Cover page
Cover page - shares shares in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jul. 26, 2019 | |
Cover page. | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2019 | |
Document Transition Report | false | |
Entity File Number | 000-20557 | |
Entity Registrant Name | ANDERSONS, INC. | |
Entity Incorporation, State or Country Code | OH | |
Entity Tax Identification Number | 34-1562374 | |
Entity Address, Address Line One | 1947 Briarfield Boulevard, | |
Entity Address, City or Town | Maumee | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 43537 | |
City Area Code | 419 | |
Local Phone Number | 893-5050 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 32.6 | |
Title of 12(b) Security | Common stock, $0.00 par value, $0.01 stated value | |
Trading Symbol | ANDE | |
Security Exchange Name | NASDAQ | |
Entity Central Index Key | 0000821026 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Current assets: | ||||
Cash and cash equivalents | $ 11,087 | $ 22,593 | $ 58,611 | |
Accounts receivable, net | 712,294 | 207,285 | 218,476 | |
Inventories | 753,641 | 690,804 | 495,611 | |
Commodity derivative assets – current | 233,015 | 51,421 | 54,259 | |
Other current assets | 58,439 | 50,703 | 42,648 | |
Assets held for sale | 151 | 392 | 9,816 | |
Total current assets | 1,768,627 | 1,023,198 | 879,421 | |
Other assets: | ||||
Commodity derivative assets – noncurrent | 6,161 | 480 | 1,008 | |
Goodwill | 135,872 | 6,024 | 6,024 | |
Other intangible assets, net | 188,818 | 99,138 | 105,289 | |
Right of use assets, net | 74,073 | 0 | 0 | |
Other assets, net | 21,841 | 22,341 | 26,888 | |
Equity method investments | 120,929 | 242,326 | 232,159 | |
Other noncurrent assets | 547,694 | 370,309 | 371,368 | |
Rail Group assets leased to others, net | 559,711 | 521,785 | 458,424 | |
Property, plant and equipment, net | 695,827 | 476,711 | 408,575 | |
Total assets | 3,571,859 | 2,392,003 | 2,117,788 | |
Current liabilities: | ||||
Short-term debt | 426,125 | 205,000 | 185,000 | |
Trade and other payables | 527,250 | 462,535 | 282,221 | |
Customer prepayments and deferred revenue | 49,761 | 32,533 | 16,103 | |
Commodity derivative liabilities – current | 69,369 | 32,647 | 85,160 | |
Accrued expenses and other current liabilities | 165,383 | 79,046 | 74,512 | |
Current maturities of long-term debt | 66,678 | 21,589 | 13,700 | |
Total current liabilities | 1,304,566 | 833,350 | 656,696 | |
Long-term lease liabilities | 48,401 | 0 | 0 | |
Other long-term liabilities | 18,398 | 32,184 | 30,325 | |
Commodity derivative liabilities – noncurrent | 3,985 | 889 | 3,202 | |
Employee benefit plan obligations | 22,019 | 22,542 | 26,131 | |
Long-term debt, less current maturities | 1,007,012 | 496,187 | 435,580 | |
Deferred income taxes | 146,839 | 130,087 | 118,864 | |
Total liabilities | 2,551,220 | 1,515,239 | 1,270,798 | |
Commitments and contingencies | ||||
Shareholders’ equity: | ||||
Common shares, without par value (63,000 shares authorized; 33,357 shares issued at 6/30/2019, 29,430 shares issued at 12/31/2018 and 6/30/2018) | 137 | 96 | 96 | |
Preferred shares, without par value (1,000 shares authorized; none issued) | 0 | 0 | 0 | |
Additional paid-in-capital | 331,186 | 224,396 | 223,259 | |
Treasury shares, at cost (173, 936 and 943 shares at 6/30/2019, 12/31/2018 and 6/30/2018, respectively) | (6,449) | (35,300) | (35,561) | |
Accumulated other comprehensive income (loss) | [1] | (6,241) | (6,387) | (5,347) |
Retained earnings | 651,481 | 647,517 | 635,438 | |
Total shareholders’ equity of The Andersons, Inc. | 970,114 | 830,322 | 817,885 | |
Noncontrolling interests | 50,525 | 46,442 | 29,105 | |
Total equity | 1,020,639 | 876,764 | 846,990 | |
Total liabilities and equity | $ 3,571,859 | $ 2,392,003 | $ 2,117,788 | |
[1] | All amounts are net of tax. Amounts in parentheses indicate debits |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Statement of Financial Position [Abstract] | |||
Common shares, without par value (dollars per share) | |||
Common shares, shares authorized (shares) | 63,000 | 63,000 | 63,000 |
Common shares, shares issued (shares) | 33,357 | 29,430 | 29,430 |
Preferred shares, par value (dollars per share) | $ 0 | $ 0 | $ 0 |
Preferred shares, shares authorized (shares) | 1,000 | 1,000 | 1,000 |
Preferred shares, shares issued (shares) | 0 | 0 | 0 |
Treasury shares, at cost (shares) | 173 | 936 | 943 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Statement [Abstract] | ||||
Revenues from external customers | $ 2,325,041 | $ 911,402 | $ 4,301,833 | $ 1,547,141 |
Cost of sales and merchandising revenues | 2,164,313 | 820,928 | 4,031,441 | 1,392,962 |
Gross profit | 160,728 | 90,474 | 270,392 | 154,179 |
Operating, administrative and general expenses | 106,918 | 59,853 | 220,267 | 124,110 |
Asset impairment | 3,081 | 6,272 | 3,081 | 6,272 |
Interest expense | 15,727 | 7,825 | 31,637 | 14,824 |
Other income: | ||||
Equity in earnings (loss) of affiliates, net | (157) | 9,803 | 1,362 | 13,376 |
Other income (loss), net | 5,563 | 2,828 | 4,049 | 4,514 |
Income (loss) before income taxes | 40,408 | 29,155 | 20,818 | 26,863 |
Income tax provision (benefit) | 10,997 | 7,742 | 5,555 | 7,432 |
Net income (loss) | 29,411 | 21,413 | 15,263 | 19,431 |
Net income (loss) attributable to the noncontrolling interests | (477) | (116) | (632) | (398) |
Net income (loss) attributable to The Andersons, Inc. | $ 29,888 | $ 21,529 | $ 15,895 | $ 19,829 |
Per common share: | ||||
Basic earnings attributable to The Andersons, Inc. common shareholders (dollars per share) | $ 0.92 | $ 0.76 | $ 0.49 | $ 0.70 |
Diluted earnings attributable to The Andersons, Inc. common shareholders (dollars per share) | $ 0.91 | $ 0.76 | $ 0.48 | $ 0.70 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||
Statement of Comprehensive Income [Abstract] | |||||
Net income (loss) | $ 29,411 | $ 21,413 | $ 15,263 | $ 19,431 | |
Other comprehensive income (loss), net of tax: | |||||
Change in fair value of convertible preferred securities (net of income tax of $0, $0, $0 and $(87)) | 0 | 0 | 0 | (87) | |
Change in unrecognized actuarial loss and prior service cost (net of income tax of $(250), $(86), $(293) and $(101)) | (728) | (287) | (854) | (338) | |
Cash flow hedge activity (net of income tax of $(1,974), $17, $(3,175) and $17) | (5,952) | 51 | (9,574) | 51 | |
Foreign currency translation adjustments | (2,035) | (1,123) | 10,574 | (2,273) | |
Other comprehensive income (loss) | [1] | (8,715) | (1,359) | 146 | (2,647) |
Comprehensive income (loss) | 20,696 | 20,054 | 15,409 | 16,784 | |
Comprehensive income (loss) attributable to the noncontrolling interests | (477) | (116) | (632) | (398) | |
Comprehensive income (loss) attributable to The Andersons, Inc. | $ 21,173 | $ 20,170 | $ 16,041 | $ 17,182 | |
[1] | All amounts are net of tax. Amounts in parentheses indicate debits |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement of Comprehensive Income [Abstract] | ||||
Change in fair value of convertible preferred securities, tax | $ 0 | $ 0 | $ 0 | $ (87) |
Change in unrecognized actuarial loss and prior service cost, tax | (250) | (86) | (293) | (101) |
Cash flow hedge activity, tax | (1,974) | 17 | (3,175) | 17 |
Foreign currency translation adjustments, tax | $ 0 | $ 0 | $ 0 | $ 0 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Operating activities | ||
Net income (loss) | $ 15,263 | $ 19,431 |
Adjustments to reconcile net income (loss) to cash used in operating activities: | ||
Depreciation and amortization | 64,146 | 45,232 |
Bad debt expense (recovery) | 1,703 | (837) |
Equity in (earnings) losses of affiliates, net of dividends | (1,034) | (11,192) |
Gains on sales of Rail Group assets and related leases | (1,298) | (3,989) |
Loss (gain) on sales of assets | 106 | (342) |
Stock-based compensation expense | 7,292 | 3,006 |
Deferred federal income tax | 5,793 | 0 |
Asset impairment | 3,081 | 6,272 |
Other | 1,102 | (138) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (181,917) | (33,859) |
Inventories | 394,630 | 151,095 |
Commodity derivatives | (82,933) | 34,850 |
Other assets | 27,420 | 17,552 |
Payables and other accrued expenses | (338,201) | (271,010) |
Net cash provided by (used in) operating activities | (84,847) | (43,929) |
Investing Activities | ||
Acquisition of business, net of cash acquired | (147,693) | 0 |
Purchases of Rail Group assets | (43,435) | (68,087) |
Proceeds from sale of Rail Group assets | 7,389 | 40,967 |
Purchases of property, plant and equipment and capitalized software | (87,209) | (54,300) |
Proceeds from sale of assets | 795 | 34,981 |
Purchase of investments | (1,240) | 0 |
Net cash provided by (used in) investing activities | (271,393) | (46,439) |
Financing Activities | ||
Net change in short-term borrowings | (660) | 163,000 |
Proceeds from issuance of long-term debt | 748,099 | 50,000 |
Payments of long-term debt | (390,528) | (110,150) |
Proceeds from noncontrolling interest owner | 4,715 | 21,806 |
Payments of debt issuance costs | (5,788) | (787) |
Dividends paid | (11,041) | (9,312) |
Other | (387) | (497) |
Net cash provided by (used in) financing activities | 344,410 | 114,060 |
Effect of exchange rates on cash and cash equivalents | 324 | 0 |
Increase (Decrease) in cash and cash equivalents | (11,506) | 23,692 |
Cash and cash equivalents at beginning of period | 22,593 | 34,919 |
Cash and cash equivalents at end of period | $ 11,087 | $ 58,611 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Shares | Additional Paid-in Capital | Treasury Shares | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Noncontrolling Interests | ||
Beginning Balance at Dec. 31, 2017 | $ 822,899 | $ 96 | $ 224,622 | $ (40,312) | $ (2,700) | $ 633,496 | $ 7,697 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 19,431 | 19,829 | (398) | ||||||
Other comprehensive income (loss) | (2,647) | [1] | (2,647) | ||||||
Amounts reclassified from accumulated other comprehensive loss | (2,273) | ||||||||
Cash received from noncontrolling interest | 21,806 | 21,806 | |||||||
Adoption of accounting standard, net of income tax of $2,869 | (8,441) | (8,441) | |||||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 3,268 | (1,363) | 4,631 | ||||||
Dividends declared per common share | (9,326) | (9,326) | |||||||
Restricted share award dividend equivalents | 0 | 120 | (120) | ||||||
Ending Balance at Jun. 30, 2018 | 846,990 | 96 | 223,259 | (35,561) | (5,347) | 635,438 | 29,105 | ||
Beginning Balance at Mar. 31, 2018 | 822,757 | 96 | 221,990 | (36,028) | (3,988) | 618,572 | 22,115 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 21,413 | 21,529 | (116) | ||||||
Other comprehensive income (loss) | (1,359) | [1] | (1,359) | ||||||
Amounts reclassified from accumulated other comprehensive loss | (1,123) | ||||||||
Cash received from noncontrolling interest | 7,106 | 7,106 | |||||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 1,736 | 1,269 | 467 | ||||||
Dividends declared per common share | (4,663) | (4,663) | |||||||
Ending Balance at Jun. 30, 2018 | 846,990 | 96 | 223,259 | (35,561) | (5,347) | 635,438 | 29,105 | ||
Beginning Balance at Dec. 31, 2018 | 876,764 | 96 | 224,396 | (35,300) | (6,387) | 647,517 | 46,442 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 15,263 | 15,895 | (632) | ||||||
Other comprehensive income (loss) | [1] | 146 | |||||||
Other comprehensive income (loss) | (11,314) | (11,314) | |||||||
Amounts reclassified from accumulated other comprehensive loss | 11,460 | 11,460 | |||||||
Amounts reclassified from accumulated other comprehensive loss | 10,574 | ||||||||
Cash received from noncontrolling interest | 4,715 | 4,715 | |||||||
Adoption of accounting standard, net of income tax of $2,869 | (711) | (711) | |||||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 7,680 | (21,018) | 28,698 | ||||||
Dividends declared per common share | (11,059) | (11,059) | |||||||
Stock awards granted due to acquisition | 127,841 | 41 | 127,800 | ||||||
Restricted share award dividend equivalents | 0 | 8 | 153 | (161) | |||||
Ending Balance at Jun. 30, 2019 | 1,020,639 | 137 | 331,186 | (6,449) | (6,241) | 651,481 | 50,525 | ||
Beginning Balance at Mar. 31, 2019 | 998,286 | 137 | 324,753 | (7,216) | 2,474 | 627,136 | 51,002 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income (loss) | 29,411 | 29,888 | (477) | ||||||
Other comprehensive income (loss) | [1] | (8,715) | |||||||
Other comprehensive income (loss) | (8,544) | (8,544) | |||||||
Amounts reclassified from accumulated other comprehensive loss | (171) | (171) | |||||||
Amounts reclassified from accumulated other comprehensive loss | (2,035) | ||||||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 2,492 | 1,738 | 754 | ||||||
Dividends declared per common share | (5,530) | (5,530) | |||||||
Stock awards granted due to acquisition | 4,695 | 4,695 | |||||||
Restricted share award dividend equivalents | 0 | 13 | (13) | ||||||
Ending Balance at Jun. 30, 2019 | $ 1,020,639 | $ 137 | $ 331,186 | $ (6,449) | $ (6,241) | $ 651,481 | $ 50,525 | ||
[1] | All amounts are net of tax. Amounts in parentheses indicate debits |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Equity (Parenthetical) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Adoption of new accounting standard, tax | $ 237 | $ 2,869 | ||
Additional Paid-in Capital | ||||
Income tax on stock option exercise and other shares issued to employees and directors | $ 0 | $ 0 | $ 0 | $ 0 |
Stock option exercises and other shares issued to employees and directors, shares | 764 | 120 | ||
Retained Earnings | ||||
Dividends declared, per common share (in dollars per share) | $ 0.17 | $ 0.165 | $ 0.34 | $ 0.33 |
Basis of Presentation and Conso
Basis of Presentation and Consolidation | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation These Condensed Consolidated Financial Statements include the accounts of The Andersons, Inc. and its wholly owned and controlled subsidiaries (the “Company”). All intercompany accounts and transactions are eliminated in consolidation. Investments in unconsolidated entities in which the Company has significant influence, but not control, are accounted for using the equity method of accounting. In the opinion of management, all adjustments consisting of normal and recurring items considered necessary for the fair presentation of the results of operations, financial position, and cash flows for the periods indicated have been made. The results in these Condensed Consolidated Financial Statements are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2019 . An unaudited Condensed Consolidated Balance Sheet as of June 30, 2018 has been included as the Company operates in several seasonal industries. The Condensed Consolidated Balance Sheet data at December 31, 2018 was derived from the audited Consolidated Financial Statements but does not include all disclosures required by accounting principles generally accepted in the United States of America. The accompanying unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in The Andersons, Inc. Annual Report on Form 10-K for the year ended December 31, 2018 (the “2018 Form 10-K”). New Accounting Standards Leasing In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") (No. 2016-02, Leases (ASC 842). The FASB issued subsequent amendments to the initial guidance in July 2018 with ASU 2018-10 and in August 2018 with ASU 2018-11. ASC 842 supersedes the current accounting for leases. The new standard, while retaining two distinct types of leases, finance and operating, (i) requires lessees to record a right of use asset and a related liability for the rights and obligations associated with a lease, regardless of lease classification, and recognize lease expense in a manner similar to current accounting, (ii) eliminates current real estate specific lease provisions, (iii) modifies the lease classification criteria and (iv) aligns many of the underlying lessor model principles with those in the new revenue standard. Effective January 1, 2019, the Company adopted the standard using the Comparative Under ASC 840 method, which requires lease assets and liabilities to be recognized in the 2019 balance sheet and statement of equity and forgo the comparative reporting requirements under the modified retrospective transition method. The Company also made an accounting policy election to keep short-term leases less than twelve months off the balance sheet for all classes of underlying assets, as well as elected to use the practical expedient that allows the combination of lease and non-lease contract components in all of its underlying asset categories. In addition, the Company elected to apply the package of practical expedients that allows entities to forego reassessing at the transition date: (1) whether any expired or existing contracts are or contain leases; (2) lease classification for any expired or existing leases; and (3) whether unamortized initial direct costs for existing leases meet the definition of initial direct costs under the new guidance. See Note 14 for additional information. Other applicable standards In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract. This ASU reduces the complexity of accounting for costs of implementing a cloud computing service arrangement. This standard aligns the accounting for implementation costs of hosting arrangements, regardless of whether they convey a license to the hosted software. The guidance is effective for fiscal years beginning after December 15, 2019. We have evaluated the impact of this new standard on our consolidated financial statements noting it is not material. Early adoption is permitted, but the Company has not chosen to do so at this time. In February 2018, the FASB issued ASU 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which allows companies to reclassify stranded income tax effects resulting from the Tax Cuts and Jobs Act from accumulated other comprehensive income to retained earnings in their consolidated financial statements. The Company adopted this standard in the current year which did not have a material impact on its financial statements or disclosures. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments. The FASB issued subsequent amendments to the initial guidance in November 2018, April 2019 and May 2019 with ASU 2018-19, ASU 2019-04 and ASU 2019-05, respectively. This update changes the accounting for credit losses on loans and held-to-maturity debt securities and requires a current expected credit loss (CECL) approach to determine the allowance for credit losses. This includes allowances for trade receivables. The Company has not historically incurred significant credit losses and does not currently anticipate circumstances that would lead to a CECL approach differing from the Company's existing allowance estimates in a material manner. The guidance is effective for fiscal years beginning after December 15, 2019 with a cumulative-effect adjustment to retained earnings as of the beginning of the year of adoption. Early adoption is permitted, but the Company does not plan to do so. |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2019 | |
Inventory, Net [Abstract] | |
Inventories | Inventories Major classes of inventories are as follows: (in thousands) June 30, December 31, June 30, Grain and other agricultural products $ 603,318 $ 527,471 $ 385,118 Frac sand and propane 9,287 — — Ethanol and co-products 26,185 11,918 22,828 Plant nutrients and cob products 109,156 145,693 82,230 Railcar repair parts 5,695 5,722 5,435 $ 753,641 $ 690,804 $ 495,611 Inventories on the Condensed Consolidated Balance Sheets at June 30, 2019 , and June 30, 2018 , do not include 1.3 million and 0.1 million bushels of grain, respectively, held in storage for others. Grain inventories held in storage for others were de minimis as of December 31, 2018. The Company does not have title to the grain and is only liable for any deficiencies in grade or shortage of quantity that may arise during the storage period. Management has not experienced historical losses on any deficiencies and does not anticipate material losses in the future. |
Property, Plant and Equipment
Property, Plant and Equipment | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment The components of Property, plant and equipment, net are as follows: (in thousands) June 30, December 31, June 30, Land $ 39,241 $ 29,739 $ 29,579 Land improvements and leasehold improvements 84,127 68,826 68,384 Buildings and storage facilities 327,418 284,998 280,226 Machinery and equipment 514,030 393,640 377,202 Construction in progress 164,532 102,394 37,456 1,129,348 879,597 792,847 Less: accumulated depreciation 433,521 402,886 384,272 $ 695,827 $ 476,711 $ 408,575 Depreciation expense on property, plant and equipment was $32.7 million and $23.2 million for the six months ended June 30, 2019 and 2018 , respectively. Additionally, depreciation expense on property, plant and equipment was $15.0 million and $11.5 million for the three months ended June 30, 2019 and 2018 , respectively. In the second quarter of 2019, the Company recorded a $3.1 million impairment charge related to its remaining Tennessee facilities in the Trade group. The Company wrote down the value of these assets to the extent their carrying values exceeded their fair value. The Company classified the significant assumptions used to determine the fair value of the impaired assets as Level 3 inputs in the fair value hierarchy. Rail Group Assets The components of Rail Group assets leased to others are as follows: (in thousands) June 30, December 31, June 30, Rail Group assets leased to others $ 688,320 $ 640,349 $ 564,555 Less: accumulated depreciation 128,609 118,564 106,131 $ 559,711 $ 521,785 $ 458,424 Depreciation expense on Rail Group assets leased to others amounted to $13.7 million and $12.2 million for the six months ended June 30, 2019 and 2018 , respectively. Additionally, depreciation expense on Rail Group assets leased to others amounted to $7.0 million and $6.0 million for the three months ended June 30, 2019 and 2018 , respectively. |
