Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Jul. 31, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
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-Q | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 93,795,360 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $323.30 | $1,047.20 |
Accounts and notes receivable, net | 1,233.40 | 940.6 |
Inventories, net | 2,437.90 | 2,016.10 |
Deferred tax assets | 219.3 | 241.2 |
Other current assets | 319.7 | 272 |
Total current assets | 4,533.60 | 4,517.10 |
Property, plant and equipment, net | 1,603.50 | 1,602.30 |
Investment in affiliates | 448.2 | 416.1 |
Deferred tax assets | 23.6 | 24.4 |
Other assets | 128.2 | 134.6 |
Intangible assets, net | 541.6 | 565.6 |
Goodwill | 1,190.60 | 1,178.70 |
Total assets | 8,469.30 | 8,438.80 |
Current Liabilities: | ' | ' |
Current portion of long-term debt | 94.4 | 110.5 |
Convertible senior subordinated notes | 151.5 | 201.2 |
Accounts payable | 948.7 | 960.3 |
Accrued expenses | 1,375.10 | 1,389.20 |
Other current liabilities | 221 | 150.8 |
Total current liabilities | 2,790.70 | 2,812 |
Long-term debt, less current portion | 979.2 | 938.5 |
Pensions and postretirement health care benefits | 234.3 | 246.4 |
Deferred tax liabilities | 241.8 | 251.2 |
Other noncurrent liabilities | 160.9 | 145.9 |
Total liabilities | 4,406.90 | 4,394 |
Commitments and contingencies (Note 14) | ' | ' |
AGCO Corporation stockholders’ equity: | ' | ' |
Preferred stock; $0.01 par value, 1,000,000 shares authorized, no shares issued or outstanding in 2014 and 2013 | 0 | 0 |
Common stock; $0.01 par value, 150,000,000 shares authorized, 93,946,186 and 97,362,466 shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively | 0.9 | 1 |
Additional paid-in capital | 823 | 1,117.90 |
Retained earnings | 3,649.20 | 3,402 |
Accumulated other comprehensive loss | -445.3 | -510.7 |
Total AGCO Corporation stockholders’ equity | 4,027.80 | 4,010.20 |
Noncontrolling interests | 34.6 | 34.6 |
Total stockholders’ equity | 4,062.40 | 4,044.80 |
Total liabilities and stockholders’ equity | $8,469.30 | $8,438.80 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Statement of Financial Position [Abstract] | ' | ' |
Preferred stock, par value, in dollars per share | $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, in dollars per share | $0.01 | $0.01 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 93,946,186 | 97,362,466 |
Common stock, shares outstanding | 93,946,186 | 97,362,466 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Net sales | $2,750.30 | $3,048.20 | $5,083.70 | $5,451.30 |
Cost of goods sold | 2,118.80 | 2,337.90 | 3,937.30 | 4,207.90 |
Gross profit | 631.5 | 710.3 | 1,146.40 | 1,243.40 |
Selling, general and administrative expenses | 262.3 | 279.7 | 529.3 | 535.4 |
Engineering expenses | 92.5 | 91.4 | 174.7 | 179.4 |
Amortization of intangibles | 10 | 12.1 | 20 | 24.1 |
Income from operations | 266.7 | 327.1 | 422.4 | 504.5 |
Interest expense, net | 15.7 | 13.5 | 29.6 | 26.1 |
Other expense, net | 12.9 | 10.2 | 24.1 | 13.9 |
Income before income taxes and equity in net earnings of affiliates | 238.1 | 303.4 | 368.7 | 464.5 |
Income tax provision | 83.2 | 104.4 | 129.6 | 157.3 |
Income before equity in net earnings of affiliates | 154.9 | 199 | 239.1 | 307.2 |
Equity in net earnings of affiliates | 11.1 | 14.1 | 26.1 | 23 |
Net income | 166 | 213.1 | 265.2 | 330.2 |
Net loss attributable to noncontrolling interests | 2.2 | 0.6 | 2.6 | 1.5 |
Net income attributable to AGCO Corporation and subsidiaries | $168.20 | $213.70 | $267.80 | $331.70 |
Net income per common share attributable to AGCO Corporation and subsidiaries: | ' | ' | ' | ' |
Basic, in dollars per share | $1.79 | $2.20 | $2.83 | $3.41 |
Diluted, in dollars per share | $1.77 | $2.15 | $2.79 | $3.34 |
Cash dividends declared and paid per common share, in dollars per share | $0.11 | $0.10 | $0.22 | $0.20 |
Weighted average number of common and common equivalent shares outstanding: | ' | ' | ' | ' |
Basic, shares | 93.9 | 97.3 | 94.6 | 97.2 |
Diluted, shares | 95.1 | 99.3 | 95.9 | 99.2 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
Net income | $166 | $213.10 | $265.20 | $330.20 |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Foreign currency translation adjustments | 23.1 | -98.5 | 61.5 | -142.9 |
Defined benefit pension plans, net of tax | 1.9 | 2.4 | 3.7 | 4.8 |
Unrealized loss on derivatives, net of tax | -1.2 | -2 | -0.1 | -1.8 |
Other comprehensive income (loss), net of reclassification adjustments | 23.8 | -98.1 | 65.1 | -139.9 |
Comprehensive income | 189.8 | 115 | 330.3 | 190.3 |
Comprehensive loss attributable to noncontrolling interests | 2.2 | 0.9 | 2.9 | 1.7 |
Comprehensive income attributable to AGCO Corporation and subsidiaries | $192 | $115.90 | $333.20 | $192 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $265.20 | $330.20 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ' | ' |
Depreciation | 119.3 | 101.4 |
Deferred debt issuance cost amortization | 1.8 | 1.8 |
Amortization of intangibles | 20 | 24.1 |
Amortization of debt discount | 0 | 4.6 |
Stock compensation | 11.8 | 28.1 |
Equity in net earnings of affiliates, net of cash received | -19.6 | -12.2 |
Deferred income tax provision | 8.6 | 27.7 |
Other | 2.1 | 0.1 |
Changes in operating assets and liabilities: | ' | ' |
Accounts and notes receivable, net | -271.4 | -389.8 |
Inventories, net | -418.1 | -404.7 |
Other current and noncurrent assets | -37.2 | 2.9 |
Accounts payable | 12.6 | 214.9 |
Accrued expenses | 8.6 | 107.4 |
Other current and noncurrent liabilities | 42.1 | 28.5 |
Total adjustments | -519.4 | -265.2 |
Net cash (used in) provided by operating activities | -254.2 | 65 |
Cash flows from investing activities: | ' | ' |
Purchases of property, plant and equipment | -155.5 | -174.2 |
Proceeds from sale of property, plant and equipment | 1.5 | 2.2 |
Purchase of business | -0.1 | -0.1 |
Net cash used in investing activities | -154.1 | -172.1 |
Cash flows from financing activities: | ' | ' |
Purchases and retirement of common stock | -290 | -1 |
Proceeds from debt obligations, net | 51.9 | 91.7 |
Repurchase or conversion of convertible senior subordinated notes | -49.7 | 0 |
Payment of dividends to stockholders | -20.6 | -19.4 |
Payment of minimum tax withholdings on stock compensation | -11.9 | -15.9 |
Distribution to noncontrolling interests, net | -2 | -2.1 |
Payment of debt issuance costs | -1.3 | 0 |
Net cash (used in) provided by financing activities | -323.6 | 53.3 |
Effects of exchange rate changes on cash and cash equivalents | 8 | -46.9 |
Decrease in cash and cash equivalents | -723.9 | -100.7 |
Cash and cash equivalents, beginning of period | 1,047.20 | 781.3 |
Cash and cash equivalents, end of period | $323.30 | $680.60 |
Basis_of_Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of Presentation | ' |
BASIS OF PRESENTATION | |
The condensed consolidated financial statements of AGCO Corporation and its subsidiaries (the “Company” or “AGCO”) included herein have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements reflect all adjustments, which are of a normal recurring nature, necessary to present fairly the Company’s financial position, results of operations, comprehensive income and cash flows at the dates and for the periods presented. These condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013. Results for interim periods are not necessarily indicative of the results for the year. | |
Recent Accounting Pronouncements | |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers” (“ASU 2014-09”), which supersedes existing revenue recognition guidance under current U.S. GAAP. ASU 2014-09 outlines a comprehensive single revenue recognition model that provides a five-step analysis in determining when and how revenue is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers at an amount that reflects the consideration expected to be received in exchange for those goods or services. Additional disclosures will also be required to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The standard is effective for reporting periods beginning after December 15, 2016 using either a full retrospective or a modified retrospective approach. Early adoption is not permitted. The Company is currently evaluating the impact of adopting this standard on the Company’s results of operations and financial condition. | |
In July 2013, the FASB issued 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 was permitted. The adoption of ASU 2013-11 did not have a material impact on the Company’s results of operations or financial condition. |
Stock_Compensation_Plans
Stock Compensation Plans | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Stock Compensation Plans | ' | ||||||||||||||||
STOCK COMPENSATION PLANS | |||||||||||||||||
The Company recorded stock compensation expense as follows for the three and six months ended June 30, 2014 and 2013 (in millions): | |||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of goods sold | $ | 0.3 | $ | 1.3 | $ | 0.8 | $ | 1.9 | |||||||||
Selling, general and administrative expenses | 5.3 | 18.5 | 11.2 | 26.4 | |||||||||||||
Total stock compensation expense | $ | 5.6 | $ | 19.8 | $ | 12 | $ | 28.3 | |||||||||
Stock Incentive Plan | |||||||||||||||||
Under the Company’s 2006 Long Term Incentive Plan (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 and restricted stock awards to employees, officers and non-employee directors of the Company. | |||||||||||||||||
Employee Plans | |||||||||||||||||
The weighted average grant-date fair value of performance awards granted under the 2006 Plan during the six months ended June 30, 2014 and 2013 was $53.93 and $50.65, respectively. | |||||||||||||||||
During the six months ended June 30, 2014, the Company granted 864,600 awards related to the three-year performance period commencing in 2014 and ending in 2016, assuming the maximum target level of performance is achieved. The compensation expense associated with all awards granted under the 2006 Plan 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. Performance award transactions during the six months ended June 30, 2014 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 | 2,808,519 | ||||||||||||||||
Shares awarded | 864,600 | ||||||||||||||||
Shares forfeited or unearned | (78,272 | ) | |||||||||||||||
Shares earned | — | ||||||||||||||||
Shares awarded but not earned at June 30 | 3,594,847 | ||||||||||||||||
As of June 30, 2014, 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 $40.5 million, and the weighted average period over which it is expected to be recognized is approximately two years. | |||||||||||||||||
During the three and six months ended June 30, 2014, the Company recorded stock compensation expense of approximately $1.3 million and $2.6 million, respectively, associated with stock-settled appreciation rights (“SSAR”) awards. During the three and six months ended June 30, 2013, the Company recorded stock compensation expense of approximately $1.2 million and $2.3 million, respectively, associated with SSAR awards. 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 six months ended June 30, 2014 and 2013: | |||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Weighted average grant-date fair value | $ | 13.13 | $ | 22.22 | |||||||||||||
Weighted average assumptions under Black-Scholes option model: | |||||||||||||||||
Expected life of awards (years) | 3 | 5.5 | |||||||||||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | |||||||||||||
Expected volatility | 35.7 | % | 50.6 | % | |||||||||||||
Expected dividend yield | 0.8 | % | 0.8 | % | |||||||||||||
SSAR transactions during the six months ended June 30, 2014 were as follows: | |||||||||||||||||
SSARs outstanding at January 1 | 1,094,836 | ||||||||||||||||
SSARs granted | 297,900 | ||||||||||||||||
SSARs exercised | (12,550 | ) | |||||||||||||||
SSARs canceled or forfeited | (20,181 | ) | |||||||||||||||
SSARs outstanding at June 30 | 1,360,005 | ||||||||||||||||
SSAR price ranges per share: | |||||||||||||||||
Granted | $ | 55.23 | |||||||||||||||
Exercised | 21.45-52.94 | ||||||||||||||||
Canceled or forfeited | 21.45-56.98 | ||||||||||||||||
Weighted average SSAR exercise prices per share: | |||||||||||||||||
Granted | $ | 55.23 | |||||||||||||||
Exercised | 35.97 | ||||||||||||||||
Canceled or forfeited | 52.51 | ||||||||||||||||
Outstanding at June | 48.3 | ||||||||||||||||
At June 30, 2014, the weighted average remaining contractual life of SSARs outstanding was approximately four years. As of June 30, 2014, the total compensation cost related to unvested SSARs not yet recognized was approximately $11.2 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 life by groups of similar price as of June 30, 2014: | |||||||||||||||||
SSARs Outstanding | SSARs Exercisable | ||||||||||||||||
Range of Exercise Prices | Number of | Weighted Average | Weighted Average | Number of Shares | Weighted Average | ||||||||||||
Shares | Remaining | Exercise Price | Exercise Price | ||||||||||||||
Contractual Life | |||||||||||||||||
(Years) | |||||||||||||||||
$ 21.45 – $32.01 | 156,125 | 1.6 | $ | 21.88 | 154,000 | $ | 21.74 | ||||||||||
$ 33.65 – $43.39 | 125,525 | 2.6 | $ | 33.88 | 124,075 | $ | 33.76 | ||||||||||
$ 47.89 – $63.64 | 1,078,355 | 5 | $ | 53.8 | 378,950 | $ | 53.42 | ||||||||||
1,360,005 | 657,025 | $ | 42.28 | ||||||||||||||
The total fair value of SSARs vested during the six months ended June 30, 2014 was approximately $4.2 million. There were 702,980 SSARs that were not vested as of June 30, 2014. The total intrinsic value of outstanding and exercisable SSARs as of June 30, 2014 was $11.0 million and $9.2 million, respectively. The total intrinsic value of SSARs exercised during the six months ended June 30, 2014 was approximately $0.2 million. The Company realized an insignificant tax benefit from the exercise of these SSARs. | |||||||||||||||||
