Document_and_Entity_Informatio
Document and Entity Information Document (USD $) | 12 Months Ended | ||
In Billions, except Share data, unless otherwise specified | Dec. 31, 2013 | Feb. 14, 2014 | Jun. 30, 2013 |
Entity Information [Line Items] | ' | ' | ' |
Entity Registrant Name | 'AGCO CORP /DE | ' | ' |
Entity Central Index Key | '0000880266 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Dec-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 93,689,239 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $4.60 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Net sales | $10,786.90 | $9,962.20 | $8,773.20 |
Cost of goods sold | 8,396.30 | 7,839 | 6,997.10 |
Gross profit | 2,390.60 | 2,123.20 | 1,776.10 |
Selling, general and administrative expenses | 1,088.70 | 1,041.20 | 869.3 |
Engineering expenses | 353.4 | 317.1 | 275.6 |
Restructuring and other infrequent income | 0 | 0 | -0.7 |
Impairment charge | 0 | 22.4 | 0 |
Amortization of intangibles | 47.8 | 49.3 | 21.6 |
Income from operations | 900.7 | 693.2 | 610.3 |
Interest expense, net | 58 | 57.6 | 30.2 |
Other expense, net | 40.1 | 34.8 | 19.1 |
Income before income taxes and equity in net earnings of affiliates | 802.6 | 600.8 | 561 |
Income tax provision | 258.5 | 137.9 | 24.6 |
Income before equity in net earnings of affiliates | 544.1 | 462.9 | 536.4 |
Equity in net earnings of affiliates | 48.2 | 53.5 | 48.9 |
Net income | 592.3 | 516.4 | 585.3 |
Net loss (income) attributable to noncontrolling interests | 4.9 | 5.7 | -2 |
Net income attributable to AGCO Corporation and subsidiaries | $597.20 | $522.10 | $583.30 |
Net income per common share attributable to AGCO Corporation and subsidiaries: | ' | ' | ' |
Basic (in dollars per share) | $6.14 | $5.38 | $6.10 |
Diluted (in dollars per share) | $6.01 | $5.30 | $5.95 |
Cash dividends declared and paid per common share | $0.40 | $0 | $0 |
Weighted average number of common and common equivalent shares outstanding: | ' | ' | ' |
Basic (in shares) | 97.3 | 97.1 | 95.6 |
Diluted (in shares) | 99.4 | 98.6 | 98.1 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Statement of Comprehensive Income [Abstract] | ' | ' | ' | |||
Net income | $592.30 | $516.40 | $585.30 | |||
Defined benefit pension plans, net of taxes: | ' | ' | ' | |||
Prior service cost arising during year | 0 | -2.5 | -5 | |||
Net actuarial gain (loss) arising during year | 45.2 | -28.2 | -61.8 | |||
Amortization of prior service cost included in net periodic pension cost | 0.6 | 0.4 | 0.1 | |||
Amortization of net actuarial losses included in net periodic pension cost | 10.7 | 7.6 | 5.6 | |||
Derivative adjustments: | ' | ' | ' | |||
Net changes in fair value of derivatives | -1.4 | [1] | -3.1 | [1] | -0.2 | [1] |
Net losses (gains) reclassified from accumulated other comprehensive loss into income | 0.5 | [1] | 8.1 | [1] | -5.2 | [1] |
Net changes in fair value of derivatives held by affiliates | 0 | 0 | 2.5 | |||
Foreign currency translation adjustments | -87.2 | -62.7 | -204.6 | |||
Other comprehensive loss, net of reclassification adjustments | -31.6 | -80.4 | -268.6 | |||
Comprehensive income | 560.7 | 436 | 316.7 | |||
Comprehensive loss (income) attributable to noncontrolling interests | 5.2 | 7.3 | -1.9 | |||
Comprehensive income attributable to AGCO Corporation and subsidiaries | $565.90 | $443.30 | $314.80 | |||
[1] | Rounding may impact summation of amounts. |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $1,047.20 | $781.30 |
Accounts and notes receivable, net | 940.6 | 924.6 |
Inventories, net | 2,016.10 | 1,703.10 |
Deferred tax assets | 241.2 | 243.5 |
Other current assets | 272 | 302.2 |
Total current assets | 4,517.10 | 3,954.70 |
Property, plant and equipment, net | 1,602.30 | 1,406.10 |
Investment in affiliates | 416.1 | 390.3 |
Deferred tax assets | 24.4 | 40 |
Other assets | 134.6 | 131.2 |
Intangible assets, net | 565.6 | 607.1 |
Goodwill | 1,178.70 | 1,192.40 |
Total assets | 8,438.80 | 7,721.80 |
Current Liabilities: | ' | ' |
Current portion of long-term debt | 110.5 | 59.1 |
Convertible senior subordinated notes | 201.2 | 192.1 |
Accounts payable | 960.3 | 888.3 |
Accrued expenses | 1,389.20 | 1,226.50 |
Other current liabilities | 150.8 | 98.8 |
Total current liabilities | 2,812 | 2,464.80 |
Long-term debt, less current portion | 938.5 | 1,035.60 |
Pensions and postretirement health care benefits | 246.4 | 331.6 |
Deferred tax liabilities | 251.2 | 242.7 |
Other noncurrent liabilities | 145.9 | 149.1 |
Total liabilities | 4,394 | 4,223.80 |
Commitments and contingencies (Note 11) | ' | ' |
Temporary equity | 0 | 16.5 |
AGCO Corporation stockholders’ equity: | ' | ' |
Preferred stock; $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding in 2013 and 2012 | 0 | 0 |
Common stock; $0.01 par value, 150,000,000 shares authorized, 97,362,466 and 96,815,998 shares issued and outstanding at December 31, 2013 and 2012, respectively | 1 | 1 |
Additional paid-in capital | 1,117.90 | 1,082.90 |
Retained earnings | 3,402 | 2,843.70 |
Accumulated other comprehensive loss | -510.7 | -479.4 |
Total AGCO Corporation stockholders’ equity | 4,010.20 | 3,448.20 |
Noncontrolling interests | 34.6 | 33.3 |
Total stockholders’ equity | 4,044.80 | 3,481.50 |
Total liabilities, temporary equity and stockholders’ equity | $8,438.80 | $7,721.80 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets Parenthetical (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 97,362,466 | 96,815,998 |
Common stock, shares outstanding | 97,362,466 | 96,815,998 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Pension Benefits | Cumulative Translation Adjustment | Deferred Gains (Losses) on Derivatives | Noncontrolling Interests | Temporary Equity |
In Millions, except Share data, unless otherwise specified | ||||||||||
Temporary equity, Beginning of Period at Dec. 31, 2010 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning Balance at Dec. 31, 2010 | 2,659.20 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests, Beginning of Period at Dec. 31, 2010 | ' | ' | ' | ' | ' | ' | ' | ' | 0.8 | ' |
Stockholders' Equity Attributable to Parent, Beginning of Period at Dec. 31, 2010 | ' | 0.9 | 1,051.30 | 1,738.30 | -132.1 | -179.1 | 48.4 | -1.4 | ' | ' |
Beginning Balance Shares at Dec. 31, 2010 | ' | 93,143,542 | ' | ' | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | 583.3 | ' | ' | 583.3 | ' | ' | ' | ' | ' | ' |
Net Income (Loss) Attributable to Nonredeemable Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' |
Net income (loss) | 585.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock, shares | ' | 12,034 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock | 0.7 | ' | 0.7 | ' | ' | ' | ' | ' | ' | ' |
Issuance of performance award stock, shares | ' | 51,590 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of performance award stock | -1.5 | ' | -1.5 | ' | ' | ' | ' | ' | ' | ' |
Stock options and SSARs exercised, shares | ' | 60,992 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options and SSARs exercised | -0.7 | ' | -0.7 | ' | ' | ' | ' | ' | ' | ' |
Stock compensation | 23.7 | ' | 23.7 | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Conversion of Convertible Securities | ' | 3,926,574 | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion of 1 3/4% convertible senior subordinated notes | ' | 0.1 | -0.1 | ' | ' | ' | ' | ' | ' | ' |
Investments by redeemable noncontrolling interests | 34.6 | ' | ' | ' | ' | ' | ' | ' | 34.6 | ' |
Distribution to noncontrolling interest | -1.5 | ' | ' | ' | ' | ' | ' | ' | -1.5 | ' |
Change in fair value of noncontrolling interest | 0 | ' | -0.2 | ' | ' | ' | ' | ' | 0.2 | ' |
Defined benefit pension plans, net of taxes: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prior service cost arising during year | -5 | ' | ' | ' | -5 | -5 | ' | ' | ' | ' |
Net actuarial gain (loss) arising during year | -61.8 | ' | ' | ' | -61.8 | -61.8 | ' | ' | ' | ' |
Amortization of prior service cost included in net periodic pension cost | 0.1 | ' | ' | ' | 0.1 | 0.1 | ' | ' | ' | ' |
Amortization of net actuarial losses included in net periodic pension cost | 5.6 | ' | ' | ' | 5.6 | 5.6 | ' | ' | ' | ' |
Deferred gains and losses on derivatives, net | -5.4 | ' | ' | ' | -5.4 | ' | ' | -5.4 | ' | ' |
Deferred gains and losses on derivatives held by affiliates, net | 2.5 | ' | ' | ' | 2.5 | ' | ' | 2.5 | ' | ' |
Reclassification To Temporary Equity [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Change in cumulative translation adjustment | ' | ' | ' | ' | -204.5 | ' | -204.5 | ' | ' | ' |
Change in cumulative translation adjustment | -204.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -204.6 | ' | ' | ' | ' | ' | ' | ' | -0.1 | ' |
Temporary equity, End of Period at Dec. 31, 2011 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ending Balance at Dec. 31, 2011 | 3,031.20 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests, End of Period at Dec. 31, 2011 | ' | ' | ' | ' | ' | ' | ' | ' | 36 | ' |
Stockholders' Equity Attributable to Parent, End of Period at Dec. 31, 2011 | ' | 1 | 1,073.20 | 2,321.60 | -400.6 | -240.2 | -156.1 | -4.3 | ' | ' |
Ending Balance Shares at Dec. 31, 2011 | ' | 97,194,732 | ' | ' | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | 522.1 | ' | ' | 522.1 | ' | ' | ' | ' | ' | ' |
Net Income (Loss) Attributable to Nonredeemable Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' |
Net income (loss) | 525.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) attributable to noncontrolling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | -8.7 |
Issuance of restricted stock, shares | ' | 13,986 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock | 1 | ' | 1 | ' | ' | ' | ' | ' | ' | ' |
Stock options and SSARs exercised, shares | ' | 16,287 | ' | ' | ' | ' | ' | ' | ' | ' |
Stock options and SSARs exercised | -0.3 | ' | -0.3 | ' | ' | ' | ' | ' | ' | ' |
Stock compensation | 35.8 | ' | 35.8 | ' | ' | ' | ' | ' | ' | ' |
Investments by redeemable noncontrolling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | 17.6 |
Distribution to noncontrolling interest | -1.7 | ' | ' | ' | ' | ' | ' | ' | -1.7 | ' |
Changes in noncontrolling interest | -4 | ' | ' | ' | ' | ' | ' | ' | -4 | ' |
Purchases and retirement of common stock, shares | -409,007 | -409,007 | ' | ' | ' | ' | ' | ' | ' | ' |
Purchases and retirement of common stock | -17.6 | ' | -17.6 | ' | ' | ' | ' | ' | ' | ' |
Defined benefit pension plans, net of taxes: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prior service cost arising during year | -2.5 | ' | ' | ' | -2.5 | -2.5 | ' | ' | ' | ' |
Net actuarial gain (loss) arising during year | -28.2 | ' | ' | ' | -28.2 | -28.2 | ' | ' | ' | ' |
Amortization of prior service cost included in net periodic pension cost | 0.4 | ' | ' | ' | 0.4 | 0.4 | ' | ' | ' | ' |
Amortization of net actuarial losses included in net periodic pension cost | 7.6 | ' | ' | ' | 7.6 | 7.6 | ' | ' | ' | ' |
Deferred gains and losses on derivatives, net | 5 | ' | ' | ' | 5 | ' | ' | 5 | ' | ' |
Deferred gains and losses on derivatives held by affiliates, net | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reclassification To Temporary Equity [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reclassification to/from temporary equity - Equity component of convertible senior subordinated notes | -9.2 | ' | -9.2 | ' | ' | ' | ' | ' | ' | 9.2 |
Change in cumulative translation adjustment | ' | ' | ' | ' | -61.1 | ' | -61.1 | ' | ' | ' |
Change in cumulative translation adjustment | -61.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -62.7 | ' | ' | ' | ' | ' | ' | ' | ' | -1.6 |
Temporary equity, End of Period at Dec. 31, 2012 | 16.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ending Balance at Dec. 31, 2012 | 3,481.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests, End of Period at Dec. 31, 2012 | 33.3 | ' | ' | ' | ' | ' | ' | ' | 33.3 | ' |
Stockholders' Equity Attributable to Parent, End of Period at Dec. 31, 2012 | 3,448.20 | 1 | 1,082.90 | 2,843.70 | -479.4 | -262.9 | -217.2 | 0.7 | ' | ' |
Ending Balance Shares at Dec. 31, 2012 | ' | 96,815,998 | ' | ' | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | 597.2 | ' | ' | 597.2 | ' | ' | ' | ' | ' | ' |
Net Income (Loss) Attributable to Nonredeemable Noncontrolling Interest | ' | ' | ' | ' | ' | ' | ' | ' | 4.4 | ' |
Net income (loss) | 601.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income (loss) attributable to noncontrolling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | -9.3 |
Payment of dividends to shareholders | -38.9 | ' | ' | -38.9 | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock, shares | ' | 12,059 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of restricted stock | 0.6 | ' | 0.6 | ' | ' | ' | ' | ' | ' | ' |
Issuance of performance award stock, shares | ' | 491,692 | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of performance award stock | -14.7 | ' | -14.7 | ' | ' | ' | ' | ' | ' | ' |
SSARs exercised, shares | ' | 61,941 | ' | ' | ' | ' | ' | ' | ' | ' |
SSARs exercised | -2.2 | ' | -2.2 | ' | ' | ' | ' | ' | ' | ' |
Stock compensation | 34 | ' | 34 | ' | ' | ' | ' | ' | ' | ' |
Excess tax benefit of stock awards | 11.4 | ' | 11.4 | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Conversion of Convertible Securities | ' | 286 | ' | ' | ' | ' | ' | ' | ' | ' |
Distribution to noncontrolling interest | -3.1 | ' | ' | ' | ' | ' | ' | ' | -3.1 | ' |
Changes in noncontrolling interest | -2.3 | ' | -2.3 | ' | ' | ' | ' | ' | ' | 2.3 |
Purchases and retirement of common stock, shares | -19,510 | -19,510 | ' | ' | ' | ' | ' | ' | ' | ' |
Purchases and retirement of common stock | -1 | ' | -1 | ' | ' | ' | ' | ' | ' | ' |
Defined benefit pension plans, net of taxes: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Prior service cost arising during year | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net actuarial gain (loss) arising during year | 45.2 | ' | ' | ' | 45.2 | 45.2 | ' | ' | ' | ' |
Amortization of prior service cost included in net periodic pension cost | 0.6 | ' | ' | ' | 0.6 | 0.6 | ' | ' | ' | ' |
Amortization of net actuarial losses included in net periodic pension cost | 10.7 | ' | ' | ' | 10.7 | 10.7 | ' | ' | ' | ' |
Deferred gains and losses on derivatives, net | -0.9 | ' | ' | ' | -0.9 | ' | ' | -0.9 | ' | ' |
Deferred gains and losses on derivatives held by affiliates, net | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reclassification To Temporary Equity [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reclassification to/from temporary equity - Equity component of convertible senior subordinated notes | 9.2 | ' | 9.2 | ' | ' | ' | ' | ' | ' | -9.2 |
Change in cumulative translation adjustment | ' | ' | ' | ' | -86.9 | ' | -86.9 | ' | ' | ' |
Change in cumulative translation adjustment | -86.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Foreign currency translation adjustments | -87.2 | ' | ' | ' | ' | ' | ' | ' | ' | -0.3 |
Temporary equity, End of Period at Dec. 31, 2013 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ending Balance at Dec. 31, 2013 | 4,044.80 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests, End of Period at Dec. 31, 2013 | 34.6 | ' | ' | ' | ' | ' | ' | ' | 34.6 | ' |
Stockholders' Equity Attributable to Parent, End of Period at Dec. 31, 2013 | $4,010.20 | $1 | $1,117.90 | $3,402 | ($510.70) | ($206.40) | ($304.10) | ($0.20) | ' | ' |
Ending Balance Shares at Dec. 31, 2013 | ' | 97,362,466 | ' | ' | ' | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Cash flows from operating activities: | ' | ' | ' |
Net income | $592.30 | $516.40 | $585.30 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation | 211.6 | 180.6 | 151.9 |
Deferred debt issuance cost amortization | 3.5 | 3.5 | 2.9 |
Impairment charge | 0 | 22.4 | 0 |
Amortization of intangibles | 47.8 | 49.3 | 21.6 |
Amortization of debt discount | 9.2 | 8.7 | 8.2 |
Stock compensation | 34.6 | 36.8 | 24.4 |
Equity in net earnings of affiliates, net of cash received | -19 | -25.7 | -19 |
Deferred income tax provision (benefit) | 21.7 | -36.4 | -127.6 |
Other | 0.3 | 0.6 | -1.3 |
Changes in operating assets and liabilities, net of effects from purchase of businesses: | ' | ' | ' |
Accounts and notes receivable, net | -36.2 | 40.6 | 5.4 |
Inventories, net | -356.9 | -160.9 | -221 |
Other current and noncurrent assets | 7 | -71.8 | -16.5 |
Accounts payable | 54.7 | -61.7 | 162.3 |
Accrued expenses | 123.4 | 154.5 | 183.5 |
Other current and noncurrent liabilities | 103 | 9.5 | -34.2 |
Total adjustments | 204.7 | 150 | 140.6 |
Net cash provided by operating activities | 797 | 666.4 | 725.9 |
Cash flows from investing activities: | ' | ' | ' |
Purchases of property, plant and equipment | -391.8 | -340.5 | -300.4 |
Proceeds from sale of property, plant and equipment | 2.6 | 0.9 | 1.5 |
Purchase of businesses, net of cash acquired | -9.5 | -2.9 | -1,018 |
Investments in consolidated affiliates, net of cash acquired | 0 | -20.1 | -34.8 |
(Sale of) investments in unconsolidated affiliates, net | -10 | -15.8 | -8.3 |
Restricted cash and other | 0 | 3.7 | -3.7 |
Net cash used in investing activities | -408.7 | -374.7 | -1,363.70 |
Cash flows from financing activities: | ' | ' | ' |
Conversion of convertible senior subordinated notes | 0 | 0 | -161 |
Proceeds from debt obligations | 1,135.90 | 926.3 | 1,676.90 |
Repayments of debt obligations | -1,194 | -1,148.80 | -826.4 |
Purchases and retirement of common stock | -1 | -17.6 | 0 |
Proceeds from issuance of common stock | 0 | 0 | 0.3 |
Payment of minimum tax withholdings on stock compensation | -17 | -0.3 | -2.5 |
Excess tax benefit related to stock compensation | 11.4 | 0 | 0 |
Payment of debt issuance costs | -0.1 | -0.2 | -14.8 |
(Distribution to) investments by noncontrolling interests, net | -3.1 | -1 | -1.5 |
Payment of dividends to stockholders | -38.9 | 0 | 0 |
Net cash (used in) provided by financing activities | -106.8 | -241.6 | 671 |
Effects of exchange rate changes on cash and cash equivalents | -15.6 | 6.8 | -28.7 |
Increase in cash and cash equivalents | 265.9 | 56.9 | 4.5 |
Cash and cash equivalents, beginning of period | 781.3 | 724.4 | 719.9 |
Cash and cash equivalents, end of period | $1,047.20 | $781.30 | $724.40 |
Operations_and_Summary_of_Sign
Operations and Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Operations and Summary of Significant Accounting Policies [Abstract] | ' | |||||||||||||||||||
Operations and Summary of Significant Accounting Policies | ' | |||||||||||||||||||
Operations and Summary of Significant Accounting Policies | ||||||||||||||||||||
Business | ||||||||||||||||||||
AGCO Corporation and subsidiaries (“AGCO” or the “Company”) is a leading manufacturer and distributor of agricultural equipment and related replacement parts throughout the world. The Company sells a full range of agricultural equipment, including tractors, combines, hay tools, sprayers, forage equipment, tillage, implements and grain storage and protein production systems. The Company’s products are widely recognized in the agricultural equipment industry and are marketed under a number of well-known brand names including: Challenger®, Fendt®, GSI®, Massey Ferguson®, and Valtra®. The Company distributes most of its products through a combination of approximately 3,100 independent dealers and distributors. In addition, the Company provides retail financing in the United States, Canada, Europe, South America and Australia through its retail finance joint ventures with Coöperatieve Centrale Raiffeisen-Boerenleenbank B.A., or “Rabobank.” | ||||||||||||||||||||
Basis of Presentation | ||||||||||||||||||||
The Company’s Consolidated Financial Statements represent the consolidation of all wholly-owned companies, majority-owned companies and joint ventures where the Company has been determined to be the primary beneficiary. The Company records investments in all other affiliate companies using the equity method of accounting when it has significant influence. Other investments, including those representing an ownership of less than 20%, are recorded at cost. All significant intercompany balances and transactions have been eliminated in the Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to the current period presentation. | ||||||||||||||||||||
Basis of Consolidation of Joint Ventures and Other Variable Interest Entities | ||||||||||||||||||||
GIMA is a joint venture between AGCO and Claas Tractor SAS to cooperate in the field of purchasing, design and manufacturing of components for agricultural tractors. Each party has a 50% ownership interest in the joint venture and has an investment of approximately €4.2 million in the joint venture. Both parties purchase all of the production output of the joint venture. The Company does not consolidate the GIMA joint venture into the Company’s results of operations or financial position, as the Company does not have a controlling financial interest in GIMA based on the shared powers of both joint venture partners to direct the activities that most significantly impact GIMA’s financial performance. | ||||||||||||||||||||
Rabobank is a 51% owner in the Company’s retail finance joint ventures. The majority of the assets of the Company’s retail finance joint ventures represents finance receivables. The majority of the liabilities represents notes payable and accrued interest. Under the various joint venture agreements, Rabobank or its affiliates provide financing to the joint venture companies, primarily through lines of credit. The Company does not guarantee the debt obligations of the retail finance joint ventures. The Company’s retail finance joint ventures provide retail financing and wholesale financing to its dealers (Notes 3 and 12). The Company has determined that the retail finance joint ventures do not meet the consolidation requirements and should be accounted for under the voting interest model. In making this determination, the Company evaluated the sufficiency of the equity at risk for each retail finance joint venture, the ability of the joint venture investors to make decisions about the joint ventures’ activities that have a significant effect on the success of the entities and their economic performance, the obligations to absorb expected losses of the joint ventures, and the rights to receive expected residual returns. | ||||||||||||||||||||
During 2011, the Company acquired 50% of AGCO-Amity JV, LLC (“AGCO-Amity JV”), thereby creating a joint venture between the Company and Amity Technology LLC. AGCO-Amity JV is located in North Dakota and manufactures air-seeding and tillage equipment. As the Company has a controlling voting interest to direct the activities that most significantly impact the joint venture, the Company has consolidated the joint venture’s operations in the Company’s results of operations and financial position commencing as of and from the date of the formation of the joint venture. | ||||||||||||||||||||
During 2012, the Company acquired 61% of Santal Equipamentos S.A. Comércio e Indústria (“Santal”), a manufacturer and distributor of sugar cane planting, harvesting, handling and transportation equipment as well as replacement parts across Brazil. As the Company has a controlling voting interest to direct the activities that most significantly impact Santal, the Company has consolidated Santal’s operations in the Company’s results of operations and financial position commencing as of and from the date of acquisition. | ||||||||||||||||||||
Revenue Recognition | ||||||||||||||||||||
Sales of equipment and replacement parts are recorded by the Company when title and risks of ownership have been transferred to an independent dealer, distributor or other customer. In certain countries, sales of certain grain storage and protein production systems where the Company is responsible for construction or installation are recorded at the completion of the project. Payment terms vary by market and product, with fixed payment schedules on all sales. The terms of sale generally require that a purchase order or order confirmation accompany all shipments. Title generally passes to the dealer or distributor upon shipment, and the risk of loss upon damage, theft or destruction of the equipment is the responsibility of the dealer, distributor or third-party carrier. In certain foreign countries, the Company retains a form of title to goods delivered to dealers until the dealer makes payment so that the Company can recover the goods in the event of customer default on payment. This occurs as the laws of some foreign countries do not provide for a seller’s retention of a security interest in goods in the same manner as established in the United States Uniform Commercial Code. The only right the Company retains with respect to the title are those enabling recovery of the goods in the event of customer default on payment. The dealer or distributor may not return equipment or replacement parts while its contract with the Company is in force. Replacement parts may be returned only under promotional and annual return programs. Provisions for returns under these programs are made at the time of sale based on the terms of the program and historical returns experience. The Company may provide certain sales incentives to dealers and distributors. Provisions for sales incentives are made at the time of sale for existing incentive programs. These provisions are revised in the event of subsequent modification to the incentive program. See “Accounts and Notes Receivable” for further discussion. | ||||||||||||||||||||
In the United States and Canada, all equipment sales to dealers are immediately due upon a retail sale of the equipment by the dealer with the exception of sales of grain storage and protein production systems. If not previously paid by the dealer in the United States and Canada, installment payments are required generally beginning after the interest-free period with the remaining outstanding equipment balance generally due within 12 months after shipment. Interest generally is charged on the outstanding balance six to 12 months after shipment. Sales terms of some highly seasonal products provide for payment and due dates based on a specified date during the year regardless of the shipment date. Equipment sold to dealers in the United States and Canada is paid in full on average within 12 months of shipment. Sales of replacement parts generally are payable within 30 days of shipment, with terms for some larger, seasonal stock orders generally requiring payment within six months of shipment. Sales of grain storage and protein production systems generally are payable within 30 days of shipment. | ||||||||||||||||||||
In other international markets, equipment sales are generally payable in full within 30 to 180 days of shipment. Payment terms for some highly seasonal products have a specified due date during the year regardless of the shipment date. Sales of replacement parts generally are payable within 30 to 90 days of shipment, with terms for some larger, seasonal stock orders generally payable within six months of shipment. | ||||||||||||||||||||
In certain markets, particularly in North America, there is a time lag, which varies based on the timing and level of retail demand, between the date the Company records a sale and when the dealer sells the equipment to a retail customer. | ||||||||||||||||||||
Foreign Currency Translation | ||||||||||||||||||||
The financial statements of the Company’s foreign subsidiaries are translated into United States currency in accordance with Accounting Standard Codification (“ASC”) 830, “Foreign Currency Matters.” Assets and liabilities are translated to United States dollars at period-end exchange rates. Income and expense items are translated at average rates of exchange prevailing during the period. Translation adjustments are included in “Accumulated other comprehensive loss” in stockholders’ equity within the Company’s Consolidated Balance Sheets. Gains and losses, which result from foreign currency transactions, are included in the accompanying Consolidated Statements of Operations. | ||||||||||||||||||||
Use of Estimates | ||||||||||||||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The estimates made by management primarily relate to accounts and notes receivable, inventories, deferred income tax valuation allowances, goodwill and other identifiable intangible assets, and certain accrued liabilities, principally relating to reserves for volume discounts and sales incentives, warranty obligations, product liability and workers’ compensation obligations, and pensions and postretirement benefits. | ||||||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||||||
Cash at December 31, 2013 and 2012 of $465.2 million and $403.6 million, respectively, consisted primarily of cash on hand and bank deposits. The Company considers all investments with an original maturity of three months or less to be cash equivalents. Cash equivalents at December 31, 2013 and 2012 of $582.0 million and $377.7 million, respectively, consisted primarily of money market deposits, certificates of deposits and overnight investments. | ||||||||||||||||||||
Accounts and Notes Receivable | ||||||||||||||||||||
Accounts and notes receivable arise from the sale of equipment and replacement parts to independent dealers, distributors or other customers. Payments due under the Company’s terms of sale generally range from one to 12 months and are not contingent upon the sale of the equipment by the dealer or distributor to a retail customer. Under normal circumstances, payment terms are not extended and equipment may not be returned. In certain regions, with respect to most equipment sales, including the United States and Canada, the Company is obligated to repurchase equipment and replacement parts upon cancellation of a dealer or distributor contract. These obligations are required by national, state or provincial laws and require the Company to repurchase a dealer or distributor’s unsold inventory, including inventories for which the receivable has already been paid. | ||||||||||||||||||||
The Company offers various sales terms with respect to its products. For sales in most markets outside of the United States and Canada, the Company does not normally charge interest on outstanding receivables with its dealers and distributors. For sales to certain dealers or distributors in the United States and Canada, interest is charged at or above prime lending rates on outstanding receivable balances after interest-free periods. These interest-free periods vary by product and generally range from one to 12 months, with the exception of certain seasonal products, which bear interest after various periods up to 23 months depending on the time of year of the sale and the dealer or distributor’s sales volume during the preceding year. The Company’s North American geographical reportable segment comprised approximately 25.6% of the Company’s total net sales during 2013. For the year ended December 31, 2013, 20.8% and 4.3% of the Company’s net sales had maximum interest-free periods ranging from one to six months and seven to 12 months, respectively, related to its North American geographical reporting segment. Net sales with maximum interest-free periods ranging from 13 to 23 months were approximately 0.5% of the Company’s net sales during 2013. Actual interest-free periods are shorter than described above because the equipment receivable from dealers or distributors in the United States and Canada is due immediately upon sale of the equipment to a retail customer. Under normal circumstances, interest is not forgiven and interest-free periods are not extended. The Company has an agreement to permit transferring, on an ongoing basis, substantially all of its wholesale interest-bearing and non-interest bearing accounts receivable in North America to its U.S. and Canadian retail finance joint ventures. Upon transfer, the receivables maintain standard payment terms, including required regular principal payments on amounts outstanding, and interest charges at market rates. The Company also has accounts receivable sales agreements that permit the sale, on an ongoing basis, of a majority of its accounts receivables in Europe to its European retail finance joint ventures. Upon transfer, the receivables maintain standard payment terms. Qualified dealers may obtain additional financing through the Company’s U.S., Canadian and European retail finance joint ventures at the joint ventures’ discretion. | ||||||||||||||||||||
The Company provides various volume bonus and sales incentive programs with respect to its products. These sales incentive programs include reductions in invoice prices, reductions in retail financing rates, dealer commissions and dealer incentive allowances. In most cases, incentive programs are established and communicated to the Company’s dealers on a quarterly basis. The incentives are paid either at the time of invoice (through a reduction of invoice price), at the time of the settlement of the receivable, at the time of retail financing, at the time of warranty registration, or at a subsequent time based on dealer purchases. The incentive programs are product-line specific and generally do not vary by dealer. The cost of sales incentives associated with dealer commissions and dealer incentive allowances is estimated based upon the terms of the programs and historical experience, is based on a percentage of the sales price, and is recorded at the later of (a) the date at which the related revenue is recognized, or (b) the date at which the sales incentive is offered. The related provisions and accruals are made on a product or product-line basis and are monitored for adequacy and revised at least quarterly in the event of subsequent modifications to the programs. Volume discounts are estimated and recognized based on historical experience, and related reserves are monitored and adjusted based on actual dealer purchases and the dealers’ progress towards achieving specified cumulative target levels. The Company records the cost of interest subsidy payments, which is a reduction in the retail financing rates, at the later of (a) the date at which the related revenue is recognized, or (b) the date at which the sales incentive is offered. Estimates of these incentives are based on the terms of the programs and historical experience. All incentive programs are recorded and presented as a reduction of revenue due to the fact that the Company does not receive an identifiable benefit in exchange for the consideration provided. Reserves for incentive programs that will be paid either through the reduction of future invoices or through credit memos are recorded as “accounts receivable allowances” within the Company’s Consolidated Balance Sheets. Reserves for incentive programs that will be paid in cash, as is the case with most of the Company’s volume discount programs, as well as sales with incentives associated with accounts receivable sold to its U.S. and Canadian retail finance joint ventures, are recorded within “Accrued expenses” within the Company’s Consolidated Balance Sheets. | ||||||||||||||||||||
Accounts and notes receivable are shown net of allowances for sales incentive discounts available to dealers and for doubtful accounts. Cash flows related to the collection of receivables are reported within “Cash flows from operating activities” within the Company’s Consolidated Statements of Cash Flows. Accounts and notes receivable allowances at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Sales incentive discounts | $ | 30.4 | $ | 21.5 | ||||||||||||||||
Doubtful accounts | 34.9 | 38.1 | ||||||||||||||||||
$ | 65.3 | $ | 59.6 | |||||||||||||||||
The Company transfers certain accounts receivable under its accounts receivable sales agreements with its retail finance joint ventures (Note 3). The Company records such transfers as sales of accounts receivable when it is considered to have surrendered control of such receivables under the provisions of Accounting Standards Update (“ASU”) 2009-16, “Transfers and Servicing (Topic 860): Accounting for Transfers of Financial Assets.” Cash payments are made to the Company’s U.S. and Canadian retail finance joint ventures for sales incentive discounts provided to dealers related to outstanding accounts receivables sold. The balances of such sales discount reserves that are recorded within “Accrued expenses” as of December 31, 2013 and 2012 were approximately $206.2 million and $143.7 million, respectively. | ||||||||||||||||||||
Inventories | ||||||||||||||||||||
Inventories are valued at the lower of cost or market using the first-in, first-out method. Market is current replacement cost (by purchase or by reproduction, dependent on the type of inventory). In cases where market exceeds net realizable value (i.e., estimated selling price less reasonably predictable costs of completion and disposal), inventories are stated at net realizable value. Market is not considered to be less than net realizable value reduced by an allowance for an approximately normal profit margin. At December 31, 2013 and 2012, the Company had recorded $119.9 million and $99.2 million, respectively, as an adjustment for surplus and obsolete inventories. These adjustments are reflected within “Inventories, net” within the Company’s Consolidated Balance Sheets. | ||||||||||||||||||||
Inventories, net at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Finished goods | $ | 775.7 | $ | 598.5 | ||||||||||||||||
Repair and replacement parts | 550.2 | 505.6 | ||||||||||||||||||
Work in process | 109 | 137.5 | ||||||||||||||||||
Raw materials | 581.2 | 461.5 | ||||||||||||||||||
Inventories, net | $ | 2,016.10 | $ | 1,703.10 | ||||||||||||||||
Cash flows related to the sale of inventories are reported within “Cash flows from operating activities” within the Company’s Consolidated Statements of Cash Flows. | ||||||||||||||||||||
Property, Plant and Equipment | ||||||||||||||||||||
Property, plant and equipment are recorded at cost, less accumulated depreciation and amortization. Depreciation is provided on a straight-line basis over the estimated useful lives of 10 to 40 years for buildings and improvements, 3 to 15 years for machinery and equipment, and 3 to 10 years for furniture and fixtures. Expenditures for maintenance and repairs are charged to expense as incurred. | ||||||||||||||||||||
Property, plant and equipment, net at December 31, 2013 and 2012 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Land | $ | 109.3 | $ | 100.1 | ||||||||||||||||
Buildings and improvements | 714.8 | 618.8 | ||||||||||||||||||
Machinery and equipment | 1,852.00 | 1,616.20 | ||||||||||||||||||
Furniture and fixtures | 288.7 | 244.5 | ||||||||||||||||||
Gross property, plant and equipment | 2,964.80 | 2,579.60 | ||||||||||||||||||
Accumulated depreciation and amortization | (1,362.5 | ) | (1,173.5 | ) | ||||||||||||||||
Property, plant and equipment, net | $ | 1,602.30 | $ | 1,406.10 | ||||||||||||||||
Goodwill, Other Intangible Assets and Long-Lived Assets | ||||||||||||||||||||
ASC 350, “Intangibles — Goodwill and Other,” establishes a method of testing goodwill and other indefinite-lived intangible assets for impairment on an annual basis or on an interim basis if an event occurs or circumstances change that would reduce the fair value of a reporting unit below its carrying value. The Company’s annual qualitative or quantitative assessments involve determining an estimate of the fair value of the Company’s reporting units in order to evaluate whether an impairment of the current carrying amount of goodwill and other indefinite-lived intangible assets exists. A qualitative assessment evaluates whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step quantitative goodwill impairment test. The first step of a quantitative goodwill impairment test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered impaired, and, thus, the second step of the quantitative impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the quantitative goodwill impairment test is performed to measure the amount of impairment loss, if any. Fair values are derived based on an evaluation of past and expected future performance of the Company’s reporting units. A reporting unit is an operating segment or one level below an operating segment, for example, a component. A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and the Company’s executive management team regularly reviews the operating results of that component. In addition, the Company combines and aggregates two or more components of an operating segment as a single reporting unit if the components have similar economic characteristics. The Company’s reportable segments are not its reporting units. | ||||||||||||||||||||
The second step of the quantitative goodwill impairment test, used to measure the amount of impairment loss, if any, compares the implied fair value of the reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of the reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The loss recognized cannot exceed the carrying amount of goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination; that is, the Company allocates the fair value of a reporting unit to all of the assets and liabilities of that unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit was the price paid to acquire the reporting unit. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. The Company utilizes a combination of valuation techniques, including a discounted cash flow approach and a market multiple approach, when making quantitative goodwill assessments. | ||||||||||||||||||||
The Company reviews its long-lived assets, which include intangible assets subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss is recognized when the undiscounted future cash flows estimated to be generated by the asset to be held and used are not sufficient to recover the unamortized balance of the asset. An impairment loss would be recognized based on the difference between the carrying values and estimated fair value. The estimated fair value is determined based on either the discounted future cash flows or other appropriate fair value methods with the amount of any such deficiency charged to income in the current year. If the asset being tested for recoverability was acquired in a business combination, intangible assets resulting from the acquisition that are related to the asset are included in the assessment. Estimates of future cash flows are based on many factors, including current operating results, expected market trends and competitive influences. The Company also evaluates the amortization periods assigned to its intangible assets to determine whether events or changes in circumstances warrant revised estimates of useful lives. Assets to be disposed of by sale are reported at the lower of the carrying amount or fair value, less estimated costs to sell. | ||||||||||||||||||||
During the fourth quarter of 2012, the Company conducted a quantitative goodwill impairment analysis of its Chinese harvesting business and also reviewed its long-lived assets for impairment, including its trademark, distribution network and land use right identifiable intangible assets. The goodwill and long-lived asset impairment analyses indicated that a reduction in the carrying amount of the Chinese harvesting business’s goodwill and certain other identifiable intangible assets was required. Accordingly, the Company recorded an impairment charge of approximately $22.4 million within “Impairment charge” in the Company’s Consolidated Statement of Operations for the year ended December 31, 2012. The Chinese harvesting business operates within the Asia/Pacific geographical reportable segment. The Company’s accumulated goodwill impairment is approximately $180.5 million, which is comprised of approximately $9.1 million recorded in 2012 related to the Chinese harvesting reporting unit and approximately $171.4 million recorded in 2006 related to the Company’s sprayer reporting unit. The sprayer reporting unit operates within the North American geographical reportable segment. | ||||||||||||||||||||
The results of the Company’s goodwill and long-lived assets impairment analyses conducted as of October 1, 2013 and 2011 indicated that no reduction in the carrying amount of the Company’s goodwill and long-lived assets was required. The results of the Company’s goodwill impairment analysis conducted as of October 1, 2012 indicated that no other reduction in the carrying amount of goodwill and long-lived assets was required. | ||||||||||||||||||||
Changes in the carrying amount of goodwill during the years ended December 31, 2013, 2012 and 2011 are summarized as follows (in millions): | ||||||||||||||||||||
North | South | Europe/Africa/ | Asia/Pacific | Consolidated | ||||||||||||||||
America | America | Middle East | ||||||||||||||||||
Balance as of December 31, 2010 | $ | 3.1 | $ | 196.7 | $ | 432.9 | $ | — | $ | 632.7 | ||||||||||
Acquisition | 412.8 | 38.3 | 85.3 | 69.3 | 605.7 | |||||||||||||||
Adjustments related to income taxes | — | — | (9.1 | ) | — | (9.1 | ) | |||||||||||||
Foreign currency translation | — | (22.8 | ) | (12.3 | ) | 0.3 | (34.8 | ) | ||||||||||||
Balance as of December 31, 2011 | 415.9 | 212.2 | 496.8 | 69.6 | 1,194.50 | |||||||||||||||
Acquisition | 0.8 | 29 | — | (3.7 | ) | 26.1 | ||||||||||||||
Impairment charge | — | — | — | (9.1 | ) | (9.1 | ) | |||||||||||||
Adjustments related to income taxes | — | — | (7.8 | ) | — | (7.8 | ) | |||||||||||||
Foreign currency translation | — | (21.9 | ) | 9.3 | 1.3 | (11.3 | ) | |||||||||||||
Balance as of December 31, 2012 | 416.7 | 219.3 | 498.3 | 58.1 | 1,192.40 | |||||||||||||||
Acquisition | 7.3 | — | — | — | 7.3 | |||||||||||||||
Adjustments related to income taxes | — | — | (8.0 | ) | — | (8.0 | ) | |||||||||||||
Foreign currency translation | — | (28.6 | ) | 16.3 | (0.7 | ) | (13.0 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 424 | $ | 190.7 | $ | 506.6 | $ | 57.4 | $ | 1,178.70 | ||||||||||
During 2013, 2012 and 2011, the Company reduced goodwill for financial reporting purposes by approximately $8.0 million, $7.8 million and $9.1 million, respectively, related to the realization of tax benefits associated with the excess tax basis deductible goodwill resulting from the Company’s acquisition of Valtra. | ||||||||||||||||||||
The Company amortizes certain acquired identifiable intangible assets primarily on a straight-line basis over their estimated useful lives, which range from 5 to 50 years. The acquired intangible assets have a weighted average useful life as follows: | ||||||||||||||||||||