Debt
Debt | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-term and long-term debt at June 30, 2019 , December 31, 2018 and June 30, 2018 consisted of the following: (in thousands) June 30, December 31, June 30, Short-term Debt – Non-Recourse (a) $ 75,476 $ — $ — Short-term Debt – Recourse 350,649 205,000 185,000 Total Short-term Debt $ 426,125 $ 205,000 $ 185,000 Current Maturities of Long-term Debt – Non-Recourse (b) $ 8,903 $ 4,842 $ 2,922 Current Maturities of Long-term Debt – Recourse (c) 40,785 16,747 10,778 Finance lease liability (d) 16,990 — — Total Current Maturities of Long-term Debt $ 66,678 $ 21,589 $ 13,700 Long-term Debt, Less: Current Maturities – Non-Recourse (b) $ 198,560 $ 146,353 $ 72,290 Long-term Debt, Less: Current Maturities – Recourse (c) 786,512 349,834 363,290 Finance lease liability (d) 21,940 — — Total Long-term Debt, Less: Current Maturities $ 1,007,012 $ 496,187 $ 435,580 (a) In conjunction with the recent acquisition, the Company assumed Thompsons' revolving line of credit and a term loan with a syndicate of banks, which are non-recourse to the Company. The credit agreement provides the Company with a maximum availability of $183.4 million and had $107.9 million available for borrowing on this line of credit as of June 30, 2019 . Any borrowings under the line of credit bear interest at variable rates, which are based on LIBOR or Bankers’ Acceptances plus an applicable spread. The maturity date for the revolving line of credit is June 26, 2023. (b) In conjunction with the recent acquisition, the Company also assumed a term loan with a syndicate of banks. The term loan had a balance of $33.9 million at June 30, 2019. Interest rates for the term loans are based on LIBOR plus an applicable spread. Payments of $0.6 million are made on a quarterly basis. (c) On January 11, 2019 the Company entered into 5 -year term loan in the amount of $250 million and a 7 -year term loan of $250 million . A portion of the term loans were used to pay down debt assumed in the LTG acquisition. Interest rates are based on LIBOR plus an applicable spread. Payments on the term loans will be made on a quarterly basis. As of June 30, 2019 , $6.3 million has been paid on the 5 -year term loan and $6.3 million has been paid on the 7 -year term loan. (d) See Note 14, Leases, for additional information. June 30, 2019 balances include the former build-to-suit lease that was reclassed from other current liabilities and other long-term liabilities as a result of the new lease standard. The total borrowing capacity of the Company's lines of credit at June 30, 2019 was $1,628.4 million of which the Company had a total of $1,006.1 million available for borrowing under its lines of credit, subject to certain limitations based on debt covenants. The Company's borrowing capacity is reduced by a combination of outstanding borrowings and letters of credit. The Company is in compliance with all financial covenants as of June 30, 2019 |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The Company’s operating results are affected by changes to commodity prices. The Trade and Ethanol businesses have established “unhedged” position limits (the amount of a commodity, either owned or contracted for, that does not have an offsetting derivative contract to lock in the price). To reduce the exposure to market price risk on commodities owned and forward purchase and sale contracts, the Company enters into exchange traded commodity futures and options contracts and over-the-counter forward and option contracts with various counterparties. These contracts are primarily traded via regulated commodity exchanges. The Company’s forward purchase and sales contracts are for physical delivery of the commodity in a future period. Contracts to purchase commodities from producers generally relate to the current or future crop years for delivery periods quoted by regulated commodity exchanges. Most contracts for the sale of commodities to processors or other commercial consumers generally do not extend beyond one year . Most of these contracts meet the definition of derivatives. While the Company considers its commodity contracts to be effective economic hedges, the Company does not designate or account for its commodity contracts as hedges as defined under current accounting standards. The Company primarily accounts for its commodity derivatives at estimated fair value. The estimated fair value of the commodity derivative contracts that require the receipt or posting of cash collateral is recorded on a net basis (offset against cash collateral posted or received, also known as margin deposits) within commodity derivative assets or liabilities. Management determines fair value based on exchange-quoted prices and in the case of its forward purchase and sale contracts, estimated fair value is adjusted for differences in local markets and non-performance risk. For contracts for which physical delivery occurs, balance sheet classification is based on estimated delivery date. For futures, options and over-the-counter contracts in which physical delivery is not expected to occur but, rather, the contract is expected to be net settled, the Company classifies these contracts as current or noncurrent assets or liabilities, as appropriate, based on the Company’s expectations as to when such contracts will be settled. Realized and unrealized gains and losses in the value of commodity contracts (whether due to changes in commodity prices, changes in performance or credit risk, or due to sale, maturity or extinguishment of the commodity contract) and grain inventories are included in cost of sales and merchandising revenues. Generally accepted accounting principles permit a party to a master netting arrangement to offset fair value amounts recognized for derivative instruments against the right to reclaim cash collateral or obligation to return cash collateral under the same master netting arrangement. The Company has master netting arrangements for its exchange traded futures and options contracts and certain over-the-counter contracts. When the Company enters into a future, option or an over-the-counter contract, an initial margin deposit may be required by the counterparty. The amount of the margin deposit varies by commodity. If the market price of a future, option or an over-the-counter contract moves in a direction that is adverse to the Company’s position, an additional margin deposit, called a maintenance margin, is required. The margin deposit assets and liabilities are included in short-term commodity derivative assets or liabilities, as appropriate, in the Condensed Consolidated Balance Sheets. The following table presents at June 30, 2019 , December 31, 2018 and June 30, 2018 , a summary of the estimated fair value of the Company’s commodity derivative instruments that require cash collateral and the associated cash posted/received as collateral. The net asset or liability positions of these derivatives (net of their cash collateral) are determined on a counterparty-by-counterparty basis and are included within current or noncurrent commodity derivative assets (or liabilities) on the Condensed Consolidated Balance Sheets: June 30, 2019 December 31, 2018 June 30, 2018 (in thousands) Net derivative asset position Net derivative liability position Net derivative asset position Net derivative liability position Net derivative asset position Net derivative liability position Collateral paid (received) $ 109,346 $ — $ 14,944 $ — $ (52,888 ) $ — Fair value of derivatives (5,996 ) — 22,285 — 68,244 — Balance at end of period $ 103,350 $ — $ 37,229 $ — $ 15,356 $ — The following table presents, on a gross basis, current and noncurrent commodity derivative assets and liabilities: June 30, 2019 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 166,652 $ 6,748 $ 3,360 $ 57 $ 176,817 Commodity derivative liabilities (42,983 ) (587 ) (72,729 ) (4,042 ) (120,341 ) Cash collateral paid (received) 109,346 — — — 109,346 Balance sheet line item totals $ 233,015 $ 6,161 $ (69,369 ) $ (3,985 ) $ 165,822 December 31, 2018 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 43,463 $ 484 $ 706 $ 5 $ 44,658 Commodity derivative liabilities (6,986 ) (4 ) (33,353 ) (894 ) (41,237 ) Cash collateral (received) 14,944 — — — 14,944 Balance sheet line item totals $ 51,421 $ 480 $ (32,647 ) $ (889 ) $ 18,365 June 30, 2018 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 123,917 $ 1,022 $ 626 $ 36 $ 125,601 Commodity derivative liabilities (16,770 ) (14 ) (85,786 ) (3,238 ) (105,808 ) Cash collateral (received) (52,888 ) — — — (52,888 ) Balance sheet line item totals $ 54,259 $ 1,008 $ (85,160 ) $ (3,202 ) $ (33,095 ) The net pretax gains and losses on commodity derivatives not designated as hedging instruments included in the Company’s Condensed Consolidated Statements of Operations and the line item in which they are located for the three and six months ended June 30, 2019 and 2018 are as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Gains (losses) on commodity derivatives included in cost of sales and merchandising revenues $ (13,364 ) $ 45,844 $ 57,291 $ 20,608 The Company had the following volume of commodity derivative contracts outstanding (on a gross basis) at June 30, 2019 , December 31, 2018 and June 30, 2018 : June 30, 2019 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 648,434 — — — Soybeans 59,594 — — — Wheat 93,621 — — — Oats 40,582 — — — Ethanol — 211,352 — — Corn oil — — 8,809 — Other 23,875 2,532 — 3,179 Subtotal 866,106 213,884 8,809 3,179 Exchange traded: Corn 317,405 — — — Soybeans 52,762 — — — Wheat 55,150 — — Oats 1,045 — — — Ethanol — 82,988 — — Propane — 13,230 — — Other — 35 — 180 Subtotal 426,362 96,253 — 180 Total 1,292,468 310,137 8,809 3,359 December 31, 2018 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 250,408 — — — Soybeans 22,463 — — — Wheat 14,017 — — — Oats 26,230 — — — Ethanol — 244,863 — — Corn oil — — 2,920 — Other 494 2,000 — 66 Subtotal 313,612 246,863 2,920 66 Exchange traded: Corn 130,585 — — — Soybeans 26,985 — — — Wheat 33,760 — — — Oats 1,475 — — — Ethanol — 77,112 — — Subtotal 192,805 77,112 — — Total 506,417 323,975 2,920 66 June 30, 2018 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 272,979 — — — Soybeans 49,208 — — — Wheat 11,163 — — — Oats 36,612 — — — Ethanol — 332,761 — Corn oil — — 6,158 — Other 82 1,500 77 Subtotal 370,044 334,261 6,158 77 Exchange traded: Corn 133,730 — — — Soybeans 45,775 — — — Wheat 48,105 — — — Oats 1,190 — — — Ethanol — 140,364 — — Subtotal 228,800 140,364 — — Total 598,844 474,625 6,158 77 Interest Rate and Other Derivatives The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The gains or losses on the derivatives are recorded in Other Comprehensive Income (Loss) and subsequently reclassified into interest expense in the same periods during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. At June 30, 2019 , December 31, 2018 and June 30, 2018 , the Company had recorded the following amounts for the fair value of the Company's other derivatives: (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Derivatives not designated as hedging instruments Interest rate contracts included in Other long-term assets (Other long-term liabilities) $ (10,750 ) $ (353 ) $ (37 ) Foreign currency contracts included in Other current assets (Accrued expenses and other current liabilities) $ (22 ) $ (1,122 ) $ (1,109 ) Derivatives designated as hedging instruments Interest rate contract included in Accrued expenses and other current liabilities $ — $ — $ (88 ) Interest rate contract included in Other assets (Other long-term liabilities) $ (10,587 ) $ (168 ) $ 155 The recording of derivatives gains and losses and the financial statement line in which they are located are as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Derivatives not designated as hedging instruments Interest rate derivative gains (losses) included in Interest income (expense) $ (1,065 ) $ 351 $ (2,055 ) $ 1,141 Foreign currency derivative gains (losses) included in Other income, net $ (366 ) $ (413 ) $ (1,833 ) $ (1,535 ) Derivatives designated as hedging instruments Interest rate derivative gains (losses) included in Other Comprehensive Income (Loss) $ (7,926 ) $ 67 $ (12,917 ) $ 67 Interest rate derivatives gains (losses) included in Interest income (expense) $ — $ — $ 165 $ — Outstanding interest rate derivatives, as of June 30, 2019 , are as follows: Interest Rate Hedging Instrument Year Entered Year of Maturity Initial Notional Amount (in millions) Description Interest Rate Long-term Swap 2014 2023 $ 23.0 Interest rate component of debt - not accounted for as a hedge 1.9% Collar 2016 2021 $ 40.0 Interest rate component of debt - not accounted for as a hedge 3.5% to 4.8% Swap * 2016 2019 $ 50.0 Interest rate component of debt - not accounted for as a hedge 1.2% Swap * 2017 2022 $ 20.0 Interest rate component of debt - accounted for as a hedge 1.8% Swap * 2018 2023 $ 10.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap * 2018 2025 $ 20.0 Interest rate component of debt - accounted for as a hedge 2.7% Swap 2018 2021 $ 40.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap 2019 2021 $ 25.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2021 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 100.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% * Acquired on 1/1/2019 in conjunction with the acquisition of LTG. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2019 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The following are components of the net periodic benefit cost for the pension and postretirement benefit plans maintained by the Company for the three and six months ended June 30, 2019 and 2018 : Pension Benefits (in thousands) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Interest cost $ 29 $ 32 $ 58 $ 65 Recognized net actuarial loss 58 61 116 122 Benefit cost $ 87 $ 93 $ 174 $ 187 Postretirement Benefits (in thousands) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Service cost $ 64 $ 75 $ 138 $ 162 Interest cost 221 190 427 377 Amortization of prior service cost (228 ) (228 ) (456 ) (456 ) Benefit cost $ 57 $ 37 $ 109 $ 83 |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Many of the Company’s revenues are generated from contracts that are outside the scope of ASC 606 and thus are accounted for under other accounting standards. Specifically, many of the Company's Trade and Ethanol sales contracts are derivatives under ASC 815, Derivatives and Hedging and the Rail Group's leasing revenue is accounted for under ASC 842, Leases . The breakdown of revenues between ASC 606 and other standards is as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Revenues under ASC 606 $ 494,266 $ 356,883 $ 809,438 $ 550,533 Revenues under ASC 842 31,836 26,228 60,704 52,257 Revenues under ASC 815 1,798,939 528,291 3,431,691 944,351 Total Revenues $ 2,325,041 $ 911,402 $ 4,301,833 $ 1,547,141 The remainder of this note applies only to those revenues that are accounted for under ASC 606. Disaggregation of revenue The following tables disaggregate revenues under ASC 606 by major product/service line for the three and six months ended June 30, 2019 and 2018 , respectively: Three months ended June 30, 2019 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ 31,870 $ — $ 87,665 $ — $ 119,535 Primary nutrients 22,364 — 174,907 — 197,271 Services 7,745 3,547 1,696 9,278 22,266 Products and co-products 55,943 32,047 — — 87,990 Frac sand and propane 56,767 — — — 56,767 Other 2,537 35 6,309 1,556 10,437 Total $ 177,226 $ 35,629 $ 270,577 $ 10,834 $ 494,266 Three months ended June 30, 2018 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ — $ — $ 94,281 $ — $ 94,281 Primary nutrients — — 200,288 — 200,288 Service 3,381 2,760 2,412 9,308 17,861 Co-products — 32,462 — — 32,462 Other 292 — 6,124 5,575 11,991 Total $ 3,673 $ 35,222 $ 303,105 $ 14,883 $ 356,883 Six months ended June 30, 2019 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ 35,808 $ — $ 156,065 $ — $ 191,873 Primary nutrients 22,791 — 227,996 — 250,787 Service 8,570 6,983 1,858 19,225 36,636 Co-products 118,701 53,517 — — 172,218 Frac sand and propane 137,230 — — — 137,230 Other 3,697 35 13,183 3,779 20,694 Total $ 326,797 $ 60,535 $ 399,102 $ 23,004 $ 809,438 Six months ended June 30, 2018 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ — $ — $ 169,359 $ — $ 169,359 Primary nutrients — — 253,507 — 253,507 Service 7,799 5,305 2,621 17,425 33,150 Co-products — 59,108 — — 59,108 Other 502 — 13,235 21,672 35,409 Total $ 8,301 $ 64,413 $ 438,722 $ 39,097 $ 550,533 Approximately 4% and 5% of revenues accounted for under ASC 606 during each of the three and months ended June 30, 2019 and 2018 , are recorded over time which primarily relates to service revenues noted above. Additionally, during the six months ended June 30, 2019 and 2018 , approximately 4% and 6% of revenues were accounted for under ASC 606, respectively. Contract balances The opening and closing balances of the Company’s contract liabilities are as follows: (in thousands) 2019 2018 Balance at January 1, $ 28,858 $ 25,520 Balance at March 31, 146,824 67,715 Balance at June 30, 48,225 10,047 Exclusive of acquisition related impacts, the residual difference between the opening and closing balances of the Company’s contract liabilities primarily results from the timing difference between the Company’s performance and the customer’s payment. The contract liabilities have two main drivers, including Trade prepayments by counter parties and payments for primary and specialty nutrients received in advance of fulfilling our performance obligations under our customer contracts. The primary and specialty business records contract liabilities for payments received in advance of fulfilling our performance obligations under our customer contracts. Further, due to seasonality of this business, contract liabilities were built up in the first quarter of the year. In the second quarter, the decrease in liabilities is due to the revenue recognized in the current period relating to the liability built up in the first quarter. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On a quarterly basis, the Company estimates the effective tax rate expected to be applicable for the full year and makes changes if necessary based on new information or events. The estimated annual effective tax rate is forecasted based on actual historical information and forward-looking estimates and is used to provide for income taxes in interim reporting periods. The Company also recognizes the tax impact of certain unusual or infrequently occurring items, such as the effects of changes in tax laws or rates and impacts from settlements with tax authorities, discretely in the quarter in which they occur. For the three months ended June 30, 2019 , the Company recorded income tax expense of $11.0 million at an effective income tax rate of 27.2% . The annual effective tax rate differs from the statutory U.S. Federal tax rate due to the impact of state income taxes, nondeductible compensation, and income taxes on foreign earnings. The effective tax rate for the three-month period ended June 30, 2019 also includes tax benefits from foreign and general business tax credits. The increase in effective tax rate for the three months ended June 30, 2019 as compared to the same period last year was primarily attributed to the impacts of nondeductible compensation and noncontrolling interest, partially offset by benefits from income taxes on foreign earnings. For the three months ended June 30, 2018 , the Company recorded an income tax expense of $7.7 million at an effective income tax rate of 26.6% . For the six months ended June 30, 2019 , the Company recorded income tax expense of $5.6 million at an effective income tax rate of 26.7% . The annual effective tax rate differs from the statutory U.S. Federal tax rate due to the impact of state income taxes, nondeductible compensation, and income taxes on foreign earnings. The effective tax rate for the six -month period ended June 30, 2019 also includes tax benefits from foreign and general business tax credits. The decrease in effective tax rate for the six months ended June 30, 2019 as compared to the same period last year was primarily attributed to income taxes on foreign earnings and discrete activity in the prior period for a statutory merger that did not recur in the current period. For the six months ended June 30, 2018 , the Company recorded an income tax expense of $7.4 million at an effective income tax rate of 27.7% . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Income (Loss) The following tables summarize the after-tax components of accumulated other comprehensive income (loss) attributable to the Company for the three and six months ended June 30, 2019 and 2018 : Changes in Accumulated Other Comprehensive Income (Loss) by Component (a) Three months ended June 30, 2019 Six months ended June 30, 2019 (in thousands) Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Beginning Balance $ (3,748 ) $ 1,059 $ 258 $ 4,905 $ 2,474 $ (126 ) $ (11,550 ) $ 258 $ 5,031 $ (6,387 ) Other comprehensive loss before reclassifications (5,952 ) (2,035 ) — (557 ) $ (8,544 ) (9,710 ) (1,092 ) — (512 ) (11,314 ) Amounts reclassified from accumulated other comprehensive income (loss) (b) — — — (171 ) $ (171 ) 136 11,666 — (342 ) 11,460 Net current-period other comprehensive income (loss) (5,952 ) (2,035 ) — (728 ) (8,715 ) (9,574 ) 10,574 — (854 ) 146 Ending balance $ (9,700 ) $ (976 ) $ 258 $ 4,177 $ (6,241 ) $ (9,700 ) $ (976 ) $ 258 $ 4,177 $ (6,241 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits (b) Reflects foreign currency translation adjustments attributable to the consolidation of Thompsons Limited as summarized in Note 17. Changes in Accumulated Other Comprehensive Income (Loss) by Component (a) Three months ended June 30, 2018 Six months ended June 30, 2018 (in thousands) Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Beginning Balance $ — $ (8,866 ) $ 257 $ 4,621 $ (3,988 ) $ — $ (7,716 ) $ 344 $ 4,672 $ (2,700 ) Other comprehensive income (loss) before reclassifications 51 (1,123 ) — (119 ) (1,191 ) 51 (2,273 ) (87 ) (2 ) (2,311 ) Amounts reclassified from accumulated other comprehensive loss — — — (168 ) (168 ) — — — (336 ) (336 ) Net current-period other comprehensive income (loss) 51 (1,123 ) — (287 ) (1,359 ) 51 (2,273 ) (87 ) (338 ) (2,647 ) Ending balance $ 51 $ (9,989 ) $ 257 $ 4,334 $ (5,347 ) $ 51 $ (9,989 ) $ 257 $ 4,334 $ (5,347 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (a) (in thousands) Three months ended June 30, 2019 Six months ended June 30, 2019 Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Defined Benefit Plan Items Amortization of prior-service cost $ (228 ) (b) $ (456 ) (b) (228 ) Total before tax (456 ) Total before tax 57 Income tax provision 114 Income tax provision $ (171 ) Net of tax $ (342 ) Net of tax Cash Flow Hedges Interest payments — Interest expense $ 182 Interest expense — Total before tax 182 Total before tax — Income tax provision (46 ) Income tax provision $ — Net of tax $ 136 Net of tax Foreign Currency Translation Adjustment Realized loss on pre-existing investment — Other income, net $ 11,666 Other income, net — Total before tax $ 11,666 Total before tax — Income tax provision $ — Income tax provision $ — Net of tax $ 11,666 Net of tax Total reclassifications for the period $ (171 ) Net of tax $ 11,460 Net of tax Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (a) (in thousands) Three months ended June 30, 2018 Six months ended June 30, 2018 Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Defined Benefit Plan Items Amortization of prior-service cost $ (228 ) (b) $ (456 ) (b) (228 ) Total before tax (456 ) Total before tax 60 Income tax provision 120 Income tax provision $ (168 ) Net of tax $ (336 ) Net of tax Total reclassifications for the period $ (168 ) Net of tax $ (336 ) Net of tax (a) Amounts in parentheses indicate credits to profit/loss (b) This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost (see Note 6). |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The Company’s non-vested restricted stock that was granted prior to March 2015 is considered a participating security since the share-based awards contain a non-forfeitable right to dividends irrespective of whether the awards ultimately vest. Unvested share-based payment awards that contain non-forfeitable rights to dividends are participating securities and are included in the computation of earnings per share pursuant to the two-class method. The two-class method of computing earnings per share is an earnings allocation formula that determines earnings per share for common stock and any participating securities according to dividends declared (whether paid or unpaid) and participation rights in undistributed earnings. (in thousands, except per common share data) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Net income attributable to The Andersons, Inc. $ 29,888 $ 21,529 $ 15,895 $ 19,829 Less: Distributed and undistributed earnings allocated to nonvested restricted stock — — — — Earnings available to common shareholders $ 29,888 $ 21,529 $ 15,895 $ 19,829 Earnings per share – basic: Weighted average shares outstanding – basic 32,521 28,261 32,511 28,249 Earnings per common share – basic $ 0.92 $ 0.76 $ 0.49 $ 0.70 Earnings per share – diluted: Weighted average shares outstanding – basic 32,521 28,261 32,511 28,249 Effect of dilutive awards 212 128 560 187 Weighted average shares outstanding – diluted 32,733 28,389 33,071 28,436 Earnings per common share – diluted $ 0.91 $ 0.76 $ 0.48 $ 0.70 All outstanding share awards were 33 thousand and 61 thousand antidilutive for the three and six months ended June 30, 2019 , respectively. There were 28 thousand and 25 thousand antidilutive stock-based awards outstanding for the three and six months ended June 30, 2018 , respectively. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2019 , December 31, 2018 and June 30, 2018 : (in thousands) June 30, 2019 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 103,350 $ 62,473 $ — $ 165,823 Provisionally priced contracts (b) (1,064 ) (38,215 ) — (39,279 ) Convertible preferred securities (c) — — 8,404 8,404 Other assets and liabilities (d) 5,284 (10,750 ) — (5,466 ) Total $ 107,570 $ 13,508 $ 8,404 $ 129,482 (in thousands) December 31, 2018 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 37,229 $ (18,864 ) $ — $ 18,365 Provisionally priced contracts (b) (76,175 ) (58,566 ) — (134,741 ) Convertible preferred securities (c) — — 7,154 7,154 Other assets and liabilities (d) 5,186 (353 ) — 4,833 Total $ (33,760 ) $ (77,783 ) $ 7,154 $ (104,389 ) (in thousands) June 30, 2018 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 15,356 $ (48,451 ) $ — $ (33,095 ) Provisionally priced contracts (b) (37,787 ) (24,511 ) — (62,298 ) Convertible preferred securities (c) — — 7,488 7,488 Other assets and liabilities (d) 4,136 (37 ) — 4,099 Total $ (18,295 ) $ (72,999 ) $ 7,488 $ (83,806 ) (a) Includes associated cash posted/received as collateral (b) Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) (c) Recorded in “Other noncurrent assets” on the Company’s Condensed Consolidated Balance Sheets. (d) Included in other assets and liabilities are assets held in rabbi trusts to fund deferred compensation plans, ethanol risk management contracts, and foreign exchange derivative contracts (Level 1), and interest rate derivatives (Level 2). Level 1 commodity derivatives reflect the fair value of the exchanged-traded futures and options contracts that the Company holds, net of the cash collateral that the Company has in its margin account. The majority of the Company’s assets and liabilities measured at fair value are based on the market approach valuation technique. With the market approach, fair value is derived using prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The Company’s net commodity derivatives primarily consist of futures or options contracts via regulated exchanges and contracts with producers or customers under which the future settlement date and bushels (or gallons in the case of ethanol contracts) of commodities to be delivered (primarily wheat, corn, soybeans and ethanol) are fixed and under which the price may or may not be fixed. Depending on the specifics of the individual contracts, the fair value is derived from the futures or options prices quoted on various exchanges for similar commodities and delivery dates as well as observable quotes for local basis adjustments (the difference, which is attributable to local market conditions, between the quoted futures price and the local cash price). Because “basis” for a particular commodity and location typically has multiple quoted prices from other agribusinesses in the same geographical vicinity and is used as a common pricing mechanism in the agribusiness industry, we have concluded that “basis” is typically a Level 2 fair value input for purposes of the fair value disclosure requirements related to our commodity derivatives, depending on the specific commodity. Although nonperformance risk, both of the Company and the counterparty, is present in each of these commodity contracts and is a component of the estimated fair values, based on the Company’s historical experience with its producers and customers and the Company’s knowledge of their businesses, the Company does not view nonperformance risk to be a significant input to fair value for these commodity contracts. These fair value disclosures exclude physical grain inventories measured at net realizable value. The net realizable value used to measure the Company’s agricultural commodity inventories is the fair value (spot price of the commodity in an exchange), less cost of disposal and transportation based on the local market. This valuation would generally be considered Level 2. The amount is disclosed in Note 2 Inventories. Changes in the net realizable value of commodity inventories are recognized as a component of cost of sales and merchandising revenues. Provisionally priced contract liabilities are those for which the Company has taken ownership and possession of grain but the final purchase price has not been established. In the case of payables where the unpriced portion of the contract is limited to the futures price of the underlying commodity or we have delivered provisionally priced grain and a subsequent payable or receivable is set up for any future changes in the grain price, quoted exchange prices are used and the liability is deemed to be Level 1 in the fair value hierarchy. For all other unpriced contracts which include variable futures and basis components, the amounts recorded for delayed price contracts are determined on the basis of local grain market prices at the balance sheet date and, as such, are deemed to be Level 2 in the fair value hierarchy. The risk management contract liability allows related ethanol customers to effectively unprice the futures component of their inventory for a period of time, subjecting the bushels to market fluctuations. The Company records an asset or liability for the market value changes of the commodities over the life of the contracts based on quoted exchange prices and as such, the balance is deemed to be Level 1 in the fair value hierarchy. The convertible preferred securities are interests in several early-stage enterprises that may be in various forms, such as convertible debt or preferred equity securities. A reconciliation of beginning and ending balances for the Company’s fair value measurements using Level 3 inputs is as follows: Convertible Preferred Securities (in thousands) 2019 2018 Assets (liabilities) at January 1, $ 7,154 $ 7,388 Additional Investments 250 — Assets (liabilities) at March 31, $ 7,404 $ 7,388 Additional investments 1,000 100 Asset (liabilities) at June 30, $ 8,404 $ 7,488 The following tables summarize quantitative information about the Company's Level 3 fair value measurements as of June 30, 2019 , December 31, 2018 and June 30, 2018 : Quantitative Information about Level 3 Fair Value Measurements (in thousands) Fair Value as of June 30, 2019 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 8,404 Implied based on market prices N/A N/A Real Property (b) 2,719 Market Approach N/A N/A (in thousands) Fair Value as of December 31, 2018 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 7,154 Implied based on market prices N/A N/A (in thousands) Fair Value as of June 30, 2018 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 7,488 Implied based on market prices N/A N/A Real property (b) 1,300 Sale agreement N/A N/A Rail car assets (c) 4,063 National scrap index less cost to sell N/A N/A (a) The Company considers observable price changes and other additional market data available in order to estimate fair value, including additional capital raising, internal valuation models, progress towards key business milestones, and other relevant market data points. (b) The Company recognized impairment charges on certain assets and measured the fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined using prior transactions in the local market and a pending sale of grain assets held by the Company. (c)The Company recognized impairment charges on rail assets during 2018 and measured fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined based on a national scrap index less cost to sell. Fair Value of Financial Instruments The fair value of the Company’s long-term debt is estimated using quoted market prices or discounted future cash flows based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. As such, the Company has concluded that the fair value of long-term debt is considered Level 2 in the fair value hierarchy. (in thousands) June 30, December 31, June 30, Fair value of long-term debt, including current maturities $ 1,078,185 $ 517,998 $ 444,821 Fair value in excess of carrying value (a) 4,495 5,813 (8,063 ) (a) Carrying value used for this purpose excludes unamortized debt issuance costs. The fair value of the Company’s cash equivalents, accounts receivable and accounts payable approximate their carrying value as they are close to maturity. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Equity Method Investments The Company, directly or indirectly, holds investments in companies that are accounted for under the equity method. The Company’s equity in these entities is presented at cost plus its accumulated proportional share of income or loss, less any distributions it has received. The following table presents the Company’s investment balance in each of its equity method investees by entity: (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 The Andersons Albion Ethanol LLC $ 50,760 $ 50,382 $ 47,474 The Andersons Clymers Ethanol LLC 25,260 24,242 21,214 The Andersons Marathon Ethanol LLC 16,294 14,841 14,344 Lansing Trade Group, LLC (a) — 101,715 97,476 Thompsons Limited (a) — 48,987 49,251 Providence Grain Group Inc. 17,161 — — Other 11,454 2,159 2,400 Total $ 120,929 $ 242,326 $ 232,159 (a) The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the Company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited of Ontario, Canada and related entities, which LTG and the Company had equally owned. The following table summarizes income (loss) earned from the Company’s equity method investments by entity: Three months ended June 30, Six months ended June 30, (in thousands) % Ownership at June 30, 2019 2019 2018 2019 2018 The Andersons Albion Ethanol LLC 55% $ 120 $ 1,329 $ 379 $ 2,450 The Andersons Clymers Ethanol LLC 39% 694 1,236 1,276 1,745 The Andersons Marathon Ethanol LLC 33% 644 1,728 1,453 1,684 Lansing Trade Group, LLC (a) 100% (a) — 3,591 — 6,175 Thompsons Limited (a) 100% (a) — 1,980 — 1,311 Providence Grain Group Inc. 39% (1,719 ) — (1,844 ) — Other 5% - 51% 104 (61 ) 98 11 Total $ (157 ) $ 9,803 $ 1,362 $ 13,376 (a) The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited and related entities, which LTG and the Company had equally owned. The Company received $0.3 million from unconsolidated affiliates for the six months ended June 30, 2019 and received $2.1 million for the six months ended June 30, 2018 . In the second quarter of 2019, the Company did not have significant equity investees. In the second quarter of 2018, Lansing Trade Group qualified as significant equity investee of the Company under the income test. In January of 2019, the Company acquired the remaining equity of LTG and is now reflected in the consolidated results of the Company. Related Party Transactions In the ordinary course of business and on an arms-length basis, the Company will enter into related party transactions with each of the investments described above, along with other related parties. On March 2, 2018, the Company invested in ELEMENT, LLC. The Company owns 51% of ELEMENT, LLC and ICM, Inc. owns the remaining 49% interest. ELEMENT, LLC is constructing a 70 million -gallon-per-year bio-refinery. As part of the Company’s investment into ELEMENT, LLC, the Company and ICM, Inc. entered into a number of agreements with the entity. Most notably, ICM, Inc. will operate the facility under a management contract and manage the initial construction of the facility, while the Company will provide corn origination, ethanol marketing, and risk management services. The results of operations for ELEMENT, LLC have been included in the Company's consolidated results of operations beginning on March 2, 2018 and are a component of the Ethanol segment. The plant is expected to be operational in the third quarter of 2019. The following table sets forth the related party transactions entered into for the time periods presented: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Sales revenues $ 57,854 $ 107,686 $ 119,022 $ 196,580 Service fee revenues (a) 4,052 5,191 8,163 10,308 Purchases of product and capital assets 176,442 197,444 345,671 378,968 Lease income (b) 1,645 1,624 3,309 3,206 Labor and benefits reimbursement (c) 3,602 3,601 7,460 7,168 (a) Service fee revenues include management fees, corn origination fees, ethanol and distillers dried grains (DDG) marketing fees, and other commissions. (b) Lease income includes the lease of the Company’s Albion, Michigan and Clymers, Indiana grain facilities as well as certain railcars to the various ethanol LLCs. (c) The Company provides all operational labor to the unconsolidated ethanol LLCs. (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Accounts receivable (d) $ 19,515 $ 17,829 $ 27,030 Accounts payable (e) 24,700 28,432 39,620 (d) Accounts receivable represents amounts due from related parties for sales of corn, leasing revenue and service fees. (e) Accounts payable represents amounts due to related parties for purchases of ethanol and other various items. For the three months ended June 30, 2019 and 2018 , revenues recognized for the sale of ethanol and co-products that the Company purchased from the unconsolidated ethanol LLCs were $154.2 million and $172.3 million , respectively. For the six months ended June 30, 2019 and 2018 , revenues recognized for the sale of ethanol and co-products that the Company purchased from the unconsolidated ethanol LLCs were $298.2 million and $318.5 million , respectively. The Company may enter into derivative contracts with certain of its related parties, including the unconsolidated ethanol LLCs, for the purchase and sale of grain or ethanol, for price risk mitigation purposes and on similar terms as the purchase and sale of derivative contracts it enters into with unrelated parties. The fair value of derivative contract assets with related parties as of June 30, 2019 , December 31, 2018 and June 30, 2018 was $ 0.2 million , $ 1.9 million and $ 8.1 million , respectively. The fair value of derivative contract liabilities with related parties as of June 30, 2019 , December 31, 2018 and June 30, 2018 was $ 2.1 million , $ 6.3 million and $ 3.9 million , respectively. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company’s operations include four reportable business segments that are distinguished primarily on the basis of products and services offered. The Trade business includes grain merchandising, the operation of terminal grain elevator facilities and, historically, the investments in LTG and Thompsons Limited. In January 2019, the Company acquired the remaining 67.5% of LTG equity that it did not already own. The transaction also resulted in the consolidation of Thompsons Limited of Ontario, Canada and related entities, which LTG and the Company jointly owned. The Company is continuing to evaluate its segment reporting structure as a result of the acquisition. The presentation includes a majority of the acquired business within the legacy Grain Group which has been renamed, Trade Group. The acquired ethanol trading business of LTG is included within the Ethanol Group. This presentation is still preliminary as the reporting structure may further evolve this year. The Company also moved certain commission income and an elevator lease from the legacy Grain Group to the Ethanol Group to better align business segments. Prior year results have been recast to reflect this change. The Ethanol business purchases and sells ethanol, and provides risk management, origination and management services to ethanol production facilities. These facilities are organized as limited liability companies, two are consolidated and three are investments accounted for under the equity method. The Company performs a combination of these services under various contracts for these investments. The Plant Nutrient business manufactures and distributes agricultural inputs, primarily fertilizer, to dealers and farmers, along with turf care and corncob-based products. Rail operations include the leasing, marketing and fleet management of railcars and other assets, railcar repair and metal fabrication. The Other category includes other corporate level costs not attributable to an operating segment. The segment information below includes the allocation of expenses shared by one or more operating segments. Although management believes such allocations are reasonable, the operating information does not necessarily reflect how such data might appear if the segments were operated as separate businesses. Inter-segment sales are made at prices comparable to normal, unaffiliated customer sales. The Company does not have any customers who represent 10 percent or more of total revenue. Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Revenues from external customers Trade $ 1,766,305 $ 365,920 $ 3,364,326 $ 642,772 Ethanol 245,143 200,938 453,974 373,776 Plant Nutrient 270,577 303,106 399,102 438,723 Rail 43,016 41,438 84,431 91,870 Total $ 2,325,041 $ 911,402 $ 4,301,833 $ 1,547,141 Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Inter-segment sales Trade $ 631 $ 462 $ 812 $ 993 Plant Nutrient 1,274 — 1,294 — Rail 771 338 2,046 671 Total $ 2,676 $ 800 $ 4,152 $ 1,664 Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Income (loss) before income taxes, net of noncontrolling interest Trade $ 23,731 $ 9,877 $ 6,268 $ 9,847 Ethanol 2,649 6,125 5,221 7,964 Plant Nutrient 15,903 15,124 11,974 16,215 Rail 3,180 944 7,492 4,913 Other (4,578 ) (2,799 ) (9,505 ) (11,678 ) Income (loss) before income taxes, net of noncontrolling interest 40,885 29,271 21,450 27,261 Noncontrolling interests (477 ) (116 ) (632 ) (398 ) Income (loss) before income taxes $ 40,408 $ 29,155 $ 20,818 $ 26,863 (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Identifiable assets Trade $ 2,057,305 $ 978,974 $ 820,016 Ethanol 361,522 295,971 248,560 Plant Nutrient 381,924 403,780 356,166 Rail 657,617 590,407 535,087 Other 113,491 122,871 157,959 Total $ 3,571,859 $ 2,392,003 $ 2,117,788 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | Leases The Company leases certain grain handling and storage facilities, ethanol storage terminals. warehouse space, railcars, locomotives, barges, office space, machinery and equipment, vehicles and information technology equipment under operating leases. Lease expense for these leases is recognized within the Consolidated Statements of Operations on a straight-line basis over the lease term, with variable lease payments recognized in the period those payments are incurred. The following table summarizes the amounts recognized in the Company's Condensed Consolidated Balance Sheet related to leases: (in thousands) Condensed Consolidated Balance Sheet Classification June 30, 2019 Assets Operating lease assets Right of use assets, net $ 74,073 Finance lease assets Property, plant and equipment, net 24,099 Finance lease assets Rail Group assets leased to others, net 2,047 Total leased assets $ 100,219 Liabilities Current operating leases Accrued expenses and other current liabilities 25,672 Non-current operating leases Long-term lease liabilities 48,401 Total operating lease liabilities $ 74,073 Current finance leases Current maturities of long-term debt 16,990 Non-current finance leases Long-term debt 21,940 Total finance lease liabilities $ 38,930 Total lease liabilities $ 113,003 The components of lease cost recognized within the Company's Condensed Consolidated Statement of Operations were as follows: (in thousands) Condensed Consolidated Statement of Operations Classification June 30, 2019 Lease cost: Operating lease cost Cost of sales and merchandising revenues $ 13,120 Operating lease cost Operating, administrative and general expenses 6,834 Finance lease cost Amortization of right-of-use assets Operating, administrative and general expenses 1,912 Interest expense on lease liabilities Interest expense 543 Other lease cost (1) Operating, administrative and general expenses 199 Other lease cost (1) Interest expense 24 Total lease cost $ 22,632 (1) Other lease cost includes short-term lease costs and variable lease costs The Company often has the option to renew lease terms for buildings and other assets. The exercise of a lease renewal option is generally at the sole discretion of the Company. In addition, certain lease agreements may be terminated prior to their original expiration date at the discretion of the Company. Each renewal and termination option is evaluated at the lease commencement date to determine if the Company is reasonably certain to exercise the option on the basis of economic factors. The table below summarizes the weighted average remaining lease terms as of June 30, 2019 . Weighted Average Remaining Lease Term Operating leases 4.3 years Finance leases 7.1 years The discount rate implicit within our leases is generally not determinable and therefore the Company determines the discount rate based on its incremental borrowing rate. The incremental borrowing rate for each lease is determined based on its term and the currency in which lease payments are made, adjusted for the impacts of collateral. The table below summarizes the weighted average discount rate used to measure the Company's lease liabilities as of June 30, 2019 . Weighted Average Discount Rate Operating leases 4.16 % Finance leases 3.74 % Supplemental Cash Flow Information Related to Leases (in thousands) June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,345 Operating cash flows from finance leases $ 304 Financing cash flows from finance leases $ 775 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 3,992 Finance leases $ 15,920 Maturity Analysis of Leases Liabilities As of June 30, 2019 (in thousands) Operating Leases Finance Leases Total 2019 (excluding the six months ended June 30, 2019) $ 15,849 $ 3,672 $ 19,521 2020 22,069 15,288 37,357 2021 15,898 2,162 18,060 2022 10,550 2,169 12,719 2023 6,193 2,170 8,363 Thereafter 10,613 18,331 28,944 Total lease payments $ 81,172 $ 43,792 $ 124,964 Less interest 7,099 4,862 11,961 Total $ 74,073 $ 38,930 $ 113,003 |
Leases | Leases The Company leases certain grain handling and storage facilities, ethanol storage terminals. warehouse space, railcars, locomotives, barges, office space, machinery and equipment, vehicles and information technology equipment under operating leases. Lease expense for these leases is recognized within the Consolidated Statements of Operations on a straight-line basis over the lease term, with variable lease payments recognized in the period those payments are incurred. The following table summarizes the amounts recognized in the Company's Condensed Consolidated Balance Sheet related to leases: (in thousands) Condensed Consolidated Balance Sheet Classification June 30, 2019 Assets Operating lease assets Right of use assets, net $ 74,073 Finance lease assets Property, plant and equipment, net 24,099 Finance lease assets Rail Group assets leased to others, net 2,047 Total leased assets $ 100,219 Liabilities Current operating leases Accrued expenses and other current liabilities 25,672 Non-current operating leases Long-term lease liabilities 48,401 Total operating lease liabilities $ 74,073 Current finance leases Current maturities of long-term debt 16,990 Non-current finance leases Long-term debt 21,940 Total finance lease liabilities $ 38,930 Total lease liabilities $ 113,003 The components of lease cost recognized within the Company's Condensed Consolidated Statement of Operations were as follows: (in thousands) Condensed Consolidated Statement of Operations Classification June 30, 2019 Lease cost: Operating lease cost Cost of sales and merchandising revenues $ 13,120 Operating lease cost Operating, administrative and general expenses 6,834 Finance lease cost Amortization of right-of-use assets Operating, administrative and general expenses 1,912 Interest expense on lease liabilities Interest expense 543 Other lease cost (1) Operating, administrative and general expenses 199 Other lease cost (1) Interest expense 24 Total lease cost $ 22,632 (1) Other lease cost includes short-term lease costs and variable lease costs The Company often has the option to renew lease terms for buildings and other assets. The exercise of a lease renewal option is generally at the sole discretion of the Company. In addition, certain lease agreements may be terminated prior to their original expiration date at the discretion of the Company. Each renewal and termination option is evaluated at the lease commencement date to determine if the Company is reasonably certain to exercise the option on the basis of economic factors. The table below summarizes the weighted average remaining lease terms as of June 30, 2019 . Weighted Average Remaining Lease Term Operating leases 4.3 years Finance leases 7.1 years The discount rate implicit within our leases is generally not determinable and therefore the Company determines the discount rate based on its incremental borrowing rate. The incremental borrowing rate for each lease is determined based on its term and the currency in which lease payments are made, adjusted for the impacts of collateral. The table below summarizes the weighted average discount rate used to measure the Company's lease liabilities as of June 30, 2019 . Weighted Average Discount Rate Operating leases 4.16 % Finance leases 3.74 % Supplemental Cash Flow Information Related to Leases (in thousands) June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,345 Operating cash flows from finance leases $ 304 Financing cash flows from finance leases $ 775 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 3,992 Finance leases $ 15,920 Maturity Analysis of Leases Liabilities As of June 30, 2019 (in thousands) Operating Leases Finance Leases Total 2019 (excluding the six months ended June 30, 2019) $ 15,849 $ 3,672 $ 19,521 2020 22,069 15,288 37,357 2021 15,898 2,162 18,060 2022 10,550 2,169 12,719 2023 6,193 2,170 8,363 Thereafter 10,613 18,331 28,944 Total lease payments $ 81,172 $ 43,792 $ 124,964 Less interest 7,099 4,862 11,961 Total $ 74,073 $ 38,930 $ 113,003 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies The Company is party to litigation, or threats thereof, both as defendant and plaintiff with some regularity, although individual cases that are material in size occur infrequently. As a defendant, the Company establishes reserves for claimed amounts that are considered probable and capable of estimation. If those cases are resolved for lesser amounts, the excess reserves are taken into income and, conversely, if those cases are resolved for larger than the amount the Company has accrued, the Company records additional expense. The Company believes it is unlikely that the results of its current legal proceedings for which it is the defendant, even if unfavorable, will be material. As a plaintiff, amounts that are collected can also result in sudden, non-recurring income. Litigation results depend upon a variety of factors, including the availability of evidence, the credibility of witnesses, the performance of counsel, the state of the law, and the impressions of judges and jurors, any of which can be critical in importance, yet difficult, if not impossible, to predict. Consequently, cases currently pending, or future matters, may result in unexpected, and non-recurring losses, or income, from time to time. Finally, litigation results are often subject to judicial reconsideration, appeal and further negotiation by the parties, and as a result, the final impact of a particular judicial decision may be unknown for some time, or may result in continued reserves to account for the potential of such post-verdict actions. The Company recorded a $5.0 million reserve relating to an outstanding non-regulatory litigation claim, based upon preliminary settlement negotiations in the first quarter of 2019. The claim is in response to penalties and fines paid to regulatory entities by LTG in 2018 for the settlement of matters which focused on certain trading activity. The estimated losses for all other outstanding claims that are considered reasonably possible are not material. Commitments The Company continues its construction of a new bio-refinery facility, which is expected to be completed in 2019. Portions of the project are covered by design and build contracts, with approximately $13 million of the remaining obligation not yet incurred, of which $0.9 million has been prepaid, as of June 30, 2019 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | Supplemental Cash Flow Information Certain supplemental cash flow information, including noncash investing and financing activities for the six months ended June 30, 2019 and 2018 are as follows: Six months ended June 30, (in thousands) 2019 2018 Supplemental disclosure of cash flow information Interest paid $ 30,287 $ 16,982 Noncash investing and financing activity Equity issued in conjunction with acquisition 127,841 — Removal of pre-existing equity method investment (159,459 ) — Purchase price holdback/ other accrued liabilities 31,885 — Dividends declared not yet paid 5,530 4,663 Debt resulting from accounting standard adoption — 36,953 Railcar assets and liabilities resulting from accounting standard adoption — 25,643 Capital projects incurred but not yet paid 15,317 10,744 |
Business Acquisitions
Business Acquisitions | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Business Acquisitions | Business Acquisition Effective January 1, 2019, the Company completed its acquisition of the remaining 67.5% equity of LTG. The transaction resulted in the consolidation of Thompsons Limited of Ontario, Canada and related entities as they were jointly owned by the Company and LTG in equal portions. Total consideration paid by the Company to complete the acquisition of LTG was $328.9 million . The Company paid $169.2 million in cash, which includes preliminary working capital adjustments of $31.9 million , and issued 4.4 million unregistered shares valued at $127.8 million based upon the stock price of the Company. The purchase price allocation is preliminary, pending completion of the full valuation report and a final working capital adjustment to be agreed upon between the Company and the sellers. A summarized preliminary purchase price allocation is as follows: (in thousands) Cash consideration paid $ 169,218 Equity consideration 127,841 Purchase price holdback/ other accrued liabilities 31,885 Total purchase price consideration $ 328,944 The preliminary purchase price allocation at January 1, 2019, is as follows: (in thousands) Cash and cash equivalents $ 21,525 Accounts receivable 320,467 Inventories 456,963 Commodity derivative assets - current 82,595 Other current assets 27,474 Commodity derivative assets - noncurrent 13,576 Goodwill 129,848 Other intangible assets 106,600 Right of use asset 37,894 Equity method investments 28,728 Other assets, net 5,582 Property, plant and equipment, net 171,820 $ 1,403,072 Short-term debt 218,901 Trade and other payables 303,321 Commodity derivative liabilities - current 29,024 Customer prepayments and deferred revenue 99,530 Accrued expense and other current liabilities 64,512 Other long-term liabilities, including commodity derivative liabilities - noncurrent 3,175 Long-term lease liabilities 21,193 Long-term debt, including current maturities 161,688 Deferred income taxes 14,403 $ 915,747 Fair value of acquired assets and assumed liabilities $ 487,325 Removal of preexisting ownership interest, including associated cumulative translation adjustment (159,459 ) Pretax loss on derecognition of preexisting ownership interest 1,078 Total purchase price consideration $ 328,944 The goodwill recognized as a result of the LTG acquisition is $129.9 million and is allocated to the Trade Group segment. A portion of the goodwill is expected to be deductible for tax purposes. The goodwill recognized is primarily attributable to the addition of an assembled workforce and complementary assets with greater scale that significantly expands the Company's reach in the agricultural marketplace. Due to refinements in the valuation and finalization of certain replacement equity award during the second quarter, goodwill increased approximately $7.5 million and other intangible assets decreased $9.6 million as well as various working capital adjustments. The Company also finalized the determination of the preacquisition fair value of its preexisitng ownership interests, which resulted in a revision of the previously recorded pretax loss by $2.4 million . Details of the intangible assets acquired are as follows: (in thousands) Estimated useful life Customer relationships $ 86,300 10 years Noncompete agreements 20,300 3 years $ 106,600 8 years * *weighted average number of years Pro Forma Financial Information The summary pro forma financial information for the periods presented below gives effect to the LTG acquisition as if it had occurred at January 1, 2018. Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Net sales $ 2,359,077 $ 2,333,598 $ 4,335,869 $ 4,261,910 Net income 29,985 42,506 19,232 32,110 Pro forma net loss was also adjusted to account for the tax effects of the pro forma adjustments noted above using a statutory tax rate of 25% . The amount of LTG’s and Thompsons’ revenue and earnings included in the Company’s consolidated statement of operations for the period ended June 30, 2019 are not practicable to determine given the level of integration of LTG and Thompsons into the Company’s operations effective January 1, 2019. |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill The changes in the carrying amount of goodwill by reportable segment for the six months ended June 30, 2019 are as follows: (in thousands) Trade Plant Nutrient Rail Total Balance as of January 1, 2019 $ 1,171 $ 686 $ 4,167 $ 6,024 Acquisitions 129,848 — — 129,848 Balance as of June 30, 2019 $ 131,019 $ 686 $ 4,167 $ 135,872 Acquisitions represent the LTG acquisition's preliminary goodwill allocation. |
Exit Costs and Assets Held for
Exit Costs and Assets Held for Sale | 6 Months Ended |
Jun. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Exit Costs and Assets Held for Sale | Exit Costs and Assets Held for Sale The Company classified $9.8 million of Property, plant and equipment as Assets held for sale on the Condensed Consolidated Balance Sheet at June 30, 2018 . This includes $4.2 million of Retail store assets, $4.1 million of Rail Group assets, and $1.3 million of former Grain Group assets relating to Como, Tennessee operations, and $0.2 million relating to administrative offices at an outlying location in the Plant Nutrient Group. |
Basis of Presentation and Con_2
Basis of Presentation and Consolidation (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New Accounting Standards | New Accounting Standards Leasing In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") (No. 2016-02, Leases (ASC 842). The FASB issued subsequent amendments to the initial guidance in July 2018 with ASU 2018-10 and in August 2018 with ASU 2018-11. ASC 842 supersedes the current accounting for leases. The new standard, while retaining two distinct types of leases, finance and operating, (i) requires lessees to record a right of use asset and a related liability for the rights and obligations associated with a lease, regardless of lease classification, and recognize lease expense in a manner similar to current accounting, (ii) eliminates current real estate specific lease provisions, (iii) modifies the lease classification criteria and (iv) aligns many of the underlying lessor model principles with those in the new revenue standard. Effective January 1, 2019, the Company adopted the standard using the Comparative Under ASC 840 method, which requires lease assets and liabilities to be recognized in the 2019 balance sheet and statement of equity and forgo the comparative reporting requirements under the modified retrospective transition method. The Company also made an accounting policy election to keep short-term leases less than twelve months off the balance sheet for all classes of underlying assets, as well as elected to use the practical expedient that allows the combination of lease and non-lease contract components in all of its underlying asset categories. In addition, the Company elected to apply the package of practical expedients that allows entities to forego reassessing at the transition date: (1) whether any expired or existing contracts are or contain leases; (2) lease classification for any expired or existing leases; and (3) whether unamortized initial direct costs for existing leases meet the definition of initial direct costs under the new guidance. See Note 14 for additional information. Other applicable standards In August 2018, the FASB issued ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract. This ASU reduces the complexity of accounting for costs of implementing a cloud computing service arrangement. This standard aligns the accounting for implementation costs of hosting arrangements, regardless of whether they convey a license to the hosted software. The guidance is effective for fiscal years beginning after December 15, 2019. We have evaluated the impact of this new standard on our consolidated financial statements noting it is not material. Early adoption is permitted, but the Company has not chosen to do so at this time. In February 2018, the FASB issued ASU 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which allows companies to reclassify stranded income tax effects resulting from the Tax Cuts and Jobs Act from accumulated other comprehensive income to retained earnings in their consolidated financial statements. The Company adopted this standard in the current year which did not have a material impact on its financial statements or disclosures. In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments. The FASB issued subsequent amendments to the initial guidance in November 2018, April 2019 and May 2019 with ASU 2018-19, ASU 2019-04 and ASU 2019-05, respectively. This update changes the accounting for credit losses on loans and held-to-maturity debt securities and requires a current expected credit loss (CECL) approach to determine the allowance for credit losses. This includes allowances for trade receivables. The Company has not historically incurred significant credit losses and does not currently anticipate circumstances that would lead to a CECL approach differing from the Company's existing allowance estimates in a material manner. The guidance is effective for fiscal years beginning after December 15, 2019 with a cumulative-effect adjustment to retained earnings as of the beginning of the year of adoption. Early adoption is permitted, but the Company does not plan to do so. |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventory, Net [Abstract] | |
