Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Mar. 31, 2015 | 26-May-15 | Sep. 28, 2014 |
Document and Entity Information | |||
Entity Registrant Name | ORBITAL ATK, INC. | ||
Entity Central Index Key | 866121 | ||
Document Type | 10-K | ||
Document Period End Date | 31-Mar-15 | ||
Amendment Flag | FALSE | ||
Current Fiscal Year End Date | -28 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $4,160 | ||
Entity Common Stock, Shares Outstanding | 59,428,722 | ||
Document Fiscal Year Focus | 2015 | ||
Document Fiscal Period Focus | FY |
CONSOLIDATED_STATEMENT_OF_COMP
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Sales | $3,173,967 | $2,925,237 | $3,206,096 |
Cost of sales | 2,469,865 | 2,277,939 | 2,521,277 |
Gross profit | 704,102 | 647,298 | 684,819 |
Operating expenses: | |||
Research and development | 49,349 | 48,536 | 55,958 |
Selling | 89,941 | 87,554 | 90,219 |
General and administrative | 298,559 | 209,251 | 200,568 |
Goodwill impairment | 34,300 | 0 | 0 |
Income from continuing operations, before interest, income taxes and noncontrolling interest | 231,953 | 301,957 | 338,074 |
Interest expense, net | -88,676 | -79,792 | -65,386 |
Loss on extinguishment of debt | -26,626 | 0 | -11,773 |
Income from continuing operations, before income taxes and noncontrolling interest | 116,651 | 222,165 | 260,915 |
Income taxes | 39,117 | 62,542 | 73,746 |
Income from continuing operations | 77,534 | 159,623 | 187,169 |
Less net income attributable to noncontrolling interest | 99 | 171 | 436 |
Income from continuing operations of Orbital ATK, Inc. | 77,435 | 159,452 | 186,733 |
Income from discontinued operations, before income taxes | 205,463 | 288,349 | 131,569 |
Income taxes | 80,414 | 106,886 | 46,497 |
Income from discontinued operations | 125,049 | 181,463 | 85,072 |
Net income | 202,583 | 341,086 | 272,241 |
Net income attributable to Orbital ATK, Inc. | 202,484 | 340,915 | 271,805 |
Continuing operations | $2.18 | $5.03 | $5.76 |
Discontinued operations | $3.53 | $5.73 | $2.62 |
Continuing operations | $2.14 | $4.87 | $5.73 |
Discontinued operations | $3.46 | $5.55 | $2.61 |
Alliant Techsystems Inc. earnings per common share: | |||
Basic (in dollars per share) | $5.71 | $10.76 | $8.38 |
Diluted (in dollars per share) | $5.60 | $10.42 | $8.34 |
Cash dividends paid per common share | $1.28 | $1.10 | $0.92 |
Alliant Techsystems Inc. weighted-average number of common shares outstanding: | |||
Basic (in shares) | 35,469 | 31,671 | 32,447 |
Diluted (in shares) | 36,140 | 32,723 | 32,608 |
Other comprehensive income (loss), net of tax: | |||
Net income attributable to: Orbital ATK, Inc. and noncontrolling interest (from above) | 202,583 | 341,086 | 272,241 |
Pension and other postretirement benefits: | |||
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit of $11,740, $11,240, and $3,366, respectively | -18,906 | -18,125 | |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense of $(8,186), $(56,791), and $(49,192), respectively | -13,841 | -91,387 | |
Valuation adjustment for pension and postretirement benefit plans, net of tax (expense) benefit of $139,583, $(48,772), and $(9,575), respectively | -224,389 | 78,522 | |
Change in fair value of derivatives, net of tax (expense) benefit of $(1,866), $1,771, and $3,586, respectively | 2,949 | -2,830 | -5,608 |
Change in fair value of available-for-sale securities, net of tax (expense) benefit of $(151), $(29), and $135, respectively | 238 | 46 | -210 |
Change in cumulative translation adjustment, net of tax benefit of $0, $942, and $0, respectively | -36,796 | -1,505 | 0 |
Total other comprehensive income (loss) | -263,063 | 147,495 | 82,294 |
Comprehensive income (loss) | -60,480 | 488,581 | 354,535 |
Less comprehensive income attributable to noncontrolling interest | 99 | 171 | 436 |
Comprehensive income (loss) attributable to Orbital ATK, Inc. | -60,579 | 488,410 | 354,099 |
Pension and OPEB Adjustments [Member] | |||
Pension and other postretirement benefits: | |||
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit of $11,740, $11,240, and $3,366, respectively | -18,906 | -18,125 | -5,406 |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense of $(8,186), $(56,791), and $(49,192), respectively | 13,841 | 91,387 | 78,062 |
Valuation adjustment for pension and postretirement benefit plans, net of tax (expense) benefit of $139,583, $(48,772), and $(9,575), respectively | ($224,389) | $78,522 | $15,456 |
CONSOLIDATED_STATEMENT_OF_COMP1
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Income Statement [Abstract] | |||
Other Comprehensive Income (Loss), Amortization, Pension and Other Postretirement Benefit Plans, Net Prior Service Cost Recognized in Net Periodic Pension Cost, Tax | $11,740 | $11,240 | $3,366 |
Pension and other postretirement benefits: | |||
Other Comprehensive Income (Loss), Reclassification, Pension and Other Postretirement Benefit Plans, Net Gain (Loss) Recognized in Net Periodic Benefit Cost, Tax | -8,186 | -56,791 | -49,192 |
Valuation adjustment for pension and postretirement benefit plans, tax (expense) benefit | 139,583 | -48,772 | -9,670 |
Change in fair value of derivatives, tax expense | -1,866 | 1,771 | 3,586 |
Change in fair value of available-for-sale securities, tax benefit | -151 | -29 | 135 |
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | $0 | $942 | $0 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $139,253 | $266,632 |
Net receivables | 1,793,556 | 1,175,674 |
Net inventories | 196,114 | 134,390 |
Income taxes receivable | 31,415 | 0 |
Deferred income taxes | 107,484 | 28,802 |
Prepaid expenses and other current assets | 121,084 | 43,331 |
Current assets of discontinued operations | 0 | 798,253 |
Total current assets | 2,388,906 | 2,447,082 |
Net property, plant, and equipment | 807,057 | 508,455 |
Goodwill | 1,875,269 | 1,043,463 |
Net intangibles | 165,207 | 10,470 |
Deferred income taxes | 140,321 | 101,147 |
Deferred charges and other noncurrent assets | 127,642 | 111,157 |
Noncurrent assets of discontinued operations | 0 | 1,636,003 |
Total assets | 5,504,402 | 5,857,777 |
Current liabilities: | ||
Current portion of long-term debt | 59,997 | 249,228 |
Accounts payable | 158,137 | 64,804 |
Contract-related accruals | 357,296 | 69,241 |
Contract advances and allowances | 173,198 | 105,787 |
Accrued compensation | 135,528 | 98,412 |
Other current liabilities | 212,628 | 215,790 |
Current liabilities of discontinued operations | 0 | 326,888 |
Total current liabilities | 1,096,784 | 1,130,150 |
Long-term debt | 1,528,504 | 1,843,750 |
Postretirement and postemployment benefits | 74,658 | 72,116 |
Pension | 851,001 | 525,775 |
Other noncurrent liabilities | 165,795 | 103,730 |
Noncurrent liabilities of discontinued operations | 0 | 260,118 |
Total liabilities | 3,716,742 | 3,935,639 |
Commitments and contingencies (Notes 10, 12 and 13) | ||
Common stock—$.01 par value: authorized—180,000,000 shares; issued and outstanding— 59,427,942 shares at March 31, 2015 and 31,842,642 shares at March 31, 2014 | 594 | 318 |
Additional paid-in-capital | 2,182,814 | 534,015 |
Retained earnings | 1,160,272 | 2,789,264 |
Accumulated other comprehensive loss | -847,648 | -680,809 |
Common stock in treasury, at cost— 9,507,082 shares held at March 31, 2015 and 9,712,877 shares held at March 31, 2014 | -719,034 | -731,213 |
Total Orbital ATK, Inc. stockholders' equity | 1,776,998 | 1,911,575 |
Noncontrolling interest | 10,662 | 10,563 |
Total equity | 1,787,660 | 1,922,138 |
Total liabilities and equity | $5,504,402 | $5,857,777 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, authorized shares | 180,000,000 | 180,000,000 |
Common stock, issued shares | 59,427,942 | 31,842,642 |
Common stock, outstanding shares | 59,427,942 | 31,842,642 |
Common stock in treasury, shares | 9,507,082 | 9,712,877 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Operating Activities | |||
Net income | $202,583 | $341,086 | $272,241 |
Net income from discontinued operations | -125,049 | -181,463 | -85,072 |
Income from continuing operations | 77,534 | 159,623 | 187,169 |
Adjustments to reconcile income from continuing operations to cash provided by operating activities of continuing operations: | |||
Depreciation | 75,764 | 69,192 | 77,605 |
Amortization of intangible assets | 9,263 | 3,112 | 3,330 |
Amortization of debt discount | 3,212 | 7,364 | 6,875 |
Amortization of deferred financing costs | 5,157 | 10,222 | 3,847 |
Goodwill impairment | 34,300 | 0 | 0 |
Loss on the extinguishment of debt | 26,626 | 0 | 11,773 |
Deferred income taxes | -6,119 | 6,828 | -11,717 |
(Gain) loss on disposal of property | 2,114 | 594 | -1,542 |
Share-based plans expense | 25,325 | 12,701 | 12,025 |
Excess tax benefits from share-based plans | -7,004 | -833 | -2 |
Changes in assets and liabilities: | |||
Net receivables | -55,243 | 5,533 | 38,608 |
Net inventories | 13,570 | -63,437 | -12,892 |
Accounts payable | 55,710 | -71,314 | -30,851 |
Contract advances and allowances | 27,123 | -39,465 | 1,718 |
Accrued compensation | -39,950 | -16,362 | 3,614 |
Contract-related accruals | 93,298 | -13,725 | 22,961 |
Pension and other postretirement benefits | -41,569 | 70,750 | -31,990 |
Other assets and liabilities | -108,256 | 21,178 | -95,600 |
Cash provided by operating activities of continuing operations | 190,855 | 161,961 | 184,931 |
Cash provided by operating activities of discontinued operations | 120,476 | 226,060 | 88,660 |
Cash provided by operating activities | 311,331 | 388,021 | 273,591 |
Investing Activities | |||
Capital expenditures | -112,704 | -105,730 | -73,494 |
Cash acquired in Merger with Orbital | 253,734 | 0 | 0 |
Cash dividend received from Vista Outdoor, net of cash transferred to Vista Outdoor in conjunction with the Distribution of Sporting Group | 188,878 | 0 | 0 |
Proceeds from the disposition of property plant and equipment | 2,290 | 5,488 | 172 |
Cash provided by (used for) investing activities of continuing operations | 332,198 | -100,242 | -73,322 |
Cash used for investing activities of discontinued operations | -30,585 | -1,341,747 | -23,395 |
Cash provided by (used for) investing activities | 301,613 | -1,441,989 | -96,717 |
Financing Activities | |||
Borrowings on line of credit | 798,000 | 280,000 | 0 |
Repayments of line of credit | -798,000 | -280,000 | 0 |
Payments made on bank debt | -58,249 | -38,263 | -35,000 |
Payments made to extinguish debt | -777,220 | -510,000 | -409,000 |
Proceeds from issuance of long-term debt | 150,000 | 1,560,000 | 200,000 |
Payments made for debt issue costs | -1,008 | -21,641 | -1,458 |
Purchase of treasury shares | -16,788 | -53,270 | -58,371 |
Dividends paid | -41,056 | -35,134 | -30,033 |
Proceeds from employee stock compensation plans | 0 | 729 | 5,461 |
Excess tax benefits from share-based plans | 7,004 | 833 | 2 |
Cash provided by (used for) financing activities of continuing operations | -737,317 | 903,254 | -328,399 |
Effect of foreign currency exchange rate fluctuations on cash | -3,006 | 58 | 0 |
Decrease in cash and cash equivalents | -127,379 | -150,656 | -151,525 |
Cash and cash equivalents at beginning of year | 266,632 | 417,288 | 568,813 |
Cash and cash equivalents at end of year | 139,253 | 266,632 | 417,288 |
Supplemental Cash Flow Disclosures | |||
Cash paid for interest, net | 77,630 | 54,426 | 68,029 |
Cash paid for income taxes, net | 143,108 | 136,295 | 162,673 |
Noncash investing and financing activity: | |||
Issuance of shares for noncash assets and liabilities of Orbital | 1,504,243 | 0 | 0 |
Capital expenditures included in accounts payable of continuing operations | $2,567 | $8,645 | $13,760 |
CONSOLIDATED_STATEMENTS_OF_EQU
CONSOLIDATED STATEMENTS OF EQUITY (USD $) | Total | Common Stock $.01 Par Value | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock | Noncontrolling Interest |
In Thousands, except Share data, unless otherwise specified | |||||||
Balance at Mar. 31, 2012 | $1,236,751 | $332 | $537,921 | $2,241,711 | ($910,598) | ($642,571) | $9,956 |
Balance (in shares) at Mar. 31, 2012 | 33,142,408 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | 354,535 | 271,805 | 82,294 | 436 | |||
Exercise of stock options | 5,461 | -1,552 | 7,013 | ||||
Exercise of stock options (in shares) | 93,617 | ||||||
Restricted stock grants | -8,429 | 8,429 | |||||
Restricted stock grants (in shares) | 82,409 | ||||||
Share-based compensation | 12,025 | 12,025 | |||||
Treasury stock purchased | -59,511 | -59,511 | |||||
Treasury stock purchased (in shares) | -1,003,938 | ||||||
Shares issued net of treasury stock withheld | -1,460 | -5,463 | 4,003 | ||||
Performance shares issued net of treasury stock withheld (in shares) | 44,964 | ||||||
Tax benefit related to share based plans and other | -2,474 | -2,474 | |||||
Dividends | -30,033 | -30,033 | |||||
Employee benefit plans and other | -2,733 | -9 | 2,109 | -4,833 | |||
Employee benefit plans and other (in shares) | -41,165 | ||||||
Balance at Mar. 31, 2013 | 1,512,561 | 323 | 534,137 | 2,483,483 | -828,304 | -687,470 | 10,392 |
Balance (in shares) at Mar. 31, 2013 | 32,318,295 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | 488,581 | 340,915 | 147,495 | 171 | |||
Exercise of stock options | 729 | -252 | 981 | ||||
Exercise of stock options (in shares) | 13,173 | ||||||
Restricted stock grants | -9,517 | 9,517 | |||||
Restricted stock grants (in shares) | 116,533 | ||||||
Share-based compensation | 12,701 | 12,701 | |||||
Treasury stock purchased | -52,130 | -52,130 | |||||
Treasury stock purchased (in shares) | -609,922 | ||||||
Shares issued net of treasury stock withheld | -1,406 | -3,856 | 2,450 | ||||
Performance shares issued net of treasury stock withheld (in shares) | 34,138 | ||||||
Tax benefit related to share based plans and other | 94 | 94 | |||||
Dividends | -35,134 | -35,134 | |||||
Employee benefit plans and other | -3,858 | -5 | 708 | -4,561 | |||
Employee benefit plans and other (in shares) | -29,575 | ||||||
Balance at Mar. 31, 2014 | 1,922,138 | 318 | 534,015 | 2,789,264 | -680,809 | -731,213 | 10,563 |
Balance (in shares) at Mar. 31, 2014 | 31,842,642 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | -60,480 | 202,484 | -263,063 | 99 | |||
Exercise of stock options (in shares) | 0 | ||||||
Restricted stock grants | -10,850 | 10,850 | |||||
Restricted stock grants (in shares) | 128,316 | ||||||
Share-based compensation | 25,325 | 25,325 | |||||
Shares issued net of treasury stock withheld | -10,615 | -19,381 | 8,766 | ||||
Performance shares issued net of treasury stock withheld (in shares) | 150,658 | ||||||
Tax benefit related to share based plans and other | 6,445 | 6,445 | |||||
Dividends | -56,507 | -56,507 | |||||
Employee benefit plans and other | -6,171 | 2 | 1,264 | -7,437 | |||
Employee benefit plans and other (in shares) | -73,179 | ||||||
Convertible debt premium, net of tax of $43,170 | -111,707 | -111,707 | |||||
Stock Issued During Period, Value, Conversion of Convertible Securities, Net of Adjustments | 20,678 | ||||||
Distribution of Sporting Group | -1,678,745 | -1,774,969 | 96,224 | ||||
Stock Issued During Period, Shares, Acquisitions | 27,358,827 | ||||||
Merger with Orbital | 1,757,977 | 274 | 1,757,703 | ||||
Balance at Mar. 31, 2015 | $1,787,660 | $594 | $2,182,814 | $1,160,272 | ($847,648) | ($719,034) | $10,662 |
Balance (in shares) at Mar. 31, 2015 | 59,427,942 |
CONSOLIDATED_STATEMENTS_OF_EQU1
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) (USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 |
Statement of Stockholders' Equity [Abstract] | |
Common Stock, Par or Stated Value Per Share | $0.01 |
Convertible Debt, Tax | $43,170 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies | |||||||||||||||||||||||||||||||||||||||
Nature of Operations. Orbital ATK, Inc. (the "Company") is an aerospace and defense company that operates in the United States and internationally. The Company designs, builds and delivers space, defense and aviation systems for customers around the world, both as a prime contractor and merchant supplier. The Company was incorporated in Delaware in 1990 and is headquartered in Dulles, Virginia. | ||||||||||||||||||||||||||||||||||||||||
On February 9, 2015, the Company completed a tax-free spin-off of and distribution of its Sporting Group to its stockholders (the "Distribution") as a new public company called Vista Outdoor Inc. ("Vista Outdoor"). Immediately following the Distribution, the Company combined with Orbital Sciences Corporation ("Orbital") through the merger of a Company subsidiary with Orbital (the "Merger"). These transactions are discussed in greater detail in Note 4. Following the Distribution and Merger, the Company changed its name from Alliant Techsystems Inc. to Orbital ATK, Inc. | ||||||||||||||||||||||||||||||||||||||||
As a result of the Distribution, the Sporting Group is no longer reported within the Company’s results from continuing operations but is reported as a discontinued operation for all periods presented. The Company used the acquisition method to account for the Merger; accordingly, the results of Orbital have been included in the Company's consolidated financial statements since the date of the Merger. | ||||||||||||||||||||||||||||||||||||||||
Following the Distribution and Merger, the Company reorganized its business groups and realigned its reporting segments. The Company’s remaining businesses, combined with the businesses of Orbital, are now reported in three segments: Flight Systems Group, Defense Systems Group and Space Systems Group, as discussed in Note 16. | ||||||||||||||||||||||||||||||||||||||||
Basis of Presentation. The consolidated financial statements of the Company include all majority-owned affiliates. Intercompany transactions and accounts have been eliminated. The business comprising Sporting Group is presented as discontinued operations - See Note 4. | ||||||||||||||||||||||||||||||||||||||||
Fiscal Year. References in this report to a particular fiscal year refer to the year ended March 31 of that calendar year. The Company's interim quarterly periods are based on 13-week periods and end on Sundays. | ||||||||||||||||||||||||||||||||||||||||
Use of Estimates. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect amounts reported therein. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may differ from those estimates. | ||||||||||||||||||||||||||||||||||||||||
Revenue Recognition. The Company's sales come primarily from contracts with agencies of the U.S. Government and its prime contractors and subcontractors. The various U.S. Government customers, including the U.S. Army, U.S. Navy, NASA, and the U.S. Air Force, make independent purchasing decisions. Consequently, each agency is regarded as a separate customer. | ||||||||||||||||||||||||||||||||||||||||
Sales by customer were as follows: | ||||||||||||||||||||||||||||||||||||||||
Percent of Sales For Years Ending March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Sales to: | ||||||||||||||||||||||||||||||||||||||||
U.S. Army | 27 | % | 33 | % | 38 | % | ||||||||||||||||||||||||||||||||||
U.S. Navy | 15 | % | 16 | % | 16 | % | ||||||||||||||||||||||||||||||||||
NASA | 13 | % | 14 | % | 14 | % | ||||||||||||||||||||||||||||||||||
U.S. Air Force | 6 | % | 7 | % | 9 | % | ||||||||||||||||||||||||||||||||||
Other U.S. Government customers | 14 | % | 14 | % | 10 | % | ||||||||||||||||||||||||||||||||||
Total U.S. Government customers | 75 | % | 84 | % | 87 | % | ||||||||||||||||||||||||||||||||||
Commercial and foreign customers | 25 | % | 16 | % | 13 | % | ||||||||||||||||||||||||||||||||||
Total | 100 | % | 100 | % | 100 | % | ||||||||||||||||||||||||||||||||||
Long-term Contracts—The majority of the Company's sales are accounted for as long-term contracts. Sales under long-term contracts are accounted for under the percentage-of-completion method and include cost-plus and fixed-price contracts. Sales under cost-plus contracts are recognized as costs are incurred. Sales under fixed-price contracts are either recognized as the actual cost of work performed relates to the estimate at completion ("cost-to-cost") or based on results achieved, which usually coincides with customer acceptance ("units-of-delivery"). The majority of the Company's total revenue is accounted for using the cost-to-cost method of accounting. | ||||||||||||||||||||||||||||||||||||||||
Profits expected to be realized on contracts are based on management's estimates of total contract sales value and costs at completion. Estimated amounts for contract changes, including scope and claims, are included in contract sales only when realization is probable. Assumptions used for recording sales and earnings are modified in the period of change to reflect revisions in contract value and estimated costs. In the period in which it is determined that a loss will be incurred on a contract, the entire amount of the estimated gross margin loss is charged to cost of sales. Changes in estimates of contract sales, costs, or profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current or prior periods. The effect of the changes on future periods of contract performance is recognized as if the revised estimate had been used since contract inception. | ||||||||||||||||||||||||||||||||||||||||
Changes in contract estimates occur for a variety of reasons including changes in contract scope, unforeseen changes in contract cost estimates due to unanticipated cost growth or risks affecting contract costs and/or the resolution of contract risks at lower costs than anticipated, as well as changes in contract overhead costs over the performance period. Changes in estimates could have a material effect on the company's consolidated financial position or annual results of operations. Aggregate net changes in contract estimates recognized using the cumulative catch-up method of accounting increased operating income by $87,005 in fiscal 2015, $83,346 in fiscal 2014, and $93,377 in fiscal 2013. The adjustments recorded during fiscal 2015 were primarily driven by higher profit expectations in the Defense Electronics, Armament Systems, Missile Products, Propulsion Systems and Small Caliber Systems divisions due to contract terminations and closeouts. | ||||||||||||||||||||||||||||||||||||||||
The prior year adjustments were primarily driven by higher profit expectations of $41,357 in the Small Caliber Systems division due to operational efficiencies, a successful in-sourcing initiative, and reduced operational risk as a contract nears completion, and for programs in Propulsion Systems. As a result of a pension closeout settlement, the difference between pension and postretirement benefit expense calculated under Financial Accounting Standards ("FAS") and the expense calculated under U.S. Cost Accounting Standards ("CAS") for the Radford facility management contract resulted in Corporate recording income of $28,986 which was excluded from the increase in operating income resulting from the cumulative catch-up method of accounting. | ||||||||||||||||||||||||||||||||||||||||
Contracts may contain provisions to earn incentive and award fees if specified targets are achieved as well as penalty provisions related to performance. Incentive and award fees and penalties that can be reasonably estimated and are probable are recorded over the performance period of the contract. Incentive and award fees that cannot be reasonably estimated are recorded when awarded. | ||||||||||||||||||||||||||||||||||||||||
Other —Sales not recognized under the long-term contract method are recognized when persuasive evidence of an arrangement exists, the product has been delivered and legal title and all risks of ownership have been transferred, written contract and sales terms are complete, customer acceptance has occurred, and payment is reasonably assured. Sales are reduced for allowances and price discounts. Fiscal 2015 sales by revenue recognition method were as follows: | ||||||||||||||||||||||||||||||||||||||||
Percent of Sales | ||||||||||||||||||||||||||||||||||||||||
Sales recorded under: | ||||||||||||||||||||||||||||||||||||||||
Long-term contracts | 98 | % | ||||||||||||||||||||||||||||||||||||||
Other | 2 | % | ||||||||||||||||||||||||||||||||||||||
Total | 100 | % | ||||||||||||||||||||||||||||||||||||||
Operating Expenses. Research and development, selling and general and administrative costs are expensed in the year incurred. Research and development costs include costs incurred for experimentation and design testing. Selling costs include bid and proposal efforts related to products and services. Costs that are incurred pursuant to contractual arrangements are recorded over the period that revenue is recognized, consistent with the Company's contract accounting policy. | ||||||||||||||||||||||||||||||||||||||||
Environmental Remediation and Compliance. Costs associated with environmental compliance, restoration, and preventing future contamination that are estimable and probable are accrued and expensed, or capitalized as appropriate. Expected remediation, restoration, and monitoring costs relating to an existing condition caused by past operations, and which do not contribute to current or future revenue generation, are accrued and expensed in the period that such costs become estimable. Liabilities are recognized for remedial and resource restoration activities when they are probable and the cost can be reasonably estimated. The Company expects that a portion of its environmental remediation costs will be recoverable under U.S. Government contracts and has recorded a receivable equal to the present value of the amounts the Company expects to recover. | ||||||||||||||||||||||||||||||||||||||||
The Company's engineering, financial, and legal specialists estimate, based on current law and existing technologies, the cost of each environmental liability. Such estimates are based primarily upon the estimated cost of investigation and remediation required and the likelihood that other potentially responsible parties ("PRPs") will be able to fulfill their commitments at the sites where the Company may be jointly and severally liable. The Company's estimates for environmental obligations are dependent on, and affected by, the nature and extent of historical information and physical data relating to a contaminated site, the complexity of the site, methods of remediation available, the technology that will be required, the outcome of discussions with regulatory agencies and other PRPs at multi-party sites, the number and financial viability of other PRPs, changes in environmental laws and regulations, future technological developments, and the timing of expenditures; accordingly, the Company periodically evaluates and revises such estimates based on expenditures against established reserves and the availability of additional information. | ||||||||||||||||||||||||||||||||||||||||
Cash Equivalents. Cash equivalents are all highly liquid cash investments purchased with original maturities of 3 months or less. | ||||||||||||||||||||||||||||||||||||||||
Marketable Securities. Investments in a common collective trust that primarily invests in fixed income securities are classified as available-for-sale securities and are recorded at fair value within other current assets and deferred charges and other noncurrent assets on the consolidated balance sheet. Unrealized gains and losses are recorded in other comprehensive (loss) income ("OCI"). When such investments are sold, the unrealized gains or losses are reversed from OCI and recognized in the consolidated income statement. | ||||||||||||||||||||||||||||||||||||||||
Net Inventories. Inventories are stated at the lower of cost or market. Inventoried costs relating to contracts in progress are stated at actual production costs, including factory overhead, initial tooling, and other related costs incurred to date, reduced by amounts associated with recognized sales. Recorded amounts for raw materials, work in process and finished goods are generally determined using the standard costing method. | ||||||||||||||||||||||||||||||||||||||||
Inventories consist of the following: | ||||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Raw materials | $ | 69,112 | $ | 34,219 | ||||||||||||||||||||||||||||||||||||
Work/contracts in process | 126,038 | 90,468 | ||||||||||||||||||||||||||||||||||||||
Finished goods | 964 | 9,703 | ||||||||||||||||||||||||||||||||||||||
Net inventories | $ | 196,114 | $ | 134,390 | ||||||||||||||||||||||||||||||||||||
Progress payments received from customers relating to the uncompleted portions of contracts are offset against unbilled receivable balances or applicable inventories. Any remaining progress payment balances are classified as contract advances. | ||||||||||||||||||||||||||||||||||||||||
The following is a reconciliation of the changes in the Company's excess and obsolete inventory accounts during fiscal 2014 and 2015: | ||||||||||||||||||||||||||||||||||||||||
Balance, April 1, 2013 | $ | (15,185 | ) | |||||||||||||||||||||||||||||||||||||
Expense | (3,149 | ) | ||||||||||||||||||||||||||||||||||||||
Write-offs | 381 | |||||||||||||||||||||||||||||||||||||||
Reversals and other adjustments | 4,696 | |||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2014 | (13,257 | ) | ||||||||||||||||||||||||||||||||||||||
Expense | (993 | ) | ||||||||||||||||||||||||||||||||||||||
Write-offs | (652 | ) | ||||||||||||||||||||||||||||||||||||||
Reversals and other adjustments | (2,110 | ) | ||||||||||||||||||||||||||||||||||||||
Balance, March 31, 2015 | $ | (17,012 | ) | |||||||||||||||||||||||||||||||||||||
Accounting for Goodwill and Identifiable Intangible Assets. | ||||||||||||||||||||||||||||||||||||||||
Goodwill—The Company tests goodwill for impairment on the first day of its fourth fiscal quarter or upon the occurrence of events or changes in circumstances that indicate that the asset might be impaired. The Company determined that the reporting units for its goodwill impairment review are its operating segments, or components of an operating segment, that constitute a business for which discrete financial information is available, and for which segment management regularly reviews the operating results. | ||||||||||||||||||||||||||||||||||||||||
The impairment test is performed using a two-step process. In the first step, the Company estimates the fair value of each reporting unit and compares it to the carrying value of the reporting unit, including goodwill. If the carrying amount of a reporting unit is higher than its fair value, an indication of goodwill impairment exists and the second step is performed in order to determine the amount of the goodwill impairment. In the second step, the Company determines the implied fair value of the reporting unit's goodwill which it determines by allocating the estimated fair value of the reporting unit in a manner similar to a purchase price allocation. The implied fair value is compared to the carrying amount and if the carrying amount of the reporting unit's goodwill exceeds the implied fair value of its goodwill, an impairment loss is recognized for the excess. | ||||||||||||||||||||||||||||||||||||||||
Identifiable Intangible Assets—the Company's primary identifiable intangible assets consist of contract backlog intangible assets recorded as part of the Orbital merger transaction, discussed in Note 4. Identifiable intangible assets with finite lives are amortized and evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Identifiable intangibles with indefinite lives are not amortized and are tested for impairment annually on the first day of the Company's fourth fiscal quarter, or more frequently if events warrant. | ||||||||||||||||||||||||||||||||||||||||
Dividends Payable. On March 11, 2015, the Board of Directors declared a quarterly cash dividend of $0.26 per share. The dividend will be paid June 25, 2015 to stockholders of record as of June 8, 2015. | ||||||||||||||||||||||||||||||||||||||||
Stock-based Compensation. The Company's stock-based compensation plans, which are described more fully in Note 14, provide for the grant of various types of stock-based incentive awards, including performance awards, total stockholder return performance awards ("TSR awards"), restricted stock, and options to purchase common stock. The types and mix of stock-based incentive awards are evaluated on an ongoing basis and may vary based on the Company's overall strategy regarding compensation, including consideration of the impact of expensing stock awards on the Company's results of operations. | ||||||||||||||||||||||||||||||||||||||||
Performance awards are valued at the fair value of the Company stock as of the grant date and expense is recognized based on the number of shares expected to vest under the terms of the award under which they are granted. The Company uses an integrated Monte Carlo simulation model to determine the fair value of the TSR awards and the calculated fair value is recognized in income over the vesting period. Restricted stock issued vests over periods ranging from 1 to 3 years and is valued based on the market value of the Company stock on the grant date. The estimated grant date fair value of stock options is recognized in income on a straight-line basis over the requisite service period, generally one to three years. The estimated fair value of each option is calculated using the Black-Scholes option-pricing model. See Note 14 for further details. | ||||||||||||||||||||||||||||||||||||||||
Income Taxes. Provisions for federal, state and foreign income taxes are calculated based on reported pre-tax earnings and current tax law. Such provisions differ from the amounts currently receivable or payable because certain items of income and expense are recognized in different time periods for financial reporting purposes than for income tax purposes. Significant judgment is required in determining income taxes and evaluating tax positions. The Company periodically assesses its liabilities and contingencies for all periods that are currently open to examination or have not been effectively settled based on the most current available information. Where it is not more likely than not that the Company's tax position will be sustained, the Company records the entire resulting tax liability and when it is more likely than not of being sustained, the Company records its best estimate of the resulting tax liability. Any applicable interest and penalties related to those positions are also recorded in the consolidated financial statements. To the extent the Company's assessment of the tax outcome of these matters changes, such change in estimate will impact income taxes in the period of the change. It is the Company's policy to record any interest and penalties related to income taxes as part of the income taxes for financial reporting purposes. Deferred tax assets related to carryforwards are reduced by a valuation allowance when it is not more likely than not that the amount will be realized before expiration of the carryforward period. As part of this analysis the Company takes into the account the amount and character of the income to determine if the carryforwards will be realized. Significant estimates and judgments are required for this analysis. Changes in the amounts of valuation allowance are recorded in tax expense in the period when the change occurs. | ||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities. From time to time, the Company uses derivative instruments, consisting mainly of commodity forward contracts to hedge forecasted purchases of certain commodities, foreign currency exchange contracts to hedge forecasted transactions denominated in a foreign currency and interest rate swaps to manage interest rate risk on debt. The Company does not hold or issue derivatives for trading purposes. At the inception of each derivative instrument, the Company documents the relationship between the derivative instrument and the hedged item, as well as its risk-management objectives and strategy for undertaking the hedge transaction. The Company assesses, both at the derivative's inception and on an ongoing basis, whether the derivative instrument is highly effective in offsetting changes in the fair value of the hedged item. Derivatives are recognized on the balance sheet at fair value. The effective portion of changes in fair value of derivatives designated as cash flow hedges are recorded to accumulated OCI and recognized in earnings when the hedged item impacts earnings. The ineffective portion of derivatives designated as cash flow hedges and changes in fair value of derivative instruments not designated in a qualifying hedging relationship are reflected in current earnings. The Company's current derivatives are designated as cash flow hedges. See Note 3 for further details. | ||||||||||||||||||||||||||||||||||||||||
Earnings Per Share Data. Basic earnings per share ("EPS") is computed based upon the weighted-average number of common shares outstanding for each period. Diluted EPS is computed based on the weighted-average number of common shares and common equivalent shares outstanding for each period. Common equivalent shares represent the effect of stock-based awards (see Note 14) and contingently issuable shares related to the Company's Convertible Senior Subordinated Notes (see Note 9) during each period presented, which, if exercised, earned, or converted, would have a dilutive effect on earnings per share. | ||||||||||||||||||||||||||||||||||||||||
In computing EPS for fiscal years 2015, 2014 and 2013, earnings, as reported for each respective period, was divided by weighted-average shares outstanding, determined as follows (in thousands): | ||||||||||||||||||||||||||||||||||||||||
Years Ended March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Basic | 35,469 | 31,671 | 32,447 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of stock-based awards | 377 | 376 | 161 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of contingently issuable shares | 294 | 676 | — | |||||||||||||||||||||||||||||||||||||
Diluted | 36,140 | 32,723 | 32,608 | |||||||||||||||||||||||||||||||||||||
Anti-dilutive stock options excluded from the calculation of diluted earnings per share | 73 | 45 | 5 | |||||||||||||||||||||||||||||||||||||
As discussed further in Note 9, contingently issuable shares related to the Company's convertible senior subordinated notes are not included in diluted EPS for 2013 because the Company's average stock price during the period did not exceed the triggering price. | ||||||||||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss). | ||||||||||||||||||||||||||||||||||||||||
The components of Accumulated other comprehensive income (loss) ("AOCI"), net of income taxes, were as follows: | ||||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | $ | (2,073 | ) | $ | (5,022 | ) | ||||||||||||||||||||||||||||||||||
Pension and other postretirement benefits | (846,645 | ) | (675,114 | ) | ||||||||||||||||||||||||||||||||||||
Cumulative translation adjustment | — | (1,505 | ) | |||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 1,070 | 832 | ||||||||||||||||||||||||||||||||||||||
Total accumulated other comprehensive loss | $ | (847,648 | ) | $ | (680,809 | ) | ||||||||||||||||||||||||||||||||||
The following table summarizes the changes in the balance of AOCI, net of income taxes: | ||||||||||||||||||||||||||||||||||||||||
Year Ended March 31, 2015 | Year Ended March 31, 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | |||||||||||||||||||||||||||||||
Beginning of period unrealized gain (loss) in AOCI | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | $ | (2,192 | ) | $ | (826,898 | ) | $ | 786 | $ | — | $ | (828,304 | ) | |||||||||||||
Net decrease in fair value of derivatives | (8,097 | ) | — | — | — | (8,097 | ) | (8,681 | ) | — | — | — | (8,681 | ) | ||||||||||||||||||||||||||
Net losses reclassified from AOCI, offsetting the price paid to suppliers (1) | 11,046 | — | — | — | 11,046 | 4,852 | — | — | — | 4,852 | ||||||||||||||||||||||||||||||
Net losses reclassified from AOCI, due to ineffectiveness (1) | — | — | — | — | — | 999 | — | — | — | 999 | ||||||||||||||||||||||||||||||
Net actuarial losses reclassified from AOCI (2) | — | 13,841 | — | — | 13,841 | — | 91,387 | — | — | 91,387 | ||||||||||||||||||||||||||||||
Prior service costs reclassified from AOCI (2) | — | (18,906 | ) | — | — | (18,906 | ) | — | (18,125 | ) | — | — | (18,125 | ) | ||||||||||||||||||||||||||
Valuation adjustment for pension and postretirement benefit plans (2) | — | (224,389 | ) | — | — | (224,389 | ) | — | 78,522 | — | — | 78,522 | ||||||||||||||||||||||||||||
Net change in cumulative translation adjustment | — | — | — | (36,796 | ) | (36,796 | ) | — | — | — | (1,505 | ) | (1,505 | ) | ||||||||||||||||||||||||||
Other | — | — | 238 | — | 238 | — | — | 46 | — | 46 | ||||||||||||||||||||||||||||||
Distribution of Sporting (3) | — | 57,923 | — | 38,301 | 96,224 | — | — | — | — | — | ||||||||||||||||||||||||||||||
End of period unrealized gain (loss) in AOCI | $ | (2,073 | ) | $ | (846,645 | ) | $ | 1,070 | $ | — | $ | (847,648 | ) | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | |||||||||||||
-1 | Amounts related to derivative instruments that were reclassified from AOCI and recorded as a component of cost of sales or interest expense for each period presented. | |||||||||||||||||||||||||||||||||||||||
-2 | Amounts related to pension and other postretirement benefits that were reclassified from AOCI and recorded as a component of net periodic benefit cost for each period presented (Note 10). | |||||||||||||||||||||||||||||||||||||||
-3 | Amounts related to Sporting Group prior the Distribution (Note 4). | |||||||||||||||||||||||||||||||||||||||
There was no ineffectiveness recognized in earnings for these contracts during any fiscal year presented. The Company expects that any unrealized gains and losses will be realized and reported in cost of sales as the cost of the commodities is included in cost of sales. Estimated and actual gains or losses will change as market prices change. | ||||||||||||||||||||||||||||||||||||||||
Fair Value of Non-financial Instruments. The carrying amounts of receivables, inventory, accounts payable, accrued liabilities and other current assets and liabilities, approximate fair values due to the short maturity of these instruments. See Note 2 for additional disclosure regarding fair value of financial instruments. | ||||||||||||||||||||||||||||||||||||||||
New Accounting Pronouncements. In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09 Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Topic 605, Revenue Recognition, including most industry-specific revenue recognition guidance. This guidance is effective for periods beginning after December 15, 2016 and early application is not permitted. On April 1, 2015 the FASB voted in favor of proposing a one year delay of the effective date and to permit companies to voluntarily adopt the new standard as of the original effective date. The Company is in the process of evaluating the impact this standard will have on the Company. | ||||||||||||||||||||||||||||||||||||||||
