiable Definite-Lived Intangible Assets (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | $797,793 | $796,827 |
Accumulated Amortization | -254,426 | -231,103 |
Net Carrying Amount | 543,367 | 565,724 |
Identifiable Intangible Assets Gross | 1,019,531 | 1,026,426 |
Intangible Assets, Net (Excluding Goodwill) | 765,105 | 795,323 |
Trademarks [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Indefinite-Lived Intangible Assets (Excluding Goodwill) | 221,738 | 229,599 |
Customer Relationships [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 499,208 | 497,108 |
Accumulated Amortization | -98,815 | -82,381 |
Net Carrying Amount | 400,393 | 414,727 |
Licensing Agreements [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 32,130 | 31,950 |
Accumulated Amortization | -21,910 | -20,992 |
Net Carrying Amount | 10,220 | 10,958 |
Trademarks [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 84,739 | 85,922 |
Accumulated Amortization | -37,998 | -35,994 |
Net Carrying Amount | 46,741 | 49,928 |
Patents [Member] | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' |
Gross Carrying Amount | 181,716 | 181,847 |
Accumulated Amortization | -95,703 | -91,736 |
Net Carrying Amount | $86,013 | $90,111 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) | 1 Months Ended | ||
Jun. 30, 2004 | Jan. 31, 2014 | Dec. 31, 2006 | |
San Francisco County, California | Eastern District of Pennsylvania | Eastern District of Pennsylvania | |
Commitments and Contingencies Disclosure [Line Items] | ' | ' | ' |
Lawsuit filing date | 'June 18, 2004 | '2014-01-20 | 'December 12, 2006 |
Name of plaintiff(s) | 'Marvin Weinstat, DDS and Richard Nathan, DDS | 'Former and Current Employees | 'Carole Hildebrand, DDS and Robert Jaffin, DDS and Dr. Mitchell Goldman |
Class action law suit filed | 'On JuneB 18, 2004, Marvin Weinstat, DDS and Richard Nathan, DDS filed a class action suit in San Francisco County, California alleging that the Company misrepresented that its CavitronB. ultrasonic scalers are suitable for use in oral surgical procedures.B | 'On January 20, 2014, the Company was served with a qui tam complaint filed by two former and one current employee of the Company under the Federal False Claims Act and equivalent state and city laws. The lawsuit was previously under seal in the U.S. District Court for the Eastern District of Pennsylvania | 'On DecemberB 12, 2006, a Complaint was filed by Carole Hildebrand, DDS and Robert Jaffin, DDS in the Eastern District of Pennsylvania (the Plaintiffs subsequently added Dr. Mitchell Goldman as a named class representative).B B The case was filed by the same law firm that filed the Weinstat case in California.B B The Complaint asserts putative class action claims on behalf of dentists located in New Jersey and Pennsylvania.B |