Director Restricted Stock Grants | |||||||||||||||||
The 2006 Plan provides for annual restricted stock grants of the Company’s common stock to all non-employee directors. The shares are restricted as to transferability for a period of one year. 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 2014 grant was made on April 24, 2014 and equated to 18,846 shares of common stock, of which 14,907 shares of common stock were issued after shares were withheld for taxes. The Company recorded stock compensation expense of approximately $1.1 million during the six months ended June 30, 2014 associated with these grants. | |||||||||||||||||
As of June 30, 2014, of the 10.0 million shares reserved for issuance under the 2006 Plan, approximately 2.5 million shares were available for grant, assuming the maximum number of shares are earned related to the performance award grants discussed above. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||
Goodwill and Other Intangible Assets | ' | |||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | ||||||||||||||||||||
Changes in the carrying amount of acquired intangible assets during the six months ended June 30, 2014 are summarized as follows (in millions): | ||||||||||||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
Tradenames | Relationships | Technology | ||||||||||||||||||
Gross carrying amounts: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 118.6 | $ | 502.7 | $ | 89.1 | $ | 14.9 | $ | 725.3 | ||||||||||
Adjustment | — | — | — | (4.8 | ) | (4.8 | ) | |||||||||||||
Foreign currency translation | 0.3 | 3.7 | (0.1 | ) | (0.4 | ) | 3.5 | |||||||||||||
Balance as of June 30, 2014 | $ | 118.9 | $ | 506.4 | $ | 89 | $ | 9.7 | $ | 724 | ||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
Tradenames | Relationships | Technology | ||||||||||||||||||
Accumulated amortization: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 31 | $ | 160.7 | $ | 59 | $ | 2.7 | $ | 253.4 | ||||||||||
Amortization expense | 3 | 15.4 | 1.5 | 0.1 | 20 | |||||||||||||||
Foreign currency translation | — | 2.9 | (0.2 | ) | (0.1 | ) | 2.6 | |||||||||||||
Balance as of June 30, 2014 | $ | 34 | $ | 179 | $ | 60.3 | $ | 2.7 | $ | 276 | ||||||||||
Trademarks and | ||||||||||||||||||||
Tradenames | ||||||||||||||||||||
Indefinite-lived intangible assets: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 93.7 | ||||||||||||||||||
Foreign currency translation | (0.1 | ) | ||||||||||||||||||
Balance as of June 30, 2014 | $ | 93.6 | ||||||||||||||||||
Changes in the carrying amount of goodwill during the six months ended June 30, 2014 are summarized as follows (in millions): | ||||||||||||||||||||
North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | |||||||||||||||||
Balance as of December 31, 2013 | $ | 424 | $ | 190.7 | $ | 506.6 | $ | 57.4 | $ | 1,178.70 | ||||||||||
Foreign currency translation | — | 12.9 | (0.9 | ) | (0.1 | ) | 11.9 | |||||||||||||
Balance as of June 30, 2014 | $ | 424 | $ | 203.6 | $ | 505.7 | $ | 57.3 | $ | 1,190.60 | ||||||||||
Goodwill is tested for impairment on an annual basis and more often if indications of impairment exist. The Company conducts its annual impairment analyses as of October 1 each fiscal year. | ||||||||||||||||||||
The Company currently amortizes certain acquired intangible assets, primarily on a straight-line basis, over their estimated useful lives, which range from five to 50 years. |
Indebtedness
Indebtedness | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Indebtedness [Abstract] | ' | |||||||
Indebtedness | ' | |||||||
INDEBTEDNESS | ||||||||
Indebtedness consisted of the following at June 30, 2014 and December 31, 2013 (in millions): | ||||||||
June 30, 2014 | December 31, 2013 | |||||||
11/4% Convertible senior subordinated notes due 2036 | $ | 151.5 | $ | 201.2 | ||||
41/2% Senior term loan due 2016 | 273.8 | 275 | ||||||
57/8% Senior notes due 2021 | 300 | 300 | ||||||
Credit facility, expiring 2019 | 355 | 360 | ||||||
Other long-term debt | 144.8 | 114 | ||||||
1,225.10 | 1,250.20 | |||||||
Less: Current portion of long-term debt | (94.4 | ) | (110.5 | ) | ||||
11/4% Convertible senior subordinated notes due 2036 | (151.5 | ) | (201.2 | ) | ||||
Total indebtedness, less current portion | $ | 979.2 | $ | 938.5 | ||||
Convertible Senior Subordinated Notes | ||||||||
The carrying amount of the equity component of the Company’s 11/4% convertible senior subordinated notes due 2036 was $32.3 million and $54.3 million as of June 30, 2014 and December 31, 2013, respectively. The discount on the liability component of the notes was fully amortized as of December 31, 2013. The interest expense recognized relating to the contractual interest coupon and the amortization of the discount on the liability component for the 11/4% convertible senior subordinated notes was approximately $0.3 million and $0.9 million for the three and six months ended June 30, 2014, respectively, and $2.9 million and $5.8 million for the three and six months ended June 30, 2013, respectively. The effective interest rate on the liability component for the 11/4% convertible senior subordinated notes for the six months ended June 30, 2013 was 6.1%. | ||||||||
The Company’s 11/4% convertible senior subordinated notes, due December 15, 2036, were issued in December 2006, and provided for (i) 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, and (ii) the conversion rate to be increased under certain circumstances if the notes were converted in connection with certain change of control transactions occurring prior to December 15, 2013. The notes were unsecured obligations and were convertible into cash and shares of the Company’s common stock upon satisfaction of certain conditions. Interest was 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 were convertible into shares of the Company’s common stock at an effective price of $40.27 per share as of June 30, 2014, subject to adjustment, including to reflect the impact to the conversion rate upon payment of any dividends to the Company’s stockholders. The effective price reflected a conversion rate for the notes of 24.8295 shares of common stock per $1,000 principal amount of notes. | ||||||||
During the six months ended June 30, 2014, holders of the Company’s 11/4% convertible senior subordinated notes converted or the Company repurchased approximately $49.7 million of principal amount of the notes. The Company issued 378,087 shares of its common stock associated with the $21.9 million excess conversion value of the notes. The Company reflected the repayment of the principal of the notes totaling $49.7 million within “Repurchase or conversion of convertible senior subordinated notes” within the Company’s Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2014. | ||||||||
Holders of the Company’s 11/4% convertible senior subordinated notes had the ability to convert the notes if, during any fiscal quarter, the closing sales price of the Company’s common stock exceeded 120% of the conversion price of $40.27 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. In May 2014, the Company announced its election to redeem all of its outstanding 11/4% convertible senior subordinated notes with a redemption date of June 20, 2014. Substantially all of the holders of the Company’s notes elected to convert their notes prior to the redemption date. At the end of the required conversion period, in July 2014, holders of the notes converted and the Company paid the remaining principal amount of approximately $151.5 million of the notes. The Company issued 1,059,378 shares of its common stock associated with the $59.1 million excess conversion value of the notes. As a result of the ability of the holders to convert and the subsequent conversions, the Company classified the notes as a current liability as of June 30, 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 also classified the notes as a current liability as of December 31, 2013. | ||||||||
4 1/2% Senior Term Loan | ||||||||
The Company’s €200.0 million (or approximately $273.8 million as of June 30, 2014) 41/2% senior term loan with Coöperatieve Centrale Raiffeisen-Boerenleenbank B.A. (“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 December 1, 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 | ||||||||
On June 30, 2014, the Company amended and restated its current credit facility agreement, increasing the multi-currency revolving credit facility from $600.0 million to $800.0 million and maintaining its $355.0 million term loan facility. The maturity date of the Company’s credit facility was also extended until June 28, 2019. The Company amended the term loan facility so that it is no longer required to make quarterly payments towards the term loan. Previously, the Company was required to make quarterly payments towards the term loan of $5.0 million that were to 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 US 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 June 30, 2014, the Company had $355.0 million of outstanding borrowings under the credit facility and availability to borrow approximately $800.0 million. As of December 31, 2013, the Company had $360.0 million of outstanding borrowings under its credit facility and availability to borrow approximately $600.0 million. | ||||||||
The carrying amounts of long-term debt under the Company’s 41/2% senior term loan and credit facility approximate their fair values based on the borrowing rates currently available to the Company for loans with similar terms and average maturities. At June 30, 2014, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible senior subordinated notes, based on their listed market values, were $339.8 million and $204.3 million, respectively, compared to their carrying values of $300.0 million and $151.5 million, respectively. At December 31, 2013, the estimated fair values of the Company’s 57/8% senior notes and 11/4% convertible senior subordinated notes, 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. | ||||||||
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 June 30, 2014 and December 31, 2013, outstanding letters of credit totaled $19.1 million and $16.7 million, respectively. |
Inventories
Inventories | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Inventories | ' | |||||||
INVENTORIES | ||||||||
Inventories at June 30, 2014 and December 31, 2013 were as follows (in millions): | ||||||||
June 30, 2014 | December 31, 2013 | |||||||
Finished goods | $ | 958 | $ | 775.7 | ||||
Repair and replacement parts | 658.9 | 550.2 | ||||||
Work in process | 195.6 | 109 | ||||||
Raw materials | 625.4 | 581.2 | ||||||
Inventories, net | $ | 2,437.90 | $ | 2,016.10 | ||||
Product_Warranty
Product Warranty | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Product Warranty [Abstract] | ' | |||||||||||||||
Product Warranty | ' | |||||||||||||||
PRODUCT WARRANTY | ||||||||||||||||
The warranty reserve activity for the three and six months ended June 30, 2014 and 2013 consisted of the following (in millions): | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Balance at beginning of period | $ | 305 | $ | 266.4 | $ | 294.9 | $ | 256.9 | ||||||||
Accruals for warranties issued during the period | 43.3 | 66.2 | 98.9 | 109.5 | ||||||||||||
Settlements made (in cash or in kind) during the period | (44.7 | ) | (38.6 | ) | (90.8 | ) | (67.1 | ) | ||||||||
Foreign currency translation | 0.3 | (0.2 | ) | 0.9 | (5.5 | ) | ||||||||||
Balance at June 30 | $ | 303.9 | $ | 293.8 | $ | 303.9 | $ | 293.8 | ||||||||
The Company’s agricultural equipment products are generally warranted against defects in material 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 $262.6 million and $255.9 million of warranty reserves are included in “Accrued expenses” in the Company’s Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013, respectively. Approximately $41.3 million and $39.0 million of warranty reserves are included in “Other noncurrent liabilities” in the Company’s Condensed Consolidated Balance Sheets as of June 30, 2014 and December 31, 2013, respectively. |
Net_Income_Per_Common_Share
Net Income Per Common Share | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Net Income Per Common Share | ' | |||||||||||||||
NET INCOME PER COMMON SHARE | ||||||||||||||||
Basic net income per common share is computed by dividing net income attributable to AGCO Corporation and its subsidiaries by the weighted average number of common shares outstanding during each period. Diluted net income per common share assumes the exercise of outstanding SSARs, vesting of performance share awards, and the appreciation of the excess conversion value of the Company’s contingently convertible senior subordinated notes using the treasury stock method when the effects of such assumptions are dilutive. Dilution of weighted shares outstanding depended on the Company’s stock price for the excess conversion value of the contingently convertible senior subordinated notes using the treasury stock method. 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 for the three and six months ended June 30, 2014 and 2013 is as follows (in millions, except per share data): | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Basic net income per share: | ||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 168.2 | $ | 213.7 | $ | 267.8 | $ | 331.7 | ||||||||
Weighted average number of common shares outstanding | 93.9 | 97.3 | 94.6 | 97.2 | ||||||||||||
Basic net income per share attributable to AGCO Corporation and subsidiaries | $ | 1.79 | $ | 2.2 | $ | 2.83 | $ | 3.41 | ||||||||
Diluted net income per share: | ||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 168.2 | $ | 213.7 | $ | 267.8 | $ | 331.7 | ||||||||