In February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." This update is intended to improve targeted areas of consolidation guidance by simplifying the consolidation evaluation process, and by placing more emphasis on risk of loss when determining a controlling financial interest. The provisions of this ASU are effective for interim and annual periods beginning after December 15, 2015. The Company is in the process of evaluating the impact this standard will have on the Company. | ||||||||||||||||||||||||||||||||||||||||
In April 2015, the FASB issued ASU No. 2015-03, "Simplifying the Presentation of Debt Issuance Costs." This ASU more closely aligns the treatment of debt issuance costs with debt discounts and premiums and requires debt issuance costs to be presented as a direct deduction from the carrying amount of the related debt. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years. This ASU is not expected to have a significant impact on the Company's financial statements or disclosures. | ||||||||||||||||||||||||||||||||||||||||
Other new pronouncements issued but not effective for the Company until after March 31, 2015 are not expected to have a material impact on the Company's continuing financial position, results of operations, or liquidity. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | ||||||||||||||||
The current authoritative guidance on fair value clarifies the definition of fair value, prescribes a framework for measuring fair value, establishes a fair value hierarchy based on the inputs used to measure fair value, and expands disclosures about the use of fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. | |||||||||||||||||
The valuation techniques required by the current authoritative literature are based upon observable and unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect internal market assumptions. These two types of inputs create the following fair value hierarchy: | |||||||||||||||||
Level 1—Quoted prices for identical instruments in active markets. | |||||||||||||||||
Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable or whose significant value drivers are observable. | |||||||||||||||||
Level 3—Significant inputs to the valuation model are unobservable. | |||||||||||||||||
The following section describes the valuation methodologies used by the Company to measure its financial instruments at fair value. | |||||||||||||||||
Investments in marketable securities—The Company's investments in marketable securities represent investments held in a common collective trust ("CCT") that primarily invests in fixed income securities which are used to pay benefits under a nonqualified supplemental executive retirement plan for certain executives and highly compensated employees. Investments in a collective investment vehicle are valued by multiplying the investee company's net asset value per share with the number of units or shares owned at the valuation date as determined by the investee company. Net asset value per share is determined by the investee company's custodian or fund administrator by deducting from the value of the assets of the investee company all its liabilities and the resulting number is divided by the outstanding number of shares or units. Investments held by the CCT, including collateral invested for securities on loan, are valued on the basis of valuations furnished by a pricing service approved by the CCT's investment manager, which determines valuations using methods based on market transactions for comparable securities and various relationships between securities which are generally recognized by institutional traders, or at fair value as determined in good faith by the CCT's investment manager. The fair value of these securities is included within other current assets and deferred charges and other noncurrent assets on the consolidated balance sheet. | |||||||||||||||||
Derivative financial instruments and hedging activities—In order to manage its exposure to commodity pricing and foreign currency risk, the Company periodically utilizes commodity and foreign currency derivatives, which are considered Level 2 instruments. As discussed further in Note 3, the Company has outstanding commodity forward contracts that were entered into to hedge forecasted purchases of copper and zinc, as well as outstanding foreign currency forward contracts that were entered into to hedge forecasted transactions denominated in a foreign currency. Commodity derivatives are valued based on prices of futures exchanges and recently reported transactions in the marketplace. During fiscal 2014, the Company entered into five interest rate swaps. These swaps are valued based on future LIBOR, and the established fixed rate is based primarily on quotes from banks. Foreign currency derivatives are valued based on observable market transactions of spot currency rates and forward currency prices. | |||||||||||||||||
Long-term Debt—The fair value of the variable-rate long-term debt is calculated based on current market rates for debt of the same risk and maturities. The fair value of the fixed-rate debt is based on market quotes for each issuance. The Company considers these to be Level 2 instruments. | |||||||||||||||||
The following table sets forth by level within the fair value hierarchy the Company's financial assets and liabilities that are measured at fair value on a recurring basis: | |||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Inputs Considered as | |||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Assets: | |||||||||||||||||
Marketable securities | $ | — | $ | 10,327 | $ | — | |||||||||||
Derivatives | — | 7,823 | — | ||||||||||||||
Liabilities: | |||||||||||||||||
Derivatives | — | 11,137 | — | ||||||||||||||
As of March 31, 2014 | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Inputs Considered as | |||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Assets: | |||||||||||||||||
Marketable securities | $ | — | $ | 10,130 | $ | — | |||||||||||
Derivatives | — | 328 | — | ||||||||||||||
Liabilities: | |||||||||||||||||
Derivatives | — | 8,459 | — | ||||||||||||||
The following table presents the Company's assets and liabilities that are not measured at fair value on a recurring basis. The carrying values and estimated fair values were as follows: | |||||||||||||||||
As of March 31, 2015 | As of March 31, 2014 | ||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||
Amount | Value | Amount | Value | ||||||||||||||
Fixed rate debt | $ | 300,000 | $ | 306,000 | $ | 846,228 | $ | 1,062,078 | |||||||||
Variable rate debt | 1,288,501 | 1,283,539 | 1,246,750 | 1,247,062 | |||||||||||||
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||
Derivative Financial Instruments | Derivative Financial Instruments | ||||||||||||||||||
The Company is exposed to market risks arising from adverse changes in commodity prices affecting the cost of raw materials and energy; interest rates and foreign exchange risks. In the normal course of business, these risks are managed through a variety of strategies, including the use of derivative instruments. Commodity forward contracts are periodically used to hedge forecasted purchases of certain commodities, foreign currency exchange contracts are used to hedge forecasted transactions denominated in a foreign currency, and the Company periodically uses interest rate swaps to hedge forecasted interest payments and the risk associated with variable interest rates on long-term debt. | |||||||||||||||||||
The Company entered into forward contracts for copper and zinc during fiscal 2015, 2014 and 2013. The contracts essentially establish a fixed price for the underlying commodity and are designated and qualify as effective cash flow hedges of purchases of the commodity. Ineffectiveness is calculated as the amount by which the change in the fair value of the derivatives exceeds the change in the fair value of the anticipated commodity purchases. | |||||||||||||||||||
The Company entered into interest rate swaps during fiscal 2014 requiring fixed rate payments on a total notional amount of $400,000 and receive one-month LIBOR. The fair value of interest rate swap agreements approximates the amount at which they could be settled, based on future LIBOR, and the established fixed rate is based primarily on quotes from banks. The Company performs assessments of the effectiveness of hedge instruments on a quarterly basis and during fiscal 2015 determined the hedges to be highly effective. The counterparties to the interest rate swap agreements expose the Company to credit risk in the event of nonperformance. However, at March 31, 2015, five of the outstanding swap agreements were in a net liability position which would require the Company to make the net settlement payments to the counterparties. The Company does not anticipate nonperformance by counterparties and does not hold or issue derivative financial instruments for trading purposes. | |||||||||||||||||||
The Company entered into foreign currency forward contracts during fiscal 2015 to hedge forecasted cash receipts from a customer and forecasted inventory purchases and subsequent payments. The Company did not enter into any foreign currency forward contracts during fiscal 2014 or 2013. Contracts entered into prior to fiscal 2013 were used to hedge forecasted customer receivables and inventory purchases and subsequent payments, denominated in foreign currencies. These transactions were designated and qualified as effective cash flow hedges. Ineffectiveness with respect to forecasted inventory purchases or customer cash receipts was calculated based on changes in the forward rate until the anticipated purchase or cash receipt occurs; ineffectiveness of the hedge of the accounts payable was evaluated based on the change in fair value of its anticipated settlement. | |||||||||||||||||||
The fair value of the commodity and foreign currency forward contracts is recorded within other assets or liabilities, as appropriate, and the effective portion is reflected in accumulated other comprehensive income (loss) in the financial statements. The gains or losses on the commodity forward contracts are recorded in inventory as the commodities are purchased. The gains or losses on the foreign currency forward contracts are recorded in earnings when the related inventory is sold. | |||||||||||||||||||
As of March 31, 2015, the Company had the following outstanding commodity forward contracts that were entered into to hedge forecasted purchases: | |||||||||||||||||||
Number of | |||||||||||||||||||
Pounds | |||||||||||||||||||
Copper | 16,475,000 | ||||||||||||||||||
Zinc | 4,840,000 | ||||||||||||||||||
At March 31, 2015, the Company had three outstanding interest rate swaps with notional amounts of $100,000 each with maturity dates in August 2016, 2017 and 2018, as well as two interest rate swaps with notional amounts of $50,000 each with maturity dates in November 2016 and 2017. See Note 9 for additional information. | |||||||||||||||||||
At March 31, 2015, the Company had the following outstanding foreign currency forward contracts in place: | |||||||||||||||||||
Quantity Hedged | |||||||||||||||||||
Euros Sold | 98,580,000 | ||||||||||||||||||
Euros Purchased | 33,353,979 | ||||||||||||||||||
At March 31, 2014, the Company had 0 outstanding foreign currency forward contracts in place. | |||||||||||||||||||
The table below presents the fair value and location of the Company's derivative instruments designated as hedging instruments in the consolidated balance sheet as of the periods presented. | |||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||
Location | 31-Mar-15 | 31-Mar-14 | 31-Mar-15 | 31-Mar-14 | |||||||||||||||
Commodity forward contracts | Other current assets / | $ | 1,054 | $ | — | $ | 899 | $ | 6,212 | ||||||||||
other current liabilities | |||||||||||||||||||
Commodity forward contracts | Deferred charges and | 271 | — | 2 | 176 | ||||||||||||||
other noncurrent assets / | |||||||||||||||||||
other noncurrent liabilities | |||||||||||||||||||
Foreign currency forward contracts | Other current assets / | 2,664 | — | 5,101 | — | ||||||||||||||
other accrued liabilities | |||||||||||||||||||
Foreign currency forward contracts | Deferred charges and | 3,834 | — | 897 | — | ||||||||||||||
other non-current | |||||||||||||||||||
assets / other long-term liabilities | |||||||||||||||||||
Interest rate contracts | Deferred charges and | — | 328 | 4,238 | 2,071 | ||||||||||||||
other noncurrent assets / | |||||||||||||||||||
other noncurrent liabilities | |||||||||||||||||||
Total | $ | 7,823 | $ | 328 | $ | 11,137 | $ | 8,459 | |||||||||||
Due to the nature of the Company's business, the benefits associated with the commodity contracts may be passed on to the customer and not realized by the Company. | |||||||||||||||||||
For the periods presented below, the derivative gains and losses in the consolidated income statements related to commodity forward contracts and foreign currency forward contracts were as follows: | |||||||||||||||||||
Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||
AOCI | (ineffective portion and amount excluded from effectiveness testing) | ||||||||||||||||||
Location | Amount | Location | Amount | ||||||||||||||||
Fiscal year ended March 31, 2015 | |||||||||||||||||||
Commodity forward contracts | Cost of sales | $ | (5,515 | ) | Cost of sales | $ | — | ||||||||||||
Interest rate contracts | Interest expense | (4,020 | ) | Interest expense | — | ||||||||||||||
Foreign currency forward contracts | Cost of sales | (9,182 | ) | Cost of sales | — | ||||||||||||||
Fiscal year ended March 31, 2014 | |||||||||||||||||||
Commodity forward contracts | Cost of sales | (6,355 | ) | Cost of sales | — | ||||||||||||||
Interest rate contracts | Interest expense | (1,900 | ) | Interest expense | — | ||||||||||||||
Foreign currency forward contracts | Cost of sales | — | Cost of sales | — | |||||||||||||||
All derivatives used by the Company during the periods presented were designated as hedging instruments. | |||||||||||||||||||
The Company expects that any unrealized losses will be realized and reported in cost of sales when the cost of the commodities is included in cost of sales. Estimated and actual gains or losses will change as market prices change. |
Mergers_Acquisitions_and_Dives
Mergers, Acquisitions and Divestiture | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Business Combinations [Abstract] | |||||||||
Mergers, Acquisitions and Divestiture | Mergers, Acquisitions and Divestiture | ||||||||
Fiscal 2015 | |||||||||
On February 9, 2015, the Company completed the spin-off and Distribution of Sporting Group to its stockholders and Merged with Orbital pursuant to a transaction agreement, dated April 28, 2014 (the "Transaction Agreement"). The Company completed the Merger with Orbital in order to create a global aerospace and defense Company with greater technical and industrial capabilities and increased financial resources. Both the Distribution and Merger were structured to be tax-free to U.S. stockholders for U.S. federal income tax purposes. Under the Transaction Agreement, a subsidiary of the Company merged with and into Orbital, with Orbital continuing as a wholly-owned subsidiary of the Company. | |||||||||
Pursuant to the Distribution, Company stockholders received 2 shares of Vista Outdoor for each share of Company common stock held. The Company distributed a total of approximately 63.9 million shares of Vista Outdoor common stock to its stockholders of record as of the close of business on February 2, 2015 the record date for the Distribution. As a result of the Distribution, the Sporting Group is no longer reported within the Company’s results from continuing operations but is reported as a discontinued operation for all periods presented in accordance with ASC Topic 205, “Presentation of Financial Statements.” | |||||||||
In connection with the Merger, each outstanding share of Orbital common stock was converted into the right to receive 0.449 shares of Company common stock. The Company issued approximately 27.4 million shares of common stock to Orbital stockholders. Immediately following the Merger, Orbital stockholders owned 46.2% of the common stock of the Company and existing stockholders owned 53.8%. Based on the closing price of the Company common stock following the Distribution on February 9, 2015 as reported on the New York Stock Exchange, the aggregate value of the consideration paid or payable to former holders of Orbital common stock was approximately $1.8 billion. The Company used the acquisition method to account for the Merger; accordingly, the results of Orbital have been included in the Company's consolidated financial statements since the date of the Merger. | |||||||||
In connection with the closing of the Merger and the Distribution, the Company redeemed its 6.875% Senior Subordinated Notes due 2020. See Note 9 for further details. | |||||||||
Orbital's sales and pre-tax income included in the Company's financial statements for the post-Merger period of February 9, 2015 through March 31, 2015 were approximately $191 million and $16 million, respectively. | |||||||||
Transaction costs of $34,900 related to the Distribution and Merger were recorded as incurred in general and administrative expenses during fiscal 2015. | |||||||||
Fiscal 2014 | |||||||||
On June 21, 2013, the Company acquired Caliber Company, parent company of Savage Sports Corporation ("Savage"), a leading manufacturer of sporting long guns. The purchase price was $315,000 net of cash acquired. | |||||||||
On November 1, 2013, the Company acquired Bushnell Group Holdings, Inc. ("Bushnell"). Bushnell is a leading global designer, marketer and distributor of branded sports optics, outdoor accessories and performance eyewear. The purchase price was $985,000 net of cash acquired. | |||||||||
Savage and Bushnell were included in the Sporting Group and were divested in connection with the Distribution. | |||||||||
Fiscal 2013 | |||||||||
There were no business acquisitions or dispositions during fiscal 2013. | |||||||||
Preliminary Valuation of Net Assets Acquired | |||||||||
Certain estimated values, including: goodwill, intangibles, property, plant and equipment, and deferred taxes, are not final and the preliminary purchase price allocations are subject to change as the Company completes the analysis of the fair value at the date of the Merger. The final determination of the fair value of assets and liabilities will be completed within the 12-month measurement period from the date of the Merger as required. The size of the Merger will necessitate the use of this measurement period to adequately analyze and assess a number of the factors used in establishing the asset and liability fair values as of the Merger date including the significant contractual and operational factors and assumptions underlying contract related intangibles and property, plant and equipment fair values, and the related tax impacts of any changes made. | |||||||||
The consideration paid for Orbital's assets and liabilities was determined using the fair market value of the Company stock issued at the date of the Merger along with restricted stock awards granted to certain employees of Orbital. | |||||||||
The following table summarizes the preliminary fair value of the assets acquired and liabilities assumed at the Merger date and the preliminary goodwill generated from the transaction: | |||||||||
Purchase Price: | |||||||||
Value of common shares issued to Orbital shareholders (1) | $ | 1,749,323 | |||||||
Value of replacement equity-based awards to holders of Orbital equity-based awards (2) | 8,654 | ||||||||
Total purchase price | $ | 1,757,977 | |||||||
Preliminary value of assets acquired and liabilities assumed: | |||||||||
Cash | $ | 253,734 | |||||||
Net receivables | 562,639 | ||||||||
Net inventories | 75,294 | ||||||||
Intangibles | 164,000 | ||||||||
Property, plant and equipment | 281,654 | ||||||||
Other assets | 36,878 | ||||||||
Goodwill | 866,106 | ||||||||
Accounts payable | (52,028 | ) | |||||||
Deferred tax liabilities, net | (51,537 | ) | |||||||
Other liabilities | (378,763 | ) | |||||||
Total purchase price | $ | 1,757,977 | |||||||
__________________________________ | |||||||||
-1 | Equals 27.4 million Orbital ATK shares issued to Orbital shareholders multiplied by the Company's Merger-date share price of $63.94. | ||||||||
-2 | The fair value of replacement equity-based awards attributable to pre-Merger service was recorded as part of the consideration transferred in the Merger. | ||||||||
Goodwill recognized from the Merger primarily relates to the expanded market opportunities, expected synergies and benefits of increased scale and scope of combined human, physical and financial resources attributable to merging the operations of the two companies. As stated above, the Merger was a tax-free transaction and as such, there is no goodwill that is deductible for tax purposes. | |||||||||
In determining the fair value of identifiable assets acquired and liabilities assumed, a review was conducted for any significant contingent assets or liabilities existing as of the Merger date. The preliminary assessment did not note any significant contingencies related to any legal or government action. | |||||||||
Supplemental Pro Forma Data | |||||||||
The following unaudited supplemental pro forma data for the years ended March 31, 2015 and March 31, 2014 present consolidated information as if the Merger had been completed on April 1, 2013. The pro forma results were calculated by combining the results from continuing operations of the Company with the stand-alone results of Orbital for the pre-Merger periods, which were adjusted to eliminate historical sales between the companies and to account for certain costs which would have been incurred during this pre-Merger period: | |||||||||
Years Ended | |||||||||
March 31, 2015 | March 31, 2014 | ||||||||
Sales | $ | 4,229,036 | $ | 4,200,154 | |||||
Income from continuing operations | 162,452 | 167,034 | |||||||
Basic earnings per common share from continuing operations | $ | 2.59 | $ | 2.83 | |||||
Diluted earnings per common share from continuing operations | $ | 2.55 | $ | 2.77 | |||||
The unaudited supplemental pro forma data above includes the following significant adjustments made to account for certain costs which would have been incurred if the Merger had been completed on April 1, 2013, as adjusted for the applicable income tax impact: | |||||||||
Years Ended | |||||||||
March 31, 2015 | March 31, 2014 | ||||||||
Amortization of acquired Orbital intangible assets (1) | $ | 27,215 | $ | 31,116 | |||||
Interest expense adjustment (2) | (25,678 | ) | (19,237 | ) | |||||
Transaction fees for advisory, legal and accounting services (3) | (37,119 | ) | 37,119 | ||||||
(1) Added the amortization of acquired Orbital intangible assets recognized at fair value in purchase accounting and eliminated historical Orbital intangible asset amortization expense. | |||||||||
(2) Reduced interest expense for the net reduction in debt of the Company and Orbital. | |||||||||
(3) Added transaction fees for advisory, legal and accounting services to the first quarter of fiscal 2014. Costs were recorded in general and administrative expense. | |||||||||
The unaudited supplemental pro forma data above does not reflect the potential realization of cost savings related to the integration of the two companies. Further, the pro forma data should not be considered indicative of the results that would have occurred if the Merger had been completed on April 1, 2013, nor are they indicative of future results. | |||||||||
Discontinued Operations | |||||||||
Sales from discontinued operations totaled $1,781,437, $1,849,891 and $1,156,049 for fiscal 2015, 2014 and 2013, respectively. Assets and liabilities of discontinued operations consisted of the following: | |||||||||
31-Mar-14 | |||||||||
Net receivables | $ | 298,146 | |||||||
Net inventories | 423,860 | ||||||||
Deferred income taxes | 50,298 | ||||||||
Other current assets | 25,949 | ||||||||
Current assets of discontinued operations | $ | 798,253 | |||||||
Property, plant and equipment | $ | 189,096 | |||||||
Goodwill | 873,458 | ||||||||
Intangibles | 567,380 | ||||||||
Other noncurrent assets | 6,069 | ||||||||
Noncurrent assets of discontinued operations | $ | 1,636,003 | |||||||
Accounts payable | $ | 181,560 | |||||||
Other current liabilities | 145,328 | ||||||||
Current liabilities of discontinued operations | $ | 326,888 | |||||||
Deferred income taxes | $ | 204,146 | |||||||
Other noncurrent liabilities | 55,972 | ||||||||
Noncurrent liabilities of discontinued operations | $ | 260,118 | |||||||
Ongoing Business with Vista Outdoor | |||||||||
In conjunction with the Distribution, the Company entered into two supply agreements and one transition services agreement ("TSA") with Vista Outdoor. The supply agreements call for Vista Outdoor to purchase certain minimum quantities of ammunition and gun powder from the Company through fiscal 2018. The supply agreements expire in 2017 and 2018 and may be extended in one-to-three year increments and are priced at arms-length. Under the terms of the TSA, the Company provides various administrative services to Vista Outdoor for up to 12 months and tax assistance services for 18 months, extendable to 30 months. Fees for services under the TSA are charged to Vista Outdoor. | |||||||||
Sales to Vista Outdoor, under the two supply agreements for the period from the date of the Distribution to March 31, 2015 were $18,928. Sales to Sporting Group, previously reported as intercompany sales and eliminated in consolidation and from Operating Segment Information (Note 16) were $170,818 for the period April 1, 2014 through February 8, 2015, $273,246 for fiscal 2014 and $143,122 for fiscal 2013. |
Net_Receivables
Net Receivables | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Receivables [Abstract] | |||||||||
Net Receivables | t receivables, including amounts due under long-term contracts consisted of the following: | ||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Billed receivables | |||||||||
U.S. Government contracts | $ | 186,430 | $ | 134,203 | |||||
Commercial and other | 91,601 | 66,722 | |||||||
Unbilled receivables | |||||||||
U.S. Government contracts | 960,185 | 517,861 | |||||||
Commercial and other | 560,032 | 461,779 | |||||||
Less allowance for doubtful accounts | (4,692 | ) | (4,891 | ) | |||||
Net receivables | $ | 1,793,556 | $ | 1,175,674 | |||||
Receivable balances are shown net of customer progress payments received of $585,932 as of March 31, 2015 and $527,670 as of March 31, 2014. | |||||||||
Unbilled receivables represent the balance of recoverable costs and accrued profit, comprised principally of revenue recognized on contracts for which billings have not been presented to the customer because the amounts were earned but not contractually billable as of the balance sheet date. These amounts include expected additional billable general overhead costs and fees on flexibly priced contracts awaiting final rate negotiations. | |||||||||
As of March 31, 2015 and March 31, 2014, the net receivable balance includes contract related unbilled receivables of $298,900 and $264,400, respectively, that the Company does not expect to collect within the next fiscal year. | |||||||||
The Company records an allowance for doubtful accounts, reducing the receivables balance to an amount the Company estimates is collectible from customers. Estimates used in determining the allowance for doubtful accounts are based on current trends, aging of accounts receivable, periodic credit evaluations of customers’ financial condition and historical collection experience. | |||||||||
The following is a reconciliation of the changes in the Company's allowance for doubtful accounts during fiscal 2014 and 2015: | |||||||||
Balance, April 1, 2013 | $ | 4,801 | |||||||
Expense | 609 | ||||||||
Write-offs | (626 | ) | |||||||
Reversals and other adjustments | 107 | ||||||||
Balance, March 31, 2014 | 4,891 | ||||||||
Expense | 599 | ||||||||
Write-offs | (17 | ) | |||||||
Reversals and other adjustments | (781 | ) | |||||||
Balance, March 31, 2015 | $ | 4,692 | |||||||
Property_Plant_and_Equipment
Property, Plant, and Equipment | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Property, Plant, and Equipment | Property, Plant and Equipment | ||||||||
Property, plant and equipment is stated at cost and depreciated over estimated useful lives. Machinery and equipment is depreciated using the double declining balance method at most of the Company's facilities, and using the straight-line method at other Company facilities. Other depreciable property is depreciated using the straight-line method. Machinery and equipment are depreciated over 1 to 30 years and buildings and improvements are depreciated over 1 to 45 years. Depreciation expense was $75,764 in fiscal 2015, $69,192 in fiscal 2014 and $77,605 in fiscal 2013. | |||||||||
The Company reviews property, plant and equipment for impairment when indicators of potential impairment are present. When such impairment is identified, it is recorded as a loss in that period. Maintenance and repairs are charged to expense as incurred. Major improvements that extend useful lives are capitalized and depreciated. The cost and accumulated depreciation of property, plant and equipment retired or otherwise disposed of are removed from the related accounts, and any residual values are charged or credited to income. | |||||||||
Property, plant and equipment consisted of the following: | |||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Land | $ | 41,597 | $ | 31,239 | |||||
Buildings and improvements | 344,140 | 291,811 | |||||||
Machinery and equipment | 1,312,073 | 1,019,403 | |||||||
Property not yet in service | 58,346 | 60,575 | |||||||
Gross property, plant and equipment | 1,756,156 | 1,403,028 | |||||||
Less accumulated depreciation | (949,099 | ) | (894,573 | ) | |||||
Net property, plant and equipment | $ | 807,057 | $ | 508,455 | |||||
Goodwill_Net_Intangibles_and_D
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Goodwill and Deferred Charges and Other Non-Current Assets | |||||||||||||||||||||||||
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets | e changes in the carrying amount of goodwill by segment were as follows: | ||||||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Total | ||||||||||||||||||||||
Balance, April 1, 2013 | $ | 530,869 | $ | 366,947 | $ | 145,647 | $ | 1,043,463 | |||||||||||||||||
No change | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2014 | 530,869 | 366,947 | 145,647 | 1,043,463 | |||||||||||||||||||||
Merger | 268,493 | — | 597,613 | 866,106 | |||||||||||||||||||||
Impairment | — | — | (34,300 | ) | (34,300 | ) | |||||||||||||||||||
Balance, March 31, 2015 | $ | 799,362 | $ | 366,947 | $ | 708,960 | $ | 1,875,269 | |||||||||||||||||
The results of the Company's fiscal 2015 annual goodwill impairment test indicated that the net book value of Space Systems Group's, Space Components division exceeded the implied fair market value. The fair value of the reporting unit was determined using both an income and market approach. The value estimated using a discounted cash flow model was weighted against the estimated value derived from the guideline company market approach method. This market approach method estimated the price reasonably expected to be realized from the sale of the business based on comparable companies. As the net book value of the division exceeded fair market value, the second step analysis was performed and the fair value of goodwill was determined based on the allocation of the reporting unit's assets, in a manner similar to purchase price allocation. As a result of this second step, the Company recorded an impairment of $34,300 in the fourth quarter of fiscal 2015. The impairment was primarily driven by a reduction in near-term estimated cash flows compared to the prior year forecast, resulting from, among other things, government budget constraints and increased competitive pressures in the satellite and spacecraft manufacturing market. Goodwill recorded within Space Systems Group is presented net of accumulated impairment losses totaling $142,800. | |||||||||||||||||||||||||
Deferred charges and other noncurrent assets consist of the following: | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Gross debt issuance costs | $ | 22,280 | $ | 28,356 | |||||||||||||||||||||
Less accumulated amortization | (5,712 | ) | (4,084 | ) | |||||||||||||||||||||
Net debt issuance costs | 16,568 | 24,272 | |||||||||||||||||||||||
Parts inventory | 9,973 | 10,921 | |||||||||||||||||||||||
Environmental remediation receivable | 23,771 | 22,128 | |||||||||||||||||||||||
Derivative contracts | 4,105 | 328 | |||||||||||||||||||||||
Other noncurrent assets | 73,225 | 53,508 | |||||||||||||||||||||||
Total deferred charges and other noncurrent assets | $ | 127,642 | $ | 111,157 | |||||||||||||||||||||
Net intangibles consisted of the following: | |||||||||||||||||||||||||
31-Mar-15 | 31-Mar-14 | ||||||||||||||||||||||||
Gross | Accumulated | Total | Gross | Accumulated | Total | ||||||||||||||||||||
Carrying | Amortization | Carrying | Amortization | ||||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||
Amortizing intangibles: | |||||||||||||||||||||||||
Contract Backlog | $ | 164,000 | $ | (6,167 | ) | $ | 157,833 | $ | — | $ | — | $ | — | ||||||||||||
Patented technology | 10,700 | (5,350 | ) | 5,350 | 10,700 | (4,280 | ) | 6,420 | |||||||||||||||||
Customer relationships and other | 24,294 | (22,270 | ) | 2,024 | 24,294 | (20,244 | ) | 4,050 | |||||||||||||||||
Total amortizing intangibles | $ | 198,994 | $ | (33,787 | ) | $ | 165,207 | $ | 34,994 | $ | (24,524 | ) | $ | 10,470 | |||||||||||
The gross amount of amortizable intangible assets increased from March 31, 2014 due to the Merger. The assets in the table above are being amortized using a straight-line method over a weighted average remaining period of approximately 3.2 years. Amortization expense related to these assets was $9,263 in fiscal 2015, $3,112 in fiscal 2014 and $3,330 in fiscal 2013. The Company expects amortization expense related to these assets to be as follows: | |||||||||||||||||||||||||
Contract Backlog | Patents and Customer Relationships | Total | |||||||||||||||||||||||
Fiscal 2016 | $ | 49,333 | $ | 3,095 | $ | 52,428 | |||||||||||||||||||
Fiscal 2017 | 49,333 | 1,070 | 50,403 | ||||||||||||||||||||||
Fiscal 2018 | 43,833 | 1,070 | 44,903 | ||||||||||||||||||||||
Fiscal 2019 | 5,333 | 1,070 | 6,403 | ||||||||||||||||||||||
Fiscal 2020 | 5,333 | 1,069 | 6,402 | ||||||||||||||||||||||
Thereafter | 4,668 | — | 4,668 | ||||||||||||||||||||||
Total | $ | 157,833 | $ | 7,374 | $ | 165,207 | |||||||||||||||||||
Other_Current_and_Noncurrent_L
Other Current and Noncurrent Liabilities | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Other Liabilities Disclosure [Abstract] | |||||||||
Other Current and Noncurrent Liabilities | Other current and noncurrent liabilities consisted of the following: | ||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Other current liabilities: | |||||||||
Employee benefits and insurance, including pension and other postretirement benefits | $ | 53,588 | $ | 51,338 | |||||
Deferred lease obligation | 30,857 | 26,257 | |||||||
Warranty | 9,555 | 11,866 | |||||||
Interest | 7,801 | 8,341 | |||||||
Other | 110,827 | 117,988 | |||||||
Total other current liabilities | $ | 212,628 | $ | 215,790 | |||||
Other noncurrent liabilities: | |||||||||
Environmental remediation | $ | 43,326 | $ | 44,417 | |||||
Income taxes | 34,415 | 4,603 | |||||||
Deferred lease obligation | 21,036 | 19,791 | |||||||
Management nonqualified deferred compensation plan | 14,853 | 17,043 | |||||||
Other | 52,165 | 17,876 | |||||||
Total noncurrent liabilities | $ | 165,795 | $ | 103,730 | |||||
The Company provides product warranties, which entail repair or replacement of non-conforming items, in conjunction with sales of certain products. Estimated costs related to warranties are recorded in the period in which the related product sales occur. The warranty liability recorded at each balance sheet date reflects the estimated liability for warranty coverage for products delivered based on historical information and current trends. The following is a reconciliation of the changes in the Company's product warranty liability during the periods presented: | |||||||||
Balance, April 1, 2013 | $ | 18,275 | |||||||
Payments made | (4,887 | ) | |||||||
Warranties issued | 390 | ||||||||
Changes related to preexisting warranties | (1,912 | ) | |||||||
Balance, March 31, 2014 | 11,866 | ||||||||
Payments made | 73 | ||||||||
Warranties issued | 414 | ||||||||
Changes related to preexisting warranties | (2,798 | ) | |||||||
Balance, March 31, 2015 | $ | 9,555 | |||||||
LongTerm_Debt
Long-Term Debt | 12 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||
Long-Term Debt | Long-term debt, including the current portion, consisted of the following: | |||||||||||||||
31-Mar-15 | 31-Mar-14 | |||||||||||||||
Senior Credit Facility: | ||||||||||||||||
Term A Loan due 2018 | $ | 946,875 | $ | 997,375 | ||||||||||||
Term A Loan due 2019 | 144,375 | — | ||||||||||||||
Term B Loan due 2020 | 197,251 | 249,375 | ||||||||||||||
Revolving Credit Facility due 2018 | — | — | ||||||||||||||
5.25% Senior Notes due 2021 | 300,000 | 300,000 | ||||||||||||||
6.875% Senior Subordinated Notes due 2020 | — | 350,000 | ||||||||||||||
3.00% Convertible Senior Subordinated Notes due 2024 | — | 199,440 | ||||||||||||||
Principal amount of long-term debt | 1,588,501 | 2,096,190 | ||||||||||||||
Less: Unamortized discounts | — | 3,212 | ||||||||||||||
Carrying amount of long-term debt | 1,588,501 | 2,092,978 | ||||||||||||||
Less: Current portion of long-term debt | 59,997 | 249,228 | ||||||||||||||
Long-term debt | $ | 1,528,504 | $ | 1,843,750 | ||||||||||||
Senior Credit Facility | ||||||||||||||||
In fiscal 2014, the Company refinanced its Senior Credit Facility (the "Senior Credit Facility"). The Senior Credit Facility is comprised of a Term A Loan of $1,010,000 and a $700,000 Revolving Credit Facility, both of which mature in 2018, and a Term B Loan of $250,000, which matures in 2020. The Term A Loan is subject to quarterly principal payments of $12,625, with the remaining balance due on November 1, 2018. Under the terms of the Senior Credit Facility, the Company exercised its options to increase the Term A Loan by $150,000 (the "Accordion") during fiscal 2015. Proceeds of the Accordion were used to partially finance the redemption of the 3.00% Convertible Notes, as discussed below. Terms of the Accordion are the same as the existing Term A Loan with the exception that it will mature on January 31, 2019, approximately three months after the existing Term A Loan. The Accordion is subject to quarterly principal payments of $1,875, with the balance due on January 31, 2019. During fiscal 2015, the Company also repaid $50,000 of its Term B Loan. The Term B Loan is now subject to quarterly principal payments of $499, with the remaining balance due on November 1, 2020. Substantially all domestic tangible and intangible assets of the Company and its subsidiaries are pledged as collateral under the Senior Credit Facility. Borrowings under the Senior Credit Facility bear interest at a rate equal to either the sum of a base rate plus a margin or the sum of a Eurodollar rate plus a margin. Each margin is based on the Company's senior secured credit ratings. Based on the Company's current credit rating, the current base rate margin is 1.00% and the current Eurodollar margin is 2.00%. The weighted average interest rate for the Term A Loan, after taking into account the interest rate swaps discussed below, was 2.55% at March 31, 2015. The Company pays an annual commitment fee on the unused portion of the Revolving Credit Facility based on its senior secured credit ratings. Based on the Company's current rating, this current fee is 0.30%. As of March 31, 2015, the Company had no borrowings against its $700,000 Revolving Credit Facility and had outstanding letters of credit of $202,915, which reduced amounts available on the Revolving Credit Facility to $497,085. Debt issuance costs totaling approximately $19,000 are being amortized over the term of each related Term Loan. | ||||||||||||||||
The Senior Credit Facility refinanced the prior senior credit facility entered into in fiscal 2011. The refinancing transaction resulted in the write-off of the remaining $6,166 of unamortized debt issuance costs which are reflected in interest expense. | ||||||||||||||||
5.25% Notes | ||||||||||||||||
In fiscal 2014, the Company issued $300,000 aggregate principal amount of 5.25% Senior Notes (the "5.25% Notes") that mature on October 1, 2021. These notes are general unsecured obligations. Interest on these notes is payable on April 1 and October 1 of each year. The Company has the right to redeem some or all of these notes from time to time on or after October 1, 2016, at specified redemption prices. Prior to October 1, 2016, the Company may redeem some or all of these notes at a price equal to 100% of their principal amount plus accrued and unpaid interest to the date of redemption and a specified make-whole premium. In addition, prior to October 1, 2016, the Company may redeem up to 35% of the aggregate principal amount of these notes with the net cash proceeds of certain equity offerings, at a price equal to 105.25% of their principal amount plus accrued and unpaid interest to the date of redemption. Debt issuance costs of approximately $3,000 related to these notes are being amortized to interest expense over 8 years, the term of the notes. | ||||||||||||||||
6.875% Notes | ||||||||||||||||
In fiscal 2011, the Company issued $350,000 aggregate principal amount of 6.875% Senior Subordinated Notes ("the 6.875% Notes") that were scheduled to mature on September 15, 2020. In February 2015, in connection with the Distribution and Merger, the Company redeemed these notes in full and paid $350,000 in principal amount, $12,236 in accrued interest plus a make-whole premium of $22,904. The make-whole premium along with remaining unamortized debt issuance costs of $3,722 written off at the redemption date, are reflected in Loss on extinguishment of debt. | ||||||||||||||||
3.00% Convertible Notes | ||||||||||||||||
In fiscal 2005, the Company issued $200,000 aggregate principal amount of 3.00% Convertible Senior Subordinated Notes (the 3.00% Convertible Notes) that were scheduled to mature on August 15, 2024. During the second quarter of fiscal 2015, the Company retired these notes and paid a total of approximately $354,000 in cash for $199,440 in principal amount. The amount paid in excess of the principal balance was recorded as a reduction to additional paid-in-capital of approximately $154,000. The convertible feature of the 3.00% Convertible Notes had an impact on diluted shares outstanding for the year ended March 31, 2015 and March 31, 2014 of 292,000 shares and 676,000 shares, respectively, because the Company's average stock price exceeded the conversion price during those periods. | ||||||||||||||||
The following tables provide additional information about the 3.00% Convertible Notes as of March 31, 2014: | ||||||||||||||||
31-Mar-14 | ||||||||||||||||
Carrying amount of the equity component | $ | 56,849 | ||||||||||||||
Principal amount of the liability component | $ | 199,440 | ||||||||||||||