Intangible Asset | Weighted-Average | |||||||||||||||||||
Useful Life | ||||||||||||||||||||
Patents and technology | 13 | years | ||||||||||||||||||
Customer relationships | 14 | years | ||||||||||||||||||
Trademarks and trade names | 21 | years | ||||||||||||||||||
Land use rights | 47 | years | ||||||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, acquired intangible asset amortization was $47.8 million, $49.3 million and $21.6 million, respectively. The Company estimates amortization of existing intangible assets will be $39.9 million for 2014, $39.9 million for 2015, $38.8 million for 2016, $38.4 million for 2017, and $38.3 million for 2018. | ||||||||||||||||||||
The Company has previously determined that two of its trademarks have an indefinite useful life. The Massey Ferguson trademark has been in existence since 1952 and was formed from the merger of Massey-Harris (established in the 1890’s) and Ferguson (established in the 1930’s). The Massey Ferguson brand is currently sold in over 140 countries worldwide, making it one of the most widely sold tractor brands in the world. The Company has also identified the Valtra trademark as an indefinite-lived asset. The Valtra trademark has been in existence since the late 1990’s, but is a derivative of the Valmet trademark which has been in existence since 1951. The Valmet name transitioned to the Valtra name over a period of time in the marketplace. The Valtra brand is currently sold in approximately 50 countries around the world. Both the Massey Ferguson brand and the Valtra brand are primary product lines of the Company’s business, and the Company plans to use these trademarks for an indefinite period of time. The Company plans to continue to make investments in product development to enhance the value of these brands into the future. There are no legal, regulatory, contractual, competitive, economic or other factors that the Company is aware of or that the Company believes would limit the useful lives of the trademarks. The Massey Ferguson and Valtra trademark registrations can be renewed at a nominal cost in the countries in which the Company operates. | ||||||||||||||||||||
Changes in the carrying amount of acquired intangible assets during 2013 and 2012 are summarized as follows (in millions): | ||||||||||||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
trade names | Relationships | Technology | ||||||||||||||||||
Gross carrying amounts: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 118.1 | $ | 511.4 | $ | 85.7 | $ | 8.6 | $ | 723.8 | ||||||||||
Acquisition | 1.5 | — | 1.1 | — | 2.6 | |||||||||||||||
Foreign currency translation | (0.7 | ) | (3.6 | ) | 0.8 | 0.1 | (3.4 | ) | ||||||||||||
Balance as of December 31, 2012 | 118.9 | 507.8 | 87.6 | 8.7 | 723 | |||||||||||||||
Acquisition | — | — | — | 6 | 6 | |||||||||||||||
Foreign currency translation | (0.3 | ) | (5.1 | ) | 1.5 | 0.2 | (3.7 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 118.6 | $ | 502.7 | $ | 89.1 | $ | 14.9 | $ | 725.3 | ||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
trade names | Relationships | Technology | ||||||||||||||||||
Accumulated amortization: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 13.1 | $ | 85.3 | $ | 50.3 | $ | — | $ | 148.7 | ||||||||||
Amortization expense | 6.7 | 39.4 | 3 | 0.2 | 49.3 | |||||||||||||||
Impairment charge | 5.6 | 5.4 | — | 2.3 | 13.3 | |||||||||||||||
Foreign currency translation | (0.5 | ) | (3.5 | ) | 0.8 | — | (3.2 | ) | ||||||||||||
Balance as of December 31, 2012 | 24.9 | 126.6 | 54.1 | 2.5 | 208.1 | |||||||||||||||
Amortization expense | 6.2 | 38.4 | 3 | 0.2 | 47.8 | |||||||||||||||
Foreign currency translation | (0.1 | ) | (4.3 | ) | 1.9 | — | (2.5 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 31 | $ | 160.7 | $ | 59 | $ | 2.7 | $ | 253.4 | ||||||||||
Trademarks and | ||||||||||||||||||||
trade names | ||||||||||||||||||||
Indefinite-lived intangible assets: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 91.4 | ||||||||||||||||||
Foreign currency translation | 0.8 | |||||||||||||||||||
Balance as of December 31, 2012 | 92.2 | |||||||||||||||||||
Foreign currency translation | 1.5 | |||||||||||||||||||
Balance as of December 31, 2013 | $ | 93.7 | ||||||||||||||||||
Accrued Expenses | ||||||||||||||||||||
Accrued expenses at December 31, 2013 and 2012 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Reserve for volume discounts and sales incentives | $ | 499.8 | $ | 403.9 | ||||||||||||||||
Warranty reserves | 255.9 | 223.9 | ||||||||||||||||||
Accrued employee compensation and benefits | 276.9 | 249.7 | ||||||||||||||||||
Accrued taxes | 167.3 | 169.3 | ||||||||||||||||||
Other | 189.3 | 179.7 | ||||||||||||||||||
$ | 1,389.20 | $ | 1,226.50 | |||||||||||||||||
Warranty Reserves | ||||||||||||||||||||
The warranty reserve activity for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of the year | $ | 256.9 | $ | 240.5 | $ | 199.5 | ||||||||||||||
Acquisitions | — | 0.1 | 7.2 | |||||||||||||||||
Accruals for warranties issued during the year | 200.3 | 184.5 | 195.1 | |||||||||||||||||
Settlements made (in cash or in kind) during the year | (165.7 | ) | (171.7 | ) | (152.6 | ) | ||||||||||||||
Foreign currency translation | 3.4 | 3.5 | (8.7 | ) | ||||||||||||||||
Balance at the end of the year | $ | 294.9 | $ | 256.9 | $ | 240.5 | ||||||||||||||
The Company’s agricultural equipment products are generally under warranty against defects in materials and workmanship for a period of one to four years. The Company accrues for future warranty costs at the time of sale based on historical warranty experience. Approximately $39.0 million and $33.0 million of warranty reserves are included in “Other noncurrent liabilities” in the Company’s Consolidated Balance Sheets as of December 31, 2013 and 2012, respectively. | ||||||||||||||||||||
Insurance Reserves | ||||||||||||||||||||
Under the Company’s insurance programs, coverage is obtained for significant liability limits as well as those risks required to be insured by law or contract. It is the policy of the Company to self-insure a portion of certain expected losses related primarily to workers’ compensation and comprehensive general, product and vehicle liability. Provisions for losses expected under these programs are recorded based on the Company’s estimates of the aggregate liabilities for the claims incurred. | ||||||||||||||||||||
Stock Incentive Plans | ||||||||||||||||||||
Stock compensation expense was recorded as follows (in millions). Refer to Note 9 for additional information regarding the Company’s stock incentive plans during 2013, 2012 and 2011: | ||||||||||||||||||||
Years Ended | ||||||||||||||||||||
December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Cost of goods sold | $ | 2.3 | $ | 2.4 | $ | 1.6 | ||||||||||||||
Selling, general and administrative expenses | 32.6 | 34.6 | 23 | |||||||||||||||||
Total stock compensation expense | $ | 34.9 | $ | 37 | $ | 24.6 | ||||||||||||||
Research and Development Expenses | ||||||||||||||||||||
Research and development expenses are expensed as incurred and are included in engineering expenses in the Company’s Consolidated Statements of Operations. | ||||||||||||||||||||
Advertising Costs | ||||||||||||||||||||
The Company expenses all advertising costs as incurred. Cooperative advertising costs are normally expensed at the time the revenue is earned. Advertising expenses for the years ended December 31, 2013, 2012 and 2011 totaled approximately $60.5 million, $60.2 million and $50.1 million, respectively. | ||||||||||||||||||||
Shipping and Handling Expenses | ||||||||||||||||||||
All shipping and handling fees charged to customers are included as a component of net sales. Shipping and handling costs are included as a part of cost of goods sold, with the exception of certain handling costs included in selling, general and administrative expenses in the amount of $29.3 million, $31.0 million and $29.9 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
Interest Expense, Net | ||||||||||||||||||||
Interest expense, net for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Interest expense | $ | 78.8 | $ | 77.7 | $ | 59 | ||||||||||||||
Interest income | (20.8 | ) | (20.1 | ) | (28.8 | ) | ||||||||||||||
$ | 58 | $ | 57.6 | $ | 30.2 | |||||||||||||||
Income Taxes | ||||||||||||||||||||
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Refer to Note 5 for additional information regarding the Company’s income taxes. | ||||||||||||||||||||
Net Income Per Common Share | ||||||||||||||||||||
Basic income per common share is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted income per common share assumes the exercise of outstanding stock options, stock-settled stock appreciation rights (“SSARs”), the vesting of restricted stock and performance share awards, and the appreciation of the excess conversion value of the contingently convertible senior subordinated notes using the treasury stock method when the effects of such assumptions are dilutive. | ||||||||||||||||||||
The Company’s $201.2 million aggregate principal amount of 11/4% convertible senior subordinated notes provided for the settlement upon conversion in cash up to the principal amount of the converted notes with any excess conversion value settled in shares of the Company’s common stock. Dilution of weighted shares outstanding depends on the Company’s stock price for the excess conversion value using the treasury stock method (Note 6). A reconciliation of net income attributable to AGCO Corporation and its subsidiaries and weighted average common shares outstanding for purposes of calculating basic and diluted net income per share during the years ended December 31, 2013, 2012 and 2011 is as follows (in millions, except per share data): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Basic net income per share: | ||||||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 597.2 | $ | 522.1 | $ | 583.3 | ||||||||||||||
Weighted average number of common shares outstanding | 97.3 | 97.1 | 95.6 | |||||||||||||||||
Basic net income per share attributable to AGCO Corporation and subsidiaries | $ | 6.14 | $ | 5.38 | $ | 6.1 | ||||||||||||||
Diluted net income per share: | ||||||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 597.2 | $ | 522.1 | $ | 583.3 | ||||||||||||||
Weighted average number of common shares outstanding | 97.3 | 97.1 | 95.6 | |||||||||||||||||
Dilutive stock options, SSARs, performance share awards and restricted stock awards | 0.8 | 1 | 0.6 | |||||||||||||||||
Weighted average assumed conversion of contingently convertible senior subordinated notes | 1.3 | 0.5 | 1.9 | |||||||||||||||||
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted net income per share | 99.4 | 98.6 | 98.1 | |||||||||||||||||
Diluted net income per share attributable to AGCO Corporation and subsidiaries | $ | 6.01 | $ | 5.3 | $ | 5.95 | ||||||||||||||
SSARs to purchase 0.8 million shares, 0.6 million shares and 0.3 million shares, respectively, were outstanding for the years ended December 31, 2013, 2012 and 2011, respectively, but not included in the calculation of weighted average common and common equivalent shares outstanding because they had an antidilutive impact. | ||||||||||||||||||||
Comprehensive Income (Loss) | ||||||||||||||||||||
The Company reports comprehensive income (loss), defined as the total of net income (loss) and all other non-owner changes in equity and the components thereof in its Consolidated Statements of Stockholders’ Equity and Consolidated Statements of Comprehensive Income. The components of other comprehensive loss and the related tax effects for the years ended December 31, 2013, 2012 and 2011 are as follows (in millions): | ||||||||||||||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2013 | 2013 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | 75.8 | $ | (19.3 | ) | $ | 56.5 | $ | — | |||||||||||
Net loss on derivatives | (1.4 | ) | 0.5 | (0.9 | ) | — | ||||||||||||||
Foreign currency translation adjustments | (86.9 | ) | — | (86.9 | ) | (0.3 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (12.5 | ) | $ | (18.8 | ) | $ | (31.3 | ) | $ | (0.3 | ) | ||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2012 | 2012 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | (32.5 | ) | $ | 9.8 | $ | (22.7 | ) | $ | — | ||||||||||
Net gain on derivatives | 6.5 | (1.5 | ) | 5 | — | |||||||||||||||
Foreign currency translation adjustments | (61.1 | ) | — | (61.1 | ) | (1.6 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (87.1 | ) | $ | 8.3 | $ | (78.8 | ) | $ | (1.6 | ) | |||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2011 | 2011 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | (76.0 | ) | $ | 14.9 | $ | (61.1 | ) | $ | — | ||||||||||
Net loss on derivatives | (7.1 | ) | 1.7 | (5.4 | ) | — | ||||||||||||||
Unrealized gain on derivatives held by affiliates | 2.5 | — | 2.5 | — | ||||||||||||||||
Foreign currency translation adjustments | (204.5 | ) | — | (204.5 | ) | (0.1 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (285.1 | ) | $ | 16.6 | $ | (268.5 | ) | $ | (0.1 | ) | |||||||||
Financial Instruments | ||||||||||||||||||||
The carrying amounts reported in the Company’s Consolidated Balance Sheets for “Cash and cash equivalents,” “Accounts and notes receivable” and “Accounts payable” approximate fair value due to the immediate or short-term maturity of these financial instruments. The carrying amounts of long-term debt under the Company’s 41/2% senior term loan and credit facility (Note 6) approximate fair value based on the borrowing rates currently available to the Company for loans with similar terms and average maturities. At December 31, 2013, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible notes (Note 6), based on their listed market values, were $322.1 million and $290.5 million, respectively, compared to their carrying values of $300.0 million and $201.2 million, respectively. At December 31, 2012, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible notes (Note 6), based on their listed market values, were $327.2 million and $250.6 million, respectively, compared to their carrying values of $300.0 million and $192.1 million, respectively. | ||||||||||||||||||||
The Company uses foreign currency contracts to hedge the foreign currency exposure of certain receivables and payables. The contracts are for periods consistent with the exposure being hedged and generally have maturities of one year or less. These contracts are classified as non-designated derivative instruments. The Company also enters into foreign currency contracts designated as cash flow hedges of expected sales. The Company’s foreign currency contracts mitigate risk due to exchange rate fluctuations because gains and losses on these contracts generally offset losses and gains on the exposure being hedged. | ||||||||||||||||||||
The notional amounts of the foreign currency contracts do not represent amounts exchanged by the parties and, therefore, are not a measure of the Company’s risk. The amounts exchanged are calculated on the basis of the notional amounts and other terms of the contracts. The credit and market risks under these contracts are not considered to be significant. The Company’s hedging policy prohibits it from entering into any foreign currency contracts for speculative trading purposes. Refer to Note 10 for additional information regarding the Company’s derivative instruments and hedging activities. | ||||||||||||||||||||
Recent Accounting Pronouncements | ||||||||||||||||||||
In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU 2013-11”). ASU 2013-11 requires an unrecognized tax benefit, or a portion of an unrecognized tax benefit, to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. To the extent a net operating loss carryfoward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit is presented in the financial statements as a liability and is not combined with deferred tax assets. The standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. The Company plans to adopt this standard on January 1, 2014. The Company does not expect the adoption of ASU 2013-11 to have a material impact on the Company’s results of operations or financial condition. | ||||||||||||||||||||
In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU 2013-02”). ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in financial statements. The standard requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income (“AOCI”) by component. The standard also requires an entity to present, either on the face of the statement where net income is presented or in the footnotes, significant amounts reclassified out of AOCI by the respective line items of net income, but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, the standard requires an entity to cross-reference other disclosures that provide additional detail on those amounts. The Company adopted ASU 2013-02 as of January 1, 2013 by presenting the required amounts in its footnote disclosures (Note 8). | ||||||||||||||||||||
In July 2012, the FASB issued ASU 2012-02, “Intangibles-Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment” (“ASU 2012-02”). ASU 2012-02 permits an entity to make a qualitative assessment of whether it is more likely than not that an indefinite-lived intangible asset is impaired. If an entity concludes it is more likely than not that the fair value of such an asset exceeds its carrying amount, it need not calculate the fair value of the asset in that year. This standard is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption was permitted. The adoption of ASU 2012-02 did not have a material impact on the Company’s results of operations or financial condition. | ||||||||||||||||||||
In September 2011, the FASB issued ASU 2011-08, “Intangibles-Goodwill and Other (Topic 350): Testing Goodwill for Impairment” (“ASU 2011-08”). ASU 2011-08 permits an entity to make a qualitative assessment of whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step goodwill impairment test. If an entity concludes it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, it need not perform the two-step impairment test. This standard is effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. Early adoption was permitted. The adoption of ASU 2011-08 did not have a material impact on the Company’s results of operations or financial condition. | ||||||||||||||||||||
In June 2011, the FASB issued ASU 2011-05, “Comprehensive Income (Topic 220): Presentation of Comprehensive Income” (“ASU 2011-05”). ASU 2011-05 increases the prominence of other comprehensive income in financial statements. ASU 2011-05 does not change the items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income. The standard initially required that reclassification adjustments from other comprehensive income be measured and presented by income statement line item on the face of the statement of operations. In December 2011, however, the FASB issued ASU 2011-12, “Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in ASU 2011-05” (“ASU 2011-12”). ASU 2011-12 defers the requirement to present components of reclassifications of other comprehensive income on the face of the statement of operations. The Company adopted ASU 2011-05 and 2011-12 by consecutively presenting the Consolidated Statements of Operations and the Consolidated Statements of Comprehensive Income for the years ended December 31, 2013, 2012 and 2011. |
Acquisitions
Acquisitions | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Business Combinations [Abstract] | ' | |||||||
Acquisitions | ' | |||||||
Acquisitions | ||||||||
In January 2012, the Company acquired 61% of Santal for approximately R$36.7 million, net of approximately | ||||||||
R$11.9 million cash acquired (or approximately $20.1 million, net). Santal, headquartered in Ribeirão Preto, Brazil, manufactures and distributes sugar cane planting, harvesting, handling and transportation equipment as well as replacement parts across Brazil. The acquisition of Santal will provide the Company’s customers in Brazil with a wider range of agricultural products and services. The acquisition was funded with available cash on hand. The Company recorded approximately $28.0 million of goodwill and approximately $2.6 million of trade name, trademark and patent identifiable intangible assets associated with the acquisition. The goodwill generally resulted from the value of the cash flows expected to be generated in the future compared to the asset intensity of the business. The goodwill was reported within the Company’s South American geographical reportable segment. The Company and the seller each have a call option and put option, respectively, with varying dates with respect to the remaining 39% interest in Santal. The fair value of the redeemable noncontrolling interest in Santal was recorded within “Temporary equity” in the Company’s Condensed Consolidated Balance Sheet as of the acquisition date. The acquired other identifiable intangible assets of Santal as of the date of acquisition are summarized in the following table (in millions): | ||||||||
Intangible Asset | Amount | Weighted-Average | ||||||
Useful Life | ||||||||
Trademarks and trade names | $ | 1.5 | 5 | years | ||||
Patents | 1.1 | 5 | years | |||||
$ | 2.6 | |||||||
On November 30, 2011, the Company acquired GSI Holdings Corp. (“GSI”) for $932.2 million, net of approximately $27.9 million cash acquired. GSI, headquartered in Assumption, Illinois, is a leading manufacturer of grain storage and protein production systems. GSI sells its products globally through independent dealers. The acquisition was financed by the issuance of $300.0 million of 57/8% senior notes and the Company’s credit facility (Note 6). As a result of the acquisition, the Company recorded a tax benefit of approximately $149.3 million within “Income tax (benefit) provision” in the Company’s Consolidated Statement of Operations for the year ended December 31, 2011, resulting from a reversal of a portion of its previously established deferred tax valuation allowance. The reversal was required to offset deferred tax liabilities established as part of the acquisition accounting for GSI relating to acquired amortizable intangible assets (Note 5). The final fair values of the assets acquired and liabilities assumed as of the acquisition date are presented in the following table (in millions): | ||||||||
Current assets | $ | 216 | ||||||
Property, plant and equipment | 69.6 | |||||||
Intangible assets | 438.5 | |||||||
Goodwill | 535.7 | |||||||
Other noncurrent assets | 2.1 | |||||||
Total assets acquired | 1,261.90 | |||||||
Current liabilities | 133.6 | |||||||
Deferred tax liabilities | 162.8 | |||||||
Long-term debt and other noncurrent liabilities | 5.4 | |||||||
Total liabilities assumed | 301.8 | |||||||
Net assets acquired | $ | 960.1 | ||||||
On November 30, 2011, the Company acquired 98% of Shandong Dafeng Machinery Co., Ltd. (“Dafeng”) for approximately 171.7 million yuan (or approximately $26.9 million). The Company acquired approximately $17.1 million of cash and assumed approximately $41.1 million of indebtedness associated with the transaction. Dafeng is located in Yanzhou, China and manufactures a complete range of corn, grain, rice and soybean harvesting machines for Chinese domestic markets. The acquisition was funded with available cash on hand. The fair value of the noncontrolling interest in Dafeng was recorded within “Noncontrolling interests” in the Company’s Consolidated Balance Sheet as of the acquisition date. During the fourth quarter of 2012, the Company recorded an impairment charge of approximately $22.4 million within “Impairment charge” in the Company’s Consolidated Statement of Operations associated with the write-down of its Chinese harvesting reporting unit’s goodwill and certain other identifiable intangible assets. Refer to Note 1 for additional information. | ||||||||
The results of operations for the Santal, GSI, and Dafeng acquisitions have been included in the Company’s Consolidated Financial Statements as of and from the dates of the respective acquisitions. The Company allocated the purchase price of each acquisition to the assets acquired and liabilities assumed based on their fair values as of the respective acquisition dates. In general, the acquired assets of the acquisitions consisted primarily of accounts receivable, inventories, property, plant and equipment, and other identifiable intangible assets. The liabilities assumed generally consisted of accounts payable and indebtedness. | ||||||||
The following unaudited pro forma data summarizes the results of operations for the year ended December 31, 2011 as if the prior years’ acquisitions had occurred as of January 1, 2010. The unaudited pro forma information does not reflect the impact of future events that may occur after the acquisitions, including, but not limited to, anticipated cost savings from operating synergies. The unaudited pro forma financial information has been adjusted to give effect to adjustments that are directly related to the business combinations, factually supportable and expected to have a continuing impact. The adjustments include the application of the Company’s accounting policies, depreciation and amortization related to fair value adjustments to property, plant and equipment, intangible assets and inventory, tax-related adjustments, and the impact of the Company’s issuance of $300.0 million of 57/8% senior notes and the new credit facility, which were used to finance the acquisition of GSI. This unaudited pro forma information has been prepared for comparative purposes only and does not purport to represent what the results of operations of the Company actually would have been had the transactions occurred on the date indicated or what the results of operations may be in any future period (in millions, except per share data): | ||||||||
Year Ended | ||||||||
31-Dec-11 | ||||||||
Net sales | $ | 9,479.10 | ||||||
Net income attributable to AGCO Corporation and subsidiaries | 629.5 | |||||||
Net income per common share attributable to AGCO Corporation and subsidiaries: | ||||||||
Basic | $ | 6.58 | ||||||
Diluted | $ | 6.42 | ||||||
Accounts_Receivable_Sales_Agre
Accounts Receivable Sales Agreements | 12 Months Ended |
Dec. 31, 2013 | |
Accounts Receivable Sales Agreements [Abstract] | ' |
Accounts Receivable Sales Agreements | ' |
Accounts Receivable Sales Agreements | |
At December 31, 2013 and 2012, the Company had accounts receivable sales agreements that permit the sale, on an ongoing basis, of a majority of its wholesale receivables in North America and Europe to its 49% owned U.S., Canadian and European retail finance joint ventures. As of December 31, 2013 and 2012, the cash received from receivables sold under the U.S., Canadian and European accounts receivable sales agreements was approximately $1.3 billion and $1.1 billion, respectively. | |
Under the terms of the accounts receivable sales agreements in North America and Europe, the Company pays an annual servicing fee related to the servicing of the receivables sold. The Company also pays the respective AGCO Finance entities a subsidized interest payment with respect to the sales agreements, calculated based upon LIBOR plus a margin on any non-interest bearing accounts receivable outstanding and sold under the sales agreements. These fees are reflected within losses on the sales of receivables included within “Other expense, net” in the Company’s Consolidated Statements of Operations. The Company does not service the receivables after the sale occurs and does not maintain any direct retained interest in the receivables. The Company reviewed its accounting for the accounts receivable sales agreements and determined that these facilities should be accounted for as off-balance sheet transactions. | |
The Company’s former European accounts receivable securitization facilities expired in October 2011. Wholesale accounts receivable were sold on a revolving basis to commercial paper conduits under the European facilities through a wholly-owned qualified special purpose entity in the United Kingdom. Losses on sales of receivables under the Company’s former European securitization facilities were reflected within “Interest expense, net” in the Company’s Consolidated Statements of Operations during 2011. | |
Losses on sales of receivables associated with the accounts receivable financing facilities discussed above, reflected within “Other expense, net” and “Interest expense, net” in the Company’s Consolidated Statements of Operations, were approximately $25.6 million, $21.8 million and $22.0 million during 2013, 2012 and 2011, respectively. | |
The Company’s retail finance joint ventures in Brazil and Australia also provide wholesale financing to the Company’s dealers. The receivables associated with these arrangements are without recourse to the Company. The Company does not service the receivables after the sale occurs and does not maintain any direct retained interest in the receivables. As of December 31, 2013 and 2012, these retail finance joint ventures had approximately $68.2 million and $100.6 million, respectively, of outstanding accounts receivable associated with these arrangements. The Company reviewed its accounting for these arrangements and determined that these arrangements should be accounted for as off-balance sheet transactions. | |
In addition, the Company sells certain trade receivables under factoring arrangements to other financial institutions around the world. The Company reviewed the sale of such receivables and determined that these arrangements should be accounted for as off-balance sheet transactions. |
Investments_in_Affiliates
Investments in Affiliates | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Investments in Affiliates [Abstract] | ' | |||||||||||
Investments in Affiliates | ' | |||||||||||
Investments in Affiliates | ||||||||||||
Investments in affiliates as of December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Retail finance joint ventures | $ | 390.2 | $ | 354.4 | ||||||||
Manufacturing joint ventures | 16.1 | 20.7 | ||||||||||
Other affiliates | 9.8 | 15.2 | ||||||||||
$ | 416.1 | $ | 390.3 | |||||||||
The Company’s manufacturing joint ventures as of December 31, 2013 consisted of GIMA and joint ventures with third-party manufacturers to assemble tractors in Algeria and engines in South America. The other joint ventures represent minority investments in farm equipment manufacturers, distributors and licensees. | ||||||||||||
The Company’s equity in net earnings of affiliates for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Retail finance joint ventures | $ | 48.8 | $ | 48.6 | $ | 43.6 | ||||||
Manufacturing and other joint ventures | (0.6 | ) | 4.9 | 5.3 | ||||||||
$ | 48.2 | $ | 53.5 | $ | 48.9 | |||||||
Summarized combined financial information of the Company’s retail finance joint ventures as of December 31, 2013 and 2012 and for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Total assets | $ | 9,442.70 | $ | 8,474.80 | ||||||||
Total liabilities | 8,646.30 | 7,751.60 | ||||||||||
Partners’ equity | 796.4 | 723.2 | ||||||||||
For the Years Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Revenues | $ | 389.2 | $ | 377.8 | $ | 364.2 | ||||||
Costs | 239.4 | 226.5 | 220.5 | |||||||||
Income before income taxes | $ | 149.8 | $ | 151.3 | $ | 143.7 | ||||||
The majority of the assets of the Company’s retail finance joint ventures represents finance receivables. The majority of the liabilities represents notes payable and accrued interest. Under the various joint venture agreements, Rabobank or its affiliates provide financing to the joint venture companies (Note 12). | ||||||||||||
At December 31, 2013 and 2012, the Company’s receivables from affiliates were approximately $124.3 million and $41.5 million, respectively. The receivables from affiliates are reflected within Accounts and notes receivable, net within the Company’s Consolidated Balance Sheets. | ||||||||||||
The portion of the Company’s retained earnings balance that represents undistributed retained earnings of equity method investees was approximately $276.3 million and $246.0 million as of December 31, 2013 and 2012, respectively. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Income Taxes | ' | |||||||||||
Income Taxes | ||||||||||||
The sources of income (loss) before income taxes and equity in net earnings of affiliates were as follows for the years ended December 31, 2013, 2012 and 2011 (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
United States | $ | 133.1 | $ | 98 | $ | 1.6 | ||||||
Foreign | 669.5 | 502.8 | 559.4 | |||||||||
Income before income taxes and equity in net earnings of affiliates | $ | 802.6 | $ | 600.8 | $ | 561 | ||||||
The provision for income taxes by location of the taxing jurisdiction for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Current: | ||||||||||||
United States: | ||||||||||||
Federal | $ | 9.2 | $ | (5.5 | ) | $ | (6.1 | ) | ||||
State | 9.9 | 2.8 | — | |||||||||
Foreign | 217.7 | 177 | 158.3 | |||||||||
236.8 | 174.3 | 152.2 | ||||||||||
Deferred: | ||||||||||||
United States: | ||||||||||||
Federal | 30.2 | (27.0 | ) | (148.9 | ) | |||||||
State | — | — | — | |||||||||
Foreign | (8.5 | ) | (9.4 | ) | 21.3 | |||||||
21.7 | (36.4 | ) | (127.6 | ) | ||||||||
$ | 258.5 | $ | 137.9 | $ | 24.6 | |||||||
At December 31, 2013, the Company’s foreign subsidiaries had approximately $3.1 billion of undistributed earnings. These earnings are considered to be indefinitely invested, and, accordingly, no income taxes have been provided on these earnings. Determination of the amount of unrecognized deferred taxes on these earnings is not practicable; however, unrecognized foreign tax credits would be available to reduce a portion of the tax liability. | ||||||||||||
A reconciliation of income taxes computed at the United States federal statutory income tax rate (35%) to the provision for income taxes reflected in the Company’s Consolidated Statements of Operations for the years ended December 31, 2013, 2012 and 2011 is as follows (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Provision for income taxes at United States federal statutory rate of 35% | $ | 280.9 | $ | 210.3 | $ | 196.3 | ||||||
State and local income taxes, net of federal income tax benefit | 5.6 | 3.9 | 1.4 | |||||||||
Taxes on foreign income which differ from the United States statutory rate | (34.7 | ) | (19.8 | ) | (31.8 | ) | ||||||
Tax effect of permanent differences | (7.6 | ) | 11.5 | (5.8 | ) | |||||||
Change in valuation allowance | 9.3 | (64.3 | ) | (150.7 | ) | |||||||
Change in tax contingency reserves | 25.7 | 20.8 | 23.1 | |||||||||
Research and development tax credits | (19.9 | ) | (26.3 | ) | (7.7 | ) | ||||||
Other | (0.8 | ) | 1.8 | (0.2 | ) | |||||||
$ | 258.5 | $ | 137.9 | $ | 24.6 | |||||||
The “change in valuation allowance” for the year ended December 31, 2012 primarily relates to the usage of approximately $54.7 million of valuation allowance due to income generated in the United States during 2012. The 2012 income tax provision also includes a reversal of approximately $13.8 million of remaining valuation allowance previously established against the Company’s U.S. deferred tax assets (as reflected above in the “change in valuation allowance”) as well as the recognition of certain U.S. research and development tax credits of approximately $13.1 million. The “change in valuation allowance” for the year ended December 31, 2011 includes a reversal of approximately $149.3 million of valuation allowance previously established against the Company’s deferred tax assets in the United States. The reversal was required to offset deferred tax liabilities established as part of the acquisition accounting for GSI. | ||||||||||||
The significant components of the deferred tax assets and liabilities at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Deferred Tax Assets: | ||||||||||||
Net operating loss carryforwards | $ | 69.7 | $ | 94.9 | ||||||||
Sales incentive discounts | 68.7 | 55.8 | ||||||||||
Inventory valuation reserves | 29.4 | 27 | ||||||||||
Pensions and postretirement health care benefits | 69.7 | 102.4 | ||||||||||
Warranty and other reserves | 108.5 | 138.1 | ||||||||||
Research and development tax credits | 13.2 | 21 | ||||||||||
Other | 64 | 38.8 | ||||||||||
Total gross deferred tax assets | 423.2 | 478 | ||||||||||
Valuation allowance | (77.2 | ) | (74.5 | ) | ||||||||
Total net deferred tax assets | 346 | 403.5 | ||||||||||
Deferred Tax Liabilities: | ||||||||||||
Tax over book depreciation and amortization | 314.7 | 341 | ||||||||||
Other | 21.6 | 21.3 | ||||||||||
Total deferred tax liabilities | 336.3 | 362.3 | ||||||||||
Net deferred tax assets | $ | 9.7 | $ | 41.2 | ||||||||
Amounts recognized in Consolidated Balance Sheets: | ||||||||||||
Deferred tax assets - current | $ | 241.2 | $ | 243.5 | ||||||||
Deferred tax assets - noncurrent | 24.4 | 40 | ||||||||||
Other current (liabilities) assets | (4.7 | ) | 0.4 | |||||||||
Deferred tax liabilities - noncurrent | (251.2 | ) | (242.7 | ) | ||||||||
$ | 9.7 | $ | 41.2 | |||||||||
The Company recorded a net deferred tax asset of $9.7 million and $41.2 million as of December 31, 2013 and 2012, respectively. As reflected in the preceding table, the Company had a valuation allowance of $77.2 million and $74.5 million as of December 31, 2013 and 2012, respectively. | ||||||||||||
A valuation allowance is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company assessed the likelihood that its deferred tax assets would be recovered from estimated future taxable income and available tax planning strategies and determined that the valuation allowance at December 31, 2013 and 2012 was appropriate. In making this assessment, all available evidence was considered, including the current economic climate, as well as reasonable tax planning strategies. The Company believes it is more likely than not that the Company will realize the remaining deferred tax assets, net of the valuation allowance, in future years. | ||||||||||||
The Company had net operating loss carryforwards of $334.9 million as of December 31, 2013, with expiration dates as follows: 2014 - $0.0 million; 2015 - $8.7 million; 2016 - $95.2 million; and thereafter or unlimited - $231.0 million. These net operating loss carryforwards of $334.9 million were entirely net operating loss carryforwards outside of the United States. | ||||||||||||
The Company paid income taxes of $174.5 million, $147.7 million and $116.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||
At December 31, 2013 and 2012, the Company had $122.2 million and $94.5 million, respectively, of unrecognized income tax benefits, all of which would affect the Company’s effective tax rate if recognized. At December 31, 2013 and 2012, the Company had approximately $61.9 million and $23.5 million, respectively, of accrued or deferred taxes related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions that it expects to settle or pay in the next 12 months. The Company accrued approximately $2.3 million and $3.8 million of interest and penalties related to unrecognized tax benefits in its provision for income taxes during 2013 and 2012, respectively. At December 31, 2013 and 2012, the Company had accrued interest and penalties related to unrecognized tax benefits of $14.4 million and $11.9 million, respectively. | ||||||||||||
A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits as of and during the years ended December 31, 2013 and 2012 is as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Gross unrecognized income tax benefits | $ | 94.5 | $ | 71.1 | ||||||||
Additions for tax positions of the current year | 34.7 | 18.5 | ||||||||||
Additions for tax positions of prior years | 3.6 | 7.3 | ||||||||||
Additions for tax positions related to acquisitions | — | 1.1 | ||||||||||
Reductions for tax positions of prior years for: | ||||||||||||
Changes in judgments | (9.0 | ) | 0.2 | |||||||||
Settlements during the period | — | — | ||||||||||
Lapses of applicable statute of limitations | (3.6 | ) | (5.2 | ) | ||||||||
Foreign currency translation | 2 | 1.5 | ||||||||||
Gross unrecognized income tax benefits | $ | 122.2 | $ | 94.5 | ||||||||
The Company and its subsidiaries file income tax returns in the United States and in various state, local and foreign jurisdictions. The Company and its subsidiaries are routinely examined by tax authorities in these jurisdictions. As of December 31, 2013, a number of income tax examinations in foreign jurisdictions were ongoing. It is possible that certain of these ongoing examinations may be resolved within 12 months. Due to the potential for resolution of federal, state and foreign examinations, and the expiration of various statutes of limitation, it is reasonably possible that the Company’s gross unrecognized income tax benefits balance may materially change within the next 12 months. Due to the number of jurisdictions and issues involved and the uncertainty regarding the timing of any settlements, the Company is unable at this time to provide a reasonable estimate of such change that may occur within the next 12 months. Although there are ongoing examinations in various jurisdictions, the 2010 through 2013 tax years generally remain subject to examination in the United States by federal and state authorities. In the Company’s significant foreign jurisdictions, primarily the United Kingdom, France, Germany, Switzerland, Finland and Brazil, the 2008 through 2013 tax years generally remain subject to examination by their respective tax authorities. In Brazil, the Company is contesting disallowed deductions related to the amortization of certain goodwill amounts (Note 11). |
Indebtedness
Indebtedness | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Indebtedness [Abstract] | ' | |||||||||||
Indebtedness | ' | |||||||||||
Indebtedness | ||||||||||||
Indebtedness consisted of the following at December 31, 2013 and 2012 (in millions): | ||||||||||||
December 31, 2013 | December 31, 2012 | |||||||||||
11/4% Convertible senior subordinated notes due 2036 | $ | 201.2 | $ | 192.1 | ||||||||
4½% Senior term loan due 2016 | 275 | 264.2 | ||||||||||
57/8% Senior notes due 2021 | 300 | 300 | ||||||||||
Credit facility, expires 2016 | 360 | 465 | ||||||||||
Other long-term debt | 114 | 65.5 | ||||||||||
1,250.20 | 1,286.80 | |||||||||||
Less: Current portion of long-term debt | (110.5 | ) | (59.1 | ) | ||||||||
11/4% Convertible senior subordinated notes due 2036 | (201.2 | ) | (192.1 | ) | ||||||||
Total indebtedness, less current portion | $ | 938.5 | $ | 1,035.60 | ||||||||
At December 31, 2013, the aggregate scheduled maturities of long-term debt, excluding the current portion of long-term debt, are as follows (in millions): | ||||||||||||
2015 | $ | 44.5 | ||||||||||
2016 | 576.6 | |||||||||||
2017 | 1.3 | |||||||||||
2018 | 0.3 | |||||||||||
Thereafter | 315.8 | |||||||||||
$ | 938.5 | |||||||||||
Convertible senior subordinated notes | ||||||||||||
The following table sets forth as of December 31, 2013 and 2012 the carrying amount of the equity component, the principal amount of the liability component, the unamortized discount and the net carrying amount of the Company’s 11/4% convertible senior subordinated notes (in millions): | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
1¼% Convertible senior subordinated notes due 2036: | ||||||||||||
Carrying amount of the equity component | $ | 54.3 | $ | 54.3 | ||||||||
Principal amount of the liability component | $ | 201.2 | $ | 201.3 | ||||||||
Less: unamortized discount | — | (9.2 | ) | |||||||||
Net carrying amount | $ | 201.2 | $ | 192.1 | ||||||||
The following table sets forth the interest expense recognized for the years ended December 31, 2013, 2012 and 2011 relating to both the contractual interest coupon and the amortization of the discount on the liability component for the Company’s former 13/4% convertible senior subordinated notes and the 11/4% convertible senior subordinated notes (in millions): | ||||||||||||
Years Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
1¾% Convertible senior subordinated notes: | ||||||||||||
Interest expense | $ | — | $ | — | $ | 0.9 | ||||||
1¼% Convertible senior subordinated notes: | ||||||||||||
Interest expense | $ | 11.7 | $ | 11.2 | $ | 10.7 | ||||||
The effective interest rate on the liability component for the 11/4% convertible senior subordinated notes for each of the years ended December 31, 2013, 2012 and 2011 was 6.1%. The unamortized discount for the 11/4% convertible senior subordinated notes was amortized through December 2013, as this was the earliest date that the notes’ holders could require the Company to repurchase the notes. | ||||||||||||
Cash payments for interest were approximately $66.4 million, $70.0 million and $47.1 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||
The Company’s 11/4% convertible senior subordinated notes, due December 15, 2036, were issued in December 2006 and provided for the settlement upon conversion in cash up to the principal amount of the notes with any excess conversion value settled in shares of the Company’s common stock. Interest is payable on the notes at 11/4% per annum, payable semi-annually in arrears in cash on June 15 and December 15 of each year. The notes are convertible into shares of the Company’s common stock at an effective price of $40.44 per share, subject to adjustment, including to reflect the impact to the conversion rate upon payment of any dividends to the Company’s stockholders. The current effective price reflects a conversion rate for the notes of 24.7268 shares of common stock per $1,000 principal amount of notes. | ||||||||||||