Weighted average number of common shares outstanding | 93.9 | 97.3 | 94.6 | 97.2 | ||||||||||||
Dilutive SSARs and performance share awards | 0.2 | 0.9 | 0.3 | 0.9 | ||||||||||||
Weighted average assumed conversion of contingently convertible senior subordinated notes | 1 | 1.1 | 1 | 1.1 | ||||||||||||
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted net income per share | 95.1 | 99.3 | 95.9 | 99.2 | ||||||||||||
Diluted net income per share attributable to AGCO Corporation and subsidiaries | $ | 1.77 | $ | 2.15 | $ | 2.79 | $ | 3.34 | ||||||||
SSARs to purchase approximately 1.1 million shares of the Company’s common stock for the three and six months ended June 30, 2014 and approximately 0.8 million shares of the Company’s common stock for the three and six months ended June 30, 2013 were outstanding but not included in the calculation of weighted average common and common equivalent shares outstanding because they had an antidilutive impact. |
Income_Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
INCOME TAXES | |
At June 30, 2014 and December 31, 2013, the Company had approximately $136.1 million and $122.2 million, respectively, of unrecognized tax benefits, all of which would affect the Company’s effective tax rate if recognized. At June 30, 2014 and December 31, 2013, the Company had approximately $64.6 million and $61.9 million, respectively, of accrued or deferred taxes related to uncertain income tax positions connected with ongoing tax audits in various jurisdictions that it expects to settle or pay in the next 12 months. The Company accrues interest and penalties related to unrecognized tax benefits in its provision for income taxes. At June 30, 2014 and December 31, 2013, the Company had accrued interest and penalties related to unrecognized tax benefits of $17.0 million and $14.4 million, respectively. | |
Generally, tax years 2008 through 2013 remain open to examination by taxing authorities in the United States and certain other foreign taxing jurisdictions. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||
Derivative Instruments and Hedging Activities | ' | ||||||||||||
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | |||||||||||||
All derivatives are recognized on the Company’s Condensed 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. 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. The Company’s most significant translation exposures are the Euro, the British pound and the Brazilian real in relation to the United States dollar, and the Swiss franc in relation to the Euro. 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 2014 and 2013, 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 income 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 gain recorded in other comprehensive income that was reclassified into cost of goods sold during the six months ended June 30, 2014 and 2013 was approximately $0.0 million and $1.6 million, respectively, on an after-tax basis. The outstanding contracts as of June 30, 2014 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 six months ended June 30, 2014 (in millions): | |||||||||||||
Before-Tax | Income | After-Tax | |||||||||||
Amount | Tax | Amount | |||||||||||
Accumulated derivative net losses as of December 31, 2013 | $ | (0.3 | ) | $ | (0.1 | ) | $ | (0.2 | ) | ||||
Net changes in fair value of derivatives | 0.6 | 0.7 | (0.1 | ) | |||||||||
Net gains reclassified from accumulated other comprehensive loss into income | (0.1 | ) | (0.1 | ) | — | ||||||||
Accumulated derivative net losses as of June 30, 2014 | $ | 0.2 | $ | 0.5 | $ | (0.3 | ) | ||||||
The Company had outstanding foreign currency contracts with a notional amount of approximately $81.6 million and $50.3 million as of June 30, 2014 and December 31, 2013, respectively, that were entered into to hedge forecasted sale and purchase transactions. | |||||||||||||
Derivative Transactions Not Designated as Hedging Instruments | |||||||||||||
During 2014 and 2013, 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 June 30, 2014 and December 31, 2013, the Company had outstanding foreign currency contracts with a notional amount of approximately $3,094.9 million and $1,288.4 million, respectively, that were entered into to hedge receivables and payables that were 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 three and six months ended June 30, 2014, the Company recorded a net gain of approximately $7.7 million and $5.9 million, respectively, within “Other expense, net” related to these contracts. For the three and six months ended June 30, 2013, the Company recorded a net gain (loss) of approximately $0.4 million and $(12.4) million, respectively, within “Other expense, net” related to these contracts. 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 June 30, 2014 (in millions): | |||||||||||||
Asset Derivatives as of | Liability Derivatives as of | ||||||||||||
30-Jun-14 | 30-Jun-14 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | 1.3 | Other current liabilities | $ | 1.4 | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 16.7 | Other current liabilities | 8.2 | |||||||||
Total derivative instruments | $ | 18 | $ | 9.6 | |||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2013 (in millions): | |||||||||||||
Asset Derivatives as of | Liability Derivatives as of | ||||||||||||
December 31, 2013 | 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 | |||||||||
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. |
Changes_in_Stockholders_Equity
Changes in Stockholders' Equity and Temporary Equity | 6 Months Ended | |||||||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||||||||||||||
Changes in Stockholders' Equity and Temporary Equity | ' | |||||||||||||||||||||||||||
CHANGES IN STOCKHOLDERS’ EQUITY AND TEMPORARY EQUITY | ||||||||||||||||||||||||||||
The following table sets forth changes in stockholders’ equity and temporary equity attributed to AGCO Corporation and its subsidiaries and to noncontrolling interests for the six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Common | Additional | Retained | Accumulated | Noncontrolling | Total Stockholders’ | Temporary Equity | ||||||||||||||||||||||
Stock | Paid-in | Earnings | Other | Interests | Equity | |||||||||||||||||||||||
Capital | Comprehensive | |||||||||||||||||||||||||||
Loss | ||||||||||||||||||||||||||||
Balance, December 31, 2013 | $ | 1 | $ | 1,117.90 | $ | 3,402.00 | $ | (510.7 | ) | $ | 34.6 | $ | 4,044.80 | $ | — | |||||||||||||
Stock compensation | — | 11.8 | — | — | — | 11.8 | — | |||||||||||||||||||||
Issuance of performance award stock | — | (11.8 | ) | — | — | — | (11.8 | ) | — | |||||||||||||||||||
SSARs exercised | — | (0.1 | ) | — | — | — | (0.1 | ) | — | |||||||||||||||||||
Distribution to noncontrolling interest | — | — | — | — | (2.0 | ) | (2.0 | ) | — | |||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||
Net income (loss) | — | — | 267.8 | — | 2 | 269.8 | (4.6 | ) | ||||||||||||||||||||
Other comprehensive income, net of reclassification adjustments: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | — | — | — | 61.8 | — | 61.8 | (0.3 | ) | ||||||||||||||||||||
Defined benefit pension plans, net of tax | — | — | — | 3.7 | — | 3.7 | — | |||||||||||||||||||||
Unrealized loss on derivatives, net of tax | — | — | — | (0.1 | ) | — | (0.1 | ) | — | |||||||||||||||||||
Payment of dividends to stockholders | — | — | (20.6 | ) | — | — | (20.6 | ) | — | |||||||||||||||||||
Purchases and retirement of common stock | (0.1 | ) | (289.9 | ) | — | — | — | (290.0 | ) | — | ||||||||||||||||||
Changes in noncontrolling interest | — | (4.9 | ) | — | — | — | (4.9 | ) | 4.9 | |||||||||||||||||||
Balance, June 30, 2014 | $ | 0.9 | $ | 823 | $ | 3,649.20 | $ | (445.3 | ) | $ | 34.6 | $ | 4,062.40 | $ | — | |||||||||||||
Total comprehensive loss attributable to noncontrolling interests and redeemable noncontrolling interest for the three and six months ended June 30, 2014 and 2013 was as follows (in millions): | ||||||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Net loss | $ | (2.2 | ) | $ | (0.6 | ) | $ | (2.6 | ) | $ | (1.5 | ) | ||||||||||||||||
Other comprehensive loss: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | — | (0.3 | ) | (0.3 | ) | (0.2 | ) | |||||||||||||||||||||
Total comprehensive loss | $ | (2.2 | ) | $ | (0.9 | ) | $ | (2.9 | ) | $ | (1.7 | ) | ||||||||||||||||
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 six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Defined Benefit Pension Plans | Deferred Net (Losses) Gains on Derivatives | Cumulative Translation Adjustment | Total | |||||||||||||||||||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (0.2 | ) | $ | (304.1 | ) | $ | (510.7 | ) | ||||||||||||||||
Other comprehensive (loss) gain before reclassifications | — | (0.1 | ) | 61.8 | 61.7 | |||||||||||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | 3.7 | — | — | 3.7 | ||||||||||||||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 3.7 | (0.1 | ) | 61.8 | 65.4 | |||||||||||||||||||||||
Accumulated other comprehensive loss, June 30, 2014 | $ | (202.7 | ) | $ | (0.3 | ) | $ | (242.3 | ) | $ | (445.3 | ) | ||||||||||||||||
The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the three and six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Amount Reclassified from Accumulated Other Comprehensive Loss(1) | ||||||||||||||||||||||||||||
Details about Accumulated Other Comprehensive Loss Components | Three months ended June 30, 2014 | Six months ended June 30, 2014 | Affected Line Item within the Condensed Consolidated Statements of Operations | |||||||||||||||||||||||||
Net gains on cash flow hedges | $ | (0.2 | ) | $ | (0.1 | ) | Cost of goods sold | |||||||||||||||||||||
0.1 | 0.1 | Income tax provision | ||||||||||||||||||||||||||
Reclassification net of tax | $ | (0.1 | ) | $ | — | |||||||||||||||||||||||
Defined benefit pension plans: | ||||||||||||||||||||||||||||
Amortization of net actuarial loss | $ | 2.2 | $ | 4.4 | (2) | |||||||||||||||||||||||
Amortization of prior service cost | 0.3 | 0.5 | (2) | |||||||||||||||||||||||||
Reclassification before tax | 2.5 | 4.9 | ||||||||||||||||||||||||||
(0.6 | ) | (1.2 | ) | Income tax provision | ||||||||||||||||||||||||
Reclassification net of tax | $ | 1.9 | $ | 3.7 | ||||||||||||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | $ | 1.8 | $ | 3.7 | ||||||||||||||||||||||||
____________________________________ | ||||||||||||||||||||||||||||
(1) (Gains) losses included within the Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2014. | ||||||||||||||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 12 to the Company’s Condensed Consolidated Financial Statements. | ||||||||||||||||||||||||||||
Share Repurchase Program | ||||||||||||||||||||||||||||
In July 2012, the Company’s Board of Directors approved a share repurchase program under which the Company can repurchase up to $50.0 million of its common stock. This share repurchase program does not have an expiration date. In December 2013, the Company’s Board of Directors approved an additional share repurchase program under which the Company can repurchase up to $500.0 million of its common stock through an expiration date of June 2015. | ||||||||||||||||||||||||||||
During the six months ended June 30, 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 4,178,915 shares during the six months ended June 30, 2014 related to these ASRs. The specific number of shares the Company ultimately repurchased was 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 was entitled to receive additional shares of common stock or, under certain circumstances, was required to remit a settlement amount. In July 2014, the Company received an additional 1,210,204 shares of common stock upon final settlement of the ASRs. All shares received under the ASRs 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 Condensed 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. |
Accounts_Receivable_Sales_Agre
Accounts Receivable Sales Agreements | 6 Months Ended |
Jun. 30, 2014 | |
Accounts Receivable Sales Agreements [Abstract] | ' |
Accounts Receivable Sales Agreements | ' |
ACCOUNTS RECEIVABLE SALES AGREEMENTS | |
As of June 30, 2014 and December 31, 2013, 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 June 30, 2014 and December 31, 2013, the cash received from receivables sold under the U.S., Canadian and European accounts receivable sales agreements was approximately $1.4 billion and $1.3 billion, respectively. | |
Under the terms of the accounts receivable 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 were reflected within losses on the sales of receivables included within “Other expense, net” in the Company’s Condensed 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. | |
Losses on sales of receivables associated with the accounts receivable financing facilities discussed above, reflected within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations, were approximately $6.7 million and $14.2 million during the three and six months ended June 30, 2014, respectively. Losses on sales of receivables associated with the accounts receivable financing facilities discussed above, reflected within “Other expense, net” in the Company’s Condensed Consolidated Statements of Operations, were approximately $6.5 million and $12.1 million during the three and six months ended June 30, 2013, 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 June 30, 2014 and December 31, 2013, these retail finance joint ventures had approximately $66.9 million and $68.2 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. |
Employee_Benefit_Plans
Employee Benefit Plans | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | ||||||||||||
Employee Benefit Plans | ' | ||||||||||||
EMPLOYEE BENEFIT PLANS | |||||||||||||
Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the three months ended June 30, 2014 and 2013 are set forth below (in millions): | |||||||||||||
Three Months Ended June 30, | |||||||||||||
Pension benefits | 2014 | 2013 | |||||||||||
Service cost | $ | 4.3 | $ | 4.6 | |||||||||
Interest cost | 9.4 | 9.1 | |||||||||||
Expected return on plan assets | (11.2 | ) | (9.7 | ) | |||||||||
Amortization of net actuarial loss | 2.2 | 2.8 | |||||||||||
Amortization of prior service cost | 0.2 | 0.2 | |||||||||||
Net periodic pension cost | $ | 4.9 | $ | 7 | |||||||||
Three Months Ended June 30, | |||||||||||||
Postretirement benefits | 2014 | 2013 | |||||||||||
Interest cost | $ | 0.4 | $ | 0.5 | |||||||||
Amortization of net actuarial loss | — | 0.2 | |||||||||||
Amortization of prior service cost | 0.1 | 0.1 | |||||||||||
Net periodic postretirement benefit cost | $ | 0.5 | $ | 0.8 | |||||||||
Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the six months ended June 30, 2014 and 2013 are set forth below (in millions): | |||||||||||||
Six Months Ended June 30, | |||||||||||||
Pension benefits | 2014 | 2013 | |||||||||||
Service cost | $ | 8.6 | $ | 9.2 | |||||||||
Interest cost | 18.8 | 18.3 | |||||||||||
Expected return on plan assets | (22.4 | ) | (19.5 | ) | |||||||||
Amortization of net actuarial loss | 4.4 | 5.8 | |||||||||||
Amortization of prior service cost | 0.4 | 0.4 | |||||||||||
Net periodic pension cost | $ | 9.8 | $ | 14.2 | |||||||||
Six Months Ended June 30, | |||||||||||||
Postretirement benefits | 2014 | 2013 | |||||||||||
Service cost | $ | 0.1 | $ | 0.1 | |||||||||
Interest cost | 0.8 | 0.9 | |||||||||||
Amortization of net actuarial loss | — | 0.3 | |||||||||||
Amortization of prior service cost | 0.1 | 0.1 | |||||||||||
Net periodic postretirement benefit cost | $ | 1 | $ | 1.4 | |||||||||
The following table summarizes the activity in accumulated other comprehensive loss related to the Company’s defined pension and postretirement benefit plans during the six months ended June 30, 2014 (in millions): | |||||||||||||
Before-Tax | Income | After-Tax | |||||||||||
Amount | Tax | Amount | |||||||||||
Accumulated other comprehensive loss as of December 31, 2013 | $ | (279.4 | ) | $ | (73.0 | ) | $ | (206.4 | ) | ||||
Amortization of net actuarial loss | 4.4 | 1 | 3.4 | ||||||||||
Amortization of prior service cost | 0.5 | 0.2 | 0.3 | ||||||||||
Accumulated other comprehensive loss as of June 30, 2014 | $ | (274.5 | ) | $ | (71.8 | ) | $ | (202.7 | ) | ||||
During the six months ended June 30, 2014, approximately $23.1 million of contributions had been made to the Company’s defined pension benefit plans. The Company currently estimates its minimum contributions for 2014 to its defined pension benefit plans will aggregate approximately $44.3 million. | |||||||||||||
During the six months ended June 30, 2014, the Company made approximately $0.8 million of contributions to its postretirement health care and life insurance benefit plans. The Company currently estimates that it will make approximately $1.9 million of contributions to its postretirement health care and life insurance benefit plans during 2014. |
Segment_Reporting
Segment Reporting | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
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 three and six months ended June 30, 2014 and 2013 and assets as of June 30, 2014 and December 31, 2013 based on the Company’s reportable segments are as follows (in millions): | |||||||||||||||||||||
Three Months Ended June 30, | North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | ||||||||||||||||||
2014 | |||||||||||||||||||||
Net sales | $ | 686.2 | $ | 440.2 | $ | 1,521.90 | $ | 102 | $ | 2,750.30 | |||||||||||
Income (loss) from operations | 95.5 | 29.9 | 188.1 | (3.3 | ) | 310.2 | |||||||||||||||
Depreciation | 14.4 | 6.6 | 35.3 | 3.6 | 59.9 | ||||||||||||||||
Capital expenditures | 11.5 | 10.2 | 21.4 | 11.2 | 54.3 | ||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $ | 788.9 | $ | 540 | $ | 1,599.00 | $ | 120.3 | $ | 3,048.20 | |||||||||||
Income (loss) from operations | 121.6 | 59.7 | 204.9 | (0.8 | ) | 385.4 | |||||||||||||||
Depreciation | 12.2 | 6.3 | 30.5 | 2 | 51 | ||||||||||||||||
Capital expenditures | 12.6 | 12.6 | 48.5 | 6.5 | 80.2 | ||||||||||||||||
Six Months Ended June 30, | North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | ||||||||||||||||||
2014 | |||||||||||||||||||||
Net sales | $ | 1,333.70 | $ | 793.8 | $ | 2,757.80 | $ | 198.4 | $ | 5,083.70 | |||||||||||
Income (loss) from operations | 151 | 57.8 | 309 | (4.6 | ) | 513.2 | |||||||||||||||
Depreciation | 29.4 | 12.8 | 70.2 | 6.9 | 119.3 | ||||||||||||||||
Capital expenditures | 36.7 | 16.5 | 82.1 | 20.2 | 155.5 | ||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $ | 1,413.10 | $ | 1,005.70 | $ | 2,792.20 | $ | 240.3 | $ | 5,451.30 | |||||||||||
Income from operations | 193.7 | 108 | 304.6 | 4.7 | 611 | ||||||||||||||||
Depreciation | 24.2 | 12.7 | 60 | 4.5 | 101.4 | ||||||||||||||||
Capital expenditures | 27.5 | 30.6 | 101.7 | 14.4 | 174.2 | ||||||||||||||||
Assets | |||||||||||||||||||||
As of June 30, 2014 | $ | 1,136.30 | $ | 909.4 | $ | 2,679.50 | $ | 405.9 | $ | 5,131.10 | |||||||||||
As of December 31, 2013 | 1,002.80 | 773.5 | 2,368.90 | 289.5 | 4,434.70 | ||||||||||||||||
A reconciliation from the segment information to the consolidated balances for income from operations and total assets is set forth below (in millions): | |||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Segment income from operations | $ | 310.2 | $ | 385.4 | $ | 513.2 | $ | 611 | |||||||||||||
Corporate expenses | (28.2 | ) | (27.7 | ) | (59.6 | ) | (56.0 | ) | |||||||||||||
Stock compensation expense | (5.3 | ) | (18.5 | ) | (11.2 | ) | (26.4 | ) | |||||||||||||
Amortization of intangibles | (10.0 | ) | (12.1 | ) | (20.0 | ) | (24.1 | ) | |||||||||||||
Consolidated income from operations | $ | 266.7 | $ | 327.1 | $ | 422.4 | $ | 504.5 | |||||||||||||
30-Jun-14 | 31-Dec-13 | ||||||||||||||||||||
Segment assets | $ | 5,131.10 | $ | 4,434.70 | |||||||||||||||||
Cash and cash equivalents | 323.3 | 1,047.20 | |||||||||||||||||||
Receivables from affiliates | 143.7 | 124.3 | |||||||||||||||||||
Investments in affiliates | 448.2 | 416.1 | |||||||||||||||||||
Deferred tax assets, other current and noncurrent assets | 690.8 | 672.2 | |||||||||||||||||||
Intangible assets, net | 541.6 | 565.6 | |||||||||||||||||||
Goodwill | 1,190.60 | 1,178.70 | |||||||||||||||||||
Consolidated total assets | $ | 8,469.30 | $ | 8,438.80 | |||||||||||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
COMMITMENTS AND CONTINGENCIES | |
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 June 30, 2014, the Company guaranteed indebtedness owed to third parties of approximately $164.5 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 2019. 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 | |
The Company sells a majority of its wholesale receivables in North America and Europe to its 49% owned U.S., Canadian and European retail finance joint ventures. 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. | |
Legal Claims and Other Matters | |
As a result of Brazilian tax legislative changes impacting value added taxes (“VAT”), the Company recorded a reserve of approximately $69.0 million and $62.8 million against its outstanding balance of Brazilian VAT receivable as of June 30, 2014 and December 31, 2013, 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 June 30, 2014, not including interest and penalties, was approximately 131.5 million Brazilian reais (or approximately $59.5 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. |
Subsequent_Events_Notes
Subsequent Events (Notes) | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
SUBSEQUENT EVENT | |
On August 1, 2014, the Company acquired Intersystems Holdings, Inc. (“Intersystems”) for approximately $130.0 million, net of cash acquired of approximately $3.7 million. Intersystems is located in Omaha, Nebraska and designs and manufactures bulk material handling equipment, industrial sampling equipment, micro batch weighing devices and conveying systems, primarily for the agricultural, biofuels, and food and feed processing industries. The Company will allocate the purchase price to the assets acquired and liabilities assumed based on preliminary estimates of their fair values as of the acquisition date. The acquired assets of Intersystems consist primarily of accounts receivable, property, plant and equipment, inventories, goodwill and other identifiable intangible assets. The liabilities assumed consist of accounts payable and accrued expenses. The goodwill recorded will be reported within the Company’s North American geographical reportable segment. |
Basis_of_Presentation_Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Derivatives Policy | ' |
All derivatives are recognized on the Company’s Condensed 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. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers” (“ASU 2014-09”), which supersedes existing revenue recognition guidance under current U.S. GAAP. ASU 2014-09 outlines a comprehensive single revenue recognition model that provides a five-step analysis in determining when and how revenue is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers at an amount that reflects the consideration expected to be received in exchange for those goods or services. Additional disclosures will also be required to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. The standard is effective for reporting periods beginning after December 15, 2016 using either a full retrospective or a modified retrospective approach. Early adoption is not permitted. The Company is currently evaluating the impact of adopting this standard on the Company’s results of operations and financial condition. | |
In July 2013, the FASB issued 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 was permitted. The adoption of ASU 2013-11 did not have a material impact on the Company’s results of operations or financial condition. |
Stock_Compensation_Plans_Table
Stock Compensation Plans (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||||||
Stock Compensation Expense | ' | ||||||||||||||||
The Company recorded stock compensation expense as follows for the three and six months ended June 30, 2014 and 2013 (in millions): | |||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Cost of goods sold | $ | 0.3 | $ | 1.3 | $ | 0.8 | $ | 1.9 | |||||||||
Selling, general and administrative expenses | 5.3 | 18.5 | 11.2 | 26.4 | |||||||||||||
Total stock compensation expense | $ | 5.6 | $ | 19.8 | $ | 12 | $ | 28.3 | |||||||||
Performance Award Transactions | ' | ||||||||||||||||
Performance award transactions during the six months ended June 30, 2014 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 | 2,808,519 | ||||||||||||||||
Shares awarded | 864,600 | ||||||||||||||||
Shares forfeited or unearned | (78,272 | ) | |||||||||||||||
Shares earned | — | ||||||||||||||||
Shares awarded but not earned at June 30 | 3,594,847 | ||||||||||||||||
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 six months ended June 30, 2014 and 2013: | |||||||||||||||||
Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Weighted average grant-date fair value | $ | 13.13 | $ | 22.22 | |||||||||||||
Weighted average assumptions under Black-Scholes option model: | |||||||||||||||||
Expected life of awards (years) | 3 | 5.5 | |||||||||||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | |||||||||||||
Expected volatility | 35.7 | % | 50.6 | % | |||||||||||||
Expected dividend yield | 0.8 | % | 0.8 | % | |||||||||||||
SSAR Activity | ' | ||||||||||||||||
SSAR transactions during the six months ended June 30, 2014 were as follows: | |||||||||||||||||
SSARs outstanding at January 1 | 1,094,836 | ||||||||||||||||
SSARs granted | 297,900 | ||||||||||||||||
SSARs exercised | (12,550 | ) | |||||||||||||||
SSARs canceled or forfeited | (20,181 | ) | |||||||||||||||
SSARs outstanding at June 30 | 1,360,005 | ||||||||||||||||
SSAR price ranges per share: | |||||||||||||||||
Granted | $ | 55.23 | |||||||||||||||
Exercised | 21.45-52.94 | ||||||||||||||||
Canceled or forfeited | 21.45-56.98 | ||||||||||||||||
Weighted average SSAR exercise prices per share: | |||||||||||||||||
Granted | $ | 55.23 | |||||||||||||||
Exercised | 35.97 | ||||||||||||||||
Canceled or forfeited | 52.51 | ||||||||||||||||
Outstanding at June | 48.3 | ||||||||||||||||
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 life by groups of similar price as of June 30, 2014: | |||||||||||||||||
SSARs Outstanding | SSARs Exercisable | ||||||||||||||||
Range of Exercise Prices | Number of | Weighted Average | Weighted Average | Number of Shares | Weighted Average | ||||||||||||
Shares | Remaining | Exercise Price | Exercise Price | ||||||||||||||
Contractual Life | |||||||||||||||||
(Years) | |||||||||||||||||
$ 21.45 – $32.01 | 156,125 | 1.6 | $ | 21.88 | 154,000 | $ | 21.74 | ||||||||||
$ 33.65 – $43.39 | 125,525 | 2.6 | $ | 33.88 | 124,075 | $ | 33.76 | ||||||||||
$ 47.89 – $63.64 | 1,078,355 | 5 | $ | 53.8 | 378,950 | $ | 53.42 | ||||||||||
1,360,005 | 657,025 | $ | 42.28 | ||||||||||||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended | |||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||
Schedule of Finite-Lived Intangible Assets by Major Class | ' | |||||||||||||||||||
Changes in the carrying amount of acquired intangible assets during the six months ended June 30, 2014 are summarized as follows (in millions): | ||||||||||||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
Tradenames | Relationships | Technology | ||||||||||||||||||
Gross carrying amounts: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 118.6 | $ | 502.7 | $ | 89.1 | $ | 14.9 | $ | 725.3 | ||||||||||
Adjustment | — | — | — | (4.8 | ) | (4.8 | ) | |||||||||||||