Unamortized discount of liability component | 3,212 | |||||||||||||||
Net carrying amount of liability component | $ | 196,228 | ||||||||||||||
Remaining amortization period of discount (months) | 5 | |||||||||||||||
Effective interest rate on liability component | 7 | % | ||||||||||||||
Interest Rate Swaps | ||||||||||||||||
During fiscal 2014, the Company entered into five floating-to-fixed interest rate swap agreements in order to manage interest costs and the risk associated with variable interest rates. As of March 31, 2015, the Company had the following cash flow hedge interest rate swaps in place: | ||||||||||||||||
Notional | Fair Value | Pay Fixed | Receive Floating | Maturity Date | ||||||||||||
Non-amortizing swap | $ | 100,000 | $ | (564 | ) | 0.87 | % | 0.18 | % | Aug-16 | ||||||
Non-amortizing swap | 100,000 | (1,183 | ) | 1.29 | % | 0.18 | % | Aug-17 | ||||||||
Non-amortizing swap | 100,000 | (2,128 | ) | 1.69 | % | 0.18 | % | Aug-18 | ||||||||
Non-amortizing swap | 50,000 | (60 | ) | 0.65 | % | 0.18 | % | Nov-16 | ||||||||
Non-amortizing swap | 50,000 | (303 | ) | 1.1 | % | 0.18 | % | Nov-17 | ||||||||
The amount to be paid or received under these swaps is recorded as an adjustment to interest expense. | ||||||||||||||||
Rank and Guarantees | ||||||||||||||||
The 5.25% Notes are subordinated in right of payment to all existing and future senior indebtedness, including the Senior Credit Facility. The outstanding 5.25% Notes are guaranteed on an unsecured basis, jointly and severally and fully and unconditionally, by substantially all of the Company's domestic subsidiaries. The Senior Credit Facility obligations are guaranteed on a secured basis, jointly and severally and fully and unconditionally, by substantially all of the Company's domestic subsidiaries. The parent company has no independent assets or operations. All of these guarantor subsidiaries are 100% owned by the Company. The guarantee by any Subsidiary Guarantor of the Company's obligations in respect of the 5.25% Notes will be released in each of the following circumstances: | ||||||||||||||||
• | if, as a result of the sale of its capital stock, such Subsidiary Guarantor ceases to be a Restricted Subsidiary; | |||||||||||||||
• | if such Subsidiary Guarantor is designated as an “Unrestricted Subsidiary”; | |||||||||||||||
• | upon defeasance or satisfaction and discharge of the 5.25% Notes; and | |||||||||||||||
• | if such Subsidiary Guarantor has been released from its guarantees of indebtedness under the Credit Agreement and all capital markets debt securities. | |||||||||||||||
Scheduled Minimum Loan Payments | ||||||||||||||||
The scheduled minimum loan payments on outstanding long-term debt for years ending March 31 are as follows: | ||||||||||||||||
2016 | $ | 59,997 | ||||||||||||||
2017 | 59,997 | |||||||||||||||
2018 | 59,997 | |||||||||||||||
2019 | 919,248 | |||||||||||||||
2020 | 1,997 | |||||||||||||||
Thereafter | 487,265 | |||||||||||||||
Total | $ | 1,588,501 | ||||||||||||||
The Company's total debt (current portion of debt and long-term debt) as a percentage of total capitalization (total debt and stockholders' equity) was 47%and 52% as of March 31, 2015 and March 31, 2014, respectively. | ||||||||||||||||
Covenants and Default Provisions | ||||||||||||||||
The Company's Senior Credit Facility and the indentures governing the 5.25% Notes impose restrictions on the Company, including limitations on its ability to incur additional debt, enter into capital leases, grant liens, pay dividends and make certain other payments, sell assets, or merge or consolidate with or into another entity. In addition, the Senior Credit Facility limits the Company's ability to enter into sale-and-leaseback transactions. The Company's 5.25% Notes limit the aggregate sum of dividends, share repurchases and other designated restricted payments to an amount based on the Company's net income, stock issuance proceeds and certain other items, less restricted payments made, since April 1, 2001. The Senior Credit Facility allows the Company to make unlimited “restricted payments” (as defined in the credit agreement), which, among other items, would allow payments for future share repurchases, as long as the Company maintains a certain amount of liquidity and maintains certain senior debt limits, with a limit, when those senior debt limits are not met, of $250,000 plus proceeds of any equity issuances plus 50% of net income since October 7, 2010. The Senior Credit Facility also requires that the Company meet and maintain specified financial ratios, including a minimum interest coverage ratio, a maximum consolidated senior leverage ratio and a maximum consolidated leverage ratio. Many of the Company's debt agreements contain cross-default provisions so that non-compliance with the covenants within one debt agreement could cause a default under other debt agreements as well. The Company's ability to comply with these covenants and to meet and maintain the financial ratios may be affected by events beyond its control. Borrowings under the Senior Credit Facility are subject to compliance with these covenants. As of March 31, 2015, the Company was in compliance with the financial covenants. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||||
Employee Benefit Plans | Employee Benefit Plans | ||||||||||||||||||||||||
The Company provides defined benefit pension plans and defined contribution plans for the majority of its employees. The Company has tax-qualified defined benefit plans, a supplemental (nonqualified) defined benefit pension plan, a defined contribution plan and a supplemental (non-qualified) defined contribution plan. A qualified plan meets the requirements of certain sections of the Internal Revenue Code and, generally, contributions to qualified plans are tax deductible. A qualified plan typically provides benefits to a broad group of employees and may not discriminate in favor of highly compensated employees in coverage, benefits or contributions. In addition, the Company provides medical and life insurance benefits to certain retirees and their eligible dependents through its postretirement plans. | |||||||||||||||||||||||||
In connection with the Distribution, the Company transferred its obligation for pension benefits and other postretirement ("PRB") plans for all current and former employees of Sporting Group to Vista Outdoor. The transfer of this obligation reduced the Company's pension liabilities by $223,790, pension assets by $163,034 and accumulated other comprehensive loss for pension benefits by $97,764. The transfer of this obligation also reduced the Company's PRB liabilities by $1,963 and accumulated other comprehensive gain for PRB benefits by $1,727. | |||||||||||||||||||||||||
Defined Benefit Plans | |||||||||||||||||||||||||
The Company's noncontributory defined benefit pension plans include the following legacy Alliant Techsystems, Inc. plans: "Alliant Techsystems, Inc. Pension and Retirement Plan" and "Thiokol Propulsion Pension Plan" (the “ATK Plans”). The Company acquired the following two pension plans applicable to legacy Orbital employees in connection with the Merger: "Fairchild Bargained Plan" and "Fairchild Space and Defense Plan" (the “Orbital Plans” and together with the ATK Plans, the “Plans”). | |||||||||||||||||||||||||
The Company is required to reflect the funded status of the pension and PRB plans on the consolidated balance sheet. The funded status of the Plans is measured as the difference between the plan assets at fair value and the projected benefit obligation. The Company has recognized the aggregate of all underfunded plans within the accrued pension liability and postretirement and postemployment benefits liabilities. The Company has recognized the aggregate of all overfunded plans within the deferred charges and other noncurrent assets. The portion of the amount by which the actuarial present value of benefits included in the projected benefit obligation exceeds the fair value of plan assets, payable in the next 12 months, is reflected in other accrued liabilities. | |||||||||||||||||||||||||
Previously unrecognized differences between actual amounts and estimates based on actuarial assumptions are included in accumulated other comprehensive loss in the consolidated balance sheet and the difference between actual amounts and estimates based on actuarial assumptions has been recognized in other comprehensive income in the period in which they occur. | |||||||||||||||||||||||||
The Company's measurement date for remeasuring its plan assets and benefit obligations is March 31. | |||||||||||||||||||||||||
Pension Plans. The ATK Plans are qualified noncontributory defined benefit pension plans that cover substantially all legacy ATK employees hired prior to January 1, 2007. Eligible ATK non-union employees hired on or after January 1, 2007 and certain union employees are not covered by a defined benefit plan but substantially all do receive an employer contribution through a defined contribution plan, discussed below. Effective January 1, 2014, some union pension benefits were frozen as of December 31, 2013 and a new cash balance formula applicable to pay and service starting January 1, 2014 was implemented. As a result of these plan amendments the projected benefit obligation was reduced by $12,615. The ATK Plan is a cash balance formula that provides each affected employee with pay credits based on the sum of that employee's age plus years of pension service as of December 31 of each calendar year, plus 4% annual interest credits. Prior to July 1, 2013, the ATK Plans provided either pension benefits based on employee annual pay levels and years of credited service or stated amounts for each year of credited service. The Company funds the ATK Plans in accordance with federal requirements calculated using appropriate actuarial methods. Depending on the plan they are covered by, employees generally vest after three or five years. The Orbital Plans are frozen and no benefits are being accrued by employees. These plans currently are overfunded. | |||||||||||||||||||||||||
The Company also sponsors a nonqualified supplemental executive retirement plan which provides certain executives and highly compensated employees the opportunity to receive pension benefits in excess of those payable through tax-qualified pension plans. The benefit obligation of these plans is included in the pension information below. | |||||||||||||||||||||||||
Other Postretirement Benefit Plans. Generally, employees who terminated employment from the Company on or before January 1, 2004 and were at least age 50 or 55 with at least five or ten years of service, depending on the provisions of the pension plan they are eligible for, are entitled to a pre- and/or post-65 health care company subsidy and retiree life insurance coverage. Employees who terminated employment after January 1, 2004, but before January 1, 2006, are eligible only for a pre-65 company subsidy. The portion of the health care premium cost borne by the Company for such benefits is based on the pension plan the employees are eligible for, years of service and age at termination. | |||||||||||||||||||||||||
The following table shows changes in the benefit obligation, plan assets and funded status of the Company's qualified and non-qualified pension plans and other PRB plans, including Orbital Plans. Benefit obligation balances presented below reflect the projected benefit obligation ("PBO") for pension plans and accumulated PRB obligations ("APBO") or other PRB plans. | |||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
Years Ended March 31 | Years Ended March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 2,988,288 | $ | 3,079,793 | $ | 128,065 | $ | 143,528 | |||||||||||||||||
Service cost | 23,182 | 34,763 | 3 | 9 | |||||||||||||||||||||
Interest cost | 129,236 | 130,253 | 4,803 | 5,207 | |||||||||||||||||||||
Plan Amendments | — | (12,615 | ) | — | — | ||||||||||||||||||||
Actuarial loss (gain) (1) | 465,524 | (55,958 | ) | 12,255 | (8,953 | ) | |||||||||||||||||||
Retiree contributions | — | — | 4,729 | 5,306 | |||||||||||||||||||||
Benefits paid | (192,756 | ) | (187,948 | ) | (16,272 | ) | (17,032 | ) | |||||||||||||||||
Impact of Distribution | (223,790 | ) | — | (1,963 | ) | — | |||||||||||||||||||
Merger with Orbital Sciences | 9,537 | — | — | — | |||||||||||||||||||||
Benefit obligation at end of year | 3,199,221 | 2,988,288 | 131,620 | 128,065 | |||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 2,426,013 | 2,357,024 | 61,055 | 58,676 | |||||||||||||||||||||
Actual return on plan assets | 177,776 | 211,788 | 4,397 | 2,513 | |||||||||||||||||||||
Retiree contributions | — | — | 4,729 | 5,306 | |||||||||||||||||||||
Employer contributions | 87,150 | 45,149 | 9,769 | 11,592 | |||||||||||||||||||||
Benefits paid | (192,756 | ) | (187,948 | ) | (16,272 | ) | (17,032 | ) | |||||||||||||||||
Fair value of assets at February 9, 2015, to be transferred to Vista Outdoor | (163,034 | ) | — | — | — | ||||||||||||||||||||
Merger with Orbital Sciences | 13,646 | — | — | — | |||||||||||||||||||||
Fair value of plan assets at end of year | 2,348,795 | 2,426,013 | 63,678 | 61,055 | |||||||||||||||||||||
Funded status | $ | (850,426 | ) | $ | (562,275 | ) | $ | (67,942 | ) | $ | (67,010 | ) | |||||||||||||
-1 | The mortality table assumption was changed to the RP-2014 Aggregate table (employee and annuitant) with generational projection using Scale MP-2014 for the March 31, 2015 measurement date resulting in actuarial losses of $189,000 and $13,000 for the Pension Benefits and Other Postretirement Benefits, respectively. | ||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
March 31 | March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||||
Noncurrent assets | $ | 4,318 | $ | — | $ | — | $ | — | |||||||||||||||||
Other current liabilities | (3,743 | ) | (4,500 | ) | (3,436 | ) | (4,094 | ) | |||||||||||||||||
Postretirement and postemployment benefits | — | — | (64,506 | ) | (60,016 | ) | |||||||||||||||||||
Pension | (851,001 | ) | (525,775 | ) | — | — | |||||||||||||||||||
Current assets of discontinued operations | — | — | — | (142 | ) | ||||||||||||||||||||
Noncurrent assets of discontinued operations | — | (32,000 | ) | — | (2,758 | ) | |||||||||||||||||||
Net amount recognized | $ | (850,426 | ) | $ | (562,275 | ) | $ | (67,942 | ) | $ | (67,010 | ) | |||||||||||||
Accumulated other comprehensive loss (income) related to: | |||||||||||||||||||||||||
Unrecognized net actuarial losses | $ | 1,520,459 | $ | 1,291,756 | $ | 25,906 | $ | 16,903 | |||||||||||||||||
Unrecognized prior service benefits | (144,410 | ) | (176,030 | ) | (15,163 | ) | (26,031 | ) | |||||||||||||||||
Accumulated other comprehensive loss (income) | $ | 1,376,049 | $ | 1,115,726 | $ | 10,743 | $ | (9,128 | ) | ||||||||||||||||
The estimated amount that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in fiscal 2016 is as follows: | |||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||
Postretirement | |||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
Recognized net actuarial losses | $ | 150,759 | $ | 1,969 | |||||||||||||||||||||
Amortization of prior service benefits | (20,850 | ) | (7,253 | ) | |||||||||||||||||||||
Total | $ | 129,909 | $ | (5,284 | ) | ||||||||||||||||||||
The accumulated benefit obligation for all defined benefit pension plans was $3,197,143 as of March 31, 2015 and $2,985,605 as of March 31, 2014. | |||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Information for pension plans with an accumulated benefit obligation in excess of plan assets: | |||||||||||||||||||||||||
Projected benefit obligation | $ | 3,189,805 | $ | 2,988,288 | |||||||||||||||||||||
Accumulated benefit obligation | 3,187,727 | 2,985,605 | |||||||||||||||||||||||
Fair value of plan assets | 2,335,060 | 2,426,013 | |||||||||||||||||||||||
The components of net periodic benefit cost are as follows: | |||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||
Years Ended March 31 | Years Ended March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Components of net periodic benefit cost: | |||||||||||||||||||||||||
Service cost | $ | 23,182 | $ | 34,763 | $ | 64,030 | $ | 3 | $ | 9 | $ | 3 | |||||||||||||
Interest cost | 129,236 | 130,253 | 144,603 | 4,803 | 5,207 | 6,493 | |||||||||||||||||||
Expected return on plan assets | (165,780 | ) | (161,111 | ) | (167,805 | ) | (3,553 | ) | (3,419 | ) | (3,253 | ) | |||||||||||||
Amortization of unrecognized net loss | 118,163 | 145,891 | 124,600 | 1,629 | 2,288 | 2,654 | |||||||||||||||||||
Amortization of unrecognized prior service cost | (22,284 | ) | (20,984 | ) | (391 | ) | (8,362 | ) | (8,381 | ) | (8,381 | ) | |||||||||||||
Net periodic benefit cost before special termination benefits cost / curtailment | 82,517 | 128,812 | 165,037 | (5,480 | ) | (4,296 | ) | (2,484 | ) | ||||||||||||||||
Special termination benefits cost / curtailment | 2,469 | — | 2,915 | — | — | — | |||||||||||||||||||
Net periodic benefit cost | $ | 84,986 | $ | 128,812 | $ | 167,952 | $ | (5,480 | ) | $ | (4,296 | ) | $ | (2,484 | ) | ||||||||||
Amounts reported in: | |||||||||||||||||||||||||
Continuing operations | $ | 81,038 | $ | 120,812 | $ | 156,952 | $ | (5,496 | ) | $ | (4,340 | ) | $ | (2,555 | ) | ||||||||||
Discontinued operations | 3,948 | 8,000 | 11,000 | 16 | 44 | 71 | |||||||||||||||||||
Net periodic benefit cost | $ | 84,986 | $ | 128,812 | $ | 167,952 | $ | (5,480 | ) | $ | (4,296 | ) | $ | (2,484 | ) | ||||||||||
During fiscal 2015 and 2013, the Company recorded a settlement expense of $2,469 and $2,915, respectively, to recognize the impact of lump sum benefit payments made in the non-qualified supplemental executive retirement plan. | |||||||||||||||||||||||||
The Medicare Prescription Drug, Improvement and Modernization Act of 2003 (the "Act") reduced the Company's APBO measured as of December 31, 2005. One of the Company's other PRB plans is actuarially equivalent to Medicare, but the Company does not believe that the subsidies it will receive under the Act will be significant. Because the Company believes that participation levels in its other PRB plans will decline, the impact to the Company's results of operations in any period has not been and is not expected to be significant. | |||||||||||||||||||||||||
Assumptions | |||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations as of March 31 | |||||||||||||||||||||||||
Discount rate | 3.9 | % | 4.5 | % | 4.35 | % | 3.55 | % | 3.95 | % | 3.8 | % | |||||||||||||
Rate of compensation increase: | |||||||||||||||||||||||||
Union | 3.66 | % | 3.22 | % | 3.23 | % | |||||||||||||||||||
Salaried | 3.14 | % | 3.47 | % | 3.49 | % | |||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for years ended March 31: | |||||||||||||||||||||||||
Discount rate | 4.5 | % | 4.35 | % | 4.9 | % | 3.95 | % | 3.8 | % | 4.4 | % | |||||||||||||
Expected long-term rate of return on plan assets | 7.25 | % | 7.25 | % | 7.5 | % | 5 | % | 5 | % | 5 | % | |||||||||||||
6.25 | % | 6.25 | % | 6.25 | % | ||||||||||||||||||||
Rate of compensation increase: | |||||||||||||||||||||||||
Union | 3.22 | % | 3.23 | % | 3.26 | % | |||||||||||||||||||
Salaried | 3.47 | % | 3.49 | % | 3.55 | % | |||||||||||||||||||
In developing the expected long-term rate of return assumption, the Company considers input from its actuaries and other advisors, annualized returns of various major indices over a long-term time horizon and the Company's own historical 5-year and 10-year compounded investment returns. The expected long-term rate of return of 7.25% used in fiscal 2015 for the Plans was based on an asset allocation range of 20 - 45% in equity investments, 35 - 50% in fixed income investments, 0 - 10% in real estate/real asset investments, 15 - 30% collectively in hedge fund and private equity investments and 0 - 6% in cash investments. The actual return in any fiscal year will likely differ from the Company's assumption, but the Company estimates its return based on long-term projections and historical results. Therefore, any variance in a given year does not necessarily indicate that the assumption should be changed. | |||||||||||||||||||||||||
In developing the expected long-term rate of return assumption for other PRB plans, the Company considers input from actuaries, historical returns and annualized returns of various major indices over long periods. The expected long-term rates of returns are based on the weighted average asset allocation between the assets held within the 401(h) and those held in fixed income investments. | |||||||||||||||||||||||||
Assumed Health Care Cost Trend Rates Used to Measure Expected Cost of Benefits | |||||||||||||||||||||||||
2016 | 2015 | ||||||||||||||||||||||||
Weighted average health care cost trend rate | 6.1 | % | 6.1 | % | |||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.5 | % | 4.5 | % | |||||||||||||||||||||
Fiscal year that the rate reaches the ultimate trend rate | 2027 | 2027 | |||||||||||||||||||||||
Since fiscal 2006, health care cost trend rates have been set specifically for each benefit plan and design. Assumed health care cost trend rates have a significant effect on the amounts reported for health care plans. A one-percentage point increase or decrease in the assumed health care cost trend rates would have the following effects: | |||||||||||||||||||||||||
One-Percentage | One-Percentage | ||||||||||||||||||||||||
Point Increase | Point Decrease | ||||||||||||||||||||||||
Effect on total of service and interest cost | $ | 284 | $ | (251 | ) | ||||||||||||||||||||
Effect on postretirement benefit obligation | 7,995 | (7,060 | ) | ||||||||||||||||||||||
Plan Assets | |||||||||||||||||||||||||
Pension. The Company's pension plan weighted-average asset allocations at March 31, 2015 and 2014, and the target allocations for fiscal 2016, by asset category are as follows: | |||||||||||||||||||||||||
Target | Actual as of | ||||||||||||||||||||||||
Range | March 31 | ||||||||||||||||||||||||
2016 | 2015 | 2014 | |||||||||||||||||||||||
Asset Category: | |||||||||||||||||||||||||
Domestic equity | 10 - 25% | 20.7 | % | 19.4 | % | ||||||||||||||||||||
International equity | 10 - 20% | 13.7 | % | 17.1 | % | ||||||||||||||||||||
Fixed income | 35 - 50% | 42.5 | % | 38.7 | % | ||||||||||||||||||||
Real assets | 0 - 10% | 4.8 | % | 5 | % | ||||||||||||||||||||
Hedge funds/private equity | 15 - 30% | 14.8 | % | 18.8 | % | ||||||||||||||||||||
Other investments/cash | 0 - 6% | 3.5 | % | 0.9 | % | ||||||||||||||||||||
Total | 100% | 100 | % | 100 | % | ||||||||||||||||||||
The Company has a committee which, assisted by outside consultants, evaluates the objectives and investment policies concerning its long-term investment goals and asset allocation strategies. Plan assets are invested in various asset classes that are expected to produce a sufficient level of diversification and investment return over the long term. The investment goals are (1) to meet or exceed the assumed actuarial rate of return over the long term within reasonable and prudent levels of risk, and (2) to preserve the real purchasing power of assets to meet future obligations. The nature and duration of benefit obligations, along with assumptions concerning asset class returns and return correlations, are considered when determining an appropriate asset allocation to achieve the investment objectives. Pension plan assets for the Company's qualified pension plans are held in a trust for the benefit of the plan participants and are invested in a diversified portfolio of equity investments, fixed income investments, real asset investments (real estate, timber, energy), hedge funds, private equity and cash. Risk targets are established and monitored against acceptable ranges. All investment policies and procedures are designed to ensure that the plans' investments are in compliance with the Employee Retirement Income Security Act. Guidelines are established defining permitted investments within each asset class. | |||||||||||||||||||||||||
During fiscal 2015, the Company continued implementation of the investment strategy recommended by the asset-liability study conducted during fiscal 2013. The results of the asset-liability study reinforced the emphasis on managing the volatility of pension assets relative to pension liabilities while still achieving a competitive investment return, achieving diversification between and within various asset classes and managing other risks. In order to manage the volatility between the value of pension assets and liabilities, the Company has maintained an allocation to long-duration fixed income investments. The Company regularly reviews its actual asset allocation and periodically rebalances its investments to the targeted allocation when considered appropriate. Target allocation ranges are guidelines, not limitations, and occasionally due to market conditions and other factors actual asset allocation may vary above or below a target. | |||||||||||||||||||||||||
The implementation of the investment strategy discussed above is executed through a variety of investment structures such as: direct share or bond ownership, common/collective trusts, or registered investment companies. Valuation methodologies differ for each of these structures. The valuation methodologies used for these investments structures are as follows: | |||||||||||||||||||||||||
U.S. Government Securities, Corporate Debt, Common and Preferred Stock, Other Investments and Registered Investment Companies: Investments are valued at the closing price reported on the active market on which the individual securities are traded. | |||||||||||||||||||||||||
Common/Collective Trusts: Investments in a collective investment vehicle are valued by multiplying the investee company's net asset value per share with the number of units or shares owned at the valuation date as determined by the investee company. Net asset value per share is determined by the investee company's custodian or fund administrator by deducting from the value of the assets of the investee company all of its liabilities and the resulting number is divided by the outstanding number of shares or units. Investments held by the CCT, including collateral invested for securities on loan, are valued on the basis of valuations furnished by a pricing service approved by the CCT's investment manager, which determines valuations using methods based on market transactions for comparable securities and various relationships between securities which are generally recognized by institutional traders, or at fair value as determined in good faith by the CCT's investment manager. | |||||||||||||||||||||||||
Partnership/Joint Venture Interests: Given the inherent illiquidity of many partnership/joint venture investments, these investments are generally valued based on unobservable inputs that reflect the reporting entity's own assumptions about the assumptions that market participants would use pricing the asset. While the valuation methodologies may differ among each entity, methods for valuing these assets may include, but are not limited to, 1) discounted cash flow analysis, 2) net asset values, and 3) comparable trading data for similar investments. | |||||||||||||||||||||||||
Funds in Insurance Company Accounts: These investments are valued at fair value by discounting the related cash flows based on current yields of similar instruments with comparable durations considering the credit-worthiness of the issuer. | |||||||||||||||||||||||||
The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Company believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date. | |||||||||||||||||||||||||
Fair Value: The following table presents the pension plan investments using the fair value hierarchy discussed in Note 2 as of March 31, 2015: | |||||||||||||||||||||||||
Quoted Prices | Significant Other | Significant | Total | ||||||||||||||||||||||
in Active | Observable Inputs | Unobservable | |||||||||||||||||||||||
Markets for | (Level 2) | Inputs | |||||||||||||||||||||||
Identical Assets | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
Interest-bearing cash | $ | — | $ | 3,279 | $ | — | $ | 3,279 | |||||||||||||||||
U.S. Government securities | 158,938 | 11,546 | — | 170,484 | |||||||||||||||||||||
Corporate debt | — | 410,035 | 187 | 410,222 | |||||||||||||||||||||
Common stock | 110,932 | 5,289 | — | 116,221 | |||||||||||||||||||||
Partnership/joint venture interest | — | — | 746,305 | 746,305 | |||||||||||||||||||||
Other investments | 5 | 3,121 | — | 3,126 | |||||||||||||||||||||
Common/collective trusts | — | 743,960 | — | 743,960 | |||||||||||||||||||||
Registered investment companies | 131,251 | 145,649 | — | 276,900 | |||||||||||||||||||||
Value of funds in insurance company accounts | — | 42,190 | 1,076 | 43,266 | |||||||||||||||||||||
Total | 401,126 | 1,365,069 | 747,568 | 2,513,763 | |||||||||||||||||||||
Fair value of assets at March 31, 2015, to be transferred to Vista Outdoor (1) | (26,324 | ) | (89,584 | ) | (49,060 | ) | (164,968 | ) | |||||||||||||||||
Fair value of plan assets at end of year | $ | 374,802 | $ | 1,275,485 | $ | 698,508 | $ | 2,348,795 | |||||||||||||||||
________________________________ | |||||||||||||||||||||||||
-1 | The actual asset value and categories of assets to be transferred to Vista Outdoor have not yet been determined. The assets to be transferred from each hierarchy level shown above was determined as a pro-rata allocation of the fair value of the total estimated Vista Outdoor assets at March 31, 2015, to the total value of plan assets at March 31, 2015, if the transfer would have occurred on March 31, 2015. The actual asset categories and amounts to be transferred could vary from the amounts shown above. | ||||||||||||||||||||||||
The following table presents the pension plan investments using the fair value hierarchy discussed in Note 2 as of March 31, 2014: | |||||||||||||||||||||||||
Quoted Prices | Significant Other | Significant | Total | ||||||||||||||||||||||
in Active | Observable Inputs | Unobservable | |||||||||||||||||||||||
Markets for | (Level 2) | Inputs | |||||||||||||||||||||||
Identical Assets | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
Interest-bearing cash | $ | — | $ | 4,062 | $ | — | $ | 4,062 | |||||||||||||||||
U.S. Government securities | 185,499 | 21,021 | — | 206,520 | |||||||||||||||||||||
Corporate debt | — | 346,803 | 199 | 347,002 | |||||||||||||||||||||
Common stock | 109,173 | — | — | 109,173 | |||||||||||||||||||||
Partnership/joint venture interest | — | — | 689,073 | 689,073 | |||||||||||||||||||||
Other investments | (9 | ) | 2,556 | — | 2,547 | ||||||||||||||||||||
Common/collective trusts | — | 829,714 | — | 829,714 | |||||||||||||||||||||
Registered investment companies | 63,945 | 130,819 | — | 194,764 | |||||||||||||||||||||
Value of funds in insurance company accounts | — | 42,027 | 1,131 | 43,158 | |||||||||||||||||||||
Total | $ | 358,608 | $ | 1,377,002 | $ | 690,403 | $ | 2,426,013 | |||||||||||||||||
The following table presents a reconciliation of Level 3 assets held during the year ended March 31, 2015: | |||||||||||||||||||||||||
Common Stock | Corporate Debt | Insurance | Partnerships/ | ||||||||||||||||||||||
Contracts | Joint Ventures | ||||||||||||||||||||||||
Balance at April 1, 2014 | $ | — | $ | 199 | $ | 1,131 | $ | 689,073 | |||||||||||||||||
Realized (losses) gains | — | — | 6 | 38,614 | |||||||||||||||||||||
Net unrealized (losses) gains | — | 1 | (2 | ) | (5,558 | ) | |||||||||||||||||||
Net purchases, issuances and settlements | — | (13 | ) | (59 | ) | 24,176 | |||||||||||||||||||
Net transfers into (out of) Level 3 | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2015 | $ | — | $ | 187 | $ | 1,076 | $ | 746,305 | |||||||||||||||||
The following table presents a reconciliation of Level 3 assets held during the year ended March 31, 2014: | |||||||||||||||||||||||||
Common Stock | Corporate Debt | Insurance | Partnerships/ | ||||||||||||||||||||||
Contracts | Joint Ventures | ||||||||||||||||||||||||
Balance, April 1, 2013 | $ | — | $ | — | $ | 1,205 | $ | 578,158 | |||||||||||||||||
Realized (losses) gains | 2 | — | 4 | 34,321 | |||||||||||||||||||||
Net unrealized (losses) gains | — | — | (8 | ) | 25,561 | ||||||||||||||||||||
Net purchases, issuances, and settlements | (2 | ) | 199 | (70 | ) | 51,033 | |||||||||||||||||||
Net transfers into (out of) Level 3 | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2014 | $ | — | $ | 199 | $ | 1,131 | $ | 689,073 | |||||||||||||||||
There was no direct ownership of the Company common stock included in plan assets as of any of the periods presented. | |||||||||||||||||||||||||
Other Postretirement Benefits. The Company's other PRB obligations were 48.4% and 47.7% pre-funded as of March 31, 2015 and 2014, respectively. | |||||||||||||||||||||||||
Portions of the assets are held in a 401(h) account held within the pension master trust and are invested in the same manner as the pension assets. Approximately 44% and 42.1% of the assets were held in the 401(h) account as of March 31, 2015 and 2014, respectively. The remaining assets are in fixed income investments. The Company's investment objective for the other PRB plan assets is the preservation and safety of capital. | |||||||||||||||||||||||||
Contributions | |||||||||||||||||||||||||
During fiscal 2015, the Company contributed $80,400 directly to the ATK Plans' pension trust and $6,750 directly to retirees under its supplemental (nonqualified) executive retirement plan. The Company also contributed $9,769 to its other PRB plans. The Company is required to make contributions of $48,000 to meet its legally required minimum contributions for fiscal 2016. The Company also expects to distribute approximately $3,743 directly to retirees under its supplemental executive retirement plans and contribute approximately $8,281 to its other postretirement benefit plans in fiscal 2016. | |||||||||||||||||||||||||
Expected Future Benefit Payments | |||||||||||||||||||||||||
The following benefit payments, which reflect expected future service, are expected to be paid in the years ending March 31. The pension benefits will be paid primarily out of the pension trust. The postretirement benefit payments are shown net of the expected subsidy for the Medicare prescription drug benefit under the Medicare Prescription Drug, Improvement and Modernization Act of 2003 which are not material to be presented separately. | |||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2016 | $ | 191,598 | $ | 10,912 | |||||||||||||||||||||
2017 | 190,087 | 10,768 | |||||||||||||||||||||||
2018 | 193,137 | 10,601 | |||||||||||||||||||||||
2019 | 198,047 | 10,388 | |||||||||||||||||||||||
2020 | 202,678 | 10,134 | |||||||||||||||||||||||
2020 through 2024 | 1,045,563 | 45,534 | |||||||||||||||||||||||
Termination | |||||||||||||||||||||||||
In the event the Company terminates any of the plans under conditions in which the plan's assets exceed that plan's obligations, U.S. Government regulations require that a fair allocation of any of the plan's assets based on plan contributions that were reimbursed under U.S. Government contracts will be returned to the U.S. Government. | |||||||||||||||||||||||||
Defined Contribution Plan | |||||||||||||||||||||||||
The Company also sponsors two defined contribution plans - the Alliant Techsystems Inc. 401(k) Plan and the Deferred Salary and Profit Sharing Plan for Employees of Orbital Sciences Corporation. Participation in these plans is available to substantially all U.S. employees. | |||||||||||||||||||||||||
The Alliant Techsystems Inc. 401(k) Plan is a 401(k) plan, with an employee stock ownership ("ESOP") feature, to which employees may contribute up to 50% of their pay (highly compensated employees are subject to limitations). Employee contributions are invested, at the employees' direction, among a variety of investment alternatives including a Company common stock fund. Participants may transfer amounts into and out of the investment alternatives at any time, except for the Company common stock fund. Any dividends declared on the Company common stock can be either reinvested within the Company common stock fund or provided as a cash payment. Effective January 1, 2013 employees no longer had the option to invest in the Company common stock fund, other than for the reinvestment of dividends paid on the Company common stock in participants' accounts. Balances in the fund prior to January 1, 2013 remain in the fund unless distributed or transferred. Effective January 1, 2004, the Company matching contribution and non-elective contribution to this plan depends on a participant's years of service, pension plan participation and certain other factors. Participants receive: | |||||||||||||||||||||||||
• | a matching contribution of 100% of the first 3% of the participant's contributed pay plus 50% of the next 2% of the participant's contributed pay, or | ||||||||||||||||||||||||
• | a matching contribution of 50% of the first 6% of the participant's contributed pay, or | ||||||||||||||||||||||||
• | a matching contribution of 100% of the first 3% of the participant's contributed pay plus 50% of the next 3% of the participant's contributed pay (subject to one-year vesting) and a non-elective contribution based on recognized compensation, age and service (subject to three-year vesting), or | ||||||||||||||||||||||||
• | an automatic enrollment of a 6% pre-tax contribution rate (of which the participant can either change or opt out) along with a matching contribution of 100% of the first 3% of the participant's contributed pay plus 50% of the next 3% of the participant's contributed pay (subject to one-year vesting) and a non-elective contribution based on recognized compensation, age and service (subject to three-year vesting), or | ||||||||||||||||||||||||
• | a non-elective contribution based on the recognized compensation, age and service (subject to three-year vesting), or | ||||||||||||||||||||||||
• | no matching contribution | ||||||||||||||||||||||||
The Company's contributions to the plan were $51,205 in fiscal 2015, $48,379 in fiscal 2014 and $37,377 in fiscal 2013. | |||||||||||||||||||||||||
As of March 31, 2015, the Company had approximately 9,000 U.S. employees eligible under the plan. The Company has union-represented employees at five locations, comprising less than 20% of its total workforce. One location has two separate bargaining units, each with its own collective bargaining agreement (“CBA”). One location is currently negotiating its initial CBA with the Company. The Company’s current CBAs expire in calendar years 2015, 2016 and 2017. | |||||||||||||||||||||||||
The Deferred Salary and Profit Sharing Plan for Employees of Orbital Sciences Corporation is a 401(k) plan to which employees may contribute up to 30% of their pay (highly compensated employees are subject to limitations). Employee contributions are invested, at the employees' direction, among a variety of investment alternatives including the Company common stock fund. Participants may transfer amounts into and out of the investment alternatives at any time, except for the Company common stock fund. Any dividends declared on the Company common stock can be reinvested within the Company common stock fund. Effective February 9, 2015, employees no longer had the option to invest in the Company common stock fund, other than for the reinvestment of dividends paid on the Company common stock in participants' accounts. Balances in the fund prior to February 9, 2015 remain in the fund unless distributed or transferred. Participants receive a matching contribution of 100% of the first 5% of the participant's contributed pay. The company may also make an annual discretionary profit sharing contribution based on the participant’s compensation. The Company's contributions to the plan were $2,778 in fiscal 2015. |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Income Taxes | Income Taxes | ||||||||||||
Income from continuing operations, before income taxes and noncontrolling interest: | |||||||||||||
Years Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Current: | |||||||||||||
U.S. | $ | 116,651 | $ | 222,165 | $ | 260,915 | |||||||
Non-U.S. | — | — | — | ||||||||||
Income before income taxes and noncontrolling interest | $ | 116,651 | $ | 222,165 | $ | 260,915 | |||||||
Income taxes consisted of the following: | |||||||||||||
Years Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Current: | |||||||||||||
Federal | $ | 42,625 | $ | 60,674 | $ | 84,615 | |||||||
State | 2,518 | 1,378 | 5,820 | ||||||||||
Deferred: | |||||||||||||
Federal | (2,599 | ) | (3,433 | ) | (15,701 | ) | |||||||
State | (3,427 | ) | 3,923 | (988 | ) | ||||||||
Income taxes | $ | 39,117 | $ | 62,542 | $ | 73,746 | |||||||
The items responsible for the differences between the federal statutory rate and the Company's effective rate are as follows: | |||||||||||||
Year Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
State income taxes, net of federal impact | (0.5 | )% | 1.1 | % | 2.1 | % | |||||||
Domestic manufacturing deduction | (6.9 | )% | (3.2 | )% | (2.9 | )% | |||||||
Goodwill impairment | 10.3 | % | — | % | — | % | |||||||
Research and development tax credit | (2.9 | )% | (1.7 | )% | (1.0 | )% | |||||||
Change in prior year contingent tax liabilities | (3.3 | )% | (4.4 | )% | (4.2 | )% | |||||||
Nondeductible transaction costs | 6.6 | % | — | % | — | % | |||||||
Other | (2.3 | )% | 1.2 | % | (1.0 | )% | |||||||
Change in valuation allowance | (2.5 | )% | 0.2 | % | 0.3 | % | |||||||
Income tax provision | 33.5 | % | 28.2 | % | 28.3 | % | |||||||
Deferred Income Taxes | |||||||||||||
Deferred income taxes arise because of differences in the timing of the recognition of income and expense items for financial statement reporting and income tax purposes. The net effect of these temporary differences between the carrying amounts of assets and liabilities are classified in the consolidated financial statements of financial position as current or noncurrent assets or liabilities based upon the classification of the related assets and liabilities or, if there is no corresponding balance on the balance sheet, the expected period for reversal. | |||||||||||||
As of March 31, 2015 and 2014, the deferred tax assets and liabilities resulted from temporary differences related to the following: | |||||||||||||
31-Mar | |||||||||||||
2015 | 2014 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Retirement benefits | $ | 344,674 | $ | 206,789 | |||||||||
Other | 54,367 | 28,532 | |||||||||||
Other reserves | 27,358 | 21,212 | |||||||||||
Accruals for employee benefits | 46,691 | 29,037 | |||||||||||
Inventory | 10,893 | 14,365 | |||||||||||
Contract method of revenue recognition | 31,305 | 23,817 | |||||||||||
Total deferred income tax assets before valuation allowance | 515,288 | 323,752 | |||||||||||
Valuation allowance | (8,836 | ) | (7,167 | ) | |||||||||
Total deferred income tax assets | 506,452 | 316,585 | |||||||||||
Deferred income tax liabilities: | |||||||||||||
Intangible assets | (110,014 | ) | (44,991 | ) | |||||||||
Property, plant and equipment | (127,343 | ) | (73,768 | ) | |||||||||
Debt-related | (21,290 | ) | (67,877 | ) | |||||||||
Total deferred income tax liabilities | (258,647 | ) | (186,636 | ) | |||||||||