The notes contain certain anti-dilution provisions designed to protect the holders’ interests. If a change of control transaction that qualified as a “fundamental change” occurred on or prior to December 15, 2013, under certain circumstances the Company increased the conversion rate for the notes converted in connection with the transaction by a number of additional shares (as used in this paragraph, the “make whole shares”). A fundamental change is any transaction or event in connection with which 50% or more of the Company’s common stock is exchanged for, converted into, acquired for or constitutes solely the right to receive consideration that is not at least 90% common stock listed on a U.S. national securities exchange, or approved for quotation on an automated quotation system. The amount of the increase in the conversion rate would have depended on the effective date of the transaction and an average price per share of the Company’s common stock as of the effective date. No adjustment to the conversion rate would have been made if the price per share of common stock is less than $31.33 per share or more than $180.00 per share. The number of additional make whole shares range from 7.3658 shares per $1,000 principal amount at $31.33 per share to 0.0000 shares per $1,000 principal amount at $180.00 per share for the year ended December 15, 2013. If the acquirer or certain of its affiliates in the fundamental change transaction had publicly traded common stock, the Company would, instead of increasing the conversion rate as described above, cause the notes to become convertible into publicly traded common stock of the acquirer, with principal of the notes to be repaid in cash, and the balance, if any, payable in shares of such acquirer common stock. At no time will the Company issue an aggregate number of shares of the Company’s common stock upon conversion of the notes in excess of 31.9183 shares per $1,000 principal amount thereof. If the holders of the Company’s common stock receive only cash in a fundamental change transaction, then holders of the notes will receive cash as well. Holders may convert the notes only under the following circumstances: (1) during any fiscal quarter, if the closing sales price of the Company’s common stock exceeds 120% of the conversion price for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter; (2) during the five business day period after a five consecutive trading day period in which the trading price per note for each day of that period was less than 98% of the product of the closing sale price of the Company’s common stock and the conversion rate; (3) if the notes have been called for redemption; or (4) upon the occurrence of certain corporate transactions. Beginning December 19, 2013, the Company could redeem any of the notes at a redemption price of 100% of their principal amount, plus accrued interest, as well as settle any excess conversion value with shares of the Company’s common stock. Holders of the notes may require the Company to repurchase the notes at a repurchase price of 100% of their principal amount, plus accrued interest, on December 15, 2016, 2021, 2026 and 2031. Holders may also require the Company to repurchase all or a portion of the notes upon a fundamental change, as defined in the indenture, at a repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus any accrued and unpaid interest. The notes are senior subordinated obligations and are subordinated to all of the Company’s existing and future senior indebtedness and effectively subordinated to all debt and other liabilities of the Company’s subsidiaries. | ||||||||||||
Holders of the Company’s 11/4% convertible senior subordinated notes had the right to require the Company to repurchase the notes at a repurchase price of 100% of their principal amount, plus any interest, on December 15, 2013. No notes were tendered for repurchase. In addition, holders may convert the notes if, during any fiscal quarter, the closing sales price of the Company’s common stock exceeds 120% of the conversion price of $40.44 per share for at least 20 trading days in the 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter. As of December 31, 2013, the closing sales price of the Company’s common stock had exceeded 120% of the conversion price of the 11/4% convertible senior subordinated notes for at least 20 trading days in the 30 consecutive trading days ending December 31, 2013, and, therefore, the holders of the notes may convert the notes during the three months ending March 31, 2014. Due to the ability of the holders of the notes to convert the notes during the three months ending March 31, 2014, the Company classified the notes as a current liability as of December 31, 2013. As of December 31, 2012, the Company classified the notes as a current liability due to the redemption feature of the notes. The Company classified approximately $9.2 million of the equity component of the 11/4% convertible senior subordinated notes as “Temporary equity” as of December 31, 2012. The amount classified as “Temporary equity” was measured as the excess of (i) the amount of cash that would be required to be paid upon conversion over (ii) the current carrying amount of the liability-classified component. As of December 31, 2013, the amount of principal cash required to be repaid upon conversion of the 11/4% convertible senior subordinated notes was equivalent to the carrying amount of the liability-classified component. Future classification of the notes between current liabilities and long-term debt will be dependent on the closing sales price of the Company’s common stock during future quarters, until the fourth quarter of 2015. | ||||||||||||
During the year ended December 31, 2013, holders of the Company’s 11/4% convertible senior subordinated notes converted less than $0.1 million of principal amount of the notes. The Company issued 286 shares of its common stock associated with the less than $0.1 million excess conversion value of the notes. The Company reflected the repayment of the principal of the notes totaling less than $0.1 million within “Conversion of convertible senior subordinated notes” within the Company’s Consolidated Statements of Cash Flows for the year ended December 31, 2013. During 2011, holders of the Company’s former 13/4% convertible senior subordinated notes converted approximately $161.0 million of principal amount of the notes. The Company issued 3,926,574 shares of its common stock associated with the $195.9 million excess conversion value of the notes. The Company reflected the repayment of the principal of the notes totaling $161.0 million within “Conversion of convertible senior subordinated notes” within the Company’s Consolidated Statement of Cash Flows for the year ended December 31, 2011. | ||||||||||||
Subsequent to December 31, 2013, holders of the Company’s 11/4% convertible senior subordinated notes converted approximately $49.6 million of principal amount of the notes. The Company issued 377,957 shares of its common stock associated with the $21.9 million excess conversion value of the notes. | ||||||||||||
4 1/2% Senior term loan | ||||||||||||
The Company’s €200.0 million (or approximately $275.0 million) 41/2% senior term loan with Rabobank is due May 2, 2016. The Company has the ability to prepay the term loan before its maturity date. Interest is payable on the term loan at 41/2% per annum, payable quarterly in arrears on March 31, June 30, September 30 and December 31 of each year. The term loan contains covenants restricting, among other things, the incurrence of indebtedness and the making of certain payments, including dividends, and is subject to acceleration in the event of default. The Company also has to fulfill financial covenants with respect to a total debt to EBITDA ratio and an interest coverage ratio. | ||||||||||||
5 7/8% Senior notes | ||||||||||||
The Company’s $300.0 million of 57/8% senior notes due 2021 constitute senior unsecured and unsubordinated indebtedness. Interest is payable on the notes semi-annually in arrears on June 1 and December 1 of each year. At any time prior to September 1, 2021, the Company may redeem the notes, in whole or in part from time to time, at its option, at a redemption price equal to the greater of (i) 100% of the principal amount plus accrued and unpaid interest, including additional interest, if any, to, but excluding, the redemption date or (ii) the sum of the present values of the remaining scheduled payments of principal and interest (exclusive of interest accrued to the date of redemption) discounted to the redemption date at the treasury rate plus 0.5%, plus accrued and unpaid interest, including additional interest, if any. Beginning September 1, 2021, the Company may redeem the notes, in whole or in part from time to time, at its option, at a redemption price equal to 100% of the principal amount plus accrued and unpaid interest, including additional interest, if any. | ||||||||||||
Credit facility | ||||||||||||
The Company’s revolving credit and term loan facility consists of a $600.0 million multi-currency revolving credit facility and a $360.0 million term loan facility. The maturity date of the Company’s credit facility is December 1, 2016. The Company is required to make quarterly payments towards the term loan of $5.0 million that will increase to $10.0 million commencing March 2015. Interest accrues on amounts outstanding under the credit facility, at the Company’s option, at either (1) LIBOR plus a margin ranging from 1.0% to 2.0% based on the Company’s leverage ratio, or (2) the base rate, which is equal to the higher of (i) the administrative agent’s base lending rate for the applicable currency, (ii) the federal funds rate plus 0.5%, and (iii) one-month LIBOR for loans denominated in U.S. dollars plus 1.0% plus a margin ranging from 0.0% to 0.5% based on the Company’s leverage ratio. The credit facility contains covenants restricting, among other things, the incurrence of indebtedness and the making of certain payments, including dividends, and is subject to acceleration in the event of a default. The Company also has to fulfill financial covenants with respect to a total debt to EBITDA ratio and an interest coverage ratio. As of December 31, 2013, the Company had $360.0 million of outstanding borrowings under the credit facility and availability to borrow approximately $600.0 million. As of December 31, 2012, the Company had $465.0 million of outstanding borrowings under the credit facility and availability to borrow approximately $515.0 million. | ||||||||||||
Standby letters of credit and similar instruments | ||||||||||||
The Company has arrangements with various banks to issue standby letters of credit or similar instruments, which guarantee the Company’s obligations for the purchase or sale of certain inventories and for potential claims exposure for insurance coverage. At December 31, 2013 and 2012, outstanding letters of credit totaled $16.7 million and $15.8 million, respectively. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Pension and Other Postretirement Benefit Expense [Abstract] | ' | ||||||||||||||||
Employee Benefit Plans | ' | ||||||||||||||||
Employee Benefit Plans | |||||||||||||||||
The Company sponsors defined benefit pension plans covering certain employees, principally in the United States, the United Kingdom, Germany, Finland, Norway, France, Switzerland, Australia and Argentina. The Company also provides certain postretirement health care and life insurance benefits for certain employees, principally in the United States and Brazil. | |||||||||||||||||
Net annual pension costs for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions): | |||||||||||||||||
Pension benefits | 2013 | 2012 | 2011 | ||||||||||||||
Service cost | $ | 14.9 | $ | 14.4 | $ | 14.4 | |||||||||||
Interest cost | 33.9 | 38.2 | 40.1 | ||||||||||||||
Expected return on plan assets | (37.6 | ) | (36.3 | ) | (37.1 | ) | |||||||||||
Amortization of net actuarial loss | 13.3 | 9.5 | 6.4 | ||||||||||||||
Amortization of prior service credit | (0.1 | ) | (0.1 | ) | (0.2 | ) | |||||||||||
Settlement loss | 0.1 | 0.2 | 0.1 | ||||||||||||||
Special termination benefits and other | — | — | 0.2 | ||||||||||||||
Net annual pension cost | $ | 24.5 | $ | 25.9 | $ | 23.9 | |||||||||||
The weighted average assumptions used to determine the net annual pension costs for the Company’s pension plans for the years ended December 31, 2013, 2012 and 2011 are as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
All plans: | |||||||||||||||||
Weighted average discount rate | 4.3 | % | 5.1 | % | 5.6 | % | |||||||||||
Weighted average expected long-term rate of return on plan assets | 6.8 | % | 7 | % | 7 | % | |||||||||||
Rate of increase in future compensation | 2.5-4.0% | 2.5-4.5% | 2.5-4.5% | ||||||||||||||
U.S.-based plans: | |||||||||||||||||
Weighted average discount rate | 3.9 | % | 4.6 | % | 5.4 | % | |||||||||||
Weighted average expected long-term rate of return on plan assets | 7 | % | 7.75 | % | 8 | % | |||||||||||
Rate of increase in future compensation | N/A | N/A | N/A | ||||||||||||||
Net annual postretirement benefit costs for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions, except percentages): | |||||||||||||||||
Postretirement benefits | 2013 | 2012 | 2011 | ||||||||||||||
Service cost | $ | 0.1 | $ | 0.1 | $ | 0.1 | |||||||||||
Interest cost | 1.7 | 1.5 | 1.6 | ||||||||||||||
Amortization of prior service cost (credit) | 0.2 | (0.2 | ) | (0.3 | ) | ||||||||||||
Amortization of net actuarial loss | 0.5 | 0.4 | 0.3 | ||||||||||||||
Net annual postretirement benefit cost | $ | 2.5 | $ | 1.8 | $ | 1.7 | |||||||||||
Weighted average discount rate | 4.7 | % | 4.8 | % | 5.6 | % | |||||||||||
The following tables set forth reconciliations of the changes in benefit obligation, plan assets and funded status as of December 31, 2013 and 2012 (in millions): | |||||||||||||||||
Pension Benefits | Postretirement | ||||||||||||||||
Benefits | |||||||||||||||||
Change in benefit obligation | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Benefit obligation at beginning of year | $ | 842.3 | $ | 765.9 | $ | 37 | $ | 31.8 | |||||||||
Service cost | 14.9 | 14.4 | 0.1 | 0.1 | |||||||||||||
Interest cost | 33.9 | 38.2 | 1.7 | 1.5 | |||||||||||||
Plan participants’ contributions | 1.3 | 1.2 | — | — | |||||||||||||
Actuarial loss (gain) | (4.1 | ) | 36.1 | (6.2 | ) | 1.8 | |||||||||||
Amendments | — | — | — | 3.9 | |||||||||||||
Settlements | (0.6 | ) | (0.4 | ) | — | — | |||||||||||
Benefits paid | (52.9 | ) | (44.6 | ) | (1.8 | ) | (1.8 | ) | |||||||||
Special termination benefits and other | — | — | — | 0.1 | |||||||||||||
Foreign currency exchange rate changes | 16.4 | 31.5 | (0.5 | ) | (0.4 | ) | |||||||||||
Benefit obligation at end of year | $ | 851.2 | $ | 842.3 | $ | 30.3 | $ | 37 | |||||||||
Postretirement | |||||||||||||||||
Pension Benefits | Benefits | ||||||||||||||||
Change in plan assets | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Fair value of plan assets at beginning of year | $ | 576.7 | $ | 520.8 | $ | — | $ | — | |||||||||
Actual return on plan assets | 81.3 | 40.6 | — | — | |||||||||||||
Employer contributions | 41 | 36.1 | 1.8 | 1.7 | |||||||||||||
Plan participants’ contributions | 1.3 | 1.2 | — | — | |||||||||||||
Benefits paid | (52.9 | ) | (44.6 | ) | (1.8 | ) | (1.8 | ) | |||||||||
Settlements | (0.6 | ) | (0.4 | ) | — | — | |||||||||||
Other | — | — | — | 0.1 | |||||||||||||
Foreign currency exchange rate changes | 13.9 | 23 | — | — | |||||||||||||
Fair value of plan assets at end of year | $ | 660.7 | $ | 576.7 | $ | — | $ | — | |||||||||
Funded status | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
Unrecognized net actuarial loss | 260.3 | 321.5 | 4.1 | 10.8 | |||||||||||||
Unrecognized prior service (credit) cost | (0.1 | ) | (0.2 | ) | 3.9 | 4.2 | |||||||||||
Accumulated other comprehensive loss | (260.2 | ) | (321.3 | ) | (8.0 | ) | (15.0 | ) | |||||||||
Net amount recognized | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
Amounts recognized in Consolidated Balance Sheets: | |||||||||||||||||
Other long-term asset | $ | — | $ | 0.1 | $ | — | $ | — | |||||||||
Other current liabilities | (3.0 | ) | (2.5 | ) | (1.8 | ) | (1.7 | ) | |||||||||
Accrued expenses | (5.4 | ) | (5.2 | ) | — | — | |||||||||||
Pensions and postretirement health care benefits (noncurrent) | (182.1 | ) | (258.0 | ) | (28.5 | ) | (35.3 | ) | |||||||||
Net amount recognized | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
The following table summarizes the activity in accumulated other comprehensive loss related to the Company’s defined pension and postretirement benefit plans during the year ended December 31, 2013 (in millions): | |||||||||||||||||
Before-Tax | Income | After-Tax | |||||||||||||||
Amount | Tax | Amount | |||||||||||||||
Accumulated other comprehensive loss as of December 31, 2012 | $ | (355.2 | ) | $ | (92.3 | ) | $ | (262.9 | ) | ||||||||
Net loss recognized due to settlement | 0.1 | 0.1 | — | ||||||||||||||
Net actuarial gain arising during the year | 60.1 | 14.9 | 45.2 | ||||||||||||||
Amortization of prior service cost | 1.1 | 0.5 | 0.6 | ||||||||||||||
Amortization of net actuarial loss | 14.5 | 3.8 | 10.7 | ||||||||||||||
Accumulated other comprehensive loss as of December 31, 2013 | $ | (279.4 | ) | $ | (73.0 | ) | $ | (206.4 | ) | ||||||||
As of December 31, 2013, the Company’s accumulated other comprehensive loss included a net actuarial loss of approximately $260.3 million and a net prior service credit of approximately $0.1 million related to the Company’s defined benefit pension plans. The estimated net actuarial loss and net prior service credit for defined benefit pension plans expected to be amortized from the Company’s accumulated other comprehensive loss during the year ended December 31, 2014 are approximately $8.6 million and $0.1 million, respectively. | |||||||||||||||||
As of December 31, 2013, the Company’s accumulated other comprehensive loss included a net actuarial loss of approximately $4.1 million and a net prior service cost of approximately $3.9 million related to the Company’s U.S. and Brazilian postretirement health care benefit plans. The estimated net actuarial loss and net prior service cost for postretirement health care benefit plans expected to be amortized from the Company’s accumulated other comprehensive loss during the year ended December 31, 2014 are approximately $0.1 million and $0.2 million, respectively. | |||||||||||||||||
The weighted average assumptions used to determine the benefit obligation for the Company’s pension plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
All plans: | |||||||||||||||||
Weighted average discount rate | 4.3 | % | 4.3 | % | |||||||||||||
Rate of increase in future compensation | 2.5-4.5% | 2.5-4.0% | |||||||||||||||
U.S.-based plans: | |||||||||||||||||
Weighted average discount rate | 4.8 | % | 3.9 | % | |||||||||||||
Rate of increase in future compensation | N/A | N/A | |||||||||||||||
The weighted average discount rate used to determine the benefit obligation for the Company’s postretirement benefit plans for the years ended December 31, 2013 and 2012 was 5.3% and 4.7%, respectively. | |||||||||||||||||
The aggregate projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension and other postretirement plans with accumulated benefit obligations in excess of plan assets were $873.6 million, $834.5 million and $653.1 million, respectively, as of December 31, 2013, and $870.8 million, $830.8 million and $569.0 million, respectively, as of December 31, 2012. The projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for the Company’s U.S-based qualified pension plans with accumulated benefit obligations in excess of plan assets were $48.1 million, $48.1 million and $41.9 million, respectively, as of December 31, 2013, and $54.4 million, $54.4 million and $36.7 million, respectively, as of December 31, 2012. The Company’s accumulated comprehensive loss as of December 31, 2013 reflects a reduction of equity of $268.2 million, net of taxes of $74.0 million, primarily related to the Company’s U.K. pension plan, where the projected benefit obligation exceeded the plan assets. In addition, the Company’s accumulated comprehensive loss as of December 31, 2013 reflects a reduction of equity of approximately $1.3 million, net of taxes of $0.4 million, related to the Company’s GIMA joint venture. The amount represents 50% of GIMA’s unrecognized net actuarial losses and unrecognized prior service cost associated with its pension plan. The Company’s accumulated comprehensive loss as of December 31, 2012 reflected a reduction of equity of $336.3 million, net of taxes of $90.2 million, primarily related to the Company’s U.K. pension plan, where the projected benefit obligation exceeded the plan assets. In addition, the Company’s accumulated comprehensive loss as of December 31, 2012 reflected a reduction of equity of approximately $1.4 million, net of taxes of $0.5 million related to the Company’s GIMA joint venture. This amount represented 50% of GIMA’s unrecognized net actuarial losses and unrecognized prior service cost associated with its pension plan. | |||||||||||||||||
For the years ended December 31, 2013, 2012 and 2011, the Company used a globally consistent methodology to set the discount rate in the countries where its largest benefit obligations exist. In the United States, the United Kingdom and the Euro Zone, the Company constructed a hypothetical bond portfolio of high-quality corporate bonds and then applied the cash flows of the Company’s benefit plans to those bond yields to derive a discount rate. The bond portfolio and plan-specific cash flows vary by country, but the methodology in which the portfolio is constructed is consistent. In the United States, the bond portfolio is large enough to result in taking a “settlement approach” to derive the discount rate, where high-quality corporate bonds are assumed to be purchased and the resulting coupon payments and maturities are used to satisfy the Company’s largest U.S. pension plan’s projected benefit payments. In the United Kingdom and the Euro Zone, the discount rate is derived using a “yield curve approach,” where an individual spot rate, or zero coupon bond yield, for each future annual period is developed to discount each future benefit payment and, thereby, determine the present value of all future payments. Under the settlement and yield curve approaches, the discount rate is set to equal the single discount rate that produces the same present value of all future payments. | |||||||||||||||||
Investment strategy and concentration of risk | |||||||||||||||||
The weighted average asset allocation of the Company’s U.S. pension benefit plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
Asset Category | 2013 | 2012 | |||||||||||||||
Large and small cap domestic equity securities | 48 | % | 45 | % | |||||||||||||
International equity securities | 16 | % | 14 | % | |||||||||||||
Domestic fixed income securities | 16 | % | 21 | % | |||||||||||||
Other investments | 20 | % | 20 | % | |||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
The weighted average asset allocation of the Company’s non-U.S. pension benefit plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
Asset Category | 2013 | 2012 | |||||||||||||||
Equity securities | 45 | % | 42 | % | |||||||||||||
Fixed income securities | 30 | % | 34 | % | |||||||||||||
Other investments | 25 | % | 24 | % | |||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
ASC 820, “Fair Value Measurements” (“ASC 820”), establishes a framework for measuring fair value. The framework provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under ASC 820 are described as follows: | |||||||||||||||||
Level 1: Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access. | |||||||||||||||||
Level 2: Inputs to the valuation methodology include: | |||||||||||||||||
• | quoted prices for similar assets or liabilities in active markets; | ||||||||||||||||
• | quoted prices for identical or similar assets or liabilities in inactive markets; | ||||||||||||||||
• | inputs other than quoted prices that are observable for the asset or liability; and | ||||||||||||||||
• | inputs that are derived principally from or corroborated by observable market data by correlation or other means. | ||||||||||||||||
If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability. | |||||||||||||||||
Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement. | |||||||||||||||||
The asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The Company’s valuation techniques are designed to maximize the use of observable inputs and minimize the use of unobservable inputs. The Company uses the following valuation methodologies to measure the fair value of the plan assets: | |||||||||||||||||
Equity Securities: Equity securities are valued on the basis of the closing price per unit on each business day as reported on the applicable exchange. | |||||||||||||||||
Fixed Income: Fixed income securities are valued using the closing prices in the active market in which the fixed income investment trades. Fixed income funds are valued using the net asset value of the fund, which is based on the fair value of the underlying securities. | |||||||||||||||||
Cash: These investments primarily consist of short term investment funds which are valued using the net asset value. | |||||||||||||||||
Alternative Investments and Pooled Funds: These investments are reported at fair value as determined by the general partner of the alternative investment or pooled fund. The “market approach” valuation technique is used to value investments in these funds. The funds are typically open-end funds as they generally offer subscription and redemption options to investors. The frequency of such subscriptions or redemptions is dictated by each fund’s governing documents. The amount of liquidity provided to investors in a particular fund is generally consistent with the liquidity and risk associated with the underlying portfolio (i.e., the more liquid the investments in the portfolio, the greater the liquidity provided to investors). Liquidity of individual funds varies based on various factors and may include “gates,” “holdbacks” and “side pockets” imposed by the manager of the fund, as well as redemption fees that may also apply. Investments in these funds are typically valued utilizing the net asset valuations provided by their underlying investment managers, general partners or administrators. The funds consider subscription and redemption rights, including any restrictions on the disposition of the interest, in its determination of the fair value. | |||||||||||||||||
Insurance Contracts: Insurance contracts are valued using current prevailing interest rates. | |||||||||||||||||
The fair value of the Company’s pension assets as of December 31, 2013 is as follows (in millions): | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Equity securities: | |||||||||||||||||
Global equities | $ | 132 | $ | 132 | $ | — | $ | — | |||||||||
Non-U.S. equities | 6.7 | 6.7 | — | — | |||||||||||||
U.K. equities | 132 | 132 | — | — | |||||||||||||
U.S. large cap equities | 13.9 | 13.9 | — | — | |||||||||||||
U.S. small cap equities | 6.2 | 6.2 | — | — | |||||||||||||
Total equity securities | 290.8 | 290.8 | — | — | |||||||||||||
Fixed income: | |||||||||||||||||
Aggregate fixed income | 6.5 | 6.5 | — | — | |||||||||||||
International fixed income | 180.8 | 180.8 | — | — | |||||||||||||
Total fixed income share(1) | 187.3 | 187.3 | — | — | |||||||||||||
Cash and equivalents: | |||||||||||||||||
Cash | 10.8 | — | 10.8 | — | |||||||||||||
Total cash and equivalents | 10.8 | — | 10.8 | — | |||||||||||||
Alternative investments(2) | 146 | — | — | 146 | |||||||||||||
Miscellaneous funds(3) | 25.8 | — | — | 25.8 | |||||||||||||
Total assets | $ | 660.7 | $ | 478.1 | $ | 10.8 | $ | 171.8 | |||||||||
______________________________________ | |||||||||||||||||
-1 | 40% of “fixed income” securities are in government treasuries; 31% are in investment-grade corporate bonds; and 29% are in other various fixed income securities. | ||||||||||||||||
-2 | 35% of “alternative investments” are in long-short equity funds; 29% are in event-driven funds; 12% are in relative value funds; 12% are in credit funds; 7% are distributed in hedged and non-hedged funds; and 5% are in multi-strategy funds. | ||||||||||||||||
-3 | “Miscellaneous funds” is comprised of pooled funds in Australia and insurance contracts in Finland, Norway and Switzerland. | ||||||||||||||||
The following is a reconciliation of Level 3 assets as of December 31, 2013 (in millions): | |||||||||||||||||
Total | Alternative | Miscellaneous | |||||||||||||||
Investments | Funds | ||||||||||||||||
Beginning balance as of December 31, 2012 | $ | 152.6 | $ | 127.1 | $ | 25.5 | |||||||||||
Actual return on plan assets: | |||||||||||||||||
(a) Relating to assets still held at reporting date | 15.4 | 15.1 | 0.3 | ||||||||||||||
(b) Relating to assets sold during period | 0.3 | 0.3 | — | ||||||||||||||
Purchases, sales and /or settlements | 0.5 | 0.3 | 0.2 | ||||||||||||||
Foreign currency exchange rate changes | 3 | 3.2 | (0.2 | ) | |||||||||||||
Ending balance as of December 31, 2013 | $ | 171.8 | $ | 146 | $ | 25.8 | |||||||||||
The fair value of the Company’s pension assets as of December 31, 2012 is as follows (in millions): | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Equity securities: | |||||||||||||||||
Global equities | $ | 103.7 | $ | 103.7 | $ | — | $ | — | |||||||||
Non-U.S. equities | 5.2 | 5.2 | — | — | |||||||||||||
U.K. equities | 112.2 | 112.2 | — | — | |||||||||||||
U.S. large cap equities | 11.1 | 11.1 | — | — | |||||||||||||
U.S. small cap equities | 5.4 | 5.4 | — | — | |||||||||||||
Total equity securities | 237.6 | 237.6 | — | — | |||||||||||||
Fixed income: | |||||||||||||||||
Aggregate fixed income | 7.6 | 7.6 | — | — | |||||||||||||
International fixed income | 176.7 | 176.7 | — | — | |||||||||||||
Total fixed income share(1) | 184.3 | 184.3 | — | — | |||||||||||||
Cash and equivalents: | |||||||||||||||||
Cash | 2.2 | — | 2.2 | — | |||||||||||||
Total cash and equivalents | 2.2 | — | 2.2 | — | |||||||||||||
Alternative investments(2) | 127.1 | — | — | 127.1 | |||||||||||||
Miscellaneous funds(3) | 25.5 | — | — | 25.5 | |||||||||||||
Total assets | $ | 576.7 | $ | 421.9 | $ | 2.2 | $ | 152.6 | |||||||||
_______________________________________ | |||||||||||||||||
-1 | 39% of “fixed income” securities are in investment-grade corporate bonds; 34% are in other various fixed income securities; and 27% are in government treasuries. | ||||||||||||||||
-2 | 24% of “alternative investments” are in long-short equity funds; 19% are in multi-strategy funds; 17% are in event-driven funds; 16% are distributed in hedged and non-hedged funds; 12% are in relative value funds; and 12% are in credit funds. | ||||||||||||||||
-3 | “Miscellaneous funds” is comprised of pooled funds in Australia and various contracts in Finland, Norway and Switzerland. | ||||||||||||||||
The following is a reconciliation of Level 3 assets as of December 31, 2012 (in millions): | |||||||||||||||||
Total | Alternative | Miscellaneous | |||||||||||||||
Investments | Funds | ||||||||||||||||
Beginning balance as of December 31, 2011 | $ | 140.9 | $ | 119.8 | $ | 21.1 | |||||||||||
Actual return on plan assets: | |||||||||||||||||
(a) Relating to assets still held at reporting date | 4.3 | 4.1 | 0.2 | ||||||||||||||
(b) Relating to assets sold during period | 0.5 | 0.5 | — | ||||||||||||||
Purchases, sales and /or settlements | 1.2 | (2.3 | ) | 3.5 | |||||||||||||
Transfers in and /or out of Level 3 | (0.2 | ) | (0.2 | ) | — | ||||||||||||
Foreign currency exchange rate changes | 5.9 | 5.2 | 0.7 | ||||||||||||||
Ending balance as of December 31, 2012 | $ | 152.6 | $ | 127.1 | $ | 25.5 | |||||||||||
All tax-qualified pension fund investments in the United States are held in the AGCO Corporation Master Pension Trust. The Company’s global pension fund strategy is to diversify investments across broad categories of equity and fixed income securities with appropriate use of alternative investment categories to minimize risk and volatility. The primary investment objective of the Company’s pension plans is to secure participant retirement benefits. As such, the key objective in the pension plans’ financial management is to promote stability and, to the extent appropriate, growth in funded status. | |||||||||||||||||
The investment strategy for the plans’ portfolio of assets balances the requirement to generate returns with the need to control risk. The asset mix is recognized as the primary mechanism to influence the reward and risk structure of the pension fund investments in an effort to accomplish the plans’ funding objectives. The overall investment strategy for the U.S.-based pension plans is to achieve a mix of approximately 15% of assets for the near-term benefit payments and 85% for longer-term growth. The overall U.S. pension funds invest in a broad diversification of asset types. The Company’s U.S. target allocation of retirement fund investments is 45% large- and small-cap domestic equity securities, 15% international equity securities, 20% broad fixed income securities and 20% in alternative investments. The Company has noted that over very long periods, this mix of investments would achieve an average return of approximately 7.0%. The overall investment strategy for the non-U.S. based pension plans is to achieve a mix of approximately 30% of assets for the near-term benefit payments and 70% for longer-term growth. The overall non-U.S. pension funds invest in a broad diversification of asset types. The Company’s non-U.S. target allocation of retirement fund investments is 45% equity securities, 30% broad fixed income investments and 25% in alternative investments. The majority of the Company’s non-U.S. pension fund investments are related to the Company’s pension plan in the United Kingdom. The Company has noted that over very long periods, this mix of investments would achieve an average return in excess of 7.8%. In arriving at the choice of an expected return assumption of 7.0% for its U.K.-based plans for the year ended December 31, 2014, the Company has tempered this historical indicator with lower expectations for returns and equity investment in the future as well as the administrative costs of the plans. | |||||||||||||||||
Equity securities primarily include investments in large-cap and small-cap companies located across the globe. Fixed income securities include corporate bonds of companies from diversified industries, mortgage-backed securities, agency mortgages, asset-backed securities and government securities. Alternative and other assets include investments in hedge fund of funds that follow diversified investment strategies. To date, the Company has not invested pension funds in its own stock and has no intention of doing so in the future. | |||||||||||||||||
Within each asset class, careful consideration is given to balancing the portfolio among industry sectors, geographies, interest rate sensitivity, dependence on economic growth, currency and other factors affecting investment returns. The assets are managed by professional investment firms, who are bound by precise mandates and are measured against specific benchmarks. Among asset managers, consideration is given, among others, to balancing security concentration, issuer concentration, investment style and reliance on particular active investment strategies. | |||||||||||||||||
For measuring the expected U.S. postretirement benefit obligation at December 31, 2013 and 2012, the Company assumed an 7.5% and 8.0% health care cost trend rate for 2014 and 2013, respectively, decreasing to 5.0% by 2019. For measuring the Brazilian postretirement benefit plan obligation at December 31, 2013, the Company assumed a 12.25% health care cost trend rate for 2014, decreasing to 6.45% by 2024. For measuring the Brazilian postretirement benefit plan obligation at December 31, 2012, the Company assumed a 10.7% health care cost trend rate for 2013, decreasing to 6.2% by 2022. Changing the assumed health care cost trend rates by one percentage point each year and holding all other assumptions constant would have the following effect to service and interest cost for 2013 and the accumulated postretirement benefit obligation at December 31, 2013 (in millions): | |||||||||||||||||
One Percentage | One Percentage | ||||||||||||||||
Point Increase | Point Decrease | ||||||||||||||||
Effect on service and interest cost | $ | 0.4 | $ | (0.3 | ) | ||||||||||||
Effect on accumulated benefit obligation | $ | 3.8 | $ | (3.8 | ) | ||||||||||||
The Company currently estimates its minimum contributions to its U.S.-based defined pension plans for 2014 will aggregate approximately $2.6 million. The Company currently estimates its benefit payments for 2014 to its U.S.-based postretirement health care and life insurance benefit plans will aggregate approximately $1.8 million and its benefits for 2014 to its Brazilian postretirement health care benefit plans will aggregate approximately less than $0.1 million. The Company currently estimates its minimum contributions for underfunded plans and benefit payments for unfunded plans for 2014 to its non-U.S.-based defined pension plans will aggregate approximately $40.0 million, of which approximately $25.6 million relates to its U.K. pension plan. | |||||||||||||||||
During 2013, approximately $53.5 million of benefit payments were made related to the Company’s pension plans. At December 31, 2013, the aggregate expected benefit payments for all of the Company’s pension plans are as follows (in millions): | |||||||||||||||||
2014 | $ | 53.2 | |||||||||||||||
2015 | 51.4 | ||||||||||||||||
2016 | 50.6 | ||||||||||||||||
2017 | 50.3 | ||||||||||||||||
2018 | 51.2 | ||||||||||||||||
2019 through 2023 | 276.6 | ||||||||||||||||
$ | 533.3 | ||||||||||||||||
During 2013, approximately $1.8 million of benefit payments were made related to the Company’s U.S. and Brazilian postretirement benefit plans. At December 31, 2013, the aggregate expected benefit payments for the Company’s U.S. and Brazilian postretirement benefit plans are as follows (in millions): | |||||||||||||||||
2014 | $ | 1.8 | |||||||||||||||
2015 | 1.8 | ||||||||||||||||
2016 | 1.9 | ||||||||||||||||
2017 | 1.9 | ||||||||||||||||
2018 | 2 | ||||||||||||||||
2019 through 2023 | 10.4 | ||||||||||||||||
$ | 19.8 | ||||||||||||||||
The Company participates in a small number of multiemployer plans in the Netherlands and Sweden. The Company has assessed and determined that none of the multiemployer plans which it participates in are individually, or in the aggregate, significant to the Company’s Consolidated Financial Statements. The Company does not expect to incur a withdrawal liability or expect to significantly increase its contributions over the remainder of the multiemployer plans’ contract periods. | |||||||||||||||||
The Company maintains an Executive Nonqualified Pension Plan (“ENPP”), which provides U.S.-based senior executives with retirement income for a period of 15 years based on a percentage of the average of their highest three non-consecutive years of base salary and bonus during their final ten years of employment (referred to as their “three-year average compensation”), reduced by the senior executive’s social security benefits and 401(k) employer-matching contributions, as if the executive had made the maximum contribution. The benefit paid to the executives ranges from 2.25% to 3.00% of their three-year average compensation multiplied by credited years of service (subject to a maximum of 20 years). For nearly all participants, benefits under the ENPP vest if the participant has attained age 50 with at least ten years of service (five years of which include years of participation in the ENPP), but are not payable until the participant reaches age 65 or upon termination of services because of death or disability, adjusted to reflect payment prior to age 65. | |||||||||||||||||
Net annual ENPP cost and the measurement assumptions for the plans for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions, except percentages): | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Service cost | $ | 3.1 | $ | 2.8 | $ | 1.8 | |||||||||||
Interest cost | 1.5 | 1.4 | 1 | ||||||||||||||
Amortization of prior service cost | 0.9 | 0.9 | 0.6 | ||||||||||||||
Amortization of net actuarial loss | 0.7 | 0.3 | 0.1 | ||||||||||||||
Net annual ENPP costs | $ | 6.2 | $ | 5.4 | $ | 3.5 | |||||||||||
Discount rate | 3.9 | % | 4.6 | % | 5.4 | % | |||||||||||
Rate of increase in future compensation | 5 | % | 5 | % | 5 | % | |||||||||||
The following tables set forth reconciliations of the changes in benefit obligation and funded status as of December 31, 2013 and 2012 (in millions): | |||||||||||||||||
Change in benefit obligation | 2013 | 2012 | |||||||||||||||
Benefit obligation at beginning of year | $ | 39.6 | $ | 31 | |||||||||||||
Service cost | 3.1 | 2.8 | |||||||||||||||
Interest cost | 1.5 | 1.4 | |||||||||||||||
Actuarial (gain) loss | (6.0 | ) | 5.3 | ||||||||||||||
Benefits paid | (1.2 | ) | (0.9 | ) | |||||||||||||
Benefit obligation at end of year | $ | 37 | $ | 39.6 | |||||||||||||
Funded status | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
Unrecognized net actuarial loss | 5.2 | 11.9 | |||||||||||||||
Unrecognized prior service cost | 4.7 | 5.6 | |||||||||||||||
Accumulated other comprehensive loss | (9.9 | ) | (17.5 | ) | |||||||||||||
Net amount recognized | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
Amounts recognized in Consolidated Balance Sheets: | |||||||||||||||||
Other current liabilities | $ | (1.2 | ) | $ | (1.3 | ) | |||||||||||
Pensions and postretirement health care benefits (noncurrent) | (35.8 | ) | (38.3 | ) | |||||||||||||
Net amount recognized | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
The weighted average discount rate used to determine the benefit obligation for the ENPP for the years ended December 31, 2013 and 2012 was 4.8% and 3.9%, respectively. | |||||||||||||||||
At December 31, 2013, the Company’s accumulated other comprehensive loss included a net actuarial loss of approximately $5.2 million and a net prior service cost of approximately $4.7 million related to the ENPP. The estimated net actuarial loss and net prior service cost related to the ENPP expected to be amortized from the Company’s accumulated other comprehensive loss during the year ended December 31, 2014 are approximately $0.1 million and $0.9 million, respectively. | |||||||||||||||||
At December 31, 2013, the Company recorded a reduction to equity of $9.9 million, in addition to a deferred tax liability of $1.4 million, related to the unfunded projected benefit obligation of the ENPP. At December 31, 2012, the Company recorded a reduction to equity of $17.5 million, net of taxes of $1.6 million, related to the unfunded projected benefit obligation of the ENPP. Refer to Note 5 for information on the reversal of the valuation allowance previously established against the Company’s deferred tax assets in the United States. | |||||||||||||||||
During 2013, approximately $1.2 million of benefit payments were made related to the ENPP. At December 31, 2013, the aggregate expected benefit payments for the ENPP are as follows (in millions): | |||||||||||||||||
2014 | $ | 1.3 | |||||||||||||||
2015 | 0.9 | ||||||||||||||||
2016 | 1.1 | ||||||||||||||||
2017 | 2.7 | ||||||||||||||||
2018 | 2.7 | ||||||||||||||||
2019 through 2023 | 15.1 | ||||||||||||||||
$ | 23.8 | ||||||||||||||||
The Company maintains separate defined contribution plans covering certain employees, primarily in the United States, the United Kingdom and Brazil. Under the plans, the Company contributes a specified percentage of each eligible employee’s compensation. The Company contributed approximately $13.0 million, $11.7 million and $10.0 million for the years ended December 31, 2013, 2012 and 2011, respectively. |
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||
Stockholders' Equity | ' | |||||||||||||||
Stockholders’ Equity | ||||||||||||||||
The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the year ended December 31, 2013 (in millions): | ||||||||||||||||
Defined Benefit Pension Plans | Cumulative Translation Adjustment | Deferred Net Gains (Losses) on Derivatives | Total | |||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (262.9 | ) | $ | (217.2 | ) | $ | 0.7 | $ | (479.4 | ) | |||||
Other comprehensive gain (loss) before reclassifications | 45.2 | (86.9 | ) | (1.4 | ) | (43.1 | ) | |||||||||
Net losses reclassified from accumulated other comprehensive loss | 11.3 | — | 0.5 | 11.8 | ||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 56.5 | (86.9 | ) | (0.9 | ) | (31.3 | ) | |||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (304.1 | ) | $ | (0.2 | ) | $ | (510.7 | ) | ||||
The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the year ended December 31, 2013 (in millions): | ||||||||||||||||
Details about Accumulated Other Comprehensive Loss Components | Amount Reclassified from Accumulated Other Comprehensive Loss Year ended December 31, 2013 (1) | Affected Line Item within the Consolidated Statements of Operations | ||||||||||||||
Net losses on cash flow hedges | $ | 0.7 | Cost of goods sold | |||||||||||||
Tax | (0.2 | ) | Income tax provision | |||||||||||||
Reclassification net of tax | $ | 0.5 | ||||||||||||||
Defined benefit pension plans: | ||||||||||||||||
Amortization of net actuarial loss | $ | 14.5 | (2) | |||||||||||||
Amortization of prior service cost | 1.1 | (2) | ||||||||||||||
Reclassification before tax | 15.6 | |||||||||||||||
Tax | (4.3 | ) | Income tax provision | |||||||||||||
Reclassification net of tax | $ | 11.3 | ||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | $ | 11.8 | ||||||||||||||
(1) Losses included within the Consolidated Statements of Operations for the year ended December 31, 2013. | ||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 7 to the Company’s Consolidated Financial Statements. | ||||||||||||||||
Common Stock | ||||||||||||||||
At December 31, 2013, the Company had 150.0 million authorized shares of common stock with a par value of $0.01 per share, with approximately 97.4 million shares of common stock outstanding and approximately 3.6 million shares reserved for issuance under the Company’s 2006 Long-Term Incentive Plan (the “2006 Plan”) (Note 9). | ||||||||||||||||
The Company has a stockholder rights plan, which was adopted in April 1994 following stockholder approval. The plan provides that each share of common stock outstanding will have attached to it the right to purchase a one-hundredth of a share of Junior Cumulative Preferred Stock, with a par value $0.01 per share. The purchase price per each one-hundredth of a share is $110.00, subject to adjustment. The rights will be exercisable only if a person or group (“acquirer”) acquires 20% or more of the Company’s common stock or announces a tender offer or exchange offer that would result in the acquisition of 20% or more of the Company’s common stock or, in some circumstances, if additional conditions are met. Once they are exercisable, the plan allows stockholders, other than the acquirer, to purchase the Company’s common stock or securities of the acquirer with a then current market value of two times the exercise price of the right. The rights are redeemable for $0.01 per right, subject to adjustment, at the option of the Company’s Board of Directors. The rights will expire on April 26, 2014, unless they are extended, redeemed or exchanged by the Company before that date. | ||||||||||||||||