Classes of inventories | Major classes of inventories are as follows: (in thousands) June 30, December 31, June 30, Grain and other agricultural products $ 603,318 $ 527,471 $ 385,118 Frac sand and propane 9,287 — — Ethanol and co-products 26,185 11,918 22,828 Plant nutrients and cob products 109,156 145,693 82,230 Railcar repair parts 5,695 5,722 5,435 $ 753,641 $ 690,804 $ 495,611 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Components of property, plant and equipment | The components of Property, plant and equipment, net are as follows: (in thousands) June 30, December 31, June 30, Land $ 39,241 $ 29,739 $ 29,579 Land improvements and leasehold improvements 84,127 68,826 68,384 Buildings and storage facilities 327,418 284,998 280,226 Machinery and equipment 514,030 393,640 377,202 Construction in progress 164,532 102,394 37,456 1,129,348 879,597 792,847 Less: accumulated depreciation 433,521 402,886 384,272 $ 695,827 $ 476,711 $ 408,575 |
Components of railcar assets leased to others | The components of Rail Group assets leased to others are as follows: (in thousands) June 30, December 31, June 30, Rail Group assets leased to others $ 688,320 $ 640,349 $ 564,555 Less: accumulated depreciation 128,609 118,564 106,131 $ 559,711 $ 521,785 $ 458,424 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term and Long-term Debt | Short-term and long-term debt at June 30, 2019 , December 31, 2018 and June 30, 2018 consisted of the following: (in thousands) June 30, December 31, June 30, Short-term Debt – Non-Recourse (a) $ 75,476 $ — $ — Short-term Debt – Recourse 350,649 205,000 185,000 Total Short-term Debt $ 426,125 $ 205,000 $ 185,000 Current Maturities of Long-term Debt – Non-Recourse (b) $ 8,903 $ 4,842 $ 2,922 Current Maturities of Long-term Debt – Recourse (c) 40,785 16,747 10,778 Finance lease liability (d) 16,990 — — Total Current Maturities of Long-term Debt $ 66,678 $ 21,589 $ 13,700 Long-term Debt, Less: Current Maturities – Non-Recourse (b) $ 198,560 $ 146,353 $ 72,290 Long-term Debt, Less: Current Maturities – Recourse (c) 786,512 349,834 363,290 Finance lease liability (d) 21,940 — — Total Long-term Debt, Less: Current Maturities $ 1,007,012 $ 496,187 $ 435,580 (a) In conjunction with the recent acquisition, the Company assumed Thompsons' revolving line of credit and a term loan with a syndicate of banks, which are non-recourse to the Company. The credit agreement provides the Company with a maximum availability of $183.4 million and had $107.9 million available for borrowing on this line of credit as of June 30, 2019 . Any borrowings under the line of credit bear interest at variable rates, which are based on LIBOR or Bankers’ Acceptances plus an applicable spread. The maturity date for the revolving line of credit is June 26, 2023. (b) In conjunction with the recent acquisition, the Company also assumed a term loan with a syndicate of banks. The term loan had a balance of $33.9 million at June 30, 2019. Interest rates for the term loans are based on LIBOR plus an applicable spread. Payments of $0.6 million are made on a quarterly basis. (c) On January 11, 2019 the Company entered into 5 -year term loan in the amount of $250 million and a 7 -year term loan of $250 million . A portion of the term loans were used to pay down debt assumed in the LTG acquisition. Interest rates are based on LIBOR plus an applicable spread. Payments on the term loans will be made on a quarterly basis. As of June 30, 2019 , $6.3 million has been paid on the 5 -year term loan and $6.3 million has been paid on the 7 -year term loan. (d) See Note 14, Leases, for additional information. June 30, 2019 balances include the former build-to-suit lease that was reclassed from other current liabilities and other long-term liabilities as a result of the new lease standard. |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Estimated fair value of Company's commodity derivative instruments for cash collateral and associated cash as collateral | The net asset or liability positions of these derivatives (net of their cash collateral) are determined on a counterparty-by-counterparty basis and are included within current or noncurrent commodity derivative assets (or liabilities) on the Condensed Consolidated Balance Sheets: June 30, 2019 December 31, 2018 June 30, 2018 (in thousands) Net derivative asset position Net derivative liability position Net derivative asset position Net derivative liability position Net derivative asset position Net derivative liability position Collateral paid (received) $ 109,346 $ — $ 14,944 $ — $ (52,888 ) $ — Fair value of derivatives (5,996 ) — 22,285 — 68,244 — Balance at end of period $ 103,350 $ — $ 37,229 $ — $ 15,356 $ — |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following table presents, on a gross basis, current and noncurrent commodity derivative assets and liabilities: June 30, 2019 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 166,652 $ 6,748 $ 3,360 $ 57 $ 176,817 Commodity derivative liabilities (42,983 ) (587 ) (72,729 ) (4,042 ) (120,341 ) Cash collateral paid (received) 109,346 — — — 109,346 Balance sheet line item totals $ 233,015 $ 6,161 $ (69,369 ) $ (3,985 ) $ 165,822 December 31, 2018 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 43,463 $ 484 $ 706 $ 5 $ 44,658 Commodity derivative liabilities (6,986 ) (4 ) (33,353 ) (894 ) (41,237 ) Cash collateral (received) 14,944 — — — 14,944 Balance sheet line item totals $ 51,421 $ 480 $ (32,647 ) $ (889 ) $ 18,365 June 30, 2018 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 123,917 $ 1,022 $ 626 $ 36 $ 125,601 Commodity derivative liabilities (16,770 ) (14 ) (85,786 ) (3,238 ) (105,808 ) Cash collateral (received) (52,888 ) — — — (52,888 ) Balance sheet line item totals $ 54,259 $ 1,008 $ (85,160 ) $ (3,202 ) $ (33,095 ) |
Amounts of quantities outstanding included in commodity derivative contracts | The Company had the following volume of commodity derivative contracts outstanding (on a gross basis) at June 30, 2019 , December 31, 2018 and June 30, 2018 : June 30, 2019 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 648,434 — — — Soybeans 59,594 — — — Wheat 93,621 — — — Oats 40,582 — — — Ethanol — 211,352 — — Corn oil — — 8,809 — Other 23,875 2,532 — 3,179 Subtotal 866,106 213,884 8,809 3,179 Exchange traded: Corn 317,405 — — — Soybeans 52,762 — — — Wheat 55,150 — — Oats 1,045 — — — Ethanol — 82,988 — — Propane — 13,230 — — Other — 35 — 180 Subtotal 426,362 96,253 — 180 Total 1,292,468 310,137 8,809 3,359 December 31, 2018 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 250,408 — — — Soybeans 22,463 — — — Wheat 14,017 — — — Oats 26,230 — — — Ethanol — 244,863 — — Corn oil — — 2,920 — Other 494 2,000 — 66 Subtotal 313,612 246,863 2,920 66 Exchange traded: Corn 130,585 — — — Soybeans 26,985 — — — Wheat 33,760 — — — Oats 1,475 — — — Ethanol — 77,112 — — Subtotal 192,805 77,112 — — Total 506,417 323,975 2,920 66 June 30, 2018 Commodity (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 272,979 — — — Soybeans 49,208 — — — Wheat 11,163 — — — Oats 36,612 — — — Ethanol — 332,761 — Corn oil — — 6,158 — Other 82 1,500 77 Subtotal 370,044 334,261 6,158 77 Exchange traded: Corn 133,730 — — — Soybeans 45,775 — — — Wheat 48,105 — — — Oats 1,190 — — — Ethanol — 140,364 — — Subtotal 228,800 140,364 — — Total 598,844 474,625 6,158 77 |
Company's Condensed Consolidated Statement of Income gains and location of line items | The net pretax gains and losses on commodity derivatives not designated as hedging instruments included in the Company’s Condensed Consolidated Statements of Operations and the line item in which they are located for the three and six months ended June 30, 2019 and 2018 are as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Gains (losses) on commodity derivatives included in cost of sales and merchandising revenues $ (13,364 ) $ 45,844 $ 57,291 $ 20,608 The recording of derivatives gains and losses and the financial statement line in which they are located are as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Derivatives not designated as hedging instruments Interest rate derivative gains (losses) included in Interest income (expense) $ (1,065 ) $ 351 $ (2,055 ) $ 1,141 Foreign currency derivative gains (losses) included in Other income, net $ (366 ) $ (413 ) $ (1,833 ) $ (1,535 ) Derivatives designated as hedging instruments Interest rate derivative gains (losses) included in Other Comprehensive Income (Loss) $ (7,926 ) $ 67 $ (12,917 ) $ 67 Interest rate derivatives gains (losses) included in Interest income (expense) $ — $ — $ 165 $ — |
Schedule of Fair Value of Interest Rate Derivative Liabilities | At June 30, 2019 , December 31, 2018 and June 30, 2018 , the Company had recorded the following amounts for the fair value of the Company's other derivatives: (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Derivatives not designated as hedging instruments Interest rate contracts included in Other long-term assets (Other long-term liabilities) $ (10,750 ) $ (353 ) $ (37 ) Foreign currency contracts included in Other current assets (Accrued expenses and other current liabilities) $ (22 ) $ (1,122 ) $ (1,109 ) Derivatives designated as hedging instruments Interest rate contract included in Accrued expenses and other current liabilities $ — $ — $ (88 ) Interest rate contract included in Other assets (Other long-term liabilities) $ (10,587 ) $ (168 ) $ 155 |
Schedule of Outstanding Interest Rate Derivatives | Outstanding interest rate derivatives, as of June 30, 2019 , are as follows: Interest Rate Hedging Instrument Year Entered Year of Maturity Initial Notional Amount (in millions) Description Interest Rate Long-term Swap 2014 2023 $ 23.0 Interest rate component of debt - not accounted for as a hedge 1.9% Collar 2016 2021 $ 40.0 Interest rate component of debt - not accounted for as a hedge 3.5% to 4.8% Swap * 2016 2019 $ 50.0 Interest rate component of debt - not accounted for as a hedge 1.2% Swap * 2017 2022 $ 20.0 Interest rate component of debt - accounted for as a hedge 1.8% Swap * 2018 2023 $ 10.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap * 2018 2025 $ 20.0 Interest rate component of debt - accounted for as a hedge 2.7% Swap 2018 2021 $ 40.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap 2019 2021 $ 25.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2021 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 100.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% * Acquired on 1/1/2019 in conjunction with the acquisition of LTG. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Pension Benefits | |
Employee Benefit Plans [Line Items] | |
Schedule of Defined Benefit Plans Disclosures | The following are components of the net periodic benefit cost for the pension and postretirement benefit plans maintained by the Company for the three and six months ended June 30, 2019 and 2018 : Pension Benefits (in thousands) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Interest cost $ 29 $ 32 $ 58 $ 65 Recognized net actuarial loss 58 61 116 122 Benefit cost $ 87 $ 93 $ 174 $ 187 |
Postretirement Benefits | |
Employee Benefit Plans [Line Items] | |
Schedule of Defined Benefit Plans Disclosures | Postretirement Benefits (in thousands) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Service cost $ 64 $ 75 $ 138 $ 162 Interest cost 221 190 427 377 Amortization of prior service cost (228 ) (228 ) (456 ) (456 ) Benefit cost $ 57 $ 37 $ 109 $ 83 |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Breakdown of Revenues between ASC 606 | The breakdown of revenues between ASC 606 and other standards is as follows: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Revenues under ASC 606 $ 494,266 $ 356,883 $ 809,438 $ 550,533 Revenues under ASC 842 31,836 26,228 60,704 52,257 Revenues under ASC 815 1,798,939 528,291 3,431,691 944,351 Total Revenues $ 2,325,041 $ 911,402 $ 4,301,833 $ 1,547,141 |
Schedule of Disaggregation of Revenues | The following tables disaggregate revenues under ASC 606 by major product/service line for the three and six months ended June 30, 2019 and 2018 , respectively: Three months ended June 30, 2019 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ 31,870 $ — $ 87,665 $ — $ 119,535 Primary nutrients 22,364 — 174,907 — 197,271 Services 7,745 3,547 1,696 9,278 22,266 Products and co-products 55,943 32,047 — — 87,990 Frac sand and propane 56,767 — — — 56,767 Other 2,537 35 6,309 1,556 10,437 Total $ 177,226 $ 35,629 $ 270,577 $ 10,834 $ 494,266 Three months ended June 30, 2018 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ — $ — $ 94,281 $ — $ 94,281 Primary nutrients — — 200,288 — 200,288 Service 3,381 2,760 2,412 9,308 17,861 Co-products — 32,462 — — 32,462 Other 292 — 6,124 5,575 11,991 Total $ 3,673 $ 35,222 $ 303,105 $ 14,883 $ 356,883 Six months ended June 30, 2019 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ 35,808 $ — $ 156,065 $ — $ 191,873 Primary nutrients 22,791 — 227,996 — 250,787 Service 8,570 6,983 1,858 19,225 36,636 Co-products 118,701 53,517 — — 172,218 Frac sand and propane 137,230 — — — 137,230 Other 3,697 35 13,183 3,779 20,694 Total $ 326,797 $ 60,535 $ 399,102 $ 23,004 $ 809,438 Six months ended June 30, 2018 (in thousands) Trade Ethanol Plant Nutrient Rail Total Specialty nutrients $ — $ — $ 169,359 $ — $ 169,359 Primary nutrients — — 253,507 — 253,507 Service 7,799 5,305 2,621 17,425 33,150 Co-products — 59,108 — — 59,108 Other 502 — 13,235 21,672 35,409 Total $ 8,301 $ 64,413 $ 438,722 $ 39,097 $ 550,533 |
Schedule of Opening and Closing Balances of Company's Contract Assets and Liabilities | The opening and closing balances of the Company’s contract liabilities are as follows: (in thousands) 2019 2018 Balance at January 1, $ 28,858 $ 25,520 Balance at March 31, 146,824 67,715 Balance at June 30, 48,225 10,047 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following tables summarize the after-tax components of accumulated other comprehensive income (loss) attributable to the Company for the three and six months ended June 30, 2019 and 2018 : Changes in Accumulated Other Comprehensive Income (Loss) by Component (a) Three months ended June 30, 2019 Six months ended June 30, 2019 (in thousands) Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Beginning Balance $ (3,748 ) $ 1,059 $ 258 $ 4,905 $ 2,474 $ (126 ) $ (11,550 ) $ 258 $ 5,031 $ (6,387 ) Other comprehensive loss before reclassifications (5,952 ) (2,035 ) — (557 ) $ (8,544 ) (9,710 ) (1,092 ) — (512 ) (11,314 ) Amounts reclassified from accumulated other comprehensive income (loss) (b) — — — (171 ) $ (171 ) 136 11,666 — (342 ) 11,460 Net current-period other comprehensive income (loss) (5,952 ) (2,035 ) — (728 ) (8,715 ) (9,574 ) 10,574 — (854 ) 146 Ending balance $ (9,700 ) $ (976 ) $ 258 $ 4,177 $ (6,241 ) $ (9,700 ) $ (976 ) $ 258 $ 4,177 $ (6,241 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits (b) Reflects foreign currency translation adjustments attributable to the consolidation of Thompsons Limited as summarized in Note 17. Changes in Accumulated Other Comprehensive Income (Loss) by Component (a) Three months ended June 30, 2018 Six months ended June 30, 2018 (in thousands) Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Cash Flow Hedges Foreign Currency Translation Adjustment Investment in Convertible Preferred Securities Defined Benefit Plan Items Total Beginning Balance $ — $ (8,866 ) $ 257 $ 4,621 $ (3,988 ) $ — $ (7,716 ) $ 344 $ 4,672 $ (2,700 ) Other comprehensive income (loss) before reclassifications 51 (1,123 ) — (119 ) (1,191 ) 51 (2,273 ) (87 ) (2 ) (2,311 ) Amounts reclassified from accumulated other comprehensive loss — — — (168 ) (168 ) — — — (336 ) (336 ) Net current-period other comprehensive income (loss) 51 (1,123 ) — (287 ) (1,359 ) 51 (2,273 ) (87 ) (338 ) (2,647 ) Ending balance $ 51 $ (9,989 ) $ 257 $ 4,334 $ (5,347 ) $ 51 $ (9,989 ) $ 257 $ 4,334 $ (5,347 ) (a) All amounts are net of tax. Amounts in parentheses indicate debits |
Reclassification out of Accumulated Other Comprehensive Income | Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (a) (in thousands) Three months ended June 30, 2019 Six months ended June 30, 2019 Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Defined Benefit Plan Items Amortization of prior-service cost $ (228 ) (b) $ (456 ) (b) (228 ) Total before tax (456 ) Total before tax 57 Income tax provision 114 Income tax provision $ (171 ) Net of tax $ (342 ) Net of tax Cash Flow Hedges Interest payments — Interest expense $ 182 Interest expense — Total before tax 182 Total before tax — Income tax provision (46 ) Income tax provision $ — Net of tax $ 136 Net of tax Foreign Currency Translation Adjustment Realized loss on pre-existing investment — Other income, net $ 11,666 Other income, net — Total before tax $ 11,666 Total before tax — Income tax provision $ — Income tax provision $ — Net of tax $ 11,666 Net of tax Total reclassifications for the period $ (171 ) Net of tax $ 11,460 Net of tax Reclassifications Out of Accumulated Other Comprehensive Income (Loss) (a) (in thousands) Three months ended June 30, 2018 Six months ended June 30, 2018 Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Statement Where Net Income Is Presented Defined Benefit Plan Items Amortization of prior-service cost $ (228 ) (b) $ (456 ) (b) (228 ) Total before tax (456 ) Total before tax 60 Income tax provision 120 Income tax provision $ (168 ) Net of tax $ (336 ) Net of tax Total reclassifications for the period $ (168 ) Net of tax $ (336 ) Net of tax (a) Amounts in parentheses indicate credits to profit/loss (b) This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost (see Note 6). |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per share | (in thousands, except per common share data) Three months ended June 30, Six months ended June 30, 2019 2018 2019 2018 Net income attributable to The Andersons, Inc. $ 29,888 $ 21,529 $ 15,895 $ 19,829 Less: Distributed and undistributed earnings allocated to nonvested restricted stock — — — — Earnings available to common shareholders $ 29,888 $ 21,529 $ 15,895 $ 19,829 Earnings per share – basic: Weighted average shares outstanding – basic 32,521 28,261 32,511 28,249 Earnings per common share – basic $ 0.92 $ 0.76 $ 0.49 $ 0.70 Earnings per share – diluted: Weighted average shares outstanding – basic 32,521 28,261 32,511 28,249 Effect of dilutive awards 212 128 560 187 Weighted average shares outstanding – diluted 32,733 28,389 33,071 28,436 Earnings per common share – diluted $ 0.91 $ 0.76 $ 0.48 $ 0.70 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at June 30, 2019 , December 31, 2018 and June 30, 2018 : (in thousands) June 30, 2019 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 103,350 $ 62,473 $ — $ 165,823 Provisionally priced contracts (b) (1,064 ) (38,215 ) — (39,279 ) Convertible preferred securities (c) — — 8,404 8,404 Other assets and liabilities (d) 5,284 (10,750 ) — (5,466 ) Total $ 107,570 $ 13,508 $ 8,404 $ 129,482 (in thousands) December 31, 2018 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 37,229 $ (18,864 ) $ — $ 18,365 Provisionally priced contracts (b) (76,175 ) (58,566 ) — (134,741 ) Convertible preferred securities (c) — — 7,154 7,154 Other assets and liabilities (d) 5,186 (353 ) — 4,833 Total $ (33,760 ) $ (77,783 ) $ 7,154 $ (104,389 ) (in thousands) June 30, 2018 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 15,356 $ (48,451 ) $ — $ (33,095 ) Provisionally priced contracts (b) (37,787 ) (24,511 ) — (62,298 ) Convertible preferred securities (c) — — 7,488 7,488 Other assets and liabilities (d) 4,136 (37 ) — 4,099 Total $ (18,295 ) $ (72,999 ) $ 7,488 $ (83,806 ) (a) Includes associated cash posted/received as collateral (b) Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) (c) Recorded in “Other noncurrent assets” on the Company’s Condensed Consolidated Balance Sheets. (d) Included in other assets and liabilities are assets held in rabbi trusts to fund deferred compensation plans, ethanol risk management contracts, and foreign exchange derivative contracts (Level 1), and interest rate derivatives (Level 2). |