Net deferred income tax assets | $ | 247,805 | $ | 129,949 | |||||||||
The Company believes it is more likely than not that the recorded deferred benefits will be realized through the reduction of future taxable income. The Company's recorded valuation allowance of $8,836 at March 31, 2015 relates to certain capital loss, tax credits and net operating losses that are not expected to be realized before their expiration. | |||||||||||||
Included in the net deferred tax asset are net operating loss and credit carryovers, $7,389 of which expires in years ending from March 31, 2015 through March 31, 2035 and $8,827 that may be carried over indefinitely. | |||||||||||||
Unrecognized Tax Benefits | |||||||||||||
Unrecognized tax benefits consist of the carrying value of the Company's recorded uncertain tax positions as well as the potential tax benefits that could result from other tax positions that have not been recognized in the financial statements under current authoritative guidance. At March 31, 2015 and 2014, unrecognized tax benefits that have not been recognized in the financial statements amounted to $44,290 and $35,138, respectively, of which $40,411 and $29,046, respectively, would affect the effective tax rate, if recognized. The remaining balance is related to deferred tax items which only impact the timing of tax payments. Although the timing and outcome of audit settlements are uncertain, it is reasonably possible that a $466 reduction of the uncertain tax benefits will occur in the next 12 months. The settlement of these unrecognized tax benefits could result in earnings from $0 to $299. | |||||||||||||
The Company has classified uncertain tax positions as noncurrent income tax liabilities unless expected to be paid within one year. A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties, is as follows: | |||||||||||||
Year Ended | |||||||||||||
31-Mar-15 | 31-Mar-14 | 31-Mar-13 | |||||||||||
Unrecognized Tax Benefits, beginning of year | $ | 32,317 | $ | 25,657 | $ | 34,715 | |||||||
Gross increases—tax positions in prior periods | 21,369 | 15,412 | 158 | ||||||||||
Gross decreases—tax positions in prior periods | (8,193 | ) | (13,172 | ) | (13,116 | ) | |||||||
Gross increases—current-period tax positions | 1,571 | 4,573 | 5,376 | ||||||||||
Settlements | (2,786 | ) | — | (1,298 | ) | ||||||||
Lapse of statute of limitations | (1,779 | ) | (153 | ) | (178 | ) | |||||||
Unrecognized Tax Benefits, end of year | $ | 42,499 | $ | 32,317 | $ | 25,657 | |||||||
The Company reports income tax-related interest income within the income tax provision. Penalties and tax-related interest expense are also reported as a component of the income tax provision. As of March 31, 2015 and 2014, $1,503 and $1,454 of income tax-related interest and $289 and $1,367 of penalties were included in accrued income taxes, respectively. | |||||||||||||
The IRS released final regulations relating to the capitalization of tangible personal property on September 13, 2013. The Company is currently analyzing the impact of these new regulations. The Company does not believe they will have a material impact on the financial statements. | |||||||||||||
The Company or one of its subsidiaries files income tax returns in the U.S. federal, various U.S. state and foreign jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or foreign income tax examinations by tax authorities for years prior to 2008. The IRS has completed the audits of the Company through fiscal 2012 and is currently auditing the Company's tax returns for fiscal years 2013 and 2014. The Company believes appropriate provisions for all outstanding issues have been made for all remaining open years in all jurisdictions. |
Commitments
Commitments | 12 Months Ended | |||
Mar. 31, 2015 | ||||
Commitments | ||||
Commitments | The Company leases land, buildings and equipment under various operating leases, which generally have renewal options of one to five years. Rent expense was $72,826 in fiscal 2015, $67,972 in fiscal 2014 and $74,220 in fiscal 2013. | |||
The following table summarizes the operating lease payments expected to be paid in the years ending March 31: | ||||
2016 | $ | 79,302 | ||
2017 | 70,595 | |||
2018 | 64,197 | |||
2019 | 59,382 | |||
2020 | 53,926 | |||
Thereafter | 120,941 | |||
Total | $ | 448,343 | ||
The Company currently leases its facility in Magna, Utah from a private party. This facility is used in the production and testing of some of the Company's rocket motors. The current lease extends through September 2022. The lease requires the Company to surrender the property back to its owner in its original condition. While the Company currently anticipates operating this facility indefinitely, the Company could incur significant costs if the Company were to terminate this lease. | ||||
The Company has known conditional asset retirement obligations, such as contractual lease restoration obligations, to be performed in the future, that are not reasonably estimable due to insufficient information about the timing and method of settlement of the obligation. Accordingly, these obligations have not been recorded in the consolidated financial statements. A liability for these obligations will be recorded in the period when sufficient information regarding timing and method of settlement becomes available to make a reasonable estimate of the liability's fair value. |
Contingencies
Contingencies | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Loss Contingency [Abstract] | |||||||||||||||||
Contingencies | igation. From time to time, the Company is subject to various legal proceedings, including lawsuits, which arise out of, and are incidental to, the conduct of the Company's business. The Company does not consider any of such proceedings that are currently pending, individually or in the aggregate, notwithstanding that the unfavorable resolution of any matter may have a material effect on net earnings in any particular quarter, to be material to its business or likely to result in a material adverse effect on its operating results, financial condition, or cash flows. | ||||||||||||||||
On July 30, 2013, Raytheon Company filed a lawsuit against the Company in the Superior Court of the State of Arizona. The suit involves the Company's longstanding production of rocket motors used in Raytheon's Advanced Medium-Range Air-to-Air Missiles (AMRAAM). In the filing, Raytheon's primary allegation is that the Company breached certain of the production contracts by not delivering rocket motors. Raytheon claimed damages exceeding $100,000. The parties settled this matter on March 27, 2015, with the Company paying $25,000 to Raytheon, and the litigation was voluntarily dismissed on April 21, 2015. | |||||||||||||||||
U.S. Government Investigations. The Company is also subject to U.S. Government investigations from which civil, criminal, or administrative proceedings could result. Such proceedings could involve claims by the U.S. Government for fines, penalties, compensatory and treble damages, restitution, and/or forfeitures. Under government regulations, a company, or one or more of its operating divisions or subdivisions, can also be suspended or debarred from government contracts, or lose its export privileges, based on the results of investigations. The Company believes, based upon all available information, that the outcome of any such pending government investigations will not have a material adverse effect on its operating results, financial condition, or cash flows. | |||||||||||||||||
Claim Recovery. Profits expected to be realized on contracts are based on management's estimates of total contract sales value and costs at completion. Estimated amounts for contract changes and claims are included in contract sales only when realization is estimated to be probable. At March 31, 2015 and 2014, based on progress to date on certain contracts, there is approximately $42,055 and $35,113 included in unbilled receivables for contract claims. | |||||||||||||||||
Environmental Liabilities. The Company's operations and ownership or use of real property are subject to a number of federal, state and local environmental laws and regulations, as well as applicable foreign laws and regulations, including those for discharge of hazardous materials, remediation of contaminated sites and restoration of damage to the environment. At certain sites that the Company owns or operates or formerly owned or operated, there is known or potential contamination that the Company is required to investigate or remediate. The Company could incur substantial costs, including remediation costs, resource restoration costs, fines and penalties, or third party property damage or personal injury claims, as a result of liabilities associated with past practices or violations of environmental laws or non-compliance with environmental permits. | |||||||||||||||||
The Company has been identified as a potentially responsible party (“PRP”), along with other parties, in several regulatory agency actions associated with hazardous waste sites. As a PRP, the Company may be required to pay a share of the costs of the investigation and clean-up of these sites. While uncertainties exist with respect to the amounts and timing of the ultimate environmental liabilities, based on currently available information, the Company has have concluded that these matters, individually or in the aggregate, will not have a material adverse effect on operating results, financial condition, or cash flows. | |||||||||||||||||
The Company could incur substantial costs, including cleanup costs, resource restoration, fines and penalties or third-party property damage or personal injury claims, as a result of violations or liabilities under environmental laws or non-compliance with environmental permits. While environmental laws and regulations have not had a material adverse effect on the Company's operating results, financial condition, or cash flows in the past and the Company has environmental management programs in place to mitigate these risks, it is difficult to predict whether they will have a material impact in the future. | |||||||||||||||||
The liability for environmental remediation represents management's best estimate of the present value of the probable and reasonably estimable costs related to known remediation obligations. The receivable represents the present value of the amount that the Company expects to recover, as discussed below. Both the liability and receivable have been discounted to reflect the present value of the expected future cash flows, using a discount rate of 0.5% and 1.5% as of March 31, 2015 and 2014, respectively. The Company's discount rate is calculated using the 20-year Treasury constant maturities rate, net of an estimated inflationary factor of 1.9%, rounded to the nearest quarter percent. The following is a summary of the amounts recorded for environmental remediation: | |||||||||||||||||
31-Mar-15 | 31-Mar-14 | ||||||||||||||||
Liability | Receivable | Liability | Receivable | ||||||||||||||
Amounts (payable) receivable | $ | (51,749 | ) | $ | 26,506 | $ | (58,194 | ) | $ | 28,540 | |||||||
Unamortized discount | 1,624 | (750 | ) | 4,706 | (2,152 | ) | |||||||||||
Present value amounts (payable) receivable | $ | (50,125 | ) | $ | 25,756 | $ | (53,488 | ) | $ | 26,388 | |||||||
Amounts expected to be paid or received in periods more than one year from the balance sheet date are classified as noncurrent. Of the $50,125 discounted liability as of March 31, 2015, $6,799 was recorded within other current liabilities and $43,326 was recorded within other long-term liabilities. Of the $25,756 discounted receivable, the Company recorded $1,985 within other current assets and $23,771 within other noncurrent assets. As of March 31, 2015, the estimated discounted range of reasonably possible costs of environmental remediation was $50,125 to $82,292. | |||||||||||||||||
The Company expects that a portion of its environmental compliance and remediation costs will be recoverable under U.S. Government contracts. Some of the remediation costs that are not recoverable from the U.S. Government that are associated with facilities purchased in a business acquisition may be covered by various indemnification agreements, as described below. | |||||||||||||||||
• | As part of its acquisition of the Hercules Aerospace Company in fiscal 1995, the Company generally assumed responsibility for environmental compliance at the facilities acquired from Hercules ("the Hercules Facilities"). The Company believes that a portion of the compliance and remediation costs associated with the Hercules Facilities will be recoverable under U.S. Government contracts. If the Company were unable to recover those environmental remediation costs under these contracts, the Company believes that these costs will be covered by Hercules Incorporated, a subsidiary of Ashland Inc., ("Hercules") under environmental agreements entered into in connection with the Hercules acquisition. Under these agreements, Hercules has agreed to indemnify the Company for environmental conditions relating to releases or hazardous waste activities occurring prior to the Company's purchase of the Hercules Facilities as long as they were identified in accordance with the terms of the agreement; fines relating to pre-acquisition environmental compliance; and environmental claims arising out of breaches of Hercules' representations and warranties. Hercules is not required to indemnify the Company for any individual claims below $50,000. Hercules is obligated to indemnify the Company for the lowest cost response of remediation required at the facility that is acceptable to the applicable regulatory agencies. The Company is not responsible for conducting any remedial activities with respect to the Clearwater, FL facility. In accordance with its agreement with Hercules, the Company notified Hercules of all known contamination on non-federal lands on or before March 31, 2000, and on federal lands on or before March 31, 2005. | ||||||||||||||||
• | The Company generally assumed responsibility for environmental compliance at the Thiokol Facilities acquired from Alcoa Inc. ("Alcoa") in fiscal 2002. The Company expects that a portion of the compliance and remediation costs associated with the acquired Thiokol Facilities will be recoverable under U.S. Government contracts. In accordance with its agreement with Alcoa, the Company notified Alcoa of all known environmental remediation issues as of January 30, 2004. Of these known issues, the Company is responsible for any costs not recovered through U.S. Government contracts at Thiokol Facilities up to $14,000, the Company and Alcoa have agreed to split evenly any amounts between $14,000 and $34,000, and the Company is responsible for any payments in excess of $34,000. At this time, the Company believes that costs not recovered through U.S. Government contracts will be immaterial. | ||||||||||||||||
The Company cannot ensure that the U.S. Government, Hercules, Alcoa, or other third parties will reimburse it for any particular environmental costs or reimburse the Company in a timely manner or that any claims for indemnification will not be disputed. U.S. Government reimbursements for cleanups are financed out of a particular agency's operating budget and the ability of a particular governmental agency to make timely reimbursements for cleanup costs will be subject to national budgetary constraints. The Company's failure to obtain full or timely reimbursement from the U.S. Government, Hercules, Alcoa, or other third parties could have a material adverse effect on its operating results, financial condition, or cash flows. While the Company has environmental management programs in place to mitigate these risks, and environmental laws and regulations have not had a material adverse effect on the Company's operating results, financial condition, or cash flows in the past, it is difficult to predict whether they will have a material impact in the future. | |||||||||||||||||
In December 2001, the Company received notice from the State of Utah of a potential claim against the Company under Section 107(f) of the Comprehensive Environmental Response, Compensation, and Liability Act ("CERCLA") for natural resource damages at Bacchus, one of the Hercules Facilities, in Magna, Utah. The notice letter, which was issued to preserve the State's rights under CERCLA, also expressly acknowledged the State's willingness to allow the Company to go forward with its currently-planned monitoring and remediation program. The State's preliminary estimate of damages contained in this claim was $139 million, which is based on known and alleged groundwater contamination at and near Bacchus and is related to Hercules' manufacturing operations at the site. The Company entered into a tolling agreement with the State in fiscal 2002 (the “Bacchus Tolling Agreement”). In fiscal 2003, the Company entered into a similar tolling agreement with the State regarding the Promontory facility that was acquired from Alcoa in the acquisition of Thiokol (the “Promontory Tolling Agreement”). Also in fiscal year 2003, the Company and Kennecott Utah Copper LLC (Kennecott) entered into a tolling agreement due the presence of perchlorate in Kennecott’s Section 21 Well Field. Both parties continue to monitor the quality of the water in the Section 21 Well Field and the Company has agreed to continue to supply bottled water to Kennecott for the areas potentially affected by the Section 21 Well Field. These agreements allow the Company time to continue to identify and address the contamination by the normal and planned regulatory remediation processes in Utah. The Bacchus Tolling Agreement expires in January 2016 and the Promontory Tolling Agreement has been extended to September 2017. The Kennecott tolling agreement was extended in fiscal year 2014 and expires in September 2018. Although the Company has previously made accruals for its best estimate of the probable and reasonably estimable costs related to the remediation obligations known to the Company with respect to the affected areas, the Company cannot yet predict if or when a suit may be filed against it, nor can the Company determine any additional costs that may be incurred in connection with this matter. | |||||||||||||||||
At March 31, 2015, the aggregate undiscounted amounts payable for environmental remediation costs, net of expected recoveries, are estimated to be: | |||||||||||||||||
Fiscal 2016 | $ | 3,640 | |||||||||||||||
Fiscal 2017 | 324 | ||||||||||||||||
Fiscal 2018 | 299 | ||||||||||||||||
Fiscal 2019 | 2,295 | ||||||||||||||||
Fiscal 2020 | 1,974 | ||||||||||||||||
Thereafter | 16,711 | ||||||||||||||||
Total | $ | 25,243 | |||||||||||||||
There were no material insurance recoveries related to environmental remediation during any of the periods presented. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Equity [Abstract] | ||||||||||||||
Stockholders' Equity | Stockholders' Equity | |||||||||||||
The Company has authorized 5,000,000 shares of preferred stock, par value $1.00, none of which has been issued. | ||||||||||||||
The Company has five stock-based incentive plans, including: three legacy ATK plans (the Alliant Techsystems Inc. 2005 Stock Incentive Plan, the Non-Employee Director Restricted Stock Plan and the 1990 Equity Incentive Plan) and two legacy Orbital plans, under which the Company assumed the obligation to issue Company common stock pursuant to the terms of the Transaction Agreement relating to the Merger (the Orbital Sciences Corporation 2005 Amended and Restated Stock Incentive Plan and the Orbital Sciences Corporation 1997 Stock Option and Incentive Plan). As of March 31, 2015, the Company has authorized up to 3,982,360 common shares under the ATK 2005 Stock Incentive Plan, of which 504,429 common shares are available to be granted. No new grants will be made out of the other four plans. | ||||||||||||||
There are five types of awards outstanding under the Company's stock incentive plans: performance awards, total stockholder return performance awards ("TSR awards"), restricted stock units, restricted stock and stock options. The Company issues treasury shares upon (i) the payment of performance awards, TSR awards and restricted stock units, (ii) the grant of restricted stock, and (iii) the exercise of stock options. | ||||||||||||||
Pursuant to the terms of the Transaction Agreement and under the terms of the ATK 2005 Stock Incentive Plan, all of the performance awards and TSR awards outstanding as of February 9, 2015 were converted into time-vesting restricted stock units in connection with the Distribution, with vesting periods corresponding to the respective performance periods. On March 31, 2015, 107,976 shares were paid upon the vesting of restricted stock units for the fiscal 2013-2015 performance period. As of March 31, 2015, there were 40,707 shares reserved for the vesting of restricted stock units for the fiscal 2014-2016 performance period on March 31, 2016 and 65,157 shares reserved for the vesting of restricted stock units for the fiscal 2015-2017 performance period on March 31, 2017. | ||||||||||||||
As of March 31, 2015, there were up to 80,265 shares reserved for performance awards for executive officers and key employees. Performance shares are valued at the fair value of the Company stock as of the grant date and expense is recognized based on the number of shares expected to vest under the terms of the award under which they are granted. Of these shares: | ||||||||||||||
• | up to 50% will become payable only upon achievement of a financial performance goal relating to absolute earnings per share growth for the performance period beginning April 1, 2015 and ending December 31, 2017; | |||||||||||||
• | up to 50% will become payable only upon achievement of a performance goal relating to absolute sales growth for the performance period beginning April 1, 2015 and ending December 31, 2017. | |||||||||||||
There were 80,265 TSR awards granted during fiscal 2015. In addition, there were 27,862 TSR awards granted during fiscal 2014, 9,458 of which were forfeited during fiscal 2015 and 18,404 of which were converted to time-vesting restricted stock units, as described above. The weighted average fair value of TSR awards granted was $94.93 and $85.92 during fiscal 2015 and 2014, respectively. The Company used an integrated Monte Carlo simulation model to determine the fair value of these awards. The Monte Carlo model calculates the probability of satisfying the market conditions stipulated in the award. This probability is an input into the trinomial lattice model used to determine the fair value of the awards as well as the assumptions of other variables, including the risk-free interest rate and expected volatility of the Company's stock price in future periods. The risk-free rate is based on the U.S. dollar-denominated U.S. Treasury strip rate with a remaining term that approximates the life assumed at the date of grant. | ||||||||||||||
The weighted average assumptions used in estimating the value of the TSR award were as follows: | ||||||||||||||
Fiscal 2015 | Fiscal 2014 | |||||||||||||
Risk-free rate | 1.02 | % | 0.81 | % | ||||||||||
Expected volatility | 22.81 | % | 26.64 | % | ||||||||||
Expected dividend yield | 1.78 | % | 0.97 | % | ||||||||||
Expected award life | 3 | 3 | ||||||||||||
Restricted stock granted to non-employee directors and certain key employees totaled 139,093 shares in fiscal 2015, 127,425 shares in fiscal 2014 and 102,216 shares in fiscal 2013. Restricted shares vest over periods generally ranging from one to three years from the date of award and are valued at the fair value of the Company's common stock as of the grant date. | ||||||||||||||
Stock options may be granted periodically, with an exercise price equal to the fair market value of the Company's common stock on the date of grant, and generally vest from one to three years from the date of grant. Options are generally granted with seven-year or ten-year terms. | ||||||||||||||
The weighted average fair value of each option grant is estimated on the date of grant using the Black-Scholes option pricing model and represents the difference between fair market value on the date of grant and the estimated market value on the expected exercise date. The option pricing model requires the Company to make assumptions. The risk-free rate is based on U.S. Treasury zero-coupon issues with a remaining term that approximates the expected life assumed at the date of grant. Expected volatility is based on the historical volatility of the Company's stock over the past seven years. The expected option life is based on the contractual term of the stock option and expected employee exercise and post-vesting employment termination trends. The weighted average fair value of options granted was $39.81, $35.34 and $14.36 during fiscal 2015, 2014 and 2013, respectively. | ||||||||||||||
The following weighted average assumptions were used for grants: | ||||||||||||||
Year Ended | ||||||||||||||
31-Mar-15 | 31-Mar-14 | 31-Mar-13 | ||||||||||||
Risk-free rate | 1.82% | 1.86%-2.07% | 1.02%-1.22% | |||||||||||
Expected volatility | 27.67% | 25.95%-26.71% | 25.87% | |||||||||||
Expected dividend yield | 0.99% | 1.27%-1.58% | 1.49%-1.90% | |||||||||||
Expected option life | 7 years | 7 years | 7 years | |||||||||||
Total pre-tax stock-based compensation expense of $25,325, $12,701 and $12,025 was recognized during fiscal 2015, 2014 and 2013, respectively. The total income tax benefit recognized in the statement of comprehensive income for share-based compensation was $8,761, $4,874 and $4,661 during fiscal 2015, 2014 and 2013, respectively. | ||||||||||||||
A summary of the Company's stock option activity is as follows: | ||||||||||||||
Shares | Weighted Average | Weighted Average | Aggregate Intrinsic | |||||||||||
Exercise Price | Remaining | Value | ||||||||||||
Contractual Life | (per option) | |||||||||||||
(in years) | ||||||||||||||
Outstanding at March 31, 2012 | 418,122 | $ | 62.02 | 2.7 | $ | — | ||||||||
Granted | 114,628 | 65.32 | ||||||||||||
Exercised | (93,617 | ) | 58.34 | |||||||||||
Forfeited/expired | (176,885 | ) | 66.55 | |||||||||||
Outstanding at March 31, 2013 | 262,248 | 61.72 | 2.7 | $ | — | |||||||||
Granted | 47,490 | 130.86 | ||||||||||||
Exercised | (13,173 | ) | 55.32 | |||||||||||
Forfeited/expired | (26,160 | ) | 62.34 | |||||||||||
Outstanding at March 31, 2014 | 270,405 | 74.11 | 8.3 | $ | 68.04 | |||||||||
Granted | 73,100 | 72.06 | ||||||||||||
Converted in conjunction with the Merger | 11,225 | 27.45 | ||||||||||||
Outstanding at March 31, 2015 | 354,730 | $ | 41.83 | 7.8 | $ | 34.8 | ||||||||
Options exercisable at: | ||||||||||||||
31-Mar-15 | 230,715 | $ | 64.32 | 7 | $ | 44.99 | ||||||||
31-Mar-14 | 114,083 | $ | 61.63 | 8 | $ | 80.52 | ||||||||
31-Mar-13 | 70,145 | $ | 61.28 | 5.2 | $ | 13.98 | ||||||||
There were no options exercised in fiscal 2015. The total intrinsic value of options exercised was $295 and $505 during fiscal 2014 and 2013, respectively. Total cash received from options exercised during fiscal 2014 and 2013 was $729 and $5,462, respectively. | ||||||||||||||
A summary of the Company's non-vested stock-based compensation awards activity is as follows: | ||||||||||||||
Performance Share | Restricted Stock | Restricted Stock | Combined | |||||||||||
and | Units | Awards | Weighted Average | |||||||||||
TSR Awards | Grant Date | |||||||||||||
Fair Value | ||||||||||||||
Nonvested at March 31, 2012 | 693,567 | — | 282,674 | $ | 67.08 | |||||||||
Granted | 100,820 | — | 112,716 | 63.17 | ||||||||||
Canceled/forfeited | (267,519 | ) | — | (19,807 | ) | 69.44 | ||||||||
Vested | (35,852 | ) | — | (108,157 | ) | 68.59 | ||||||||
Nonvested at March 31, 2013 | 491,016 | — | 267,426 | 65.42 | ||||||||||
Granted | 113,212 | — | 127,451 | 114.65 | ||||||||||
Canceled/forfeited | (200,557 | ) | — | (13,526 | ) | 68.65 | ||||||||
Vested | (95,579 | ) | — | (98,407 | ) | 66.6 | ||||||||
Nonvested at March 31, 2014 | 308,092 | — | 282,944 | 83.91 | ||||||||||
Granted | 161,661 | — | 139,094 | 81.88 | ||||||||||
Converted in conjunction with the Merger | — | 647,436 | — | 71.29 | ||||||||||
Canceled/forfeited | (309,223 | ) | — | (13,521 | ) | 87.05 | ||||||||
Vested | — | (146,497 | ) | (195,882 | ) | 72.5 | ||||||||
Nonvested at March 31, 2015 | 160,530 | 500,939 | 212,635 | 77.02 | ||||||||||
As of March 31, 2015, the total unrecognized compensation cost related to non-vested stock-based compensation awards was $56,546 and is expected to be realized over a weighted average period of 2.1 years. | ||||||||||||||
Share Repurchases | ||||||||||||||
On March 11, 2015, the Company's Board of Directors authorized the Company to repurchase up to the lesser of $75 million or one million shares of its common stock over the remainder of calendar year 2015. Under the newly authorized repurchase program, shares of the Company common stock may be purchased from time to time in the open market, subject to compliance with applicable laws and regulations and the Company’s debt covenants, depending upon market conditions and other factors. | ||||||||||||||
In fiscal 2015, the Company made no repurchases under the newly authorized repurchase program. In accordance with the Transaction Agreement entered into on April 28, 2014, the Company did not repurchase any outstanding shares prior to the closing of the Distribution and Merger during fiscal 2015. | ||||||||||||||
On January 31, 2012, the Company's Board of Directors authorized a share repurchase program of up to $200,000 worth of shares of the Company common stock, executable over the following two years. On January 29, 2014, the Company's Board of Directors extended the share repurchase program through March 31, 2015. The Company made no share repurchases during fiscal 2015. During fiscal 2014 and 2013, the Company repurchased 609,922 shares for $52,130 and 1,003,938 shares for $59,511, respectively. |
Restructuring_Costs
Restructuring Costs | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Realignment Obligations | |||||||||||||||||||||
Restructuring Costs | Restructuring Costs | ||||||||||||||||||||
During fiscal 2015 the Company executed business restructuring initiatives aimed at reducing the Company's fixed cost structure and realigning the business as a result of the Distribution of Sporting Group and the Merger with Orbital. In May 2014, the Company consolidated its Eden Prairie, Minnesota corporate facility. In conjunction with that consolidation, the Company incurred realignment charges in the first quarter of fiscal 2015. The charges related primarily to the fair value of the remaining lease rentals, asset impairment charges, and costs associated with facility reconfiguration. In the fourth quarter of fiscal 2015, the Company incurred termination costs for management restructure. Additionally, the Company consolidated its Arlington, Virginia corporate facility, incurring realignment charges related primarily to the fair value of the remaining lease rentals and asset impairment charges. The Company had no realignment liability as of March 31, 2014 and March 31, 2013. The following table summarizes the Company's realignment liability activity during fiscal 2015 related to the termination benefits and the remaining lease rentals and relocation and other costs: | |||||||||||||||||||||
Termination | Remaining Lease Rentals | Asset | Facility Closure and Other Costs | Total | |||||||||||||||||
Benefits | Impairment | ||||||||||||||||||||
Balance, March 31, 2014 | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||
Expense | 9,595 | 11,473 | 3,166 | 1,385 | 25,619 | ||||||||||||||||
Cash paid | (1,263 | ) | (1,046 | ) | — | (1,385 | ) | (3,694 | ) | ||||||||||||
Noncash settlements | — | — | (3,166 | ) | — | (3,166 | ) | ||||||||||||||
Balance, March 31, 2015 | $ | 8,332 | $ | 10,427 | $ | — | $ | — | $ | 18,759 | |||||||||||
Operating_Segment_Information
Operating Segment Information | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Operating Segment Information | Operating Segment Information | ||||||||||||||||||||
The Company operates its business structure within three operating groups. These operating segments (“groups”) are defined based on the reporting and review process used by the Company's chief executive officer and other management. The operating structure aligns the Company's capabilities and resources with its customers and markets and positions the company for long-term growth and improved profitability. As of March 31, 2015, the Company's three operating groups were: | |||||||||||||||||||||
• | Flight Systems Group comprises a portion of the Company's former Aerospace Group (Aerospace Structures division and Space Systems Operations' Launch Systems business); and Orbital's former Launch Vehicles segment. Flight Systems Group develops rockets that are used as small- and medium-class space launch vehicles to place satellites into Earth orbit and escape trajectories, interceptor and target vehicles for missile defense systems and suborbital launch vehicles that place payloads into a variety of high-altitude trajectories. The group also develops and produces medium- and large-class rocket propulsion systems for human and cargo launch vehicles, strategic missiles, missile defense interceptors and target vehicles. Additionally, Flight Systems Group operates in the military and commercial aircraft and launch structures markets. Other products include illuminating flares and aircraft countermeasures. | ||||||||||||||||||||
• | Defense Systems Group comprises all of the Company's former Defense Group (Armament, Defense Electronic Systems, Missile Products and Small-caliber Systems divisions). Defense Systems Group develops and produces military small-, medium-, and large-caliber ammunition, small-caliber commercial ammunition, propulsion systems for tactical missiles and missile defense applications, strike weapons, precision weapons and munitions, high-performance gun systems, aircraft survivability systems, fuzes and warheads, energetic materials and special mission aircraft. | ||||||||||||||||||||
• | Space Systems Group comprises a portion of the Company's former Aerospace Group (Space Components division and part of the Space Systems Operations division); and Orbital's former Advanced Space Programs and Satellite and Space Systems segments. Space Systems Group develops and produces small- and medium-class satellites that are used to enable global and regional communications and broadcasting, conduct space-related scientific research, and perform other activities related to national security. In addition, Space Systems Group develops and produces human-rated space systems for Earth-orbit and deep-space exploration, including re-supplying the ISS. This group is also a provider of spacecraft components and subsystems and specialized engineering and operations services to U.S. Government agencies. | ||||||||||||||||||||
The Company derives the majority of its sales from contracts with, and prime contractors to, the U.S. Government. The Company's U.S. Government sales, including sales to U.S. Government prime contractors, during the last three fiscal years were as follows: | |||||||||||||||||||||
Fiscal | U.S. Government Sales | Percent of sales | |||||||||||||||||||
2015 | $ | 2,388,816 | 75 | % | |||||||||||||||||
2014 | 2,465,436 | 84 | % | ||||||||||||||||||
2013 | 2,781,085 | 87 | % | ||||||||||||||||||
The military small-caliber ammunition contract, which is reported within Defense Systems Group, contributed 13%, 9% and 19% to the Company's sales in fiscal 2015, 2014 and 2013, respectively. No other single contract was more than 10% of the Company's sales in fiscal 2015, 2014, or 2013. | |||||||||||||||||||||
No single commercial customer accounted for 10% or more of the Company's sales in fiscal 2015, 2014, or 2013. | |||||||||||||||||||||
The Company's international sales were $612,934 in fiscal 2015, $348,297 in fiscal 2014 and $329,855 in fiscal 2013. During fiscal 2015, approximately 31% of these sales were in Flight Systems Group, 57% were in Defense Systems Group and 12% were in Space Systems Group. Sales to no individual country outside the United States accounted for more than 6% of the Company's sales in fiscal 2015. Substantially all of the Company's assets are held in the United States. | |||||||||||||||||||||
The financial information for the years ended March 31, 2014 and 2013 has been recast to reflect the Company's current segment structure. The following summarizes the Company's results and total assets by segment: | |||||||||||||||||||||
Year Ended March 31, 2015 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 1,065,058 | $ | 1,712,300 | $ | 396,609 | $ | — | $ | 3,173,967 | |||||||||||
Intercompany | 29,150 | 178,234 | 16,686 | (224,070 | ) | — | |||||||||||||||
Total | $ | 1,094,208 | $ | 1,890,534 | $ | 413,295 | $ | (224,070 | ) | $ | 3,173,967 | ||||||||||
Capital expenditures | $ | 48,861 | $ | 44,243 | $ | 5,718 | $ | 13,882 | $ | 112,704 | |||||||||||
Depreciation | 34,930 | 23,067 | 11,029 | 6,738 | 75,764 | ||||||||||||||||
Amortization of intangible assets | 1,232 | 1,864 | — | 6,167 | 9,263 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 145,753 | 188,963 | (3,824 | ) | (98,939 | ) | 231,953 | ||||||||||||||
Total assets | 2,047,966 | 1,320,425 | 1,467,948 | 668,063 | 5,504,402 | ||||||||||||||||
Year Ended March 31, 2014 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 902,683 | $ | 1,667,707 | $ | 354,847 | $ | — | $ | 2,925,237 | |||||||||||
Intercompany | 8,549 | 283,077 | 16,353 | (307,979 | ) | — | |||||||||||||||
Total | $ | 911,232 | $ | 1,950,784 | $ | 371,200 | $ | (307,979 | ) | $ | 2,925,237 | ||||||||||
Capital expenditures | $ | 54,660 | $ | 42,061 | $ | 6,760 | $ | 2,249 | $ | 105,730 | |||||||||||
Depreciation | 34,490 | 20,110 | 8,173 | 6,419 | 69,192 | ||||||||||||||||
Amortization of intangible assets | 1,248 | 1,864 | — | — | 3,112 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 110,882 | 210,669 | 30,810 | (50,404 | ) | 301,957 | |||||||||||||||
Total assets | 1,361,544 | 1,209,150 | 285,019 | 567,808 | 3,423,521 | ||||||||||||||||
Year Ended March 31, 2013 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 918,614 | $ | 1,957,650 | $ | 329,832 | $ | — | $ | 3,206,096 | |||||||||||
Intercompany | 10,213 | 152,021 | 18,038 | (180,272 | ) | — | |||||||||||||||
Total | $ | 928,827 | $ | 2,109,671 | $ | 347,870 | $ | (180,272 | ) | $ | 3,206,096 | ||||||||||
Capital expenditures | $ | 36,245 | $ | 25,518 | $ | 6,513 | $ | 5,218 | $ | 73,494 | |||||||||||
Depreciation | 33,515 | 30,055 | 7,860 | 6,175 | 77,605 | ||||||||||||||||
Amortization of intangible assets | 1,466 | 1,864 | — | — | 3,330 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 117,367 | 270,498 | 27,025 | (76,816 | ) | 338,074 | |||||||||||||||
Total assets | 1,286,861 | 1,122,416 | 293,914 | 872,065 | 3,575,256 | ||||||||||||||||
During fiscal 2015, the Company recognized a goodwill impairment charge in Space Systems Group of $34,300. Defense Systems Group had sales to Vista Outdoor for the period from Distribution to March 31, 2015 of $18,928, in conjunction with two supply agreements. Sales to Sporting Group were previously reported as intercompany sales and eliminated in consolidation and totaled $170,818 for the period April 1, 2014 through February 8, 2015, $273,246 for fiscal 2014 and $143,122 for fiscal 2013. | |||||||||||||||||||||
During fiscal 2014, the Company's Defense Systems Group recorded sales and EBIT of $27,400 in the fourth quarter for a pension segment close out associated with the Radford facility contract which ended in fiscal 2013. | |||||||||||||||||||||
During fiscal 2013, the Company lost the Radford facility contract and the associated revenue and profit in Defense Systems Group. | |||||||||||||||||||||
Certain administrative functions are primarily managed by the Company at the corporate headquarters ("Corporate"). Some examples of such functions are human resources, pension and postretirement benefits, corporate accounting, legal, tax and treasury. Significant assets and liabilities managed at Corporate include those associated with debt, restructuring, pension and postretirement benefits, environmental liabilities, litigation liabilities, strategic growth costs and income taxes. | |||||||||||||||||||||
Costs related to the administrative functions managed by Corporate are either recorded at Corporate or allocated to the business units based on the nature of the expense. The difference between pension and postretirement benefit expense calculated under Financial Accounting Standards and the expense calculated under U.S. Cost Accounting Standards is recorded at the corporate level which provides for greater clarity on the operating results of the business segments. Administrative expenses such as corporate accounting, legal and treasury costs are allocated out to the business segments. Environmental expenses are allocated to each segment based on the origin of the underlying environmental cost. Transactions between segments are recorded at the segment level, consistent with the Company's financial accounting policies. Intercompany balances and transactions involving different segments are eliminated at the Company's consolidated financial statements level and are shown above in Corporate. The amortization expense related to purchase accounting attributed to the acquisition of Orbital is also recorded in Corporate |
Quarterly_Financial_Data_Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Quarterly Financial Data (Unaudited) | |||||||||||||||||
Fiscal 2014 Quarter Ended | |||||||||||||||||
30-Jun | 29-Sep | 29-Dec | 31-Mar | ||||||||||||||
Sales | $ | 722,763 | $ | 724,534 | $ | 686,526 | $ | 791,414 | |||||||||
Gross profit | 158,082 | 163,835 | 147,576 | 177,805 | |||||||||||||
Income from continuing operations | 41,066 | 52,741 | 26,851 | 38,794 | |||||||||||||
Income from discontinued operations | 30,968 | 39,849 | 53,435 | 57,211 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | 72,034 | 92,590 | 80,286 | 96,005 | |||||||||||||
Basic earnings per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 1.29 | $ | 1.65 | $ | 0.84 | $ | 1.23 | |||||||||
Discontinued operations | 0.98 | 1.25 | 1.69 | 1.81 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.27 | $ | 2.9 | $ | 2.53 | $ | 3.04 | |||||||||
Diluted earnings per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 1.26 | $ | 1.64 | $ | 0.83 | $ | 1.17 | |||||||||
Discontinued operations | 0.96 | 1.24 | 1.65 | 1.73 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.22 | $ | 2.88 | $ | 2.48 | $ | 2.9 | |||||||||
Cash dividends per common share: | |||||||||||||||||
Declared | $ | 0.26 | $ | 0.26 | $ | 0.26 | $ | 0.32 | |||||||||
Paid | 0.26 | 0.26 | 0.26 | 0.32 | |||||||||||||
_____________________________________ | |||||||||||||||||
-1 | Quarterly earnings (loss) per common share amounts may not total to annual earnings per common share amounts because quarterly and annual earnings per share are calculated separately based on basic and diluted weighted-average common shares outstanding during the respective periods. | ||||||||||||||||