Share Repurchase Program | ||||||||||||||||
In July 2012, the Board of Directors approved a share repurchase program under which the Company is permitted to repurchase up to $50.0 million of shares of its common stock. During 2013, through open market transactions, the Company repurchased 19,510 shares of its common stock for approximately $1.0 million at an average price paid of $49.34 per share. During 2012, the Company repurchased 409,007 shares of its common stock for approximately $17.6 million at an average price paid of $43.14 per share under the program through open market transactions. Repurchased shares were retired on the date of purchase, and the excess of the purchase price over par value per share was recorded to “Additional paid-in capital” within the Company’s Consolidated Balance Sheets. In December 2013, the Board of Directors approved an additional share repurchase program under which the Company is permitted to repurchase up to $500.0 million of shares of its common stock. | ||||||||||||||||
During 2014, the Company entered into accelerated repurchase agreements (“ASRs”) with a financial institution to repurchase an aggregate of $290.0 million of shares of the Company’s common stock. The Company received approximately 4.2 million shares to date in these transactions. The specific number of shares the Company will ultimately repurchase will be determined at the completion of the terms of the ASRs based on the daily volume-weighted average share price of the Company’s common stock less an agreed upon discount. Upon settlement of the ASRs, the Company may be entitled to receive additional shares of common stock, or under certain circumstances, be required to remit a settlement amount. The Company expects that additional shares will be received by the Company upon final settlement of its current ASR, which expires during the third quarter of 2014. All shares received under the ASRs discussed above were retired upon receipt and the excess of the purchase price over par value per share was recorded to “Additional paid-in capital” within the Company’s Consolidated Balance Sheets. Of the $550.0 million in approved share repurchase programs, the remaining amount authorized to be repurchased is approximately $241.4 million. |
Stock_Incentive_Plan
Stock Incentive Plan | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Stock Incentive Plans | ' | ||||||||||||||||
Stock Incentive Plan | |||||||||||||||||
Under the 2006 Plan, up to 10.0 million shares of AGCO common stock may be issued. The 2006 Plan allows the Company, under the direction of the Board of Directors’ Compensation Committee, to make grants of performance shares, stock appreciation rights, stock options and restricted stock awards to employees, officers and non-employee directors of the Company. | |||||||||||||||||
Employee Plans | |||||||||||||||||
The 2006 Plan encompasses stock incentive plans to Company executives and key managers. The primary long-term incentive plan is a performance share plan that provides for awards of shares of the Company’s common stock based on achieving financial targets, such as targets for earnings per share and return on invested capital, as determined by the Company’s Board of Directors. The Company’s other incentive plan includes the margin growth incentive plan, which provides for awards of shares of the Company’s common stock based on achieving operating margin targets as determined by the Company’s Board of Directors. The stock awards under the 2006 Plan are earned over a performance period, and the number of shares earned is determined based on the cumulative or average results for the period, depending on the measurement. Performance periods for the long-term incentive plan are consecutive and overlapping three-year cycles, and performance targets are set at the beginning of each cycle. The long-term incentive plan provides for participants to earn 33% to 200% of the target awards depending on the actual performance achieved, with no shares earned if performance is below the established minimum target. The performance period for the margin growth incentive plan is a three- to five-year cycle commencing in January 2011 and performance targets were set at the beginning of the cycle. The margin growth incentive plan provides for participants to earn 33% to 300% of the target awards depending on the actual performance achieved, with no shares earned if performance is below the established minimum target. Awards earned under the 2006 Plan are paid in shares of common stock at the end of each performance period. The compensation expense associated with these awards is amortized ratably over the vesting or performance period based on the Company’s projected assessment of the level of performance that will be achieved and earned. | |||||||||||||||||
Compensation expense recorded during 2013, 2012 and 2011 with respect to awards granted was based upon the stock price as of the grant date. The weighted average grant-date fair value of performance awards granted under the 2006 Plan during 2013, 2012 and 2011 was $51.51, $52.11 and $52.73, respectively. Based on the level of performance achieved as of December 31, 2013, 622,018 shares were earned under the 2011-2013 performance period and 368,497 shares were issued in 2014, net of 226,721 shares that were withheld for taxes related to the earned awards. Based on the level of performance achieved as of December 31, 2012, 748,137 shares were earned under the 2010-2012 performance period and 473,499 shares were issued in 2013, net of 274,638 shares that were withheld for taxes related to the earned awards. The 2006 Plan allows for the participant to have the option of forfeiting a portion of the shares awarded in lieu of a cash payment contributed to the participant’s tax withholding to satisfy the participant’s statutory minimum federal, state and employment taxes which would be payable at the time of grant. | |||||||||||||||||
During 2013, the Company granted 1,103,494 awards for the three-year performance period commencing in 2013 and ending in 2015, assuming the maximum target level of performance is achieved. In addition, the Company granted 29,158 awards for the three-year performance period commencing in 2012 and ending in 2014, and 8,042 awards for the three-year performance period commencing in 2011 and ending in 2013. These awards were granted on a pro-rated basis and assume maximum target levels of performance are achieved. The Company also granted 11,250 awards during 2013 under the margin growth incentive plan on a prorated basis for a performance period commencing in 2011 and ending in 2015, assuming the maximum target level of performance is achieved for operating margin improvement. Performance award transactions during 2013 were as follows and are presented as if the Company were to achieve its maximum levels of performance under the plan: | |||||||||||||||||
Shares awarded but not earned at January 1 | 2,509,323 | ||||||||||||||||
Shares awarded | 1,151,944 | ||||||||||||||||
Shares forfeited or unearned | (230,730 | ) | |||||||||||||||
Shares earned | (622,018 | ) | |||||||||||||||
Shares awarded but not earned at December 31 | 2,808,519 | ||||||||||||||||
As of December 31, 2013, the total compensation cost related to unearned performance awards not yet recognized, assuming the Company’s current projected assessment of the level of performance that will be achieved and earned, was approximately $33.7 million, and the weighted average period over which it is expected to be recognized is approximately two years. | |||||||||||||||||
In addition to the performance share plans, certain executives and key managers are eligible to receive grants of SSARs. The SSARs provide a participant with the right to receive the aggregate appreciation in stock price over the market price of the Company’s common stock at the date of grant, payable in shares of the Company’s common stock. The participant may exercise his or her SSARs at any time after the grant is vested but no later than seven years after the date of grant. The SSARs vest ratably over a four-year period from the date of grant. SSAR award grants made to certain executives and key managers under the 2006 Plan are made with the base price equal to the price of the Company’s common stock on the date of grant. The Company recorded stock compensation expense of approximately $4.7 million, $3.8 million and $2.6 million associated with SSAR award grants during 2013, 2012 and 2011, respectively. The compensation expense associated with these awards is being amortized ratably over the vesting period. The Company estimated the fair value of the grants using the Black-Scholes option pricing model. | |||||||||||||||||
The weighted average grant-date fair value of SSARs granted under the 2006 Plan and the weighted average assumptions under the Black-Scholes option model were as follows for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||
Years Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Weighted average grant-date fair value | $ | 21.1 | $ | 22.5 | $ | 22.26 | |||||||||||
Weighted average assumptions under Black-Scholes option model: | |||||||||||||||||
Expected life of awards (years) | 5.5 | 5.5 | 5.5 | ||||||||||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | 1.9 | % | |||||||||||
Expected volatility | 50.3 | % | 51 | % | 49.7 | % | |||||||||||
Expected dividend yield | 0.8 | % | — | — | |||||||||||||
SSAR transactions during the year ended December 31, 2013 were as follows: | |||||||||||||||||
SSARs outstanding at January 1 | 1,073,087 | ||||||||||||||||
SSARs granted | 335,630 | ||||||||||||||||
SSARs exercised | (251,536 | ) | |||||||||||||||
SSARs canceled or forfeited | (62,345 | ) | |||||||||||||||
SSARs outstanding at December 31 | 1,094,836 | ||||||||||||||||
SSAR price ranges per share: | |||||||||||||||||
Granted | $ 51.84 - 63.64 | ||||||||||||||||
Exercised | 21.45 - 56.98 | ||||||||||||||||
Canceled or forfeited | 21.45 - 56.98 | ||||||||||||||||
Weighted average SSAR exercise prices per share: | |||||||||||||||||
Granted | $ | 52.96 | |||||||||||||||
Exercised | 33.74 | ||||||||||||||||
Canceled or forfeited | 49.86 | ||||||||||||||||
Outstanding at December 31 | 46.35 | ||||||||||||||||
At December 31, 2013, the weighted average remaining contractual life of SSARs outstanding was approximately four years. As of December 31, 2013, the total compensation cost related to unvested SSARs not yet recognized was approximately $10.2 million and the weighted-average period over which it is expected to be recognized is approximately three years. | |||||||||||||||||
The following table sets forth the exercise price range, number of shares, weighted average exercise price, and remaining contractual lives by groups of similar price as of December 31, 2013: | |||||||||||||||||
SSARs Outstanding | SSARs Exercisable | ||||||||||||||||
Range of Exercise Prices | Number of | Weighted Average | Weighted Average | Exercisable as of December 31, 2013 | Weighted Average | ||||||||||||
Shares | Remaining | Exercise Price | Exercise Price | ||||||||||||||
Contractual Life | |||||||||||||||||
(Years) | |||||||||||||||||
$21.45 - $32.01 | 159,281 | 2.1 | $ | 21.87 | 157,656 | $ | 21.73 | ||||||||||
$33.65 - $44.55 | 132,025 | 3.1 | $ | 33.93 | 90,325 | $ | 33.9 | ||||||||||
$47.89 - $63.64 | 803,530 | 4.9 | $ | 53.24 | 216,725 | $ | 54.25 | ||||||||||
1,094,836 | 464,706 | $ | 39.26 | ||||||||||||||
The total fair value of SSARs vested during 2013 was approximately $3.6 million. There were 630,130 SSARs that were not vested as of December 31, 2013. The total intrinsic value of outstanding and exercisable SSARs as of December 31, 2013 was $14.2 million and $9.3 million, respectively. The total intrinsic value of SSARs exercised during 2013 was approximately $5.7 million. The Company realized an insignificant tax benefit from the exercise of these SSARs. | |||||||||||||||||
The excess tax benefit realized for tax deductions in the United States related to the exercise of SSARs, vesting of performance awards under the 2006 Plan and exercise of stock options under the Company’s 1991 Stock Option Plan was approximately $11.4 million for the year ended December 31, 2013. No excess tax benefit was realized for tax deductions for the years ended December 31, 2012 and 2011 in the United States. The Company realized an insignificant tax benefit from the exercise of SSARs, vesting of performance awards and exercise of stock options in certain foreign jurisdictions during the years ended December 31, 2013, 2012 and 2011. | |||||||||||||||||
On January 22, 2014, the Company granted 432,300 performance award shares (subject to the Company achieving future target levels of performance) and 296,700 SSARs under the 2006 Plan. | |||||||||||||||||
Director Restricted Stock Grants | |||||||||||||||||
Pursuant to the 2006 Plan, all non-employee directors receive annual restricted stock grants of the Company’s common stock. The shares are restricted as to transferability for a period of three years. In the event a director departs from the Company’s Board of Directors, the non-transferability period expires immediately. The plan allows each director to have the option of forfeiting a portion of the shares awarded in lieu of a cash payment contributed to the participant’s tax withholding to satisfy the statutory minimum federal, state and employment taxes that would be payable at the time of grant. The 2013 grant was made on April 25, 2013 and equated to 17,171 shares of common stock, of which 12,059 shares of common stock were issued, after shares were withheld for taxes. The Company recorded stock compensation expense of approximately $0.9 million during 2013 associated with these grants. | |||||||||||||||||
As of December 31, 2013, of the 10.0 million shares reserved for issuance under the 2006 Plan, approximately 3.6 million shares were available for grant, assuming the maximum number of shares are earned related to the performance award grants discussed above. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Derivative Instruments and Hedges, Assets [Abstract] | ' | ||||||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||
Derivative Instruments and Hedging Activities | |||||||||||||
All derivatives are recognized on the Company’s Consolidated Balance Sheets at fair value. On the date the derivative contract is entered into, the Company designates the derivative as either (1) a fair value hedge of a recognized liability, (2) a cash flow hedge of a forecasted transaction, (3) a hedge of a net investment in a foreign operation, or (4) a non-designated derivative instrument. | |||||||||||||
The Company formally documents all relationships between hedging instruments and hedged items, as well as the risk management objectives and strategy for undertaking various hedge transactions. The Company formally assesses, both at the hedge’s inception and on an ongoing basis, whether the derivatives that are used in hedging transactions are highly effective in offsetting changes in fair values or cash flow of hedged items. When it is determined that a derivative is no longer highly effective as a hedge, hedge accounting is discontinued on a prospective basis. | |||||||||||||
Foreign Currency Risk | |||||||||||||
The Company has significant manufacturing operations in the United States, France, Germany, Finland and Brazil, and it purchases a portion of its tractors, combines and components from third-party foreign suppliers, primarily in various European countries and in Japan. The Company also sells products in over 140 countries throughout the world. The Company’s most significant transactional foreign currency exposures are the Euro, Brazilian real and the Canadian dollar in relation to the United States dollar, and the Euro in relation to the British pound. | |||||||||||||
The Company attempts to manage its transactional foreign exchange exposure by hedging foreign currency cash flow forecasts and commitments arising from the anticipated settlement of receivables and payables and from future purchases and sales. Where naturally offsetting currency positions do not occur, the Company hedges certain, but not all, of its exposures through the use of foreign currency contracts. The Company’s translation exposure resulting from translating the financial statements of foreign subsidiaries into United States dollars is not hedged. When practical, the translation impact is reduced by financing local operations with local borrowings. | |||||||||||||
The foreign currency contracts are primarily forward and options contracts. These contracts’ fair value measurements fall within the Level 2 fair value hierarchy. Level 2 fair value measurements are generally based upon quoted market prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. The fair value of foreign currency forward contracts is based on a valuation model that discounts cash flows resulting from the differential between the contract price and the market-based forward rate. The fair value of foreign currency option contracts is based on a valuation model that utilizes spot and forward exchange rates, interest rates and currency pair volatility. | |||||||||||||
The Company’s senior management establishes the Company’s foreign currency and interest rate risk management policies. These policies are reviewed periodically by the Audit Committee of the Company’s Board of Directors. The policies allow for the use of derivative instruments to hedge exposures to movements in foreign currency and interest rates. The Company’s policies prohibit the use of derivative instruments for speculative purposes. | |||||||||||||
Cash Flow Hedges | |||||||||||||
During 2013, 2012 and 2011, the Company designated certain foreign currency contracts as cash flow hedges of expected future sales and purchases. The effective portion of the fair value gains or losses on these cash flow hedges were recorded in other comprehensive loss and are subsequently reclassified into cost of goods sold during the period the sales and purchases are recognized. These amounts offset the effect of the changes in foreign currency rates on the related sale and purchase transactions. The amount of the net (loss) gain recorded in other comprehensive loss that was reclassified to cost of goods sold during the years ended December 31, 2013, 2012 and 2011 was approximately $(0.5) million, $(8.1) million and $5.2 million, respectively, on an after-tax basis. The amount of the unrealized (loss) gain recorded to other comprehensive loss related to the outstanding cash flow hedges as of December 31, 2013, 2012 and 2011 was approximately $(0.2) million, $0.7 million and $(4.3) million, respectively, on an after-tax basis. The outstanding contracts as of December 31, 2013 range in maturity through December 2014. | |||||||||||||
The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the years ended December 31, 2013, 2012 and 2011 (in millions): | |||||||||||||
Before-Tax | Income | After-Tax | |||||||||||
Amount | Tax (1) | Amount (1) | |||||||||||
Accumulated derivative net gains as of December 31, 2010 | $ | 1.7 | $ | 0.5 | $ | 1.2 | |||||||
Net changes in fair value of derivatives | (1.5 | ) | (1.3 | ) | (0.2 | ) | |||||||
Net gains reclassified from accumulated other comprehensive loss into income | (5.6 | ) | (0.4 | ) | (5.2 | ) | |||||||
Accumulated derivative net losses as of December 31, 2011 | (5.4 | ) | (1.1 | ) | (4.3 | ) | |||||||
Net changes in fair value of derivatives | (2.0 | ) | 1.1 | (3.1 | ) | ||||||||
Net losses reclassified from accumulated other comprehensive loss into income | 8.5 | 0.4 | 8.1 | ||||||||||
Accumulated derivative net gains as of December 31, 2012 | 1.1 | 0.4 | 0.7 | ||||||||||
Net changes in fair value of derivatives | (2.1 | ) | (0.7 | ) | (1.4 | ) | |||||||
Net losses reclassified from accumulated other comprehensive loss into income | 0.7 | 0.2 | 0.5 | ||||||||||
Accumulated derivative net losses as of December 31, 2013 | $ | (0.3 | ) | $ | (0.1 | ) | $ | (0.2 | ) | ||||
____________________________________ | |||||||||||||
-1 | Rounding may impact summation of amounts. | ||||||||||||
As of December 31, 2013 and 2012, the Company had outstanding foreign currency contracts with a notional amount of approximately $50.3 million and $110.3 million, respectively, that were entered into to hedge forecasted sale and purchase transactions. | |||||||||||||
Derivative Transactions Not Designated as Hedging Instruments | |||||||||||||
During 2013, 2012 and 2011, the Company entered into foreign currency contracts to hedge receivables and payables on the Company and its subsidiaries’ balance sheets that are denominated in foreign currencies other than the functional currency. These contracts were classified as non-designated derivative instruments. | |||||||||||||
As of December 31, 2013 and 2012, the Company had outstanding foreign currency contracts with a notional amount of approximately $1,288.4 million and $1,467.0 million, respectively, that were entered into to hedge receivables and payables that are denominated in foreign currencies other than the functional currency. Changes in the fair value of these contracts are reported in “Other expense, net.” For the years ended December 31, 2013, 2012 and 2011, the Company recorded a net gain of approximately $9.5 million, a net gain of approximately $5.5 million and a net loss of approximately $13.6 million, respectively, related to these contracts within “Other expense, net” in the Company’s Consolidated Statements of Operations. Gains and losses on such contracts are substantially offset by losses and gains on the remeasurement of the underlying asset or liability being hedged. | |||||||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2013 (in millions): | |||||||||||||
Asset Derivatives as of December 31, 2013 | Liability Derivatives as of December 31, 2013 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | — | Other current liabilities | $ | 0.1 | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 13.9 | Other current liabilities | 5.3 | |||||||||
Total derivative instruments | $ | 13.9 | $ | 5.4 | |||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2012 (in millions): | |||||||||||||
Asset Derivatives as of December 31, 2012 | Liability Derivatives as of December 31, 2012 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | 1.5 | Other current liabilities | $ | — | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 5.5 | Other current liabilities | 5.1 | |||||||||
Total derivative instruments | $ | 7 | $ | 5.1 | |||||||||
The Company had unrealized gains of approximately $8.5 million and $1.9 million on foreign currency contracts outstanding at December 31, 2013 and 2012, respectively, related to both designated and non-designated contracts. The Company recorded approximately $8.6 million and $0.4 million, respectively, of unrealized gains within “Other expense, net” in the Consolidated Statements of Operations for the years ended December 31, 2013 and 2012 related to non-designated contracts. | |||||||||||||
Counterparty Risk | |||||||||||||
The Company regularly monitors the counterparty risk and credit ratings of all the counterparties to the derivative instruments. The Company believes that its exposures are appropriately diversified across counterparties and that these counterparties are creditworthy financial institutions. If the Company perceives any risk with a counterparty, then the Company would cease to do business with that counterparty. There have been no negative impacts to the Company from any non-performance of any counterparties. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Commitments and Contingencies | ' | |||||||||||||||||||||||||||
Commitments and Contingencies | ||||||||||||||||||||||||||||
The future payments required under the Company’s significant commitments as of December 31, 2013 are as follows (in millions): | ||||||||||||||||||||||||||||
Payments Due By Period | ||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | ||||||||||||||||||||||
Interest payments related to indebtedness(1) | $ | 36.7 | $ | 34.9 | $ | 26 | $ | 17.8 | $ | 17.8 | $ | 48.9 | $ | 182.1 | ||||||||||||||
Capital lease obligations | 2.7 | 1.8 | 0.7 | 0.3 | — | — | 5.5 | |||||||||||||||||||||
Operating lease obligations | 48.8 | 35.3 | 25 | 13.6 | 12 | 45.4 | 180.1 | |||||||||||||||||||||
Unconditional purchase obligations(2) | 142.9 | 16.7 | 11.9 | 5 | 4.9 | — | 181.4 | |||||||||||||||||||||
Other short-term and long-term obligations(3) | 107.7 | 38.2 | 33.9 | 31.1 | 69.5 | 151.2 | 431.6 | |||||||||||||||||||||
Total contractual cash obligations | $ | 338.8 | $ | 126.9 | $ | 97.5 | $ | 67.8 | $ | 104.2 | $ | 245.5 | $ | 980.7 | ||||||||||||||
____________________________________ | ||||||||||||||||||||||||||||
-1 | Estimated interest payments are calculated assuming current interest rates over minimum maturity periods specified in debt agreements. Debt may be repaid sooner or later than such minimum maturity periods (unaudited). | |||||||||||||||||||||||||||
-2 | Unconditional purchase obligations exclude routine purchase orders entered into in the normal course of business. | |||||||||||||||||||||||||||
-3 | Other short-term and long-term obligations include estimates of future minimum contribution requirements under the Company’s U.S. and non-U.S. defined benefit pension and postretirement plans. These estimates are based on current legislation in the countries the Company operates within and are subject to change. Other short-term and long-term obligations also include income tax liabilities related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions (unaudited). | |||||||||||||||||||||||||||
Amount of Commitment Expiration Per Period | ||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | ||||||||||||||||||||||
Guarantees | $ | 166.5 | $ | 2.7 | $ | 1.6 | $ | 0.7 | $ | 0.1 | $ | — | $ | 171.6 | ||||||||||||||
Off-Balance Sheet Arrangements | ||||||||||||||||||||||||||||
Guarantees | ||||||||||||||||||||||||||||
The Company maintains a remarketing agreement with its U.S. retail finance joint venture, whereby the Company is obligated to repurchase repossessed inventory at market values. The Company has an agreement with its U.S. retail finance joint venture which limits the Company’s purchase obligations under this arrangement to $6.0 million in the aggregate per calendar year. The Company believes that any losses that might be incurred on the resale of this equipment will not materially impact the Company’s financial position or results of operations, due to the fair value of the underlying equipment. | ||||||||||||||||||||||||||||
At December 31, 2013, the Company guaranteed indebtedness owed to third parties of approximately $171.6 million, primarily related to dealer and end-user financing of equipment. Such guarantees generally obligate the Company to repay outstanding finance obligations owed to financial institutions if dealers or end users default on such loans through 2018. The Company believes the credit risk associated with these guarantees is not material to its financial position or results of operations. Losses under such guarantees have historically been insignificant. In addition, the Company generally would expect to be able to recover a significant portion of the amounts paid under such guarantees from the sale of the underlying financed farm equipment, as the fair value of such equipment is expected to be sufficient to offset a substantial portion of the amounts paid. | ||||||||||||||||||||||||||||
Other | ||||||||||||||||||||||||||||
At December 31, 2013, the Company had outstanding designated and non-designated foreign exchange contracts with a gross notional amount of approximately $1,338.7 million. The outstanding contracts as of December 31, 2013 range in maturity through December 2014 (Note 10). | ||||||||||||||||||||||||||||
The Company sells substantially all of its wholesale accounts receivable in North America to the Company’s U.S. and Canadian retail finance joint ventures and a large portion of its wholesale accounts receivable to its retail finance joint ventures in Europe. The Company also sells certain accounts receivable under factoring arrangements to financial institutions around the world. The Company reviewed the sale of such receivables and determined that these facilities should be accounted for as off-balance sheet transactions. | ||||||||||||||||||||||||||||
Total lease expense under noncancelable operating leases was $72.8 million, $68.8 million and $57.2 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||||
Contingencies | ||||||||||||||||||||||||||||
As a result of Brazilian tax legislative changes impacting value added taxes (“VAT”), the Company recorded a reserve of approximately $62.8 million and $59.6 million against its outstanding balance of Brazilian VAT taxes receivable as of December 31, 2013 and 2012, respectively, due to the uncertainty as to the Company’s ability to collect the amounts outstanding. | ||||||||||||||||||||||||||||
On June 27, 2008, the Republic of Iraq filed a civil action in federal court in the Southern District of New York, Case No. 08 CIV 59617, naming as defendants one of the Company’s French subsidiaries and two of its other foreign subsidiaries that participated in the United Nations Oil for Food Program (the “Program”). Ninety-one other entities or companies also were named as defendants in the civil action due to their participation in the Program. The complaint purports to assert claims against each of the defendants seeking damages in an unspecified amount. On February 6, 2013, the federal court dismissed the complaint with prejudice. The plaintiff has appealed the decision and the appellate process is ongoing. Although the Company’s subsidiaries intend to vigorously defend against this action, it is not possible at this time to predict the outcome of this action or its impact, if any, on the Company, although if the outcome was adverse, the Company could be required to pay damages. | ||||||||||||||||||||||||||||
On October 30, 2012, a third-party complaint was filed in federal court in the Southern District of Texas, Case No. 09 CIV 03884, naming as defendants one of the Company’s French subsidiaries and two of its other foreign subsidiaries. Sixty other entities or companies also were named as third-party defendants. The complaint asserts claims against the defendants, certain of which are also third-party plaintiffs, seeking unspecified damages arising from their participation in the Program. The third-party plaintiffs seek contribution from the third-party defendants. On February 12, 2014, the federal court dismissed the third-party complaint with prejudice. The appeals period has not expired. Although the Company’s subsidiaries intend to vigorously defend against this action, it is not possible at this time to predict the outcome of the action or its impact, if any, on the Company, although if the outcome was adverse, the Company could be required to pay damages. | ||||||||||||||||||||||||||||
In August 2008, as part of routine audits, the Brazilian taxing authorities disallowed deductions relating to the amortization of certain goodwill recognized in connection with a reorganization of the Company’s Brazilian operations and the related transfer of certain assets to the Company’s Brazilian subsidiaries. The amount of the tax disallowance through December 31, 2013, not including interest and penalties, was approximately 131.5 million Brazilian reais (or approximately $55.7 million). The amount ultimately in dispute will be greater because of interest and penalties. The Company has been advised by its legal and tax advisors that its position with respect to the deductions is allowable under the tax laws of Brazil. The Company is contesting the disallowance and believes that it is not likely that the assessment, interest or penalties will be required to be paid. However, the ultimate outcome will not be determined until the Brazilian tax appeal process is complete, which could take several years. | ||||||||||||||||||||||||||||
The Company is a party to various other legal claims and actions incidental to its business. The Company believes that none of these claims or actions, either individually or in the aggregate, is material to its business or financial statements as a whole, including its results of operations and financial condition. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2013 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
Related Party Transactions | |
Rabobank, a financial institution based in the Netherlands, is a 51% owner in the Company’s retail finance joint ventures, which are located in the United States, Canada, Europe, Brazil, Argentina and Australia. Rabobank is also the principal agent and participant in the Company’s revolving credit facility (Note 6). The majority of the assets of the Company’s retail finance joint ventures represents finance receivables. The majority of the liabilities represents notes payable and accrued interest. Under the various joint venture agreements, Rabobank or its affiliates provide financing to the joint venture companies, primarily through lines of credit. During 2013, 2012 and 2011, the Company made a total of approximately $15.5 million, $7.1 million and $8.3 million, respectively, of investments in its retail finance joint ventures in Germany and the Netherlands, primarily related to additional capital required as a result of increased retail finance portfolios during 2013, 2012 and 2011. | |
The Company’s retail finance joint ventures provide retail financing and wholesale financing to its dealers. The terms of the financing arrangements offered to the Company’s dealers are similar to arrangements the retail finance joint ventures provide to unaffiliated third parties. In addition, the Company transfers, on an ongoing basis, a majority of its wholesale receivables in North America and Europe to its 49% owned U.S., Canadian and European retail finance joint ventures (Note 3). The Company maintains a remarketing agreement with its U.S. retail finance joint venture (Note 11). In addition, as part of sales incentives provided to end users, the Company may from time to time subsidize interest rates of retail financing provided by its retail finance joint ventures. The cost of those programs is recognized at the time of sale to the Company’s dealers. | |
Tractors and Farm Equipment Limited (“TAFE”), in which the Company holds a 23.75% interest, manufactures Massey Ferguson-branded equipment primarily in India and also supplies tractors and components to the Company for sale in other markets. Mallika Srinivasan, who is the Chairman and Chief Executive Officer of TAFE, is currently a member of the Company’s Board of Directors. During 2013, 2012 and 2011, the Company purchased approximately $90.7 million, $104.5 million and $80.4 million, respectively, of tractors and components from TAFE. | |
During 2013, 2012 and 2011, the Company paid approximately $3.3 million, $3.8 million and $4.0 million, respectively, to PPG Industries, Inc. for painting materials used in the Company’s manufacturing processes. The Company’s Chairman, President and Chief Executive Officer is currently a member of the board of directors of PPG Industries, Inc. | |
During 2013, the Company paid approximately $2.3 million to Ryerson, Inc. for steel used in the Company’s manufacturing processes. Michael Arnold, who is the President and Chief Executive Officer of Ryerson, Inc., is currently a member of the Company's Board of Directors. |
Segment_Reporting
Segment Reporting | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Segment Reporting | ' | ||||||||||||||||||||
Segment Reporting | |||||||||||||||||||||
The Company’s four reportable segments distribute a full range of agricultural equipment and related replacement parts. The Company evaluates segment performance primarily based on income from operations. Sales for each segment are based on the location of the third-party customer. The Company’s selling, general and administrative expenses and engineering expenses are charged to each segment based on the region and division where the expenses are incurred. As a result, the components of income from operations for one segment may not be comparable to another segment. Segment results for the years ended December 31, 2013, 2012 and 2011 based on the Company’s current reportable segments are as follows (in millions): | |||||||||||||||||||||
Years Ended December 31, | North | South | Europe/Africa/ | Asia/Pacific | Consolidated | ||||||||||||||||
America | America | Middle East | |||||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $2,757.80 | $2,039.70 | $5,481.50 | $507.90 | $10,786.90 | ||||||||||||||||
Income from operations | 325.9 | 212.7 | 558.2 | 0.5 | 1,097.30 | ||||||||||||||||
Depreciation | 51.4 | 24.6 | 126.6 | 9 | 211.6 | ||||||||||||||||
Assets | 1,002.80 | 773.5 | 2,368.90 | 289.5 | 4,434.70 | ||||||||||||||||
Capital expenditures | 73.4 | 66.4 | 204.5 | 47.5 | 391.8 | ||||||||||||||||
2012 | |||||||||||||||||||||
Net sales | $2,584.40 | $1,855.70 | $5,073.70 | $448.40 | $9,962.20 | ||||||||||||||||
Income from operations | 259.9 | 161.6 | 474.9 | 10.2 | 906.6 | ||||||||||||||||
Depreciation | 41.5 | 22.7 | 107 | 9.4 | 180.6 | ||||||||||||||||
Assets | 907.4 | 674.9 | 2,114.20 | 295.8 | 3,992.30 | ||||||||||||||||
Capital expenditures | 64 | 48.3 | 211.6 | 16.6 | 340.5 | ||||||||||||||||
2011 | |||||||||||||||||||||
Net sales | $1,770.60 | $1,871.50 | $4,847.20 | $283.90 | $8,773.20 | ||||||||||||||||
Income from operations | 90.9 | 143.1 | 486.9 | 23.9 | 744.8 | ||||||||||||||||
Depreciation | 28.5 | 20 | 99.6 | 3.8 | 151.9 | ||||||||||||||||
Assets | 861.4 | 585.5 | 1,967.20 | 215.7 | 3,629.80 | ||||||||||||||||
Capital expenditures | 59.3 | 40.4 | 189.7 | 11 | 300.4 | ||||||||||||||||
A reconciliation from the segment information to the consolidated balances for income from operations and total assets is set forth below (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Segment income from operations | $ | 1,097.30 | $ | 906.6 | $ | 744.8 | |||||||||||||||
Corporate expenses | (116.2 | ) | (107.1 | ) | (90.6 | ) | |||||||||||||||
Stock compensation | (32.6 | ) | (34.6 | ) | (23.0 | ) | |||||||||||||||
Restructuring and other infrequent income | — | — | 0.7 | ||||||||||||||||||
Impairment charge | — | (22.4 | ) | — | |||||||||||||||||
Amortization of intangibles | (47.8 | ) | (49.3 | ) | (21.6 | ) | |||||||||||||||
Consolidated income from operations | $ | 900.7 | $ | 693.2 | $ | 610.3 | |||||||||||||||
Segment assets | $ | 4,434.70 | $ | 3,992.30 | $ | 3,629.80 | |||||||||||||||
Cash and cash equivalents | 1,047.20 | 781.3 | 724.4 | ||||||||||||||||||
Receivables from affiliates | 124.3 | 41.5 | 122.9 | ||||||||||||||||||
Investments in affiliates | 416.1 | 390.3 | 346.3 | ||||||||||||||||||
Deferred tax assets, other current and noncurrent assets | 672.2 | 716.9 | 572.8 | ||||||||||||||||||
Intangible assets, net | 565.6 | 607.1 | 666.5 | ||||||||||||||||||
Goodwill | 1,178.70 | 1,192.40 | 1,194.50 | ||||||||||||||||||
Consolidated total assets | $ | 8,438.80 | $ | 7,721.80 | $ | 7,257.20 | |||||||||||||||
Net sales by customer location for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
United States | $ | 2,216.50 | $ | 2,033.10 | $ | 1,363.70 | |||||||||||||||
Canada | 419.4 | 415.9 | 315.6 | ||||||||||||||||||
Germany | 1,301.00 | 1,114.40 | 1,067.30 | ||||||||||||||||||
France | 1,136.80 | 944.3 | 825.1 | ||||||||||||||||||
United Kingdom and Ireland | 471.8 | 481 | 449.5 | ||||||||||||||||||
Finland and Scandinavia | 828.5 | 790.2 | 835.4 | ||||||||||||||||||
Other Europe | 1,422.60 | 1,421.00 | 1,403.20 | ||||||||||||||||||
South America | 2,018.50 | 1,834.20 | 1,851.00 | ||||||||||||||||||
Middle East and Africa | 320.7 | 322.9 | 266.7 | ||||||||||||||||||
Asia | 293.1 | 232.4 | 96.6 | ||||||||||||||||||
Australia and New Zealand | 214.8 | 216 | 187.3 | ||||||||||||||||||
Mexico, Central America and Caribbean | 143.2 | 156.8 | 111.8 | ||||||||||||||||||
$ | 10,786.90 | $ | 9,962.20 | $ | 8,773.20 | ||||||||||||||||
Net sales by product for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Tractors | $ | 6,491.10 | $ | 5,882.40 | $ | 5,779.60 | |||||||||||||||
Replacement parts | 1,349.10 | 1,286.70 | 1,275.10 | ||||||||||||||||||
Other machinery | 1,001.00 | 963.2 | 723.8 | ||||||||||||||||||
Grain storage and protein production systems | 771.9 | 728.5 | 38.7 | ||||||||||||||||||
Combines | 652.8 | 638.9 | 610.8 | ||||||||||||||||||
Application equipment | 521 | 462.5 | 345.2 | ||||||||||||||||||
$ | 10,786.90 | $ | 9,962.20 | $ | 8,773.20 | ||||||||||||||||
Property, plant and equipment and amortizable intangible assets by country as of December 31, 2013 and 2012 was as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
United States | $ | 634.4 | $ | 624.8 | |||||||||||||||||
Finland | 221.3 | 199.5 | |||||||||||||||||||
Germany | 498.1 | 458.2 | |||||||||||||||||||
Brazil | 218.4 | 234 | |||||||||||||||||||
Italy | 117.6 | 97.4 | |||||||||||||||||||
China | 112.3 | 65.5 | |||||||||||||||||||
France | 87.3 | 70.4 | |||||||||||||||||||
Other | 184.8 | 171.2 | |||||||||||||||||||
$ | 2,074.20 | $ | 1,921.00 | ||||||||||||||||||
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Account | 12 Months Ended | ||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | ||||||||||||||||||||||||
Valuation and Qualifying Accounts Disclosure | ' | ||||||||||||||||||||||||
SCHEDULE II | |||||||||||||||||||||||||
AGCO CORPORATION AND SUBSIDIARIES | |||||||||||||||||||||||||
SCHEDULE II — VALUATION AND QUALIFYING ACCOUNTS | |||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||
Additions | |||||||||||||||||||||||||
Description | Balance at | Acquired | Charged to | Deductions | Foreign | Balance at | |||||||||||||||||||
Beginning | Businesses | Costs and | Currency | End of Period (1) | |||||||||||||||||||||
of Period | Expenses | Translation | |||||||||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||||||||||
Allowances for sales incentive discounts | $ | 165.2 | $ | — | $ | 281.7 | $ | (210.3 | ) | $ | — | $ | 236.6 | ||||||||||||
Year ended December 31, 2012 | |||||||||||||||||||||||||
Allowances for sales incentive discounts | $ | 103.5 | $ | — | $ | 330.8 | $ | (269.1 | ) | $ | — | $ | 165.2 | ||||||||||||
Year ended December 31, 2011 | |||||||||||||||||||||||||
Allowances for sales incentive discounts | $ | 98.7 | $ | — | $ | 222.4 | $ | (217.6 | ) | $ | — | $ | 103.5 | ||||||||||||
Additions | |||||||||||||||||||||||||
Description | Balance at | Acquired | Charged to | Deductions | Foreign | Balance at | |||||||||||||||||||
Beginning | Businesses | Costs and | Currency | End of Period | |||||||||||||||||||||
of Period | Expenses | Translation | |||||||||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||||||||||
Allowances for doubtful accounts | $ | 38.1 | $ | — | $ | 3.2 | $ | (5.0 | ) | $ | (1.4 | ) | $ | 34.9 | |||||||||||
Year ended December 31, 2012 | |||||||||||||||||||||||||
Allowances for doubtful accounts | $ | 36.9 | $ | 0.4 | $ | 5.4 | $ | (4.8 | ) | $ | 0.2 | $ | 38.1 | ||||||||||||
Year ended December 31, 2011 | |||||||||||||||||||||||||
Allowances for doubtful accounts | $ | 29.3 | $ | 12.4 | $ | 4.3 | $ | (7.0 | ) | $ | (2.1 | ) | $ | 36.9 | |||||||||||
Additions | |||||||||||||||||||||||||
Description | Balance at | Charged to | Reversal of | Deductions | Foreign | Balance at | |||||||||||||||||||
Beginning | Costs and | Accrual | Currency | End of Period | |||||||||||||||||||||
of Period | Expenses | Translation | |||||||||||||||||||||||
Year ended December 31, 2012 | |||||||||||||||||||||||||
Accruals of severance, relocation and other integration costs | $ | 0.3 | $ | — | $ | — | $ | (0.3 | ) | $ | — | $ | — | ||||||||||||
Year ended December 31, 2011 | |||||||||||||||||||||||||
Accruals of severance, relocation and other integration costs | $ | 2.2 | $ | 0.2 | $ | (0.9 | ) | $ | (1.4 | ) | $ | 0.2 | $ | 0.3 | |||||||||||
Additions | |||||||||||||||||||||||||
Description | Balance at | Acquired | Charged | Deductions | Foreign | Balance at | |||||||||||||||||||
Beginning | Businesses | (Credited) to | Currency | End of Period | |||||||||||||||||||||
of Period | Costs and | Translation | |||||||||||||||||||||||
Expenses (2) | |||||||||||||||||||||||||
Year ended December 31, 2013 | |||||||||||||||||||||||||
Deferred tax valuation allowance | $ | 74.5 | $ | — | $ | 9.3 | $ | (2.8 | ) | $ | (3.8 | ) | $ | 77.2 | |||||||||||
Year ended December 31, 2012 | |||||||||||||||||||||||||
Deferred tax valuation allowance | $ | 145.8 | $ | 0.2 | $ | (64.3 | ) | $ | (4.7 | ) | $ | (2.5 | ) | $ | 74.5 | ||||||||||
Year ended December 31, 2011 | |||||||||||||||||||||||||
Deferred tax valuation allowance | $ | 262.5 | $ | 28.9 | $ | (144.3 | ) | $ | — | $ | (1.3 | ) | $ | 145.8 | |||||||||||
_____________________________________ | |||||||||||||||||||||||||
-1 | As of December 31, 2013, approximately $206.2 million of this balance was recorded within “Accrued expenses” and approximately $30.4 million was recorded within “accounts receivable allowances” in the Company’s Consolidated Balance Sheets. As of December 31, 2012, approximately $143.7 million of this balance was recorded within “Accrued expenses” and approximately $21.5 million was recorded within “accounts receivable allowances” in the Company’s Consolidated Balance Sheets. | ||||||||||||||||||||||||
-2 | Amounts charged through other comprehensive income during the years ended December 31, 2013, 2012 and 2011 were $0.0 million, $0.0 million and $6.4 million, respectively. |
Operations_and_Summary_of_Sign1
Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Operations and Summary of Significant Accounting Policies [Abstract] | ' | |||||||
Basis of Presentation | ' | |||||||
Basis of Presentation | ||||||||