Foreign currency translation | 0.3 | 3.7 | (0.1 | ) | (0.4 | ) | 3.5 | |||||||||||||
Balance as of June 30, 2014 | $ | 118.9 | $ | 506.4 | $ | 89 | $ | 9.7 | $ | 724 | ||||||||||
Trademarks and | Customer | Patents and | Land Use Rights | Total | ||||||||||||||||
Tradenames | Relationships | Technology | ||||||||||||||||||
Accumulated amortization: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 31 | $ | 160.7 | $ | 59 | $ | 2.7 | $ | 253.4 | ||||||||||
Amortization expense | 3 | 15.4 | 1.5 | 0.1 | 20 | |||||||||||||||
Foreign currency translation | — | 2.9 | (0.2 | ) | (0.1 | ) | 2.6 | |||||||||||||
Balance as of June 30, 2014 | $ | 34 | $ | 179 | $ | 60.3 | $ | 2.7 | $ | 276 | ||||||||||
Schedule of Indefinite-lived Intangible Assets by Major Class | ' | |||||||||||||||||||
Trademarks and | ||||||||||||||||||||
Tradenames | ||||||||||||||||||||
Indefinite-lived intangible assets: | ||||||||||||||||||||
Balance as of December 31, 2013 | $ | 93.7 | ||||||||||||||||||
Foreign currency translation | (0.1 | ) | ||||||||||||||||||
Balance as of June 30, 2014 | $ | 93.6 | ||||||||||||||||||
Schedule of Goodwill | ' | |||||||||||||||||||
Changes in the carrying amount of goodwill during the six months ended June 30, 2014 are summarized as follows (in millions): | ||||||||||||||||||||
North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | |||||||||||||||||
Balance as of December 31, 2013 | $ | 424 | $ | 190.7 | $ | 506.6 | $ | 57.4 | $ | 1,178.70 | ||||||||||
Foreign currency translation | — | 12.9 | (0.9 | ) | (0.1 | ) | 11.9 | |||||||||||||
Balance as of June 30, 2014 | $ | 424 | $ | 203.6 | $ | 505.7 | $ | 57.3 | $ | 1,190.60 | ||||||||||
Indebtedness_Tables
Indebtedness (Tables) | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Indebtedness [Abstract] | ' | |||||||
Components Of Indebtedness | ' | |||||||
Indebtedness consisted of the following at June 30, 2014 and December 31, 2013 (in millions): | ||||||||
June 30, 2014 | December 31, 2013 | |||||||
11/4% Convertible senior subordinated notes due 2036 | $ | 151.5 | $ | 201.2 | ||||
41/2% Senior term loan due 2016 | 273.8 | 275 | ||||||
57/8% Senior notes due 2021 | 300 | 300 | ||||||
Credit facility, expiring 2019 | 355 | 360 | ||||||
Other long-term debt | 144.8 | 114 | ||||||
1,225.10 | 1,250.20 | |||||||
Less: Current portion of long-term debt | (94.4 | ) | (110.5 | ) | ||||
11/4% Convertible senior subordinated notes due 2036 | (151.5 | ) | (201.2 | ) | ||||
Total indebtedness, less current portion | $ | 979.2 | $ | 938.5 | ||||
Inventories_Tables
Inventories (Tables) | 6 Months Ended | |||||||
Jun. 30, 2014 | ||||||||
Inventory Disclosure [Abstract] | ' | |||||||
Schedule of Inventory | ' | |||||||
Inventories at June 30, 2014 and December 31, 2013 were as follows (in millions): | ||||||||
June 30, 2014 | December 31, 2013 | |||||||
Finished goods | $ | 958 | $ | 775.7 | ||||
Repair and replacement parts | 658.9 | 550.2 | ||||||
Work in process | 195.6 | 109 | ||||||
Raw materials | 625.4 | 581.2 | ||||||
Inventories, net | $ | 2,437.90 | $ | 2,016.10 | ||||
Product_Warranty_Tables
Product Warranty (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Product Warranty [Abstract] | ' | |||||||||||||||
Schedule of Warranty Reserve Activity | ' | |||||||||||||||
The warranty reserve activity for the three and six months ended June 30, 2014 and 2013 consisted of the following (in millions): | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Balance at beginning of period | $ | 305 | $ | 266.4 | $ | 294.9 | $ | 256.9 | ||||||||
Accruals for warranties issued during the period | 43.3 | 66.2 | 98.9 | 109.5 | ||||||||||||
Settlements made (in cash or in kind) during the period | (44.7 | ) | (38.6 | ) | (90.8 | ) | (67.1 | ) | ||||||||
Foreign currency translation | 0.3 | (0.2 | ) | 0.9 | (5.5 | ) | ||||||||||
Balance at June 30 | $ | 303.9 | $ | 293.8 | $ | 303.9 | $ | 293.8 | ||||||||
Net_Income_Per_Common_Share_Ta
Net Income Per Common Share (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Calculation Of Basic And Diluted Earnings Per Share | ' | |||||||||||||||
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 for the three and six months ended June 30, 2014 and 2013 is as follows (in millions, except per share data): | ||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||
Basic net income per share: | ||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 168.2 | $ | 213.7 | $ | 267.8 | $ | 331.7 | ||||||||
Weighted average number of common shares outstanding | 93.9 | 97.3 | 94.6 | 97.2 | ||||||||||||
Basic net income per share attributable to AGCO Corporation and subsidiaries | $ | 1.79 | $ | 2.2 | $ | 2.83 | $ | 3.41 | ||||||||
Diluted net income per share: | ||||||||||||||||
Net income attributable to AGCO Corporation and subsidiaries | $ | 168.2 | $ | 213.7 | $ | 267.8 | $ | 331.7 | ||||||||
Weighted average number of common shares outstanding | 93.9 | 97.3 | 94.6 | 97.2 | ||||||||||||
Dilutive SSARs and performance share awards | 0.2 | 0.9 | 0.3 | 0.9 | ||||||||||||
Weighted average assumed conversion of contingently convertible senior subordinated notes | 1 | 1.1 | 1 | 1.1 | ||||||||||||
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted net income per share | 95.1 | 99.3 | 95.9 | 99.2 | ||||||||||||
Diluted net income per share attributable to AGCO Corporation and subsidiaries | $ | 1.77 | $ | 2.15 | $ | 2.79 | $ | 3.34 | ||||||||
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 6 Months Ended | ||||||||||||
Jun. 30, 2014 | |||||||||||||
Derivative Instruments and Hedging Activities Disclosure [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 six months ended June 30, 2014 (in millions): | |||||||||||||
Before-Tax | Income | After-Tax | |||||||||||
Amount | Tax | Amount | |||||||||||
Accumulated derivative net losses as of December 31, 2013 | $ | (0.3 | ) | $ | (0.1 | ) | $ | (0.2 | ) | ||||
Net changes in fair value of derivatives | 0.6 | 0.7 | (0.1 | ) | |||||||||
Net gains reclassified from accumulated other comprehensive loss into income | (0.1 | ) | (0.1 | ) | — | ||||||||
Accumulated derivative net losses as of June 30, 2014 | $ | 0.2 | $ | 0.5 | $ | (0.3 | ) | ||||||
Fair Value Of Derivative Instruments | ' | ||||||||||||
The table below sets forth the fair value of derivative instruments as of June 30, 2014 (in millions): | |||||||||||||
Asset Derivatives as of | Liability Derivatives as of | ||||||||||||
30-Jun-14 | 30-Jun-14 | ||||||||||||
Balance Sheet | Fair | Balance Sheet | Fair | ||||||||||
Location | Value | Location | Value | ||||||||||
Derivative instruments designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | $ | 1.3 | Other current liabilities | $ | 1.4 | |||||||
Derivative instruments not designated as hedging instruments: | |||||||||||||
Foreign currency contracts | Other current assets | 16.7 | Other current liabilities | 8.2 | |||||||||
Total derivative instruments | $ | 18 | $ | 9.6 | |||||||||
The table below sets forth the fair value of derivative instruments as of December 31, 2013 (in millions): | |||||||||||||
Asset Derivatives as of | Liability Derivatives as of | ||||||||||||
December 31, 2013 | 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 | |||||||||
Changes_in_Stockholders_Equity1
Changes in Stockholders' Equity and Temporary Equity (Tables) | 6 Months Ended | |||||||||||||||||||||||||||
Jun. 30, 2014 | ||||||||||||||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||||||||||||||||
Schedule Of Stockholders Equity | ' | |||||||||||||||||||||||||||
The following table sets forth changes in stockholders’ equity and temporary equity attributed to AGCO Corporation and its subsidiaries and to noncontrolling interests for the six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Common | Additional | Retained | Accumulated | Noncontrolling | Total Stockholders’ | Temporary Equity | ||||||||||||||||||||||
Stock | Paid-in | Earnings | Other | Interests | Equity | |||||||||||||||||||||||
Capital | Comprehensive | |||||||||||||||||||||||||||
Loss | ||||||||||||||||||||||||||||
Balance, December 31, 2013 | $ | 1 | $ | 1,117.90 | $ | 3,402.00 | $ | (510.7 | ) | $ | 34.6 | $ | 4,044.80 | $ | — | |||||||||||||
Stock compensation | — | 11.8 | — | — | — | 11.8 | — | |||||||||||||||||||||
Issuance of performance award stock | — | (11.8 | ) | — | — | — | (11.8 | ) | — | |||||||||||||||||||
SSARs exercised | — | (0.1 | ) | — | — | — | (0.1 | ) | — | |||||||||||||||||||
Distribution to noncontrolling interest | — | — | — | — | (2.0 | ) | (2.0 | ) | — | |||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||
Net income (loss) | — | — | 267.8 | — | 2 | 269.8 | (4.6 | ) | ||||||||||||||||||||
Other comprehensive income, net of reclassification adjustments: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | — | — | — | 61.8 | — | 61.8 | (0.3 | ) | ||||||||||||||||||||
Defined benefit pension plans, net of tax | — | — | — | 3.7 | — | 3.7 | — | |||||||||||||||||||||
Unrealized loss on derivatives, net of tax | — | — | — | (0.1 | ) | — | (0.1 | ) | — | |||||||||||||||||||
Payment of dividends to stockholders | — | — | (20.6 | ) | — | — | (20.6 | ) | — | |||||||||||||||||||
Purchases and retirement of common stock | (0.1 | ) | (289.9 | ) | — | — | — | (290.0 | ) | — | ||||||||||||||||||
Changes in noncontrolling interest | — | (4.9 | ) | — | — | — | (4.9 | ) | 4.9 | |||||||||||||||||||
Balance, June 30, 2014 | $ | 0.9 | $ | 823 | $ | 3,649.20 | $ | (445.3 | ) | $ | 34.6 | $ | 4,062.40 | $ | — | |||||||||||||
Schedule of Comprehensive Income (Loss) | ' | |||||||||||||||||||||||||||
Total comprehensive loss attributable to noncontrolling interests and redeemable noncontrolling interest for the three and six months ended June 30, 2014 and 2013 was as follows (in millions): | ||||||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | |||||||||||||||||||||||||
Net loss | $ | (2.2 | ) | $ | (0.6 | ) | $ | (2.6 | ) | $ | (1.5 | ) | ||||||||||||||||
Other comprehensive loss: | ||||||||||||||||||||||||||||
Foreign currency translation adjustments | — | (0.3 | ) | (0.3 | ) | (0.2 | ) | |||||||||||||||||||||
Total comprehensive loss | $ | (2.2 | ) | $ | (0.9 | ) | $ | (2.9 | ) | $ | (1.7 | ) | ||||||||||||||||
Summary of Accumulated Other Comprehensive (Loss) Income | ' | |||||||||||||||||||||||||||
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 six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Defined Benefit Pension Plans | Deferred Net (Losses) Gains on Derivatives | Cumulative Translation Adjustment | Total | |||||||||||||||||||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (0.2 | ) | $ | (304.1 | ) | $ | (510.7 | ) | ||||||||||||||||
Other comprehensive (loss) gain before reclassifications | — | (0.1 | ) | 61.8 | 61.7 | |||||||||||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | 3.7 | — | — | 3.7 | ||||||||||||||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 3.7 | (0.1 | ) | 61.8 | 65.4 | |||||||||||||||||||||||
Accumulated other comprehensive loss, June 30, 2014 | $ | (202.7 | ) | $ | (0.3 | ) | $ | (242.3 | ) | $ | (445.3 | ) | ||||||||||||||||
The following table summarizes the activity in accumulated other comprehensive loss related to the Company’s defined pension and postretirement benefit plans during the six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Before-Tax | Income | After-Tax | ||||||||||||||||||||||||||
Amount | Tax | Amount | ||||||||||||||||||||||||||
Accumulated other comprehensive loss as of December 31, 2013 | $ | (279.4 | ) | $ | (73.0 | ) | $ | (206.4 | ) | |||||||||||||||||||
Amortization of net actuarial loss | 4.4 | 1 | 3.4 | |||||||||||||||||||||||||
Amortization of prior service cost | 0.5 | 0.2 | 0.3 | |||||||||||||||||||||||||
Accumulated other comprehensive loss as of June 30, 2014 | $ | (274.5 | ) | $ | (71.8 | ) | $ | (202.7 | ) | |||||||||||||||||||
Reclassification Out Of Accumulated Other Comprehensive Loss | ' | |||||||||||||||||||||||||||
The following table sets forth reclassification adjustments out of accumulated other comprehensive loss by component attributed to AGCO Corporation and its subsidiaries for the three and six months ended June 30, 2014 (in millions): | ||||||||||||||||||||||||||||
Amount Reclassified from Accumulated Other Comprehensive Loss(1) | ||||||||||||||||||||||||||||
Details about Accumulated Other Comprehensive Loss Components | Three months ended June 30, 2014 | Six months ended June 30, 2014 | Affected Line Item within the Condensed Consolidated Statements of Operations | |||||||||||||||||||||||||
Net gains on cash flow hedges | $ | (0.2 | ) | $ | (0.1 | ) | Cost of goods sold | |||||||||||||||||||||
0.1 | 0.1 | Income tax provision | ||||||||||||||||||||||||||
Reclassification net of tax | $ | (0.1 | ) | $ | — | |||||||||||||||||||||||
Defined benefit pension plans: | ||||||||||||||||||||||||||||
Amortization of net actuarial loss | $ | 2.2 | $ | 4.4 | (2) | |||||||||||||||||||||||
Amortization of prior service cost | 0.3 | 0.5 | (2) | |||||||||||||||||||||||||
Reclassification before tax | 2.5 | 4.9 | ||||||||||||||||||||||||||
(0.6 | ) | (1.2 | ) | Income tax provision | ||||||||||||||||||||||||
Reclassification net of tax | $ | 1.9 | $ | 3.7 | ||||||||||||||||||||||||
Net losses reclassified from accumulated other comprehensive loss | $ | 1.8 | $ | 3.7 | ||||||||||||||||||||||||
____________________________________ | ||||||||||||||||||||||||||||
(1) (Gains) losses included within the Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2014. | ||||||||||||||||||||||||||||
(2) These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 12 to the Company’s Condensed Consolidated Financial Statements. |
Employee_Benefit_Plans_Tables
Employee Benefit Plans (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | |||||||||||||||
Summary of Accumulated Other Comprehensive Income | ' | |||||||||||||||