Beginning and ending balances for the Company's fair value measurements using Level 3 inputs | A reconciliation of beginning and ending balances for the Company’s fair value measurements using Level 3 inputs is as follows: Convertible Preferred Securities (in thousands) 2019 2018 Assets (liabilities) at January 1, $ 7,154 $ 7,388 Additional Investments 250 — Assets (liabilities) at March 31, $ 7,404 $ 7,388 Additional investments 1,000 100 Asset (liabilities) at June 30, $ 8,404 $ 7,488 |
Fair Value Inputs, Assets, Quantitative Information | The following tables summarize quantitative information about the Company's Level 3 fair value measurements as of June 30, 2019 , December 31, 2018 and June 30, 2018 : Quantitative Information about Level 3 Fair Value Measurements (in thousands) Fair Value as of June 30, 2019 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 8,404 Implied based on market prices N/A N/A Real Property (b) 2,719 Market Approach N/A N/A (in thousands) Fair Value as of December 31, 2018 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 7,154 Implied based on market prices N/A N/A (in thousands) Fair Value as of June 30, 2018 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 7,488 Implied based on market prices N/A N/A Real property (b) 1,300 Sale agreement N/A N/A Rail car assets (c) 4,063 National scrap index less cost to sell N/A N/A (a) The Company considers observable price changes and other additional market data available in order to estimate fair value, including additional capital raising, internal valuation models, progress towards key business milestones, and other relevant market data points. (b) The Company recognized impairment charges on certain assets and measured the fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined using prior transactions in the local market and a pending sale of grain assets held by the Company. (c)The Company recognized impairment charges on rail assets during 2018 and measured fair value using Level 3 inputs on a nonrecurring basis. The fair value of the assets was determined based on a national scrap index less cost to sell. |
Fair value of long-term debt estimated using quoted market prices or discounted future cash flows | The fair value of the Company’s long-term debt is estimated using quoted market prices or discounted future cash flows based on the Company’s current incremental borrowing rates for similar types of borrowing arrangements. As such, the Company has concluded that the fair value of long-term debt is considered Level 2 in the fair value hierarchy. (in thousands) June 30, December 31, June 30, Fair value of long-term debt, including current maturities $ 1,078,185 $ 517,998 $ 444,821 Fair value in excess of carrying value (a) 4,495 5,813 (8,063 ) (a) Carrying value used for this purpose excludes unamortized debt issuance costs. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Company's investment balance in each of its equity method investees by entity | The following table presents the Company’s investment balance in each of its equity method investees by entity: (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 The Andersons Albion Ethanol LLC $ 50,760 $ 50,382 $ 47,474 The Andersons Clymers Ethanol LLC 25,260 24,242 21,214 The Andersons Marathon Ethanol LLC 16,294 14,841 14,344 Lansing Trade Group, LLC (a) — 101,715 97,476 Thompsons Limited (a) — 48,987 49,251 Providence Grain Group Inc. 17,161 — — Other 11,454 2,159 2,400 Total $ 120,929 $ 242,326 $ 232,159 (a) The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the Company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited of Ontario, Canada and related entities, which LTG and the Company had equally owned. |
Income (loss) earned from the Company's equity method investments by entity | The following table summarizes income (loss) earned from the Company’s equity method investments by entity: Three months ended June 30, Six months ended June 30, (in thousands) % Ownership at June 30, 2019 2019 2018 2019 2018 The Andersons Albion Ethanol LLC 55% $ 120 $ 1,329 $ 379 $ 2,450 The Andersons Clymers Ethanol LLC 39% 694 1,236 1,276 1,745 The Andersons Marathon Ethanol LLC 33% 644 1,728 1,453 1,684 Lansing Trade Group, LLC (a) 100% (a) — 3,591 — 6,175 Thompsons Limited (a) 100% (a) — 1,980 — 1,311 Providence Grain Group Inc. 39% (1,719 ) — (1,844 ) — Other 5% - 51% 104 (61 ) 98 11 Total $ (157 ) $ 9,803 $ 1,362 $ 13,376 (a) The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited and related entities, which LTG and the Company had equally owned. |
Schedule of aggregate summarized financial information of subsidiaries | The following table sets forth the related party transactions entered into for the time periods presented: Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Sales revenues $ 57,854 $ 107,686 $ 119,022 $ 196,580 Service fee revenues (a) 4,052 5,191 8,163 10,308 Purchases of product and capital assets 176,442 197,444 345,671 378,968 Lease income (b) 1,645 1,624 3,309 3,206 Labor and benefits reimbursement (c) 3,602 3,601 7,460 7,168 (a) Service fee revenues include management fees, corn origination fees, ethanol and distillers dried grains (DDG) marketing fees, and other commissions. (b) Lease income includes the lease of the Company’s Albion, Michigan and Clymers, Indiana grain facilities as well as certain railcars to the various ethanol LLCs. (c) The Company provides all operational labor to the unconsolidated ethanol LLCs. (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Accounts receivable (d) $ 19,515 $ 17,829 $ 27,030 Accounts payable (e) 24,700 28,432 39,620 (d) Accounts receivable represents amounts due from related parties for sales of corn, leasing revenue and service fees. (e) Accounts payable represents amounts due to related parties for purchases of ethanol and other various items. |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | The segment information below includes the allocation of expenses shared by one or more operating segments. Although management believes such allocations are reasonable, the operating information does not necessarily reflect how such data might appear if the segments were operated as separate businesses. Inter-segment sales are made at prices comparable to normal, unaffiliated customer sales. The Company does not have any customers who represent 10 percent or more of total revenue. Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Revenues from external customers Trade $ 1,766,305 $ 365,920 $ 3,364,326 $ 642,772 Ethanol 245,143 200,938 453,974 373,776 Plant Nutrient 270,577 303,106 399,102 438,723 Rail 43,016 41,438 84,431 91,870 Total $ 2,325,041 $ 911,402 $ 4,301,833 $ 1,547,141 Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Inter-segment sales Trade $ 631 $ 462 $ 812 $ 993 Plant Nutrient 1,274 — 1,294 — Rail 771 338 2,046 671 Total $ 2,676 $ 800 $ 4,152 $ 1,664 Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Income (loss) before income taxes, net of noncontrolling interest Trade $ 23,731 $ 9,877 $ 6,268 $ 9,847 Ethanol 2,649 6,125 5,221 7,964 Plant Nutrient 15,903 15,124 11,974 16,215 Rail 3,180 944 7,492 4,913 Other (4,578 ) (2,799 ) (9,505 ) (11,678 ) Income (loss) before income taxes, net of noncontrolling interest 40,885 29,271 21,450 27,261 Noncontrolling interests (477 ) (116 ) (632 ) (398 ) Income (loss) before income taxes $ 40,408 $ 29,155 $ 20,818 $ 26,863 (in thousands) June 30, 2019 December 31, 2018 June 30, 2018 Identifiable assets Trade $ 2,057,305 $ 978,974 $ 820,016 Ethanol 361,522 295,971 248,560 Plant Nutrient 381,924 403,780 356,166 Rail 657,617 590,407 535,087 Other 113,491 122,871 157,959 Total $ 3,571,859 $ 2,392,003 $ 2,117,788 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Summary of Amounts Recognized in Condensed Consolidated Balance Sheet | The following table summarizes the amounts recognized in the Company's Condensed Consolidated Balance Sheet related to leases: (in thousands) Condensed Consolidated Balance Sheet Classification June 30, 2019 Assets Operating lease assets Right of use assets, net $ 74,073 Finance lease assets Property, plant and equipment, net 24,099 Finance lease assets Rail Group assets leased to others, net 2,047 Total leased assets $ 100,219 Liabilities Current operating leases Accrued expenses and other current liabilities 25,672 Non-current operating leases Long-term lease liabilities 48,401 Total operating lease liabilities $ 74,073 Current finance leases Current maturities of long-term debt 16,990 Non-current finance leases Long-term debt 21,940 Total finance lease liabilities $ 38,930 Total lease liabilities $ 113,003 |
Schedule of Lease Cost, Weighted Average Remaining Term and Discount Rate and Supplemental Cash Flow Information Related to Leases | The components of lease cost recognized within the Company's Condensed Consolidated Statement of Operations were as follows: (in thousands) Condensed Consolidated Statement of Operations Classification June 30, 2019 Lease cost: Operating lease cost Cost of sales and merchandising revenues $ 13,120 Operating lease cost Operating, administrative and general expenses 6,834 Finance lease cost Amortization of right-of-use assets Operating, administrative and general expenses 1,912 Interest expense on lease liabilities Interest expense 543 Other lease cost (1) Operating, administrative and general expenses 199 Other lease cost (1) Interest expense 24 Total lease cost $ 22,632 (1) Other lease cost includes short-term lease costs and variable lease costs (in thousands) June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 21,345 Operating cash flows from finance leases $ 304 Financing cash flows from finance leases $ 775 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 3,992 Finance leases $ 15,920 June 30, 2019 . Weighted Average Discount Rate Operating leases 4.16 % Finance leases 3.74 % Weighted Average Remaining Lease Term Operating leases 4.3 years Finance leases 7.1 years |
Schedule of Maturity Analysis of Operating Lease Liabilities | As of June 30, 2019 (in thousands) Operating Leases Finance Leases Total 2019 (excluding the six months ended June 30, 2019) $ 15,849 $ 3,672 $ 19,521 2020 22,069 15,288 37,357 2021 15,898 2,162 18,060 2022 10,550 2,169 12,719 2023 6,193 2,170 8,363 Thereafter 10,613 18,331 28,944 Total lease payments $ 81,172 $ 43,792 $ 124,964 Less interest 7,099 4,862 11,961 Total $ 74,073 $ 38,930 $ 113,003 |
Schedule of Maturity Analysis of Finance Lease Liabilities | As of June 30, 2019 (in thousands) Operating Leases Finance Leases Total 2019 (excluding the six months ended June 30, 2019) $ 15,849 $ 3,672 $ 19,521 2020 22,069 15,288 37,357 2021 15,898 2,162 18,060 2022 10,550 2,169 12,719 2023 6,193 2,170 8,363 Thereafter 10,613 18,331 28,944 Total lease payments $ 81,172 $ 43,792 $ 124,964 Less interest 7,099 4,862 11,961 Total $ 74,073 $ 38,930 $ 113,003 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow Supplemental Information | Certain supplemental cash flow information, including noncash investing and financing activities for the six months ended June 30, 2019 and 2018 are as follows: Six months ended June 30, (in thousands) 2019 2018 Supplemental disclosure of cash flow information Interest paid $ 30,287 $ 16,982 Noncash investing and financing activity Equity issued in conjunction with acquisition 127,841 — Removal of pre-existing equity method investment (159,459 ) — Purchase price holdback/ other accrued liabilities 31,885 — Dividends declared not yet paid 5,530 4,663 Debt resulting from accounting standard adoption — 36,953 Railcar assets and liabilities resulting from accounting standard adoption — 25,643 Capital projects incurred but not yet paid 15,317 10,744 |
Business Acquisitions (Tables)
Business Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Schedule of Purchase Price Allocation | The purchase price allocation is preliminary, pending completion of the full valuation report and a final working capital adjustment to be agreed upon between the Company and the sellers. A summarized preliminary purchase price allocation is as follows: (in thousands) Cash consideration paid $ 169,218 Equity consideration 127,841 Purchase price holdback/ other accrued liabilities 31,885 Total purchase price consideration $ 328,944 |
Schedule of Fair Value of Assets Acquired and Liabilities Assumed | The preliminary purchase price allocation at January 1, 2019, is as follows: (in thousands) Cash and cash equivalents $ 21,525 Accounts receivable 320,467 Inventories 456,963 Commodity derivative assets - current 82,595 Other current assets 27,474 Commodity derivative assets - noncurrent 13,576 Goodwill 129,848 Other intangible assets 106,600 Right of use asset 37,894 Equity method investments 28,728 Other assets, net 5,582 Property, plant and equipment, net 171,820 $ 1,403,072 Short-term debt 218,901 Trade and other payables 303,321 Commodity derivative liabilities - current 29,024 Customer prepayments and deferred revenue 99,530 Accrued expense and other current liabilities 64,512 Other long-term liabilities, including commodity derivative liabilities - noncurrent 3,175 Long-term lease liabilities 21,193 Long-term debt, including current maturities 161,688 Deferred income taxes 14,403 $ 915,747 Fair value of acquired assets and assumed liabilities $ 487,325 Removal of preexisting ownership interest, including associated cumulative translation adjustment (159,459 ) Pretax loss on derecognition of preexisting ownership interest 1,078 Total purchase price consideration $ 328,944 |
Schedule of Intangible Assets Acquired | Details of the intangible assets acquired are as follows: (in thousands) Estimated useful life Customer relationships $ 86,300 10 years Noncompete agreements 20,300 3 years $ 106,600 8 years * |
Schedule of Pro Forma Financial Information | Pro Forma Financial Information The summary pro forma financial information for the periods presented below gives effect to the LTG acquisition as if it had occurred at January 1, 2018. Three months ended June 30, Six months ended June 30, (in thousands) 2019 2018 2019 2018 Net sales $ 2,359,077 $ 2,333,598 $ 4,335,869 $ 4,261,910 Net income 29,985 42,506 19,232 32,110 |
Goodwill (Tables)
Goodwill (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Amount of Goodwill by Reportable Segment | The changes in the carrying amount of goodwill by reportable segment for the six months ended June 30, 2019 are as follows: (in thousands) Trade Plant Nutrient Rail Total Balance as of January 1, 2019 $ 1,171 $ 686 $ 4,167 $ 6,024 Acquisitions 129,848 — — 129,848 Balance as of June 30, 2019 $ 131,019 $ 686 $ 4,167 $ 135,872 |
Inventories (Details)
Inventories (Details) $ in Thousands, bu in Millions | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($)bu | Jun. 30, 2018USD ($)bu |
Inventory, Net [Abstract] | |||
Grain and other agricultural products | $ 603,318 | $ 527,471 | $ 385,118 |
Frac sand and propane | 9,287 | 0 | 0 |
Ethanol and co-products | 26,185 | 11,918 | 22,828 |
Plant nutrients and cob products | 109,156 | 145,693 | 82,230 |
Railcar repair parts | 5,695 | 5,722 | 5,435 |
Total inventories | $ 753,641 | $ 690,804 | $ 495,611 |
Bushels of grain held in storage for others and excluded from inventory calculations | bu | 0.1 | 1.3 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Components of property, plant and equipment | |||
Land | $ 39,241 | $ 29,739 | $ 29,579 |
Land improvements and leasehold improvements | 84,127 | 68,826 | 68,384 |
Buildings and storage facilities | 327,418 | 284,998 | 280,226 |
Machinery and equipment | 514,030 | 393,640 | 377,202 |
Construction in progress | 164,532 | 102,394 | 37,456 |
Property, plant and equipment, gross | 1,129,348 | 879,597 | 792,847 |
Less: accumulated depreciation | 433,521 | 402,886 | 384,272 |
Property, plant and equipment, net | $ 695,827 | $ 476,711 | $ 408,575 |
Property, Plant and Equipment_3
Property, Plant and Equipment (Textual) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense | $ 15 | $ 11.5 | $ 32.7 | $ 23.2 |
Rail | ||||
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense on railcar assets leased to others | 7 | $ 6 | $ 13.7 | $ 12.2 |
Trade | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charge for property, plant and equipment | $ 3.1 |
Property, Plant and Equipment_4
Property, Plant and Equipment (Rail Group Assets) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Components of Railcar assets leased to others | |||
Rail Group assets leased to others, gross | $ 688,320 | $ 640,349 | $ 564,555 |
Less: accumulated depreciation | 128,609 | 118,564 | 106,131 |
Railcar assets leased to others, net | $ 559,711 | $ 521,785 | $ 458,424 |
Debt (Details)
Debt (Details) - USD ($) $ in Thousands | Jan. 11, 2019 | Jun. 30, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Debt Instrument [Line Items] | ||||||
Short-term debt | $ 426,125 | $ 205,000 | $ 185,000 | |||
Long-term debt | ||||||
Current maturities of long-term debt | 66,678 | 21,589 | 13,700 | |||
Finance lease liability | [1] | 16,990 | 0 | 0 | ||
Total Current Maturities of Long-term Debt | 66,678 | 21,589 | 13,700 | |||
Long-term debt, less current maturities | 1,007,012 | 496,187 | 435,580 | |||
Finance lease liability | [1] | 21,940 | 0 | 0 | ||
Total Long-term Debt, Less: Current Maturities | 1,007,012 | 496,187 | 435,580 | |||
Nonrecourse | ||||||
Debt Instrument [Line Items] | ||||||
Short-term debt | [2] | 75,476 | 0 | 0 | ||
Long-term debt | ||||||
Current maturities of long-term debt | [3] | 8,903 | 4,842 | 2,922 | ||
Long-term debt, less current maturities | [3] | 198,560 | 146,353 | 72,290 | ||
Recourse | ||||||
Debt Instrument [Line Items] | ||||||
Short-term debt | 350,649 | 205,000 | 185,000 | |||
Long-term debt | ||||||
Current maturities of long-term debt | [4] | 40,785 | 16,747 | 10,778 | ||
Long-term debt, less current maturities | [4] | 786,512 | $ 349,834 | $ 363,290 | ||
LTG | LIBOR | Term Loan | ||||||
Long-term debt | ||||||
Borrowings under all lines of credit | 33,900 | |||||
Debt periodic payments | 600 | |||||
Line of credit | ||||||
Long-term debt | ||||||
Credit facility, maximum borrowing capacity | 1,628,400 | |||||
Total available for borrowings under lines of credit | 1,006,100 | |||||
Line of credit | Revolving line of credit | Thompsons Limited | LTG | LIBOR | ||||||
Long-term debt | ||||||
Credit facility, maximum borrowing capacity | $ 183,400 | |||||
Total available for borrowings under lines of credit | 107,900 | |||||
Notes payable | LTG | LIBOR | 5-year term loan | ||||||
Long-term debt | ||||||
Debt term | 5 years | |||||
Term loan amount | $ 250,000 | |||||
Payments of term loans | 6,300 | |||||
Notes payable | LTG | LIBOR | 7-year term loan | ||||||
Long-term debt | ||||||
Debt term | 7 years | |||||
Term loan amount | $ 250,000 | |||||
Payments of term loans | $ 6,300 | |||||
[1] | See Note 14, Leases, for additional information. June 30, 2019 balances include the former build-to-suit lease that was reclassed from other current liabilities and other long-term liabilities as a result of the new lease standard. | |||||
[2] | In conjunction with the recent acquisition, the Company assumed Thompsons' revolving line of credit and a term loan with a syndicate of banks, which are non-recourse to the Company. The credit agreement provides the Company with a maximum availability of $183.4 million and had $107.9 million available for borrowing on this line of credit as of June 30, 2019 . Any borrowings under the line of credit bear interest at variable rates, which are based on LIBOR or Bankers’ Acceptances plus an applicable spread. The maturity date for the revolving line of credit is June 26, 2023. | |||||
[3] | In conjunction with the recent acquisition, the Company also assumed a term loan with a syndicate of banks. The term loan had a balance of $33.9 million at June 30, 2019. Interest rates for the term loans are based on LIBOR plus an applicable spread. Payments of $0.6 million are made on a quarterly basis. | |||||
[4] | On January 11, 2019 the Company entered into 5 -year term loan in the amount of $250 million and a 7 -year term loan of $250 million . A portion of the term loans were used to pay down debt assumed in the LTG acquisition. Interest rates are based on LIBOR plus an applicable spread. Payments on the term loans will be made on a quarterly basis. As of June 30, 2019 , $6.3 million has been paid on the 5 -year term loan and $6.3 million has been paid on the 7 -year term loan. |
Debt (Textual) (Details)
Debt (Textual) (Details) - Line of credit $ in Millions | Jun. 30, 2019USD ($) |
Line of Credit Facility [Line Items] | |
Credit facility, maximum borrowing capacity | $ 1,628.4 |
Total available for borrowings under lines of credit | $ 1,006.1 |
Derivatives (Textual) (Details)
Derivatives (Textual) (Details) | 6 Months Ended |