The Company’s Consolidated Financial Statements represent the consolidation of all wholly-owned companies, majority-owned companies and joint ventures where the Company has been determined to be the primary beneficiary. The Company records investments in all other affiliate companies using the equity method of accounting when it has significant influence. Other investments, including those representing an ownership of less than 20%, are recorded at cost. All significant intercompany balances and transactions have been eliminated in the Consolidated Financial Statements. Certain prior period amounts have been reclassified to conform to the current period presentation. | ||||||||
Basis of Consolidation of Joint Ventures and Other Variable Interest Entities | ' | |||||||
Basis of Consolidation of Joint Ventures and Other Variable Interest Entities | ||||||||
GIMA is a joint venture between AGCO and Claas Tractor SAS to cooperate in the field of purchasing, design and manufacturing of components for agricultural tractors. Each party has a 50% ownership interest in the joint venture and has an investment of approximately €4.2 million in the joint venture. Both parties purchase all of the production output of the joint venture. The Company does not consolidate the GIMA joint venture into the Company’s results of operations or financial position, as the Company does not have a controlling financial interest in GIMA based on the shared powers of both joint venture partners to direct the activities that most significantly impact GIMA’s financial performance. | ||||||||
Rabobank is a 51% owner in the Company’s retail finance joint ventures. The majority of the assets of the Company’s retail finance joint ventures represents finance receivables. The majority of the liabilities represents notes payable and accrued interest. Under the various joint venture agreements, Rabobank or its affiliates provide financing to the joint venture companies, primarily through lines of credit. The Company does not guarantee the debt obligations of the retail finance joint ventures. The Company’s retail finance joint ventures provide retail financing and wholesale financing to its dealers (Notes 3 and 12). The Company has determined that the retail finance joint ventures do not meet the consolidation requirements and should be accounted for under the voting interest model. In making this determination, the Company evaluated the sufficiency of the equity at risk for each retail finance joint venture, the ability of the joint venture investors to make decisions about the joint ventures’ activities that have a significant effect on the success of the entities and their economic performance, the obligations to absorb expected losses of the joint ventures, and the rights to receive expected residual returns. | ||||||||
During 2011, the Company acquired 50% of AGCO-Amity JV, LLC (“AGCO-Amity JV”), thereby creating a joint venture between the Company and Amity Technology LLC. AGCO-Amity JV is located in North Dakota and manufactures air-seeding and tillage equipment. As the Company has a controlling voting interest to direct the activities that most significantly impact the joint venture, the Company has consolidated the joint venture’s operations in the Company’s results of operations and financial position commencing as of and from the date of the formation of the joint venture. | ||||||||
During 2012, the Company acquired 61% of Santal Equipamentos S.A. Comércio e Indústria (“Santal”), a manufacturer and distributor of sugar cane planting, harvesting, handling and transportation equipment as well as replacement parts across Brazil. As the Company has a controlling voting interest to direct the activities that most significantly impact Santal, the Company has consolidated Santal’s operations in the Company’s results of operations and financial position commencing as of and from the date of acquisition. | ||||||||
Revenue Recognition | ' | |||||||
Revenue Recognition | ||||||||
Sales of equipment and replacement parts are recorded by the Company when title and risks of ownership have been transferred to an independent dealer, distributor or other customer. In certain countries, sales of certain grain storage and protein production systems where the Company is responsible for construction or installation are recorded at the completion of the project. Payment terms vary by market and product, with fixed payment schedules on all sales. The terms of sale generally require that a purchase order or order confirmation accompany all shipments. Title generally passes to the dealer or distributor upon shipment, and the risk of loss upon damage, theft or destruction of the equipment is the responsibility of the dealer, distributor or third-party carrier. In certain foreign countries, the Company retains a form of title to goods delivered to dealers until the dealer makes payment so that the Company can recover the goods in the event of customer default on payment. This occurs as the laws of some foreign countries do not provide for a seller’s retention of a security interest in goods in the same manner as established in the United States Uniform Commercial Code. The only right the Company retains with respect to the title are those enabling recovery of the goods in the event of customer default on payment. The dealer or distributor may not return equipment or replacement parts while its contract with the Company is in force. Replacement parts may be returned only under promotional and annual return programs. Provisions for returns under these programs are made at the time of sale based on the terms of the program and historical returns experience. The Company may provide certain sales incentives to dealers and distributors. Provisions for sales incentives are made at the time of sale for existing incentive programs. These provisions are revised in the event of subsequent modification to the incentive program. See “Accounts and Notes Receivable” for further discussion. | ||||||||
In the United States and Canada, all equipment sales to dealers are immediately due upon a retail sale of the equipment by the dealer with the exception of sales of grain storage and protein production systems. If not previously paid by the dealer in the United States and Canada, installment payments are required generally beginning after the interest-free period with the remaining outstanding equipment balance generally due within 12 months after shipment. Interest generally is charged on the outstanding balance six to 12 months after shipment. Sales terms of some highly seasonal products provide for payment and due dates based on a specified date during the year regardless of the shipment date. Equipment sold to dealers in the United States and Canada is paid in full on average within 12 months of shipment. Sales of replacement parts generally are payable within 30 days of shipment, with terms for some larger, seasonal stock orders generally requiring payment within six months of shipment. Sales of grain storage and protein production systems generally are payable within 30 days of shipment. | ||||||||
In other international markets, equipment sales are generally payable in full within 30 to 180 days of shipment. Payment terms for some highly seasonal products have a specified due date during the year regardless of the shipment date. Sales of replacement parts generally are payable within 30 to 90 days of shipment, with terms for some larger, seasonal stock orders generally payable within six months of shipment. | ||||||||
In certain markets, particularly in North America, there is a time lag, which varies based on the timing and level of retail demand, between the date the Company records a sale and when the dealer sells the equipment to a retail customer. | ||||||||
Foreign Currency Transaction | ' | |||||||
Foreign Currency Translation | ||||||||
The financial statements of the Company’s foreign subsidiaries are translated into United States currency in accordance with Accounting Standard Codification (“ASC”) 830, “Foreign Currency Matters.” Assets and liabilities are translated to United States dollars at period-end exchange rates. Income and expense items are translated at average rates of exchange prevailing during the period. Translation adjustments are included in “Accumulated other comprehensive loss” in stockholders’ equity within the Company’s Consolidated Balance Sheets. Gains and losses, which result from foreign currency transactions, are included in the accompanying Consolidated Statements of Operations. | ||||||||
Use of Estimates | ' | |||||||
Use of Estimates | ||||||||
The preparation of financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The estimates made by management primarily relate to accounts and notes receivable, inventories, deferred income tax valuation allowances, goodwill and other identifiable intangible assets, and certain accrued liabilities, principally relating to reserves for volume discounts and sales incentives, warranty obligations, product liability and workers’ compensation obligations, and pensions and postretirement benefits. | ||||||||
Cash and Cash Equivalents | ' | |||||||
Cash and Cash Equivalents | ||||||||
Cash at December 31, 2013 and 2012 of $465.2 million and $403.6 million, respectively, consisted primarily of cash on hand and bank deposits. The Company considers all investments with an original maturity of three months or less to be cash equivalents. Cash equivalents at December 31, 2013 and 2012 of $582.0 million and $377.7 million, respectively, consisted primarily of money market deposits, certificates of deposits and overnight investments. | ||||||||
Accounts and Notes Receivable | ' | |||||||
Accounts and Notes Receivable | ||||||||
Accounts and notes receivable arise from the sale of equipment and replacement parts to independent dealers, distributors or other customers. Payments due under the Company’s terms of sale generally range from one to 12 months and are not contingent upon the sale of the equipment by the dealer or distributor to a retail customer. Under normal circumstances, payment terms are not extended and equipment may not be returned. In certain regions, with respect to most equipment sales, including the United States and Canada, the Company is obligated to repurchase equipment and replacement parts upon cancellation of a dealer or distributor contract. These obligations are required by national, state or provincial laws and require the Company to repurchase a dealer or distributor’s unsold inventory, including inventories for which the receivable has already been paid. | ||||||||
The Company offers various sales terms with respect to its products. For sales in most markets outside of the United States and Canada, the Company does not normally charge interest on outstanding receivables with its dealers and distributors. For sales to certain dealers or distributors in the United States and Canada, interest is charged at or above prime lending rates on outstanding receivable balances after interest-free periods. These interest-free periods vary by product and generally range from one to 12 months, with the exception of certain seasonal products, which bear interest after various periods up to 23 months depending on the time of year of the sale and the dealer or distributor’s sales volume during the preceding year. The Company’s North American geographical reportable segment comprised approximately 25.6% of the Company’s total net sales during 2013. For the year ended December 31, 2013, 20.8% and 4.3% of the Company’s net sales had maximum interest-free periods ranging from one to six months and seven to 12 months, respectively, related to its North American geographical reporting segment. Net sales with maximum interest-free periods ranging from 13 to 23 months were approximately 0.5% of the Company’s net sales during 2013. Actual interest-free periods are shorter than described above because the equipment receivable from dealers or distributors in the United States and Canada is due immediately upon sale of the equipment to a retail customer. Under normal circumstances, interest is not forgiven and interest-free periods are not extended. The Company has an agreement to permit transferring, on an ongoing basis, substantially all of its wholesale interest-bearing and non-interest bearing accounts receivable in North America to its U.S. and Canadian retail finance joint ventures. Upon transfer, the receivables maintain standard payment terms, including required regular principal payments on amounts outstanding, and interest charges at market rates. The Company also has accounts receivable sales agreements that permit the sale, on an ongoing basis, of a majority of its accounts receivables in Europe to its European retail finance joint ventures. Upon transfer, the receivables maintain standard payment terms. Qualified dealers may obtain additional financing through the Company’s U.S., Canadian and European retail finance joint ventures at the joint ventures’ discretion. | ||||||||
The Company provides various volume bonus and sales incentive programs with respect to its products. These sales incentive programs include reductions in invoice prices, reductions in retail financing rates, dealer commissions and dealer incentive allowances. In most cases, incentive programs are established and communicated to the Company’s dealers on a quarterly basis. The incentives are paid either at the time of invoice (through a reduction of invoice price), at the time of the settlement of the receivable, at the time of retail financing, at the time of warranty registration, or at a subsequent time based on dealer purchases. The incentive programs are product-line specific and generally do not vary by dealer. The cost of sales incentives associated with dealer commissions and dealer incentive allowances is estimated based upon the terms of the programs and historical experience, is based on a percentage of the sales price, and is recorded at the later of (a) the date at which the related revenue is recognized, or (b) the date at which the sales incentive is offered. The related provisions and accruals are made on a product or product-line basis and are monitored for adequacy and revised at least quarterly in the event of subsequent modifications to the programs. Volume discounts are estimated and recognized based on historical experience, and related reserves are monitored and adjusted based on actual dealer purchases and the dealers’ progress towards achieving specified cumulative target levels. The Company records the cost of interest subsidy payments, which is a reduction in the retail financing rates, at the later of (a) the date at which the related revenue is recognized, or (b) the date at which the sales incentive is offered. Estimates of these incentives are based on the terms of the programs and historical experience. All incentive programs are recorded and presented as a reduction of revenue due to the fact that the Company does not receive an identifiable benefit in exchange for the consideration provided. Reserves for incentive programs that will be paid either through the reduction of future invoices or through credit memos are recorded as “accounts receivable allowances” within the Company’s Consolidated Balance Sheets. Reserves for incentive programs that will be paid in cash, as is the case with most of the Company’s volume discount programs, as well as sales with incentives associated with accounts receivable sold to its U.S. and Canadian retail finance joint ventures, are recorded within “Accrued expenses” within the Company’s Consolidated Balance Sheets. | ||||||||
Accounts and notes receivable are shown net of allowances for sales incentive discounts available to dealers and for doubtful accounts. Cash flows related to the collection of receivables are reported within “Cash flows from operating activities” within the Company’s Consolidated Statements of Cash Flows. Accounts and notes receivable allowances at December 31, 2013 and 2012 were as follows (in millions): | ||||||||
2013 | 2012 | |||||||
Sales incentive discounts | $ | 30.4 | $ | 21.5 | ||||
Doubtful accounts | 34.9 | 38.1 | ||||||
$ | 65.3 | $ | 59.6 | |||||
The Company transfers certain accounts receivable under its accounts receivable sales agreements with its retail finance joint ventures (Note 3). The Company records such transfers as sales of accounts receivable when it is considered to have surrendered control of such receivables under the provisions of Accounting Standards Update (“ASU”) 2009-16, “Transfers and Servicing (Topic 860): Accounting for Transfers of Financial Assets.” Cash payments are made to the Company’s U.S. and Canadian retail finance joint ventures for sales incentive discounts provided to dealers related to outstanding accounts receivables sold. The balances of such sales discount reserves that are recorded within “Accrued expenses” as of December 31, 2013 and 2012 were approximately $206.2 million and $143.7 million, respectively. | ||||||||
Inventories | ' | |||||||
Inventories | ||||||||
Inventories are valued at the lower of cost or market using the first-in, first-out method. Market is current replacement cost (by purchase or by reproduction, dependent on the type of inventory). In cases where market exceeds net realizable value (i.e., estimated selling price less reasonably predictable costs of completion and disposal), inventories are stated at net realizable value. Market is not considered to be less than net realizable value reduced by an allowance for an approximately normal profit margin. At December 31, 2013 and 2012, the Company had recorded $119.9 million and $99.2 million, respectively, as an adjustment for surplus and obsolete inventories. These adjustments are reflected within “Inventories, net” within the Company’s Consolidated Balance Sheets. | ||||||||
Inventories, net at December 31, 2013 and 2012 were as follows (in millions): | ||||||||
2013 | 2012 | |||||||
Finished goods | $ | 775.7 | $ | 598.5 | ||||
Repair and replacement parts | 550.2 | 505.6 | ||||||
Work in process | 109 | 137.5 | ||||||
Raw materials | 581.2 | 461.5 | ||||||
Inventories, net | $ | 2,016.10 | $ | 1,703.10 | ||||
Cash flows related to the sale of inventories are reported within “Cash flows from operating activities” within the Company’s Consolidated Statements of Cash Flows. | ||||||||
Property, Plant and Equipment | ' | |||||||
Property, Plant and Equipment | ||||||||
Property, plant and equipment are recorded at cost, less accumulated depreciation and amortization. Depreciation is provided on a straight-line basis over the estimated useful lives of 10 to 40 years for buildings and improvements, 3 to 15 years for machinery and equipment, and 3 to 10 years for furniture and fixtures. Expenditures for maintenance and repairs are charged to expense as incurred. | ||||||||
Goodwill, Intangible Assets and Long-Lived Assets | ' | |||||||
Goodwill, Other Intangible Assets and Long-Lived Assets | ||||||||
ASC 350, “Intangibles — Goodwill and Other,” establishes a method of testing goodwill and other indefinite-lived intangible assets for impairment on an annual basis or on an interim basis if an event occurs or circumstances change that would reduce the fair value of a reporting unit below its carrying value. The Company’s annual qualitative or quantitative assessments involve determining an estimate of the fair value of the Company’s reporting units in order to evaluate whether an impairment of the current carrying amount of goodwill and other indefinite-lived intangible assets exists. A qualitative assessment evaluates whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step quantitative goodwill impairment test. The first step of a quantitative goodwill impairment test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is not considered impaired, and, thus, the second step of the quantitative impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the quantitative goodwill impairment test is performed to measure the amount of impairment loss, if any. Fair values are derived based on an evaluation of past and expected future performance of the Company’s reporting units. A reporting unit is an operating segment or one level below an operating segment, for example, a component. A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and the Company’s executive management team regularly reviews the operating results of that component. In addition, the Company combines and aggregates two or more components of an operating segment as a single reporting unit if the components have similar economic characteristics. The Company’s reportable segments are not its reporting units. | ||||||||
The second step of the quantitative goodwill impairment test, used to measure the amount of impairment loss, if any, compares the implied fair value of the reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of the reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The loss recognized cannot exceed the carrying amount of goodwill. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination; that is, the Company allocates the fair value of a reporting unit to all of the assets and liabilities of that unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit was the price paid to acquire the reporting unit. The excess of the fair value of a reporting unit over the amounts assigned to its assets and liabilities is the implied fair value of goodwill. The Company utilizes a combination of valuation techniques, including a discounted cash flow approach and a market multiple approach, when making quantitative goodwill assessments. | ||||||||
The Company reviews its long-lived assets, which include intangible assets subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss is recognized when the undiscounted future cash flows estimated to be generated by the asset to be held and used are not sufficient to recover the unamortized balance of the asset. An impairment loss would be recognized based on the difference between the carrying values and estimated fair value. The estimated fair value is determined based on either the discounted future cash flows or other appropriate fair value methods with the amount of any such deficiency charged to income in the current year. If the asset being tested for recoverability was acquired in a business combination, intangible assets resulting from the acquisition that are related to the asset are included in the assessment. Estimates of future cash flows are based on many factors, including current operating results, expected market trends and competitive influences. The Company also evaluates the amortization periods assigned to its intangible assets to determine whether events or changes in circumstances warrant revised estimates of useful lives. Assets to be disposed of by sale are reported at the lower of the carrying amount or fair value, less estimated costs to sell. | ||||||||
Amortization of certain Intangible Assets | ' | |||||||
The Company amortizes certain acquired identifiable intangible assets primarily on a straight-line basis over their estimated useful lives, which range from 5 to 50 years. | ||||||||
Warranty Reserves | ' | |||||||
The Company’s agricultural equipment products are generally under warranty against defects in materials and workmanship for a period of one to four years. The Company accrues for future warranty costs at the time of sale based on historical warranty experience. Approximately $39.0 million and $33.0 million of warranty reserves are included in “Other noncurrent liabilities” in the Company’s Consolidated Balance Sheets as of December 31, 2013 and 2012, respectively. | ||||||||
Insurance Reserves | ' | |||||||
Insurance Reserves | ||||||||
Under the Company’s insurance programs, coverage is obtained for significant liability limits as well as those risks required to be insured by law or contract. It is the policy of the Company to self-insure a portion of certain expected losses related primarily to workers’ compensation and comprehensive general, product and vehicle liability. Provisions for losses expected under these programs are recorded based on the Company’s estimates of the aggregate liabilities for the claims incurred. | ||||||||
Research and Development Expenses | ' | |||||||
Research and Development Expenses | ||||||||
Research and development expenses are expensed as incurred and are included in engineering expenses in the Company’s Consolidated Statements of Operations. | ||||||||
Advertising Costs | ' | |||||||
Advertising Costs | ||||||||
The Company expenses all advertising costs as incurred. Cooperative advertising costs are normally expensed at the time the revenue is earned. Advertising expenses for the years ended December 31, 2013, 2012 and 2011 totaled approximately $60.5 million, $60.2 million and $50.1 million, respectively. | ||||||||
Shipping and Handling Expenses | ' | |||||||
Shipping and Handling Expenses | ||||||||
All shipping and handling fees charged to customers are included as a component of net sales. Shipping and handling costs are included as a part of cost of goods sold, with the exception of certain handling costs included in selling, general and administrative expenses in the amount of $29.3 million, $31.0 million and $29.9 million for the years ended December 31, 2013, 2012 and 2011, respectively. | ||||||||
Income Taxes | ' | |||||||
Income Taxes | ||||||||
Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. | ||||||||
Net Income Per Common Share | ' | |||||||
Net Income Per Common Share | ||||||||
Basic income per common share is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted income per common share assumes the exercise of outstanding stock options, stock-settled stock appreciation rights (“SSARs”), the vesting of restricted stock and performance share awards, and the appreciation of the excess conversion value of the contingently convertible senior subordinated notes using the treasury stock method when the effects of such assumptions are dilutive. | ||||||||
The Company’s $201.2 million aggregate principal amount of 11/4% convertible senior subordinated notes provided for the settlement upon conversion in cash up to the principal amount of the converted notes with any excess conversion value settled in shares of the Company’s common stock. Dilution of weighted shares outstanding depends on the Company’s stock price for the excess conversion value using the treasury stock method (Note 6). | ||||||||
Comprehensive Income (Loss) | ' | |||||||
Comprehensive Income (Loss) | ||||||||
The Company reports comprehensive income (loss), defined as the total of net income (loss) and all other non-owner changes in equity and the components thereof in its Consolidated Statements of Stockholders’ Equity and Consolidated Statements of Comprehensive Income. | ||||||||
Financial Instruments | ' | |||||||
Financial Instruments | ||||||||
The carrying amounts reported in the Company’s Consolidated Balance Sheets for “Cash and cash equivalents,” “Accounts and notes receivable” and “Accounts payable” approximate fair value due to the immediate or short-term maturity of these financial instruments. The carrying amounts of long-term debt under the Company’s 41/2% senior term loan and credit facility (Note 6) approximate fair value based on the borrowing rates currently available to the Company for loans with similar terms and average maturities. At December 31, 2013, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible notes (Note 6), based on their listed market values, were $322.1 million and $290.5 million, respectively, compared to their carrying values of $300.0 million and $201.2 million, respectively. At December 31, 2012, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible notes (Note 6), based on their listed market values, were $327.2 million and $250.6 million, respectively, compared to their carrying values of $300.0 million and $192.1 million, respectively. | ||||||||
Financial Instruments | ' | |||||||
The Company uses foreign currency contracts to hedge the foreign currency exposure of certain receivables and payables. The contracts are for periods consistent with the exposure being hedged and generally have maturities of one year or less. These contracts are classified as non-designated derivative instruments. The Company also enters into foreign currency contracts designated as cash flow hedges of expected sales. The Company’s foreign currency contracts mitigate risk due to exchange rate fluctuations because gains and losses on these contracts generally offset losses and gains on the exposure being hedged. | ||||||||
The notional amounts of the foreign currency contracts do not represent amounts exchanged by the parties and, therefore, are not a measure of the Company’s risk. The amounts exchanged are calculated on the basis of the notional amounts and other terms of the contracts. The credit and market risks under these contracts are not considered to be significant. The Company’s hedging policy prohibits it from entering into any foreign currency contracts for speculative trading purposes. | ||||||||
Recent Accounting Pronouncements | ' | |||||||
Recent Accounting Pronouncements | ||||||||
In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists” (“ASU 2013-11”). ASU 2013-11 requires an unrecognized tax benefit, or a portion of an unrecognized tax benefit, to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward. To the extent a net operating loss carryfoward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position, or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit is presented in the financial statements as a liability and is not combined with deferred tax assets. The standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. Early adoption is permitted. The Company plans to adopt this standard on January 1, 2014. The Company does not expect the adoption of ASU 2013-11 to have a material impact on the Company’s results of operations or financial condition. | ||||||||
In February 2013, the FASB issued ASU 2013-02, “Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income” (“ASU 2013-02”). ASU 2013-02 does not change the current requirements for reporting net income or other comprehensive income in financial statements. The standard requires an entity to provide information about the amounts reclassified out of accumulated other comprehensive income (“AOCI”) by component. The standard also requires an entity to present, either on the face of the statement where net income is presented or in the footnotes, significant amounts reclassified out of AOCI by the respective line items of net income, but only if the amount reclassified is required to be reclassified to net income in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, the standard requires an entity to cross-reference other disclosures that provide additional detail on those amounts. The Company adopted ASU 2013-02 as of January 1, 2013 by presenting the required amounts in its footnote disclosures (Note 8). | ||||||||
In July 2012, the FASB issued ASU 2012-02, “Intangibles-Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment” (“ASU 2012-02”). ASU 2012-02 permits an entity to make a qualitative assessment of whether it is more likely than not that an indefinite-lived intangible asset is impaired. If an entity concludes it is more likely than not that the fair value of such an asset exceeds its carrying amount, it need not calculate the fair value of the asset in that year. This standard is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012. Early adoption was permitted. The adoption of ASU 2012-02 did not have a material impact on the Company’s results of operations or financial condition. | ||||||||
In September 2011, the FASB issued ASU 2011-08, “Intangibles-Goodwill and Other (Topic 350): Testing Goodwill for Impairment” (“ASU 2011-08”). ASU 2011-08 permits an entity to make a qualitative assessment of whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step goodwill impairment test. If an entity concludes it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, it need not perform the two-step impairment test. This standard is effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. Early adoption was permitted. The adoption of ASU 2011-08 did not have a material impact on the Company’s results of operations or financial condition. | ||||||||
In June 2011, the FASB issued ASU 2011-05, “Comprehensive Income (Topic 220): Presentation of Comprehensive Income” (“ASU 2011-05”). ASU 2011-05 increases the prominence of other comprehensive income in financial statements. ASU 2011-05 does not change the items that must be reported in other comprehensive income or when an item of other comprehensive income must be reclassified to net income. The standard initially required that reclassification adjustments from other comprehensive income be measured and presented by income statement line item on the face of the statement of operations. In December 2011, however, the FASB issued ASU 2011-12, “Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in ASU 2011-05” (“ASU 2011-12”). ASU 2011-12 defers the requirement to present components of reclassifications of other comprehensive income on the face of the statement of operations. The Company adopted ASU 2011-05 and 2011-12 by consecutively presenting the Consolidated Statements of Operations and the Consolidated Statements of Comprehensive Income for the years ended December 31, 2013, 2012 and 2011. |
Operations_and_Summary_of_Sign2
Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||
Operations and Summary of Significant Accounting Policies [Abstract] | ' | |||||||||||||||||||
Trade Allowances and Sales Incentive Discounts | ' | |||||||||||||||||||
Accounts and notes receivable allowances at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Sales incentive discounts | $ | 30.4 | $ | 21.5 | ||||||||||||||||
Doubtful accounts | 34.9 | 38.1 | ||||||||||||||||||
$ | 65.3 | $ | 59.6 | |||||||||||||||||
Schedule of Inventory, Current | ' | |||||||||||||||||||
Inventories, net at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Finished goods | $ | 775.7 | $ | 598.5 | ||||||||||||||||
Repair and replacement parts | 550.2 | 505.6 | ||||||||||||||||||
Work in process | 109 | 137.5 | ||||||||||||||||||
Raw materials | 581.2 | 461.5 | ||||||||||||||||||
Inventories, net | $ | 2,016.10 | $ | 1,703.10 | ||||||||||||||||
Property, Plant and Equipment | ' | |||||||||||||||||||
Property, plant and equipment, net at December 31, 2013 and 2012 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Land | $ | 109.3 | $ | 100.1 | ||||||||||||||||
Buildings and improvements | 714.8 | 618.8 | ||||||||||||||||||
Machinery and equipment | 1,852.00 | 1,616.20 | ||||||||||||||||||
Furniture and fixtures | 288.7 | 244.5 | ||||||||||||||||||
Gross property, plant and equipment | 2,964.80 | 2,579.60 | ||||||||||||||||||
Accumulated depreciation and amortization | (1,362.5 | ) | (1,173.5 | ) | ||||||||||||||||
Property, plant and equipment, net | $ | 1,602.30 | $ | 1,406.10 | ||||||||||||||||
Schedule of Goodwill | ' | |||||||||||||||||||
Changes in the carrying amount of goodwill during the years ended December 31, 2013, 2012 and 2011 are summarized as follows (in millions): | ||||||||||||||||||||
North | South | Europe/Africa/ | Asia/Pacific | Consolidated | ||||||||||||||||
America | America | Middle East | ||||||||||||||||||
Balance as of December 31, 2010 | $ | 3.1 | $ | 196.7 | $ | 432.9 | $ | — | $ | 632.7 | ||||||||||
Acquisition | 412.8 | 38.3 | 85.3 | 69.3 | 605.7 | |||||||||||||||
Adjustments related to income taxes | — | — | (9.1 | ) | — | (9.1 | ) | |||||||||||||
Foreign currency translation | — | (22.8 | ) | (12.3 | ) | 0.3 | (34.8 | ) | ||||||||||||
Balance as of December 31, 2011 | 415.9 | 212.2 | 496.8 | 69.6 | 1,194.50 | |||||||||||||||
Acquisition | 0.8 | 29 | — | (3.7 | ) | 26.1 | ||||||||||||||
Impairment charge | — | — | — | (9.1 | ) | (9.1 | ) | |||||||||||||
Adjustments related to income taxes | — | — | (7.8 | ) | — | (7.8 | ) | |||||||||||||
Foreign currency translation | — | (21.9 | ) | 9.3 | 1.3 | (11.3 | ) | |||||||||||||
Balance as of December 31, 2012 | 416.7 | 219.3 | 498.3 | 58.1 | 1,192.40 | |||||||||||||||
Acquisition | 7.3 | — | — | — | 7.3 | |||||||||||||||
Adjustments related to income taxes | — | — | (8.0 | ) | — | (8.0 | ) | |||||||||||||
Foreign currency translation | — | (28.6 | ) | 16.3 | (0.7 | ) | (13.0 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 424 | $ | 190.7 | $ | 506.6 | $ | 57.4 | $ | 1,178.70 | ||||||||||
Schedule of Acquired Finite-Lived Intangible Assets by Major Class | ' | |||||||||||||||||||
Changes in the carrying amount of acquired intangible assets during 2013 and 2012 are summarized as follows (in millions): | ||||||||||||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
trade names | Relationships | Technology | ||||||||||||||||||
Gross carrying amounts: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 118.1 | $ | 511.4 | $ | 85.7 | $ | 8.6 | $ | 723.8 | ||||||||||
Acquisition | 1.5 | — | 1.1 | — | 2.6 | |||||||||||||||
Foreign currency translation | (0.7 | ) | (3.6 | ) | 0.8 | 0.1 | (3.4 | ) | ||||||||||||
Balance as of December 31, 2012 | 118.9 | 507.8 | 87.6 | 8.7 | 723 | |||||||||||||||
Acquisition | — | — | — | 6 | 6 | |||||||||||||||
Foreign currency translation | (0.3 | ) | (5.1 | ) | 1.5 | 0.2 | (3.7 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 118.6 | $ | 502.7 | $ | 89.1 | $ | 14.9 | $ | 725.3 | ||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
trade names | Relationships | Technology | ||||||||||||||||||
Accumulated amortization: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 13.1 | $ | 85.3 | $ | 50.3 | $ | — | $ | 148.7 | ||||||||||
Amortization expense | 6.7 | 39.4 | 3 | 0.2 | 49.3 | |||||||||||||||
Impairment charge | 5.6 | 5.4 | — | 2.3 | 13.3 | |||||||||||||||
Foreign currency translation | (0.5 | ) | (3.5 | ) | 0.8 | — | (3.2 | ) | ||||||||||||
Balance as of December 31, 2012 | 24.9 | 126.6 | 54.1 | 2.5 | 208.1 | |||||||||||||||
Amortization expense | 6.2 | 38.4 | 3 | 0.2 | 47.8 | |||||||||||||||
Foreign currency translation | (0.1 | ) | (4.3 | ) | 1.9 | — | (2.5 | ) | ||||||||||||
Balance as of December 31, 2013 | $ | 31 | $ | 160.7 | $ | 59 | $ | 2.7 | $ | 253.4 | ||||||||||
The acquired intangible assets have a weighted average useful life as follows: | ||||||||||||||||||||
Intangible Asset | Weighted-Average | |||||||||||||||||||
Useful Life | ||||||||||||||||||||
Patents and technology | 13 | years | ||||||||||||||||||
Customer relationships | 14 | years | ||||||||||||||||||
Trademarks and trade names | 21 | years | ||||||||||||||||||
Land use rights | 47 | years | ||||||||||||||||||
Schedule of Indefinite-lived Intangible Assets by Major Class | ' | |||||||||||||||||||
Trademarks and | ||||||||||||||||||||
trade names | ||||||||||||||||||||
Indefinite-lived intangible assets: | ||||||||||||||||||||
Balance as of December 31, 2011 | $ | 91.4 | ||||||||||||||||||
Foreign currency translation | 0.8 | |||||||||||||||||||
Balance as of December 31, 2012 | 92.2 | |||||||||||||||||||
Foreign currency translation | 1.5 | |||||||||||||||||||
Balance as of December 31, 2013 | $ | 93.7 | ||||||||||||||||||
Schedule of Accrued Liabilities | ' | |||||||||||||||||||
Accrued expenses at December 31, 2013 and 2012 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Reserve for volume discounts and sales incentives | $ | 499.8 | $ | 403.9 | ||||||||||||||||
Warranty reserves | 255.9 | 223.9 | ||||||||||||||||||
Accrued employee compensation and benefits | 276.9 | 249.7 | ||||||||||||||||||
Accrued taxes | 167.3 | 169.3 | ||||||||||||||||||
Other | 189.3 | 179.7 | ||||||||||||||||||
$ | 1,389.20 | $ | 1,226.50 | |||||||||||||||||
Schedule of Product Warranty Liability | ' | |||||||||||||||||||
The warranty reserve activity for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Balance at beginning of the year | $ | 256.9 | $ | 240.5 | $ | 199.5 | ||||||||||||||
Acquisitions | — | 0.1 | 7.2 | |||||||||||||||||
Accruals for warranties issued during the year | 200.3 | 184.5 | 195.1 | |||||||||||||||||
Settlements made (in cash or in kind) during the year | (165.7 | ) | (171.7 | ) | (152.6 | ) | ||||||||||||||
Foreign currency translation | 3.4 | 3.5 | (8.7 | ) | ||||||||||||||||
Balance at the end of the year | $ | 294.9 | $ | 256.9 | $ | 240.5 | ||||||||||||||
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | ' | |||||||||||||||||||
Stock compensation expense was recorded as follows (in millions). Refer to Note 9 for additional information regarding the Company’s stock incentive plans during 2013, 2012 and 2011: | ||||||||||||||||||||
Years Ended | ||||||||||||||||||||
December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Cost of goods sold | $ | 2.3 | $ | 2.4 | $ | 1.6 | ||||||||||||||
Selling, general and administrative expenses | 32.6 | 34.6 | 23 | |||||||||||||||||
Total stock compensation expense | $ | 34.9 | $ | 37 | $ | 24.6 | ||||||||||||||
Schedule of Components of Interest Expense, Net | ' | |||||||||||||||||||
Interest expense, net for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Interest expense | $ | 78.8 | $ | 77.7 | $ | 59 | ||||||||||||||
Interest income | (20.8 | ) | (20.1 | ) | (28.8 | ) | ||||||||||||||
$ | 58 | $ | 57.6 | $ | 30.2 | |||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | ' | |||||||||||||||||||
A reconciliation of net income attributable to AGCO Corporation and its subsidiaries and weighted average common shares outstanding for purposes of calculating basic and diluted net income per share during the years ended December 31, 2013, 2012 and 2011 is as follows (in millions, except per share data): | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Basic net income per share: | ||||||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 597.2 | $ | 522.1 | $ | 583.3 | ||||||||||||||
Weighted average number of common shares outstanding | 97.3 | 97.1 | 95.6 | |||||||||||||||||
Basic net income per share attributable to AGCO Corporation and subsidiaries | $ | 6.14 | $ | 5.38 | $ | 6.1 | ||||||||||||||
Diluted net income per share: | ||||||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 597.2 | $ | 522.1 | $ | 583.3 | ||||||||||||||
Weighted average number of common shares outstanding | 97.3 | 97.1 | 95.6 | |||||||||||||||||
Dilutive stock options, SSARs, performance share awards and restricted stock awards | 0.8 | 1 | 0.6 | |||||||||||||||||
Weighted average assumed conversion of contingently convertible senior subordinated notes | 1.3 | 0.5 | 1.9 | |||||||||||||||||
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted net income per share | 99.4 | 98.6 | 98.1 | |||||||||||||||||
Diluted net income per share attributable to AGCO Corporation and subsidiaries | $ | 6.01 | $ | 5.3 | $ | 5.95 | ||||||||||||||
Schedule of Comprehensive Income (Loss) | ' | |||||||||||||||||||
The components of other comprehensive loss and the related tax effects for the years ended December 31, 2013, 2012 and 2011 are as follows (in millions): | ||||||||||||||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2013 | 2013 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | 75.8 | $ | (19.3 | ) | $ | 56.5 | $ | — | |||||||||||
Net loss on derivatives | (1.4 | ) | 0.5 | (0.9 | ) | — | ||||||||||||||
Foreign currency translation adjustments | (86.9 | ) | — | (86.9 | ) | (0.3 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (12.5 | ) | $ | (18.8 | ) | $ | (31.3 | ) | $ | (0.3 | ) | ||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2012 | 2012 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | (32.5 | ) | $ | 9.8 | $ | (22.7 | ) | $ | — | ||||||||||
Net gain on derivatives | 6.5 | (1.5 | ) | 5 | — | |||||||||||||||
Foreign currency translation adjustments | (61.1 | ) | — | (61.1 | ) | (1.6 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (87.1 | ) | $ | 8.3 | $ | (78.8 | ) | $ | (1.6 | ) | |||||||||
AGCO Corporation and Subsidiaries | Noncontrolling | |||||||||||||||||||
Interests | ||||||||||||||||||||
2011 | 2011 | |||||||||||||||||||
Before-tax | Income | After-tax | After-tax | |||||||||||||||||
Amount | Taxes | Amount | Amount | |||||||||||||||||
Defined benefit pension plans | $ | (76.0 | ) | $ | 14.9 | $ | (61.1 | ) | $ | — | ||||||||||
Net loss on derivatives | (7.1 | ) | 1.7 | (5.4 | ) | — | ||||||||||||||
Unrealized gain on derivatives held by affiliates | 2.5 | — | 2.5 | — | ||||||||||||||||
Foreign currency translation adjustments | (204.5 | ) | — | (204.5 | ) | (0.1 | ) | |||||||||||||
Total components of other comprehensive loss | $ | (285.1 | ) | $ | 16.6 | $ | (268.5 | ) | $ | (0.1 | ) | |||||||||
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Schedule Of Acquired Other Identifiable Intangible Assets | ' | |||||||
Intangible Asset | Amount | Weighted-Average | ||||||
Useful Life | ||||||||
Trademarks and trade names | $ | 1.5 | 5 | years | ||||
Patents | 1.1 | 5 | years | |||||
$ | 2.6 | |||||||
Unaudited Pro forma Summarized Data Of The Result Of Operations | ' | |||||||
This unaudited pro forma information has been prepared for comparative purposes only and does not purport to represent what the results of operations of the Company actually would have been had the transactions occurred on the date indicated or what the results of operations may be in any future period (in millions, except per share data): | ||||||||
Year Ended | ||||||||
31-Dec-11 | ||||||||
Net sales | $ | 9,479.10 | ||||||
Net income attributable to AGCO Corporation and subsidiaries | 629.5 | |||||||
Net income per common share attributable to AGCO Corporation and subsidiaries: | ||||||||
Basic | $ | 6.58 | ||||||
Diluted | $ | 6.42 | ||||||
GSI Holdings Corp. | ' | |||||||
Schedule of Purchase Price Allocation | ' | |||||||
The final fair values of the assets acquired and liabilities assumed as of the acquisition date are presented in the following table (in millions): | ||||||||
Current assets | $ | 216 | ||||||
Property, plant and equipment | 69.6 | |||||||
Intangible assets | 438.5 | |||||||
Goodwill | 535.7 | |||||||
Other noncurrent assets | 2.1 | |||||||
Total assets acquired | 1,261.90 | |||||||
Current liabilities | 133.6 | |||||||
Deferred tax liabilities | 162.8 | |||||||
Long-term debt and other noncurrent liabilities | 5.4 | |||||||
Total liabilities assumed | 301.8 | |||||||
Net assets acquired | $ | 960.1 | ||||||
Investments_in_Affiliates_Tabl
Investments in Affiliates (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Investments in Affiliates [Abstract] | ' | |||||||||||
Investments in and Advances to Affiliates | ' | |||||||||||
Investments in affiliates as of December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Retail finance joint ventures | $ | 390.2 | $ | 354.4 | ||||||||
Manufacturing joint ventures | 16.1 | 20.7 | ||||||||||