During the second quarter of fiscal 2015, the Company retired its 3.00% Convertible Senior Subordinated Notes due 2024 for $354,000 in cash for $199,440 in principal amount. The amount paid in excess of the principal balance was recorded as a reduction to additional paid in capital of approximately $154,000 in the second quarter. Additionally, the Company exercised an option under the terms of the Senior Credit Facility, to increase the Term A Loan due 2019 by $150,000 (the "Accordion"). The Company used the proceeds of the Accordion to partially finance the tender offer of the 3.00% Convertible Senior Subordinated Notes due 2024, and to repay $50,000 of the outstanding Term B Loan due 2020. | |||||||||||||||||
During the fourth quarter of fiscal 2015, the Company completed the previously announced Distribution and Merger pursuant to its transaction agreement, dated April 28, 2014. As a result of the Distribution, Sporting Group is presented as discontinued operations for all periods presented. In conjunction with the transactions, the Company incurred $34,900 in closing costs and transaction fees and redeemed its 6.875% Senior Subordinated Notes due 2020 for $350,000 plus a make-whole premium of $22,904. The redemption necessitated the write-off of the remaining $3,722 of deferred debt issuance costs, which along with the make-whole premium are reported in Loss on extinguishment of debt. Also in conjunction with the transactions, the Company acquired Orbital Sciences for $1,757,977 net of cash acquired, by issuing approximately 27.4 million shares of common stock as consideration. The results of continuing operations include the results of Orbital from the date of the Merger. | |||||||||||||||||
During the first quarter of fiscal 2014, the Company acquired Savage for $315,000. | |||||||||||||||||
During the third quarter of fiscal 2014, the Company acquired Bushnell for $989,066. In addition the Company entered into the 2013 Senior Credit Facility, which replaced its 2010 Senior Credit Facility and issued the 5.25% Notes for a total of $1,560,000. | |||||||||||||||||
During the fourth quarter of fiscal 2014, the Company recorded sales and EBIT of $27,400 for a pension segment close-out associated with the Radford facility contract which ended in fiscal 2013. |
Subsequent_Events_Subsequent_E
Subsequent Events Subsequent Events | 12 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events |
None. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||||||||||
Accounting Policies [Abstract] | ||||||||||||||||||||||||||||||||||||||||
Fiscal Year | Fiscal Year. References in this report to a particular fiscal year refer to the year ended March 31 of that calendar year. The Company's interim quarterly periods are based on 13-week periods and end on Sundays. | |||||||||||||||||||||||||||||||||||||||
Use of Estimates | Use of Estimates. The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect amounts reported therein. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may differ from those estimates. | |||||||||||||||||||||||||||||||||||||||
Revenue Recognition | Revenue Recognition. The Company's sales come primarily from contracts with agencies of the U.S. Government and its prime contractors and subcontractors. The various U.S. Government customers, including the U.S. Army, U.S. Navy, NASA, and the U.S. Air Force, make independent purchasing decisions. Consequently, each agency is regarded as a separate customer. | |||||||||||||||||||||||||||||||||||||||
Sales by customer were as follows: | ||||||||||||||||||||||||||||||||||||||||
Percent of Sales For Years Ending March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Sales to: | ||||||||||||||||||||||||||||||||||||||||
U.S. Army | 27 | % | 33 | % | 38 | % | ||||||||||||||||||||||||||||||||||
U.S. Navy | 15 | % | 16 | % | 16 | % | ||||||||||||||||||||||||||||||||||
NASA | 13 | % | 14 | % | 14 | % | ||||||||||||||||||||||||||||||||||
U.S. Air Force | 6 | % | 7 | % | 9 | % | ||||||||||||||||||||||||||||||||||
Other U.S. Government customers | 14 | % | 14 | % | 10 | % | ||||||||||||||||||||||||||||||||||
Total U.S. Government customers | 75 | % | 84 | % | 87 | % | ||||||||||||||||||||||||||||||||||
Commercial and foreign customers | 25 | % | 16 | % | 13 | % | ||||||||||||||||||||||||||||||||||
Total | 100 | % | 100 | % | 100 | % | ||||||||||||||||||||||||||||||||||
Long-term Contracts—The majority of the Company's sales are accounted for as long-term contracts. Sales under long-term contracts are accounted for under the percentage-of-completion method and include cost-plus and fixed-price contracts. Sales under cost-plus contracts are recognized as costs are incurred. Sales under fixed-price contracts are either recognized as the actual cost of work performed relates to the estimate at completion ("cost-to-cost") or based on results achieved, which usually coincides with customer acceptance ("units-of-delivery"). The majority of the Company's total revenue is accounted for using the cost-to-cost method of accounting. | ||||||||||||||||||||||||||||||||||||||||
Profits expected to be realized on contracts are based on management's estimates of total contract sales value and costs at completion. Estimated amounts for contract changes, including scope and claims, are included in contract sales only when realization is probable. Assumptions used for recording sales and earnings are modified in the period of change to reflect revisions in contract value and estimated costs. In the period in which it is determined that a loss will be incurred on a contract, the entire amount of the estimated gross margin loss is charged to cost of sales. Changes in estimates of contract sales, costs, or profits are recognized using the cumulative catch-up method of accounting. This method recognizes in the current period the cumulative effect of the changes on current or prior periods. The effect of the changes on future periods of contract performance is recognized as if the revised estimate had been used since contract inception. | ||||||||||||||||||||||||||||||||||||||||
Changes in contract estimates occur for a variety of reasons including changes in contract scope, unforeseen changes in contract cost estimates due to unanticipated cost growth or risks affecting contract costs and/or the resolution of contract risks at lower costs than anticipated, as well as changes in contract overhead costs over the performance period. Changes in estimates could have a material effect on the company's consolidated financial position or annual results of operations. Aggregate net changes in contract estimates recognized using the cumulative catch-up method of accounting increased operating income by $87,005 in fiscal 2015, $83,346 in fiscal 2014, and $93,377 in fiscal 2013. The adjustments recorded during fiscal 2015 were primarily driven by higher profit expectations in the Defense Electronics, Armament Systems, Missile Products, Propulsion Systems and Small Caliber Systems divisions due to contract terminations and closeouts. | ||||||||||||||||||||||||||||||||||||||||
The prior year adjustments were primarily driven by higher profit expectations of $41,357 in the Small Caliber Systems division due to operational efficiencies, a successful in-sourcing initiative, and reduced operational risk as a contract nears completion, and for programs in Propulsion Systems. As a result of a pension closeout settlement, the difference between pension and postretirement benefit expense calculated under Financial Accounting Standards ("FAS") and the expense calculated under U.S. Cost Accounting Standards ("CAS") for the Radford facility management contract resulted in Corporate recording income of $28,986 which was excluded from the increase in operating income resulting from the cumulative catch-up method of accounting. | ||||||||||||||||||||||||||||||||||||||||
Contracts may contain provisions to earn incentive and award fees if specified targets are achieved as well as penalty provisions related to performance. Incentive and award fees and penalties that can be reasonably estimated and are probable are recorded over the performance period of the contract. Incentive and award fees that cannot be reasonably estimated are recorded when awarded. | ||||||||||||||||||||||||||||||||||||||||
Other —Sales not recognized under the long-term contract method are recognized when persuasive evidence of an arrangement exists, the product has been delivered and legal title and all risks of ownership have been transferred, written contract and sales terms are complete, customer acceptance has occurred, and payment is reasonably assured. Sales are reduced for allowances and price discounts. | ||||||||||||||||||||||||||||||||||||||||
Operating Expenses | Operating Expenses. Research and development, selling and general and administrative costs are expensed in the year incurred. Research and development costs include costs incurred for experimentation and design testing. Selling costs include bid and proposal efforts related to products and services. Costs that are incurred pursuant to contractual arrangements are recorded over the period that revenue is recognized, consistent with the Company's contract accounting policy. | |||||||||||||||||||||||||||||||||||||||
Environmental Remediation and Compliance | Environmental Remediation and Compliance. Costs associated with environmental compliance, restoration, and preventing future contamination that are estimable and probable are accrued and expensed, or capitalized as appropriate. Expected remediation, restoration, and monitoring costs relating to an existing condition caused by past operations, and which do not contribute to current or future revenue generation, are accrued and expensed in the period that such costs become estimable. Liabilities are recognized for remedial and resource restoration activities when they are probable and the cost can be reasonably estimated. The Company expects that a portion of its environmental remediation costs will be recoverable under U.S. Government contracts and has recorded a receivable equal to the present value of the amounts the Company expects to recover. | |||||||||||||||||||||||||||||||||||||||
The Company's engineering, financial, and legal specialists estimate, based on current law and existing technologies, the cost of each environmental liability. Such estimates are based primarily upon the estimated cost of investigation and remediation required and the likelihood that other potentially responsible parties ("PRPs") will be able to fulfill their commitments at the sites where the Company may be jointly and severally liable. The Company's estimates for environmental obligations are dependent on, and affected by, the nature and extent of historical information and physical data relating to a contaminated site, the complexity of the site, methods of remediation available, the technology that will be required, the outcome of discussions with regulatory agencies and other PRPs at multi-party sites, the number and financial viability of other PRPs, changes in environmental laws and regulations, future technological developments, and the timing of expenditures; accordingly, the Company periodically evaluates and revises such estimates based on expenditures against established reserves and the availability of additional information. | ||||||||||||||||||||||||||||||||||||||||
Cash Equivalents | Cash Equivalents. Cash equivalents are all highly liquid cash investments purchased with original maturities of 3 months or less. | |||||||||||||||||||||||||||||||||||||||
Marketable Securities | Marketable Securities. Investments in a common collective trust that primarily invests in fixed income securities are classified as available-for-sale securities and are recorded at fair value within other current assets and deferred charges and other noncurrent assets on the consolidated balance sheet. Unrealized gains and losses are recorded in other comprehensive (loss) income ("OCI"). When such investments are sold, the unrealized gains or losses are reversed from OCI and recognized in the consolidated income statement. | |||||||||||||||||||||||||||||||||||||||
Inventories | Net Inventories. Inventories are stated at the lower of cost or market. Inventoried costs relating to contracts in progress are stated at actual production costs, including factory overhead, initial tooling, and other related costs incurred to date, reduced by amounts associated with recognized sales. Recorded amounts for raw materials, work in process and finished goods are generally determined using the standard costing method. | |||||||||||||||||||||||||||||||||||||||
Inventories consist of the following: | ||||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Raw materials | $ | 69,112 | $ | 34,219 | ||||||||||||||||||||||||||||||||||||
Work/contracts in process | 126,038 | 90,468 | ||||||||||||||||||||||||||||||||||||||
Finished goods | 964 | 9,703 | ||||||||||||||||||||||||||||||||||||||
Net inventories | $ | 196,114 | $ | 134,390 | ||||||||||||||||||||||||||||||||||||
Progress payments received from customers relating to the uncompleted portions of contracts are offset against unbilled receivable balances or applicable inventories. Any remaining progress payment balances are classified as contract advances. | ||||||||||||||||||||||||||||||||||||||||
Accounting for Goodwill and Identifiable Intangible Assets | Goodwill—The Company tests goodwill for impairment on the first day of its fourth fiscal quarter or upon the occurrence of events or changes in circumstances that indicate that the asset might be impaired. The Company determined that the reporting units for its goodwill impairment review are its operating segments, or components of an operating segment, that constitute a business for which discrete financial information is available, and for which segment management regularly reviews the operating results. | |||||||||||||||||||||||||||||||||||||||
The impairment test is performed using a two-step process. In the first step, the Company estimates the fair value of each reporting unit and compares it to the carrying value of the reporting unit, including goodwill. If the carrying amount of a reporting unit is higher than its fair value, an indication of goodwill impairment exists and the second step is performed in order to determine the amount of the goodwill impairment. In the second step, the Company determines the implied fair value of the reporting unit's goodwill which it determines by allocating the estimated fair value of the reporting unit in a manner similar to a purchase price allocation. The implied fair value is compared to the carrying amount and if the carrying amount of the reporting unit's goodwill exceeds the implied fair value of its goodwill, an impairment loss is recognized for the excess. | ||||||||||||||||||||||||||||||||||||||||
Identifiable Intangible Assets—the Company's primary identifiable intangible assets consist of contract backlog intangible assets recorded as part of the Orbital merger transaction, discussed in Note 4. Identifiable intangible assets with finite lives are amortized and evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. Identifiable intangibles with indefinite lives are not amortized and are tested for impairment annually on the first day of the Company's fourth fiscal quarter, or more frequently if events warrant. | ||||||||||||||||||||||||||||||||||||||||
Dividends Payable | Dividends Payable. On March 11, 2015, the Board of Directors declared a quarterly cash dividend of $0.26 per share. The dividend will be paid June 25, 2015 to stockholders of record as of June 8, 2015. | |||||||||||||||||||||||||||||||||||||||
Stock-Based Compensation | Stock-based Compensation. The Company's stock-based compensation plans, which are described more fully in Note 14, provide for the grant of various types of stock-based incentive awards, including performance awards, total stockholder return performance awards ("TSR awards"), restricted stock, and options to purchase common stock. The types and mix of stock-based incentive awards are evaluated on an ongoing basis and may vary based on the Company's overall strategy regarding compensation, including consideration of the impact of expensing stock awards on the Company's results of operations. | |||||||||||||||||||||||||||||||||||||||
Performance awards are valued at the fair value of the Company stock as of the grant date and expense is recognized based on the number of shares expected to vest under the terms of the award under which they are granted. The Company uses an integrated Monte Carlo simulation model to determine the fair value of the TSR awards and the calculated fair value is recognized in income over the vesting period. Restricted stock issued vests over periods ranging from 1 to 3 years and is valued based on the market value of the Company stock on the grant date. The estimated grant date fair value of stock options is recognized in income on a straight-line basis over the requisite service period, generally one to three years. The estimated fair value of each option is calculated using the Black-Scholes option-pricing model. See Note 14 for further details. | ||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes. Provisions for federal, state and foreign income taxes are calculated based on reported pre-tax earnings and current tax law. Such provisions differ from the amounts currently receivable or payable because certain items of income and expense are recognized in different time periods for financial reporting purposes than for income tax purposes. Significant judgment is required in determining income taxes and evaluating tax positions. The Company periodically assesses its liabilities and contingencies for all periods that are currently open to examination or have not been effectively settled based on the most current available information. Where it is not more likely than not that the Company's tax position will be sustained, the Company records the entire resulting tax liability and when it is more likely than not of being sustained, the Company records its best estimate of the resulting tax liability. Any applicable interest and penalties related to those positions are also recorded in the consolidated financial statements. To the extent the Company's assessment of the tax outcome of these matters changes, such change in estimate will impact income taxes in the period of the change. It is the Company's policy to record any interest and penalties related to income taxes as part of the income taxes for financial reporting purposes. Deferred tax assets related to carryforwards are reduced by a valuation allowance when it is not more likely than not that the amount will be realized before expiration of the carryforward period. As part of this analysis the Company takes into the account the amount and character of the income to determine if the carryforwards will be realized. Significant estimates and judgments are required for this analysis. Changes in the amounts of valuation allowance are recorded in tax expense in the period when the change occurs. | |||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities | Derivative Instruments and Hedging Activities. From time to time, the Company uses derivative instruments, consisting mainly of commodity forward contracts to hedge forecasted purchases of certain commodities, foreign currency exchange contracts to hedge forecasted transactions denominated in a foreign currency and interest rate swaps to manage interest rate risk on debt. The Company does not hold or issue derivatives for trading purposes. At the inception of each derivative instrument, the Company documents the relationship between the derivative instrument and the hedged item, as well as its risk-management objectives and strategy for undertaking the hedge transaction. The Company assesses, both at the derivative's inception and on an ongoing basis, whether the derivative instrument is highly effective in offsetting changes in the fair value of the hedged item. Derivatives are recognized on the balance sheet at fair value. The effective portion of changes in fair value of derivatives designated as cash flow hedges are recorded to accumulated OCI and recognized in earnings when the hedged item impacts earnings. The ineffective portion of derivatives designated as cash flow hedges and changes in fair value of derivative instruments not designated in a qualifying hedging relationship are reflected in current earnings. The Company's current derivatives are designated as cash flow hedges. See Note 3 for further details. | |||||||||||||||||||||||||||||||||||||||
Earnings Per Share Data | Earnings Per Share Data. Basic earnings per share ("EPS") is computed based upon the weighted-average number of common shares outstanding for each period. Diluted EPS is computed based on the weighted-average number of common shares and common equivalent shares outstanding for each period. Common equivalent shares represent the effect of stock-based awards (see Note 14) and contingently issuable shares related to the Company's Convertible Senior Subordinated Notes (see Note 9) during each period presented, which, if exercised, earned, or converted, would have a dilutive effect on earnings per share. | |||||||||||||||||||||||||||||||||||||||
In computing EPS for fiscal years 2015, 2014 and 2013, earnings, as reported for each respective period, was divided by weighted-average shares outstanding, determined as follows (in thousands): | ||||||||||||||||||||||||||||||||||||||||
Years Ended March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Basic | 35,469 | 31,671 | 32,447 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of stock-based awards | 377 | 376 | 161 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of contingently issuable shares | 294 | 676 | — | |||||||||||||||||||||||||||||||||||||
Diluted | 36,140 | 32,723 | 32,608 | |||||||||||||||||||||||||||||||||||||
Anti-dilutive stock options excluded from the calculation of diluted earnings per share | 73 | 45 | 5 | |||||||||||||||||||||||||||||||||||||
As discussed further in Note 9, contingently issuable shares related to the Company's convertible senior subordinated notes are not included in diluted EPS for 2013 because the Company's average stock price during the period did not exceed the triggering price. | ||||||||||||||||||||||||||||||||||||||||
Comprehensive Income | Accumulated Other Comprehensive Income (Loss). | |||||||||||||||||||||||||||||||||||||||
The components of Accumulated other comprehensive income (loss) ("AOCI"), net of income taxes, were as follows: | ||||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | $ | (2,073 | ) | $ | (5,022 | ) | ||||||||||||||||||||||||||||||||||
Pension and other postretirement benefits | (846,645 | ) | (675,114 | ) | ||||||||||||||||||||||||||||||||||||
Cumulative translation adjustment | — | (1,505 | ) | |||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 1,070 | 832 | ||||||||||||||||||||||||||||||||||||||
Total accumulated other comprehensive loss | $ | (847,648 | ) | $ | (680,809 | ) | ||||||||||||||||||||||||||||||||||
The following table summarizes the changes in the balance of AOCI, net of income taxes: | ||||||||||||||||||||||||||||||||||||||||
Year Ended March 31, 2015 | Year Ended March 31, 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | |||||||||||||||||||||||||||||||
Beginning of period unrealized gain (loss) in AOCI | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | $ | (2,192 | ) | $ | (826,898 | ) | $ | 786 | $ | — | $ | (828,304 | ) | |||||||||||||
Net decrease in fair value of derivatives | (8,097 | ) | — | — | — | (8,097 | ) | (8,681 | ) | — | — | — | (8,681 | ) | ||||||||||||||||||||||||||
Net losses reclassified from AOCI, offsetting the price paid to suppliers (1) | 11,046 | — | — | — | 11,046 | 4,852 | — | — | — | 4,852 | ||||||||||||||||||||||||||||||
Net losses reclassified from AOCI, due to ineffectiveness (1) | — | — | — | — | — | 999 | — | — | — | 999 | ||||||||||||||||||||||||||||||
Net actuarial losses reclassified from AOCI (2) | — | 13,841 | — | — | 13,841 | — | 91,387 | — | — | 91,387 | ||||||||||||||||||||||||||||||
Prior service costs reclassified from AOCI (2) | — | (18,906 | ) | — | — | (18,906 | ) | — | (18,125 | ) | — | — | (18,125 | ) | ||||||||||||||||||||||||||
Valuation adjustment for pension and postretirement benefit plans (2) | — | (224,389 | ) | — | — | (224,389 | ) | — | 78,522 | — | — | 78,522 | ||||||||||||||||||||||||||||
Net change in cumulative translation adjustment | — | — | — | (36,796 | ) | (36,796 | ) | — | — | — | (1,505 | ) | (1,505 | ) | ||||||||||||||||||||||||||
Other | — | — | 238 | — | 238 | — | — | 46 | — | 46 | ||||||||||||||||||||||||||||||
Distribution of Sporting (3) | — | 57,923 | — | 38,301 | 96,224 | — | — | — | — | — | ||||||||||||||||||||||||||||||
End of period unrealized gain (loss) in AOCI | $ | (2,073 | ) | $ | (846,645 | ) | $ | 1,070 | $ | — | $ | (847,648 | ) | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | |||||||||||||
-1 | Amounts related to derivative instruments that were reclassified from AOCI and recorded as a component of cost of sales or interest expense for each period presented. | |||||||||||||||||||||||||||||||||||||||
-2 | Amounts related to pension and other postretirement benefits that were reclassified from AOCI and recorded as a component of net periodic benefit cost for each period presented (Note 10). | |||||||||||||||||||||||||||||||||||||||
-3 | Amounts related to Sporting Group prior the Distribution (Note 4). | |||||||||||||||||||||||||||||||||||||||
There was no ineffectiveness recognized in earnings for these contracts during any fiscal year presented. The Company expects that any unrealized gains and losses will be realized and reported in cost of sales as the cost of the commodities is included in cost of sales. Estimated and actual gains or losses will change as market prices change. | ||||||||||||||||||||||||||||||||||||||||
Fair Value of Nonfinancial Instruments | Fair Value of Non-financial Instruments. The carrying amounts of receivables, inventory, accounts payable, accrued liabilities and other current assets and liabilities, approximate fair values due to the short maturity of these instruments. See Note 2 for additional disclosure regarding fair value of financial instruments. | |||||||||||||||||||||||||||||||||||||||
New Accounting Pronouncements | New Accounting Pronouncements. In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09 Revenue from Contracts with Customers (Topic 606), which supersedes the revenue recognition requirements in Topic 605, Revenue Recognition, including most industry-specific revenue recognition guidance. This guidance is effective for periods beginning after December 15, 2016 and early application is not permitted. On April 1, 2015 the FASB voted in favor of proposing a one year delay of the effective date and to permit companies to voluntarily adopt the new standard as of the original effective date. The Company is in the process of evaluating the impact this standard will have on the Company. | |||||||||||||||||||||||||||||||||||||||
In February 2015, the FASB issued ASU No. 2015-02, "Amendments to the Consolidation Analysis." This update is intended to improve targeted areas of consolidation guidance by simplifying the consolidation evaluation process, and by placing more emphasis on risk of loss when determining a controlling financial interest. The provisions of this ASU are effective for interim and annual periods beginning after December 15, 2015. The Company is in the process of evaluating the impact this standard will have on the Company. | ||||||||||||||||||||||||||||||||||||||||
In April 2015, the FASB issued ASU No. 2015-03, "Simplifying the Presentation of Debt Issuance Costs." This ASU more closely aligns the treatment of debt issuance costs with debt discounts and premiums and requires debt issuance costs to be presented as a direct deduction from the carrying amount of the related debt. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015 and interim periods within those fiscal years. This ASU is not expected to have a significant impact on the Company's financial statements or disclosures. | ||||||||||||||||||||||||||||||||||||||||
Other new pronouncements issued but not effective for the Company until after March 31, 2015 are not expected to have a material impact on the Company's continuing financial position, results of operations, or liquidity. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||||||||||||||||||||||||||||||
Mar. 31, 2015 | ||||||||||||||||||||||||||||||||||||||||
Concentration risk | ||||||||||||||||||||||||||||||||||||||||
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | The following table summarizes the changes in the balance of AOCI, net of income taxes: | |||||||||||||||||||||||||||||||||||||||
Year Ended March 31, 2015 | Year Ended March 31, 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | Derivatives | Pension and Other Postretire-ment Benefits | Available-for-sale Securities | Cumulative Translation Adjustment | Total | |||||||||||||||||||||||||||||||
Beginning of period unrealized gain (loss) in AOCI | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | $ | (2,192 | ) | $ | (826,898 | ) | $ | 786 | $ | — | $ | (828,304 | ) | |||||||||||||
Net decrease in fair value of derivatives | (8,097 | ) | — | — | — | (8,097 | ) | (8,681 | ) | — | — | — | (8,681 | ) | ||||||||||||||||||||||||||
Net losses reclassified from AOCI, offsetting the price paid to suppliers (1) | 11,046 | — | — | — | 11,046 | 4,852 | — | — | — | 4,852 | ||||||||||||||||||||||||||||||
Net losses reclassified from AOCI, due to ineffectiveness (1) | — | — | — | — | — | 999 | — | — | — | 999 | ||||||||||||||||||||||||||||||
Net actuarial losses reclassified from AOCI (2) | — | 13,841 | — | — | 13,841 | — | 91,387 | — | — | 91,387 | ||||||||||||||||||||||||||||||
Prior service costs reclassified from AOCI (2) | — | (18,906 | ) | — | — | (18,906 | ) | — | (18,125 | ) | — | — | (18,125 | ) | ||||||||||||||||||||||||||
Valuation adjustment for pension and postretirement benefit plans (2) | — | (224,389 | ) | — | — | (224,389 | ) | — | 78,522 | — | — | 78,522 | ||||||||||||||||||||||||||||
Net change in cumulative translation adjustment | — | — | — | (36,796 | ) | (36,796 | ) | — | — | — | (1,505 | ) | (1,505 | ) | ||||||||||||||||||||||||||
Other | — | — | 238 | — | 238 | — | — | 46 | — | 46 | ||||||||||||||||||||||||||||||
Distribution of Sporting (3) | — | 57,923 | — | 38,301 | 96,224 | — | — | — | — | — | ||||||||||||||||||||||||||||||
End of period unrealized gain (loss) in AOCI | $ | (2,073 | ) | $ | (846,645 | ) | $ | 1,070 | $ | — | $ | (847,648 | ) | $ | (5,022 | ) | $ | (675,114 | ) | $ | 832 | $ | (1,505 | ) | $ | (680,809 | ) | |||||||||||||
-1 | Amounts related to derivative instruments that were reclassified from AOCI and recorded as a component of cost of sales or interest expense for each period presented. | |||||||||||||||||||||||||||||||||||||||
-2 | Amounts related to pension and other postretirement benefits that were reclassified from AOCI and recorded as a component of net periodic benefit cost for each period presented (Note 10). | |||||||||||||||||||||||||||||||||||||||
-3 | Amounts related to Sporting Group prior the Distribution (Note 4). | |||||||||||||||||||||||||||||||||||||||
Schedule of sales concentration | Fiscal 2015 sales by revenue recognition method were as follows: | |||||||||||||||||||||||||||||||||||||||
Percent of Sales | ||||||||||||||||||||||||||||||||||||||||
Sales recorded under: | ||||||||||||||||||||||||||||||||||||||||
Long-term contracts | 98 | % | ||||||||||||||||||||||||||||||||||||||
Other | 2 | % | ||||||||||||||||||||||||||||||||||||||
Total | 100 | % | ||||||||||||||||||||||||||||||||||||||
Schedule of classification of inventories | Inventories consist of the following: | |||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Raw materials | $ | 69,112 | $ | 34,219 | ||||||||||||||||||||||||||||||||||||
Work/contracts in process | 126,038 | 90,468 | ||||||||||||||||||||||||||||||||||||||
Finished goods | 964 | 9,703 | ||||||||||||||||||||||||||||||||||||||
Net inventories | $ | 196,114 | $ | 134,390 | ||||||||||||||||||||||||||||||||||||
Schedule of weighted-average outstanding shares used in calculation of basic earnings per share to diluted earnings per share | In computing EPS for fiscal years 2015, 2014 and 2013, earnings, as reported for each respective period, was divided by weighted-average shares outstanding, determined as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||
Years Ended March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Basic | 35,469 | 31,671 | 32,447 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of stock-based awards | 377 | 376 | 161 | |||||||||||||||||||||||||||||||||||||
Dilutive effect of contingently issuable shares | 294 | 676 | — | |||||||||||||||||||||||||||||||||||||
Diluted | 36,140 | 32,723 | 32,608 | |||||||||||||||||||||||||||||||||||||
Anti-dilutive stock options excluded from the calculation of diluted earnings per share | 73 | 45 | 5 | |||||||||||||||||||||||||||||||||||||
Schedule of components of accumulated OCI, net of income taxes | The components of Accumulated other comprehensive income (loss) ("AOCI"), net of income taxes, were as follows: | |||||||||||||||||||||||||||||||||||||||
March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | |||||||||||||||||||||||||||||||||||||||
Derivatives | $ | (2,073 | ) | $ | (5,022 | ) | ||||||||||||||||||||||||||||||||||
Pension and other postretirement benefits | (846,645 | ) | (675,114 | ) | ||||||||||||||||||||||||||||||||||||
Cumulative translation adjustment | — | (1,505 | ) | |||||||||||||||||||||||||||||||||||||
Available-for-sale securities | 1,070 | 832 | ||||||||||||||||||||||||||||||||||||||
Total accumulated other comprehensive loss | $ | (847,648 | ) | $ | (680,809 | ) | ||||||||||||||||||||||||||||||||||
Concentration risk by sales | Customer concentration | ||||||||||||||||||||||||||||||||||||||||
Concentration risk | ||||||||||||||||||||||||||||||||||||||||
Schedule of sales concentration | Sales by customer were as follows: | |||||||||||||||||||||||||||||||||||||||
Percent of Sales For Years Ending March 31 | ||||||||||||||||||||||||||||||||||||||||
2015 | 2014 | 2013 | ||||||||||||||||||||||||||||||||||||||
Sales to: | ||||||||||||||||||||||||||||||||||||||||
U.S. Army | 27 | % | 33 | % | 38 | % | ||||||||||||||||||||||||||||||||||
U.S. Navy | 15 | % | 16 | % | 16 | % | ||||||||||||||||||||||||||||||||||
NASA | 13 | % | 14 | % | 14 | % | ||||||||||||||||||||||||||||||||||
U.S. Air Force | 6 | % | 7 | % | 9 | % | ||||||||||||||||||||||||||||||||||
Other U.S. Government customers | 14 | % | 14 | % | 10 | % | ||||||||||||||||||||||||||||||||||
Total U.S. Government customers | 75 | % | 84 | % | 87 | % | ||||||||||||||||||||||||||||||||||
Commercial and foreign customers | 25 | % | 16 | % | 13 | % | ||||||||||||||||||||||||||||||||||
Total | 100 | % | 100 | % | 100 | % |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies Inventory reserve rollforward (Tables) | 12 Months Ended | |||
Mar. 31, 2015 | ||||
Valuation and Qualifying Accounts [Abstract] | ||||
ScheduleOfValuationAndQualifyingAccountsDisclosure | The following is a reconciliation of the changes in the Company's excess and obsolete inventory accounts during fiscal 2014 and 2015: | |||
Balance, April 1, 2013 | $ | (15,185 | ) | |
Expense | (3,149 | ) | ||
Write-offs | 381 | |||
Reversals and other adjustments | 4,696 | |||
Balance, March 31, 2014 | (13,257 | ) | ||
Expense | (993 | ) | ||
Write-offs | (652 | ) | ||
Reversals and other adjustments | (2,110 | ) | ||
Balance, March 31, 2015 | $ | (17,012 | ) |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||
Schedule of fair value of assets and liabilities measured on a recurring basis | The following table sets forth by level within the fair value hierarchy the Company's financial assets and liabilities that are measured at fair value on a recurring basis: | ||||||||||||||||
As of March 31, 2015 | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Inputs Considered as | |||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Assets: | |||||||||||||||||
Marketable securities | $ | — | $ | 10,327 | $ | — | |||||||||||
Derivatives | — | 7,823 | — | ||||||||||||||
Liabilities: | |||||||||||||||||
Derivatives | — | 11,137 | — | ||||||||||||||
As of March 31, 2014 | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
Using Inputs Considered as | |||||||||||||||||
Level 1 | Level 2 | Level 3 | |||||||||||||||
Assets: | |||||||||||||||||
Marketable securities | $ | — | $ | 10,130 | $ | — | |||||||||||
Derivatives | — | 328 | — | ||||||||||||||
Liabilities: | |||||||||||||||||
Derivatives | — | 8,459 | — | ||||||||||||||
Schedule of carrying values and estimated fair values of assets and liabilities that are not measured on a recurring basis | The following table presents the Company's assets and liabilities that are not measured at fair value on a recurring basis. The carrying values and estimated fair values were as follows: | ||||||||||||||||
As of March 31, 2015 | As of March 31, 2014 | ||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||
Amount | Value | Amount | Value | ||||||||||||||
Fixed rate debt | $ | 300,000 | $ | 306,000 | $ | 846,228 | $ | 1,062,078 | |||||||||
Variable rate debt | 1,288,501 | 1,283,539 | 1,246,750 | 1,247,062 | |||||||||||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||||||||||||
Schedule of outstanding commodity forward contracts | At March 31, 2015, the Company had the following outstanding foreign currency forward contracts in place: | ||||||||||||||||||
Quantity Hedged | |||||||||||||||||||
Euros Sold | 98,580,000 | ||||||||||||||||||
Euros Purchased | 33,353,979 | ||||||||||||||||||
As of March 31, 2015, the Company had the following outstanding commodity forward contracts that were entered into to hedge forecasted purchases: | |||||||||||||||||||
Number of | |||||||||||||||||||
Pounds | |||||||||||||||||||
Copper | 16,475,000 | ||||||||||||||||||
Zinc | 4,840,000 | ||||||||||||||||||
Schedule of fair value and location of derivative instruments designated as hedging instruments in the consolidated balance sheet | The table below presents the fair value and location of the Company's derivative instruments designated as hedging instruments in the consolidated balance sheet as of the periods presented. | ||||||||||||||||||
Asset Derivatives | Liability Derivatives | ||||||||||||||||||
Fair Value | Fair Value | ||||||||||||||||||
Location | 31-Mar-15 | 31-Mar-14 | 31-Mar-15 | 31-Mar-14 | |||||||||||||||
Commodity forward contracts | Other current assets / | $ | 1,054 | $ | — | $ | 899 | $ | 6,212 | ||||||||||
other current liabilities | |||||||||||||||||||
Commodity forward contracts | Deferred charges and | 271 | — | 2 | 176 | ||||||||||||||
other noncurrent assets / | |||||||||||||||||||
other noncurrent liabilities | |||||||||||||||||||
Foreign currency forward contracts | Other current assets / | 2,664 | — | 5,101 | — | ||||||||||||||
other accrued liabilities | |||||||||||||||||||
Foreign currency forward contracts | Deferred charges and | 3,834 | — | 897 | — | ||||||||||||||
other non-current | |||||||||||||||||||
assets / other long-term liabilities | |||||||||||||||||||
Interest rate contracts | Deferred charges and | — | 328 | 4,238 | 2,071 | ||||||||||||||
other noncurrent assets / | |||||||||||||||||||
other noncurrent liabilities | |||||||||||||||||||
Total | $ | 7,823 | $ | 328 | $ | 11,137 | $ | 8,459 | |||||||||||
Schedule of derivative gains and losses in the consolidated income statements related to commodity forward contracts and foreign currency forward contracts | For the periods presented below, the derivative gains and losses in the consolidated income statements related to commodity forward contracts and foreign currency forward contracts were as follows: | ||||||||||||||||||
Gain (Loss) Reclassified from | Gain (Loss) Recognized in Income | ||||||||||||||||||
AOCI | (ineffective portion and amount excluded from effectiveness testing) | ||||||||||||||||||
Location | Amount | Location | Amount | ||||||||||||||||
Fiscal year ended March 31, 2015 | |||||||||||||||||||
Commodity forward contracts | Cost of sales | $ | (5,515 | ) | Cost of sales | $ | — | ||||||||||||
Interest rate contracts | Interest expense | (4,020 | ) | Interest expense | — | ||||||||||||||
Foreign currency forward contracts | Cost of sales | (9,182 | ) | Cost of sales | — | ||||||||||||||
Fiscal year ended March 31, 2014 | |||||||||||||||||||
Commodity forward contracts | Cost of sales | (6,355 | ) | Cost of sales | — | ||||||||||||||
Interest rate contracts | Interest expense | (1,900 | ) | Interest expense | — | ||||||||||||||
Foreign currency forward contracts | Cost of sales | — | Cost of sales | — | |||||||||||||||
Mergers_Acquisitions_and_Dives1
Mergers, Acquisitions and Divestiture Nonrecurring adjustments (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Business Combinations [Abstract] | |||||||||
Disposal Groups, Including Discontinued Operations [Table Text Block] | Assets and liabilities of discontinued operations consisted of the following: | ||||||||
31-Mar-14 | |||||||||
Net receivables | $ | 298,146 | |||||||
Net inventories | 423,860 | ||||||||
Deferred income taxes | 50,298 | ||||||||
Other current assets | 25,949 | ||||||||
Current assets of discontinued operations | $ | 798,253 | |||||||
Property, plant and equipment | $ | 189,096 | |||||||
Goodwill | 873,458 | ||||||||
Intangibles | 567,380 | ||||||||
Other noncurrent assets | 6,069 | ||||||||
Noncurrent assets of discontinued operations | $ | 1,636,003 | |||||||
Accounts payable | $ | 181,560 | |||||||
Other current liabilities | 145,328 | ||||||||
Current liabilities of discontinued operations | $ | 326,888 | |||||||
Deferred income taxes | $ | 204,146 | |||||||
Other noncurrent liabilities | 55,972 | ||||||||
Noncurrent liabilities of discontinued operations | $ | 260,118 | |||||||
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | The following table summarizes the preliminary fair value of the assets acquired and liabilities assumed at the Merger date and the preliminary goodwill generated from the transaction: | ||||||||
Purchase Price: | |||||||||
Value of common shares issued to Orbital shareholders (1) | $ | 1,749,323 | |||||||
Value of replacement equity-based awards to holders of Orbital equity-based awards (2) | 8,654 | ||||||||
Total purchase price | $ | 1,757,977 | |||||||
Preliminary value of assets acquired and liabilities assumed: | |||||||||
Cash | $ | 253,734 | |||||||
Net receivables | 562,639 | ||||||||
Net inventories | 75,294 | ||||||||
Intangibles | 164,000 | ||||||||
Property, plant and equipment | 281,654 | ||||||||
Other assets | 36,878 | ||||||||
Goodwill | 866,106 | ||||||||
Accounts payable | (52,028 | ) | |||||||
Deferred tax liabilities, net | (51,537 | ) | |||||||
Other liabilities | (378,763 | ) | |||||||
Total purchase price | $ | 1,757,977 | |||||||
__________________________________ | |||||||||
-1 | Equals 27.4 million Orbital ATK shares issued to Orbital shareholders multiplied by the Company's Merger-date share price of $63.94. | ||||||||
-2 | The fair value of replacement equity-based awards attributable to pre-Merger service was recorded as part of the consideration transferred in the Merger. | ||||||||