Jun. 30, 2019 | |
Derivative [Line Items] | |
Maximum period in which contracts for the sale of grain to processors or other consumers extend (years) | 1 year |
Derivatives (Net Asset or Liabi
Derivatives (Net Asset or Liability Positions in Balance Sheet) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Estimated fair value of Company's commodity derivative instruments for cash collateral and associated cash as collateral | |||
Net derivative asset position, Collateral paid (received) | $ 109,346 | $ 14,944 | $ (52,888) |
Net derivative asset position, Fair value of derivatives | (5,996) | 22,285 | 68,244 |
Net derivative asset position, net | 103,350 | 37,229 | 15,356 |
Net derivative liability position, Collateral paid | 0 | 0 | 0 |
Net derivative liability position, Fair value of derivatives | 0 | 0 | 0 |
Net derivative liability position, net | $ 0 | $ 0 | $ 0 |
Derivatives (Gross Current and
Derivatives (Gross Current and Noncurrent Assets and Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | $ (5,996) | $ 22,285 | $ 68,244 |
Commodity derivative liabilities | 0 | 0 | 0 |
Commodity derivative assets - current | 233,015 | 51,421 | 54,259 |
Commodity derivative assets - noncurrent | 6,161 | 480 | 1,008 |
Commodity derivative liabilities - current | (69,369) | (32,647) | (85,160) |
Commodity derivative liabilities - noncurrent | (3,985) | (889) | (3,202) |
Commodity | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 176,817 | 44,658 | 125,601 |
Commodity derivative liabilities | (120,341) | (41,237) | (105,808) |
Cash collateral paid (received) | 109,346 | 14,944 | |
Cash collateral (received) | (52,888) | ||
Total | 165,822 | 18,365 | (33,095) |
Commodity | Commodity Derivative Assets - Current | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 166,652 | 43,463 | 123,917 |
Commodity derivative liabilities | (42,983) | (6,986) | (16,770) |
Cash collateral paid (received) | 109,346 | 14,944 | |
Cash collateral (received) | (52,888) | ||
Commodity derivative assets - current | 233,015 | 51,421 | 54,259 |
Commodity | Commodity Derivative Assets - Noncurrent | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 6,748 | 484 | 1,022 |
Commodity derivative liabilities | (587) | (4) | (14) |
Cash collateral paid (received) | 0 | 0 | |
Cash collateral (received) | 0 | ||
Commodity derivative assets - noncurrent | 6,161 | 480 | 1,008 |
Commodity | Commodity Derivative Liabilities - Current | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 3,360 | 706 | 626 |
Commodity derivative liabilities | (72,729) | (33,353) | (85,786) |
Cash collateral paid (received) | 0 | 0 | |
Cash collateral (received) | 0 | ||
Commodity derivative liabilities - current | (69,369) | (32,647) | (85,160) |
Commodity | Commodity Derivative Liabilities - Noncurrent | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 57 | 5 | 36 |
Commodity derivative liabilities | (4,042) | (894) | (3,238) |
Cash collateral paid (received) | 0 | 0 | |
Cash collateral (received) | 0 | ||
Commodity derivative liabilities - noncurrent | $ (3,985) | $ (889) | $ (3,202) |
Derivatives (Pre-tax Gains and
Derivatives (Pre-tax Gains and Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Commodity | Cost of sales and merchandising revenues | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) on derivatives instruments recognized in earnings | $ (13,364) | $ 45,844 | $ 57,291 | $ 20,608 |
Not Designated as Hedging Instrument | Interest rate contracts | Interest expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) on derivatives instruments recognized in earnings | (1,065) | 351 | (2,055) | 1,141 |
Not Designated as Hedging Instrument | Foreign currency contract | Other Income, Net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) on derivatives instruments recognized in earnings | (366) | (413) | (1,833) | (1,535) |
Designated as Hedging Instrument | Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest rate derivative gains (losses) included in Other Comprehensive Income (Loss) | (7,926) | 67 | (12,917) | 67 |
Designated as Hedging Instrument | Interest rate contracts | Interest expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest rate derivatives gains (losses) included in Interest income (expense) | $ 0 | $ 0 | $ 165 | $ 0 |
Derivatives (Volume of Contract
Derivatives (Volume of Contracts Outstanding) (Details) lb in Thousands, gal in Thousands, bu in Thousands, T in Thousands | Jun. 30, 2019lb | Jun. 30, 2019bu | Jun. 30, 2019T | Jun. 30, 2019gal | Dec. 31, 2018lb | Dec. 31, 2018bu | Dec. 31, 2018T | Dec. 31, 2018gal | Jun. 30, 2018lb | Jun. 30, 2018bu | Jun. 30, 2018T | Jun. 30, 2018gal |
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 8,809 | 1,292,468 | 3,359 | 310,137 | 2,920 | 506,417 | 66 | 323,975 | 6,158 | 598,844 | 77 | 474,625 |
Non-exchange Traded | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 8,809 | 866,106 | 3,179 | 213,884 | 2,920 | 313,612 | 66 | 246,863 | 6,158 | 370,044 | 77 | 334,261 |
Non-exchange Traded | Corn | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 648,434 | 0 | 0 | 0 | 250,408 | 0 | 0 | 0 | 272,979 | 0 | 0 |
Non-exchange Traded | Soybeans | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 59,594 | 0 | 0 | 0 | 22,463 | 0 | 0 | 0 | 49,208 | 0 | 0 |
Non-exchange Traded | Wheat | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 93,621 | 0 | 0 | 0 | 14,017 | 0 | 0 | 0 | 11,163 | 0 | 0 |
Non-exchange Traded | Oats | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 40,582 | 0 | 0 | 0 | 26,230 | 0 | 0 | 0 | 36,612 | 0 | 0 |
Non-exchange Traded | Ethanol | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 0 | 211,352 | 0 | 0 | 0 | 244,863 | 0 | 0 | 332,761 | |
Non-exchange Traded | Corn oil | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 8,809 | 0 | 0 | 0 | 2,920 | 0 | 0 | 0 | 6,158 | 0 | 0 | 0 |
Non-exchange Traded | Other | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 23,875 | 3,179 | 2,532 | 0 | 494 | 66 | 2,000 | 82 | 77 | 1,500 | |
Exchange Traded | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 426,362 | 180 | 96,253 | 0 | 192,805 | 0 | 77,112 | 0 | 228,800 | 0 | 140,364 |
Exchange Traded | Corn | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 317,405 | 0 | 0 | 0 | 130,585 | 0 | 0 | 0 | 133,730 | 0 | 0 |
Exchange Traded | Soybeans | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 52,762 | 0 | 0 | 0 | 26,985 | 0 | 0 | 0 | 45,775 | 0 | 0 |
Exchange Traded | Wheat | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 55,150 | 0 | 0 | 33,760 | 0 | 0 | 0 | 48,105 | 0 | 0 | |
Exchange Traded | Oats | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 1,045 | 0 | 0 | 0 | 1,475 | 0 | 0 | 0 | 1,190 | 0 | 0 |
Exchange Traded | Ethanol | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 0 | 82,988 | 0 | 0 | 0 | 77,112 | 0 | 0 | 0 | 140,364 |
Exchange Traded | Propane | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 0 | 13,230 | ||||||||
Exchange Traded | Other | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 180 | 35 |
Derivatives (Fair Value of the
Derivatives (Fair Value of the Company's Other Derivatives) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Not Designated as Hedging Instrument | Other long term liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | $ (10,750) | $ (353) | $ (37) |
Not Designated as Hedging Instrument | Accrued expenses and other current liabilities | Foreign currency contract | |||
Derivative [Line Items] | |||
Derivative liabilities | (22) | (1,122) | (1,109) |
Designated as Hedging Instrument | Accrued expenses and other current liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | 0 | 0 | (88) |
Designated as Hedging Instrument | Other assets | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative assets | $ (10,587) | $ (168) | $ 155 |
Derivatives (Outstanding Intere
Derivatives (Outstanding Interest Rate Derivatives) (Details) - Long-term $ in Millions | Jun. 30, 2019USD ($) |
Not Accounted for as Hedge | Collar | |
Derivative [Line Items] | |
Initial notional amount | $ 23 |
Interest rate | 1.90% |
Not Accounted for as Hedge | Swap 3.5% to 4.8% | |
Derivative [Line Items] | |
Initial notional amount | $ 40 |
Not Accounted for as Hedge | Swap 3.5% to 4.8% | Minimum | |
Derivative [Line Items] | |
Interest rate | 3.50% |
Not Accounted for as Hedge | Swap 3.5% to 4.8% | Maximum | |
Derivative [Line Items] | |
Interest rate | 4.80% |
Accounted for as Hedge | Swap 1.2% | |
Derivative [Line Items] | |
Initial notional amount | $ 50 |
Interest rate | 1.20% |
Accounted for as Hedge | Swap 1.8% | |
Derivative [Line Items] | |
Initial notional amount | $ 20 |
Interest rate | 1.80% |
Accounted for as Hedge | Swap 2.6% | |
Derivative [Line Items] | |
Initial notional amount | $ 10 |
Interest rate | 2.60% |
Accounted for as Hedge | Swap 2.7% | |
Derivative [Line Items] | |
Initial notional amount | $ 20 |
Interest rate | 2.70% |
Accounted for as Hedge | Swap 2.6% | |
Derivative [Line Items] | |
Initial notional amount | $ 40 |
Interest rate | 2.60% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Initial notional amount | $ 25 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Initial notional amount | $ 50 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Initial notional amount | $ 100 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Initial notional amount | $ 50 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Initial notional amount | $ 50 |
Interest rate | 2.50% |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Pension Benefits | ||||
Components of the net periodic benefit cost | ||||
Interest cost | $ 29 | $ 32 | $ 58 | $ 65 |
Recognized net actuarial loss | 58 | 61 | 116 | 122 |
Benefit cost (income) | 87 | 93 | 174 | 187 |
Postretirement Benefits | ||||
Components of the net periodic benefit cost | ||||
Interest cost | 221 | 190 | 427 | 377 |
Service cost | 64 | 75 | 138 | 162 |
Amortization of prior service cost | (228) | (228) | (456) | (456) |
Benefit cost (income) | $ 57 | $ 37 | $ 109 | $ 83 |
Revenue (Breakdown of Revenues
Revenue (Breakdown of Revenues by Accounting Standards) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue from contract with customers | $ 494,266 | $ 356,883 | $ 809,438 | $ 550,533 |
Total Revenues | 2,325,041 | 911,402 | 4,301,833 | 1,547,141 |
Revenues under ASC 606 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue from contract with customers | 494,266 | 356,883 | 809,438 | 550,533 |
Revenues under ASC 842 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total Revenues | 31,836 | 26,228 | 60,704 | 52,257 |
Revenues under ASC 815 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total Revenues | $ 1,798,939 | $ 528,291 | $ 3,431,691 | $ 944,351 |
Revenue (Disaggregation of Reve
Revenue (Disaggregation of Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Total | $ 494,266 | $ 356,883 | $ 809,438 | $ 550,533 |
Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 119,535 | 94,281 | 191,873 | 169,359 |
Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 197,271 | 200,288 | 250,787 | 253,507 |
Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 22,266 | 17,861 | 36,636 | 33,150 |
Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 87,990 | 32,462 | 172,218 | 59,108 |
Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 56,767 | 137,230 | ||
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 10,437 | 11,991 | 20,694 | 35,409 |
Trade | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 177,226 | 3,673 | 326,797 | 8,301 |
Trade | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 31,870 | 0 | 35,808 | 0 |
Trade | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 22,364 | 0 | 22,791 | 0 |
Trade | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 7,745 | 3,381 | 8,570 | 7,799 |
Trade | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 55,943 | 0 | 118,701 | 0 |
Trade | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 56,767 | 137,230 | ||
Trade | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 2,537 | 292 | 3,697 | 502 |
Ethanol | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 35,629 | 35,222 | 60,535 | 64,413 |
Ethanol | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 3,547 | 2,760 | 6,983 | 5,305 |
Ethanol | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 32,047 | 32,462 | 53,517 | 59,108 |
Ethanol | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | ||
Ethanol | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 35 | 0 | 35 | 0 |
Plant Nutrient | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 270,577 | 303,105 | 399,102 | 438,722 |
Plant Nutrient | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 87,665 | 94,281 | 156,065 | 169,359 |
Plant Nutrient | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 174,907 | 200,288 | 227,996 | 253,507 |
Plant Nutrient | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,696 | 2,412 | 1,858 | 2,621 |
Plant Nutrient | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Plant Nutrient | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | ||
Plant Nutrient | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 6,309 | 6,124 | 13,183 | 13,235 |
Rail | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 10,834 | 14,883 | 23,004 | 39,097 |
Rail | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Rail | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Rail | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 9,278 | 9,308 | 19,225 | 17,425 |
Rail | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Rail | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | ||
Rail | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | $ 1,556 | $ 5,575 | $ 3,779 | $ 21,672 |
Revenue (Textual) (Details)
Revenue (Textual) (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Service | Transferred over Time | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue from contract with customer, percentage of service revenues | 4.00% | 5.00% | 4.00% | 6.00% |
Revenue (Contract Liabilities B
Revenue (Contract Liabilities Balances) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | Jan. 01, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jan. 01, 2018 |
Revenue from Contract with Customer [Abstract] | ||||||
Contract Liabilities | $ 48,225 | $ 146,824 | $ 28,858 | $ 10,047 | $ 67,715 | $ 25,520 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Income tax (benefit) expense | $ (10,997) | $ (7,742) | $ (5,555) | $ (7,432) |
Effective income tax rate | 27.20% | 26.60% | 26.70% | 27.70% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (After-tax Components of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | [1] | $ 2,474 | $ (3,988) | $ (6,387) | $ (2,700) | ||
Other comprehensive loss before reclassifications | [1] | (8,544) | (1,191) | (11,314) | (2,311) | ||
Amounts reclassified from accumulated other comprehensive income (loss) (b) | [1] | (171) | [2] | (168) | 11,460 | [2] | (336) |
Net current-period other comprehensive income (loss) | [1] | (8,715) | (1,359) | 146 | (2,647) | ||
Ending balance | [1] | (6,241) | (5,347) | (6,241) | (5,347) | ||
Cash Flow Hedges | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | [1] | (3,748) | 0 | (126) | 0 | ||
Other comprehensive loss before reclassifications | [1] | (5,952) | 51 | (9,710) | 51 | ||
Amounts reclassified from accumulated other comprehensive income (loss) (b) | [1] | 0 | [2] | 0 | 136 | [2] | 0 |
Net current-period other comprehensive income (loss) | [1] | (5,952) | 51 | (9,574) | 51 | ||
Ending balance | [1] | (9,700) | 51 | (9,700) | 51 | ||
Foreign Currency Translation Adjustment | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | [1] | 1,059 | (8,866) | (11,550) | (7,716) | ||
Other comprehensive loss before reclassifications | [1] | (2,035) | (1,123) | (1,092) | (2,273) | ||
Amounts reclassified from accumulated other comprehensive income (loss) (b) | [1] | 0 | [2] | 0 | 11,666 | [2] | 0 |
Net current-period other comprehensive income (loss) | [1] | (2,035) | (1,123) | 10,574 | (2,273) | ||
Ending balance | [1] | (976) | (9,989) | (976) | (9,989) | ||
Investment in Convertible Preferred Securities | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | [1] | 258 | 257 | 258 | 344 | ||
Other comprehensive loss before reclassifications | [1] | 0 | 0 | 0 | (87) | ||
Amounts reclassified from accumulated other comprehensive income (loss) (b) | [1] | 0 | [2] | 0 | 0 | [2] | 0 |
Net current-period other comprehensive income (loss) | [1] | 0 | 0 | 0 | (87) | ||
Ending balance | [1] | 258 | 257 | 258 | 257 | ||
Defined Benefit Plan Items | |||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||
Beginning Balance | [1] | 4,905 | 4,621 | 5,031 | 4,672 | ||
Other comprehensive loss before reclassifications | [1] | (557) | (119) | (512) | (2) | ||
Amounts reclassified from accumulated other comprehensive income (loss) (b) | [1] | (171) | [2] | (168) | (342) | [2] | (336) |
Net current-period other comprehensive income (loss) | [1] | (728) | (287) | (854) | (338) | ||
Ending balance | [1] | $ 4,177 | $ 4,334 | $ 4,177 | $ 4,334 | ||
[1] | All amounts are net of tax. Amounts in parentheses indicate debits | ||||||
[2] | Reflects foreign currency translation adjustments attributable to the consolidation of Thompsons Limited as summarized in Note 17. |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss (Reclassifications Out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |||
Schedule of Reclassifciations Out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Income (loss) before income taxes | $ 40,408 | $ 29,155 | $ 20,818 | $ 26,863 | ||
Income tax provision (benefit) | (10,997) | (7,742) | (5,555) | (7,432) | ||
Net income (loss) | 29,411 | 21,413 | 15,263 | 19,431 | ||
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | ||||||
Schedule of Reclassifciations Out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net income (loss) | [1] | (171) | (168) | 11,460 | (336) | |
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | Defined Benefit Plan Items | ||||||
Schedule of Reclassifciations Out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Amortization of prior-service cost | [1],[2] | (228) | (228) | (456) | (456) | |
Income (loss) before income taxes | [1] | (228) | (228) | (456) | (456) | |
Income tax provision (benefit) | [1] | 57 | 60 | 114 | 120 | |
Net income (loss) | [1] | (171) | $ (168) | (342) | $ (336) | |
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | Cash Flow Hedges | ||||||
Schedule of Reclassifciations Out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Interest payments | 0 | 182 | [1] | |||
Income (loss) before income taxes | [1] | 0 | 182 | |||
Income tax provision (benefit) | [1] | 0 | (46) | |||
Net income (loss) | [1] | 0 | 136 | |||
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | Foreign Currency Translation Adjustment | ||||||
Schedule of Reclassifciations Out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Realized loss on pre-existing investment | [1] | 0 | 11,666 | |||
Income (loss) before income taxes | [1] | 0 | 11,666 | |||
Income tax provision (benefit) | [1] | 0 | 0 | |||
Net income (loss) | [1] | $ 0 | $ 11,666 | |||
[1] | Amounts in parentheses indicate credits to profit/loss | |||||
[2] | This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost (see Note 6). |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Net income attributable to The Andersons, Inc. | $ 29,888 | $ 21,529 | $ 15,895 | $ 19,829 |
Less: Distributed and undistributed earnings allocated to nonvested restricted stock | 0 | 0 | 0 | 0 |
Earnings available to common shareholders | $ 29,888 | $ 21,529 | $ 15,895 | $ 19,829 |
Earnings per share - basic: | ||||
Weighted average shares outstanding - basic (shares) | 32,521 | 28,261 | 32,511 | 28,249 |
Earnings per common share - basic (dollars per share) | $ 0.92 | $ 0.76 | $ 0.49 | $ 0.70 |
Earnings per share - diluted: | ||||
Weighted average shares outstanding - basic (shares) | 32,521 | 28,261 | 32,511 | 28,249 |
Effect of dilutive awards (shares) | 212 | 128 | 560 | 187 |
Weighted average shares outstanding - diluted (shares) | 32,733 | 28,389 | 33,071 | 28,436 |
Earnings per common share - diluted (dollars per share) | $ 0.91 | $ 0.76 | $ 0.48 | $ 0.70 |
Antidilutive shares excluded from computation of earnings per share (in shares) | 33 | 28 | 61 | 25 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured on Recurring Basis) (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | $ 165,823 | $ 18,365 | $ (33,095) |
Provisionally price contracts | [2] | (39,279) | (134,741) | (62,298) |
Convertible preferred securities | [3] | 8,404 | 7,154 | 7,488 |
Other assets and liabilities | [4] | (5,466) | 4,833 | 4,099 |
Total | 129,482 | (104,389) | (83,806) | |
Level 1 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 103,350 | 37,229 | 15,356 |
Provisionally price contracts | [2] | (1,064) | (76,175) | (37,787) |
Convertible preferred securities | [3] | 0 | 0 | 0 |
Other assets and liabilities | [4] | 5,284 | 5,186 | 4,136 |
Total | 107,570 | (33,760) | (18,295) | |
Level 2 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 62,473 | (18,864) | (48,451) |
Provisionally price contracts | [2] | (38,215) | (58,566) | (24,511) |
Convertible preferred securities | [3] | 0 | 0 | 0 |
Other assets and liabilities | [4] | (10,750) | (353) | (37) |