Other affiliates | 9.8 | 15.2 | ||||||||||
$ | 416.1 | $ | 390.3 | |||||||||
Equity in Earnings of Affiliates | ' | |||||||||||
The Company’s equity in net earnings of affiliates for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Retail finance joint ventures | $ | 48.8 | $ | 48.6 | $ | 43.6 | ||||||
Manufacturing and other joint ventures | (0.6 | ) | 4.9 | 5.3 | ||||||||
$ | 48.2 | $ | 53.5 | $ | 48.9 | |||||||
Schedule of Equity Method Investments | ' | |||||||||||
Summarized combined financial information of the Company’s retail finance joint ventures as of December 31, 2013 and 2012 and for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
Total assets | $ | 9,442.70 | $ | 8,474.80 | ||||||||
Total liabilities | 8,646.30 | 7,751.60 | ||||||||||
Partners’ equity | 796.4 | 723.2 | ||||||||||
For the Years Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Revenues | $ | 389.2 | $ | 377.8 | $ | 364.2 | ||||||
Costs | 239.4 | 226.5 | 220.5 | |||||||||
Income before income taxes | $ | 149.8 | $ | 151.3 | $ | 143.7 | ||||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Schedule of Income before Income Tax, Domestic and Foreign | ' | |||||||||||
The sources of income (loss) before income taxes and equity in net earnings of affiliates were as follows for the years ended December 31, 2013, 2012 and 2011 (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
United States | $ | 133.1 | $ | 98 | $ | 1.6 | ||||||
Foreign | 669.5 | 502.8 | 559.4 | |||||||||
Income before income taxes and equity in net earnings of affiliates | $ | 802.6 | $ | 600.8 | $ | 561 | ||||||
Schedule of Components of Income Tax Expense (Benefit) | ' | |||||||||||
The provision for income taxes by location of the taxing jurisdiction for the years ended December 31, 2013, 2012 and 2011 consisted of the following (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Current: | ||||||||||||
United States: | ||||||||||||
Federal | $ | 9.2 | $ | (5.5 | ) | $ | (6.1 | ) | ||||
State | 9.9 | 2.8 | — | |||||||||
Foreign | 217.7 | 177 | 158.3 | |||||||||
236.8 | 174.3 | 152.2 | ||||||||||
Deferred: | ||||||||||||
United States: | ||||||||||||
Federal | 30.2 | (27.0 | ) | (148.9 | ) | |||||||
State | — | — | — | |||||||||
Foreign | (8.5 | ) | (9.4 | ) | 21.3 | |||||||
21.7 | (36.4 | ) | (127.6 | ) | ||||||||
$ | 258.5 | $ | 137.9 | $ | 24.6 | |||||||
Schedule of Effective Income Tax Rate Reconciliation | ' | |||||||||||
A reconciliation of income taxes computed at the United States federal statutory income tax rate (35%) to the provision for income taxes reflected in the Company’s Consolidated Statements of Operations for the years ended December 31, 2013, 2012 and 2011 is as follows (in millions): | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
Provision for income taxes at United States federal statutory rate of 35% | $ | 280.9 | $ | 210.3 | $ | 196.3 | ||||||
State and local income taxes, net of federal income tax benefit | 5.6 | 3.9 | 1.4 | |||||||||
Taxes on foreign income which differ from the United States statutory rate | (34.7 | ) | (19.8 | ) | (31.8 | ) | ||||||
Tax effect of permanent differences | (7.6 | ) | 11.5 | (5.8 | ) | |||||||
Change in valuation allowance | 9.3 | (64.3 | ) | (150.7 | ) | |||||||
Change in tax contingency reserves | 25.7 | 20.8 | 23.1 | |||||||||
Research and development tax credits | (19.9 | ) | (26.3 | ) | (7.7 | ) | ||||||
Other | (0.8 | ) | 1.8 | (0.2 | ) | |||||||
$ | 258.5 | $ | 137.9 | $ | 24.6 | |||||||
Schedule of Deferred Tax Assets and Liabilities | ' | |||||||||||
The significant components of the deferred tax assets and liabilities at December 31, 2013 and 2012 were as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Deferred Tax Assets: | ||||||||||||
Net operating loss carryforwards | $ | 69.7 | $ | 94.9 | ||||||||
Sales incentive discounts | 68.7 | 55.8 | ||||||||||
Inventory valuation reserves | 29.4 | 27 | ||||||||||
Pensions and postretirement health care benefits | 69.7 | 102.4 | ||||||||||
Warranty and other reserves | 108.5 | 138.1 | ||||||||||
Research and development tax credits | 13.2 | 21 | ||||||||||
Other | 64 | 38.8 | ||||||||||
Total gross deferred tax assets | 423.2 | 478 | ||||||||||
Valuation allowance | (77.2 | ) | (74.5 | ) | ||||||||
Total net deferred tax assets | 346 | 403.5 | ||||||||||
Deferred Tax Liabilities: | ||||||||||||
Tax over book depreciation and amortization | 314.7 | 341 | ||||||||||
Other | 21.6 | 21.3 | ||||||||||
Total deferred tax liabilities | 336.3 | 362.3 | ||||||||||
Net deferred tax assets | $ | 9.7 | $ | 41.2 | ||||||||
Amounts recognized in Consolidated Balance Sheets: | ||||||||||||
Deferred tax assets - current | $ | 241.2 | $ | 243.5 | ||||||||
Deferred tax assets - noncurrent | 24.4 | 40 | ||||||||||
Other current (liabilities) assets | (4.7 | ) | 0.4 | |||||||||
Deferred tax liabilities - noncurrent | (251.2 | ) | (242.7 | ) | ||||||||
$ | 9.7 | $ | 41.2 | |||||||||
Summary of Income Tax Contingencies | ' | |||||||||||
A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits as of and during the years ended December 31, 2013 and 2012 is as follows (in millions): | ||||||||||||
2013 | 2012 | |||||||||||
Gross unrecognized income tax benefits | $ | 94.5 | $ | 71.1 | ||||||||
Additions for tax positions of the current year | 34.7 | 18.5 | ||||||||||
Additions for tax positions of prior years | 3.6 | 7.3 | ||||||||||
Additions for tax positions related to acquisitions | — | 1.1 | ||||||||||
Reductions for tax positions of prior years for: | ||||||||||||
Changes in judgments | (9.0 | ) | 0.2 | |||||||||
Settlements during the period | — | — | ||||||||||
Lapses of applicable statute of limitations | (3.6 | ) | (5.2 | ) | ||||||||
Foreign currency translation | 2 | 1.5 | ||||||||||
Gross unrecognized income tax benefits | $ | 122.2 | $ | 94.5 | ||||||||
Indebtedness_Tables
Indebtedness (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Indebtedness [Abstract] | ' | |||||||||||
Components of Indebtedness | ' | |||||||||||
Indebtedness consisted of the following at December 31, 2013 and 2012 (in millions): | ||||||||||||
December 31, 2013 | December 31, 2012 | |||||||||||
11/4% Convertible senior subordinated notes due 2036 | $ | 201.2 | $ | 192.1 | ||||||||
4½% Senior term loan due 2016 | 275 | 264.2 | ||||||||||
57/8% Senior notes due 2021 | 300 | 300 | ||||||||||
Credit facility, expires 2016 | 360 | 465 | ||||||||||
Other long-term debt | 114 | 65.5 | ||||||||||
1,250.20 | 1,286.80 | |||||||||||
Less: Current portion of long-term debt | (110.5 | ) | (59.1 | ) | ||||||||
11/4% Convertible senior subordinated notes due 2036 | (201.2 | ) | (192.1 | ) | ||||||||
Total indebtedness, less current portion | $ | 938.5 | $ | 1,035.60 | ||||||||
Maturities of Long-term Debt | ' | |||||||||||
At December 31, 2013, the aggregate scheduled maturities of long-term debt, excluding the current portion of long-term debt, are as follows (in millions): | ||||||||||||
2015 | $ | 44.5 | ||||||||||
2016 | 576.6 | |||||||||||
2017 | 1.3 | |||||||||||
2018 | 0.3 | |||||||||||
Thereafter | 315.8 | |||||||||||
$ | 938.5 | |||||||||||
Carrying Amounts of the Convertible Senior Subordinated Notes | ' | |||||||||||
The following table sets forth as of December 31, 2013 and 2012 the carrying amount of the equity component, the principal amount of the liability component, the unamortized discount and the net carrying amount of the Company’s 11/4% convertible senior subordinated notes (in millions): | ||||||||||||
December 31, | ||||||||||||
2013 | 2012 | |||||||||||
1¼% Convertible senior subordinated notes due 2036: | ||||||||||||
Carrying amount of the equity component | $ | 54.3 | $ | 54.3 | ||||||||
Principal amount of the liability component | $ | 201.2 | $ | 201.3 | ||||||||
Less: unamortized discount | — | (9.2 | ) | |||||||||
Net carrying amount | $ | 201.2 | $ | 192.1 | ||||||||
Interest Expense Recognized on Convertible Senior Subordinated Notes | ' | |||||||||||
The following table sets forth the interest expense recognized for the years ended December 31, 2013, 2012 and 2011 relating to both the contractual interest coupon and the amortization of the discount on the liability component for the Company’s former 13/4% convertible senior subordinated notes and the 11/4% convertible senior subordinated notes (in millions): | ||||||||||||
Years Ended December 31, | ||||||||||||
2013 | 2012 | 2011 | ||||||||||
1¾% Convertible senior subordinated notes: | ||||||||||||
Interest expense | $ | — | $ | — | $ | 0.9 | ||||||
1¼% Convertible senior subordinated notes: | ||||||||||||
Interest expense | $ | 11.7 | $ | 11.2 | $ | 10.7 | ||||||
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Schedule of Defined Benefit Plans | ' | ||||||||||||||||
The following tables set forth reconciliations of the changes in benefit obligation, plan assets and funded status as of December 31, 2013 and 2012 (in millions): | |||||||||||||||||
Pension Benefits | Postretirement | ||||||||||||||||
Benefits | |||||||||||||||||
Change in benefit obligation | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Benefit obligation at beginning of year | $ | 842.3 | $ | 765.9 | $ | 37 | $ | 31.8 | |||||||||
Service cost | 14.9 | 14.4 | 0.1 | 0.1 | |||||||||||||
Interest cost | 33.9 | 38.2 | 1.7 | 1.5 | |||||||||||||
Plan participants’ contributions | 1.3 | 1.2 | — | — | |||||||||||||
Actuarial loss (gain) | (4.1 | ) | 36.1 | (6.2 | ) | 1.8 | |||||||||||
Amendments | — | — | — | 3.9 | |||||||||||||
Settlements | (0.6 | ) | (0.4 | ) | — | — | |||||||||||
Benefits paid | (52.9 | ) | (44.6 | ) | (1.8 | ) | (1.8 | ) | |||||||||
Special termination benefits and other | — | — | — | 0.1 | |||||||||||||
Foreign currency exchange rate changes | 16.4 | 31.5 | (0.5 | ) | (0.4 | ) | |||||||||||
Benefit obligation at end of year | $ | 851.2 | $ | 842.3 | $ | 30.3 | $ | 37 | |||||||||
Postretirement | |||||||||||||||||
Pension Benefits | Benefits | ||||||||||||||||
Change in plan assets | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Fair value of plan assets at beginning of year | $ | 576.7 | $ | 520.8 | $ | — | $ | — | |||||||||
Actual return on plan assets | 81.3 | 40.6 | — | — | |||||||||||||
Employer contributions | 41 | 36.1 | 1.8 | 1.7 | |||||||||||||
Plan participants’ contributions | 1.3 | 1.2 | — | — | |||||||||||||
Benefits paid | (52.9 | ) | (44.6 | ) | (1.8 | ) | (1.8 | ) | |||||||||
Settlements | (0.6 | ) | (0.4 | ) | — | — | |||||||||||
Other | — | — | — | 0.1 | |||||||||||||
Foreign currency exchange rate changes | 13.9 | 23 | — | — | |||||||||||||
Fair value of plan assets at end of year | $ | 660.7 | $ | 576.7 | $ | — | $ | — | |||||||||
Funded status | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
Unrecognized net actuarial loss | 260.3 | 321.5 | 4.1 | 10.8 | |||||||||||||
Unrecognized prior service (credit) cost | (0.1 | ) | (0.2 | ) | 3.9 | 4.2 | |||||||||||
Accumulated other comprehensive loss | (260.2 | ) | (321.3 | ) | (8.0 | ) | (15.0 | ) | |||||||||
Net amount recognized | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
Amounts recognized in Consolidated Balance Sheets: | |||||||||||||||||
Other long-term asset | $ | — | $ | 0.1 | $ | — | $ | — | |||||||||
Other current liabilities | (3.0 | ) | (2.5 | ) | (1.8 | ) | (1.7 | ) | |||||||||
Accrued expenses | (5.4 | ) | (5.2 | ) | — | — | |||||||||||
Pensions and postretirement health care benefits (noncurrent) | (182.1 | ) | (258.0 | ) | (28.5 | ) | (35.3 | ) | |||||||||
Net amount recognized | $ | (190.5 | ) | $ | (265.6 | ) | $ | (30.3 | ) | $ | (37.0 | ) | |||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||
The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the year ended December 31, 2013 (in millions): | |||||||||||||||||
Defined Benefit Pension Plans | Cumulative Translation Adjustment | Deferred Net Gains (Losses) on Derivatives | Total | ||||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (262.9 | ) | $ | (217.2 | ) | $ | 0.7 | $ | (479.4 | ) | ||||||
Other comprehensive gain (loss) before reclassifications | 45.2 | (86.9 | ) | (1.4 | ) | (43.1 | ) | ||||||||||
Net losses reclassified from accumulated other comprehensive loss | 11.3 | — | 0.5 | 11.8 | |||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 56.5 | (86.9 | ) | (0.9 | ) | (31.3 | ) | ||||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (304.1 | ) | $ | (0.2 | ) | $ | (510.7 | ) | |||||
Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates | ' | ||||||||||||||||
Changing the assumed health care cost trend rates by one percentage point each year and holding all other assumptions constant would have the following effect to service and interest cost for 2013 and the accumulated postretirement benefit obligation at December 31, 2013 (in millions): | |||||||||||||||||
One Percentage | One Percentage | ||||||||||||||||
Point Increase | Point Decrease | ||||||||||||||||
Effect on service and interest cost | $ | 0.4 | $ | (0.3 | ) | ||||||||||||
Effect on accumulated benefit obligation | $ | 3.8 | $ | (3.8 | ) | ||||||||||||
Pension Benefits | ' | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Net Pension And Postretirement Cost | ' | ||||||||||||||||
Net annual pension costs for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions): | |||||||||||||||||
Pension benefits | 2013 | 2012 | 2011 | ||||||||||||||
Service cost | $ | 14.9 | $ | 14.4 | $ | 14.4 | |||||||||||
Interest cost | 33.9 | 38.2 | 40.1 | ||||||||||||||
Expected return on plan assets | (37.6 | ) | (36.3 | ) | (37.1 | ) | |||||||||||
Amortization of net actuarial loss | 13.3 | 9.5 | 6.4 | ||||||||||||||
Amortization of prior service credit | (0.1 | ) | (0.1 | ) | (0.2 | ) | |||||||||||
Settlement loss | 0.1 | 0.2 | 0.1 | ||||||||||||||
Special termination benefits and other | — | — | 0.2 | ||||||||||||||
Net annual pension cost | $ | 24.5 | $ | 25.9 | $ | 23.9 | |||||||||||
Assumptions Used | ' | ||||||||||||||||
The weighted average assumptions used to determine the benefit obligation for the Company’s pension plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
All plans: | |||||||||||||||||
Weighted average discount rate | 4.3 | % | 4.3 | % | |||||||||||||
Rate of increase in future compensation | 2.5-4.5% | 2.5-4.0% | |||||||||||||||
U.S.-based plans: | |||||||||||||||||
Weighted average discount rate | 4.8 | % | 3.9 | % | |||||||||||||
Rate of increase in future compensation | N/A | N/A | |||||||||||||||
The weighted average assumptions used to determine the net annual pension costs for the Company’s pension plans for the years ended December 31, 2013, 2012 and 2011 are as follows: | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
All plans: | |||||||||||||||||
Weighted average discount rate | 4.3 | % | 5.1 | % | 5.6 | % | |||||||||||
Weighted average expected long-term rate of return on plan assets | 6.8 | % | 7 | % | 7 | % | |||||||||||
Rate of increase in future compensation | 2.5-4.0% | 2.5-4.5% | 2.5-4.5% | ||||||||||||||
U.S.-based plans: | |||||||||||||||||
Weighted average discount rate | 3.9 | % | 4.6 | % | 5.4 | % | |||||||||||
Weighted average expected long-term rate of return on plan assets | 7 | % | 7.75 | % | 8 | % | |||||||||||
Rate of increase in future compensation | N/A | N/A | N/A | ||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||
The following table summarizes the activity in accumulated other comprehensive loss related to the Company’s defined pension and postretirement benefit plans during the year ended December 31, 2013 (in millions): | |||||||||||||||||
Before-Tax | Income | After-Tax | |||||||||||||||
Amount | Tax | Amount | |||||||||||||||
Accumulated other comprehensive loss as of December 31, 2012 | $ | (355.2 | ) | $ | (92.3 | ) | $ | (262.9 | ) | ||||||||
Net loss recognized due to settlement | 0.1 | 0.1 | — | ||||||||||||||
Net actuarial gain arising during the year | 60.1 | 14.9 | 45.2 | ||||||||||||||
Amortization of prior service cost | 1.1 | 0.5 | 0.6 | ||||||||||||||
Amortization of net actuarial loss | 14.5 | 3.8 | 10.7 | ||||||||||||||
Accumulated other comprehensive loss as of December 31, 2013 | $ | (279.4 | ) | $ | (73.0 | ) | $ | (206.4 | ) | ||||||||
Allocation of Plan Assets | ' | ||||||||||||||||
The fair value of the Company’s pension assets as of December 31, 2013 is as follows (in millions): | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Equity securities: | |||||||||||||||||
Global equities | $ | 132 | $ | 132 | $ | — | $ | — | |||||||||
Non-U.S. equities | 6.7 | 6.7 | — | — | |||||||||||||
U.K. equities | 132 | 132 | — | — | |||||||||||||
U.S. large cap equities | 13.9 | 13.9 | — | — | |||||||||||||
U.S. small cap equities | 6.2 | 6.2 | — | — | |||||||||||||
Total equity securities | 290.8 | 290.8 | — | — | |||||||||||||
Fixed income: | |||||||||||||||||
Aggregate fixed income | 6.5 | 6.5 | — | — | |||||||||||||
International fixed income | 180.8 | 180.8 | — | — | |||||||||||||
Total fixed income share(1) | 187.3 | 187.3 | — | — | |||||||||||||
Cash and equivalents: | |||||||||||||||||
Cash | 10.8 | — | 10.8 | — | |||||||||||||
Total cash and equivalents | 10.8 | — | 10.8 | — | |||||||||||||
Alternative investments(2) | 146 | — | — | 146 | |||||||||||||
Miscellaneous funds(3) | 25.8 | — | — | 25.8 | |||||||||||||
Total assets | $ | 660.7 | $ | 478.1 | $ | 10.8 | $ | 171.8 | |||||||||
______________________________________ | |||||||||||||||||
-1 | 40% of “fixed income” securities are in government treasuries; 31% are in investment-grade corporate bonds; and 29% are in other various fixed income securities. | ||||||||||||||||
-2 | 35% of “alternative investments” are in long-short equity funds; 29% are in event-driven funds; 12% are in relative value funds; 12% are in credit funds; 7% are distributed in hedged and non-hedged funds; and 5% are in multi-strategy funds. | ||||||||||||||||
-3 | “Miscellaneous funds” is comprised of pooled funds in Australia and insurance contracts in Finland, Norway and Switzerland. | ||||||||||||||||
The fair value of the Company’s pension assets as of December 31, 2012 is as follows (in millions): | |||||||||||||||||
Total | Level 1 | Level 2 | Level 3 | ||||||||||||||
Equity securities: | |||||||||||||||||
Global equities | $ | 103.7 | $ | 103.7 | $ | — | $ | — | |||||||||
Non-U.S. equities | 5.2 | 5.2 | — | — | |||||||||||||
U.K. equities | 112.2 | 112.2 | — | — | |||||||||||||
U.S. large cap equities | 11.1 | 11.1 | — | — | |||||||||||||
U.S. small cap equities | 5.4 | 5.4 | — | — | |||||||||||||
Total equity securities | 237.6 | 237.6 | — | — | |||||||||||||
Fixed income: | |||||||||||||||||
Aggregate fixed income | 7.6 | 7.6 | — | — | |||||||||||||
International fixed income | 176.7 | 176.7 | — | — | |||||||||||||
Total fixed income share(1) | 184.3 | 184.3 | — | — | |||||||||||||
Cash and equivalents: | |||||||||||||||||
Cash | 2.2 | — | 2.2 | — | |||||||||||||
Total cash and equivalents | 2.2 | — | 2.2 | — | |||||||||||||
Alternative investments(2) | 127.1 | — | — | 127.1 | |||||||||||||
Miscellaneous funds(3) | 25.5 | — | — | 25.5 | |||||||||||||
Total assets | $ | 576.7 | $ | 421.9 | $ | 2.2 | $ | 152.6 | |||||||||
_______________________________________ | |||||||||||||||||
-1 | 39% of “fixed income” securities are in investment-grade corporate bonds; 34% are in other various fixed income securities; and 27% are in government treasuries. | ||||||||||||||||
-2 | 24% of “alternative investments” are in long-short equity funds; 19% are in multi-strategy funds; 17% are in event-driven funds; 16% are distributed in hedged and non-hedged funds; 12% are in relative value funds; and 12% are in credit funds. | ||||||||||||||||
-3 | “Miscellaneous funds” is comprised of pooled funds in Australia and various contracts in Finland, Norway and Switzerland | ||||||||||||||||
Reconciliation of Significant Unobservable Inputs, Changes in Plan Assets | ' | ||||||||||||||||
The following is a reconciliation of Level 3 assets as of December 31, 2013 (in millions): | |||||||||||||||||
Total | Alternative | Miscellaneous | |||||||||||||||
Investments | Funds | ||||||||||||||||
Beginning balance as of December 31, 2012 | $ | 152.6 | $ | 127.1 | $ | 25.5 | |||||||||||
Actual return on plan assets: | |||||||||||||||||
(a) Relating to assets still held at reporting date | 15.4 | 15.1 | 0.3 | ||||||||||||||
(b) Relating to assets sold during period | 0.3 | 0.3 | — | ||||||||||||||
Purchases, sales and /or settlements | 0.5 | 0.3 | 0.2 | ||||||||||||||
Foreign currency exchange rate changes | 3 | 3.2 | (0.2 | ) | |||||||||||||
Ending balance as of December 31, 2013 | $ | 171.8 | $ | 146 | $ | 25.8 | |||||||||||
The following is a reconciliation of Level 3 assets as of December 31, 2012 (in millions): | |||||||||||||||||
Total | Alternative | Miscellaneous | |||||||||||||||
Investments | Funds | ||||||||||||||||
Beginning balance as of December 31, 2011 | $ | 140.9 | $ | 119.8 | $ | 21.1 | |||||||||||
Actual return on plan assets: | |||||||||||||||||
(a) Relating to assets still held at reporting date | 4.3 | 4.1 | 0.2 | ||||||||||||||
(b) Relating to assets sold during period | 0.5 | 0.5 | — | ||||||||||||||
Purchases, sales and /or settlements | 1.2 | (2.3 | ) | 3.5 | |||||||||||||
Transfers in and /or out of Level 3 | (0.2 | ) | (0.2 | ) | — | ||||||||||||
Foreign currency exchange rate changes | 5.9 | 5.2 | 0.7 | ||||||||||||||
Ending balance as of December 31, 2012 | $ | 152.6 | $ | 127.1 | $ | 25.5 | |||||||||||
Expected Benefit Payments | ' | ||||||||||||||||
At December 31, 2013, the aggregate expected benefit payments for all of the Company’s pension plans are as follows (in millions): | |||||||||||||||||
2014 | $ | 53.2 | |||||||||||||||
2015 | 51.4 | ||||||||||||||||
2016 | 50.6 | ||||||||||||||||
2017 | 50.3 | ||||||||||||||||
2018 | 51.2 | ||||||||||||||||
2019 through 2023 | 276.6 | ||||||||||||||||
$ | 533.3 | ||||||||||||||||
U.S. Based Pension Benefit Plans | ' | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Allocation of Plan Assets | ' | ||||||||||||||||
The weighted average asset allocation of the Company’s U.S. pension benefit plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
Asset Category | 2013 | 2012 | |||||||||||||||
Large and small cap domestic equity securities | 48 | % | 45 | % | |||||||||||||
International equity securities | 16 | % | 14 | % | |||||||||||||
Domestic fixed income securities | 16 | % | 21 | % | |||||||||||||
Other investments | 20 | % | 20 | % | |||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
Non-U.S. Pension Benefit Plans | ' | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Allocation of Plan Assets | ' | ||||||||||||||||
The weighted average asset allocation of the Company’s non-U.S. pension benefit plans as of December 31, 2013 and 2012 are as follows: | |||||||||||||||||
Asset Category | 2013 | 2012 | |||||||||||||||
Equity securities | 45 | % | 42 | % | |||||||||||||
Fixed income securities | 30 | % | 34 | % | |||||||||||||
Other investments | 25 | % | 24 | % | |||||||||||||
Total | 100 | % | 100 | % | |||||||||||||
Postretirement Benefits | ' | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Net Pension And Postretirement Cost | ' | ||||||||||||||||
Net annual postretirement benefit costs for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions, except percentages): | |||||||||||||||||
Postretirement benefits | 2013 | 2012 | 2011 | ||||||||||||||
Service cost | $ | 0.1 | $ | 0.1 | $ | 0.1 | |||||||||||
Interest cost | 1.7 | 1.5 | 1.6 | ||||||||||||||
Amortization of prior service cost (credit) | 0.2 | (0.2 | ) | (0.3 | ) | ||||||||||||
Amortization of net actuarial loss | 0.5 | 0.4 | 0.3 | ||||||||||||||
Net annual postretirement benefit cost | $ | 2.5 | $ | 1.8 | $ | 1.7 | |||||||||||
Weighted average discount rate | 4.7 | % | 4.8 | % | 5.6 | % | |||||||||||
Expected Benefit Payments | ' | ||||||||||||||||
At December 31, 2013, the aggregate expected benefit payments for the Company’s U.S. and Brazilian postretirement benefit plans are as follows (in millions): | |||||||||||||||||
2014 | $ | 1.8 | |||||||||||||||
2015 | 1.8 | ||||||||||||||||
2016 | 1.9 | ||||||||||||||||
2017 | 1.9 | ||||||||||||||||
2018 | 2 | ||||||||||||||||
2019 through 2023 | 10.4 | ||||||||||||||||
$ | 19.8 | ||||||||||||||||
ENPP | ' | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ||||||||||||||||
Net Pension And Postretirement Cost | ' | ||||||||||||||||
Net annual ENPP cost and the measurement assumptions for the plans for the years ended December 31, 2013, 2012 and 2011 are set forth below (in millions, except percentages): | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Service cost | $ | 3.1 | $ | 2.8 | $ | 1.8 | |||||||||||
Interest cost | 1.5 | 1.4 | 1 | ||||||||||||||
Amortization of prior service cost | 0.9 | 0.9 | 0.6 | ||||||||||||||
Amortization of net actuarial loss | 0.7 | 0.3 | 0.1 | ||||||||||||||
Net annual ENPP costs | $ | 6.2 | $ | 5.4 | $ | 3.5 | |||||||||||
Discount rate | 3.9 | % | 4.6 | % | 5.4 | % | |||||||||||
Rate of increase in future compensation | 5 | % | 5 | % | 5 | % | |||||||||||
Schedule of Changes in Projected Benefit Obligations | ' | ||||||||||||||||
The following tables set forth reconciliations of the changes in benefit obligation and funded status as of December 31, 2013 and 2012 (in millions): | |||||||||||||||||
Change in benefit obligation | 2013 | 2012 | |||||||||||||||
Benefit obligation at beginning of year | $ | 39.6 | $ | 31 | |||||||||||||
Service cost | 3.1 | 2.8 | |||||||||||||||
Interest cost | 1.5 | 1.4 | |||||||||||||||
Actuarial (gain) loss | (6.0 | ) | 5.3 | ||||||||||||||
Benefits paid | (1.2 | ) | (0.9 | ) | |||||||||||||
Benefit obligation at end of year | $ | 37 | $ | 39.6 | |||||||||||||
Funded status | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
Unrecognized net actuarial loss | 5.2 | 11.9 | |||||||||||||||
Unrecognized prior service cost | 4.7 | 5.6 | |||||||||||||||
Accumulated other comprehensive loss | (9.9 | ) | (17.5 | ) | |||||||||||||
Net amount recognized | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
Amounts recognized in Consolidated Balance Sheets: | |||||||||||||||||
Other current liabilities | $ | (1.2 | ) | $ | (1.3 | ) | |||||||||||
Pensions and postretirement health care benefits (noncurrent) | (35.8 | ) | (38.3 | ) | |||||||||||||
Net amount recognized | $ | (37.0 | ) | $ | (39.6 | ) | |||||||||||
Expected Benefit Payments | ' | ||||||||||||||||
During 2013, approximately $1.2 million of benefit payments were made related to the ENPP. At December 31, 2013, the aggregate expected benefit payments for the ENPP are as follows (in millions): | |||||||||||||||||
2014 | $ | 1.3 | |||||||||||||||
2015 | 0.9 | ||||||||||||||||
2016 | 1.1 | ||||||||||||||||
2017 | 2.7 | ||||||||||||||||
2018 | 2.7 | ||||||||||||||||
2019 through 2023 | 15.1 | ||||||||||||||||
$ | 23.8 | ||||||||||||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||
The following table sets forth changes in accumulated other comprehensive loss by component, net of tax, attributed to AGCO Corporation and its subsidiaries for the year ended December 31, 2013 (in millions): | ||||||||||||||||
Defined Benefit Pension Plans | Cumulative Translation Adjustment | Deferred Net Gains (Losses) on Derivatives | Total | |||||||||||||
Accumulated other comprehensive (loss) income, December 31, 2012 | $ | (262.9 | ) | $ | (217.2 | ) | $ | 0.7 | $ | (479.4 | ) | |||||
Other comprehensive gain (loss) before reclassifications | 45.2 | (86.9 | ) | (1.4 | ) | (43.1 | ) | |||||||||
Net losses reclassified from accumulated other comprehensive loss | 11.3 | — | 0.5 | 11.8 | ||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 56.5 | (86.9 | ) | (0.9 | ) | (31.3 | ) | |||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (304.1 | ) | $ | (0.2 | ) | $ | (510.7 | ) | ||||
Schedule of reclassifications out of AOCI | ' | |||||||||||||||
The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the year ended December 31, 2013 (in millions): | ||||||||||||||||
Details about Accumulated Other Comprehensive Loss Components | Amount Reclassified from Accumulated Other Comprehensive Loss Year ended December 31, 2013 (1) | Affected Line Item within the Consolidated Statements of Operations | ||||||||||||||
Net losses on cash flow hedges | $ | 0.7 | Cost of goods sold | |||||||||||||
Tax | (0.2 | ) | Income tax provision | |||||||||||||
Reclassification net of tax | $ | 0.5 | ||||||||||||||
Defined benefit pension plans: | ||||||||||||||||
Amortization of net actuarial loss | $ | 14.5 | (2) | |||||||||||||
Amortization of prior service cost | 1.1 | (2) | ||||||||||||||
Reclassification before tax | 15.6 | |||||||||||||||
Tax | (4.3 | ) | Income tax provision | |||||||||||||
Reclassification net of tax | $ | 11.3 | ||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | $ | 11.8 | ||||||||||||||
(1) Losses included within the Consolidated Statements of Operations for the year ended December 31, 2013. | ||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 7 to the Company’s Consolidated Financial Statements. |
Stock_Incentive_Plan_Tables
Stock Incentive Plan (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Performance Award Transactions | ' | ||||||||||||||||
Performance award transactions during 2013 were as follows and are presented as if the Company were to achieve its maximum levels of performance under the plan: | |||||||||||||||||
Shares awarded but not earned at January 1 | 2,509,323 | ||||||||||||||||
Shares awarded | 1,151,944 | ||||||||||||||||
Shares forfeited or unearned | (230,730 | ) | |||||||||||||||
Shares earned | (622,018 | ) | |||||||||||||||
Shares awarded but not earned at December 31 | 2,808,519 | ||||||||||||||||
Weighted Average Grant-Date Fair Value Of SSARS And Assumptions Under Black-Scholes Option Model | ' | ||||||||||||||||
The weighted average grant-date fair value of SSARs granted under the 2006 Plan and the weighted average assumptions under the Black-Scholes option model were as follows for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||
Years Ended December 31, | |||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||
Weighted average grant-date fair value | $ | 21.1 | $ | 22.5 | $ | 22.26 | |||||||||||
Weighted average assumptions under Black-Scholes option model: | |||||||||||||||||
Expected life of awards (years) | 5.5 | 5.5 | 5.5 | ||||||||||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | 1.9 | % | |||||||||||
Expected volatility | 50.3 | % | 51 | % | 49.7 | % | |||||||||||
Expected dividend yield | 0.8 | % | — | — | |||||||||||||
SSAR Activity | ' | ||||||||||||||||
SSAR transactions during the year ended December 31, 2013 were as follows: | |||||||||||||||||
SSARs outstanding at January 1 | 1,073,087 | ||||||||||||||||
SSARs granted | 335,630 | ||||||||||||||||
SSARs exercised | (251,536 | ) | |||||||||||||||
SSARs canceled or forfeited | (62,345 | ) | |||||||||||||||
SSARs outstanding at December 31 | 1,094,836 | ||||||||||||||||
SSAR price ranges per share: | |||||||||||||||||
Granted | $ 51.84 - 63.64 | ||||||||||||||||
Exercised | 21.45 - 56.98 | ||||||||||||||||
Canceled or forfeited | 21.45 - 56.98 | ||||||||||||||||
Weighted average SSAR exercise prices per share: | |||||||||||||||||
Granted | $ | 52.96 | |||||||||||||||
Exercised | 33.74 | ||||||||||||||||
Canceled or forfeited | 49.86 | ||||||||||||||||
Outstanding at December 31 | 46.35 | ||||||||||||||||
Schedule Of SSAR Exercise Price Range, Number Of Shares, Weighted Average Exercise Price And Remaining Contractual Lives | ' | ||||||||||||||||
The following table sets forth the exercise price range, number of shares, weighted average exercise price, and remaining contractual lives by groups of similar price as of December 31, 2013: | |||||||||||||||||
SSARs Outstanding | SSARs Exercisable | ||||||||||||||||
Range of Exercise Prices | Number of | Weighted Average | Weighted Average | Exercisable as of December 31, 2013 | Weighted Average | ||||||||||||
Shares | Remaining | Exercise Price | Exercise Price | ||||||||||||||
Contractual Life | |||||||||||||||||
(Years) | |||||||||||||||||
$21.45 - $32.01 | 159,281 | 2.1 | $ | 21.87 | 157,656 | $ | 21.73 | ||||||||||
$33.65 - $44.55 | 132,025 | 3.1 | $ | 33.93 | 90,325 | $ | 33.9 | ||||||||||
$47.89 - $63.64 | 803,530 | 4.9 | $ | 53.24 | 216,725 | $ | 54.25 | ||||||||||
1,094,836 | 464,706 | $ | 39.26 | ||||||||||||||
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Derivative Instruments and Hedges, Assets [Abstract] | ' | ||||||||||||
Summary Of Accumulated Other Comprehensive Loss Related To Derivatives | ' | ||||||||||||
The following table summarizes the activity in accumulated other comprehensive loss related to the derivatives held by the Company during the years ended December 31, 2013, 2012 and 2011 (in millions): | |||||||||||||
Before-Tax | Income | After-Tax | |||||||||||
Amount | Tax (1) | Amount (1) | |||||||||||
Accumulated derivative net gains as of December 31, 2010 | $ | 1.7 | $ | 0.5 | $ | 1.2 | |||||||
Net changes in fair value of derivatives | (1.5 | ) | (1.3 | ) | (0.2 | ) | |||||||
Net gains reclassified from accumulated other comprehensive loss into income | (5.6 | ) | (0.4 | ) | (5.2 | ) | |||||||
Accumulated derivative net losses as of December 31, 2011 | (5.4 | ) | (1.1 | ) | (4.3 | ) | |||||||
Net changes in fair value of derivatives | (2.0 | ) | 1.1 | (3.1 | ) | ||||||||
Net losses reclassified from accumulated other comprehensive loss into income | 8.5 | 0.4 | 8.1 | ||||||||||
Accumulated derivative net gains as of December 31, 2012 | 1.1 | 0.4 | 0.7 | ||||||||||
Net changes in fair value of derivatives | (2.1 | ) | (0.7 | ) | (1.4 | ) | |||||||
Net losses reclassified from accumulated other comprehensive loss into income | 0.7 | 0.2 | 0.5 | ||||||||||
Accumulated derivative net losses as of December 31, 2013 | $ | (0.3 | ) | $ | (0.1 | ) | $ | (0.2 | ) | ||||
____________________________________ | |||||||||||||
-1 | Rounding may impact summation of amounts. | ||||||||||||
Fair Value Of Derivative Instruments | ' | ||||||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2013 (in millions): | |||||||||||||
Asset Derivatives as of December 31, 2013 | Liability Derivatives as of December 31, 2013 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | — | Other current liabilities | $ | 0.1 | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 13.9 | Other current liabilities | 5.3 | |||||||||
Total derivative instruments | $ | 13.9 | $ | 5.4 | |||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2012 (in millions): | |||||||||||||
Asset Derivatives as of December 31, 2012 | Liability Derivatives as of December 31, 2012 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | 1.5 | Other current liabilities | $ | — | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 5.5 | Other current liabilities | 5.1 | |||||||||
Total derivative instruments | $ | 7 | $ | 5.1 | |||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of future payments required for significant commitments | ' | |||||||||||||||||||||||||||
The future payments required under the Company’s significant commitments as of December 31, 2013 are as follows (in millions): | ||||||||||||||||||||||||||||
Payments Due By Period | ||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | ||||||||||||||||||||||
Interest payments related to indebtedness(1) | $ | 36.7 | $ | 34.9 | $ | 26 | $ | 17.8 | $ | 17.8 | $ | 48.9 | $ | 182.1 | ||||||||||||||
Capital lease obligations | 2.7 | 1.8 | 0.7 | 0.3 | — | — | 5.5 | |||||||||||||||||||||
Operating lease obligations | 48.8 | 35.3 | 25 | 13.6 | 12 | 45.4 | 180.1 | |||||||||||||||||||||
Unconditional purchase obligations(2) | 142.9 | 16.7 | 11.9 | 5 | 4.9 | — | 181.4 | |||||||||||||||||||||
Other short-term and long-term obligations(3) | 107.7 | 38.2 | 33.9 | 31.1 | 69.5 | 151.2 | 431.6 | |||||||||||||||||||||
Total contractual cash obligations | $ | 338.8 | $ | 126.9 | $ | 97.5 | $ | 67.8 | $ | 104.2 | $ | 245.5 | $ | 980.7 | ||||||||||||||
____________________________________ | ||||||||||||||||||||||||||||
-1 | Estimated interest payments are calculated assuming current interest rates over minimum maturity periods specified in debt agreements. Debt may be repaid sooner or later than such minimum maturity periods (unaudited). | |||||||||||||||||||||||||||
-2 | Unconditional purchase obligations exclude routine purchase orders entered into in the normal course of business. | |||||||||||||||||||||||||||
-3 | Other short-term and long-term obligations include estimates of future minimum contribution requirements under the Company’s U.S. and non-U.S. defined benefit pension and postretirement plans. These estimates are based on current legislation in the countries the Company operates within and are subject to change. Other short-term and long-term obligations also include income tax liabilities related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions (unaudited). | |||||||||||||||||||||||||||
Schedule of guarantor obligations | ' | |||||||||||||||||||||||||||
Amount of Commitment Expiration Per Period | ||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2017 | 2018 | Thereafter | Total | ||||||||||||||||||||||
Guarantees | $ | 166.5 | $ | 2.7 | $ | 1.6 | $ | 0.7 | $ | 0.1 | $ | — | $ | 171.6 | ||||||||||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Sales Information By Reportable Segments | ' | ||||||||||||||||||||
Segment results for the years ended December 31, 2013, 2012 and 2011 based on the Company’s current reportable segments are as follows (in millions): | |||||||||||||||||||||
Years Ended December 31, | North | South | Europe/Africa/ | Asia/Pacific | Consolidated | ||||||||||||||||
America | America | Middle East | |||||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $2,757.80 | $2,039.70 | $5,481.50 | $507.90 | $10,786.90 | ||||||||||||||||
Income from operations | 325.9 | 212.7 | 558.2 | 0.5 | 1,097.30 | ||||||||||||||||
Depreciation | 51.4 | 24.6 | 126.6 | 9 | 211.6 | ||||||||||||||||
Assets | 1,002.80 | 773.5 | 2,368.90 | 289.5 | 4,434.70 | ||||||||||||||||
Capital expenditures | 73.4 | 66.4 | 204.5 | 47.5 | 391.8 | ||||||||||||||||
2012 | |||||||||||||||||||||
Net sales | $2,584.40 | $1,855.70 | $5,073.70 | $448.40 | $9,962.20 | ||||||||||||||||
Income from operations | 259.9 | 161.6 | 474.9 | 10.2 | 906.6 | ||||||||||||||||
Depreciation | 41.5 | 22.7 | 107 | 9.4 | 180.6 | ||||||||||||||||
Assets | 907.4 | 674.9 | 2,114.20 | 295.8 | 3,992.30 | ||||||||||||||||
Capital expenditures | 64 | 48.3 | 211.6 | 16.6 | 340.5 | ||||||||||||||||
2011 | |||||||||||||||||||||
Net sales | $1,770.60 | $1,871.50 | $4,847.20 | $283.90 | $8,773.20 | ||||||||||||||||
Income from operations | 90.9 | 143.1 | 486.9 | 23.9 | 744.8 | ||||||||||||||||
Depreciation | 28.5 | 20 | 99.6 | 3.8 | 151.9 | ||||||||||||||||
Assets | 861.4 | 585.5 | 1,967.20 | 215.7 | 3,629.80 | ||||||||||||||||
Capital expenditures | 59.3 | 40.4 | 189.7 | 11 | 300.4 | ||||||||||||||||
Income From Operations And Total Assets | ' | ||||||||||||||||||||
A reconciliation from the segment information to the consolidated balances for income from operations and total assets is set forth below (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Segment income from operations | $ | 1,097.30 | $ | 906.6 | $ | 744.8 | |||||||||||||||
Corporate expenses | (116.2 | ) | (107.1 | ) | (90.6 | ) | |||||||||||||||
Stock compensation | (32.6 | ) | (34.6 | ) | (23.0 | ) | |||||||||||||||
Restructuring and other infrequent income | — | — | 0.7 | ||||||||||||||||||
Impairment charge | — | (22.4 | ) | — | |||||||||||||||||
Amortization of intangibles | (47.8 | ) | (49.3 | ) | (21.6 | ) | |||||||||||||||
Consolidated income from operations | $ | 900.7 | $ | 693.2 | $ | 610.3 | |||||||||||||||
Segment assets | $ | 4,434.70 | $ | 3,992.30 | $ | 3,629.80 | |||||||||||||||
Cash and cash equivalents | 1,047.20 | 781.3 | 724.4 | ||||||||||||||||||
Receivables from affiliates | 124.3 | 41.5 | 122.9 | ||||||||||||||||||
Investments in affiliates | 416.1 | 390.3 | 346.3 | ||||||||||||||||||
Deferred tax assets, other current and noncurrent assets | 672.2 | 716.9 | 572.8 | ||||||||||||||||||
Intangible assets, net | 565.6 | 607.1 | 666.5 | ||||||||||||||||||
Goodwill | 1,178.70 | 1,192.40 | 1,194.50 | ||||||||||||||||||
Consolidated total assets | $ | 8,438.80 | $ | 7,721.80 | $ | 7,257.20 | |||||||||||||||
Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area | ' | ||||||||||||||||||||
Net sales by customer location for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
United States | $ | 2,216.50 | $ | 2,033.10 | $ | 1,363.70 | |||||||||||||||
Canada | 419.4 | 415.9 | 315.6 | ||||||||||||||||||
Germany | 1,301.00 | 1,114.40 | 1,067.30 | ||||||||||||||||||
France | 1,136.80 | 944.3 | 825.1 | ||||||||||||||||||
United Kingdom and Ireland | 471.8 | 481 | 449.5 | ||||||||||||||||||
Finland and Scandinavia | 828.5 | 790.2 | 835.4 | ||||||||||||||||||
Other Europe | 1,422.60 | 1,421.00 | 1,403.20 | ||||||||||||||||||
South America | 2,018.50 | 1,834.20 | 1,851.00 | ||||||||||||||||||
Middle East and Africa | 320.7 | 322.9 | 266.7 | ||||||||||||||||||
Asia | 293.1 | 232.4 | 96.6 | ||||||||||||||||||
Australia and New Zealand | 214.8 | 216 | 187.3 | ||||||||||||||||||
Mexico, Central America and Caribbean | 143.2 | 156.8 | 111.8 | ||||||||||||||||||
$ | 10,786.90 | $ | 9,962.20 | $ | 8,773.20 | ||||||||||||||||
Revenue from External Customers by Products and Services | ' | ||||||||||||||||||||
Net sales by product for the years ended December 31, 2013, 2012 and 2011 were as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | 2011 | |||||||||||||||||||
Net sales: | |||||||||||||||||||||
Tractors | $ | 6,491.10 | $ | 5,882.40 | $ | 5,779.60 | |||||||||||||||
Replacement parts | 1,349.10 | 1,286.70 | 1,275.10 | ||||||||||||||||||
Other machinery | 1,001.00 | 963.2 | 723.8 | ||||||||||||||||||
Grain storage and protein production systems | 771.9 | 728.5 | 38.7 | ||||||||||||||||||
Combines | 652.8 | 638.9 | 610.8 | ||||||||||||||||||
Application equipment | 521 | 462.5 | 345.2 | ||||||||||||||||||
$ | 10,786.90 | $ | 9,962.20 | $ | 8,773.20 | ||||||||||||||||
Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country | ' | ||||||||||||||||||||
Property, plant and equipment and amortizable intangible assets by country as of December 31, 2013 and 2012 was as follows (in millions): | |||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||
United States | $ | 634.4 | $ | 624.8 | |||||||||||||||||
Finland | 221.3 | 199.5 | |||||||||||||||||||
Germany | 498.1 | 458.2 | |||||||||||||||||||
Brazil | 218.4 | 234 | |||||||||||||||||||
Italy | 117.6 | 97.4 | |||||||||||||||||||
China | 112.3 | 65.5 | |||||||||||||||||||
France | 87.3 | 70.4 | |||||||||||||||||||
Other | 184.8 | 171.2 | |||||||||||||||||||
$ | 2,074.20 | $ | 1,921.00 | ||||||||||||||||||
Operations_and_Summary_of_Sign3
Operations and Summary of Significant Accounting Policies (Details) | 12 Months Ended | 12 Months Ended | 12 Months Ended | ||||||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2006 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2011 | Jan. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 |
USD ($) | USD ($) | USD ($) | USD ($) | Equipment Sales | Large Seasonal Products | Replacement Parts | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Maximum | Maximum | GIMA | GIMA | GIMA | Rabobank | AGCO-Amity JV | Santal | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | North America | |
United States and Canada | United States and Canada | United States and Canada | Equipment Sales | Replacement Parts | Equipment Sales | Large Seasonal Products | Large Seasonal Products | Replacement Parts | Corporate Joint Venture | Co-venturer | |||||||||||||||
International | International | International | International | International | EUR (€) | ||||||||||||||||||||
Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Independent Dealers and Distributors | 3,100 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Ownership percentage | ' | ' | ' | ' | ' | ' | ' | 20.00% | ' | ' | ' | ' | ' | ' | ' | 50.00% | 50.00% | 50.00% | ' | ' | ' | ' | ' | ' | ' |
Investment in affiliates | $416.10 | $390.30 | $346.30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | € 4.20 | ' | ' | ' | ' | ' | ' | ' |
Ownership interest of controlling interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 51.00% | ' | ' | ' | ' | ' | ' |
Business Acquisition, Percentage of Voting Interests Acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | 61.00% | ' | ' | ' | ' |
Time period in which remaining installment balance is generally due | '12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue Recognition [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Income Period On Installment Agreements | ' | ' | ' | ' | ' | ' | ' | '6 months | ' | ' | '12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payment period on product sales | ' | ' | ' | ' | '12 months | '6 months | '30 days | '1 month | '30 days | '30 days | '12 months | '180 days | ' | '6 months | '90 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Free Period on Receivables | ' | ' | ' | ' | ' | ' | ' | '1 month | ' | ' | '12 months | ' | '23 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash and Cash Equivalents [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash | 465.2 | 403.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash Equivalents, at Carrying Value | 582 | 377.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent of Total Sales | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.60% |
Percentage of net sales with maximum interest-free periods ranging from one to six months | 20.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of net sales with maximum interest-free periods ranging from seven to twelve months | 4.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of net sales with maximum interest-free periods ranging from thirteen to twenty-three months | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.8 | 0.6 | 0.3 | ' |
Impairment charge | 0 | 22.4 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Impaired, Accumulated Impairment Loss | ' | 180.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Impairment Loss | ' | 9.1 | ' | 171.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Subsequent Recognition of Deferred Tax Asset | $8 | $7.80 | $9.10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operations_and_Summary_of_Sign4
Operations and Summary of Significant Accounting Policies - Accounts and Notes Receivable (Details) (USD $) | 12 Months Ended | 12 Months Ended | |||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |||