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 six months ended June 30, 2014 (in millions): | ||||||||||||||||
Defined Benefit Pension Plans | Deferred Net (Losses) Gains on Derivatives | Cumulative Translation Adjustment | Total | |||||||||||||
Accumulated other comprehensive loss, December 31, 2013 | $ | (206.4 | ) | $ | (0.2 | ) | $ | (304.1 | ) | $ | (510.7 | ) | ||||
Other comprehensive (loss) gain before reclassifications | — | (0.1 | ) | 61.8 | 61.7 | |||||||||||
Net losses reclassified from accumulated other comprehensive loss | 3.7 | — | — | 3.7 | ||||||||||||
Other comprehensive income (loss), net of reclassification adjustments | 3.7 | (0.1 | ) | 61.8 | 65.4 | |||||||||||
Accumulated other comprehensive loss, June 30, 2014 | $ | (202.7 | ) | $ | (0.3 | ) | $ | (242.3 | ) | $ | (445.3 | ) | ||||
The following table summarizes the activity in accumulated other comprehensive loss related to the Company’s defined pension and postretirement benefit plans during the six months ended June 30, 2014 (in millions): | ||||||||||||||||
Before-Tax | Income | After-Tax | ||||||||||||||
Amount | Tax | Amount | ||||||||||||||
Accumulated other comprehensive loss as of December 31, 2013 | $ | (279.4 | ) | $ | (73.0 | ) | $ | (206.4 | ) | |||||||
Amortization of net actuarial loss | 4.4 | 1 | 3.4 | |||||||||||||
Amortization of prior service cost | 0.5 | 0.2 | 0.3 | |||||||||||||
Accumulated other comprehensive loss as of June 30, 2014 | $ | (274.5 | ) | $ | (71.8 | ) | $ | (202.7 | ) | |||||||
Pension Benefits [Member] | ' | |||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | |||||||||||||||
Net Pension And Postretirement Cost | ' | |||||||||||||||
Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the six months ended June 30, 2014 and 2013 are set forth below (in millions): | ||||||||||||||||
Six Months Ended June 30, | ||||||||||||||||
Pension benefits | 2014 | 2013 | ||||||||||||||
Service cost | $ | 8.6 | $ | 9.2 | ||||||||||||
Interest cost | 18.8 | 18.3 | ||||||||||||||
Expected return on plan assets | (22.4 | ) | (19.5 | ) | ||||||||||||
Amortization of net actuarial loss | 4.4 | 5.8 | ||||||||||||||
Amortization of prior service cost | 0.4 | 0.4 | ||||||||||||||
Net periodic pension cost | $ | 9.8 | $ | 14.2 | ||||||||||||
Net periodic pension and postretirement benefit cost for the Company’s defined pension and postretirement benefit plans for the three months ended June 30, 2014 and 2013 are set forth below (in millions): | ||||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
Pension benefits | 2014 | 2013 | ||||||||||||||
Service cost | $ | 4.3 | $ | 4.6 | ||||||||||||
Interest cost | 9.4 | 9.1 | ||||||||||||||
Expected return on plan assets | (11.2 | ) | (9.7 | ) | ||||||||||||
Amortization of net actuarial loss | 2.2 | 2.8 | ||||||||||||||
Amortization of prior service cost | 0.2 | 0.2 | ||||||||||||||
Net periodic pension cost | $ | 4.9 | $ | 7 | ||||||||||||
Postretirement Benefits [Member] | ' | |||||||||||||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | |||||||||||||||
Net Pension And Postretirement Cost | ' | |||||||||||||||
Three Months Ended June 30, | ||||||||||||||||
Postretirement benefits | 2014 | 2013 | ||||||||||||||
Interest cost | $ | 0.4 | $ | 0.5 | ||||||||||||
Amortization of net actuarial loss | — | 0.2 | ||||||||||||||
Amortization of prior service cost | 0.1 | 0.1 | ||||||||||||||
Net periodic postretirement benefit cost | $ | 0.5 | $ | 0.8 | ||||||||||||
Six Months Ended June 30, | ||||||||||||||||
Postretirement benefits | 2014 | 2013 | ||||||||||||||
Service cost | $ | 0.1 | $ | 0.1 | ||||||||||||
Interest cost | 0.8 | 0.9 | ||||||||||||||
Amortization of net actuarial loss | — | 0.3 | ||||||||||||||
Amortization of prior service cost | 0.1 | 0.1 | ||||||||||||||
Net periodic postretirement benefit cost | $ | 1 | $ | 1.4 | ||||||||||||
Segment_Reporting_Tables
Segment Reporting (Tables) | 6 Months Ended | ||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||||||
Sales Information By Reportable Segments | ' | ||||||||||||||||||||
Segment results for the three and six months ended June 30, 2014 and 2013 and assets as of June 30, 2014 and December 31, 2013 based on the Company’s reportable segments are as follows (in millions): | |||||||||||||||||||||
Three Months Ended June 30, | North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | ||||||||||||||||||
2014 | |||||||||||||||||||||
Net sales | $ | 686.2 | $ | 440.2 | $ | 1,521.90 | $ | 102 | $ | 2,750.30 | |||||||||||
Income (loss) from operations | 95.5 | 29.9 | 188.1 | (3.3 | ) | 310.2 | |||||||||||||||
Depreciation | 14.4 | 6.6 | 35.3 | 3.6 | 59.9 | ||||||||||||||||
Capital expenditures | 11.5 | 10.2 | 21.4 | 11.2 | 54.3 | ||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $ | 788.9 | $ | 540 | $ | 1,599.00 | $ | 120.3 | $ | 3,048.20 | |||||||||||
Income (loss) from operations | 121.6 | 59.7 | 204.9 | (0.8 | ) | 385.4 | |||||||||||||||
Depreciation | 12.2 | 6.3 | 30.5 | 2 | 51 | ||||||||||||||||
Capital expenditures | 12.6 | 12.6 | 48.5 | 6.5 | 80.2 | ||||||||||||||||
Six Months Ended June 30, | North | South | Europe/Africa/ | Asia/ | Consolidated | ||||||||||||||||
America | America | Middle East | Pacific | ||||||||||||||||||
2014 | |||||||||||||||||||||
Net sales | $ | 1,333.70 | $ | 793.8 | $ | 2,757.80 | $ | 198.4 | $ | 5,083.70 | |||||||||||
Income (loss) from operations | 151 | 57.8 | 309 | (4.6 | ) | 513.2 | |||||||||||||||
Depreciation | 29.4 | 12.8 | 70.2 | 6.9 | 119.3 | ||||||||||||||||
Capital expenditures | 36.7 | 16.5 | 82.1 | 20.2 | 155.5 | ||||||||||||||||
2013 | |||||||||||||||||||||
Net sales | $ | 1,413.10 | $ | 1,005.70 | $ | 2,792.20 | $ | 240.3 | $ | 5,451.30 | |||||||||||
Income from operations | 193.7 | 108 | 304.6 | 4.7 | 611 | ||||||||||||||||
Depreciation | 24.2 | 12.7 | 60 | 4.5 | 101.4 | ||||||||||||||||
Capital expenditures | 27.5 | 30.6 | 101.7 | 14.4 | 174.2 | ||||||||||||||||
Assets | |||||||||||||||||||||
As of June 30, 2014 | $ | 1,136.30 | $ | 909.4 | $ | 2,679.50 | $ | 405.9 | $ | 5,131.10 | |||||||||||
As of December 31, 2013 | 1,002.80 | 773.5 | 2,368.90 | 289.5 | 4,434.70 | ||||||||||||||||
Reconciliation of Income From Operations from Segment to Consolidated | ' | ||||||||||||||||||||
A reconciliation from the segment information to the consolidated balances for income from operations and total assets is set forth below (in millions): | |||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Segment income from operations | $ | 310.2 | $ | 385.4 | $ | 513.2 | $ | 611 | |||||||||||||
Corporate expenses | (28.2 | ) | (27.7 | ) | (59.6 | ) | (56.0 | ) | |||||||||||||
Stock compensation expense | (5.3 | ) | (18.5 | ) | (11.2 | ) | (26.4 | ) | |||||||||||||
Amortization of intangibles | (10.0 | ) | (12.1 | ) | (20.0 | ) | (24.1 | ) | |||||||||||||
Consolidated income from operations | $ | 266.7 | $ | 327.1 | $ | 422.4 | $ | 504.5 | |||||||||||||
Reconciliation of Assets from Segment to Consolidated | ' | ||||||||||||||||||||
30-Jun-14 | 31-Dec-13 | ||||||||||||||||||||
Segment assets | $ | 5,131.10 | $ | 4,434.70 | |||||||||||||||||
Cash and cash equivalents | 323.3 | 1,047.20 | |||||||||||||||||||
Receivables from affiliates | 143.7 | 124.3 | |||||||||||||||||||
Investments in affiliates | 448.2 | 416.1 | |||||||||||||||||||
Deferred tax assets, other current and noncurrent assets | 690.8 | 672.2 | |||||||||||||||||||
Intangible assets, net | 541.6 | 565.6 | |||||||||||||||||||
Goodwill | 1,190.60 | 1,178.70 | |||||||||||||||||||
Consolidated total assets | $ | 8,469.30 | $ | 8,438.80 | |||||||||||||||||
Stock_Compensation_Plans_Narra
Stock Compensation Plans (Narrative) (Details) (USD $) | 3 Months Ended | 6 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 6 Months Ended | ||||||||
In Millions, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Apr. 24, 2014 | Jun. 30, 2014 |
2006 Plan [Member] | Performance Shares [Member] | Performance Shares [Member] | Performance Shares [Member] | Stock Appreciation Rights (SARs) [Member] | Stock Appreciation Rights (SARs) [Member] | Stock Appreciation Rights (SARs) [Member] | Stock Appreciation Rights (SARs) [Member] | Restricted Stock [Member] | Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, shares authorized | 150,000,000 | ' | 150,000,000 | ' | 150,000,000 | 10,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant-date fair value of performance awards granted, dollars per share | ' | ' | ' | ' | ' | ' | $53.93 | $50.65 | ' | ' | ' | $13.13 | $22.22 | ' | ' |
Shares awarded | ' | ' | ' | ' | ' | ' | 864,600 | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation cost not yet recognized | ' | ' | ' | ' | ' | ' | $40.50 | ' | ' | $11.20 | ' | $11.20 | ' | ' | ' |
Share-based compensation, recognition period of unrecognized compensation cost, years | ' | ' | ' | ' | ' | ' | '2 years | ' | ' | ' | ' | '3 years | ' | ' | ' |
Stock compensation expense | 5.6 | 19.8 | 12 | 28.3 | ' | ' | ' | ' | ' | 1.3 | 1.2 | 2.6 | 2.3 | ' | 1.1 |
Weighted average remaining contractual life of SSARs outstanding, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | ' | ' | ' |
Total fair value of SSARs vested | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.2 | ' | ' | ' |
Number of shares not vested | ' | ' | ' | ' | ' | ' | 3,594,847 | ' | 2,808,519 | 702,980 | ' | 702,980 | ' | ' | ' |
Total intrinsic value of outstanding SSARs | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11 | ' | 11 | ' | ' | ' |
Total intrinsic value of exercisable SSARs | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9.2 | ' | ' | ' |
Total intrinsic value of SSARs exercised | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.20 | ' | ' | ' |
Weighted-average period for compensation cost expected to be recognized, years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year |
Restricted stock issued, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 18,846 | ' |
Restricted common stocks issued, shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,907 | ' |
Shares available for grant, shares | ' | ' | ' | ' | ' | 2,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock_Compensation_Plans_Sched
Stock Compensation Plans (Schedule of Employee Service Share-based Compensation, Allocation of Recognized Costs) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Stock compensation expense | $5.60 | $19.80 | $12 | $28.30 |
Cost of goods sold [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Stock compensation expense | 0.3 | 1.3 | 0.8 | 1.9 |
Selling, general and administrative expenses [Member] | ' | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' | ' |
Stock compensation expense | $5.30 | $18.50 | $11.20 | $26.40 |
Stock_Compensation_Plans_Perfo
Stock Compensation Plans (Performance Award Transactions) (Details) (Performance Shares [Member]) | 6 Months Ended |
Jun. 30, 2014 | |
Performance Shares [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested [Roll Forward] | ' |
Shares awarded but not earned, beginning of period | 2,808,519 |
Shares awarded | 864,600 |
Shares forfeited or unearned | -78,272 |
Shares earned | 0 |
Shares awarded but not earned, end of period | 3,594,847 |
Stock_Compensation_Plans_Weigh
Stock Compensation Plans (Weighted Average Grant-Date Fair Value Of SSARS And Assumptions Under Black-Scholes Option Model) (Details) (Settled Stock Appreciation Rights (SSARs) [Member], USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Settled Stock Appreciation Rights (SSARs) [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Weighted average grant-date fair value, dollars per share | $13.13 | $22.22 |
Weighted average assumptions under Black-Scholes option model: | ' | ' |
Expected life of awards, years | '3 years | '5 years 6 months |
Risk-free interest rate, percent | 0.90% | 0.80% |
Expected volatility, percent | 35.70% | 50.60% |
Expected dividend yield, percent | 0.80% | 0.80% |
Stock_Compensation_Plans_SSAR_
Stock Compensation Plans (SSAR Activity) (Details) (Stock Appreciation Rights (SARs) [Member], USD $) | 6 Months Ended |
Jun. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding [Roll Forward] | ' |
SSARs Outstanding, Beginning of Period, shares | 1,094,836 |
SSARs granted, shares | 297,900 |
SSARs exercised, shares | -12,550 |
SSARs canceled or forfeited, shares | -20,181 |
SSARs Outstanding, End of Period, shares | 1,360,005 |
SSAR price ranges per share: | ' |
Granted, dollars per share | $55.23 |
Weighted average SSAR exercise prices per share: | ' |
Granted, dollars per share | $55.23 |
Exercised, dollars per share | $35.97 |
Canceled or forfeited, dollars per share | $52.51 |
Outstanding, dollars per share | $48.30 |
Minimum [Member] | ' |
SSAR price ranges per share: | ' |
Exercised, dollars per share | $21.45 |
Canceled or forfeited, dollars per share | $21.45 |
Maximum [Member] | ' |
SSAR price ranges per share: | ' |
Exercised, dollars per share | $52.94 |
Canceled or forfeited, dollars per share | $56.98 |
Stock_Compensation_Plans_Sched1
Stock Compensation Plans (Schedule Of SSAR Exercise Price Range, Number Of Shares, Weighted Average Exercise Price And Remaining Contractual Lives) (Details) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
$21.45 - $32.01 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Range of Exercise Prices, lower limit, dollars per share | $21.45 | ' |
Range of Exercise Prices, upper limit, dollars per share | $32.01 | ' |
$33.65 - $43.39 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Range of Exercise Prices, lower limit, dollars per share | $33.65 | ' |
Range of Exercise Prices, upper limit, dollars per share | $43.39 | ' |
$47.89 - $63.64 [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Range of Exercise Prices, lower limit, dollars per share | $47.89 | ' |
Range of Exercise Prices, upper limit, dollars per share | $63.64 | ' |
Stock Appreciation Rights (SARs) [Member] | ' | ' |