Total | 13,508 | (77,783) | (72,999) | |
Level 3 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 0 | 0 | 0 |
Provisionally price contracts | [2] | 0 | 0 | 0 |
Convertible preferred securities | [3] | 8,404 | 7,154 | 7,488 |
Other assets and liabilities | [4] | 0 | 0 | 0 |
Total | $ 8,404 | $ 7,154 | $ 7,488 | |
[1] | Includes associated cash posted/received as collateral | |||
[2] | Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) | |||
[3] | Recorded in “Other noncurrent assets” on the Company’s Condensed Consolidated Balance Sheets. | |||
[4] | Included in other assets and liabilities are assets held in rabbi trusts to fund deferred compensation plans, ethanol risk management contracts, and foreign exchange derivative contracts (Level 1), and interest rate derivatives (Level 2). |
Fair Value Measurements (Reconc
Fair Value Measurements (Reconciliation of Beginning and Ending Balances of Level 3 Measurements) (Details) - Level 3 - USD ($) $ in Thousands | 3 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2018 | |
Convertible preferred securities | |||||
Reconciliation of Fair Value Measurements Using Level 3 | |||||
Asset (liability), Beginning Balance | $ 7,404 | $ 7,154 | $ 7,388 | $ 7,388 | |
Additional investments | 1,000 | 250 | 100 | 0 | |
Asset (liability), Ending Balance | 8,404 | $ 7,404 | 7,488 | $ 7,388 | |
Convertible preferred securities | Implied based on market prices | |||||
Quantitative Information about Level 3 Fair Value Measurements | |||||
Asset fair value | 8,404 | 7,488 | $ 7,154 | ||
Real Property | Market Approach | Rail | |||||
Quantitative Information about Level 3 Fair Value Measurements | |||||
Asset fair value | $ 2,719 | ||||
Real Property | Sale agreement | |||||
Quantitative Information about Level 3 Fair Value Measurements | |||||
Asset fair value | 1,300 | ||||
Real Property | National scrap index less cost to sell | Rail | |||||
Quantitative Information about Level 3 Fair Value Measurements | |||||
Asset fair value | $ 4,063 |
Fair Value Measurements (Fair V
Fair Value Measurements (Fair Value of Company's Long-term Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Fair value of long-term debt estimated using quoted market prices or discounted future cash flows | ||||
Fair value of long-term debt, including current maturities | $ 1,078,185 | $ 517,998 | $ 444,821 | |
Fair value in excess of carrying value | [1] | $ 4,495 | $ 5,813 | $ (8,063) |
[1] | Carrying value used for this purpose excludes unamortized debt issuance costs. |
Related Party Transactions (Com
Related Party Transactions (Company's Investment Balance in Equity Method Investees) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 120,929 | $ 242,326 | $ 232,159 | |
The Andersons Albion Ethanol LLC | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 50,760 | 50,382 | 47,474 | |
Percentage of company ownership interest | 55.00% | |||
The Andersons Clymers Ethanol LLC | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 25,260 | 24,242 | 21,214 | |
Percentage of company ownership interest | 39.00% | |||
The Andersons Marathon Ethanol LLC | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 16,294 | 14,841 | 14,344 | |
Percentage of company ownership interest | 33.00% | |||
Lansing Trade Group LLC | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | [1] | $ 0 | $ 101,715 | 97,476 |
Percentage of company ownership interest | 32.50% | |||
Thompsons Limited | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | [1] | 0 | $ 48,987 | 49,251 |
Providence Grain Group Inc. | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 17,161 | 0 | 0 | |
Percentage of company ownership interest | 39.00% | |||
Other | ||||
Equity Method Investment Companys Investment Balance In Each Equity Method Investees By Entity [Abstract] | ||||
Equity method investments | $ 11,454 | $ 2,159 | $ 2,400 | |
[1] | The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the Company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited of Ontario, Canada and related entities, which LTG and the Company had equally owned. |
Related Party Transactions (Inc
Related Party Transactions (Income (Loss) Earned from Company's Equity Method Investments) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | ||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Income earned from Company's equity method investees | $ (157) | $ 9,803 | $ 1,362 | $ 13,376 | ||
The Andersons Albion Ethanol LLC | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 55.00% | 55.00% | ||||
Income earned from Company's equity method investees | $ 120 | 1,329 | $ 379 | 2,450 | ||
The Andersons Clymers Ethanol LLC | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 39.00% | 39.00% | ||||
Income earned from Company's equity method investees | $ 694 | 1,236 | $ 1,276 | 1,745 | ||
The Andersons Marathon Ethanol LLC | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 33.00% | 33.00% | ||||
Income earned from Company's equity method investees | $ 644 | 1,728 | $ 1,453 | 1,684 | ||
Lansing Trade Group LLC | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 32.50% | |||||
Income earned from Company's equity method investees | [1] | 0 | 3,591 | $ 0 | 6,175 | |
Equity method investee, ownership percentage after acquisition | [1] | 100.00% | ||||
Thompsons Limited | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Income earned from Company's equity method investees | [1] | $ 0 | 1,980 | $ 0 | 1,311 | |
Equity method investee, ownership percentage after acquisition | [1] | 100.00% | ||||
Providence Grain Group Inc. | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 39.00% | 39.00% | ||||
Income earned from Company's equity method investees | $ (1,719) | 0 | $ (1,844) | 0 | ||
Other | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Income earned from Company's equity method investees | $ 104 | $ (61) | $ 98 | $ 11 | ||
Other | Minimum | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 5.00% | 5.00% | ||||
Other | Maximum | ||||||
Income Earned From Companys Equity Method Investments By Entity [Abstract] | ||||||
Percentage of company ownership interest | 51000.00% | 51000.00% | ||||
[1] | The Company previously owned approximately 32.5% of LTG. Effective January 1, 2019, the company purchased the remaining equity of LTG. The transaction results in the consolidation of Thompsons Limited and related entities, which LTG and the Company had equally owned. |
Related Party Transactions (Tex
Related Party Transactions (Textual) (Details) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Mar. 02, 2018gal | |
Related Party Transaction [Line Items] | ||||||
Total distributions received from unconsolidated affiliates | $ 300,000 | $ 2,100,000 | ||||
Revenues recognized for the sale of ethanol | $ 154,200,000 | $ 172,300,000 | 298,200,000 | 318,500,000 | ||
Related party, gross assets | 200,000 | 8,100,000 | 200,000 | 8,100,000 | $ 1,900,000 | |
Related party, gross liability | $ 2,100,000 | $ 3,900,000 | $ 2,100,000 | $ 3,900,000 | $ 6,300,000 | |
ELEMENT, LLC | Subsidiary | ||||||
Related Party Transaction [Line Items] | ||||||
Percentage of company's interest in subsidiary | 51.00% | |||||
Noncontrolling interest is attributed of all gains and losses of parent (percentage) | 49.00% | |||||
Maximum production capacity of bio-refinery (gallons) | gal | 70,000,000 |
Related Party Transactions (Tra
Related Party Transactions (Transactions Entered Into For the Time Periods Presented) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | ||
Related party transactions entered into for the time periods presented | ||||||
Sales revenues | $ 57,854 | $ 107,686 | $ 119,022 | $ 196,580 | ||
Service fee revenues | [1] | 4,052 | 5,191 | 8,163 | 10,308 | |
Purchases of product | 176,442 | 197,444 | 345,671 | 378,968 | ||
Lease income | [2] | 1,645 | 1,624 | 3,309 | 3,206 | |
Labor and benefits reimbursement | [3] | 3,602 | 3,601 | 7,460 | 7,168 | |
Accounts receivable | [4] | 19,515 | 27,030 | 19,515 | 27,030 | $ 17,829 |
Accounts payable | [5] | $ 24,700 | $ 39,620 | $ 24,700 | $ 39,620 | $ 28,432 |
[1] | Service fee revenues include management fees, corn origination fees, ethanol and distillers dried grains (DDG) marketing fees, and other commissions. | |||||
[2] | Lease income includes the lease of the Company’s Albion, Michigan and Clymers, Indiana grain facilities as well as certain railcars to the various ethanol LLCs. | |||||
[3] | The Company provides all operational labor to the unconsolidated ethanol LLCs | |||||
[4] | Accounts receivable represents amounts due from related parties for sales of corn, leasing revenue and service fees. | |||||
[5] | Accounts payable represents amounts due to related parties for purchases of ethanol and other various items. |
Segment Information (Textual) (
Segment Information (Textual) (Details) - segment | 6 Months Ended | |
Jun. 30, 2019 | Jan. 01, 2019 | |
Segment Reporting Information [Line Items] | ||
Number of reportable segments (business segments) | 4 | |
Number of consolidated segments | 2 | |
Number of segments accounted for as equity method investments | 3 | |
LTG | ||
Segment Reporting Information [Line Items] | ||
Remaining equity interest percentage acquired in equity investee | 67.50% |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | $ 2,325,041 | $ 911,402 | $ 4,301,833 | $ 1,547,141 | |
Income (loss) before income taxes, net of noncontrolling interest | 40,885 | 29,271 | 21,450 | 27,261 | |
Net income (loss) attributable to the noncontrolling interests | (477) | (116) | (632) | (398) | |
Income (loss) before income taxes | 40,408 | 29,155 | 20,818 | 26,863 | |
Total assets | 3,571,859 | 2,117,788 | 3,571,859 | 2,117,788 | $ 2,392,003 |
Operating Segments | Trade | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 1,766,305 | 365,920 | 3,364,326 | 642,772 | |
Income (loss) before income taxes, net of noncontrolling interest | 23,731 | 9,877 | 6,268 | 9,847 | |
Total assets | 2,057,305 | 820,016 | 2,057,305 | 820,016 | 978,974 |
Operating Segments | Ethanol | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 245,143 | 200,938 | 453,974 | 373,776 | |
Income (loss) before income taxes, net of noncontrolling interest | 2,649 | 6,125 | 5,221 | 7,964 | |
Total assets | 361,522 | 248,560 | 361,522 | 248,560 | 295,971 |
Operating Segments | Plant Nutrient | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 270,577 | 303,106 | 399,102 | 438,723 | |
Income (loss) before income taxes, net of noncontrolling interest | 15,903 | 15,124 | 11,974 | 16,215 | |
Total assets | 381,924 | 356,166 | 381,924 | 356,166 | 403,780 |
Operating Segments | Rail | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 43,016 | 41,438 | 84,431 | 91,870 | |
Income (loss) before income taxes, net of noncontrolling interest | 3,180 | 944 | 7,492 | 4,913 | |
Total assets | 657,617 | 535,087 | 657,617 | 535,087 | 590,407 |
Segment Reconciling Items | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 2,676 | 800 | 4,152 | 1,664 | |
Segment Reconciling Items | Trade | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 631 | 462 | 812 | 993 | |
Segment Reconciling Items | Plant Nutrient | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 1,274 | 0 | 1,294 | 0 | |
Segment Reconciling Items | Rail | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 771 | 338 | 2,046 | 671 | |
Other | |||||
Segment Reporting Information [Line Items] | |||||
Income (loss) before income taxes, net of noncontrolling interest | (4,578) | (2,799) | (9,505) | (11,678) | |
Total assets | $ 113,491 | $ 157,959 | $ 113,491 | $ 157,959 | $ 122,871 |
Leases (Summary of Amounts Reco
Leases (Summary of Amounts Recognized in Condensed Consolidated Balance Sheet) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Assets | ||||
Operating lease assets | $ 74,073 | $ 0 | $ 0 | |
Finance lease assets, property, plant and equipment, net | 24,099 | |||
Total leased assets | 100,219 | |||
Liabilities | ||||
Current operating leases | 25,672 | |||
Non-current operating leases | 48,401 | 0 | 0 | |
Total operating lease liabilities | 74,073 | |||
Current finance leases | [1] | 16,990 | 0 | 0 |
Non-current finance leases | [1] | 21,940 | $ 0 | $ 0 |
Total finance lease liabilities | 38,930 | |||
Total lease liabilities | 113,003 | |||
Rail | ||||
Assets | ||||
Finance lease assets, property, plant and equipment, net | $ 2,047 | |||
[1] | See Note 14, Leases, for additional information. June 30, 2019 balances include the former build-to-suit lease that was reclassed from other current liabilities and other long-term liabilities as a result of the new lease standard. |
Leases (Components of Lease Cos
Leases (Components of Lease Cost) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Lease cost: | |
Amortization of right-of-use assets | $ 1,912 |
Interest expense on lease liabilities | 543 |
Total lease cost | 22,632 |
Cost of sales and merchandising revenues | |
Lease cost: | |
Operating lease cost | 13,120 |
Operating, administrative and general expenses | |
Lease cost: | |
Operating lease cost | 6,834 |
Other lease cost | 199 |
Interest expense | |
Lease cost: | |
Other lease cost | $ 24 |
Leases (Weighted Average Remain
Leases (Weighted Average Remaining Lease Term) (Details) | Jun. 30, 2019 |
Leases [Abstract] | |
Operating leases | 4 years 3 months 18 days |
Finance leases | 7 years 1 month 6 days |
Leases (Weighted Average Discou
Leases (Weighted Average Discount Rate) (Details) | Jun. 30, 2019 |
Leases [Abstract] | |
Operating leases | 4.16% |
Finance leases | 3.74% |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow Information) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows from operating leases | $ 21,345 |
Operating cash flows from finance leases | 304 |
Financing cash flows from finance leases | 775 |
Right-of-use assets obtained in exchange for lease obligations: | |
Operating leases | 3,992 |
Finance leases | $ 15,920 |
Leases (Maturity Analysis of Le
Leases (Maturity Analysis of Lease Liabilities) (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Operating Leases | |
2019 (excluding the six months ended June 30, 2019) | $ 15,849 |
2020 | 22,069 |
2021 | 15,898 |
2022 | 10,550 |
2023 | 6,193 |
Thereafter | 10,613 |
Total lease payments | 81,172 |
Less interest | 7,099 |
Total | 74,073 |
Finance Leases | |
2019 (excluding the six months ended June 30, 2019) | 3,672 |
2020 | 15,288 |
2021 | 2,162 |
2022 | 2,169 |
2023 | 2,170 |
Thereafter | 18,331 |
Total lease payments | 43,792 |
Less interest | 4,862 |
Total | 38,930 |
Total | |
2019 (excluding the six months ended June 30, 2019) | 19,521 |
2020 | 37,357 |
2021 | 18,060 |
2022 | 12,719 |
2023 | 8,363 |
Thereafter | 28,944 |
Total lease payments | 124,964 |
Less interest | 11,961 |
Total lease liabilities | $ 113,003 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | Jun. 30, 2019 | Jan. 01, 2019 |
Capital Addition Purchase Commitments | ||
Operating Leased Assets [Line Items] | ||
Amount remaining under long-term commitment obligation | $ 13 | |
Amount prepaid under long-term commitment obligation | $ 0.9 | |
LTG | ||
Operating Leased Assets [Line Items] | ||
Reserve relating to outstanding non-regulatory litigation claim | $ 5 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Supplemental Cash Flow Information [Abstract] | ||
Interest paid | $ 30,287 | $ 16,982 |
Noncash investing and financing activity | ||
Equity issued in conjunction with acquisition | 127,841 | 0 |
Removal of pre-existing equity method investment | (159,459) | 0 |
Purchase price holdback/ other accrued liabilities | 31,885 | 0 |
Dividends declared not yet paid | 5,530 | 4,663 |
Debt resulting from accounting standard adoption | 0 | 36,953 |
Railcar assets and liabilities resulting from accounting standard adoption | 0 | 25,643 |
Capital projects incurred but not yet paid | $ 15,317 | $ 10,744 |
Business Acquisitions (Textual)
Business Acquisitions (Textual) (Details) - USD ($) $ in Thousands, shares in Millions | Jan. 01, 2019 | Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 |
Business Acquisition [Line Items] | |||||
Effective income tax rate | 27.20% | 26.60% | 26.70% | 27.70% | |
Pretax loss on derecognition of preexisting ownership interest | $ 2,400 | $ 1,078 | |||
LTG | |||||
Business Acquisition [Line Items] | |||||
Remaining equity interest percentage acquired in equity investee | 67.50% | ||||
Consideration paid for acquisition | $ 328,944 | ||||
Cash consideration paid | 169,218 | ||||
Purchase price holdback/ other accrued liabilities | $ 31,885 | ||||
Unregistered shares issued (in shares) | 4.4 | ||||
Value of unregistered shares issued | $ 127,841 | ||||
Goodwill expected to be deductible for tax purposes | $ 129,900 | ||||
Effective income tax rate | 25.00% | ||||
Goodwill increase due to refinements in valuation | 7,500 | ||||
Decrease in intangible assets due to working capital adjustments | $ 9,600 |
Business Acquisitions (Purchase
Business Acquisitions (Purchase Price Allocation) (Details) - Lansing Trade Group LLC $ in Thousands | Jan. 01, 2019USD ($) |
Business Acquisition [Line Items] | |
Cash consideration paid | $ 169,218 |
Equity consideration | 127,841 |
Purchase price holdback/ other accrued liabilities | 31,885 |
Total purchase price consideration | $ 328,944 |
Business Acquisitions (Fair Val
Business Acquisitions (Fair Value of Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands | Jan. 01, 2019 | Jun. 30, 2019 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 135,872 | $ 135,872 | $ 6,024 | $ 6,024 | |
Removal of preexisting ownership interest, including associated cumulative translation adjustment | (159,459) | $ 0 | |||
Pretax loss on derecognition of preexisting ownership interest | $ 2,400 | $ 1,078 | |||
LTG | |||||
Business Acquisition [Line Items] | |||||
Cash and cash equivalents | $ 21,525 | ||||
Accounts receivable | 320,467 | ||||
Inventories | 456,963 | ||||
Commodity derivative assets - current | 82,595 | ||||
Other current assets | 27,474 | ||||
Commodity derivative assets - noncurrent | 13,576 | ||||
Goodwill | 129,848 | ||||
Other intangible assets | 106,600 | ||||
Right of use asset | 37,894 | ||||
Equity method investments | 28,728 | ||||
Other assets, net | 5,582 | ||||
Property, plant and equipment, net | 171,820 | ||||
Total Assets Acquired | 1,403,072 | ||||
Short-term debt | 218,901 | ||||
Trade and other payables | 303,321 | ||||
Commodity derivative liabilities - current | 29,024 | ||||
Customer prepayments and deferred revenue | 99,530 | ||||
Accrued expense and other current liabilities | 64,512 | ||||
Other long-term liabilities, including commodity derivative liabilities - noncurrent | 3,175 | ||||
Long-term debt, including current maturities | 21,193 | ||||
Long-term debt, including current maturities | 161,688 | ||||
Deferred income taxes | 14,403 | ||||
Total Liabilities Assumed | 915,747 | ||||
Fair value of acquired assets and assumed liabilities | 487,325 | ||||
Total purchase price consideration | $ 328,944 |
Business Acquisitions (Intangib
Business Acquisitions (Intangible Assets Acquired) (Details) - LTG $ in Thousands | Jan. 01, 2019USD ($) |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Other intangible assets | $ 106,600 |
Estimated useful life | 8 years |
Customer relationships | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Other intangible assets | $ 86,300 |
Estimated useful life | 10 years |
Noncompete agreements | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Other intangible assets | $ 20,300 |
Estimated useful life | 3 years |
Business Acquisitions (Pro Form
Business Acquisitions (Pro Forma Financial Information) (Details) - LTG - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Business Acquisition [Line Items] | ||||
Net sales | $ 2,359,077 | $ 2,333,598 | $ 4,335,869 | $ 4,261,910 |
Net income | $ 29,985 | $ 42,506 | $ 19,232 | $ 32,110 |
Goodwill (Details)
Goodwill (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Goodwill [Roll Forward] | |
Balance as of January 1, 2019 | $ 6,024 |
Acquisitions | 129,848 |
Balance as of June 30, 2019 | 135,872 |
Trade | |
Goodwill [Roll Forward] | |
Balance as of January 1, 2019 | 1,171 |
Balance as of June 30, 2019 | 131,019 |
Plant Nutrient | |
Goodwill [Roll Forward] | |
Balance as of January 1, 2019 | 686 |
Acquisitions | 0 |
Balance as of June 30, 2019 | 686 |
Rail | |
Goodwill [Roll Forward] | |
Balance as of January 1, 2019 | 4,167 |
Acquisitions | 0 |
Balance as of June 30, 2019 | $ 4,167 |
Exit Costs and Assets Held fo_2
Exit Costs and Assets Held for Sale (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | $ 151 | $ 392 | $ 9,816 |
Disposal Group, Held-for-sale, Not Discontinued Operations | |||
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | 9,800 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | Retail Store | |||
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | 4,200 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | Rail Group | |||
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | 4,100 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | Grain Group | |||
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | 1,300 | ||
Disposal Group, Held-for-sale, Not Discontinued Operations | Plant Nutrient Group | |||
Restructuring Cost and Reserve [Line Items] | |||
Assets held for sale | $ 200 |