Allowance for Promotions | Allowance for Promotions | Allowance for Promotions | Allowance for Promotions | Allowance for Doubtful Accounts | Allowance for Doubtful Accounts | Allowance for Doubtful Accounts | Allowance for Doubtful Accounts | Sales incentive discounts | Sales incentive discounts | Sales incentive discounts | Sales incentive discounts | Sales incentive discounts | Sales incentive discounts | Accrued Expense | Accrued Expense | North America | |||||
Allowance for Promotions | Allowance for Promotions | Allowance for Doubtful Accounts | Allowance for Doubtful Accounts | Allowance for Promotions | Allowance for Promotions | ||||||||||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percent of Total Sales | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25.60% | |||
Percentage of net sales with maximum interest-free periods ranging from one to six months | 20.80% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percentage of net sales with maximum interest-free periods ranging from seven to twelve months | 4.30% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Percentage of net sales with maximum interest-free periods ranging from thirteen to twenty-three months | 0.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Valuation Allowance, Amount | ' | $236.60 | [1] | $165.20 | [1] | $103.50 | [1] | $98.70 | $34.90 | $38.10 | $36.90 | $29.30 | $65.30 | $59.60 | $30.40 | $21.50 | $34.90 | $38.10 | $206.20 | $143.70 | ' |
[1] | As of December 31, 2013, approximately $206.2 million of this balance was recorded within “Accrued expenses†and approximately $30.4 million was recorded within “accounts receivable allowances†in the Company’s Consolidated Balance Sheets. As of December 31, 2012, approximately $143.7 million of this balance was recorded within “Accrued expenses†and approximately $21.5 million was recorded within “accounts receivable allowances†in the Company’s Consolidated Balance Sheets. |
Operations_and_Summary_of_Sign5
Operations and Summary of Significant Accounting Policies - Inventories (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Operations and Summary of Significant Accounting Policies [Abstract] | ' | ' |
Inventory Valuation Reserves | $119.90 | $99.20 |
Inventory, Net [Abstract] | ' | ' |
Finished goods | 775.7 | 598.5 |
Repair and replacement parts | 550.2 | 505.6 |
Work in process | 109 | 137.5 |
Raw materials | 581.2 | 461.5 |
Inventories, net | $2,016.10 | $1,703.10 |
Operations_and_Summary_of_Sign6
Operations and Summary of Significant Accounting Policies - Property Plant and Equipment (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
In Millions, unless otherwise specified | Land | Land | Buildings and Improvements | Buildings and Improvements | Machinery and Equipment | Machinery and Equipment | Furniture and Fixtures | Furniture and Fixtures | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | ||
Buildings and Improvements | Machinery and Equipment | Furniture and Fixtures | Buildings and Improvements | Machinery and Equipment | Furniture and Fixtures | |||||||||||
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, Plant and Equipment, Useful Life | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | '3 years | '3 years | '40 years | '15 years | '10 years |
Property, Plant and Equipment [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gross property, plant and equipment | $2,964.80 | $2,579.60 | $109.30 | $100.10 | $714.80 | $618.80 | $1,852 | $1,616.20 | $288.70 | $244.50 | ' | ' | ' | ' | ' | ' |
Accumulated depreciation and amortization | -1,362.50 | -1,173.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, plant and equipment, net | $1,602.30 | $1,406.10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operations_and_Summary_of_Sign7
Operations and Summary of Significant Accounting Policies - Goodwill and Other Intangible Assets (Details) (USD $) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2006 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
country | North America | North America | North America | South America | South America | South America | Europe/ Africa/ Middle East | Europe/ Africa/ Middle East | Europe/ Africa/ Middle East | Asia/ Pacific | Asia/ Pacific | Asia/ Pacific | Technology and Patents | Technology and Patents | Technology and Patents | Customer Relationships | Customer Relationships | Customer Relationships | Land Use Rights | Land Use Rights | Land Use Rights | Trademarks and Trade Names | Trademarks and Trade Names | Trademarks and Trade Names | Trademarks and Trade Names | Trademarks and Trade Names | Trademarks and Trade Names | Valtra Brand | Minimum | Minimum | Maximum | ||||
country | Massey Ferguson | ||||||||||||||||||||||||||||||||||
country | |||||||||||||||||||||||||||||||||||
Goodwill [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill Beginning of Period | $1,192.40 | $1,194.50 | $632.70 | ' | $416.70 | $415.90 | $3.10 | $219.30 | $212.20 | $196.70 | $498.30 | $496.80 | $432.90 | $58.10 | $69.60 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Acquired During Period | 7.3 | 26.1 | 605.7 | ' | 7.3 | 0.8 | 412.8 | 0 | 29 | 38.3 | 0 | 0 | 85.3 | 0 | -3.7 | 69.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impairment charge | ' | -9.1 | ' | -171.4 | ' | 0 | ' | ' | 0 | ' | ' | 0 | ' | ' | -9.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill Adjustments Related To Income Taxes | -8 | -7.8 | -9.1 | ' | 0 | 0 | 0 | 0 | 0 | 0 | -8 | -7.8 | -9.1 | 0 | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill, Foreign Currency Translation | -13 | -11.3 | -34.8 | ' | 0 | 0 | 0 | -28.6 | -21.9 | -22.8 | 16.3 | 9.3 | -12.3 | -0.7 | 1.3 | 0.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill End of Period | 1,178.70 | 1,192.40 | 1,194.50 | ' | 424 | 416.7 | 415.9 | 190.7 | 219.3 | 212.2 | 506.6 | 498.3 | 496.8 | 57.4 | 58.1 | 69.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Finite-Lived Intangible Asset, Useful Life Range | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | '50 years |
Finite-Lived Intangible Assets, Useful Life | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '13 years | ' | ' | '14 years | ' | ' | '47 years | ' | ' | '5 years | '21 years | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization of intangibles | 47.8 | 49.3 | 21.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | 3 | ' | 38.4 | 39.4 | ' | 0.2 | 0.2 | ' | ' | 6.2 | 6.7 | ' | ' | ' | ' | ' | ' | ' |
Future Amortization Expense | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2014 | 39.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 39.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 38.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 38.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | 38.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number Of Countries Where Products Sold | 140 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50 | ' | 140 | ' |
Finite-lived Intangible Assets [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Finite-Lived Intangible Assets, Beginning Of Period | 723 | 723.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 87.6 | 85.7 | ' | 507.8 | 511.4 | ' | 8.7 | 8.6 | ' | 118.1 | 118.9 | 118.1 | ' | ' | ' | ' | ' | ' | ' |
Intangible assets acquired | 6 | 2.6 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 1.1 | ' | 0 | 0 | ' | 6 | 0 | ' | ' | 0 | 1.5 | ' | ' | ' | ' | ' | ' | ' |
Finite Lived Intangible Assets Foreign Currency Translation | -3.7 | -3.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.5 | 0.8 | ' | -5.1 | -3.6 | ' | 0.2 | 0.1 | ' | ' | -0.3 | -0.7 | ' | ' | ' | ' | ' | ' | ' |
Finite-Lived Intangible Assets, End Of Period | 725.3 | 723 | 723.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 89.1 | 87.6 | ' | 502.7 | 507.8 | ' | 14.9 | 8.7 | ' | ' | 118.6 | 118.9 | ' | ' | ' | ' | ' | ' | ' |
Finite-Lived Intangible Assets, Accumulated Amortization | 253.4 | 208.1 | 148.7 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 59 | 54.1 | 50.3 | 160.7 | 126.6 | 85.3 | 2.7 | 2.5 | 0 | ' | 31 | 24.9 | 13.1 | ' | ' | ' | ' | ' | ' |
Finite Lived Intangible Assets, Accumulated Amortization, Foreign Currency Translation | -2.5 | -3.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.9 | 0.8 | ' | -4.3 | -3.5 | ' | 0 | 0 | ' | ' | -0.1 | -0.5 | ' | ' | ' | ' | ' | ' | ' |
Impairment charge | ' | 13.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | 5.4 | ' | ' | 2.3 | ' | ' | ' | 5.6 | ' | ' | ' | ' | ' | ' | ' |
Indefinite-lived Intangible Assets [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Indefinite-lived Intangible Assets, Beginning Of Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 92.2 | 91.4 | ' | ' | ' | ' |
Indefinite-lived Intangible Assets, Foreign Currency Translation | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.5 | 0.8 | ' | ' | ' | ' |
Indefinite-lived Intangible Assets, End Of Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $93.70 | $92.20 | ' | ' | ' | ' |
Operations_and_Summary_of_Sign8
Operations and Summary of Significant Accounting Policies - Accrued Expense and Reserves (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Operations and Summary of Significant Accounting Policies [Abstract] | ' | ' | ' |
Reserve for volume discounts and sales incentives | $499.80 | $403.90 | ' |
Warranty Reserves | 255.9 | 223.9 | ' |
Accrued employee compensation and benefits | 276.9 | 249.7 | ' |
Accrued taxes | 167.3 | 169.3 | ' |
Other | 189.3 | 179.7 | ' |
Accrued Expenses | 1,389.20 | 1,226.50 | ' |
Movement in Standard Product Warranty Accrual [Roll Forward] | ' | ' | ' |
Warranty reserves, beginning of period | 256.9 | 240.5 | 199.5 |
Product Warranty Accrual, Acquisitions | 0 | 0.1 | 7.2 |
Product Warranty Accrual, Accruals for warranties issued during the year | 200.3 | 184.5 | 195.1 |
Product Warranty Accrual, Settlements made (in cash or in kind) during the year | -165.7 | -171.7 | -152.6 |
Product Warranty Accrual, Foreign Currency Translation | 3.4 | 3.5 | -8.7 |
Warranty reserves, end of period | 294.9 | 256.9 | 240.5 |
Standard Product Warranty Period Minimum | '1 year | ' | ' |
Standard Product Warranty Period Maximum | '4 years | ' | ' |
Standard Product Warranty Accrual, Noncurrent | $39 | $33 | ' |
Operations_and_Summary_of_Sign9
Operations and Summary of Significant Accounting Policies - Stock Compensation Allocation (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Allocated Share-based Compensation Expense | $34.90 | $37 | $24.60 |
Cost of Goods Sold | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Allocated Share-based Compensation Expense | 2.3 | 2.4 | 1.6 |
Selling, General and Administrative Expenses | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Allocated Share-based Compensation Expense | $32.60 | $34.60 | $23 |
Recovered_Sheet1
Operations and Summary of Significant Accounting Policies - Expenses (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Advertising Expense | $60.50 | $60.20 | $50.10 |
Interest Income (Expense), Net [Abstract] | ' | ' | ' |
Interest expense | 78.8 | 77.7 | 59 |
Interest Income | -20.8 | -20.1 | -28.8 |
Interest Expense, Net | 58 | 57.6 | 30.2 |
Selling, General and Administrative Expenses | ' | ' | ' |
Shipping and Handling Costs | $29.30 | $31 | $29.90 |
Recovered_Sheet2
Operations and Summary of Significant Accounting Policies - Earnings Per Share (Details) (USD $) | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share, Basic [Abstract] | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | $597.20 | $522.10 | $583.30 |
Weighted Average Number of Common Shares Outstanding, Basic | 97.3 | 97.1 | 95.6 |
Basic net income per share attributable to AGCO Corporation and subsidiaries | $6.14 | $5.38 | $6.10 |
Diluted net income per share: | ' | ' | ' |
Dilutive stock options, SSARs, performance share awards and restricted stock awards | 0.8 | 1 | 0.6 |
Weighted average assumed conversion of contingently convertible senior subordinated notes | 1.3 | 0.5 | 1.9 |
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted income per share | 99.4 | 98.6 | 98.1 |
Diluted net income per share attributable to AGCO and subsidiaries | $6.01 | $5.30 | $5.95 |
Stock Appreciation Rights (SARs) | ' | ' | ' |
Diluted net income per share: | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.8 | 0.6 | 0.3 |
1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | ' | ' | ' |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Debt principal amount | $201.20 | $201.30 | ' |
Recovered_Sheet3
Operations and Summary of Significant Accounting Policies - Comprehensive Income (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Net gain (loss) on derivatives, after tax | ($0.90) | $5 | ($5.40) | |||
Net changes in fair value of derivatives | -1.4 | [1] | -3.1 | [1] | -0.2 | [1] |
Net gain on derivatives held by affiliatess, after fax | 0 | 0 | 2.5 | |||
Foreign currency translation adjustment, after tax | -87.2 | -62.7 | -204.6 | |||
Other comprehensive loss, net of reclassification adjustments | -31.6 | -80.4 | -268.6 | |||
Parent | ' | ' | ' | |||
Defined benefit pension plans, before Tax | 75.8 | -32.5 | -76 | |||
Defined benefit pension plans, tax | -19.3 | 9.8 | 14.9 | |||
Defined benefit pension plans, after tax | 56.5 | -22.7 | -61.1 | |||
Net gain (loss) on derivatives, before tax | -1.4 | 6.5 | -7.1 | |||
Net gain (loss) on derivatives, tax | 0.5 | -1.5 | 1.7 | |||
Net gain (loss) on derivatives, after tax | -0.9 | 5 | -5.4 | |||
Unrealized gain on derivatives held by affiliates, before tax | ' | ' | 2.5 | |||
Unrealized gain on derivatives held by affiliates, tax | ' | ' | 0 | |||
Net gain on derivatives held by affiliatess, after fax | ' | ' | 2.5 | |||
Foreign currency translation adjustment, before tax | -86.9 | -61.1 | -204.5 | |||
Foreign currency translation adjustment, tax | 0 | 0 | 0 | |||
Foreign currency translation adjustment, after tax | -86.9 | -61.1 | -204.5 | |||
Total components of other comprehensive income (Loss), before tax | -12.5 | -87.1 | -285.1 | |||
Total components of other comprehensive income (Loss), tax | -18.8 | 8.3 | 16.6 | |||
Other comprehensive loss, net of reclassification adjustments | -31.3 | -78.8 | -268.5 | |||
Noncontrolling Interests | ' | ' | ' | |||
Defined benefit pension plans, after tax | 0 | 0 | 0 | |||
Net changes in fair value of derivatives | 0 | 0 | 0 | |||
Net gain on derivatives held by affiliatess, after fax | ' | ' | 0 | |||
Foreign currency translation adjustment, after tax | -0.3 | -1.6 | -0.1 | |||
Other comprehensive loss, net of reclassification adjustments | ($0.30) | ($1.60) | ($0.10) | |||
[1] | Rounding may impact summation of amounts. |
Recovered_Sheet4
Operations and Summary of Significant Accounting Policies - Financial Instruments (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
5 7/8% Senior Notes due 2021 | ' | ' |
Long-term Debt, Listed Market Values | $322.10 | $327.20 |
Long-term Debt, Carrying Values | 300 | 300 |
1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | ' | ' |
Long-term Debt, Listed Market Values | 290.5 | 250.6 |
Long-term Debt, Carrying Values | $201.20 | $192.10 |
Acquisitions_Narrative_Details
Acquisitions (Narrative) (Details) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | ||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jan. 31, 2012 | Jan. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Nov. 30, 2011 | Dec. 31, 2011 | Nov. 30, 2011 | Nov. 30, 2011 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | |
USD ($) | USD ($) | USD ($) | Santal | Santal | Santal | Santal | GSI Holdings Corp. | GSI Holdings Corp. | Dafeng | Dafeng | Dafeng | 5 7/8% Senior Notes due 2021 | 5 7/8% Senior Notes due 2021 | 5 7/8% Senior Notes due 2021 | |
USD ($) | BRL | USD ($) | USD ($) | USD ($) | USD ($) | CNY | USD ($) | USD ($) | USD ($) | GSI Holdings Corp. | |||||
USD ($) | |||||||||||||||
Company acquired, percent | ' | ' | ' | 61.00% | 61.00% | ' | ' | ' | ' | 98.00% | 98.00% | ' | ' | ' | ' |
Payments to Acquire Businesses, Net of Cash Acquired | $9,500,000 | $2,900,000 | $1,018,000,000 | $20,100,000 | 36,700,000 | ' | ' | $932,200,000 | ' | $26,900,000 | 171,700,000 | ' | ' | ' | ' |
Cash acquired, net | ' | ' | ' | ' | 11,900,000 | ' | ' | 27,900,000 | ' | 17,100,000 | ' | ' | ' | ' | ' |
Goodwill, Acquired During Period | 7,300,000 | 26,100,000 | 605,700,000 | ' | ' | 28,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Intangible assets acquired | 6,000,000 | 2,600,000 | ' | 2,600,000 | ' | 2,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from issuance of Senior Notes used for acquisition | ' | ' | ' | ' | ' | ' | ' | ' | 300,000,000 | ' | ' | ' | ' | ' | ' |
Deferred income tax provision (benefit) | 21,700,000 | -36,400,000 | -127,600,000 | ' | ' | ' | ' | ' | 149,300,000 | ' | ' | ' | ' | ' | ' |
Indebtedness of Company acquired | ' | ' | ' | ' | ' | ' | ' | ' | ' | 41,100,000 | ' | ' | ' | ' | ' |
Impairment charge | 0 | 22,400,000 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | 22,400,000 | ' | ' | ' |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | ' | ' | ' | ' | ' | ' | 39.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Senior Notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $300,000,000 | $300,000,000 | $300,000,000 |
Acquisitions_Schedule_Of_Acqui
Acquisitions (Schedule Of Acquired Other Identifiable Intangible Assets) (Details) (USD $) | 1 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Jan. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
Intangible assets acquired | ' | $6 | $2.60 |
Trademarks and Trade Names | ' | ' | ' |
Intangible assets acquired | ' | 0 | 1.5 |
Intangible assets acquired, weighted average useful life, in years | '5 years | '21 years | ' |
Patents | ' | ' | ' |
Intangible assets acquired, weighted average useful life, in years | '5 years | ' | ' |
Santal | ' | ' | ' |
Intangible assets acquired | 2.6 | ' | 2.6 |
Santal | Trademarks and Trade Names | ' | ' | ' |
Intangible assets acquired | 1.5 | ' | ' |
Santal | Patents | ' | ' | ' |
Intangible assets acquired | 1.1 | ' | ' |
Acquisitions_Schedule_of_Purch
Acquisitions (Schedule of Purchase Price Allocation) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Nov. 30, 2011 |
In Millions, unless otherwise specified | GSI Holdings Corp. | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' | $216 |
Property, plant and equipment | ' | ' | ' | ' | 69.6 |
Intangible assets | ' | ' | ' | ' | 438.5 |
Goodwill | 1,178.70 | 1,192.40 | 1,194.50 | 632.7 | 535.7 |
Other noncurrent assets | ' | ' | ' | ' | 2.1 |
Total assets acquired | ' | ' | ' | ' | 1,261.90 |
Current liabilities | ' | ' | ' | ' | 133.6 |
Deferred tax liabilities | ' | ' | ' | ' | 162.8 |
Long-term debt and other noncurrent liabilities | ' | ' | ' | ' | 5.4 |
Total liabilities assumed | ' | ' | ' | ' | 301.8 |
Net assets acquired | ' | ' | ' | ' | $960.10 |
Acquisitions_Summarized_Data_O
Acquisitions (Summarized Data Of the Result Of Operations) (Details) (USD $) | 12 Months Ended |
In Millions, except Per Share data, unless otherwise specified | Dec. 31, 2011 |
Business Combinations [Abstract] | ' |
Net sales | $9,479.10 |
Net income attributable to AGCO Corporation and subsidiaries | $629.50 |
Net income per common share attributable to AGCO Corporation and subsidaries [Abstract] | ' |
Basic (in dollars per share) | $6.58 |
Diluted (in dollars per share) | $6.42 |
Accounts_Receivable_Sales_Agre1
Accounts Receivable Sales Agreements (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Loss on sales of receivables | $25,600,000 | $21,800,000 | $22,000,000 |
Outstanding funding received from receivable securitization | 68,200,000 | 100,600,000 | ' |
United States, Canada and Europe | ' | ' | ' |
Cash received from receivables sold | $1,300,000,000 | $1,100,000,000 | ' |
Rabobank | ' | ' | ' |
Ownership percentage | 49.00% | ' | ' |
Investments_in_Affiliates_Deta
Investments in Affiliates (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Investment in affiliates | $416.10 | $390.30 | $346.30 |
Equity in net earnings of affiliates | 48.2 | 53.5 | 48.9 |
Equity Method Investment, Summarized Financial Information [Abstract] | ' | ' | ' |
Total assets | 9,442.70 | 8,474.80 | ' |
Total liabilities | 8,646.30 | 7,751.60 | ' |
Partners’ equity | 796.4 | 723.2 | ' |
Equity Method Investment, Summarized Financial Information, Income Statement [Abstract] | ' | ' | ' |
Revenues | 389.2 | 377.8 | 364.2 |
Costs | 239.4 | 226.5 | 220.5 |
Income before income taxes | 149.8 | 151.3 | 143.7 |
Receivables from affiliates | 124.3 | 41.5 | 122.9 |
Undistributed earnings | 276.3 | 246 | ' |
Retail Finance Joint Venture | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Investment in affiliates | 390.2 | 354.4 | ' |
Equity in net earnings of affiliates | 48.8 | 48.6 | 43.6 |
Manufacturing Joint Ventures | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Investment in affiliates | 16.1 | 20.7 | ' |
Other Joint Ventures | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Investment in affiliates | 9.8 | 15.2 | ' |
Manufacturing and Other Joint Ventures | ' | ' | ' |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' |
Equity in net earnings of affiliates | ($0.60) | $4.90 | $5.30 |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Income Taxes [Line Items] | ' | ' | ' |
Undistributed earnings of foreign subsidiaries | $3,100,000,000 | ' | ' |
Change in valuation allowance | 9,300,000 | -64,300,000 | -150,700,000 |
Income Tax Reconciliation, Tax Credits, Research | ' | 13,100,000 | ' |
Deferred Tax Assets, Net | 9,700,000 | 41,200,000 | ' |
Valuation allowance | 77,200,000 | 74,500,000 | ' |
Net operating loss carryforwards | 334,900,000 | ' | ' |
Net operating loss carryforwards not subject to expiration | 231,000,000 | ' | ' |
Income taxes paid | 174,500,000 | 147,700,000 | 116,400,000 |
Unrecognized income tax benefits that would affect effective tax rate | 122,200,000 | 94,500,000 | ' |
Accrued or deferred taxes relating to uncertain income tax positions | 61,900,000 | 23,500,000 | ' |
Accrued interest and penalties related to unrecognized tax benefits | 2,300,000 | 3,800,000 | ' |
Accrued interest and penalties relating to unrecognized tax benefits | 14,400,000 | 11,900,000 | ' |
UNITED STATES | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Change in valuation allowance | ' | 13,800,000 | ' |
Foreign | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Net operating loss carryforwards | 334,900,000 | ' | ' |
2014 | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Net operating loss carryforwards, by expiration date | 0 | ' | ' |
2015 | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Net operating loss carryforwards, by expiration date | 8,700,000 | ' | ' |
2016 | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Net operating loss carryforwards, by expiration date | 95,200,000 | ' | ' |
UNITED STATES | ' | ' | ' |
Income Taxes [Line Items] | ' | ' | ' |
Change in valuation allowance | ' | 54,700,000 | ' |
Change in valuation allowance | ' | ' | $149,300,000 |
Income_Taxes_Schedule_of_Incom
Income Taxes (Schedule of Income before Income Tax, Domestic and Foreign) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Sources of income (loss) before income taxes and equity in net earnings of affiliates | ' | ' | ' |
United States | $133.10 | $98 | $1.60 |
Foreign | 669.5 | 502.8 | 559.4 |
Income before income taxes and equity in net earnings of affiliates | $802.60 | $600.80 | $561 |
Income_Taxes_Schedule_of_Compo
Income Taxes (Schedule of Components of Income Tax Expense (Benefit)) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Current: | ' | ' | ' |
United States - Federal | $9.20 | ($5.50) | ($6.10) |
United States - State | 9.9 | 2.8 | 0 |
Foreign | 217.7 | 177 | 158.3 |
Current income tax expense (benefit) | 236.8 | 174.3 | 152.2 |
Deferred: | ' | ' | ' |
United States - Federal | 30.2 | -27 | -148.9 |
United States - State | 0 | 0 | 0 |
Foreign | -8.5 | -9.4 | 21.3 |
Deferred income tax expense (benefit) | 21.7 | -36.4 | -127.6 |
Income tax provision | $258.50 | $137.90 | $24.60 |
Income_Taxes_Schedule_of_Effec
Income Taxes (Schedule of Effective Income Tax Rate Reconciliation) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Effective Income Tax Rate, Continuing Operations, Tax Rate Reconciliation [Abstract] | ' | ' | ' |
United States federal statutory rate | 35.00% | 35.00% | 35.00% |
Provision for income taxes at United States federal statutory rate of 35% | $280.90 | $210.30 | $196.30 |
State and local income taxes, net of federal income tax benefit | 5.6 | 3.9 | 1.4 |
Taxes on foreign income which differ from the United States statutory rate | -34.7 | -19.8 | -31.8 |
Tax effect of permanent differences | -7.6 | 11.5 | -5.8 |
Change in valuation allowance | 9.3 | -64.3 | -150.7 |
Change in tax contingency reserves | 25.7 | 20.8 | 23.1 |
Research and development tax credits | -19.9 | -26.3 | -7.7 |
Other | -0.8 | 1.8 | -0.2 |
Income tax provision | $258.50 | $137.90 | $24.60 |
Income_Taxes_Schedule_of_Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Deferred Tax Assets: | ' | ' |
Net operating loss carryforwards | $69.70 | $94.90 |
Sales incentive discounts | 68.7 | 55.8 |
Inventory valuation reserves | 29.4 | 27 |
Pensions and postretirement health care benefits | 69.7 | 102.4 |
Warranty and other reserves | 108.5 | 138.1 |
Research and development tax credits | 13.2 | 21 |
Other | 64 | 38.8 |
Total gross deferred tax assets | 423.2 | 478 |
Valuation allowance | -77.2 | -74.5 |
Total net deferred tax assets | 346 | 403.5 |
Deferred Tax Liabilities: | ' | ' |
Tax over book depreciation and amortization | 314.7 | 341 |
Other | 21.6 | 21.3 |
Total deferred tax liabilities | 336.3 | 362.3 |
Net deferred tax assets | 9.7 | 41.2 |
Amounts recognized in Consolidated Balance Sheets: | ' | ' |
Deferred tax assets - current | 241.2 | 243.5 |
Deferred tax assets - noncurrent | 24.4 | 40 |
Other current (liabilities) assets | -4.7 | 0.4 |
Deferred tax liabilities - noncurrent | -251.2 | -242.7 |
Net deferred tax assets | $9.70 | $41.20 |
Income_Taxes_Summary_of_Income
Income Taxes (Summary of Income Tax Contingencies) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Gross unrecognized tax benefits: | ' | ' |
Gross unrecognized income tax benefits, beginning of period | $94.50 | $71.10 |
Additions for tax positions of the current year | 34.7 | 18.5 |
Additions for tax positions of prior years | 3.6 | 7.3 |
Additions for tax positions related to acquisitions | 0 | 1.1 |
Reductions for tax positions of prior years for: | ' | ' |
Changes in judgments | -9 | 0.2 |
Settlements during the period | 0 | 0 |
Lapses of applicable statute of limitations | -3.6 | -5.2 |
Foreign currency translation | 2 | 1.5 |
Gross unrecognized income tax benefits, end of period | $122.20 | $94.50 |
Indebtedness_Narrative_Details
Indebtedness (Narrative) (Details) | 12 Months Ended | 12 Months Ended | 12 Months Ended | 12 Months Ended | 2 Months Ended | |||||||||||||||||||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 28, 2014 | |
USD ($) | USD ($) | USD ($) | Interest Accrual, Option Two | Interest Accrual, Option Three | Conversion Event, One | Conversion Event, Two | Minimum | Maximum | Revolving Credit Facility | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | 1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | 1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | 1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | 5 7/8% Senior Notes due 2021 | 5 7/8% Senior Notes due 2021 | 5 7/8% Senior Notes due 2021 | Term Loan Facility | Term Loan Facility | Variable Basis, Additional Margin | Variable Basis, Additional Margin | GSI Holdings Corp. | Subsequent Event | |
Interest Accrual, Option One | Interest Accrual, Option One | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | Maximum | USD ($) | USD ($) | USD ($) | Interest Accrual, Option Two | USD ($) | Future Periodic Payment | Minimum | Maximum | 5 7/8% Senior Notes due 2021 | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | ||||||||||
USD ($) | Interest Accrual, Option Three | Interest Accrual, Option Three | USD ($) | USD ($) | ||||||||||||||||||||||||
Debt Interest Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.50% | 4.50% | 4.50% | 1.25% | 1.25% | ' | ' | 1.75% | 1.75% | 5.88% | 5.88% | ' | ' | ' | ' | ' | ' | ' |
Effective interest rate | 6.10% | 6.10% | 6.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument Discount Amortization Period | 'December 2013 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash Payments for Interest | $66,400,000 | $70,000,000 | $47,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15-Dec-36 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes conversion price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $40.44 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Unamortized Discount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 9,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes, conversion rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24.7268 | ' | 31.9183 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes principal amount per note | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fundamental change, percentage of common stock | 50.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fundamental change, percentage of stock received | 90.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percent of closing sales price to conversion price | ' | ' | ' | ' | ' | 120.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Trading Price per Note as a Percentage of Closing Price of Common Stoc | ' | ' | ' | ' | ' | 98.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Lower limit for conversion rate adjustment, price per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $31.33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Upper limit for conversion rate adjustment, price per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $180 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional make whole shares at lower limit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 7.3658 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional make whole shares at upper limit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Trading period of qualifying event | ' | ' | ' | ' | ' | '20 days | '5 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Trading period in which qualifying event must occur | ' | ' | ' | ' | ' | '30 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Window for conversion | ' | ' | ' | ' | ' | ' | '5 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible notes converted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | ' | 161,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 49,600,000 |
Stock Issued During Period, Shares, Conversion of Convertible Securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 286 | ' | ' | 3,926,574 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 377,957 |
Excess conversion value of the notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | ' | 195,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21,900,000 |
Senior Notes | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 275,000,000 | 200,000,000 | 264,200,000 | ' | ' | ' | ' | ' | ' | 300,000,000 | 300,000,000 | ' | ' | ' | ' | ' | 300,000,000 | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | 600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 360,000,000 | ' | ' | ' | ' | ' |
Debt Instrument, Periodic Payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | 10,000,000 | ' | ' | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | ' | 0.50% | 1.00% | ' | ' | 1.00% | 2.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | ' | ' | 0.00% | 0.50% | ' | ' |
Line of Credit Facility, Remaining Borrowing Capacity | 600,000,000 | 515,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Credit Facility | 360,000,000 | 465,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding letters of credit | $16,700,000 | $15,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Indebtedness_Components_Of_Ind
Indebtedness (Components Of Indebtedness) (Details) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 |
USD ($) | USD ($) | 5 7/8% Senior Notes due 2021 | 5 7/8% Senior Notes due 2021 | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | Senior Unsecured Term Loan Due May 2, 2016, 4.5% | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | 1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | 1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | 1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | ||
USD ($) | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | ||||||
Debt Interest Rate | ' | ' | ' | 5.88% | 5.88% | 4.50% | 4.50% | 4.50% | 1.25% | 1.25% | 1.75% | 1.75% |
Convertible Debt | ' | ' | ' | ' | ' | ' | ' | ' | $201,200,000 | $192,100,000 | ' | ' |
Senior Notes | ' | ' | ' | 300,000,000 | 300,000,000 | 275,000,000 | 200,000,000 | 264,200,000 | ' | ' | ' | ' |
Credit Facility | 360,000,000 | 465,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other long-term debt | 114,000,000 | 65,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total indebtedness | 1,250,200,000 | 1,286,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Less: Current portion of long-term debt | -110,500,000 | -59,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes | -201,200,000 | -192,100,000 | ' | ' | ' | ' | ' | ' | -201,200,000 | -192,100,000 | ' | ' |
Total indebtedness, less current portion | $938,500,000 | $1,035,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Interest Rate, Effective Percentage | 6.10% | 6.10% | 6.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Indebtedness_Maturities_of_Lon
Indebtedness (Maturities of Long-term Debt) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Aggregate scheduled maturities of long-term debt, excluding current maturities | ' | ' |
2015 | $44.50 | ' |
2016 | 576.6 | ' |
2017 | 1.3 | ' |
2018 | 0.3 | ' |
Thereafter | 315.8 | ' |
Total indebtedness, less current portion | $938.50 | $1,035.60 |
Indebtedness_Carrying_Amount_O
Indebtedness (Carrying Amount Of The Convertible Senior Subordinated Notes) (Details) (1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036, USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | ' | ' |
Carrying amount of the equity component | $54.30 | $54.30 |
Principal amount of the liability component | 201.2 | 201.3 |
Less: unamortized discount | 0 | -9.2 |
Convertible Debt | $201.20 | $192.10 |
Indebtedness_Interest_Expense_
Indebtedness (Interest Expense Recognized On Convertible Senior Subordinated Notes) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
1 3/4% Convertible Senior Subordinated Notes Due December 31, 2033 | ' | ' | ' |
Interest expense | $0 | $0 | $0.90 |
1 1/4percent Convertible Senior Subordinated Notes Due December 15, 2036 | ' | ' | ' |
Interest expense | $11.70 | $11.20 | $10.70 |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans (Narrative) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Unrecognized net actuarial loss | ($279.40) | ($355.20) |
Reduction in equity | -206.4 | -262.9 |
Minimum | ' | ' |
Percentage of joint venture's unrecognized net actuarial losses and unrecognized prior service cost | 20.00% | ' |
GIMA | ' | ' |
Reduction in equity | 1.3 | ' |
Tax effect of benefit plans | 0.4 | ' |
Percentage of joint venture's unrecognized net actuarial losses and unrecognized prior service cost | 50.00% | 50.00% |
GIMA and Fella's | ' | ' |
Unrecognized net actuarial loss | ' | 1.4 |
Tax effect of benefit plans | ' | 0.5 |
Pension and Other Postretirement Benefit Plans [Member] | ' | ' |
Unrecognized net actuarial loss | 268.2 | 336.3 |
Aggregate projected benefit obligation | 873.6 | 870.8 |
Accumulated benefit obligation | 834.5 | 830.8 |
Fair value of plan assets | 653.1 | 569 |
Tax effect of benefit plans | 74 | 90.2 |
Pension Benefits | ' | ' |
Unrecognized net actuarial loss | 260.3 | 321.5 |
Net prior service (credit) cost | -0.1 | -0.2 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | -260.2 | -321.3 |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 53.2 | ' |
Benefit payments made | 52.9 | 44.6 |
Defined Benefit Plan, Benefits and Settlements Paid | 53.5 | ' |
U.S. Based Pension Benefit Plans | ' | ' |
Aggregate projected benefit obligation | 48.1 | 54.4 |
Accumulated benefit obligation | 48.1 | 54.4 |
Fair value of plan assets | 41.9 | 36.7 |
Postretirement Benefits | ' | ' |
Unrecognized net actuarial loss | 4.1 | 10.8 |
Net prior service (credit) cost | 3.9 | 4.2 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | -8 | -15 |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 1.8 | ' |
Benefit payments made | 1.8 | 1.8 |
U.S Based Postretirement Health Care and Life Insurance Benefit Plans | ' | ' |
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | ' |
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 7.50% | 8.00% |
Brazilian Postretirement Benefit Obligation, Defined Benefit | ' | ' |
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 6.45% | 6.20% |
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 12.25% | 10.70% |
ENPP | ' | ' |
Unrecognized net actuarial loss | 5.2 | 11.9 |
Net prior service (credit) cost | 4.7 | 5.6 |
Reduction in equity | ' | 17.5 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | -9.9 | -17.5 |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Tax | 1.4 | 1.6 |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 1.3 | ' |
Benefit payments made | 1.2 | 0.9 |
Period over which retirement benefits are paid | '15 years | ' |
Period considered when determining retirement benefits | '3 years | ' |
Minimum age for vesting | '50 years | ' |
Minimum service period to vest | '5 years | ' |
Minimum participation period to qualify for payment | '10 years | ' |
Minimum age to receive benefits | '65 years | ' |
Defined Benefit Plan, Maximum Service Period For Qualification | '20 years | ' |
Defined Benefit Plan, Final Years of Service Period For Qualification | '10 years | ' |
ENPP | Minimum | ' | ' |
Benefits paid to executives, percent | 2.25% | ' |
ENPP | Maximum | ' | ' |
Benefits paid to executives, percent | 3.00% | ' |
Forecast | Pension Benefits | ' | ' |
Net actuarial (gain) loss that will be amortized from accumulated other comprehensive loss | 8.6 | ' |
Net prior service (credit) cost that will be amortized from accumulated other comprehensive loss | 0.1 | ' |
Forecast | U.S. Based Pension Benefit Plans | ' | ' |
Expected minimum contribution | 2.6 | ' |
Forecast | Non-U.S. Pension Benefit Plans | ' | ' |
Expected minimum contribution | 40 | ' |
Forecast | U.K. Pension Plans, Defined Benefit | ' | ' |
Expected minimum contribution | 25.6 | ' |
Forecast | Postretirement Benefits | ' | ' |
Net actuarial (gain) loss that will be amortized from accumulated other comprehensive loss | -0.1 | ' |
Net prior service (credit) cost that will be amortized from accumulated other comprehensive loss | -0.2 | ' |
Forecast | U.S Based Postretirement Health Care and Life Insurance Benefit Plans | ' | ' |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 1.8 | ' |
Forecast | Brazilian Postretirement Benefit Obligation, Defined Benefit | ' | ' |
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 0.1 | ' |
Forecast | ENPP | ' | ' |
Net actuarial (gain) loss that will be amortized from accumulated other comprehensive loss | -0.1 | ' |
Net prior service (credit) cost that will be amortized from accumulated other comprehensive loss | ($0.90) | ' |
Employee_Benefit_Plans_Net_Pen
Employee Benefit Plans (Net Pension And Postretirement Cost) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension Benefits | ' | ' | ' |
Service cost | $14.90 | $14.40 | $14.40 |
Interest cost | 33.9 | 38.2 | 40.1 |
Expected return on plan assets | -37.6 | -36.3 | -37.1 |
Amortization of net actuarial loss | 13.3 | 9.5 | 6.4 |
Amortization of prior service credit | -0.1 | -0.1 | -0.2 |
Settlement loss | 0.1 | 0.2 | 0.1 |
Special termination benefits and other | 0 | 0 | 0.2 |
Net annual pension cost | 24.5 | 25.9 | 23.9 |
Weighted average discount rate | 4.30% | 5.10% | 5.60% |
ENPP | ' | ' | ' |
Service cost | 3.1 | 2.8 | 1.8 |
Interest cost | 1.5 | 1.4 | 1 |
Amortization of net actuarial loss | 0.7 | 0.3 | 0.1 |
Amortization of prior service credit | 0.9 | 0.9 | 0.6 |
Net annual pension cost | 6.2 | 5.4 | 3.5 |
Weighted average discount rate | 3.90% | 4.60% | 5.40% |
Rate of increase in future compensation | 5.00% | 5.00% | 5.00% |
Postretirement Benefits | ' | ' | ' |
Service cost | 0.1 | 0.1 | 0.1 |
Interest cost | 1.7 | 1.5 | 1.6 |
Amortization of net actuarial loss | 0.5 | 0.4 | 0.3 |
Amortization of prior service credit | 0.2 | -0.2 | -0.3 |
Special termination benefits and other | 0 | -0.1 | ' |
Net annual pension cost | $2.50 | $1.80 | $1.70 |
Weighted average discount rate | 4.70% | 4.80% | 5.60% |
Employee_Benefit_Plans_Net_Per
Employee Benefit Plans (Net Periodic Pension Costs Included in Accumulated Other Comprehensive Income (Loss)) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' | ' | ' |
Accumulated other comprehensive loss, before tax, beginning of period | ($355.20) | ' | ' |
Accumulated other comprehensive loss, tax, beginning of period | -92.3 | ' | ' |
Accumulated other comprehensive loss, after tax, beginning of period | -262.9 | ' | ' |
Net loss recognized due to settlement, before tax | 0.1 | ' | ' |
Net loss recognized due to settlement, tax | 0.1 | ' | ' |
Net loss recognized due to settlement, after tax | 0 | ' | ' |
Net actuarial gain arising during the year, before tax | 60.1 | ' | ' |
Net actuarial gain arising during the year, tax | 14.9 | ' | ' |
Net actuarial gain arising during the year, after tax | 45.2 | -28.2 | -61.8 |
Amortization of prior service cost | 1.1 | ' | ' |
Amortization of prior service costs, tax | 0.5 | ' | ' |
Amortization of prior service costs, after tax | 0.6 | 0.4 | 0.1 |
Amortization of net actuarial loss | 14.5 | ' | ' |
Amortization of net actuarial loss, tax | 3.8 | ' | ' |
Amortization of net actuarial losses included in net periodic pension cost | 10.7 | 7.6 | 5.6 |
Accumulated other comprehensive loss, before tax, end of period | -279.4 | -355.2 | ' |
Accumulated other comprehensive loss, tax, end of period | -73 | -92.3 | ' |
Accumulated other comprehensive loss, after tax, end of period | ($206.40) | ($262.90) | ' |
Employee_Benefit_Plans_Assumpt
Employee Benefit Plans (Assumptions for Pension and Postretirement Cost) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Minimum | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 2.50% | 2.50% | ' |
Rate of increase in future compensation | 2.50% | 2.50% | 2.50% |
Maximum | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 4.50% | 4.00% | ' |
Rate of increase in future compensation | 4.00% | 4.50% | 4.50% |
Pension Benefits | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Weighted average discount rate | 4.30% | 5.10% | 5.60% |
Weighted average expected long-term rate of return on plan assets | 6.80% | 7.00% | 7.00% |
U.S. Based Pension Benefit Plans | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Weighted average discount rate | 3.90% | 4.60% | 5.40% |
Weighted average expected long-term rate of return on plan assets | 7.00% | 7.75% | 8.00% |
Employee_Benefit_Plans_Net_Fun
Employee Benefit Plans (Net Funded Status) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Change in plan assets | ' | ' | ' |
Unrecognized net actuarial loss | ($279.40) | ($355.20) | ' |
Amounts recognized in Consolidated Balance Sheets: | ' | ' | ' |
Pensions and postretirement health care benefits (noncurrent) | -246.4 | -331.6 | ' |
ENPP | ' | ' | ' |
Change in benefit obligation | ' | ' | ' |
Benefit obligation, beginning of period | 39.6 | 31 | ' |
Service cost | -3.1 | -2.8 | -1.8 |
Interest cost | -1.5 | -1.4 | -1 |
Actuarial loss (gain) | -6 | 5.3 | ' |
Benefits paid | -1.2 | -0.9 | ' |
Benefit obligation, end of period | 37 | 39.6 | 31 |
Change in plan assets | ' | ' | ' |
Benefits paid | -1.2 | -0.9 | ' |
Funded status | -37 | -39.6 | ' |
Unrecognized net actuarial loss | 5.2 | 11.9 | ' |
Unrecognized prior service (credit) cost | 4.7 | 5.6 | ' |
Accumulated other comprehensive loss | -9.9 | -17.5 | ' |
Net amount recognized | -37 | -39.6 | ' |
Amounts recognized in Consolidated Balance Sheets: | ' | ' | ' |
Other current liabilities | -1.2 | -1.3 | ' |
Pensions and postretirement health care benefits (noncurrent) | -35.8 | -38.3 | ' |
Pension Benefits | ' | ' | ' |
Change in benefit obligation | ' | ' | ' |
Benefit obligation, beginning of period | 842.3 | 765.9 | ' |
Service cost | -14.9 | -14.4 | -14.4 |
Interest cost | -33.9 | -38.2 | -40.1 |
Plan participants’ contributions | 1.3 | 1.2 | ' |
Actuarial loss (gain) | -4.1 | 36.1 | ' |
Amendments | 0 | 0 | ' |
Settlements | -0.6 | -0.4 | ' |
Benefits paid | -52.9 | -44.6 | ' |
Special termination benefits and other | 0 | 0 | -0.2 |
Foreign currency exchange rate changes | 16.4 | 31.5 | ' |
Benefit obligation, end of period | 851.2 | 842.3 | 765.9 |
Change in plan assets | ' | ' | ' |
Fair value of plan assets at beginning of year | 576.7 | 520.8 | ' |
Actual return on plan assets | 81.3 | 40.6 | ' |
Employer contributions | 41 | 36.1 | ' |
Plan participants’ contributions | -1.3 | -1.2 | ' |
Benefits paid | -52.9 | -44.6 | ' |
Settlements | -0.6 | -0.4 | ' |
Other | 0 | 0 | ' |
Foreign currency exchange rate changes | 13.9 | 23 | ' |
Fair value of plan assets at end of year | 660.7 | 576.7 | 520.8 |
Funded status | -190.5 | -265.6 | ' |
Unrecognized net actuarial loss | 260.3 | 321.5 | ' |
Unrecognized prior service (credit) cost | -0.1 | -0.2 | ' |
Accumulated other comprehensive loss | -260.2 | -321.3 | ' |
Net amount recognized | -190.5 | -265.6 | ' |
Amounts recognized in Consolidated Balance Sheets: | ' | ' | ' |
Other long-term asset | 0 | 0.1 | ' |
Other current liabilities | -3 | -2.5 | ' |
Accrued expenses | -5.4 | -5.2 | ' |
Pensions and postretirement health care benefits (noncurrent) | -182.1 | -258 | ' |
Postretirement Benefits | ' | ' | ' |
Change in benefit obligation | ' | ' | ' |
Benefit obligation, beginning of period | 37 | 31.8 | ' |
Service cost | -0.1 | -0.1 | -0.1 |
Interest cost | -1.7 | -1.5 | -1.6 |
Plan participants’ contributions | 0 | 0 | ' |
Actuarial loss (gain) | -6.2 | 1.8 | ' |
Amendments | 0 | 3.9 | ' |
Settlements | 0 | 0 | ' |
Benefits paid | -1.8 | -1.8 | ' |
Special termination benefits and other | 0 | 0.1 | ' |
Foreign currency exchange rate changes | -0.5 | -0.4 | ' |
Benefit obligation, end of period | 30.3 | 37 | 31.8 |
Change in plan assets | ' | ' | ' |
Fair value of plan assets at beginning of year | 0 | 0 | ' |
Actual return on plan assets | 0 | 0 | ' |
Employer contributions | 1.8 | 1.7 | ' |
Plan participants’ contributions | 0 | 0 | ' |
Benefits paid | -1.8 | -1.8 | ' |