SSARs Outstanding | ' | ' |
SSARs Outstanding, shares | 1,360,005 | 1,094,836 |
Weighted Average Remaining Contractual Life, years | '4 years | ' |
SSARs Exercisable | ' | ' |
Number of Shares | 657,025 | ' |
Weighted Average Exercise Price, dollars per share | $42.28 | ' |
Stock Appreciation Rights (SARs) [Member] | $21.45 - $32.01 [Member] | ' | ' |
SSARs Outstanding | ' | ' |
SSARs Outstanding, shares | 156,125 | ' |
Weighted Average Remaining Contractual Life, years | '1 year 7 months 6 days | ' |
Weighted Average Exercise Price, dollars per share | $21.88 | ' |
SSARs Exercisable | ' | ' |
Number of Shares | 154,000 | ' |
Weighted Average Exercise Price, dollars per share | $21.74 | ' |
Stock Appreciation Rights (SARs) [Member] | $33.65 - $43.39 [Member] | ' | ' |
SSARs Outstanding | ' | ' |
SSARs Outstanding, shares | 125,525 | ' |
Weighted Average Remaining Contractual Life, years | '2 years 7 months 6 days | ' |
Weighted Average Exercise Price, dollars per share | $33.88 | ' |
SSARs Exercisable | ' | ' |
Number of Shares | 124,075 | ' |
Weighted Average Exercise Price, dollars per share | $33.76 | ' |
Stock Appreciation Rights (SARs) [Member] | $47.89 - $63.64 [Member] | ' | ' |
SSARs Outstanding | ' | ' |
SSARs Outstanding, shares | 1,078,355 | ' |
Weighted Average Remaining Contractual Life, years | '5 years | ' |
Weighted Average Exercise Price, dollars per share | $53.80 | ' |
SSARs Exercisable | ' | ' |
Number of Shares | 378,950 | ' |
Weighted Average Exercise Price, dollars per share | $53.42 | ' |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Gross carrying amounts: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | $725.30 | ' |
Adjustment | ' | ' | -4.8 | ' |
Foreign currency translation | ' | ' | 3.5 | ' |
Balance at end of period | 724 | ' | 724 | ' |
Accumulated amortization: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 253.4 | ' |
Amortization expense | 10 | 12.1 | 20 | 24.1 |
Foreign currency translation | ' | ' | 2.6 | ' |
Balance at end of period | 276 | ' | 276 | ' |
Trademarks and Tradenames [Member] | ' | ' | ' | ' |
Gross carrying amounts: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 118.6 | ' |
Adjustment | ' | ' | 0 | ' |
Foreign currency translation | ' | ' | 0.3 | ' |
Balance at end of period | 118.9 | ' | 118.9 | ' |
Accumulated amortization: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 31 | ' |
Amortization expense | ' | ' | 3 | ' |
Foreign currency translation | ' | ' | 0 | ' |
Balance at end of period | 34 | ' | 34 | ' |
Customer Relationships [Member] | ' | ' | ' | ' |
Gross carrying amounts: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 502.7 | ' |
Adjustment | ' | ' | 0 | ' |
Foreign currency translation | ' | ' | 3.7 | ' |
Balance at end of period | 506.4 | ' | 506.4 | ' |
Accumulated amortization: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 160.7 | ' |
Amortization expense | ' | ' | 15.4 | ' |
Foreign currency translation | ' | ' | 2.9 | ' |
Balance at end of period | 179 | ' | 179 | ' |
Patents and Technology [Member] | ' | ' | ' | ' |
Gross carrying amounts: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 89.1 | ' |
Adjustment | ' | ' | 0 | ' |
Foreign currency translation | ' | ' | -0.1 | ' |
Balance at end of period | 89 | ' | 89 | ' |
Accumulated amortization: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 59 | ' |
Amortization expense | ' | ' | 1.5 | ' |
Foreign currency translation | ' | ' | -0.2 | ' |
Balance at end of period | 60.3 | ' | 60.3 | ' |
Land Use Rights [Member] | ' | ' | ' | ' |
Gross carrying amounts: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 14.9 | ' |
Adjustment | ' | ' | -4.8 | ' |
Foreign currency translation | ' | ' | -0.4 | ' |
Balance at end of period | 9.7 | ' | 9.7 | ' |
Accumulated amortization: | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 2.7 | ' |
Amortization expense | ' | ' | 0.1 | ' |
Foreign currency translation | ' | ' | -0.1 | ' |
Balance at end of period | $2.70 | ' | $2.70 | ' |
Maximum [Member] | ' | ' | ' | ' |
Accumulated amortization: | ' | ' | ' | ' |
Estimated useful life, years | ' | ' | '50 years | ' |
Minimum [Member] | ' | ' | ' | ' |
Accumulated amortization: | ' | ' | ' | ' |
Estimated useful life, years | ' | ' | '5 years | ' |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Indefinite-Lived Intangible Assets) (Details) (Trademarks and Tradenames [Member], USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Trademarks and Tradenames [Member] | ' |
Indefinite-lived intangible assets: | ' |
Balance at beginning of period | $93.70 |
Foreign currency translation | -0.1 |
Balance at end of period | $93.60 |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets (Schedule of Goodwill) (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Goodwill | ' |
Goodwill at beginning of period | $1,178.70 |
Foreign currency translation | 11.9 |
Goodwill at end of period | 1,190.60 |
North America [Member] | ' |
Goodwill | ' |
Goodwill at beginning of period | 424 |
Foreign currency translation | 0 |
Goodwill at end of period | 424 |
South America [Member] | ' |
Goodwill | ' |
Goodwill at beginning of period | 190.7 |
Foreign currency translation | 12.9 |
Goodwill at end of period | 203.6 |
Europe/Africa/Middle East [Member] | ' |
Goodwill | ' |
Goodwill at beginning of period | 506.6 |
Foreign currency translation | -0.9 |
Goodwill at end of period | 505.7 |
Asia/Pacific [Member] | ' |
Goodwill | ' |
Goodwill at beginning of period | 57.4 |
Foreign currency translation | -0.1 |
Goodwill at end of period | $57.30 |
Indebtedness_Narrative_Details
Indebtedness (Narrative) (Details) | 6 Months Ended | 3 Months Ended | 6 Months Ended | 6 Months Ended | 1 Months Ended | 6 Months Ended | 6 Months Ended | ||||||||||||||||||
Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jul. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | |
USD ($) | USD ($) | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | 4 1/2% Senior Unsecured Term Loan Due 2016 [Member] | 4 1/2% Senior Unsecured Term Loan Due 2016 [Member] | 4 1/2% Senior Unsecured Term Loan Due 2016 [Member] | 5 7/8% Senior Notes due 2021 [Member] | 5 7/8% Senior Notes due 2021 [Member] | 5 7/8% Senior Notes due 2021 [Member] | Term Loan Facility [Member] | Subsequent Event [Member] | Revolving Credit Facility [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Amended and Restated Credit Facility Agreement [Member] | Future Periodic Payment [Member] | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | Interest Accrual, Option Two [Member] | USD ($) | 1 1/4% Convertible Senior Subordinated Notes Due December 15, 2036 [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Line of Credit [Member] | Term Loan Facility [Member] | Revolving Credit Facility [Member] | Term Loan Facility [Member] | |||
USD ($) | USD ($) | Interest Accrual, Option Two [Member] | Interest Accrual, Option Three [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | USD ($) | Line of Credit [Member] | USD ($) | |||||||||||||||
Interest Accrual, Option One [Member] | Interest Accrual, Option Three [Member] | Interest Accrual, Option One [Member] | Interest Accrual, Option Three [Member] | USD ($) | |||||||||||||||||||||
Variable Basis, Additional Margin [Member] | Variable Basis, Additional Margin [Member] | ||||||||||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Carrying amount | ' | ' | $32,300,000 | ' | $32,300,000 | ' | $54,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest expense on the liability component of convertible debt | ' | ' | 300,000 | 2,900,000 | 900,000 | 5,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, interest rate, effective percentage | ' | ' | 6.10% | ' | 6.10% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt maturity date | ' | ' | ' | ' | 15-Dec-36 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes conversion price (in dollars per share) | ' | ' | $40.27 | ' | $40.27 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes, conversion rate | ' | ' | ' | ' | 24.8295 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes, principal amount | ' | ' | 1,000 | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt repurchased | 49,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt converted | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 151,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Excess conversion value of notes | ' | ' | ' | ' | 21,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 59,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares issued | ' | ' | ' | ' | 378,087 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,059,378 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible senior subordinated notes, triggering event, percent of closing sales price to conversion price | ' | ' | ' | ' | 120.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Days within trading period required to trigger qualifying event | ' | ' | ' | ' | '20 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Trading period in which qualifying event must occur | ' | ' | ' | ' | '30 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Senior notes | ' | ' | ' | ' | ' | ' | ' | 273,800,000 | ' | 275,000,000 | 300,000,000 | 300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | 273,800,000 | 200,000,000 | ' | 300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Margin on variable rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | ' | ' | ' | 0.50% | 1.00% | 1.00% | 0.00% | 2.00% | 0.50% | ' | ' | ' |
Maximum borrowing capacity on line of credit facility | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 600,000,000 | ' | ' | ' | ' | ' | ' | 355,000,000 | 800,000,000 | ' |
Quarterly payment of debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 |
Credit facility | 355,000,000 | 360,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Remaining borrowing capacity on line of credit facility | 800,000,000 | 600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, estimated fair value | ' | ' | 204,300,000 | ' | 204,300,000 | ' | 290,500,000 | ' | ' | ' | 339,800,000 | 322,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible debt | 151,500,000 | 201,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding letters of credit | $19,100,000 | $16,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Indebtedness_Components_Of_Ind
Indebtedness (Components Of Indebtedness) (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ' | ' |
Convertible debt | $151,500,000 | $201,200,000 |
Credit facility | 355,000,000 | 360,000,000 |
Other long-term debt | 144,800,000 | 114,000,000 |
Total indebtedness | 1,225,100,000 | 1,250,200,000 |
Less: Current portion of long-term debt | -94,400,000 | -110,500,000 |
Convertible Notes Payable, Current | -151,500,000 | -201,200,000 |
Total indebtedness, less current portion | 979,200,000 | 938,500,000 |
1 1/4% Convertible Senior Subordinated Notes Due 2036 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate, percent | 1.25% | 1.25% |
Convertible Notes Payable, Current | -151,500,000 | -201,200,000 |
4 1/2% Senior Unsecured Term Loan Due May 2, 2016 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate, percent | 4.50% | 4.50% |
Senior notes | 273,800,000 | 275,000,000 |
5 7/8% Senior Notes due 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Debt instrument, interest rate, percent | 5.88% | 5.88% |
Senior notes | $300,000,000 | $300,000,000 |
Inventories_Details
Inventories (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Finished goods | $958 | $775.70 |
Repair and replacement parts | 658.9 | 550.2 |
Work in process | 195.6 | 109 |
Raw materials | 625.4 | 581.2 |
Inventories, net | $2,437.90 | $2,016.10 |
Product_Warranty_Details
Product Warranty (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Warranty reserve activity: | ' | ' | ' | ' | ' |
Balance at beginning of period | $305 | $266.40 | $294.90 | $256.90 | ' |
Accruals for warranties issued during the period | 43.3 | 66.2 | 98.9 | 109.5 | ' |
Settlements made (in cash or in kind) during the period | -44.7 | -38.6 | -90.8 | -67.1 | ' |
Foreign currency translation | 0.3 | -0.2 | 0.9 | -5.5 | ' |
Balance at end of period | 303.9 | 293.8 | 303.9 | 293.8 | ' |
Product warranty period, minimum, years | ' | ' | '1 year | ' | ' |
Product warranty period, maximum, years | ' | ' | '4 years | ' | ' |
Product warranty accrual, current | 262.6 | ' | 262.6 | ' | 255.9 |
Product warranty accrual, noncurrent | $41.30 | ' | $41.30 | ' | $39 |
Net_Income_Per_Common_Share_De
Net Income Per Common Share (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Basic net income per share: | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | $168.20 | $213.70 | $267.80 | $331.70 |
Weighted average number of common shares outstanding, shares | 93.9 | 97.3 | 94.6 | 97.2 |
Basic net income per share attributable to AGCO Corporation and subsidiaries, dollars per share | $1.79 | $2.20 | $2.83 | $3.41 |
Diluted net income per share: | ' | ' | ' | ' |
Dilutive SSARs, performance share awards and restricted stock awards, shares | 0.2 | 0.9 | 0.3 | 0.9 |
Weighted average assumed conversion of contingently convertible senior subordinated notes, shares | 1 | 1.1 | 1 | 1.1 |
Weighted average number of common shares and common share equivalents outstanding for purposes of computing diluted income per share, shares | 95.1 | 99.3 | 95.9 | 99.2 |
Diluted net income per share attributable to AGCO Corporation and subsidiaries, dollars per share | $1.77 | $2.15 | $2.79 | $3.34 |
Stock Appreciation Rights (SARs) [Member] | ' | ' | ' | ' |
Diluted net income per share: | ' | ' | ' | ' |
SSARs excluded from earnings per share computation, shares | 1.1 | 0.8 | 1.1 | 0.8 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Income Tax Disclosure [Abstract] | ' | ' |
Unrecognized income tax benefits that would affect effective tax rate | $136.10 | $122.20 |