Business Acquisition, Pro Forma Information [Table Text Block] | The following unaudited supplemental pro forma data for the years ended March 31, 2015 and March 31, 2014 present consolidated information as if the Merger had been completed on April 1, 2013. The pro forma results were calculated by combining the results from continuing operations of the Company with the stand-alone results of Orbital for the pre-Merger periods, which were adjusted to eliminate historical sales between the companies and to account for certain costs which would have been incurred during this pre-Merger period: | ||||||||
Years Ended | |||||||||
March 31, 2015 | March 31, 2014 | ||||||||
Sales | $ | 4,229,036 | $ | 4,200,154 | |||||
Income from continuing operations | 162,452 | 167,034 | |||||||
Basic earnings per common share from continuing operations | $ | 2.59 | $ | 2.83 | |||||
Diluted earnings per common share from continuing operations | $ | 2.55 | $ | 2.77 | |||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustments [Table Text Block] | The unaudited supplemental pro forma data above includes the following significant adjustments made to account for certain costs which would have been incurred if the Merger had been completed on April 1, 2013, as adjusted for the applicable income tax impact: | ||||||||
Years Ended | |||||||||
March 31, 2015 | March 31, 2014 | ||||||||
Amortization of acquired Orbital intangible assets (1) | $ | 27,215 | $ | 31,116 | |||||
Interest expense adjustment (2) | (25,678 | ) | (19,237 | ) | |||||
Transaction fees for advisory, legal and accounting services (3) | (37,119 | ) | 37,119 | ||||||
(1) Added the amortization of acquired Orbital intangible assets recognized at fair value in purchase accounting and eliminated historical Orbital intangible asset amortization expense. | |||||||||
(2) Reduced interest expense for the net reduction in debt of the Company and Orbital. | |||||||||
(3) Added transaction fees for advisory, legal and accounting services to the first quarter of fiscal 2014. Costs were recorded in general and administrative expense. |
Net_Receivables_Tables
Net Receivables (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Receivables [Abstract] | |||||||||
Schedule of receivables, including amounts due under long-term contracts (contract receivables) | Net receivables, including amounts due under long-term contracts consisted of the following: | ||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Billed receivables | |||||||||
U.S. Government contracts | $ | 186,430 | $ | 134,203 | |||||
Commercial and other | 91,601 | 66,722 | |||||||
Unbilled receivables | |||||||||
U.S. Government contracts | 960,185 | 517,861 | |||||||
Commercial and other | 560,032 | 461,779 | |||||||
Less allowance for doubtful accounts | (4,692 | ) | (4,891 | ) | |||||
Net receivables | $ | 1,793,556 | $ | 1,175,674 | |||||
Schedule of reconciliation of changes in ATK's allowance for doubtful accounts | The following is a reconciliation of the changes in the Company's allowance for doubtful accounts during fiscal 2014 and 2015: | ||||||||
Balance, April 1, 2013 | $ | 4,801 | |||||||
Expense | 609 | ||||||||
Write-offs | (626 | ) | |||||||
Reversals and other adjustments | 107 | ||||||||
Balance, March 31, 2014 | 4,891 | ||||||||
Expense | 599 | ||||||||
Write-offs | (17 | ) | |||||||
Reversals and other adjustments | (781 | ) | |||||||
Balance, March 31, 2015 | $ | 4,692 | |||||||
Property_Plant_and_Equipment_T
Property, Plant, and Equipment (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Property, Plant and Equipment [Abstract] | |||||||||
Schedule of property, plant and equipment | Property, plant and equipment consisted of the following: | ||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Land | $ | 41,597 | $ | 31,239 | |||||
Buildings and improvements | 344,140 | 291,811 | |||||||
Machinery and equipment | 1,312,073 | 1,019,403 | |||||||
Property not yet in service | 58,346 | 60,575 | |||||||
Gross property, plant and equipment | 1,756,156 | 1,403,028 | |||||||
Less accumulated depreciation | (949,099 | ) | (894,573 | ) | |||||
Net property, plant and equipment | $ | 807,057 | $ | 508,455 | |||||
Goodwill_Net_Intangibles_and_D1
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Goodwill and Deferred Charges and Other Non-Current Assets | |||||||||||||||||||||||||
Schedule of carrying amount of goodwill by operating segment | The changes in the carrying amount of goodwill by segment were as follows: | ||||||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Total | ||||||||||||||||||||||
Balance, April 1, 2013 | $ | 530,869 | $ | 366,947 | $ | 145,647 | $ | 1,043,463 | |||||||||||||||||
No change | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2014 | 530,869 | 366,947 | 145,647 | 1,043,463 | |||||||||||||||||||||
Merger | 268,493 | — | 597,613 | 866,106 | |||||||||||||||||||||
Impairment | — | — | (34,300 | ) | (34,300 | ) | |||||||||||||||||||
Balance, March 31, 2015 | $ | 799,362 | $ | 366,947 | $ | 708,960 | $ | 1,875,269 | |||||||||||||||||
Schedule of deferred charges and other non-current assets | Deferred charges and other noncurrent assets consist of the following: | ||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Gross debt issuance costs | $ | 22,280 | $ | 28,356 | |||||||||||||||||||||
Less accumulated amortization | (5,712 | ) | (4,084 | ) | |||||||||||||||||||||
Net debt issuance costs | 16,568 | 24,272 | |||||||||||||||||||||||
Parts inventory | 9,973 | 10,921 | |||||||||||||||||||||||
Environmental remediation receivable | 23,771 | 22,128 | |||||||||||||||||||||||
Derivative contracts | 4,105 | 328 | |||||||||||||||||||||||
Other noncurrent assets | 73,225 | 53,508 | |||||||||||||||||||||||
Total deferred charges and other noncurrent assets | $ | 127,642 | $ | 111,157 | |||||||||||||||||||||
Schedule of amortizing assets | Net intangibles consisted of the following: | ||||||||||||||||||||||||
31-Mar-15 | 31-Mar-14 | ||||||||||||||||||||||||
Gross | Accumulated | Total | Gross | Accumulated | Total | ||||||||||||||||||||
Carrying | Amortization | Carrying | Amortization | ||||||||||||||||||||||
Amount | Amount | ||||||||||||||||||||||||
Amortizing intangibles: | |||||||||||||||||||||||||
Contract Backlog | $ | 164,000 | $ | (6,167 | ) | $ | 157,833 | $ | — | $ | — | $ | — | ||||||||||||
Patented technology | 10,700 | (5,350 | ) | 5,350 | 10,700 | (4,280 | ) | 6,420 | |||||||||||||||||
Customer relationships and other | 24,294 | (22,270 | ) | 2,024 | 24,294 | (20,244 | ) | 4,050 | |||||||||||||||||
Total amortizing intangibles | $ | 198,994 | $ | (33,787 | ) | $ | 165,207 | $ | 34,994 | $ | (24,524 | ) | $ | 10,470 | |||||||||||
Schedule of expected future amortization expense | The Company expects amortization expense related to these assets to be as follows: | ||||||||||||||||||||||||
Contract Backlog | Patents and Customer Relationships | Total | |||||||||||||||||||||||
Fiscal 2016 | $ | 49,333 | $ | 3,095 | $ | 52,428 | |||||||||||||||||||
Fiscal 2017 | 49,333 | 1,070 | 50,403 | ||||||||||||||||||||||
Fiscal 2018 | 43,833 | 1,070 | 44,903 | ||||||||||||||||||||||
Fiscal 2019 | 5,333 | 1,070 | 6,403 | ||||||||||||||||||||||
Fiscal 2020 | 5,333 | 1,069 | 6,402 | ||||||||||||||||||||||
Thereafter | 4,668 | — | 4,668 | ||||||||||||||||||||||
Total | $ | 157,833 | $ | 7,374 | $ | 165,207 | |||||||||||||||||||
Other_Current_and_Noncurrent_L1
Other Current and Noncurrent Liabilities (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Other Liabilities Disclosure [Abstract] | |||||||||
Schedule of major categories of other current and long-term accrued liabilities | Other current and noncurrent liabilities consisted of the following: | ||||||||
March 31 | |||||||||
2015 | 2014 | ||||||||
Other current liabilities: | |||||||||
Employee benefits and insurance, including pension and other postretirement benefits | $ | 53,588 | $ | 51,338 | |||||
Deferred lease obligation | 30,857 | 26,257 | |||||||
Warranty | 9,555 | 11,866 | |||||||
Interest | 7,801 | 8,341 | |||||||
Other | 110,827 | 117,988 | |||||||
Total other current liabilities | $ | 212,628 | $ | 215,790 | |||||
Other noncurrent liabilities: | |||||||||
Environmental remediation | $ | 43,326 | $ | 44,417 | |||||
Income taxes | 34,415 | 4,603 | |||||||
Deferred lease obligation | 21,036 | 19,791 | |||||||
Management nonqualified deferred compensation plan | 14,853 | 17,043 | |||||||
Other | 52,165 | 17,876 | |||||||
Total noncurrent liabilities | $ | 165,795 | $ | 103,730 | |||||
Schedule of reconciliation of the changes in product warranty liability | The following is a reconciliation of the changes in the Company's product warranty liability during the periods presented: | ||||||||
Balance, April 1, 2013 | $ | 18,275 | |||||||
Payments made | (4,887 | ) | |||||||
Warranties issued | 390 | ||||||||
Changes related to preexisting warranties | (1,912 | ) | |||||||
Balance, March 31, 2014 | 11,866 | ||||||||
Payments made | 73 | ||||||||
Warranties issued | 414 | ||||||||
Changes related to preexisting warranties | (2,798 | ) | |||||||
Balance, March 31, 2015 | $ | 9,555 | |||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 12 Months Ended | |||||||||||||||
Mar. 31, 2015 | ||||||||||||||||
Debt Disclosure [Abstract] | ||||||||||||||||
Schedule of long-term debt, including the current portion | Long-term debt, including the current portion, consisted of the following: | |||||||||||||||
31-Mar-15 | 31-Mar-14 | |||||||||||||||
Senior Credit Facility: | ||||||||||||||||
Term A Loan due 2018 | $ | 946,875 | $ | 997,375 | ||||||||||||
Term A Loan due 2019 | 144,375 | — | ||||||||||||||
Term B Loan due 2020 | 197,251 | 249,375 | ||||||||||||||
Revolving Credit Facility due 2018 | — | — | ||||||||||||||
5.25% Senior Notes due 2021 | 300,000 | 300,000 | ||||||||||||||
6.875% Senior Subordinated Notes due 2020 | — | 350,000 | ||||||||||||||
3.00% Convertible Senior Subordinated Notes due 2024 | — | 199,440 | ||||||||||||||
Principal amount of long-term debt | 1,588,501 | 2,096,190 | ||||||||||||||
Less: Unamortized discounts | — | 3,212 | ||||||||||||||
Carrying amount of long-term debt | 1,588,501 | 2,092,978 | ||||||||||||||
Less: Current portion of long-term debt | 59,997 | 249,228 | ||||||||||||||
Long-term debt | $ | 1,528,504 | $ | 1,843,750 | ||||||||||||
Schedule of debt and equity components of convertible notes | The following tables provide additional information about the 3.00% Convertible Notes as of March 31, 2014: | |||||||||||||||
31-Mar-14 | ||||||||||||||||
Carrying amount of the equity component | $ | 56,849 | ||||||||||||||
Principal amount of the liability component | $ | 199,440 | ||||||||||||||
Unamortized discount of liability component | 3,212 | |||||||||||||||
Net carrying amount of liability component | $ | 196,228 | ||||||||||||||
Remaining amortization period of discount (months) | 5 | |||||||||||||||
Effective interest rate on liability component | 7 | % | ||||||||||||||
Schedule of Interest Rate Derivatives [Table Text Block] | As of March 31, 2015, the Company had the following cash flow hedge interest rate swaps in place: | |||||||||||||||
Notional | Fair Value | Pay Fixed | Receive Floating | Maturity Date | ||||||||||||
Non-amortizing swap | $ | 100,000 | $ | (564 | ) | 0.87 | % | 0.18 | % | Aug-16 | ||||||
Non-amortizing swap | 100,000 | (1,183 | ) | 1.29 | % | 0.18 | % | Aug-17 | ||||||||
Non-amortizing swap | 100,000 | (2,128 | ) | 1.69 | % | 0.18 | % | Aug-18 | ||||||||
Non-amortizing swap | 50,000 | (60 | ) | 0.65 | % | 0.18 | % | Nov-16 | ||||||||
Non-amortizing swap | 50,000 | (303 | ) | 1.1 | % | 0.18 | % | Nov-17 | ||||||||
Schedule of minimum payments on outstanding long-term debt | The scheduled minimum loan payments on outstanding long-term debt for years ending March 31 are as follows: | |||||||||||||||
2016 | $ | 59,997 | ||||||||||||||
2017 | 59,997 | |||||||||||||||
2018 | 59,997 | |||||||||||||||
2019 | 919,248 | |||||||||||||||
2020 | 1,997 | |||||||||||||||
Thereafter | 487,265 | |||||||||||||||
Total | $ | 1,588,501 | ||||||||||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||||||||||
Schedule of change in benefit obligation and change in plan assets | The following table shows changes in the benefit obligation, plan assets and funded status of the Company's qualified and non-qualified pension plans and other PRB plans, including Orbital Plans. Benefit obligation balances presented below reflect the projected benefit obligation ("PBO") for pension plans and accumulated PRB obligations ("APBO") or other PRB plans. | ||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
Years Ended March 31 | Years Ended March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||||
Change in benefit obligation: | |||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 2,988,288 | $ | 3,079,793 | $ | 128,065 | $ | 143,528 | |||||||||||||||||
Service cost | 23,182 | 34,763 | 3 | 9 | |||||||||||||||||||||
Interest cost | 129,236 | 130,253 | 4,803 | 5,207 | |||||||||||||||||||||
Plan Amendments | — | (12,615 | ) | — | — | ||||||||||||||||||||
Actuarial loss (gain) (1) | 465,524 | (55,958 | ) | 12,255 | (8,953 | ) | |||||||||||||||||||
Retiree contributions | — | — | 4,729 | 5,306 | |||||||||||||||||||||
Benefits paid | (192,756 | ) | (187,948 | ) | (16,272 | ) | (17,032 | ) | |||||||||||||||||
Impact of Distribution | (223,790 | ) | — | (1,963 | ) | — | |||||||||||||||||||
Merger with Orbital Sciences | 9,537 | — | — | — | |||||||||||||||||||||
Benefit obligation at end of year | 3,199,221 | 2,988,288 | 131,620 | 128,065 | |||||||||||||||||||||
Change in plan assets: | |||||||||||||||||||||||||
Fair value of plan assets at beginning of year | 2,426,013 | 2,357,024 | 61,055 | 58,676 | |||||||||||||||||||||
Actual return on plan assets | 177,776 | 211,788 | 4,397 | 2,513 | |||||||||||||||||||||
Retiree contributions | — | — | 4,729 | 5,306 | |||||||||||||||||||||
Employer contributions | 87,150 | 45,149 | 9,769 | 11,592 | |||||||||||||||||||||
Benefits paid | (192,756 | ) | (187,948 | ) | (16,272 | ) | (17,032 | ) | |||||||||||||||||
Fair value of assets at February 9, 2015, to be transferred to Vista Outdoor | (163,034 | ) | — | — | — | ||||||||||||||||||||
Merger with Orbital Sciences | 13,646 | — | — | — | |||||||||||||||||||||
Fair value of plan assets at end of year | 2,348,795 | 2,426,013 | 63,678 | 61,055 | |||||||||||||||||||||
Funded status | $ | (850,426 | ) | $ | (562,275 | ) | $ | (67,942 | ) | $ | (67,010 | ) | |||||||||||||
-1 | The mortality table assumption was changed to the RP-2014 Aggregate table (employee and annuitant) with generational projection using Scale MP-2014 for the March 31, 2015 measurement date resulting in actuarial losses of $189,000 and $13,000 for the Pension Benefits and Other Postretirement Benefits, respectively. | ||||||||||||||||||||||||
Schedule of amounts recognized in the balance sheet | |||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
March 31 | March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||||||||||
Noncurrent assets | $ | 4,318 | $ | — | $ | — | $ | — | |||||||||||||||||
Other current liabilities | (3,743 | ) | (4,500 | ) | (3,436 | ) | (4,094 | ) | |||||||||||||||||
Postretirement and postemployment benefits | — | — | (64,506 | ) | (60,016 | ) | |||||||||||||||||||
Pension | (851,001 | ) | (525,775 | ) | — | — | |||||||||||||||||||
Current assets of discontinued operations | — | — | — | (142 | ) | ||||||||||||||||||||
Noncurrent assets of discontinued operations | — | (32,000 | ) | — | (2,758 | ) | |||||||||||||||||||
Net amount recognized | $ | (850,426 | ) | $ | (562,275 | ) | $ | (67,942 | ) | $ | (67,010 | ) | |||||||||||||
Accumulated other comprehensive loss (income) related to: | |||||||||||||||||||||||||
Unrecognized net actuarial losses | $ | 1,520,459 | $ | 1,291,756 | $ | 25,906 | $ | 16,903 | |||||||||||||||||
Unrecognized prior service benefits | (144,410 | ) | (176,030 | ) | (15,163 | ) | (26,031 | ) | |||||||||||||||||
Accumulated other comprehensive loss (income) | $ | 1,376,049 | $ | 1,115,726 | $ | 10,743 | $ | (9,128 | ) | ||||||||||||||||
Schedule of estimated amount that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in fiscal 2013 | The estimated amount that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in fiscal 2016 is as follows: | ||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||
Postretirement | |||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
Recognized net actuarial losses | $ | 150,759 | $ | 1,969 | |||||||||||||||||||||
Amortization of prior service benefits | (20,850 | ) | (7,253 | ) | |||||||||||||||||||||
Total | $ | 129,909 | $ | (5,284 | ) | ||||||||||||||||||||
Schedule of information for pension plans with an accumulated benefit obligation in excess of plan assets | The accumulated benefit obligation for all defined benefit pension plans was $3,197,143 as of March 31, 2015 and $2,985,605 as of March 31, 2014. | ||||||||||||||||||||||||
March 31 | |||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||
Information for pension plans with an accumulated benefit obligation in excess of plan assets: | |||||||||||||||||||||||||
Projected benefit obligation | $ | 3,189,805 | $ | 2,988,288 | |||||||||||||||||||||
Accumulated benefit obligation | 3,187,727 | 2,985,605 | |||||||||||||||||||||||
Fair value of plan assets | 2,335,060 | 2,426,013 | |||||||||||||||||||||||
Schedule of components of net periodic benefit cost | The components of net periodic benefit cost are as follows: | ||||||||||||||||||||||||
Pension Benefits | Other Postretirement Benefits | ||||||||||||||||||||||||
Years Ended March 31 | Years Ended March 31 | ||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Components of net periodic benefit cost: | |||||||||||||||||||||||||
Service cost | $ | 23,182 | $ | 34,763 | $ | 64,030 | $ | 3 | $ | 9 | $ | 3 | |||||||||||||
Interest cost | 129,236 | 130,253 | 144,603 | 4,803 | 5,207 | 6,493 | |||||||||||||||||||
Expected return on plan assets | (165,780 | ) | (161,111 | ) | (167,805 | ) | (3,553 | ) | (3,419 | ) | (3,253 | ) | |||||||||||||
Amortization of unrecognized net loss | 118,163 | 145,891 | 124,600 | 1,629 | 2,288 | 2,654 | |||||||||||||||||||
Amortization of unrecognized prior service cost | (22,284 | ) | (20,984 | ) | (391 | ) | (8,362 | ) | (8,381 | ) | (8,381 | ) | |||||||||||||
Net periodic benefit cost before special termination benefits cost / curtailment | 82,517 | 128,812 | 165,037 | (5,480 | ) | (4,296 | ) | (2,484 | ) | ||||||||||||||||
Special termination benefits cost / curtailment | 2,469 | — | 2,915 | — | — | — | |||||||||||||||||||
Net periodic benefit cost | $ | 84,986 | $ | 128,812 | $ | 167,952 | $ | (5,480 | ) | $ | (4,296 | ) | $ | (2,484 | ) | ||||||||||
Amounts reported in: | |||||||||||||||||||||||||
Continuing operations | $ | 81,038 | $ | 120,812 | $ | 156,952 | $ | (5,496 | ) | $ | (4,340 | ) | $ | (2,555 | ) | ||||||||||
Discontinued operations | 3,948 | 8,000 | 11,000 | 16 | 44 | 71 | |||||||||||||||||||
Net periodic benefit cost | $ | 84,986 | $ | 128,812 | $ | 167,952 | $ | (5,480 | ) | $ | (4,296 | ) | $ | (2,484 | ) | ||||||||||
Schedule of weighted average assumptions used to determine benefit obligations and net periodic benefit cost | |||||||||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations as of March 31 | |||||||||||||||||||||||||
Discount rate | 3.9 | % | 4.5 | % | 4.35 | % | 3.55 | % | 3.95 | % | 3.8 | % | |||||||||||||
Rate of compensation increase: | |||||||||||||||||||||||||
Union | 3.66 | % | 3.22 | % | 3.23 | % | |||||||||||||||||||
Salaried | 3.14 | % | 3.47 | % | 3.49 | % | |||||||||||||||||||
Pension Benefits | Other Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2015 | 2014 | 2013 | 2015 | 2014 | 2013 | ||||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for years ended March 31: | |||||||||||||||||||||||||
Discount rate | 4.5 | % | 4.35 | % | 4.9 | % | 3.95 | % | 3.8 | % | 4.4 | % | |||||||||||||
Expected long-term rate of return on plan assets | 7.25 | % | 7.25 | % | 7.5 | % | 5 | % | 5 | % | 5 | % | |||||||||||||
6.25 | % | 6.25 | % | 6.25 | % | ||||||||||||||||||||
Rate of compensation increase: | |||||||||||||||||||||||||
Union | 3.22 | % | 3.23 | % | 3.26 | % | |||||||||||||||||||
Salaried | 3.47 | % | 3.49 | % | 3.55 | % | |||||||||||||||||||
Schedule of assumed health care cost trend rates used to measure expected cost of benefits | |||||||||||||||||||||||||
2016 | 2015 | ||||||||||||||||||||||||
Weighted average health care cost trend rate | 6.1 | % | 6.1 | % | |||||||||||||||||||||
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) | 4.5 | % | 4.5 | % | |||||||||||||||||||||
Fiscal year that the rate reaches the ultimate trend rate | 2027 | 2027 | |||||||||||||||||||||||
Schedule of effect of one-percentage point increase or decrease in the assumed health care cost trend rates | A one-percentage point increase or decrease in the assumed health care cost trend rates would have the following effects: | ||||||||||||||||||||||||
One-Percentage | One-Percentage | ||||||||||||||||||||||||
Point Increase | Point Decrease | ||||||||||||||||||||||||
Effect on total of service and interest cost | $ | 284 | $ | (251 | ) | ||||||||||||||||||||
Effect on postretirement benefit obligation | 7,995 | (7,060 | ) | ||||||||||||||||||||||
Schedule of allocation of plan assets | The Company's pension plan weighted-average asset allocations at March 31, 2015 and 2014, and the target allocations for fiscal 2016, by asset category are as follows: | ||||||||||||||||||||||||
Target | Actual as of | ||||||||||||||||||||||||
Range | March 31 | ||||||||||||||||||||||||
2016 | 2015 | 2014 | |||||||||||||||||||||||
Asset Category: | |||||||||||||||||||||||||
Domestic equity | 10 - 25% | 20.7 | % | 19.4 | % | ||||||||||||||||||||
International equity | 10 - 20% | 13.7 | % | 17.1 | % | ||||||||||||||||||||
Fixed income | 35 - 50% | 42.5 | % | 38.7 | % | ||||||||||||||||||||
Real assets | 0 - 10% | 4.8 | % | 5 | % | ||||||||||||||||||||
Hedge funds/private equity | 15 - 30% | 14.8 | % | 18.8 | % | ||||||||||||||||||||
Other investments/cash | 0 - 6% | 3.5 | % | 0.9 | % | ||||||||||||||||||||
Total | 100% | 100 | % | 100 | % | ||||||||||||||||||||
Schedule of fair value of pension plan investments | Fair Value: The following table presents the pension plan investments using the fair value hierarchy discussed in Note 2 as of March 31, 2015: | ||||||||||||||||||||||||
Quoted Prices | Significant Other | Significant | Total | ||||||||||||||||||||||
in Active | Observable Inputs | Unobservable | |||||||||||||||||||||||
Markets for | (Level 2) | Inputs | |||||||||||||||||||||||
Identical Assets | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
Interest-bearing cash | $ | — | $ | 3,279 | $ | — | $ | 3,279 | |||||||||||||||||
U.S. Government securities | 158,938 | 11,546 | — | 170,484 | |||||||||||||||||||||
Corporate debt | — | 410,035 | 187 | 410,222 | |||||||||||||||||||||
Common stock | 110,932 | 5,289 | — | 116,221 | |||||||||||||||||||||
Partnership/joint venture interest | — | — | 746,305 | 746,305 | |||||||||||||||||||||
Other investments | 5 | 3,121 | — | 3,126 | |||||||||||||||||||||
Common/collective trusts | — | 743,960 | — | 743,960 | |||||||||||||||||||||
Registered investment companies | 131,251 | 145,649 | — | 276,900 | |||||||||||||||||||||
Value of funds in insurance company accounts | — | 42,190 | 1,076 | 43,266 | |||||||||||||||||||||
Total | 401,126 | 1,365,069 | 747,568 | 2,513,763 | |||||||||||||||||||||
Fair value of assets at March 31, 2015, to be transferred to Vista Outdoor (1) | (26,324 | ) | (89,584 | ) | (49,060 | ) | (164,968 | ) | |||||||||||||||||
Fair value of plan assets at end of year | $ | 374,802 | $ | 1,275,485 | $ | 698,508 | $ | 2,348,795 | |||||||||||||||||
________________________________ | |||||||||||||||||||||||||
-1 | The actual asset value and categories of assets to be transferred to Vista Outdoor have not yet been determined. The assets to be transferred from each hierarchy level shown above was determined as a pro-rata allocation of the fair value of the total estimated Vista Outdoor assets at March 31, 2015, to the total value of plan assets at March 31, 2015, if the transfer would have occurred on March 31, 2015. The actual asset categories and amounts to be transferred could vary from the amounts shown above. | ||||||||||||||||||||||||
The following table presents the pension plan investments using the fair value hierarchy discussed in Note 2 as of March 31, 2014: | |||||||||||||||||||||||||
Quoted Prices | Significant Other | Significant | Total | ||||||||||||||||||||||
in Active | Observable Inputs | Unobservable | |||||||||||||||||||||||
Markets for | (Level 2) | Inputs | |||||||||||||||||||||||
Identical Assets | (Level 3) | ||||||||||||||||||||||||
(Level 1) | |||||||||||||||||||||||||
Interest-bearing cash | $ | — | $ | 4,062 | $ | — | $ | 4,062 | |||||||||||||||||
U.S. Government securities | 185,499 | 21,021 | — | 206,520 | |||||||||||||||||||||
Corporate debt | — | 346,803 | 199 | 347,002 | |||||||||||||||||||||
Common stock | 109,173 | — | — | 109,173 | |||||||||||||||||||||
Partnership/joint venture interest | — | — | 689,073 | 689,073 | |||||||||||||||||||||
Other investments | (9 | ) | 2,556 | — | 2,547 | ||||||||||||||||||||
Common/collective trusts | — | 829,714 | — | 829,714 | |||||||||||||||||||||
Registered investment companies | 63,945 | 130,819 | — | 194,764 | |||||||||||||||||||||
Value of funds in insurance company accounts | — | 42,027 | 1,131 | 43,158 | |||||||||||||||||||||
Total | $ | 358,608 | $ | 1,377,002 | $ | 690,403 | $ | 2,426,013 | |||||||||||||||||
Schedule of reconciliation of Level 3 assets held during the year | The following table presents a reconciliation of Level 3 assets held during the year ended March 31, 2015: | ||||||||||||||||||||||||
Common Stock | Corporate Debt | Insurance | Partnerships/ | ||||||||||||||||||||||
Contracts | Joint Ventures | ||||||||||||||||||||||||
Balance at April 1, 2014 | $ | — | $ | 199 | $ | 1,131 | $ | 689,073 | |||||||||||||||||
Realized (losses) gains | — | — | 6 | 38,614 | |||||||||||||||||||||
Net unrealized (losses) gains | — | 1 | (2 | ) | (5,558 | ) | |||||||||||||||||||
Net purchases, issuances and settlements | — | (13 | ) | (59 | ) | 24,176 | |||||||||||||||||||
Net transfers into (out of) Level 3 | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2015 | $ | — | $ | 187 | $ | 1,076 | $ | 746,305 | |||||||||||||||||
The following table presents a reconciliation of Level 3 assets held during the year ended March 31, 2014: | |||||||||||||||||||||||||
Common Stock | Corporate Debt | Insurance | Partnerships/ | ||||||||||||||||||||||
Contracts | Joint Ventures | ||||||||||||||||||||||||
Balance, April 1, 2013 | $ | — | $ | — | $ | 1,205 | $ | 578,158 | |||||||||||||||||
Realized (losses) gains | 2 | — | 4 | 34,321 | |||||||||||||||||||||
Net unrealized (losses) gains | — | — | (8 | ) | 25,561 | ||||||||||||||||||||
Net purchases, issuances, and settlements | (2 | ) | 199 | (70 | ) | 51,033 | |||||||||||||||||||
Net transfers into (out of) Level 3 | — | — | — | — | |||||||||||||||||||||
Balance, March 31, 2014 | $ | — | $ | 199 | $ | 1,131 | $ | 689,073 | |||||||||||||||||
Schedule of expected future benefit payments | |||||||||||||||||||||||||
Pension | Other | ||||||||||||||||||||||||
Benefits | Postretirement | ||||||||||||||||||||||||
Benefits | |||||||||||||||||||||||||
2016 | $ | 191,598 | $ | 10,912 | |||||||||||||||||||||
2017 | 190,087 | 10,768 | |||||||||||||||||||||||
2018 | 193,137 | 10,601 | |||||||||||||||||||||||
2019 | 198,047 | 10,388 | |||||||||||||||||||||||
2020 | 202,678 | 10,134 | |||||||||||||||||||||||
2020 through 2024 | 1,045,563 | 45,534 | |||||||||||||||||||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||
Schedule of income before income taxes and noncontrolling interest | Income from continuing operations, before income taxes and noncontrolling interest: | ||||||||||||
Years Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Current: | |||||||||||||
U.S. | $ | 116,651 | $ | 222,165 | $ | 260,915 | |||||||
Non-U.S. | — | — | — | ||||||||||
Income before income taxes and noncontrolling interest | $ | 116,651 | $ | 222,165 | $ | 260,915 | |||||||
Schedule of income tax provision | Income taxes consisted of the following: | ||||||||||||
Years Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Current: | |||||||||||||
Federal | $ | 42,625 | $ | 60,674 | $ | 84,615 | |||||||
State | 2,518 | 1,378 | 5,820 | ||||||||||
Deferred: | |||||||||||||
Federal | (2,599 | ) | (3,433 | ) | (15,701 | ) | |||||||
State | (3,427 | ) | 3,923 | (988 | ) | ||||||||
Income taxes | $ | 39,117 | $ | 62,542 | $ | 73,746 | |||||||
Schedule of items responsible for the differences between the federal statutory rate and ATK's effective rate | The items responsible for the differences between the federal statutory rate and the Company's effective rate are as follows: | ||||||||||||
Year Ended March 31 | |||||||||||||
2015 | 2014 | 2013 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
State income taxes, net of federal impact | (0.5 | )% | 1.1 | % | 2.1 | % | |||||||
Domestic manufacturing deduction | (6.9 | )% | (3.2 | )% | (2.9 | )% | |||||||
Goodwill impairment | 10.3 | % | — | % | — | % | |||||||
Research and development tax credit | (2.9 | )% | (1.7 | )% | (1.0 | )% | |||||||
Change in prior year contingent tax liabilities | (3.3 | )% | (4.4 | )% | (4.2 | )% | |||||||
Nondeductible transaction costs | 6.6 | % | — | % | — | % | |||||||
Other | (2.3 | )% | 1.2 | % | (1.0 | )% | |||||||
Change in valuation allowance | (2.5 | )% | 0.2 | % | 0.3 | % | |||||||
Income tax provision | 33.5 | % | 28.2 | % | 28.3 | % | |||||||
Schedule of deferred tax assets and liabilities resulted from temporary differences | As of March 31, 2015 and 2014, the deferred tax assets and liabilities resulted from temporary differences related to the following: | ||||||||||||
31-Mar | |||||||||||||
2015 | 2014 | ||||||||||||
Deferred income tax assets: | |||||||||||||
Retirement benefits | $ | 344,674 | $ | 206,789 | |||||||||
Other | 54,367 | 28,532 | |||||||||||
Other reserves | 27,358 | 21,212 | |||||||||||
Accruals for employee benefits | 46,691 | 29,037 | |||||||||||
Inventory | 10,893 | 14,365 | |||||||||||
Contract method of revenue recognition | 31,305 | 23,817 | |||||||||||
Total deferred income tax assets before valuation allowance | 515,288 | 323,752 | |||||||||||
Valuation allowance | (8,836 | ) | (7,167 | ) | |||||||||
Total deferred income tax assets | 506,452 | 316,585 | |||||||||||
Deferred income tax liabilities: | |||||||||||||
Intangible assets | (110,014 | ) | (44,991 | ) | |||||||||
Property, plant and equipment | (127,343 | ) | (73,768 | ) | |||||||||
Debt-related | (21,290 | ) | (67,877 | ) | |||||||||
Total deferred income tax liabilities | (258,647 | ) | (186,636 | ) | |||||||||
Net deferred income tax assets | $ | 247,805 | $ | 129,949 | |||||||||
Schedule of reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties | A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties, is as follows: | ||||||||||||
Year Ended | |||||||||||||
31-Mar-15 | 31-Mar-14 | 31-Mar-13 | |||||||||||
Unrecognized Tax Benefits, beginning of year | $ | 32,317 | $ | 25,657 | $ | 34,715 | |||||||
Gross increases—tax positions in prior periods | 21,369 | 15,412 | 158 | ||||||||||
Gross decreases—tax positions in prior periods | (8,193 | ) | (13,172 | ) | (13,116 | ) | |||||||
Gross increases—current-period tax positions | 1,571 | 4,573 | 5,376 | ||||||||||
Settlements | (2,786 | ) | — | (1,298 | ) | ||||||||
Lapse of statute of limitations | (1,779 | ) | (153 | ) | (178 | ) | |||||||
Unrecognized Tax Benefits, end of year | $ | 42,499 | $ | 32,317 | $ | 25,657 | |||||||
Commitments_Tables
Commitments (Tables) | 12 Months Ended | |||
Mar. 31, 2015 | ||||
Commitments | ||||
Schedule of contractual obligations and commercial commitments | The following table summarizes the operating lease payments expected to be paid in the years ending March 31: | |||
2016 | $ | 79,302 | ||
2017 | 70,595 | |||
2018 | 64,197 | |||
2019 | 59,382 | |||
2020 | 53,926 | |||
Thereafter | 120,941 | |||
Total | $ | 448,343 | ||
Contingencies_Tables
Contingencies (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Loss Contingency [Abstract] | |||||||||||||||||
Summary of the amounts recorded for environmental remediation | The following is a summary of the amounts recorded for environmental remediation: | ||||||||||||||||
31-Mar-15 | 31-Mar-14 | ||||||||||||||||
Liability | Receivable | Liability | Receivable | ||||||||||||||
Amounts (payable) receivable | $ | (51,749 | ) | $ | 26,506 | $ | (58,194 | ) | $ | 28,540 | |||||||
Unamortized discount | 1,624 | (750 | ) | 4,706 | (2,152 | ) | |||||||||||
Present value amounts (payable) receivable | $ | (50,125 | ) | $ | 25,756 | $ | (53,488 | ) | $ | 26,388 | |||||||
Schedule of aggregate undiscounted amounts payable for environmental remediation costs, net of expected recoveries | At March 31, 2015, the aggregate undiscounted amounts payable for environmental remediation costs, net of expected recoveries, are estimated to be: | ||||||||||||||||
Fiscal 2016 | $ | 3,640 | |||||||||||||||
Fiscal 2017 | 324 | ||||||||||||||||
Fiscal 2018 | 299 | ||||||||||||||||
Fiscal 2019 | 2,295 | ||||||||||||||||
Fiscal 2020 | 1,974 | ||||||||||||||||
Thereafter | 16,711 | ||||||||||||||||
Total | $ | 25,243 | |||||||||||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Equity [Abstract] | ||||||||||||||
Weighted average assumptions used in estimating the value of the award | The weighted average assumptions used in estimating the value of the TSR award were as follows: | |||||||||||||
Fiscal 2015 | Fiscal 2014 | |||||||||||||
Risk-free rate | 1.02 | % | 0.81 | % | ||||||||||
Expected volatility | 22.81 | % | 26.64 | % | ||||||||||
Expected dividend yield | 1.78 | % | 0.97 | % | ||||||||||
Expected award life | 3 | 3 | ||||||||||||
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The following weighted average assumptions were used for grants: | |||||||||||||
Year Ended | ||||||||||||||
31-Mar-15 | 31-Mar-14 | 31-Mar-13 | ||||||||||||
Risk-free rate | 1.82% | 1.86%-2.07% | 1.02%-1.22% | |||||||||||
Expected volatility | 27.67% | 25.95%-26.71% | 25.87% | |||||||||||
Expected dividend yield | 0.99% | 1.27%-1.58% | 1.49%-1.90% | |||||||||||
Expected option life | 7 years | 7 years | 7 years | |||||||||||
Schedule of stock option activity | A summary of the Company's stock option activity is as follows: | |||||||||||||
Shares | Weighted Average | Weighted Average | Aggregate Intrinsic | |||||||||||
Exercise Price | Remaining | Value | ||||||||||||
Contractual Life | (per option) | |||||||||||||
(in years) | ||||||||||||||
Outstanding at March 31, 2012 | 418,122 | $ | 62.02 | 2.7 | $ | — | ||||||||
Granted | 114,628 | 65.32 | ||||||||||||
Exercised | (93,617 | ) | 58.34 | |||||||||||
Forfeited/expired | (176,885 | ) | 66.55 | |||||||||||
Outstanding at March 31, 2013 | 262,248 | 61.72 | 2.7 | $ | — | |||||||||
Granted | 47,490 | 130.86 | ||||||||||||
Exercised | (13,173 | ) | 55.32 | |||||||||||
Forfeited/expired | (26,160 | ) | 62.34 | |||||||||||
Outstanding at March 31, 2014 | 270,405 | 74.11 | 8.3 | $ | 68.04 | |||||||||
Granted | 73,100 | 72.06 | ||||||||||||
Converted in conjunction with the Merger | 11,225 | 27.45 | ||||||||||||
Outstanding at March 31, 2015 | 354,730 | $ | 41.83 | 7.8 | $ | 34.8 | ||||||||
Options exercisable at: | ||||||||||||||
31-Mar-15 | 230,715 | $ | 64.32 | 7 | $ | 44.99 | ||||||||
31-Mar-14 | 114,083 | $ | 61.63 | 8 | $ | 80.52 | ||||||||
31-Mar-13 | 70,145 | $ | 61.28 | 5.2 | $ | 13.98 | ||||||||
Schedule of performance share award, TSR award, and restricted stock award activity | A summary of the Company's non-vested stock-based compensation awards activity is as follows: | |||||||||||||
Performance Share | Restricted Stock | Restricted Stock | Combined | |||||||||||
and | Units | Awards | Weighted Average | |||||||||||
TSR Awards | Grant Date | |||||||||||||
Fair Value | ||||||||||||||
Nonvested at March 31, 2012 | 693,567 | — | 282,674 | $ | 67.08 | |||||||||
Granted | 100,820 | — | 112,716 | 63.17 | ||||||||||
Canceled/forfeited | (267,519 | ) | — | (19,807 | ) | 69.44 | ||||||||
Vested | (35,852 | ) | — | (108,157 | ) | 68.59 | ||||||||
Nonvested at March 31, 2013 | 491,016 | — | 267,426 | 65.42 | ||||||||||
Granted | 113,212 | — | 127,451 | 114.65 | ||||||||||
Canceled/forfeited | (200,557 | ) | — | (13,526 | ) | 68.65 | ||||||||
Vested | (95,579 | ) | — | (98,407 | ) | 66.6 | ||||||||
Nonvested at March 31, 2014 | 308,092 | — | 282,944 | 83.91 | ||||||||||
Granted | 161,661 | — | 139,094 | 81.88 | ||||||||||
Converted in conjunction with the Merger | — | 647,436 | — | 71.29 | ||||||||||
Canceled/forfeited | (309,223 | ) | — | (13,521 | ) | 87.05 | ||||||||
Vested | — | (146,497 | ) | (195,882 | ) | 72.5 | ||||||||
Nonvested at March 31, 2015 | 160,530 | 500,939 | 212,635 | 77.02 | ||||||||||
Restructuring_Costs_Tables
Restructuring Costs (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Realignment Obligations | |||||||||||||||||||||
Schedule of realignment liability activity | The following table summarizes the Company's realignment liability activity during fiscal 2015 related to the termination benefits and the remaining lease rentals and relocation and other costs: | ||||||||||||||||||||
Termination | Remaining Lease Rentals | Asset | Facility Closure and Other Costs | Total | |||||||||||||||||
Benefits | Impairment | ||||||||||||||||||||
Balance, March 31, 2014 | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||
Expense | 9,595 | 11,473 | 3,166 | 1,385 | 25,619 | ||||||||||||||||
Cash paid | (1,263 | ) | (1,046 | ) | — | (1,385 | ) | (3,694 | ) | ||||||||||||
Noncash settlements | — | — | (3,166 | ) | — | (3,166 | ) | ||||||||||||||
Balance, March 31, 2015 | $ | 8,332 | $ | 10,427 | $ | — | $ | — | $ | 18,759 | |||||||||||
Operating_Segment_Information_
Operating Segment Information (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||
Schedule of Segment Reporting Information, by Segment | . The Company's U.S. Government sales, including sales to U.S. Government prime contractors, during the last three fiscal years were as follows: | ||||||||||||||||||||
Fiscal | U.S. Government Sales | Percent of sales | |||||||||||||||||||
2015 | $ | 2,388,816 | 75 | % | |||||||||||||||||
2014 | 2,465,436 | 84 | % | ||||||||||||||||||
2013 | 2,781,085 | 87 | % | ||||||||||||||||||
Schedule of Revenue by Major Customers by Reporting Segments | The following summarizes the Company's results and total assets by segment: | ||||||||||||||||||||
Year Ended March 31, 2015 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 1,065,058 | $ | 1,712,300 | $ | 396,609 | $ | — | $ | 3,173,967 | |||||||||||
Intercompany | 29,150 | 178,234 | 16,686 | (224,070 | ) | — | |||||||||||||||
Total | $ | 1,094,208 | $ | 1,890,534 | $ | 413,295 | $ | (224,070 | ) | $ | 3,173,967 | ||||||||||
Capital expenditures | $ | 48,861 | $ | 44,243 | $ | 5,718 | $ | 13,882 | $ | 112,704 | |||||||||||
Depreciation | 34,930 | 23,067 | 11,029 | 6,738 | 75,764 | ||||||||||||||||
Amortization of intangible assets | 1,232 | 1,864 | — | 6,167 | 9,263 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 145,753 | 188,963 | (3,824 | ) | (98,939 | ) | 231,953 | ||||||||||||||
Total assets | 2,047,966 | 1,320,425 | 1,467,948 | 668,063 | 5,504,402 | ||||||||||||||||
Year Ended March 31, 2014 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 902,683 | $ | 1,667,707 | $ | 354,847 | $ | — | $ | 2,925,237 | |||||||||||
Intercompany | 8,549 | 283,077 | 16,353 | (307,979 | ) | — | |||||||||||||||
Total | $ | 911,232 | $ | 1,950,784 | $ | 371,200 | $ | (307,979 | ) | $ | 2,925,237 | ||||||||||
Capital expenditures | $ | 54,660 | $ | 42,061 | $ | 6,760 | $ | 2,249 | $ | 105,730 | |||||||||||
Depreciation | 34,490 | 20,110 | 8,173 | 6,419 | 69,192 | ||||||||||||||||
Amortization of intangible assets | 1,248 | 1,864 | — | — | 3,112 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 110,882 | 210,669 | 30,810 | (50,404 | ) | 301,957 | |||||||||||||||
Total assets | 1,361,544 | 1,209,150 | 285,019 | 567,808 | 3,423,521 | ||||||||||||||||
Year Ended March 31, 2013 | |||||||||||||||||||||
Flight Systems Group | Defense Systems Group | Space Systems Group | Corporate | Total | |||||||||||||||||
Sales: | |||||||||||||||||||||
External customers | $ | 918,614 | $ | 1,957,650 | $ | 329,832 | $ | — | $ | 3,206,096 | |||||||||||
Intercompany | 10,213 | 152,021 | 18,038 | (180,272 | ) | — | |||||||||||||||
Total | $ | 928,827 | $ | 2,109,671 | $ | 347,870 | $ | (180,272 | ) | $ | 3,206,096 | ||||||||||
Capital expenditures | $ | 36,245 | $ | 25,518 | $ | 6,513 | $ | 5,218 | $ | 73,494 | |||||||||||
Depreciation | 33,515 | 30,055 | 7,860 | 6,175 | 77,605 | ||||||||||||||||
Amortization of intangible assets | 1,466 | 1,864 | — | — | 3,330 | ||||||||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 117,367 | 270,498 | 27,025 | (76,816 | ) | 338,074 | |||||||||||||||
Total assets | 1,286,861 | 1,122,416 | 293,914 | 872,065 | 3,575,256 | ||||||||||||||||
Quarterly_Financial_Data_Unaud1
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||
Schedule of Quarterly Financial Data | |||||||||||||||||
Fiscal 2015 Quarter Ended | |||||||||||||||||
29-Jun | 28-Sep | 28-Dec | 31-Mar | ||||||||||||||
Sales | $ | 714,360 | $ | 743,202 | $ | 746,866 | $ | 969,539 | |||||||||
Gross profit | 162,650 | 163,384 | 165,527 | 212,541 | |||||||||||||
Income from continuing operations | 31,773 | 41,214 | 45,155 | (40,707 | ) | ||||||||||||
Income from discontinued operations | 53,825 | 53,895 | 492 | 16,837 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | 85,598 | 95,109 | 45,647 | (23,870 | ) | ||||||||||||
Basic earnings (loss) per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 1.01 | $ | 1.3 | $ | 1.42 | $ | (0.87 | ) | ||||||||
Discontinued operations | 1.7 | 1.7 | 0.02 | 0.36 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.71 | $ | 3 | $ | 1.44 | $ | (0.51 | ) | ||||||||
Diluted earnings per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 0.96 | $ | 1.29 | $ | 1.41 | $ | (0.87 | ) | ||||||||
Discontinued operations | 1.63 | 1.68 | 0.02 | 0.36 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.59 | $ | 2.97 | $ | 1.43 | $ | (0.51 | ) | ||||||||
Cash dividends per common share: | |||||||||||||||||
Declared | $ | 0.32 | $ | 0.32 | $ | 0.32 | $ | 0.58 | |||||||||
Paid | 0.32 | 0.32 | 0.32 | 0.32 | |||||||||||||
Fiscal 2014 Quarter Ended | |||||||||||||||||
30-Jun | 29-Sep | 29-Dec | 31-Mar | ||||||||||||||
Sales | $ | 722,763 | $ | 724,534 | $ | 686,526 | $ | 791,414 | |||||||||
Gross profit | 158,082 | 163,835 | 147,576 | 177,805 | |||||||||||||
Income from continuing operations | 41,066 | 52,741 | 26,851 | 38,794 | |||||||||||||
Income from discontinued operations | 30,968 | 39,849 | 53,435 | 57,211 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | 72,034 | 92,590 | 80,286 | 96,005 | |||||||||||||
Basic earnings per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 1.29 | $ | 1.65 | $ | 0.84 | $ | 1.23 | |||||||||
Discontinued operations | 0.98 | 1.25 | 1.69 | 1.81 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.27 | $ | 2.9 | $ | 2.53 | $ | 3.04 | |||||||||
Diluted earnings per common share from: (1) | |||||||||||||||||