Settlements | 0 | 0 | ' |
Other | 0 | 0.1 | ' |
Foreign currency exchange rate changes | 0 | 0 | ' |
Fair value of plan assets at end of year | 0 | 0 | 0 |
Funded status | -30.3 | -37 | ' |
Unrecognized net actuarial loss | 4.1 | 10.8 | ' |
Unrecognized prior service (credit) cost | 3.9 | 4.2 | ' |
Accumulated other comprehensive loss | -8 | -15 | ' |
Net amount recognized | -30.3 | -37 | ' |
Amounts recognized in Consolidated Balance Sheets: | ' | ' | ' |
Other long-term asset | 0 | 0 | ' |
Other current liabilities | -1.8 | -1.7 | ' |
Accrued expenses | 0 | 0 | ' |
Pensions and postretirement health care benefits (noncurrent) | ($28.50) | ($35.30) | ' |
Employee_Benefit_Plans_Assumpt1
Employee Benefit Plans (Assumptions for Benefit Obligation) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Pension Benefits | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Weighted average discount rate | 4.30% | 4.30% | ' |
U.S. Based Pension Benefit Plans | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Weighted average discount rate | 4.80% | 3.90% | ' |
Postretirement Benefits | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Weighted average discount rate | 5.30% | 4.70% | ' |
ENPP | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 5.00% | 5.00% | 5.00% |
Weighted average discount rate | 4.80% | 3.90% | ' |
Minimum | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 2.50% | 2.50% | 2.50% |
Rate of increase in future compensation | 2.50% | 2.50% | ' |
Maximum | ' | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 4.00% | 4.50% | 4.50% |
Rate of increase in future compensation | 4.50% | 4.00% | ' |
Employee_Benefit_Plans_Asset_A
Employee Benefit Plans (Asset Allocation) (Details) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Asset Category | ' | ' | ' |
Target allocation, near-term benefit payments | 30.00% | ' | ' |
Target allocation, long-term growth | 70.00% | ' | ' |
U.S. Based Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 100.00% | 100.00% | ' |
Target allocation, near-term benefit payments | 15.00% | ' | ' |
Target allocation, long-term growth | 85.00% | ' | ' |
Target allocation, equity securities | 20.00% | ' | ' |
Defined Benefit Plan, Assumptions Used in Investment Strategy, Expected Return Next Fiscal Year | 7.00% | ' | ' |
Weighted average expected long-term rate of return on plan assets | 7.00% | 7.75% | 8.00% |
Non-U.S. Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 100.00% | 100.00% | ' |
Defined Benefit Plan, Historical Average Return on Asset Mix | 7.80% | ' | ' |
U.K. Pension Plans, Defined Benefit | ' | ' | ' |
Asset Category | ' | ' | ' |
Weighted average expected long-term rate of return on plan assets | 7.00% | ' | ' |
Equity Securities | ' | ' | ' |
Asset Category | ' | ' | ' |
Target allocation, equity securities | 45.00% | ' | ' |
Equity Securities | Non-U.S. Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 45.00% | 42.00% | ' |
Large and Small Cap Domestic | U.S. Based Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 48.00% | 45.00% | ' |
Target allocation, equity securities | 45.00% | ' | ' |
International Securities | U.S. Based Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 16.00% | 14.00% | ' |
Target allocation, equity securities | 15.00% | ' | ' |
Fixed Income Securities | U.S. Based Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 16.00% | 21.00% | ' |
Fixed Income Securities | Non-U.S. Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 30.00% | 34.00% | ' |
Other Investment Companies | U.S. Based Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 20.00% | 20.00% | ' |
Other Investments | Non-U.S. Pension Benefit Plans | ' | ' | ' |
Asset Category | ' | ' | ' |
Equity Securities | 25.00% | 24.00% | ' |
Fixed Income Investments | ' | ' | ' |
Asset Category | ' | ' | ' |
Target allocation, equity securities | 30.00% | ' | ' |
Alternative Investments | ' | ' | ' |
Asset Category | ' | ' | ' |
Target allocation, equity securities | 25.00% | ' | ' |
Employee_Benefit_Plans_Fair_Va
Employee Benefit Plans (Fair Value of Plan Assets) (Details) (Pension Benefits, USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
In Millions, unless otherwise specified | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | $660.70 | $576.70 | $520.80 | ||
Percentage of fixed income securities consisting of investment-grade corporate bonds | 31.00% | 39.00% | ' | ||
Percentage of fixed income securities consisting of government treasuries | 40.00% | 27.00% | ' | ||
Percentage of fixed income securities consisting of other various fixed income securities | 29.00% | 34.00% | ' | ||
Percentage of alternative investments consisting of multi-strategy funds | 5.00% | 19.00% | ' | ||
Percentage of alternative investments consisting of long-short equity funds | 35.00% | 24.00% | ' | ||
Percentage of alternative investments consisting of event-driven funds | 29.00% | 17.00% | ' | ||
Percentage of alternative investments consisting of relative value funds | 12.00% | 12.00% | ' | ||
Percentage of alternative investments consisting of credit funds | 12.00% | 12.00% | ' | ||
Percentage of alternative investments consisting of hedged and non-hedged funds | 7.00% | 16.00% | ' | ||
Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 478.1 | 421.9 | ' | ||
Level 2 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 10.8 | 2.2 | ' | ||
Level 3 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 171.8 | 152.6 | 140.9 | ||
Equity Securities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 290.8 | 237.6 | ' | ||
Equity Securities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 290.8 | 237.6 | ' | ||
Global Equities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 132 | 103.7 | ' | ||
Global Equities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 132 | 103.7 | ' | ||
Non-U.S. Equities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.7 | 5.2 | ' | ||
Non-U.S. Equities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.7 | 5.2 | ' | ||
U.K. Equities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 132 | 112.2 | ' | ||
U.K. Equities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 132 | 112.2 | ' | ||
U.S. Large Cap Equities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 13.9 | 11.1 | ' | ||
U.S. Large Cap Equities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 13.9 | 11.1 | ' | ||
U.S. Small Cap Equities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.2 | 5.4 | ' | ||
U.S. Small Cap Equities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.2 | 5.4 | ' | ||
Fixed Income Securities | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 187.3 | [1] | 184.3 | [2] | ' |
Fixed Income Securities | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 187.3 | [1] | 184.3 | [2] | ' |
Aggregate Fixed Income | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.5 | 7.6 | ' | ||
Aggregate Fixed Income | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 6.5 | 7.6 | ' | ||
International | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 180.8 | 176.7 | ' | ||
International | Level 1 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 180.8 | 176.7 | ' | ||
Cash and Cash Equivalents | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 10.8 | 2.2 | ' | ||
Cash and Cash Equivalents | Level 2 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 10.8 | 2.2 | ' | ||
Cash | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 10.8 | 2.2 | ' | ||
Cash | Level 2 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 10.8 | 2.2 | ' | ||
Alternative Investments | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 146 | [2] | 127.1 | [3] | ' |
Alternative Investments | Level 3 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 146 | [2] | 127.1 | [3] | 119.8 |
Miscellaneous Funds | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | 25.8 | [4] | 25.5 | [5] | ' |
Miscellaneous Funds | Level 3 | ' | ' | ' | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' | ||
Total assets | $25.80 | [4] | $25.50 | [5] | $21.10 |
[1] | 40% of “fixed income†securities are in government treasuries; 31% are in investment-grade corporate bonds; and 29% are in other various fixed income securities. | ||||
[2] | 35% of “alternative investments†are in long-short equity funds; 29% are in event-driven funds; 12% are in relative value funds; 12% are in credit funds; 7% are distributed in hedged and non-hedged funds; and 5% are in multi-strategy funds. | ||||
[3] | 24% of “alternative investments†are in long-short equity funds; 19% are in multi-strategy funds; 17% are in event-driven funds; 16% are distributed in hedged and non-hedged funds; 12% are in relative value funds; and 12% are in credit funds. | ||||
[4] | “Miscellaneous funds†is comprised of pooled funds in Australia and insurance contracts in Finland, Norway and Switzerland. | ||||
[5] | “Miscellaneous funds†is comprised of pooled funds in Australia and various contracts in Finland, Norway and Switzerland |
Employee_Benefit_Plans_Reconci
Employee Benefit Plans (Reconciliation of Level 3 Assets) (Details) (Pension Benefits, USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at beginning of year | $576.70 | $520.80 | ||
Foreign currency exchange rate changes | 13.9 | 23 | ||
Fair value of plan assets at end of year | 660.7 | 576.7 | ||
Alternative Investments | ' | ' | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at end of year | 146 | [1] | 127.1 | [2] |
Miscellaneous Investments | ' | ' | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at end of year | 25.8 | [3] | 25.5 | [4] |
Level 3 | ' | ' | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at beginning of year | 152.6 | 140.9 | ||
Relating to assets still held at reporting date | 15.4 | 4.3 | ||
Relating to assets sold during period | 0.3 | 0.5 | ||
Purchases, sales and /or settlements | 0.5 | 1.2 | ||
Transfers in and /or out of Level 3 | ' | -0.2 | ||
Foreign currency exchange rate changes | 3 | 5.9 | ||
Fair value of plan assets at end of year | 171.8 | 152.6 | ||
Level 3 | Alternative Investments | ' | ' | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at beginning of year | 127.1 | [2] | 119.8 | |
Relating to assets still held at reporting date | 15.1 | 4.1 | ||
Relating to assets sold during period | 0.3 | 0.5 | ||
Purchases, sales and /or settlements | 0.3 | -2.3 | ||
Transfers in and /or out of Level 3 | ' | -0.2 | ||
Foreign currency exchange rate changes | 3.2 | 5.2 | ||
Fair value of plan assets at end of year | 146 | [1] | 127.1 | [2] |
Level 3 | Miscellaneous Investments | ' | ' | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ' | ' | ||
Fair value of plan assets at beginning of year | 25.5 | [4] | 21.1 | |
Relating to assets still held at reporting date | 0.3 | 0.2 | ||
Purchases, sales and /or settlements | 0.2 | 3.5 | ||
Foreign currency exchange rate changes | -0.2 | 0.7 | ||
Fair value of plan assets at end of year | $25.80 | [3] | $25.50 | [4] |
[1] | 35% of “alternative investments†are in long-short equity funds; 29% are in event-driven funds; 12% are in relative value funds; 12% are in credit funds; 7% are distributed in hedged and non-hedged funds; and 5% are in multi-strategy funds. | |||
[2] | 24% of “alternative investments†are in long-short equity funds; 19% are in multi-strategy funds; 17% are in event-driven funds; 16% are distributed in hedged and non-hedged funds; 12% are in relative value funds; and 12% are in credit funds. | |||
[3] | “Miscellaneous funds†is comprised of pooled funds in Australia and insurance contracts in Finland, Norway and Switzerland. | |||
[4] | “Miscellaneous funds†is comprised of pooled funds in Australia and various contracts in Finland, Norway and Switzerland |
Employee_Benefit_Plans_One_Per
Employee Benefit Plans (One Percentage Point Change in Health Care Trend Rate) (Details) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' |
Effect on service and interest cost, One percentage point increase | 0.4 | ' |
Effect on service and interest cost, One percentage point decrease | -0.3 | ' |
Effect on accumulated benefit obligation, One percentage point increase | 3.8 | ' |
Effect on accumulated benefit obligation, One percentage point decrease | -3.8 | ' |
U.S Based Postretirement Health Care and Life Insurance Benefit Plans | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' |
Assumed health care cost trend rate | 7.50% | 8.00% |
Eventual health care cost trend rate | 5.00% | ' |
Brazilian Postretirement Benefit Obligation, Defined Benefit | ' | ' |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' |
Assumed health care cost trend rate | 12.25% | 10.70% |
Eventual health care cost trend rate | 6.45% | 6.20% |
Employee_Benefit_Plans_Expecte
Employee Benefit Plans (Expected Future Minimum Payments) (Details) (USD $) | Dec. 31, 2013 |
In Millions, unless otherwise specified | |
Pension Benefits | ' |
Aggregate expected benefit payments | ' |
2014 | $53.20 |
2015 | 51.4 |
2016 | 50.6 |
2017 | 50.3 |
2018 | 51.2 |
2019 through 2023 | 276.6 |
Total | 533.3 |
Postretirement Benefits | ' |
Aggregate expected benefit payments | ' |
2014 | 1.8 |
2015 | 1.8 |
2016 | 1.9 |
2017 | 1.9 |
2018 | 2 |
2019 through 2023 | 10.4 |
Total | 19.8 |
ENPP | ' |
Aggregate expected benefit payments | ' |
2014 | 1.3 |
2015 | 0.9 |
2016 | 1.1 |
2017 | 2.7 |
2018 | 2.7 |
2019 through 2023 | 15.1 |
Total | $23.80 |
Employee_Benefit_Plans_Defined
Employee Benefit Plans (Defined Contribution Plans) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Pension and Other Postretirement Benefit Expense [Abstract] | ' | ' | ' |
Employer discretionary contribution, amount | $13 | $11.70 | $10 |
Stockholders_Equity_Narrative_
Stockholders' Equity (Narrative) (Details) (USD $) | 12 Months Ended | 2 Months Ended | |||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 28, 2014 | |
July 2012 Share Repurchase Program | December 2013 ASR Program | Subsequent Event | |||
Accelerated Share Repurchases [Line Items] | ' | ' | ' | ' | ' |
Common stock, shares authorized | 150,000,000 | 150,000,000 | ' | ' | ' |
Common stock, par value | $0.01 | $0.01 | ' | ' | ' |
Common stock, shares outstanding | 97,362,466 | 96,815,998 | ' | ' | ' |
Shares available for grant | 3,600,000 | ' | ' | ' | ' |
Stockholder Rights Plan, Right To Purchase Junior Cummulative Preferred Stock, Number Of Shares Per Common Stock | 0.01 | ' | ' | ' | ' |
Stockholder Rights Plan Junior Cummulative Preferred Stock Par Value | $0.01 | ' | ' | ' | ' |
Stockholder rights plan, junior cummulative preferred stock purchase price, per one-hundredth | 110 | ' | ' | ' | ' |
Stockholder Rights Plan, Exercise option Minimum Percentage of Common Stock Purchased by Acquirer | 20.00% | ' | ' | ' | ' |
Stockholder Rights Plan Junior Cummulative Preferred Stock Redemption Price Per Right | 0.01 | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | ' | ' | $50,000,000 | $500,000,000 | $550,000,000 |
Stock Repurchased During Period, Shares | 19,510 | 409,007 | ' | ' | 4,200,000 |
Stock Repurchased During Period, Value | 1,000,000 | 17,600,000 | ' | ' | 290,000,000 |
Stock Repurchased and Retired During Period, Average Cost Per Share | $49.34 | $43.14 | ' | ' | ' |
Stock Repurchase Program, Remaining Authorized Repurchase Amount | ' | ' | ' | ' | $241,400,000 |
Stockholders_Equity_Changes_in
Stockholders' Equity Changes in Accumulated Other Comprehensive Income (Details) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive (loss) income, beginning of period | ($479.40) |
Other comprehensive gain (loss) before reclassifications | -43.1 |
Net losses reclassified from accumulated other comprehensive loss | 11.8 |
Other comprehensive income (loss), net of reclassification adjustments | -31.3 |
Accumulated other comprehensive (loss) income, end of period | -510.7 |
Deferred Gains (Losses) on Derivatives | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive (loss) income, beginning of period | 0.7 |
Other comprehensive gain (loss) before reclassifications | -1.4 |
Net losses reclassified from accumulated other comprehensive loss | 0.5 |
Other comprehensive income (loss), net of reclassification adjustments | -0.9 |
Accumulated other comprehensive (loss) income, end of period | -0.2 |
Defined Benefit Pension Plans | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive (loss) income, beginning of period | -262.9 |
Other comprehensive gain (loss) before reclassifications | 45.2 |
Net losses reclassified from accumulated other comprehensive loss | 11.3 |
Other comprehensive income (loss), net of reclassification adjustments | 56.5 |
Accumulated other comprehensive (loss) income, end of period | -206.4 |
Cumulative Translation Adjustment | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive (loss) income, beginning of period | -217.2 |
Other comprehensive gain (loss) before reclassifications | -86.9 |
Net losses reclassified from accumulated other comprehensive loss | 0 |
Other comprehensive income (loss), net of reclassification adjustments | -86.9 |
Accumulated other comprehensive (loss) income, end of period | ($304.10) |
Stockholders_Equity_Reclassifi
Stockholders' Equity Reclassification Out of Accumulated Other Comprehensive Income (Details) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Cost of goods sold | $8,396.30 | $7,839 | $6,997.10 | |
Income tax provision | 258.5 | 137.9 | 24.6 | |
Net income attributable to AGCO Corporation and subsidiaries | 597.2 | 522.1 | 583.3 | |
Amortization of net actuarial loss | -14.5 | ' | ' | |
Amortization of prior service cost | -1.1 | ' | ' | |
Income before income taxes and equity in net earnings of affiliates | 802.6 | 600.8 | 561 | |
Accumulated other comprehensive loss | -510.7 | -479.4 | ' | |
Deferred Gains (Losses) on Derivatives | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Accumulated other comprehensive loss | -0.2 | 0.7 | ' | |
Defined Benefit Pension Plans | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Accumulated other comprehensive loss | -206.4 | -262.9 | ' | |
Reclassification out of Accumulated Other Comprehensive Income | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Net income attributable to AGCO Corporation and subsidiaries | -11.8 | [1] | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income | Deferred Gains (Losses) on Derivatives | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Cost of goods sold | 0.7 | [1] | ' | ' |
Income tax provision | -0.2 | [1] | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | -0.5 | [1] | ' | ' |
Reclassification out of Accumulated Other Comprehensive Income | Defined Benefit Pension Plans | ' | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ' | ' | ' | |
Income tax provision | -4.3 | [1] | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | -11.3 | [1] | ' | ' |
Amortization of net actuarial loss | 14.5 | [1],[2] | ' | ' |
Amortization of prior service cost | 1.1 | [1],[2] | ' | ' |
Income before income taxes and equity in net earnings of affiliates | ($15.60) | [1] | ' | ' |
[1] | Losses included within the Consolidated Statements of Operations for the year ended December 31, 2013. | |||
[2] | These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 7 to the Company’s Consolidated Financial Statements. |
Stock_Incentive_Plan_Narrative
Stock Incentive Plan (Narrative) (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 2 Months Ended | 12 Months Ended | 2 Months Ended | 12 Months Ended | 2 Months Ended | 12 Months Ended | |||||||||||||||||||||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Apr. 25, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Feb. 28, 2014 | Feb. 27, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Feb. 28, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Feb. 28, 2014 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 |
Restricted Stock | Restricted Stock | Long Term Incentive Plan | Long Term Incentive Plan | Long Term Incentive Plan | Long Term Incentive Plan | Long Term Incentive Plan | Long Term Incentive Plan | 2013 to 2015 Long Term Incentive Plan | 2012 to 2014 Long Term Incentive Plan | 2011 to 2013 Long Term Incentive Plan | Performance Shares | Performance Shares | Performance Shares | Performance Shares | Margin Incentive Plan | Margin Incentive Plan | Margin Incentive Plan | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | 2006 Plan | 2006 Plan | 2006 Plan | Director Restricted Stock Award Year One | Director Restricted Stock Grants Year Two | ||||
Minimum | Maximum | Subsequent Event | Subsequent Event | Subsequent Event | Minimum | Maximum | Subsequent Event | Minimum | Maximum | |||||||||||||||||||||
Common stock, shares issuable | 150,000,000 | 150,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' | ' | ' | ' |
Share-based Compensation, Percentage of Target Award Which Participant May Earn | ' | ' | ' | ' | ' | ' | ' | 33.00% | 200.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 33.00% | 300.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant-date fair value of performance awards granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $51.51 | $52.11 | $52.73 | ' | ' | ' | ' | $21.10 | $22.50 | $22.26 | ' | ' | ' | ' | ' | ' |
Shares earned under the performance period | ' | ' | ' | ' | ' | 622,018 | 748,137 | ' | ' | ' | ' | ' | ' | ' | 622,018 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Issued in Period | ' | ' | ' | ' | ' | 473,499 | ' | ' | ' | 368,497 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares Paid for Tax Withholding | ' | ' | ' | ' | ' | 274,638 | ' | ' | ' | ' | 226,721 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares awarded | ' | ' | ' | 17,171 | ' | ' | ' | ' | ' | ' | ' | 1,103,494 | 29,158 | 8,042 | 1,151,944 | ' | ' | 432,300 | 11,250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation cost related to unearned performance awards | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $33.70 | ' | ' | ' | ' | ' | ' | $10.20 | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Period for Recognition | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' |
Stock compensation expense | 34.9 | 37 | 24.6 | ' | 0.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.7 | 3.8 | 2.6 | ' | ' | ' | ' | ' | ' |
Weighted average remaining contractual life of SSARs outstanding, in years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' |
Total fair value of SSARs vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.6 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares not vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,808,519 | 2,509,323 | ' | ' | ' | ' | ' | 630,130 | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of outstanding SSARs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14.2 | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of exercisable SSARs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.3 | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of SSARs exercised | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.7 | ' | ' | ' | ' | ' | ' | ' | ' |
Excess tax benefit of stock awards | $11.40 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
SSARs granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 335,630 | ' | ' | 296,700 | ' | ' | ' | ' | ' |
Restricted common stocks issued | ' | ' | ' | 12,059 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares available for grant | 3,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted-average period for compensation cost expected to be recognized, in years | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '3 years | '5 years | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | '4 years |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years 6 months | '5 years 6 months | '5 years 6 months | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.90% | 0.80% | 1.90% | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.30% | 51.00% | 49.70% | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.80% | 0.00% | 0.00% | ' | ' | ' | ' | ' | ' |
Stock_Incentive_Plan_Performan
Stock Incentive Plan (Performance Award Transactions) (Details) (Performance Shares) | 12 Months Ended |
Dec. 31, 2013 | |
Performance Shares | ' |
Share Activity | ' |
Shares awarded but not earned at January 1 | 2,509,323 |
Shares awarded | 1,151,944 |
Shares forfeited or unearned | -230,730 |
Shares earned | -622,018 |
Shares awarded but not earned at December 31 | 2,808,519 |
Stock_Incentive_Plan_SSAR_Acti
Stock Incentive Plan (SSAR Activity) (Details) (USD $) | 12 Months Ended |
Dec. 31, 2013 | |
Current Fiscal Year End Date | '--12-31 |
Minimum | ' |
Share Activity | ' |
SSAR price ranges per share, Granted | 51.84 |
SSAR price ranges per share, Exercised | 21.45 |
SSAR price ranges per share, Canceled | 21.45 |
Maximum | ' |
Share Activity | ' |
SSAR price ranges per share, Granted | 63.64 |
SSAR price ranges per share, Exercised | 56.98 |
SSAR price ranges per share, Canceled | 56.98 |
Stock Appreciation Rights (SARs) | ' |
Share Activity | ' |
SSARs, beginning of period | 1,073,087 |
SSARs granted | 335,630 |
SSARs exercised | -251,536 |
SSARs canceled or forfeited | -62,345 |
SSARs, end of period | 1,094,836 |
Weighted average SSAR exercise prices per share, Granted | 52.96 |
Weighted average SSAR exercise prices per share, Exercised | 33.74 |
Weighted average SSAR exercise prices per share, Canceled or forfeited | 49.86 |
Weighted average SSAR exercise prices per share Outstanding at December 31 | 46.35 |
Stock_Incentive_Plan_Schedule_
Stock Incentive Plan (Schedule Of SSAR Exercise Price Range, Number Of Shares, Weighted Average Exercise Price And Remaining Contractual Lives) (Details) (USD $) | 12 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | |
$21.45 - $32.01 | $33.65 - $44.55 | $47.89 - $63.64 | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | Stock Appreciation Rights (SARs) | ||
$21.45 - $32.01 | $33.65 - $44.55 | $47.89 - $63.64 | |||||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | ' | ' | ' | ' | 1,094,836 | 1,073,087 | 159,281 | 132,025 | 803,530 |
Range of Exercise Prices, lower limit | ' | $21.45 | $33.65 | $47.89 | ' | ' | ' | ' | ' |
Range of Exercise Prices, upper limit | ' | $32.01 | $44.55 | $63.64 | ' | ' | ' | ' | ' |
SSAR Outstanding, Weighted Average Remaining Contractual Life (Years) | ' | ' | ' | ' | ' | ' | '2 years 1 month 6 days | '3 years 1 month 6 days | '4 years 10 months 24 days |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | $21.87 | $33.93 | $53.24 |
SSARs Exercisable, Exercisable as of December 31, 2012 | ' | ' | ' | ' | 464,706 | ' | 157,656 | 90,325 | 216,725 |
SSARs Exercisable, Weighted Average Exercise Price | ' | ' | ' | ' | $39.26 | ' | $21.73 | $33.90 | $54.25 |
Shares available for grant | 3,600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Narrative) (Details) (USD $) | 12 Months Ended | |||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | ||||
country | ||||||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Number of countries where products sold | 140 | ' | ' | ' | ||||
Net losses (gains) reclassified from accumulated other comprehensive loss into income | ($0.50) | [1] | ($8.10) | [1] | $5.20 | [1] | ' | |
Accumulated derivative net gains (losses) | -0.2 | [1] | 0.7 | [1] | -4.3 | [1] | 1.2 | [1] |
Notional amount of foreign currency derivatives | 1,338.70 | ' | ' | ' | ||||
Cash Flow Hedging | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Net losses (gains) reclassified from accumulated other comprehensive loss into income | -0.5 | -8.1 | 5.2 | ' | ||||
Accumulated derivative net gains (losses) | -0.2 | 0.7 | -4.3 | ' | ||||
Foreign Exchange Contract | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Gain (loss) on derivative instruments | 9.5 | 5.5 | 13.6 | ' | ||||
Not Designated as Hedging Instrument | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Notional amount of foreign currency derivatives | 1,288.40 | 1,467 | ' | ' | ||||
Designated as Hedging Instrument | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Notional amount of foreign currency derivatives | 50.3 | 110.3 | ' | ' | ||||
Foreign Exchange Contract | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Accumulated derivative net gains (losses) | 8.5 | 1.9 | ' | ' | ||||
Foreign Exchange Contract | Not Designated as Hedging Instrument | ' | ' | ' | ' | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ||||
Gain (loss) on derivative instruments | $8.60 | $0.40 | ' | ' | ||||
[1] | Rounding may impact summation of amounts. |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Summary Of Accumulated Other Comprehensive Loss Related To Derivatives) (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Accumulated Other Comprehensive Income Related to Derivatives Held [Roll Forward] | ' | ' | ' | |||
Accumulated derivative net gains (losses), Before-Tax Amount, Beginning Balance | $1.10 | ($5.40) | $1.70 | |||
Accumulated derivative net gains (losses), Income Tax, Beginning Balance | 0.4 | [1] | -1.1 | [1] | 0.5 | [1] |
Accumulated derivative net gains (losses), After-Tax Amount, Beginning Balance | 0.7 | [1] | -4.3 | [1] | 1.2 | [1] |
Net changes in fair value of derivatives, Before-Tax Amount | -2.1 | -2 | -1.5 | |||
Net changes in fair value of derivatives, Income Tax | -0.7 | [1] | 1.1 | [1] | -1.3 | [1] |
Net changes in fair value of derivatives | -1.4 | [1] | -3.1 | [1] | -0.2 | [1] |
Net losses (gains) reclassified from accumulated other comprehensive loss into income, Before-Tax Amount | 0.7 | 8.5 | -5.6 | |||
Net losses (gains) reclassified from accumulated other comprehensive loss into income, Income Tax | 0.2 | [1] | 0.4 | [1] | -0.4 | [1] |
Net losses (gains) reclassified from accumulated other comprehensive loss into income | 0.5 | [1] | 8.1 | [1] | -5.2 | [1] |
Accumulated derivative net gains (losses), Before-Tax Amount, Ending Balance | -0.3 | 1.1 | -5.4 | |||
Accumulated derivative net gains (losses), Income Tax, Ending Balance | -0.1 | [1] | 0.4 | [1] | -1.1 | [1] |
Accumulated derivative net gains (losses), After-Tax Amount, Ending Balance | ($0.20) | [1] | $0.70 | [1] | ($4.30) | [1] |
[1] | Rounding may impact summation of amounts. |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities ( Fair Value Of Derivative Instruments) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Derivative Asset Fair Value | $13.90 | $7 |
Derivative Liability Fair Value | 5.4 | 5.1 |
Designated as Hedging Instrument | Foreign Exchange Contract | Other Current Assets | ' | ' |
Derivative Asset Fair Value | 0 | 1.5 |
Designated as Hedging Instrument | Foreign Exchange Contract | Other Current Liabilities | ' | ' |
Derivative Liability Fair Value | 0.1 | 0 |
Not Designated as Hedging Instrument | Foreign Exchange Contract | Other Current Assets | ' | ' |
Derivative Asset Fair Value | 13.9 | 5.5 |
Not Designated as Hedging Instrument | Foreign Exchange Contract | Other Current Liabilities | ' | ' |
Derivative Liability Fair Value | $5.30 | $5.10 |
Commitments_and_Contingencies_1
Commitments and Contingencies (Details) | 12 Months Ended | 12 Months Ended | 0 Months Ended | |||||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2013 | Dec. 31, 2013 | Oct. 30, 2012 | Jun. 27, 2008 | Oct. 30, 2012 | Jun. 27, 2008 | |
USD ($) | USD ($) | USD ($) | BRL | Retail Finance Joint Venture | Subsidiaries | Subsidiaries | Third Parties | Third Parties | ||
USD ($) | defendant | defendant | defendant | defendant | ||||||
Interest payments related to indebtedness [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | $36.70 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 34.9 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 26 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 17.8 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | 17.8 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
Thereafter | 48.9 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 182.1 | [1] | ' | ' | ' | ' | ' | ' | ' | ' |
Capital lease obligations [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 2.7 | ' | ' | ' | ' | ' | ' | ' | ' | |
2015 | 1.8 | ' | ' | ' | ' | ' | ' | ' | ' | |
2016 | 0.7 | ' | ' | ' | ' | ' | ' | ' | ' | |
2017 | 0.3 | ' | ' | ' | ' | ' | ' | ' | ' | |
2018 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | |
Thereafter | 0 | ' | ' | ' | ' | ' | ' | ' | ' | |
Total | 5.5 | ' | ' | ' | ' | ' | ' | ' | ' | |
Operating lease obligations [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 48.8 | ' | ' | ' | ' | ' | ' | ' | ' | |
2015 | 35.3 | ' | ' | ' | ' | ' | ' | ' | ' | |
2016 | 25 | ' | ' | ' | ' | ' | ' | ' | ' | |
2017 | 13.6 | ' | ' | ' | ' | ' | ' | ' | ' | |
2018 | 12 | ' | ' | ' | ' | ' | ' | ' | ' | |
Thereafter | 45.4 | ' | ' | ' | ' | ' | ' | ' | ' | |
Total | 180.1 | ' | ' | ' | ' | ' | ' | ' | ' | |
Unconditional purchase obligations [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 142.9 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 16.7 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 11.9 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 5 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | 4.9 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
Thereafter | 0 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 181.4 | [2] | ' | ' | ' | ' | ' | ' | ' | ' |
Other short-term and long-term obligations [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 107.7 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
2015 | 38.2 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
2016 | 33.9 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
2017 | 31.1 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
2018 | 69.5 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
Thereafter | 151.2 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
Total | 431.6 | [3] | ' | ' | ' | ' | ' | ' | ' | ' |
Total Contractual Cash Obligations [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 338.8 | ' | ' | ' | ' | ' | ' | ' | ' | |
2015 | 126.9 | ' | ' | ' | ' | ' | ' | ' | ' | |
2016 | 97.5 | ' | ' | ' | ' | ' | ' | ' | ' | |
2017 | 67.8 | ' | ' | ' | ' | ' | ' | ' | ' | |
2018 | 104.2 | ' | ' | ' | ' | ' | ' | ' | ' | |
Thereafter | 245.5 | ' | ' | ' | ' | ' | ' | ' | ' | |
Total | 980.7 | ' | ' | ' | ' | ' | ' | ' | ' | |
Guarantees Future Expiration | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
2014 | 166.5 | ' | ' | ' | ' | ' | ' | ' | ' | |
2015 | 2.7 | ' | ' | ' | ' | ' | ' | ' | ' | |
2016 | 1.6 | ' | ' | ' | ' | ' | ' | ' | ' | |
2017 | 0.7 | ' | ' | ' | ' | ' | ' | ' | ' | |
2018 | 0.1 | ' | ' | ' | ' | ' | ' | ' | ' | |
Thereafter | 0 | ' | ' | ' | ' | ' | ' | ' | ' | |
Total | 171.6 | ' | ' | ' | ' | ' | ' | ' | ' | |
Guarantees [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Guarantor Obligations, Maximum Inventory Exposure per Calendar Year, Undiscounted | ' | ' | ' | ' | 6 | ' | ' | ' | ' | |
Guaranteed indebtedness owed to third parties | 171.6 | ' | ' | ' | ' | ' | ' | ' | ' | |
Notional amount of foreign currency derivatives | 1,338.70 | ' | ' | ' | ' | ' | ' | ' | ' | |
Total lease expense | 72.8 | 68.8 | 57.2 | ' | ' | ' | ' | ' | ' | |
Loss Contingency [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | |
Outstanding balance of Brazilian VAT receivable | 62.8 | 59.6 | ' | ' | ' | ' | ' | ' | ' | |
Loss Contingency, Number of Defendants | ' | ' | ' | ' | ' | 3 | 3 | 60 | 91 | |
Tax disallowance not including interest and penalties | $55.70 | ' | ' | 131.5 | ' | ' | ' | ' | ' | |
[1] | Estimated interest payments are calculated assuming current interest rates over minimum maturity periods specified in debt agreements. Debt may be repaid sooner or later than such minimum maturity periods (unaudited). | |||||||||
[2] | Unconditional purchase obligations exclude routine purchase orders entered into in the normal course of business. | |||||||||
[3] | Other short-term and long-term obligations include estimates of future minimum contribution requirements under the Company’s U.S. and non-U.S. defined benefit pension and postretirement plans. These estimates are based on current legislation in the countries the Company operates within and are subject to change. Other short-term and long-term obligations also include income tax liabilities related to uncertain income tax positions connected with ongoing income tax audits in various jurisdictions (unaudited). |
Related_Party_Transactions_Rel
Related Party Transactions Related Party Transactions (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Related Party Transaction [Line Items] | ' | ' | ' |
Investments in retail finance joint ventures | $10 | $15.80 | $8.30 |
Retail Finance Joint Venture | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Investments in retail finance joint ventures | 15.5 | 7.1 | 8.3 |
TAFE | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Purchases from related party | 90.7 | 104.5 | 80.4 |
PPG Industries, Inc. | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Purchases from related party | 3.3 | 3.8 | 4 |
Ryerson, Inc. | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Purchases from related party | $2.30 | ' | ' |
Rabobank | Co-venturer | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Ownership interest of controlling interest | 51.00% | ' | ' |
Rabobank | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Ownership percentage | 49.00% | ' | ' |
TAFE | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' |
Cost method investment, ownership percentage | 23.75% | ' | ' |
Segment_Reporting_Sales_Inform
Segment Reporting (Sales Information By Reportable Segments) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
segments | |||
Number of reportable segments | 4 | ' | ' |
Net sales | $10,786.90 | $9,962.20 | $8,773.20 |
Income from operations | 900.7 | 693.2 | 610.3 |
Depreciation | 211.6 | 180.6 | 151.9 |
Total assets | 8,438.80 | 7,721.80 | 7,257.20 |
Capital expenditures | 391.8 | 340.5 | 300.4 |
Operating Segments | ' | ' | ' |
Net sales | 10,786.90 | 9,962.20 | 8,773.20 |
Income from operations | 1,097.30 | 906.6 | 744.8 |
Depreciation | 211.6 | 180.6 | 151.9 |
Total assets | 4,434.70 | 3,992.30 | 3,629.80 |
Capital expenditures | 391.8 | 340.5 | 300.4 |
North America | ' | ' | ' |
Net sales | 2,757.80 | 2,584.40 | 1,770.60 |
Income from operations | 325.9 | 259.9 | 90.9 |
Depreciation | 51.4 | 41.5 | 28.5 |
Total assets | 1,002.80 | 907.4 | 861.4 |
Capital expenditures | 73.4 | 64 | 59.3 |
South America | ' | ' | ' |
Net sales | 2,039.70 | 1,855.70 | 1,871.50 |
Income from operations | 212.7 | 161.6 | 143.1 |
Depreciation | 24.6 | 22.7 | 20 |
Total assets | 773.5 | 674.9 | 585.5 |
Capital expenditures | 66.4 | 48.3 | 40.4 |
Europe/ Africa/ Middle East | ' | ' | ' |
Net sales | 5,481.50 | 5,073.70 | 4,847.20 |
Income from operations | 558.2 | 474.9 | 486.9 |
Depreciation | 126.6 | 107 | 99.6 |
Total assets | 2,368.90 | 2,114.20 | 1,967.20 |
Capital expenditures | 204.5 | 211.6 | 189.7 |
Asia/ Pacific | ' | ' | ' |
Net sales | 507.9 | 448.4 | 283.9 |
Income from operations | 0.5 | 10.2 | 23.9 |
Depreciation | 9 | 9.4 | 3.8 |
Total assets | 289.5 | 295.8 | 215.7 |
Capital expenditures | $47.50 | $16.60 | $11 |
Segment_Reporting_Income_From_
Segment Reporting (Income From Operations And Total Assets) (Details) (USD $) | 12 Months Ended | |||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' |
Segment income from operations | $900.70 | $693.20 | $610.30 | ' |
Corporate expenses | -116.2 | -107.1 | -90.6 | ' |
Stock compensation expense | -34.9 | -37 | -24.6 | ' |
Restructuring and other infrequent income | 0 | 0 | 0.7 | ' |
Impairment charge | 0 | -22.4 | 0 | ' |
Amortization of intangibles | -47.8 | -49.3 | -21.6 | ' |
Segment income from operations | 900.7 | 693.2 | 610.3 | ' |
Cash and cash equivalents | 1,047.20 | 781.3 | 724.4 | 719.9 |
Receivables from affiliates | 124.3 | 41.5 | 122.9 | ' |
Investment in affiliates | 416.1 | 390.3 | 346.3 | ' |
Deferred tax assets, other current and noncurrent assets | 672.2 | 716.9 | 572.8 | ' |
Intangible assets, net | 565.6 | 607.1 | 666.5 | ' |
Goodwill | 1,178.70 | 1,192.40 | 1,194.50 | 632.7 |
Total assets | 8,438.80 | 7,721.80 | 7,257.20 | ' |
Operating Segments | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' |
Segment income from operations | 1,097.30 | 906.6 | 744.8 | ' |
Segment income from operations | 1,097.30 | 906.6 | 744.8 | ' |
Total assets | 4,434.70 | 3,992.30 | 3,629.80 | ' |
Selling, General and Administrative Expenses | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ' | ' | ' | ' |
Stock compensation expense | ($32.60) | ($34.60) | ($23) | ' |
Segment_Reporting_Schedule_of_
Segment Reporting (Schedule of Revenue from External Customers Attributed to Foreign Countries by Geographic Area) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | $10,786.90 | $9,962.20 | $8,773.20 |
United States | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 2,216.50 | 2,033.10 | 1,363.70 |
Canada | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 419.4 | 415.9 | 315.6 |
Germany | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 1,301 | 1,114.40 | 1,067.30 |
France | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 1,136.80 | 944.3 | 825.1 |
United Kingdom and Ireland | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 471.8 | 481 | 449.5 |
Finland and Scandinavia | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 828.5 | 790.2 | 835.4 |
Other Europe | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 1,422.60 | 1,421 | 1,403.20 |
South America | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 2,018.50 | 1,834.20 | 1,851 |
Middle East and Africa | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 320.7 | 322.9 | 266.7 |
Asia | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 293.1 | 232.4 | 96.6 |
Australia and New Zealand | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | 214.8 | 216 | 187.3 |
Mexico, Central America and Caribbean | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Net sales | $143.20 | $156.80 | $111.80 |
Segment_Reporting_Revenue_from
Segment Reporting (Revenue from External Customers by Products and Services) (Details) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | $10,786.90 | $9,962.20 | $8,773.20 |
Tractors | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | 6,491.10 | 5,882.40 | 5,779.60 |
Replacement Parts | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | 1,349.10 | 1,286.70 | 1,275.10 |
Other Machinery and Equipment | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | 1,001 | 963.2 | 723.8 |
Grain Storage and Protein Production Systems | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | 771.9 | 728.5 | 38.7 |
Combines | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | 652.8 | 638.9 | 610.8 |
Application Equipment | ' | ' | ' |
Revenue from External Customer [Line Items] | ' | ' | ' |
Net sales | $521 | $462.50 | $345.20 |
Segment_Reporting_Schedule_of_1
Segment Reporting (Schedule of Disclosure on Geographic Areas, Long-Lived Assets in Individual Foreign Countries by Country) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | $2,074.20 | $1,921 |
United States | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 634.4 | 624.8 |
Finland | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 221.3 | 199.5 |
Germany | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 498.1 | 458.2 |
Brazil | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 218.4 | 234 |
Italy | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 117.6 | 97.4 |
CHINA | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 112.3 | 65.5 |
France | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | 87.3 | 70.4 |
Other | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' |
Property, plant and equipment and amortizable intangible assets | $184.80 | $171.20 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Account (Details) (USD $) | 12 Months Ended | |||||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Allowances for Sales Incentive Discounts | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | $165.20 | [1] | $103.50 | [1] | $98.70 | |
Additions, Acquired Businesses | 0 | 0 | 0 | |||
Additions, Charged (Credited) to Costs and Expenses | 281.7 | 330.8 | 222.4 | |||
Deductions | -210.3 | -269.1 | -217.6 | |||
Foreign Currency Translation | 0 | 0 | 0 | |||
Balance at End of Period | 236.6 | [1] | 165.2 | [1] | 103.5 | [1] |
Allowance for Doubtful Accounts | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | 38.1 | 36.9 | 29.3 | |||
Additions, Acquired Businesses | 0 | 0.4 | 12.4 | |||
Additions, Charged (Credited) to Costs and Expenses | 3.2 | 5.4 | 4.3 | |||
Deductions | -5 | -4.8 | -7 | |||
Foreign Currency Translation | -1.4 | 0.2 | -2.1 | |||
Balance at End of Period | 34.9 | 38.1 | 36.9 | |||
Accruals of Severance, Relocation and Other Integration Costs [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | ' | 0.3 | 2.2 | |||
Additions, Charged (Credited) to Costs and Expenses | ' | 0 | 0.2 | |||
Additions, Reversal of Accrual | ' | 0 | -0.9 | |||
Deductions | ' | -0.3 | -1.4 | |||
Foreign Currency Translation | ' | 0 | 0.2 | |||
Balance at End of Period | ' | 0 | 0.3 | |||
Deferred Tax Asset Valuation Allowance [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | 74.5 | 145.8 | 262.5 | |||
Additions, Acquired Businesses | 0 | 0.2 | 28.9 | |||
Additions, Charged (Credited) to Costs and Expenses | 9.3 | [2] | -64.3 | [2] | -144.3 | [2] |
Deductions | -2.8 | -4.7 | 0 | |||
Foreign Currency Translation | -3.8 | -2.5 | -1.3 | |||
Balance at End of Period | 77.2 | 74.5 | 145.8 | |||
Accrued Expense | Allowances for Sales Incentive Discounts | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at End of Period | 206.2 | [1] | 143.7 | [1] | ' | |
Accounts Receivable Allowances [Member] | Allowances for Sales Incentive Discounts | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at End of Period | 30.4 | [1] | 21.5 | [1] | ' | |
Other Comprehensive Income [Member] | Deferred Tax Asset Valuation Allowance [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Additions, Charged (Credited) to Costs and Expenses | $0 | [2] | $0 | [2] | $6.40 | [2] |
[1] | As of December 31, 2013, approximately $206.2 million of this balance was recorded within “Accrued expenses†and approximately $30.4 million was recorded within “accounts receivable allowances†in the Company’s Consolidated Balance Sheets. As of December 31, 2012, approximately $143.7 million of this balance was recorded within “Accrued expenses†and approximately $21.5 million was recorded within “accounts receivable allowances†in the Company’s Consolidated Balance Sheets. | |||||
[2] | Amounts charged through other comprehensive income during the years ended December 31, 2013, 2012 and 2011 were $0.0 million, $0.0 million and $6.4 million, respectively. |