Continuing operations | $ | 1.26 | $ | 1.64 | $ | 0.83 | $ | 1.17 | |||||||||
Discontinued operations | 0.96 | 1.24 | 1.65 | 1.73 | |||||||||||||
Net income attributable to Orbital ATK, Inc. | $ | 2.22 | $ | 2.88 | $ | 2.48 | $ | 2.9 | |||||||||
Cash dividends per common share: | |||||||||||||||||
Declared | $ | 0.26 | $ | 0.26 | $ | 0.26 | $ | 0.32 | |||||||||
Paid | 0.26 | 0.26 | 0.26 | 0.32 | |||||||||||||
_____________________________________ | |||||||||||||||||
-1 | Quarterly earnings (loss) per common share amounts may not total to annual earnings per common share amounts because quarterly and annual earnings per share are calculated separately based on basic and diluted weighted-average common shares outstanding during the respective periods. |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details) (USD $) | 12 Months Ended | |||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 12, 2015 |
Fiscal Year | ||||
Number of weeks in an interim quarterly period | 13 | |||
Concentration risk | ||||
Quarterly Cash Dividend Declared | $0.26 | |||
Percentage of sales | 100.00% | |||
Increase in operating income | $87,005 | $83,346 | $93,377 | |
Radford pension closeout expense | 29 | |||
Cash Equivalents | ||||
Maximum term of original maturity to classify investments as cash equivalents (in months) | 3 months | |||
Long-term contracts method | ||||
Concentration risk | ||||
Percentage of sales | 98.00% | |||
Other method | ||||
Concentration risk | ||||
Percentage of sales | 2.00% | |||
Concentration risk by sales | Customer concentration | ||||
Concentration risk | ||||
Percentage of concentration risk | 100.00% | 100.00% | 100.00% | |
Concentration risk by sales | Customer concentration | Total U.S. Government customers | ||||
Concentration risk | ||||
Percentage of concentration risk | 75.00% | 84.00% | 87.00% | |
Concentration risk by sales | Customer concentration | U.S. Army | ||||
Concentration risk | ||||
Percentage of concentration risk | 27.00% | 33.00% | 38.00% | |
Concentration risk by sales | Customer concentration | U.S. Navy | ||||
Concentration risk | ||||
Percentage of concentration risk | 15.00% | 16.00% | 16.00% | |
Concentration risk by sales | Customer concentration | NASA | ||||
Concentration risk | ||||
Percentage of concentration risk | 13.00% | 14.00% | 14.00% | |
Concentration risk by sales | Customer concentration | U.S. Air Force | ||||
Concentration risk | ||||
Percentage of concentration risk | 6.00% | 7.00% | 9.00% | |
Concentration risk by sales | Customer concentration | Other U.S. Government customers | ||||
Concentration risk | ||||
Percentage of concentration risk | 14.00% | 14.00% | 10.00% | |
Concentration risk by sales | Customer concentration | Commercial and foreign customers | ||||
Concentration risk | ||||
Percentage of concentration risk | 25.00% | 16.00% | 13.00% | |
Small Caliber Systems contract adjustment [Member] | ||||
Concentration risk | ||||
Increase in operating income | $41,357 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Details 2) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
step | ||
Inventories | ||
Raw materials | $69,112 | $34,219 |
Work/contracts in process | 126,038 | 90,468 |
Finished goods | 964 | 9,703 |
Net inventories | $196,114 | $134,390 |
Accounting for Goodwill and Identifiable Intangible Assets | ||
Number of steps involved in the process of impairment testing | 2 | |
Minimum | Restricted Stock | ||
Stock-Based Compensation | ||
Minimum vesting period (in years) | 1 year | |
Minimum | Stock options | ||
Stock-Based Compensation | ||
Minimum vesting period (in years) | 1 year | |
Maximum | Restricted Stock | ||
Stock-Based Compensation | ||
Minimum vesting period (in years) | 3 years | |
Maximum | Stock options | ||
Stock-Based Compensation | ||
Minimum vesting period (in years) | 3 years |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Net of Tax | ($847,648) | ($680,809) | ($828,304) |
Derivatives | -5,022 | ||
Pension and other postretirement benefit liabilities | -675,114 | ||
Available-for-sale securities | 832 | ||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | -1,505 | ||
Gain (Loss) on Price Risk Hedge Ineffectiveness | 0 | 0 | 0 |
Change in fair value of derivatives, net of tax benefit of $1,771, $3,586, and $17,060, respectively | -8,097 | -8,681 | |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 11,046 | 4,852 | |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 999 | |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense of $(8,186), $(56,791), and $(49,192), respectively | 13,841 | 91,387 | |
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit of $11,740, $11,240, and $3,366, respectively | -18,906 | -18,125 | |
Valuation adjustment for pension and postretirement benefit plans, net of tax (expense) benefit of $139,583, $(48,772), and $(9,575), respectively | -224,389 | 78,522 | |
Change in cumulative translation adjustment, net of tax benefit of $0, $942, and $0, respectively | -36,796 | -1,505 | 0 |
Change in fair value of available-for-sale securities, net of tax (expense) benefit of $(151), $(29), and $135, respectively | 238 | 46 | -210 |
Distribution of Sporting | 96,224 | ||
Derivatives | -2,073 | -5,022 | |
Pension and other postretirement benefit liabilities | -846,645 | -675,114 | |
Available-for-sale securities | 1,070 | 832 | |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | 0 | -1,505 | |
Reconciliation of weighted-average outstanding shares used in calculation of basic earnings per share to diluted earnings per share | |||
Basic EPS shares outstanding (in shares) | 35,469 | 31,671 | 32,447 |
Dilutive effect of stock-based awards (in shares) | 377 | 376 | 161 |
Incremental Common Shares Attributable to Dilutive Effect of Contingently Issuable Shares | 294 | 676 | 0 |
Diluted EPS shares outstanding (in shares) | 36,140 | 32,723 | 32,608 |
Shares excluded from the calculation of diluted EPS because the option exercise/threshold price was greater than the average market price of the common shares (in shares) | 73 | 45 | 5 |
Derivative Adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Derivatives | -5,022 | -2,192 | |
Change in fair value of derivatives, net of tax benefit of $1,771, $3,586, and $17,060, respectively | -8,097 | -8,681 | |
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 11,046 | 4,852 | |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | 0 | 999 | |
Derivatives | -2,073 | -5,022 | |
Pension and OPEB Adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Pension and other postretirement benefit liabilities | -675,114 | -826,898 | |
Reclassification of net actuarial loss for pension and postretirement benefit plans recorded to net income, net of tax expense of $(8,186), $(56,791), and $(49,192), respectively | -13,841 | -91,387 | -78,062 |
Reclassification of prior service credits for pension and postretirement benefit plans recorded to net income, net of tax benefit of $11,740, $11,240, and $3,366, respectively | -18,906 | -18,125 | -5,406 |
Valuation adjustment for pension and postretirement benefit plans, net of tax (expense) benefit of $139,583, $(48,772), and $(9,575), respectively | -224,389 | 78,522 | 15,456 |
Distribution of Sporting | 57,923 | ||
Pension and other postretirement benefit liabilities | -846,645 | -675,114 | -826,898 |
Available for sale securities adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Available-for-sale securities | 832 | 786 | |
Change in fair value of available-for-sale securities, net of tax (expense) benefit of $(151), $(29), and $135, respectively | 238 | 46 | |
Available-for-sale securities | 1,070 | 832 | |
Accumulated Translation Adjustment [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | -1,505 | 0 | |
Change in cumulative translation adjustment, net of tax benefit of $0, $942, and $0, respectively | -1,505 | ||
Distribution of Sporting | 38,301 | ||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $0 | ($1,505) |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies Valuation and qualifying accounts inventory (Details) (Inventory Valuation and Obsolescence [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Inventory Valuation and Obsolescence [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Valuation Allowances and Reserves, Balance | ($17,012) | ($13,257) | ($15,185) |
Valuation Allowances and Reserves, Charged to Cost and Expense | -993 | -3,149 | |
Valuation Allowances and Reserves, Deductions | -652 | 381 | |
Valuation Allowances and Reserves, Adjustments | ($2,110) | $4,696 |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments (Details) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair value of assets and liabilities measured on a recurring basis | ||
Number of Interest Rate Derivatives Held | 5 | |
Fair value of assets and liabilities that are measured on a recurring basis | Fair Value, Inputs, Level 2 | ||
Assets | ||
Marketable securities | $10,327 | $10,130 |
Derivatives | 7,823 | 328 |
Liabilities | ||
Derivatives | $11,137 | $8,459 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments (Details 2) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Fair value of assets and liabilities that are not measured on a recurring basis | Fair Value | ||
Assets and liabilities that are not measured on a recurring basis | ||
Fixed rate debt | $306,000 | $1,062,078 |
Variable rate debt | 1,283,539 | 1,247,062 |
Carrying Amount | ||
Assets and liabilities that are not measured on a recurring basis | ||
Fixed rate debt | 300,000 | 846,228 |
Variable rate debt | $1,288,501 | $1,246,750 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments (Details) | 12 Months Ended | |||||||||||||||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | |
USD ($) | USD ($) | USD ($) | EUR (€) | Other current assets / other accrued liabilities | Other current assets / other accrued liabilities | Deferred charges and other non-current assets / other long-term liabilities | Deferred charges and other non-current assets / other long-term liabilities | Copper | Zinc | Euros Sold [Member] | Number of interest rate derivatives held in liability position [Member] | Notional amount of $100 million [Member] | Notional amount to mature August 2016 [Member] | Notional amount of $50 million. [Member] | NotionalamounttomatureNovember2016 [Member] | |
derivative | USD ($) | USD ($) | USD ($) | USD ($) | lb | lb | EUR (€) | derivative | derivative | USD ($) | derivative | USD ($) | ||||
Derivative Financial Instruments | ||||||||||||||||
Number of Interest Rate Derivatives Held | 5 | 5 | 3 | 2 | ||||||||||||
Derivative, notional amount | $400,000,000 | € 33,353,979 | € 98,580,000 | $100,000,000 | $50,000,000 | |||||||||||
Derivative, Nonmonetary Notional Amount | 16,475,000 | 4,840,000 | ||||||||||||||
Fair value of derivative instruments designated as hedging instruments | ||||||||||||||||
Commodity forward contracts designated as hedging instruments, fair value of assets | 1,054,000 | 0 | 271,000 | 0 | ||||||||||||
Commodity forward contracts designated as hedging instruments, fair value of liabilities | 899,000 | 6,212,000 | 2,000 | 176,000 | ||||||||||||
Foreign Currency Cash Flow Hedge Asset at Fair Value | 2,664,000 | 0 | 3,834,000 | 0 | ||||||||||||
Foreign Currency Cash Flow Hedge Liability at Fair Value | 5,101,000 | 0 | 897,000 | 0 | ||||||||||||
Interest Rate Cash Flow Hedge Asset at Fair Value | 0 | 328,000 | ||||||||||||||
Interest Rate Cash Flow Hedge Liability at Fair Value | 4,238,000 | 2,071,000 | ||||||||||||||
Fair value of derivative assets designated as hedging instruments | 7,823,000 | 328,000 | ||||||||||||||
Fair value of derivative liabilities designated as hedging instruments | 11,137,000 | 8,459,000 | ||||||||||||||
Number of Foreign Currency Derivatives Held | 0 | |||||||||||||||
Pretax amount of gain (loss) reclassified from Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||
Commodity forward contracts, (gain)/loss reclassified from accumulated other comprehensive income (loss) | -5,515,000 | -6,355,000 | ||||||||||||||
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | -4,020,000 | -1,900,000 | ||||||||||||||
Forward foreign currency contracts, (gain)/loss reclassified from accumulated other comprehensive income (loss) | -9,182,000 | 0 | ||||||||||||||
Gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | ||||||||||||||||
Commodity forward contracts, gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | 0 | 0 | 0 | |||||||||||||
Gain (Loss) on Interest Rate Cash Flow Hedge Ineffectiveness | 0 | 0 | ||||||||||||||
Forward foreign currency contracts, gain or (loss) recognized in income on derivative (ineffective portion and amount excluded from effectiveness testing) | $0 | $0 |
Mergers_Acquisitions_and_Dives2
Mergers, Acquisitions and Divestiture (Details) (USD $) | 2 Months Ended | 3 Months Ended | 10 Months Ended | 12 Months Ended | 0 Months Ended | ||||
Mar. 31, 2015 | Mar. 31, 2015 | Feb. 08, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 21, 2013 | Nov. 01, 2013 | Feb. 02, 2015 | |
Entity | Entity | Entity | Entity | ||||||
Acquisitions | |||||||||
Number of Companies | 2 | 2 | 2 | ||||||
Disposal Group, Including Discontinued Operation, Revenue | $1,781,437,000 | $1,849,891,000 | $1,156,049,000 | ||||||
Business Acquisition, Pro Forma Net Income (Loss) | 162,452,000 | 167,034,000 | |||||||
Business Acquisition, Pro Forma Earnings Per Share, Basic | $2.59 | $2.83 | |||||||
Pro Forma Weighted Average Shares Outstanding, Diluted | 2.55 | 2.77 | |||||||
Sales to Vista under supply agreement | 18,928,000 | ||||||||
OA shares received for each Company common stock | 2 | 2 | 2 | ||||||
Business Acquisition, Cost of Acquired Entity, Cash Paid | 1,757,977,000 | ||||||||
Number of acquisitions | 0 | ||||||||
Business acquisition, cash paid for working capital adjustment | 1,800,000,000 | 1,800,000,000 | 1,800,000,000 | ||||||
Orbital's Sales February 9 2015 through March 31 2015 | 191,000,000 | ||||||||
Orbital's Pre-tax Income February 9 2015 through March 31 2015 | 16,000,000 | ||||||||
Payments for Merger Related Costs | 34,900,000 | ||||||||
Cash | 253,734,000 | 253,734,000 | 253,734,000 | ||||||
Net receivables | 562,639,000 | 562,639,000 | 562,639,000 | ||||||
Net inventories | 75,294,000 | 75,294,000 | 75,294,000 | ||||||
Intangibles | 164,000,000 | 164,000,000 | 164,000,000 | ||||||
Property, plant and equipment | 281,654,000 | 281,654,000 | 281,654,000 | ||||||
Other assets | 36,878,000 | 36,878,000 | 36,878,000 | ||||||
Goodwill | 866,106,000 | 0 | |||||||
Accounts payable | -52,028,000 | -52,028,000 | -52,028,000 | ||||||
Deferred tax liabilities, net | -51,537,000 | -51,537,000 | -51,537,000 | ||||||
Other liabilities | -378,763,000 | -378,763,000 | -378,763,000 | ||||||
Company distributed shares of Vista Outdoor common stock to its stockholders | 63,900,000 | ||||||||
Percent of OA common stock owned by Orbital Sciences stockholders | 46.20% | 46.20% | 46.20% | ||||||
Percent of OA common stock owned by Company stockholders | 53.80% | 53.80% | 53.80% | ||||||
Sales to Sporting | 170,818,000 | 273,246,000 | 143,122,000 | ||||||
Savage Sports Corporation [Member] | |||||||||
Acquisitions | |||||||||
Payments to Acquire Businesses, Gross | 315,000,000 | ||||||||
Bushnell Group Holdings, Inc. [Member] | |||||||||
Acquisitions | |||||||||
Payments to Acquire Businesses, Gross | 985,000,000 | ||||||||
Common Stock | |||||||||
Acquisitions | |||||||||
Business Acquisition, Cost of Acquired Entity, Cash Paid | 1,749,323,000 | ||||||||
Equity-based awards [Member] | |||||||||
Acquisitions | |||||||||
Business Acquisition, Cost of Acquired Entity, Cash Paid | $8,654,000 | ||||||||
Common Stock | |||||||||
Acquisitions | |||||||||
Shares, Conversion Ratio | 0.449 | 0.449 | 0.449 | ||||||
Stock Issued During Period, Shares, Acquisitions | 27,358,827 |
Mergers_Acquisitions_and_Dives3
Mergers, Acquisitions and Divestiture Bushnell (Details) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Business Acquisition, Transaction Costs | ($37,119) | $37,119 |
Merger-date share price | $63.94 | |
Business Acquisition, Pro Forma Revenue | 4,229,036 | 4,200,154 |
Business Acquisition, Pro Forma Net Income (Loss) | 162,452 | 167,034 |
Acquisition-related Costs [Member] | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Amortization of acquired Orbital Sciences intangible assets | 27,215 | 31,116 |
Interest expense adjustment | ($25,678) | ($19,237) |
Mergers_Acquisitions_and_Dives4
Mergers, Acquisitions and Divestiture Discontinued Operations Schedule (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Discontinued Operations and Disposal Groups [Abstract] | |||
Disposal Group, Including Discontinued Operation, Revenue | $1,781,437 | $1,849,891 | $1,156,049 |
Net receivables | 298,146 | ||
Net inventories | 423,860 | ||
Deferred income taxes | 50,298 | ||
Other current assets | 25,949 | ||
Current assets of discontinued operations | 0 | 798,253 | |
Property, plant and equipment | 189,096 | ||
Goodwill | 873,458 | ||
Intangibles | 567,380 | ||
Other noncurrent assets | 6,069 | ||
Noncurrent assets of discontinued operations | 0 | 1,636,003 | |
Accounts payable | 181,560 | ||
Other current liabilities | 145,328 | ||
Current liabilities of discontinued operations | 0 | 326,888 | |
Deferred income taxes | 204,146 | ||
Other noncurrent liabilities | 55,972 | ||
Noncurrent liabilities of discontinued operations | $0 | $260,118 |
Net_Receivables_Details
Net Receivables (Details) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Receivables [Abstract] | ||
U.S. Government contracts billed receivables | $186,430 | $134,203 |
Commercial and other billed receivables | 91,601 | 66,722 |
U.S. Government contracts unbilled receivables | 960,185 | 517,861 |
Commercial and other unbilled receivables | 560,032 | 461,779 |
Less allowance for doubtful accounts | -4,692 | -4,891 |
Net receivables | 1,793,556 | 1,175,674 |
Progress payments | ||
Customer progress payment received | 585,932 | 527,670 |
Unbilled receivables | ||
Long-term unbilled receivables, relating to commercial aerospace programs | $298,900 | $264,400 |
Net_Receivables_Details_2
Net Receivables (Details 2) (Allowance for doubtful accounts, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Allowance for doubtful accounts | ||
Reconciliation of the changes in ATK's allowance for doubtful accounts | ||
Balance at the beginning of the year | $4,891 | $4,801 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 599 | 609 |
Write-offs | -17 | -626 |
Valuation Allowances and Reserves, Adjustments | -781 | 107 |
Balance at the end of the year | $4,692 | $4,891 |
Property_Plant_and_Equipment_D
Property, Plant, and Equipment (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Property, plant and equipment | |||
Depreciation expenses | $75,764 | $69,192 | $77,605 |
Gross property, plant, and equipment | 1,756,156 | 1,403,028 | |
Less accumulated depreciation | -949,099 | -894,573 | |
Net property, plant, and equipment | 807,057 | 508,455 | |
Land | |||
Property, plant and equipment | |||
Gross property, plant, and equipment | 41,597 | 31,239 | |
Buildings and improvements | |||
Property, plant and equipment | |||
Gross property, plant, and equipment | 344,140 | 291,811 | |
Machinery and equipment | |||
Property, plant and equipment | |||
Gross property, plant, and equipment | 1,312,073 | 1,019,403 | |
Property not yet in service | |||
Property, plant and equipment | |||
Gross property, plant, and equipment | $58,346 | $60,575 | |
Minimum | Buildings and improvements | |||
Property, plant and equipment | |||
Useful life of property, plant and equipment (in years) | 1 year | ||
Minimum | Machinery and equipment | |||
Property, plant and equipment | |||
Useful life of property, plant and equipment (in years) | 1 year | ||
Maximum | Buildings and improvements | |||
Property, plant and equipment | |||
Useful life of property, plant and equipment (in years) | 45 years | ||
Maximum | Machinery and equipment | |||
Property, plant and equipment | |||
Useful life of property, plant and equipment (in years) | 30 years |
Goodwill_Net_Intangibles_and_D2
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Changes in the carrying amount of goodwill | |||
Balance at the beginning of the period | $1,043,463 | $1,043,463 | |
Goodwill | 866,106 | 0 | |
Goodwill, Impairment Loss | -34,300 | 0 | 0 |
Balance at the end of the period | 1,875,269 | 1,043,463 | 1,043,463 |
Deferred charges and other non-current assets | |||
Gross debt issuance costs | 22,280 | 28,356 | |
Less accumulated amortization | -5,712 | -4,084 | |
Net debt issuance costs | 16,568 | 24,272 | |
Long-term inventory | 9,973 | 10,921 | |
Environmental remediation receivable | 23,771 | 22,128 | |
Derivative Assets, Noncurrent | 4,105 | 328 | |
Other non-current assets | 73,225 | 53,508 | |
Total deferred charges and other non-current assets | 127,642 | 111,157 | |
Flight Systems Group [Member] | |||
Changes in the carrying amount of goodwill | |||
Balance at the beginning of the period | 530,869 | 530,869 | |
Goodwill | 268,493 | 0 | |
Goodwill, Impairment Loss | 0 | ||
Balance at the end of the period | 799,362 | 530,869 | |
Defense Systems Group [Member] | |||
Changes in the carrying amount of goodwill | |||
Balance at the beginning of the period | 366,947 | 366,947 | |
Goodwill | 0 | 0 | |
Goodwill, Impairment Loss | 0 | ||
Balance at the end of the period | 366,947 | 366,947 | |
Space Systems Group [Member] | |||
Changes in the carrying amount of goodwill | |||
Balance at the beginning of the period | 145,647 | ||
Goodwill | 597,613 | ||
Goodwill, Impairment Loss | -34,300 | ||
Balance at the end of the period | 708,960 | 145,647 | |
Accumulated impairment losses | $142,800 |
Goodwill_Net_Intangibles_and_D3
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Non-amortizing intangible assets | |||
Finite-Lived Intangible Assets, Gross | $198,994 | $34,994 | |
Finite-Lived Intangible Assets, Accumulated Amortization | -33,787 | -24,524 | |
Finite-Lived Intangible Assets, Net | 165,207 | 10,470 | |
Amortizing intangible assets weighted average remaining period for amortization (in years) | 3 years 2 months | ||
Amortization expense | 9,263 | 3,112 | 3,330 |
Customer Contracts [Member] | |||
Non-amortizing intangible assets | |||
Finite-Lived Intangible Assets, Gross | 164,000 | 0 | |
Finite-Lived Intangible Assets, Accumulated Amortization | -6,167 | 0 | |
Finite-Lived Intangible Assets, Net | 157,833 | 0 | |
Patented Technology [Member] | |||
Non-amortizing intangible assets | |||
Finite-Lived Intangible Assets, Gross | 10,700 | 10,700 | |
Finite-Lived Intangible Assets, Accumulated Amortization | -5,350 | -4,280 | |
Finite-Lived Intangible Assets, Net | 5,350 | 6,420 | |
Customer Relationships and Other [Member] | |||
Non-amortizing intangible assets | |||
Finite-Lived Intangible Assets, Gross | 24,294 | 24,294 | |
Finite-Lived Intangible Assets, Accumulated Amortization | -22,270 | -20,244 | |
Finite-Lived Intangible Assets, Net | $2,024 | $4,050 |
Goodwill_Net_Intangibles_and_D4
Goodwill Net Intangibles and Deferred Charges and Other Noncurrent Assets (Details 3) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Expected future amortization expense | ||
Fiscal 2016 | $52,428 | |
Fiscal 2017 | 50,403 | |
Fiscal 2018 | 44,903 | |
Fiscal 2019 | 6,403 | |
Fiscal 2020 | 6,402 | |
Thereafter | 4,668 | |
Total | 165,207 | 10,470 |
Customer Contracts [Member] | ||
Expected future amortization expense | ||
Fiscal 2016 | 49,333 | |
Fiscal 2017 | 49,333 | |
Fiscal 2018 | 43,833 | |
Fiscal 2019 | 5,333 | |
Fiscal 2020 | 5,333 | |
Thereafter | 4,668 | |
Total | 157,833 | 0 |
Patents and Customer Relationships [Member] | ||
Expected future amortization expense | ||
Fiscal 2016 | 3,095 | |
Fiscal 2017 | 1,070 | |
Fiscal 2018 | 1,070 | |
Fiscal 2019 | 1,070 | |
Fiscal 2020 | 1,069 | |
Thereafter | 0 | |
Total | $7,374 |
Other_Current_and_Noncurrent_L2
Other Current and Noncurrent Liabilities (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Other Liabilities Disclosure [Abstract] | ||
Employee benefits and insurance, including pension and other postretirement benefits | $53,588 | $51,338 |
Deferred lease obligation | 30,857 | 26,257 |
Warranty | 9,555 | 11,866 |
Interest | 7,801 | 8,341 |
Other | 110,827 | 117,988 |
Total other current liabilities | 212,628 | 215,790 |
Environmental remediation | 43,326 | 44,417 |
Income taxes | 34,415 | 4,603 |
Deferred lease obligation | 21,036 | 19,791 |
Management nonqualified deferred compensation plan | 14,853 | 17,043 |
Other | 52,165 | 17,876 |
Total noncurrent liabilities | 165,795 | 103,730 |
Reconciliation of the changes in product warranty liability | ||
Balance at the beginning of the period | 11,866 | 18,275 |
Payments made | -73 | 4,887 |
Warranties issued | 414 | 390 |
Changes related to preexisting warranties | -2,798 | -1,912 |
Balance at the end of period | $9,555 | $11,866 |
LongTerm_Debt_Details
Long-Term Debt (Details) (USD $) | 12 Months Ended | 3 Months Ended | |||||||
Mar. 31, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Oct. 31, 2013 | Feb. 09, 2015 | Mar. 31, 2011 | Sep. 28, 2014 | Mar. 31, 2005 | |
Long-Term Debt | |||||||||
Total | $1,588,501,000 | $2,096,190,000 | $1,588,501,000 | ||||||
Less: Unamortized discounts | 0 | 3,212,000 | 0 | ||||||
Carrying amount of long-term debt | 1,588,501,000 | 2,092,978,000 | 1,588,501,000 | ||||||
Less: current portion | 59,997,000 | 249,228,000 | 59,997,000 | ||||||
Long-term debt | 1,528,504,000 | 1,843,750,000 | 1,528,504,000 | ||||||
Incremental Common Shares Attributable to Conversion of Debt Securities | 0 | ||||||||
Restricted payment limit related to 5.25 Note | 250,000,000 | 250,000,000 | |||||||
Number of Interest Rate Derivatives Held | 5 | 5 | |||||||
Subsidiary Guarantors Percentage Owned | 100.00% | 100.00% | |||||||
Ratio of Indebtedness to Net Capital | 0.47 | 0.52 | 0.47 | ||||||
Term A Loan due 2018 [Member] | |||||||||
Long-Term Debt | |||||||||
Total | 946,875,000 | 997,375,000 | 946,875,000 | ||||||
Debt Instrument, Face Amount | 1,010,000,000 | 1,010,000,000 | |||||||
Long-term Debt, Maturities, Repayments of Principal quarterly through maturity | 12,625,000 | 12,625,000 | |||||||
Term A Loan Accordion due January 2019 [Member] | |||||||||
Long-Term Debt | |||||||||
Debt Instrument, Face Amount | 150,000,000 | 150,000,000 | |||||||
Long-term Debt, Maturities, Repayments of Principal quarterly through maturity | 1,875,000 | 1,875,000 | |||||||
Term A Loan due 2019 [Member] | |||||||||
Long-Term Debt | |||||||||
Total | 144,375,000 | 0 | 144,375,000 | ||||||
Term B Loan due 2020 [Member] | |||||||||
Long-Term Debt | |||||||||
Total | 197,251,000 | 249,375,000 | 197,251,000 | ||||||
Debt Instrument, Face Amount | 250,000,000 | 250,000,000 | |||||||
Line of Credit 2018 [Member] | |||||||||
Long-Term Debt | |||||||||
Total | 0 | 0 | 0 | ||||||
Carrying amount of long-term debt | 700,000,000 | 700,000,000 | |||||||
Revolving Credit Facility due 2015 | |||||||||
Long-Term Debt | |||||||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.30% | ||||||||
Letters of Credit Outstanding, Amount | 202,915,000 | 202,915,000 | |||||||
Line of Credit Facility, Remaining Borrowing Capacity | 497,085,000 | 497,085,000 | |||||||
Senior Credit Facility | |||||||||
Long-Term Debt | |||||||||
Write off of Deferred Debt Issuance Cost | 6,166,000 | ||||||||
Senior Subordinated Notes 5.25 Percent Due 2021 [Member] | |||||||||
Long-Term Debt | |||||||||
Total | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | |||||
Deferred Finance Costs Gross, Accordion Feature | 3,000,000 | 3,000,000 | |||||||
Debt Instrument, Term | 8 years | ||||||||
Debt instrument interest rate stated percentage | 5.25% | 5.25% | |||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||
Debt Instrument, Redemption with Net Proceeds from Equity Offerings as Percentage of Original Principal | 35.00% | ||||||||
Debt Instrument, Redemption Price with Net Proceeds from Equity Offerings as Percentage of Original Principal | 105.25% | ||||||||
6.875% Senior Subordinated Notes due 2020 | |||||||||
Long-Term Debt | |||||||||
Total | 0 | 350,000,000 | 0 | 350,000,000 | |||||
Write off of Deferred Debt Issuance Cost | 3,722,000 | ||||||||
Debt instrument interest rate stated percentage | 6.88% | 6.88% | |||||||
Principal Payment on Redemption of Notes in Full | 350,000,000 | ||||||||
Interest Payment on Redemption of Notes in Full | 12,236,000 | ||||||||
Make-whole Premium on 6.875 Percent Note | 22,904,000 | ||||||||
3.00% Convertible Senior Subordinated Notes due 2024 | |||||||||
Long-Term Debt | |||||||||
Total | 0 | 199,440,000 | 0 | ||||||
Less: Unamortized discounts | 3,212,000 | ||||||||
Carrying amount of long-term debt | 196,228,000 | ||||||||
Debt Instrument, Face Amount | 200,000,000 | ||||||||
Debt instrument interest rate stated percentage | 3.00% | 3.00% | |||||||
Total Convertible Debt Payment Including Premium | 354,000,000 | ||||||||
Principal Payment on Convertible Notes | 199,440,000 | ||||||||
Payment in Excess of Principal Recorded to APIC | 154,000,000 | ||||||||
Convertible Shares Impact on Diluted Shares Outstanding | 292,000,000 | 676,000,000 | |||||||
2013 Senior Credit Facility [Member] | |||||||||
Long-Term Debt | |||||||||
Base rate margin (as a percent) | 1.00% | 1.00% | |||||||
Eurodollar margin (as a percent) | 2.00% | 2.00% | |||||||
Long-term Debt, Weighted Average Interest Rate | 2.55% | 2.55% | |||||||
Deferred Finance Costs Gross, Accordion Feature | 19,000,000 | 19,000,000 | |||||||
Debt Instrument, Covenant Compliance, Maximum Amount Of Restricted Payments, Percent Of Net Income | 50.00% | ||||||||
2013 Term Loan B notes [Member] | |||||||||
Long-Term Debt | |||||||||
Long-term Debt, Maturities, Repayments of Principal quarterly through maturity | 499,000 | 499,000 | |||||||
Partial Payment of Principal on Term Loan B | $50,000,000 | $50,000,000 |
LongTerm_Debt_Details_2
Long-Term Debt (Details 2) | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2015 |
USD ($) | EUR (€) | USD ($) | Notional amount to mature August 2016 [Member] | Notional amount to mature August 2017 [Member] | Notional amount to mature August 2018 [Member] | NotionalamounttomatureNovember2016 [Member] | NotionalamounttomatureNovember2017 [Member] | 3.00% Convertible Senior Subordinated Notes due 2024 | 3.00% Convertible Senior Subordinated Notes due 2024 | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | ||||
Long-Term Debt | ||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $56,849,000 | |||||||||
Total | 1,588,501,000 | 2,096,190,000 | 199,440,000 | 0 | ||||||
Debt Instrument, Unamortized Discount | 0 | 3,212,000 | 3,212,000 | |||||||
Long-term Debt | 1,588,501,000 | 2,092,978,000 | 196,228,000 | |||||||
Debt Instrument, Convertible, Remaining Discount Amortization Period | 5 months | |||||||||
Debt Instrument, Interest Rate During Period | 7.00% | |||||||||
Summary of Derivative Instruments [Abstract] | ||||||||||
Derivative, notional amount | 400,000,000 | 33,353,979 | 100,000,000 | 100,000,000 | 100,000,000 | 50,000,000 | 50,000,000 | |||
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net | ($564,000) | ($1,183,000) | ($2,128,000) | ($60,000) | ($303,000) | |||||
Derivative, Fixed Interest Rate | 0.87% | 1.29% | 1.69% | 0.65% | 1.10% | |||||
Derivative, Variable Interest Rate | 0.18% | 0.18% | 0.18% | 0.18% | 0.18% |
LongTerm_Debt_Details_3
Long-Term Debt (Details 3) (USD $) | Mar. 31, 2015 | Mar. 31, 2014 |
In Thousands, unless otherwise specified | ||
Minimum payments on outstanding long-term debt | ||
2016 | $59,997 | |
2017 | 59,997 | |
2018 | 59,997 | |
2019 | 919,248 | |
2020 | 1,997 | |
Thereafter | 487,265 | |
Total | $1,588,501 | $2,096,190 |
Employee_Benefit_Plans_Details
Employee Benefit Plans (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Defined Benefit Plans | |||
Pension Liabilities Transferred to Vista Outdoor in Spin-off | $223,790 | ||
Transfer of Pension Assets to Vista Outdoor in Spin-off | 163,034 | ||
Transfer of accumulated other comprehensive income to Vista Outdoor in Spin-off | 97,764 | ||
Reduction of PRB Liabilities Due to Transfer to Vista Outdoor | 1,963 | ||
Reduction in AOCI for PRB Benefits due to Transfer to Vista Outdoor | 1,727 | ||
Actuarial Losses Using Scale MP 2014 | 189,000 | ||
Actuarial Losses for Pension Benefits and Other Postretirement Benefits | 13,000 | ||
Change in plan assets | |||
Employer contributions | 51,205 | 48,379 | 37,377 |
Fair value of assets at February 9, 2015, to be transferred to Vista Outdoor | 0 | ||
Amounts Recognized in the Balance Sheet | |||
Pension | -851,001 | -525,775 | |
Current assets of discontinued operations | 0 | 798,253 | |
Noncurrent assets of discontinued operations | 0 | 1,636,003 | |
Pension Benefits | |||
Defined Benefit Plans | |||
Defined Benefit Plan, Benefit Obligation, Period Increase (Decrease) | 12,615 | ||
Defined Benefit Plan, Interest Credit, Percent | 4.00% | ||
Defined Benefit Plan, Accumulated Benefit Obligation | 3,197,143 | 2,985,605 | |
Change in benefit obligation | |||
Benefit obligation at beginning of year | 2,988,288 | 3,079,793 | |
Service cost | 23,182 | 34,763 | 64,030 |
Interest cost | 129,236 | 130,253 | 144,603 |
Plan Amendments | 0 | -12,615 | |
Actuarial loss (gain) | 465,524 | -55,958 | |
Benefits paid | -192,756 | -187,948 | |
Impact of Distribution | -223,790 | 0 | |
Merger with Orbital Sciences | 9,537 | 0 | |
Benefit obligation at end of year | 3,199,221 | 2,988,288 | 3,079,793 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 2,426,013 | 2,357,024 | |
Actual return on plan assets | 177,776 | 211,788 | |
Retiree contributions | 0 | 0 | |
Employer contributions | 87,150 | 45,149 | |
Benefits paid | -192,756 | -187,948 | |
Fair value of assets at February 9, 2015, to be transferred to Vista Outdoor | -163,034 | 0 | |
Merger with Orbital Sciences | 13,646 | 0 | |
Fair value of plan assets at end of year | 2,348,795 | 2,426,013 | 2,357,024 |
Funded status | -850,426 | -562,275 | |
Amounts Recognized in the Balance Sheet | |||
Noncurrent assets | 4,318 | ||
Other current liabilities | -3,743 | -4,500 | |
Postretirement and postemployment benefits | 0 | 0 | |
Pension | -851,001 | -525,775 | |
Current assets of discontinued operations | 0 | 0 | |
Noncurrent assets of discontinued operations | 0 | -32,000 | |
Net amount recognized | -850,426 | -562,275 | |
Accumulated other comprehensive loss (income) related to: | |||
Unrecognized net actuarial losses | 1,520,459 | 1,291,756 | |
Unrecognized prior service benefit | -144,410 | -176,030 | |
Accumulated other comprehensive loss (income) | 1,376,049 | 1,115,726 | |
Estimated amount that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in fiscal 2013 | |||
Recognized net actuarial losses | 150,759 | ||
Amortization of prior service benefits | -20,850 | ||
Total | 129,909 | ||
Information for Pension Plans with an Accumulated Benefit Obligation in Excess of Plan Assets | |||
Projected benefit obligation | 3,189,805 | 2,988,288 | |
Accumulated benefit obligation | 3,187,727 | 2,985,605 | |
Fair value of plan assets | 2,335,060 | 2,426,013 | |
Pension Benefits | Minimum | |||
Defined Benefit Plans | |||
Vesting period (in years) | 3 years | ||
Pension Benefits | Maximum | |||
Defined Benefit Plans | |||
Vesting period (in years) | 5 years | ||
Other Postretirement Benefits | |||
Change in benefit obligation | |||
Benefit obligation at beginning of year | 128,065 | 143,528 | |
Service cost | 3 | 9 | 3 |
Interest cost | 4,803 | 5,207 | 6,493 |
Plan Amendments | 0 | 0 | |
Actuarial loss (gain) | 12,255 | -8,953 | |
Impact of Distribution | -1,963 | 0 | |
Merger with Orbital Sciences | 0 | 0 | |
Benefit obligation at end of year | 131,620 | 128,065 | 143,528 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | 61,055 | 58,676 | |
Actual return on plan assets | 4,397 | 2,513 | |
Retiree contributions | 4,729 | 5,306 | |
Employer contributions | 9,769 | 11,592 | |
Benefits paid | -16,272 | -17,032 | |
Fair value of assets at February 9, 2015, to be transferred to Vista Outdoor | 0 | ||
Merger with Orbital Sciences | 0 | 0 | |
Fair value of plan assets at end of year | 63,678 | 61,055 | 58,676 |
Funded status | -67,942 | -67,010 | |
Amounts Recognized in the Balance Sheet | |||
Other current liabilities | -3,436 | -4,094 | |
Postretirement and postemployment benefits | -64,506 | -60,016 | |
Pension | 0 | 0 | |
Current assets of discontinued operations | 0 | -142 | |
Noncurrent assets of discontinued operations | 0 | -2,758 | |
Net amount recognized | -67,942 | -67,010 | |
Accumulated other comprehensive loss (income) related to: | |||
Unrecognized net actuarial losses | 25,906 | 16,903 | |
Unrecognized prior service benefit | -15,163 | -26,031 | |
Accumulated other comprehensive loss (income) | 10,743 | -9,128 | |
Estimated amount that will be amortized from accumulated other comprehensive loss into net periodic benefit cost in fiscal 2013 | |||
Recognized net actuarial losses | 1,969 | ||
Amortization of prior service benefits | -7,253 | ||
Total | ($5,284) | ||
Other Postretirement Benefits | Minimum | |||
Defined Benefit Plans | |||
Age for eligibility for pre and/or post 65 healthcare company subsidy and retiree life insurance coverage (in years) | 50 years | ||
Term of service for eligibility for pre and/or post 65 healthcare company subsidy and retiree life insurance coverage (in years) | 5 years | ||
Other Postretirement Benefits | Maximum | |||
Defined Benefit Plans | |||
Age for eligibility for pre and/or post 65 healthcare company subsidy and retiree life insurance coverage (in years) | 55 years | ||
Term of service for eligibility for pre and/or post 65 healthcare company subsidy and retiree life insurance coverage (in years) | 10 years |
Employee_Benefit_Plans_Details1
Employee Benefit Plans (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Long Term Rate Of Return Assumptions | |||
Rate of compensation increase: | |||
Compounded investment returns, period one (in years) | 5 years | ||
Compounded investment returns, period two (in years) | 10 years | ||
Pension Benefits | |||
Components of net periodic benefit cost | |||
Service cost | $23,182 | $34,763 | $64,030 |
Interest cost | 129,236 | 130,253 | 144,603 |
Expected return on plan assets | -165,780 | -161,111 | -167,805 |
Amortization of unrecognized net loss | 118,163 | 145,891 | 124,600 |
Amortization of unrecognized prior service cost | -22,284 | -20,984 | -391 |
Net periodic benefit cost before special termination benefits cost / curtailment | 82,517 | 128,812 | 165,037 |
Special termination benefits cost / curtailment | 2,469 | 0 | 2,915 |
Net periodic benefit cost | 84,986 | 128,812 | 167,952 |
Continuing operations | 81,038 | 120,812 | 156,952 |
Discontinued operations | 3,948 | 8,000 | 11,000 |
Weighted-Average Assumptions Used to Determine Benefit Obligations | |||
Discount rate (as a percent) | 3.90% | 4.50% | 4.35% |
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | |||
Discount rate (as a percent) | 4.50% | 4.35% | 4.90% |
Expected long-term rate of return on plan assets (as a percent) | 7.25% | 7.25% | 7.50% |
Pension Benefits | Union employees | |||
Rate of compensation increase: | |||
Compensation increase (as a percent) | 3.66% | 3.22% | 3.23% |
Rate of compensation increase: | |||
Compensation increase (as a percent) | 3.22% | 3.23% | 3.26% |
Pension Benefits | Salaried employees | |||
Rate of compensation increase: | |||
Compensation increase (as a percent) | 3.14% | 3.47% | 3.49% |
Rate of compensation increase: | |||
Compensation increase (as a percent) | 3.47% | 3.49% | 3.55% |
Other Postretirement Benefits | |||
Components of net periodic benefit cost | |||
Service cost | 3 | 9 | 3 |
Interest cost | 4,803 | 5,207 | 6,493 |
Expected return on plan assets | -3,553 | -3,419 | -3,253 |
Amortization of unrecognized net loss | 1,629 | 2,288 | 2,654 |
Amortization of unrecognized prior service cost | -8,362 | -8,381 | -8,381 |
Net periodic benefit cost before special termination benefits cost / curtailment | -5,480 | -4,296 | -2,484 |
Special termination benefits cost / curtailment | 0 | 0 | 0 |
Net periodic benefit cost | -5,480 | -4,296 | -2,484 |
Continuing operations | -5,496 | -4,340 | -2,555 |
Discontinued operations | $16 | $44 | $71 |
Weighted-Average Assumptions Used to Determine Benefit Obligations | |||
Discount rate (as a percent) | 3.55% | 3.95% | 3.80% |
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | |||
Discount rate (as a percent) | 3.95% | 3.80% | 4.40% |
Other Postretirement Benefits | Low end of the range | |||
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | |||
Expected long-term rate of return on plan assets (as a percent) | 5.00% | 5.00% | 5.00% |
Other Postretirement Benefits | High end of the range | |||
Weighted-Average Assumptions Used to Determine Net Periodic Benefit Cost | |||
Expected long-term rate of return on plan assets (as a percent) | 6.25% | 6.25% | 6.25% |
Domestic equity securities [Member] | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 10.00% | ||
Asset allocation percentage, maximum | 25.00% | ||
Foreign equity securities [Member] | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 10.00% | ||
Asset allocation percentage, maximum | 20.00% | ||
Equity Investment | Long Term Rate Of Return Assumptions | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 20.00% | ||
Asset allocation percentage, maximum | 45.00% | ||
Fixed Income Investment | Long Term Rate Of Return Assumptions | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 35.00% | ||
Asset allocation percentage, maximum | 50.00% | ||
Fixed Income Investment | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 35.00% | ||
Asset allocation percentage, maximum | 50.00% | ||
Real Estate | Long Term Rate Of Return Assumptions | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 0.00% | ||
Asset allocation percentage, maximum | 10.00% | ||
Real Estate | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 0.00% | ||
Asset allocation percentage, maximum | 10.00% | ||
Hedge Funds, Equity | Long Term Rate Of Return Assumptions | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 15.00% | ||
Asset allocation percentage, maximum | 25.00% | ||
Hedge Funds, Equity | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 15.00% | ||
Asset allocation percentage, maximum | 30.00% | ||
Cash Investment | Long Term Rate Of Return Assumptions | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 0.00% | ||
Asset allocation percentage, maximum | 6.00% | ||
Cash Investment | Pension Benefits | |||
Target asset allocation | |||
Asset allocation percentage, minimum | 0.00% | ||
Asset allocation percentage, maximum | 6.00% |
Employee_Benefit_Plans_Details2
Employee Benefit Plans (Details 3) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Pension Benefits | ||
Target asset allocation | ||
Total (as a percent) | 100.00% | |
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 100.00% | 99.90% |
Other Postretirement Benefits | ||
Assumed Health Care Cost Trend Rates used to Measure Expected Cost of Benefits | ||
Weighted average health care cost trend rate (as a percent) | 6.10% | 6.10% |
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate) (as a percent) | 4.50% | 4.50% |
Effect of one-percentage point increase or decrease in the assumed health care cost trend rates | ||
Effect on total of service and interest cost, one percentage point increase | $284 | |
Effect on total of service and interest cost, one percentage point decrease | -251 | |
Effect on postretirement benefit obligation, one percentage point increase | 7,995 | |
Effect on postretirement benefit obligation, one percentage point decrease | ($7,060) | |
Equity Investment | Pension Benefits | Domestic | ||
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 20.70% | 19.40% |
Equity Investment | Pension Benefits | International | ||
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 13.70% | 17.10% |
Fixed Income Investment | Pension Benefits | ||
Target asset allocation | ||
Asset allocation percentage, minimum | 35.00% | |
Asset allocation percentage, maximum | 50.00% | |
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 42.50% | 38.70% |
Real Estate | Pension Benefits | ||
Target asset allocation | ||
Asset allocation percentage, minimum | 0.00% | |
Asset allocation percentage, maximum | 10.00% | |
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 4.80% | 5.00% |
Hedge Funds, Equity | Pension Benefits | ||
Target asset allocation | ||
Asset allocation percentage, minimum | 15.00% | |
Asset allocation percentage, maximum | 30.00% | |
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 14.80% | 18.80% |
Cash Investment | Pension Benefits | ||
Target asset allocation | ||
Asset allocation percentage, minimum | 0.00% | |
Asset allocation percentage, maximum | 6.00% | |
Actual plan asset allocation | ||
Actual plan asset allocation (as a percent) | 3.50% | 0.90% |
Employee_Benefit_Plans_Details3
Employee Benefit Plans (Details 4) (Pension Benefits, USD $) | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | |||
Defined Benefit Plans | |||
Fair value of plan assets | $2,348,795 | $2,426,013 | $2,357,024 |
Defined Benefit Plan, Fair Value of Plan Assets Before Transfer to Vista | 2,513,763 | ||
Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 358,608 | ||
Defined Benefit Plan, Fair Value of Plan Assets Before Transfer to Vista | 401,126 | ||
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 1,377,002 | ||
Defined Benefit Plan, Fair Value of Plan Assets Before Transfer to Vista | 1,365,069 | ||
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 690,403 | ||
Defined Benefit Plan, Fair Value of Plan Assets Before Transfer to Vista | 747,568 | ||
Interest-bearing cash | |||
Defined Benefit Plans | |||
Fair value of plan assets | 3,279 | 4,062 | |
Interest-bearing cash | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 3,279 | 4,062 | |
U.S. Government securities | |||
Defined Benefit Plans | |||
Fair value of plan assets | 170,484 | 206,520 | |
U.S. Government securities | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 158,938 | 185,499 | |
U.S. Government securities | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 11,546 | 21,021 | |
Corporate Debt Securities | |||
Defined Benefit Plans | |||
Fair value of plan assets | 410,222 | 347,002 | |
Corporate Debt Securities | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 410,035 | 346,803 | |
Corporate Debt Securities | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 187 | 199 | 0 |
Common Stock | |||
Defined Benefit Plans | |||
Fair value of plan assets | 116,221 | 109,173 | |
Common Stock | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 110,932 | 109,173 | |
Common Stock | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 5,289 | ||
Common Stock | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 0 | 0 | 0 |
Partnership or joint venture interest | |||
Defined Benefit Plans | |||
Fair value of plan assets | 746,305 | 689,073 | |
Partnership or joint venture interest | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 0 | ||
Partnership or joint venture interest | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 746,305 | 689,073 | 578,158 |
Other investments | |||
Defined Benefit Plans | |||
Fair value of plan assets | 3,126 | 2,547 | |
Other investments | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 5 | -9 | |
Other investments | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 3,121 | 2,556 | |
Common/collective trusts | |||
Defined Benefit Plans | |||
Fair value of plan assets | 743,960 | 829,714 | |
Common/collective trusts | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 743,960 | 829,714 | |
Registered investment companies | |||
Defined Benefit Plans | |||
Fair value of plan assets | 276,900 | 194,764 | |
Registered investment companies | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 131,251 | 63,945 | |
Registered investment companies | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 145,649 | 130,819 | |
Value of funds in insurance company accounts | |||
Defined Benefit Plans | |||
Fair value of plan assets | 43,266 | 43,158 | |
Value of funds in insurance company accounts | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 42,190 | 42,027 | |
Value of funds in insurance company accounts | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 1,076 | 1,131 | 1,205 |
Fair Value of Assets to Transger to Vista Outdoor [Member] | |||
Defined Benefit Plans | |||
Fair value of plan assets | 164,968 | ||
Fair Value of Assets to Transger to Vista Outdoor [Member] | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 26,324 | ||
Fair Value of Assets to Transger to Vista Outdoor [Member] | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 89,584 | ||
Fair Value of Assets to Transger to Vista Outdoor [Member] | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 49,060 | ||
Fair Value of Plan Assets Less Assets of Vista Outdoor [Member] | |||
Defined Benefit Plans | |||
Fair value of plan assets | 2,348,795 | ||
Fair Value of Plan Assets Less Assets of Vista Outdoor [Member] | Quoted Prices in Active Markets for Identical Assets (Level1) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 374,802 | ||
Fair Value of Plan Assets Less Assets of Vista Outdoor [Member] | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans | |||
Fair value of plan assets | 1,275,485 | ||
Fair Value of Plan Assets Less Assets of Vista Outdoor [Member] | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans | |||
Fair value of plan assets | $698,508 |
Employee_Benefit_Plans_Details4
Employee Benefit Plans (Details 5) (Pension Benefits, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Change in plan assets | |||
Fair value of plan assets at beginning of year | $2,357,024 | ||
Fair value of plan assets at end of year | 2,348,795 | 2,426,013 | 2,357,024 |
Significant Unobservable Inputs (Level 3) | |||
Change in plan assets | |||
Fair value of plan assets at end of year | 690,403 | ||
Common Stock | |||
Change in plan assets | |||
Fair value of plan assets at end of year | 116,221 | 109,173 | |
Common Stock | Significant Unobservable Inputs (Level 3) | |||
Change in plan assets | |||
Fair value of plan assets at beginning of year | 0 | 0 | |
Realized (losses) gains | 0 | 2 | |
Net unrealized (losses) gains | 0 | 0 | |
Net purchases, issuances and settlements | 0 | -2 | |
Net transfers into (out of) Level 3 | 0 | 0 | |
Fair value of plan assets at end of year | 0 | 0 | |
Corporate Debt Securities | |||
Change in plan assets | |||
Fair value of plan assets at end of year | 410,222 | 347,002 | |
Corporate Debt Securities | Significant Unobservable Inputs (Level 3) | |||
Change in plan assets | |||
Fair value of plan assets at beginning of year | 199 | 0 | |
Realized (losses) gains | 0 | 0 | |
Net unrealized (losses) gains | 1 | 0 | |
Net purchases, issuances and settlements | -13 | 199 | |
Net transfers into (out of) Level 3 | 0 | 0 | |
Fair value of plan assets at end of year | 187 | 199 | |
Value of funds in insurance company accounts | |||
Change in plan assets | |||
Fair value of plan assets at end of year | 43,266 | 43,158 | |
Value of funds in insurance company accounts | Significant Unobservable Inputs (Level 3) | |||
Change in plan assets | |||
Fair value of plan assets at beginning of year | 1,131 | 1,205 | |
Realized (losses) gains | 6 | 4 | |
Net unrealized (losses) gains | -2 | -8 | |
Net purchases, issuances and settlements | -59 | -70 | |
Net transfers into (out of) Level 3 | 0 | 0 | |
Fair value of plan assets at end of year | 1,076 | 1,131 | |
Partnership or joint venture interest | |||
Change in plan assets | |||
Fair value of plan assets at end of year | 746,305 | 689,073 | |
Partnership or joint venture interest | Significant Unobservable Inputs (Level 3) | |||
Change in plan assets | |||
Fair value of plan assets at beginning of year | 689,073 | 578,158 | |
Realized (losses) gains | 38,614 | 34,321 | |
Net unrealized (losses) gains | -5,558 | 25,561 | |
Net purchases, issuances and settlements | 24,176 | 51,033 | |
Net transfers into (out of) Level 3 | 0 | 0 | |
Fair value of plan assets at end of year | $746,305 | $689,073 |
Employee_Benefit_Plans_Details5
Employee Benefit Plans (Details 6) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Contributions | |||
Defined Benefit Plan, Contributions by Employer | $51,205 | $48,379 | $37,377 |
Pension Benefits | |||
Contributions | |||
Defined Benefit Plan, Contributions by Employer | 87,150 | 45,149 | |
Expected employer's contribution in next fiscal year | 48,000 | ||
Expected Future Benefit Payments | |||
2016 | 191,598 | ||
2017 | 190,087 | ||
2018 | 193,137 | ||
2019 | 198,047 | ||
2020 | 202,678 | ||
2020 through 2024 | 1,045,563 | ||
Other Postretirement Benefits | |||
Defined Benefit Plans | |||
Percentage of postretirement benefit obligations that were pre-funded as of period end | 48.40% | 47.70% | |
Percentage of pension plan assets held in 401 (h) account | 44.00% | 42.10% | |
Contributions | |||
Employer contributions directly to the pension trust for the period | 9,769 | ||
Defined Benefit Plan, Contributions by Employer | 9,769 | 11,592 | |
Expected employer's contribution in next fiscal year | 8,281 | ||
Expected Future Benefit Payments | |||
2016 | 10,912 | ||
2017 | 10,768 | ||
2018 | 10,601 | ||
2019 | 10,388 | ||
2020 | 10,134 | ||
2020 through 2024 | 45,534 | ||
Supplemental (nonqualified) executive retirement plan | |||
Contributions | |||
Employer contributions directly to the pension trust for the period | 80,400 | ||
Employer's contribution to retirees during the period | 6,750 | ||
Expected employer's contribution directly to retirees in next fiscal year | $3,743 |
Employee_Benefit_Plans_Details6
Employee Benefit Plans (Details 7) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
agreement | |||
employee | |||
location | |||
Defined Contribution Plan | |||
Employee's maximum contribution to 401 (k) defined contribution plan (as a percent) | 50.00% | ||
Percentage of employer's matching contribution of first 3% of participant's contribution, option one | 100.00% | ||
Maximum percentage of contribution by employee in order to be eligible for 100% matching portion under the plan, option one | 3.00% | ||
Percentage of employer's matching contribution of next 2% of participant's contribution, option one | 50.00% | ||
Maximum additional percentage of contribution by employee in order to qualify for 50% matching portion under the plan, option one | 2.00% | ||
Percentage of employer's matching contribution of first 6% of participant's contribution, option two | 50.00% | ||
Maximum percentage contribution by employee in order to be eligible for 50% matching portion under the plan, option two | 6.00% | ||
Percentage of employer's matching contribution of first 3% of participant's contribution, option three | 100.00% | ||
Maximum percentage of contribution by employee in order to be eligible for 100% matching portion under the plan, option three | 3.00% | ||
Percentage of employer's matching contribution of next 3% of participant's contribution, option three | 50.00% | ||
Maximum additional percentage of contribution by employee in order to qualify for 50% matching portion under the plan, option three | 3.00% | ||
Automatic enrollment vesting period (in years) | 1 year | ||
Non-elective contribution vesting period (in years) | 3 years | ||
Percentage of participant's pre-tax contribution in automatic enrollment, option four | 6.00% | ||
Percentage of employer's matching contribution of first 3% of participant's contribution in automatic enrollment, option four | 100.00% | ||
Percentage of participant's contribution in automatic enrollment for which 100% of employer's matching contribution has been made, option three | 3.00% | ||
Percentage of employer's matching contribution of next 3% of participant's contribution in automatic enrollment, option four | 50.00% | ||
Percentage of participant's contribution in automatic enrollment for which 50% of employer's matching contribution has been made, option three | 3.00% | ||
Employer contributions | $51,205 | $48,379 | $37,377 |
Collective bargaining agreements | |||
Number of employees exceeding the value, employed as of period end | 9,000 | ||
Number of locations at which the majority of covered employees work | 5 | ||
Percentage of employees covered by collective bargaining agreements | 20.00% | ||
Number of locations with multiple collective bargaining agreements | 1 | ||
Number of collective bargaining agreements at locations with multiple CBAs | 2 | ||
Number of collective bargaining agreements that expire in calendar 2012 | 1 | ||
Defined Contribution Plan Employer Matching Contribution Percentage of First 5 Percent of Employee Contribution [Table Text Block] | 1 | ||
Defined contribution plan employer matching contribution percentage of employee contribution | 5.00% | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $2,778 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Current: | |||
US | $116,651 | $222,165 | $260,915 |
Non-US | 0 | 0 | 0 |
Income from continuing operations, before income taxes and noncontrolling interest | 116,651 | 222,165 | 260,915 |
Current: | |||
Federal | 42,625 | 60,674 | 84,615 |
State | 2,518 | 1,378 | 5,820 |
Deferred: | |||
Federal | -2,599 | -3,433 | -15,701 |
State | -3,427 | 3,923 | -988 |
Income tax provision | 39,117 | 62,542 | 73,746 |
Items responsible for the differences between the federal statutory rate and ATK's effective rate | |||
Statutory federal income tax rate (as a percent) | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal impact (as a percent) | -0.50% | 1.10% | 2.10% |
Domestic manufacturing deduction (as a percent) | -6.90% | -3.20% | -2.90% |
Effective Income Tax Rate Reconciliation Goodwill Impairment | 10.30% | 0.00% | 0.00% |
Research and development credit (as a percent) | -2.90% | -1.70% | -1.00% |
Change in prior year contingent tax liabilities (as a percent) | -3.30% | -4.40% | -4.20% |
Effective Income Tax Rate Reconciliation - Nondeductible Transaction Costs | 6.60% | 0.00% | 0.00% |
Other (as a percent) | -2.30% | 1.20% | -1.00% |
Change in valuation allowance (as a percent) | -2.50% | 0.20% | 0.30% |
Income tax provision (as a percent) | 33.50% | 28.20% | 28.30% |
Components of Deferred Tax Assets [Abstract] | |||
Retirement benefits | 344,674 | 206,789 | |
Other | 54,367 | 28,532 | |
Other reserves | 27,358 | 21,212 | |
Accruals for employee benefits | 46,691 | 29,037 | |
Inventory | 10,893 | 14,365 | |
Contract method of revenue recognition | 31,305 | 23,817 | |
Total deferred income tax assets before valuation allowance | 515,288 | 323,752 | |
Valuation allowance | -8,836 | -7,167 | |
Total deferred income tax assets | 506,452 | 316,585 | |
Components of Deferred Tax Liabilities [Abstract] | |||
Intangible assets | -110,014 | -44,991 | |
Property, plant and equipment | -127,343 | -73,768 | |
Debt-related | -21,290 | -67,877 | |
Total deferred income tax liabilities | -258,647 | -186,636 | |
Net deferred income tax assets | $247,805 | $129,949 |
Income_Taxes_Unrecognized_Tax_
Income Taxes - Unrecognized Tax Benefits (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest and penalties | |||
Unrecognized Tax Benefits - beginning of period | $32,317 | $25,657 | $34,715 |
Gross increases - tax positions in prior periods | 21,369 | 15,412 | 158 |
Gross decreases - tax positions in prior periods | -8,193 | -13,172 | -13,116 |
Gross increases - current-period tax positions | 1,571 | 4,573 | 5,376 |
Settlements | -2,786 | 0 | -1,298 |
Lapse of statute of limitations | -1,779 | -153 | -178 |
Unrecognized Tax Benefits - end of period | $42,499 | $32,317 | $25,657 |
Income_Taxes_Narrative_Details
Income Taxes - Narrative (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Operating loss and tax credit carryforwards | ||
Deferred Tax Assets, Valuation Allowance | $8,836 | $7,167 |
Unrecognized Tax Benefits Including Interest And Penalties | 44,290 | 35,138 |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 40,411 | 29,046 |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Amount of Unrecorded Benefit | 466 | |
Estimated Minimum Increase (Decrease) in Earnings Related to Settlement of Unrecognized Tax Benefits | 0 | |
Estimated Maximum Increase (Decrease) in Earnings Related to Settlement of Unrecognized Tax Benefits | 299 | |
Period after which Tax Positions Classified as Non-Current Income Tax Liabilities | 1 year | |
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | 1,503 | 1,454 |
Unrecognized Tax Benefits, Income Tax Penalties Accrued | 289 | 1,367 |
Expire through fiscal 2015 | ||
Operating loss and tax credit carryforwards | ||
Tax credit and net operating loss carryforwards | 7,389 | |
Indefinite | ||
Operating loss and tax credit carryforwards | ||
Alternative minimum tax credits | $8,827 |
Commitments_Details
Commitments (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Contractual obligation | |||
Rent expenses | $72,826 | $67,972 | $74,220 |
Minimum | |||
Contractual obligation | |||
Operating leases renewal period (in years) | 1 year | ||
Maximum | |||
Contractual obligation | |||
Operating leases renewal period (in years) | 5 years | ||
Operating leases | |||
Contractual obligation payment schedule | |||
Fiscal 2016 | 79,302 | ||
Fiscal 2017 | 70,595 | ||
Fiscal 2018 | 64,197 | ||
Fiscal 2019 | 59,382 | ||
Fiscal 2020 | 53,926 | ||
Thereafter | 120,941 | ||
Total | $448,343 |
Contingencies_Details
Contingencies (Details) (USD $) | 0 Months Ended | 1 Months Ended | 12 Months Ended | ||
Mar. 27, 2015 | Jul. 30, 2013 | Dec. 31, 2001 | Mar. 31, 2015 | Mar. 31, 2014 | |
Loss Contingency [Abstract] | |||||
Loss Contingency, Damages Sought, Value | $100,000,000 | ||||
Loss Contingency, Damages Paid, Value | 25,000,000 | ||||
Unbilled receivables for contract claims | 42,055,000 | 35,113,000 | |||
Recorded Third-Party Environmental Recoveries, Discount Rate | 0.50% | 1.50% | |||
Treasury constant maturities rate used to estimate discount rate (in years) | 20 years | ||||
Estimated inflationary factor (as a percent) | 1.90% | ||||
Rounding precision of estimated inflationary factor (as a percent) | 0.25% | ||||
Utah State Estimated Damages | 139,000,000 | ||||
Environmental remediation | |||||
Amounts (payable) receivable | -51,749,000 | -58,194,000 | |||
Unamortized discount | 1,624,000 | 4,706,000 | |||
Accrual for Environmental Loss Contingencies, Net | -50,125,000 | -53,488,000 | |||
Amounts (payable) receivable | 26,506,000 | 28,540,000 | |||
Unamortized discount | -750,000 | -2,152,000 | |||
Accrual for Environmental Loss Contingencies Net of Recoveries | 25,756,000 | 26,388,000 | |||
Discounted liability recorded in other current liabilities | 6,799,000 | ||||
Discounted liability recorded in other long-term liabilities | 43,326,000 | 44,417,000 | |||
Discounted receivable recorded in other current assets | 1,985,000 | ||||
Discounted receivable recorded in other non-current assets | 23,771,000 | ||||
Threshold for Hercules to indemnify the Company for environmental remediation | 50,000,000 | ||||
Aggregate undiscounted amounts payable for environmental remediation costs, net of expected recoveries | |||||
Fiscal 2016 | 3,640,000 | ||||
Fiscal 2017 | 324,000 | ||||
Fiscal 2018 | 299,000 | ||||
Fiscal 2019 | 2,295,000 | ||||
Fiscal 2020 | 1,974,000 | ||||
Thereafter | 16,711,000 | ||||
Total | 25,243,000 | ||||
Minimum | |||||
Acquisitions | |||||
Period beyond balance sheet date for classifying the environmental remediation as non-current (in years) | 1 year | ||||
Estimated discounted reasonably possible costs of environmental remediation | 50,125,000 | ||||
Maximum | |||||
Acquisitions | |||||
Estimated discounted reasonably possible costs of environmental remediation | 82,292,000 | ||||
Thiokol | Environmental Remediation Cost Sharing Level 1 | Maximum | |||||
Acquisitions | |||||
Threshold for environmental remediation if costs are not recovered through U.S. Government contracts | 14,000,000 | ||||
Thiokol | Environmental Remediation Cost Sharing Level 2 | Minimum | |||||
Acquisitions | |||||
Threshold for environmental remediation if costs are not recovered through U.S. Government contracts | 14,000,000 | ||||
Thiokol | Environmental Remediation Cost Sharing Level 2 | Maximum | |||||
Acquisitions | |||||
Threshold for environmental remediation if costs are not recovered through U.S. Government contracts | 34,000,000 | ||||
Thiokol | Environmental Remediation Cost Sharing Level 3 | Minimum | |||||
Acquisitions | |||||
Threshold for environmental remediation if costs are not recovered through U.S. Government contracts | $34,000,000 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
plan | |||
award | |||
Stock-Based Compensation | |||
Number of authorized shares of preferred stock | 5,000,000 | ||
Par value of preferred stock (in dollars per share) | $1 | ||
Number of stock-based incentive plans | 5 | ||
Legacy ATK stock-based incentive plans | 3 | ||
Legacy Orbital Sciences stock-based incentive plans | 2 | ||
Number of plans under which no new grants are being made | 4 | ||
Number of types of awards outstanding under the entity's stock incentive plans | 5 | ||
Shares Paid Upon Vesting of Restricted Stock Units | 107,976 | ||
Share reserved for vesting of restricted stock units for fiscal 2014-2016 | 40,707 | ||
Shares reserved for vesting of restricted stock units fiscal 2015-2017 | 65,157 | ||
Weighted average fair value of awards granted (in dollars per share) | $81.88 | $114.65 | $63.17 |
Share-based compensation, additional disclosures | |||
Total pre-tax stock-based compensation expense | $25,325 | $12,701 | $12,025 |
Total income tax benefit recognized in the income statement for share-based compensation | $8,761 | $4,874 | $4,661 |
Restricted Stock | |||
Stock-Based Compensation | |||
Restricted stock granted to non-employee directors and certain key employees (in shares) | 139,093 | 127,425 | 102,216 |
Restricted Stock | Minimum | |||
Share-based compensation, additional disclosures | |||
Minimum vesting period (in years) | 1 year | ||
Restricted Stock | Maximum | |||
Share-based compensation, additional disclosures | |||
Minimum vesting period (in years) | 3 years | ||
Stock options | |||
Weighted average assumptions used in estimating the value of the award | |||
Expected volatility (as a percent) | 27.67% | 25.87% | |
Share-based compensation, additional disclosures | |||
Number of years upon which expected volatility is based | 7 years | ||
Weighted average fair value of options granted (in dollars per share) | $39.81 | $35.34 | $14.36 |
Stock options | Minimum | |||
Weighted average assumptions used in estimating the value of the award | |||
Risk-free rate (as a percent) | 1.86% | 1.02% | |
Expected volatility (as a percent) | 25.95% | ||
Expected dividend yield (as a percent) | 1.27% | 1.49% | |
Share-based compensation, additional disclosures | |||
Minimum vesting period (in years) | 1 year | ||
Minimum terms of options (in years) | 7 years | ||
Maximum terms of options (in years) | 10 years | ||
Stock options | Maximum | |||
Weighted average assumptions used in estimating the value of the award | |||
Risk-free rate (as a percent) | 2.07% | 1.22% | |
Expected volatility (as a percent) | 26.71% | ||
Expected dividend yield (as a percent) | 1.58% | 1.90% | |
Share-based compensation, additional disclosures | |||
Minimum vesting period (in years) | 3 years | ||
Employee Stock Option [Member] | |||
Weighted average assumptions used in estimating the value of the award | |||
Risk-free rate (as a percent) | 1.82% | ||
Expected dividend yield (as a percent) | 0.99% | ||
Expected award life (in years) | 7 years | 7 years | 7 years |
Stock-based Incentive Plan Total Stockholder Return Performance Awards [Member] | |||
Stock-Based Compensation | |||
Shares payable upon achievement of earnings per share growth | 50.00% | ||
Shares payable upon achievement of absolute sales growth | 50.00% | ||
Restricted stock granted to non-employee directors and certain key employees (in shares) | 80,265 | 27,862 | |
Number of shares forfeited in the period resulting from performance goals not being met | 9,458 | ||
TRS awards converted to time-vesting restricted stock units | 18,404 | ||
Weighted average fair value of awards granted (in dollars per share) | $94.93 | $85.92 | |
Weighted average assumptions used in estimating the value of the award | |||
Risk-free rate (as a percent) | 1.02% | 0.81% | |
Expected volatility (as a percent) | 22.81% | 26.64% | |
Expected dividend yield (as a percent) | 1.78% | 0.97% | |
Expected award life (in years) | 3 years | ||
2005 Stock Incentive Plan | |||
Stock-Based Compensation | |||
Number of authorized common shares | 3,982,360 | ||
Number of available shares to be granted | 504,429 | ||
Performance awards | |||
Stock-Based Compensation | |||
Number of shares reserved | 80,265 |
Stockholders_Equity_Details_2
Stockholders' Equity (Details 2) (USD $) | 12 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Stock option activity, Shares | ||||
Exercised (in shares) | 0 | |||
Performance share award, TSR award, and restricted stock award activity, Shares | ||||
Converted in conjunction with the Merger | $71.29 | |||
Performance share award, TSR award, and restricted stock award activity, Weighted Average Exercise Price | ||||
Nonvested at beginning of the period, Weighted average grant date fair value (in dollars per share) | $83.91 | $65.42 | $67.08 | |
Granted, Weighted average grant date fair value (in dollars per share) | $81.88 | $114.65 | $63.17 | |
Converted in conjunction with the Merger | $71.29 | |||
Canceled/forfeited, Weighted average grant date fair value (in dollars per share) | $87.05 | $68.65 | $69.44 | |
Vested, Weighted average grant date fair value (in dollars per share) | $72.50 | $66.60 | $68.59 | |
Nonvested at end of the period, Weighted average grant date fair value (in dollars per share) | $77.02 | $83.91 | $65.42 | |
Performance Share and TSR Awards [Member] | ||||
Performance share award, TSR award, and restricted stock award activity, Shares | ||||
Nonvested at the beginning of the period (in shares) | 308,092 | 491,016 | 693,567 | |
Granted (in shares) | 161,661 | 113,212 | 100,820 | |
Canceled/forfeited (in shares) | -309,223 | -200,557 | -267,519 | |
Vested (in shares) | 0 | -95,579 | -35,852 | |
Nonvested at the end of the period (in shares) | 160,530 | 308,092 | 491,016 | |
Restricted Stock Unit [Member] | ||||
Performance share award, TSR award, and restricted stock award activity, Shares | ||||
Converted in conjunction with the Merger | $647,436 | |||
Vested (in shares) | -146,497 | |||
Nonvested at the end of the period (in shares) | 500,939 | |||
Performance share award, TSR award, and restricted stock award activity, Weighted Average Exercise Price | ||||
Converted in conjunction with the Merger | $647,436 | |||
Restricted Stock Award [Member] | ||||
Performance share award, TSR award, and restricted stock award activity, Shares | ||||
Nonvested at the beginning of the period (in shares) | 282,944 | 267,426 | 282,674 | |
Granted (in shares) | 139,094 | 127,451 | 112,716 | |
Canceled/forfeited (in shares) | -13,521 | -13,526 | -19,807 | |
Vested (in shares) | -195,882 | -98,407 | -108,157 | |
Nonvested at the end of the period (in shares) | 212,635 | 282,944 | 267,426 | |
Stock options | ||||
Stock option activity, Shares | ||||
Outstanding at beginning of period (in shares) | 270,405 | 262,248 | 418,122 | |
Granted (in shares) | 73,100 | 47,490 | 114,628 | |
Exercised (in shares) | -13,173 | -93,617 | ||
Forfeited/expired (in shares) | -26,160 | -176,885 | ||
Converted in conjunction with the Merger (in shares) | 11,225 | |||
Outstanding at end of period (in shares) | 354,730 | 270,405 | 262,248 | 418,122 |
Options exercisable at end of period (in shares) | 230,715 | 114,083 | 70,145 | |
Stock option activity, Weighted Average Exercise Price | ||||
Outstanding at beginning of period (in dollars per share) | $74.11 | $61.72 | $62.02 | |
Granted (in dollars per share) | $72.06 | $130.86 | $65.32 | |
Exercised (in dollars per share) | $55.32 | $58.34 | ||
Forfeited/expired (in dollars per share) | $62.34 | $66.55 | ||
Converted in conjunction with the Merger (in dollars per share) | $27.45 | |||
Outstanding at end of period (in dollars per share) | $41.83 | $74.11 | $61.72 | $62.02 |
Options exercisable at end of period (in dollars per share) | $64.32 | $61.63 | $61.28 | |
Weighted Average Remaining Contractual Term | ||||
Options outstanding, Weighted Average Remaining Contractual Life (in years) | 7 years 9 months 29 days | 8 years 3 months 18 days | 2 years 8 months 12 days | 2 years 8 months 12 days |
Options exercisable, Weighted Average Remaining Contractual Life (in years) | 7 years 0 months 15 days | 8 years | 5 years 2 months 12 days | |
Aggregate Intrinsic Value | ||||
Options outstanding, Aggregate intrinsic value | $34.80 | $68.04 | $0 | |
Options exercisable, Aggregate Intrinsic Value | $44.99 | $80.52 | $13.98 | |
Share-based compensation, additional disclosures | ||||
Total intrinsic value of options exercised | $295 | $505 | ||
Total cash received from options exercised | 729 | 5,462 | ||
Performance share award, TSR award, and restricted stock award | ||||
Share-based compensation, additional disclosures | ||||
Total unrecognized compensation cost related to nonvested stock-based compensation awards | $56,546 | |||
Nonvested stock-based compensation expected to be realized over a weighted average period (in years) | 2 years 1 month 12 days |
Stockholders_Equity_Details_3
Stockholders' Equity (Details 3) (USD $) | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 11, 2015 | |
Equity [Abstract] | ||||
The limit of repurchase of common stock authorized. | $200,000,000 | $75,000,000 | ||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 1,000,000 | |||
Period for repurchase of shares (in years) | 2 years | |||
Number of shares repurchased | 609,922 | 1,003,938 | ||
Value of shares repurchased | $52,130,000 | $59,511,000 |
Restructuring_Costs_Details
Restructuring Costs (Details) (USD $) | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2013 | |
Realignment liability activity | ||
Balance at the beginning of the period | $0 | $0 |
Restructuring Charges | 25,619,000 | |
Cash paid | -3,694,000 | |
Non-cash settlements | -3,166,000 | |
Balance at the end of the period | 18,759,000 | 0 |
Termination benefits | ||
Realignment liability activity | ||
Balance at the beginning of the period | 0 | |
Restructuring Charges | 9,595,000 | |
Cash paid | -1,263,000 | |
Non-cash settlements | 0 | |
Balance at the end of the period | 8,332,000 | |
Remaining lease rentals [Member] | ||
Realignment liability activity | ||
Restructuring Charges | 11,473,000 | |
Cash paid | -1,046,000 | |
Balance at the end of the period | 10,427,000 | |
Asset impairment | ||
Realignment liability activity | ||
Balance at the beginning of the period | 0 | |
Restructuring Charges | 3,166,000 | |
Cash paid | 0 | |
Non-cash settlements | -3,166,000 | |
Balance at the end of the period | 0 | |
Facility closure and other costs | ||
Realignment liability activity | ||
Balance at the beginning of the period | 0 | |
Restructuring Charges | 1,385,000 | |
Cash paid | -1,385,000 | |
Non-cash settlements | 0 | |
Balance at the end of the period | $0 |
Operating_Segment_Information_1
Operating Segment Information (Details) (USD $) | 2 Months Ended | 3 Months Ended | 10 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2015 | Dec. 28, 2014 | Sep. 28, 2014 | Jun. 29, 2014 | Mar. 31, 2014 | Dec. 29, 2013 | Sep. 29, 2013 | Jun. 30, 2013 | Feb. 08, 2015 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
segment | segment | ||||||||||||
Segment Reporting [Abstract] | |||||||||||||
Number of operating segments | 2 | 3 | |||||||||||
Results by operating segment | |||||||||||||
Sales | $969,539 | $746,866 | $743,202 | $714,360 | $791,414 | $686,526 | $724,534 | $722,763 | $3,173,967 | $2,925,237 | $3,206,096 | ||
Revenues from External Customers from Military Small Caliber Ammunition Contract, Percentage | 13.00% | 9.00% | 19.00% | ||||||||||
Goodwill impairment | 34,300 | 0 | 0 | ||||||||||
Sales to Vista under supply agreement | 18,928 | ||||||||||||
Sales to Sporting | 170,818 | 273,246 | 143,122 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 969,539 | 746,866 | 743,202 | 714,360 | 791,414 | 686,526 | 724,534 | 722,763 | 3,173,967 | 2,925,237 | 3,206,096 | ||
Capital expenditures | 112,704 | 105,730 | 73,494 | ||||||||||
Depreciation | 75,764 | 69,192 | 77,605 | ||||||||||
Amortization of intangible assets | 9,263 | 3,112 | 3,330 | ||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 231,953 | 301,957 | 338,074 | ||||||||||
Assets | 5,504,402 | 5,504,402 | 5,857,777 | 5,504,402 | 5,857,777 | 3,575,256 | |||||||
Asset - Operating Segment | 3,423,521 | 3,423,521 | |||||||||||
Sales | Contract Concentration Risk | |||||||||||||
Results by operating segment | |||||||||||||
Threshold percentage of sales accounted for by single contract or single commercial customer | 10.00% | 10.00% | 10.00% | ||||||||||
Sales | Customer concentration | |||||||||||||
Results by operating segment | |||||||||||||
Percentage of sales to major customer | 100.00% | 100.00% | 100.00% | ||||||||||
Segment Sales | Customer concentration | |||||||||||||
Results by operating segment | |||||||||||||
Threshold percentage of sales accounted for by single contract or single commercial customer | 10.00% | 10.00% | 10.00% | ||||||||||
U.S. Government | Sales | Customer concentration | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 2,388,816 | 2,465,436 | 2,781,085 | ||||||||||
Percentage of sales to major customer | 75.00% | 84.00% | 87.00% | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 2,388,816 | 2,465,436 | 2,781,085 | ||||||||||
Foreign customers | Sales | Geographic Concentration | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 612,934 | 348,297 | 329,855 | ||||||||||
Threshold percentage of sales accounted for by single contract or single commercial customer | 6.00% | ||||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 612,934 | 348,297 | 329,855 | ||||||||||
Flight Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 1,094,208 | 911,232 | 928,827 | ||||||||||
Goodwill impairment | 0 | ||||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 1,094,208 | 911,232 | 928,827 | ||||||||||
Capital expenditures | 48,861 | 54,660 | 36,245 | ||||||||||
Depreciation | 34,930 | 34,490 | 33,515 | ||||||||||
Amortization of intangible assets | 1,232 | 1,248 | 1,466 | ||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 145,753 | 110,882 | 117,367 | ||||||||||
Assets | 2,047,966 | 2,047,966 | 1,361,544 | 2,047,966 | 1,361,544 | 1,286,861 | |||||||
Flight Systems Group [Member] | Foreign customers | Sales | Geographic Concentration | |||||||||||||
Results by operating segment | |||||||||||||
Sales to external customers (as a percent) | 31.00% | ||||||||||||
Defense Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 1,890,534 | 1,950,784 | 2,109,671 | ||||||||||
Goodwill impairment | 0 | ||||||||||||
Benefit from a favorable contract resolution recognized | 27,400 | ||||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 1,890,534 | 1,950,784 | 2,109,671 | ||||||||||
Capital expenditures | 44,243 | 42,061 | 25,518 | ||||||||||
Depreciation | 23,067 | 20,110 | 30,055 | ||||||||||
Amortization of intangible assets | 1,864 | 1,864 | 1,864 | ||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | 188,963 | 210,669 | 270,498 | ||||||||||
Assets | 1,320,425 | 1,320,425 | 1,209,150 | 1,320,425 | 1,209,150 | 1,122,416 | |||||||
Defense Systems Group [Member] | Foreign customers | Sales | Geographic Concentration | |||||||||||||
Results by operating segment | |||||||||||||
Sales to external customers (as a percent) | 57.00% | ||||||||||||
Space Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 413,295 | 371,200 | 347,870 | ||||||||||
Goodwill impairment | 34,300 | ||||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 413,295 | 371,200 | 347,870 | ||||||||||
Capital expenditures | 5,718 | 6,760 | 6,513 | ||||||||||
Depreciation | 11,029 | 8,173 | 7,860 | ||||||||||
Amortization of intangible assets | 0 | 0 | 0 | ||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | -3,824 | 30,810 | 27,025 | ||||||||||
Assets | 1,467,948 | 1,467,948 | 285,019 | 1,467,948 | 285,019 | 293,914 | |||||||
Space Systems Group [Member] | Foreign customers | Sales | Geographic Concentration | |||||||||||||
Results by operating segment | |||||||||||||
Sales to external customers (as a percent) | 12.00% | ||||||||||||
Corporate | |||||||||||||
Results by operating segment | |||||||||||||
Sales | -224,070 | -307,979 | -180,272 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | -224,070 | -307,979 | -180,272 | ||||||||||
Capital expenditures | 13,882 | 2,249 | 5,218 | ||||||||||
Depreciation | 6,738 | 6,419 | 6,175 | ||||||||||
Income from continuing operations, before interest, income taxes and noncontrolling interest | -98,939 | -50,404 | -76,816 | ||||||||||
Assets | 668,063 | 668,063 | 567,808 | 668,063 | 567,808 | 872,065 | |||||||
Operating Segments [Member] | Flight Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 1,065,058 | 902,683 | 918,614 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 1,065,058 | 902,683 | 918,614 | ||||||||||
Operating Segments [Member] | Defense Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 1,712,300 | 1,667,707 | 1,957,650 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 1,712,300 | 1,667,707 | 1,957,650 | ||||||||||
Operating Segments [Member] | Space Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 396,609 | 354,847 | 329,832 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 396,609 | 354,847 | 329,832 | ||||||||||
Intersegment Eliminations [Member] | Flight Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 29,150 | 8,549 | 10,213 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 29,150 | 8,549 | 10,213 | ||||||||||
Intersegment Eliminations [Member] | Defense Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 178,234 | 283,077 | 152,021 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 178,234 | 283,077 | 152,021 | ||||||||||
Intersegment Eliminations [Member] | Space Systems Group [Member] | |||||||||||||
Results by operating segment | |||||||||||||
Sales | 16,686 | 16,353 | 18,038 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | 16,686 | 16,353 | 18,038 | ||||||||||
Intersegment Eliminations [Member] | Corporate | |||||||||||||
Results by operating segment | |||||||||||||
Sales | -224,070 | -307,979 | -180,272 | ||||||||||
Segment Reconciliation [Abstract] | |||||||||||||
Sales | ($224,070) | ($307,979) | ($180,272) |
Quarterly_Financial_Data_Unaud2
Quarterly Financial Data (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Dec. 28, 2014 | Sep. 28, 2014 | Jun. 29, 2014 | Mar. 31, 2014 | Dec. 29, 2013 | Sep. 29, 2013 | Jun. 30, 2013 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Sales | $969,539 | $746,866 | $743,202 | $714,360 | $791,414 | $686,526 | $724,534 | $722,763 | $3,173,967 | $2,925,237 | $3,206,096 |
Gross Profit | 212,541 | 165,527 | 163,384 | 162,650 | 177,805 | 147,576 | 163,835 | 158,082 | 704,102 | 647,298 | 684,819 |
Income (Loss) from Continuing Operations Attributable to Parent | -40,707 | 45,155 | 41,214 | 31,773 | 38,794 | 26,851 | 52,741 | 41,066 | 77,435 | 159,452 | 186,733 |
Income from discontinued operations, before income taxes | 16,837 | 492 | 53,895 | 53,825 | 57,211 | 53,435 | 39,849 | 30,968 | 205,463 | 288,349 | 131,569 |
Net Income (Loss) Available to Common Stockholders, Basic | ($23,870) | $45,647 | $95,109 | $85,598 | $96,005 | $80,286 | $92,590 | $72,034 | $202,484 | $340,915 | $271,805 |
Continuing operations | ($0.87) | $1.42 | $1.30 | $1.01 | $1.23 | $0.84 | $1.65 | $1.29 | $2.18 | $5.03 | $5.76 |
Discontinued operations | $0.36 | $0.02 | $1.70 | $1.70 | $1.81 | $1.69 | $1.25 | $0.98 | $3.53 | $5.73 | $2.62 |
Basic (in dollars per share) | ($0.51) | $1.44 | $3 | $2.71 | $3.04 | $2.53 | $2.90 | $2.27 | $5.71 | $10.76 | $8.38 |
Continuing operations | ($0.87) | $1.41 | $1.29 | $0.96 | $1.17 | $0.83 | $1.64 | $1.26 | $2.14 | $4.87 | $5.73 |
Discontinued operations | $0.36 | $0.02 | $1.68 | $1.63 | $1.73 | $1.65 | $1.24 | $0.96 | $3.46 | $5.55 | $2.61 |
Diluted (in dollars per share) | ($0.51) | $1.43 | $2.97 | $2.59 | $2.90 | $2.48 | $2.88 | $2.22 | $5.60 | $10.42 | $8.34 |
Common Stock, Dividends, Per Share, Declared | $0.58 | $0.32 | $0.32 | $0.32 | $0.32 | $0.26 | $0.26 | $0.26 | |||
Common Stock, Dividends, Per Share, Cash Paid | $0.32 | $0.32 | $0.32 | $0.32 | $0.32 | $0.26 | $0.26 | $0.26 | $1.28 | $1.10 | $0.92 |
Recovered_Sheet1
Quarterly Financial Data (unaudited) - Narrative (Details) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | |||||
Mar. 31, 2015 | Mar. 31, 2015 | Jun. 21, 2013 | Dec. 29, 2013 | Oct. 31, 2013 | Sep. 28, 2014 | Mar. 31, 2005 | Feb. 09, 2015 | |
Results by operating segment | ||||||||
Payments for Merger Related Costs | $34,900,000 | |||||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | 1,757,977,000 | |||||||
Company common stock issued to Orbital Sciences stockholders | 27.4 | 27.4 | ||||||
Purchase price of Bushnell | 989,066,000 | |||||||
Senior credit facility and 5.25% notes principal balance | 1,560,000,000 | |||||||
3.00% Convertible Senior Subordinated Notes due 2024 | ||||||||
Results by operating segment | ||||||||
Debt instrument interest rate stated percentage | 3.00% | 3.00% | ||||||
Total Convertible Debt Payment Including Premium | 354,000,000 | |||||||
Principal Payment on Convertible Notes | 199,440,000 | |||||||
Payment in Excess of Principal Recorded to APIC | 154,000,000 | |||||||
Debt Instrument, Face Amount | 200,000,000 | |||||||
Term A Loan Accordion due January 2019 [Member] | ||||||||
Results by operating segment | ||||||||
Debt Instrument, Face Amount | 150,000,000 | 150,000,000 | ||||||
2013 Term Loan B notes [Member] | ||||||||
Results by operating segment | ||||||||
Partial Payment of Principal on Term Loan B | 50,000,000 | 50,000,000 | ||||||
Senior Subordinated Notes 6.875 Percent Due 2020 [Member] | ||||||||
Results by operating segment | ||||||||
Debt instrument interest rate stated percentage | 6.88% | 6.88% | ||||||
Principal Payment on Redemption of Notes in Full | 350,000,000 | |||||||
Make-whole Premium on 6.875 Percent Note | 22,904,000 | |||||||
Write off of Deferred Debt Issuance Cost | 3,722,000 | |||||||
Savage Sports Corporation [Member] | ||||||||
Results by operating segment | ||||||||
Payments to Acquire Businesses, Gross | 315,000,000 | |||||||
Defense Systems Group [Member] | ||||||||
Results by operating segment | ||||||||
Gain (Loss) on Contract Termination | $27,400,000 |