Accrued or deferred taxes relating to uncertain income tax positions | 64.6 | 61.9 |
Accrued interest and penalties relating to unrecognized tax benefits | $17 | $14.40 |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Narrative) (Details) (USD $) | 6 Months Ended | 3 Months Ended | 6 Months Ended | ||||||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 |
country | Cash Flow Hedging [Member] | Cash Flow Hedging [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Foreign Currency Contracts [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | Not Designated as Hedging Instrument [Member] | |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of countries where products sold, countries (over 140) | 140 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net gains (losses) reclassified from accumulated other comprehensive loss into income | $0 | $0 | $1.60 | ' | ' | ' | ' | ' | ' | ' | ' |
Derivative, notional amount | ' | ' | ' | ' | ' | ' | ' | 81.6 | 50.3 | 3,094.90 | 1,288.40 |
Gain (loss) on derivative instruments not designated as hedging | ' | ' | ' | $7.70 | $0.40 | $5.90 | ($12.40) | ' | ' | ' | ' |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Summary Of Accumulated Other Comprehensive Loss Related To Derivatives) (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Before-Tax Amount | ' |
Accumulated derivative net gains, Beginning Balance | ($0.30) |
Net changes in fair value of derivatives | 0.6 |
Net losses reclassified from accumulated other comprehensive loss into income | -0.1 |
Accumulated derivative net gains, Ending Balance | 0.2 |
Income Tax | ' |
Accumulated derivative net gains, Beginning Balance | -0.1 |
Net changes in fair value of derivatives | 0.7 |
Net losses reclassified from accumulated other comprehensive loss into income | -0.1 |
Accumulated derivative net gains, Ending Balance | 0.5 |
After-Tax Amount | ' |
Accumulated derivative net gains, Beginning Balance | -0.2 |
Net changes in fair value of derivatives | -0.1 |
Net losses reclassified from accumulated other comprehensive loss into income | 0 |
Accumulated derivative net gains, Ending Balance | ($0.30) |
Derivative_Instruments_and_Hed4
Derivative Instruments and Hedging Activities (Fair Value Of Derivative Instruments) (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Other Current Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative asset, fair value | $18 | $13.90 |
Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liability, fair value | 9.6 | 5.4 |
Foreign Currency Contracts [Member] | Designated as Hedging Instrument [Member] | Other Current Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative asset, fair value | 1.3 | 0 |
Foreign Currency Contracts [Member] | Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liability, fair value | 1.4 | 0.1 |
Foreign Currency Contracts [Member] | Not Designated as Hedging Instrument [Member] | Other Current Assets [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative asset, fair value | 16.7 | 13.9 |
Foreign Currency Contracts [Member] | Not Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Derivative liability, fair value | $8.20 | $5.30 |
Changes_in_Stockholders_Equity2
Changes in Stockholders' Equity and Temporary Equity (Schedule of Stockholders' Equity) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | $4,010.20 | ' |
Balance at beginning of period | ' | ' | 34.6 | ' |
Balance at beginning of period | ' | ' | 4,044.80 | ' |
Balance at beginning of period | ' | ' | 0 | ' |
Stock compensation | ' | ' | 11.8 | ' |
SSARs exercised | ' | ' | -0.1 | ' |
Distribution to noncontrolling interest | ' | ' | -2 | ' |
Comprehensive (loss) income: | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | 168.2 | 213.7 | 267.8 | 331.7 |
Net income (loss) | -2.2 | -0.6 | -2.6 | -1.5 |
Net income (loss) | ' | ' | 269.8 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Foreign currency translation adjustments | ' | ' | 61.8 | ' |
Foreign currency translation adjustments | 0 | -0.3 | -0.3 | -0.2 |
Defined benefit pension plans, net of tax | 1.9 | 2.4 | 3.7 | 4.8 |
Unrealized loss on derivatives, net of tax | -1.2 | -2 | -0.1 | -1.8 |
Payments of dividends to stockholders | ' | ' | -20.6 | ' |
Repurchase and retirement of shares | ' | ' | -290 | ' |
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | ' | ' | -4.9 | ' |
Balance at end of period | 4,027.80 | ' | 4,027.80 | ' |
Balance at end of period | 34.6 | ' | 34.6 | ' |
Balance at end of period | 4,062.40 | ' | 4,062.40 | ' |
Balance at end of period | 0 | ' | 0 | ' |
Temporary Equity [Member] | ' | ' | ' | ' |
Comprehensive (loss) income: | ' | ' | ' | ' |
Net income (loss) | ' | ' | -4.6 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Foreign currency translation adjustments | ' | ' | -0.3 | ' |
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | ' | ' | 4.9 | ' |
Common Stock [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 1 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Repurchase and retirement of shares | ' | ' | -0.1 | ' |
Balance at end of period | 0.9 | ' | 0.9 | ' |
Additional Paid-in Capital [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 1,117.90 | ' |
Stock compensation | ' | ' | 11.8 | ' |
SSARs exercised | ' | ' | -0.1 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Repurchase and retirement of shares | ' | ' | -289.9 | ' |
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | ' | ' | -4.9 | ' |
Balance at end of period | 823 | ' | 823 | ' |
Retained Earnings [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 3,402 | ' |
Comprehensive (loss) income: | ' | ' | ' | ' |
Net income attributable to AGCO Corporation and subsidiaries | ' | ' | 267.8 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Payments of dividends to stockholders | ' | ' | -20.6 | ' |
Balance at end of period | 3,649.20 | ' | 3,649.20 | ' |
Accumulated Other Comprehensive Loss [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | -510.7 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Foreign currency translation adjustments | ' | ' | 61.8 | ' |
Defined benefit pension plans, net of tax | ' | ' | 3.7 | ' |
Unrealized loss on derivatives, net of tax | ' | ' | -0.1 | ' |
Balance at end of period | -445.3 | ' | -445.3 | ' |
Noncontrolling Interests [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Balance at beginning of period | ' | ' | 34.6 | ' |
Distribution to noncontrolling interest | ' | ' | -2 | ' |
Comprehensive (loss) income: | ' | ' | ' | ' |
Net income (loss) | ' | ' | 2 | ' |
Other comprehensive income (loss), net of reclassification adjustments: | ' | ' | ' | ' |
Balance at end of period | 34.6 | ' | 34.6 | ' |
Performance Shares [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Stock options and SSARs exercised | ' | ' | -11.8 | ' |
Performance Shares [Member] | Additional Paid-in Capital [Member] | ' | ' | ' | ' |
Schedule of Stockholders' Equity [Line Items] | ' | ' | ' | ' |
Stock options and SSARs exercised | ' | ' | ($11.80) | ' |
Changes_in_Stockholders_Equity3
Changes in Stockholders' Equity and Temporary Equity (Schedule of Comprehensive Income for Noncontrolling Interest) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Comprehensive (Income) Loss, Net of Tax, Attributable to Noncontrolling Interest [Abstract] | ' | ' | ' | ' |
Net loss | ($2.20) | ($0.60) | ($2.60) | ($1.50) |
Other comprehensive loss: | ' | ' | ' | ' |
Foreign currency translation adjustments | 0 | -0.3 | -0.3 | -0.2 |
Total comprehensive loss | ($2.20) | ($0.90) | ($2.90) | ($1.70) |
Changes_in_Stockholders_Equity4
Changes in Stockholders' Equity and Temporary Equity (Changes in Accumulated Other Comprehensive Income) (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss, December 31, 2013 | ($510.70) |
Other comprehensive (loss) gain before reclassifications | 61.7 |
Net losses reclassified from accumulated other comprehensive loss | 3.7 |
Other comprehensive income (loss), net of reclassification adjustments | 65.4 |
Accumulated other comprehensive loss, June 30, 2014 | -445.3 |
Defined Benefit Pension Plans [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss, December 31, 2013 | -206.4 |
Other comprehensive (loss) gain before reclassifications | 0 |
Net losses reclassified from accumulated other comprehensive loss | 3.7 |
Other comprehensive income (loss), net of reclassification adjustments | 3.7 |
Accumulated other comprehensive loss, June 30, 2014 | -202.7 |
Deferred Gains on Derivatives [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss, December 31, 2013 | -0.2 |
Other comprehensive (loss) gain before reclassifications | -0.1 |
Net losses reclassified from accumulated other comprehensive loss | 0 |
Other comprehensive income (loss), net of reclassification adjustments | -0.1 |
Accumulated other comprehensive loss, June 30, 2014 | -0.3 |
Cumulative Translatoin Adjustment [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ' |
Accumulated other comprehensive loss, December 31, 2013 | -304.1 |
Other comprehensive (loss) gain before reclassifications | 61.8 |
Net losses reclassified from accumulated other comprehensive loss | 0 |
Other comprehensive income (loss), net of reclassification adjustments | 61.8 |
Accumulated other comprehensive loss, June 30, 2014 | ($242.30) |
Changes_in_Stockholders_Equity5
Changes in Stockholders' Equity and Temporary Equity (Reclassifications out of Accumulated Other Comprehensive Income) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | ||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||
Cost of goods sold | ($2,118.80) | ($2,337.90) | ($3,937.30) | ($4,207.90) | ||
Amortization of net actuarial loss | ' | ' | -4.4 | ' | ||
Amortization of prior service cost | ' | ' | 0.5 | ' | ||
Income before income taxes and equity in net earnings of affiliates | 238.1 | 303.4 | 368.7 | 464.5 | ||
Income tax provision | -83.2 | -104.4 | -129.6 | -157.3 | ||
Net income attributable to AGCO Corporation and subsidiaries | 168.2 | 213.7 | 267.8 | 331.7 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||
Net income attributable to AGCO Corporation and subsidiaries | 1.8 | [1] | ' | 3.7 | [1] | ' |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Deferred Gains on Derivatives [Member] | ' | ' | ' | ' | ||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||
Cost of goods sold | -0.2 | [1] | ' | -0.1 | ' | |
Income tax provision | 0.1 | [1] | ' | 0.1 | ' | |
Net income attributable to AGCO Corporation and subsidiaries | -0.1 | [1] | ' | 0 | [1] | ' |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Defined Benefit Pension Plans [Member] | ' | ' | ' | ' | ||
Reclassification out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||
Amortization of net actuarial loss | 2.2 | [1],[2] | ' | 4.4 | ' | |
Amortization of prior service cost | 0.3 | [1],[2] | ' | 0.5 | ' | |
Income before income taxes and equity in net earnings of affiliates | 2.5 | [1] | ' | 4.9 | [1] | ' |
Income tax provision | -0.6 | [1] | ' | -1.2 | ' | |
Net income attributable to AGCO Corporation and subsidiaries | $1.90 | [1] | ' | $3.70 | [1] | ' |
[1] | (Gains) losses included within the Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2014. | |||||
[2] | These accumulated other comprehensive loss components are included in the computation of net periodic pension and postretirement benefit cost. See Note 12 to the Company’s Condensed Consolidated Financial Statements. |
Changes_in_Stockholders_Equity6
Changes in Stockholders' Equity and Temporary Equity (Narrative) (Details) (USD $) | 1 Months Ended | 6 Months Ended | 1 Months Ended | |
Dec. 31, 2013 | Jul. 31, 2012 | Jun. 30, 2014 | Jul. 31, 2014 | |
Subsequent Event [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' |
Stock repurchase program, authorized amount | $500,000,000 | $50,000,000 | $550,000,000 | ' |
Stock repurchased and retired during period | ' | ' | 290,000,000 | ' |
Stock repurchased and retired during period, shares | ' | ' | 4,178,915 | 1,210,204 |
Stock repurchase program, outstanding balance authorized to be repurchased | ' | ' | $241,400,000 | ' |
Accounts_Receivable_Sales_Agre1
Accounts Receivable Sales Agreements (Details) (USD $) | 6 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Corporate Joint Venture [Member] | Corporate Joint Venture [Member] | Other Expenses, Net [Member] | Other Expenses, Net [Member] | Other Expenses, Net [Member] | Other Expenses, Net [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture ownership percentage | ' | ' | 49.00% | 49.00% | ' | ' | ' | ' |
Net cash received from receivables sold | $1,400,000,000 | $1,300,000,000 | ' | ' | ' | ' | ' | ' |
Loss on sales of receivables | ' | ' | ' | ' | 6,700,000 | 6,500,000 | 14,200,000 | 12,100,000 |
Outstanding accounts receivable associated with retail finance joint ventures in Brazil and Australia | $66,900,000 | $68,200,000 | ' | ' | ' | ' | ' | ' |
Employee_Benefit_Plans_Narrati
Employee Benefit Plans (Narrative) (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Defined Benefit Pension Plans [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Employer contributions | $23.10 |
Defined Benefit Plan, Expected Contributions in Current Fiscal Year | 44.3 |
U.S Based Postretirement Health Care and Life Insurance Benefit Plans [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Employer contributions | 0.8 |
Defined Benefit Plan, Expected Contributions in Current Fiscal Year | $1.90 |
Employee_Benefit_Plans_Net_Pen
Employee Benefit Plans (Net Pension And Postretirement Cost) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Pension Benefits [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | $4.30 | $4.60 | $8.60 | $9.20 |
Interest cost | 9.4 | 9.1 | 18.8 | 18.3 |
Expected return on plan assets | -11.2 | -9.7 | -22.4 | -19.5 |
Amortization of net actuarial loss | 2.2 | 2.8 | 4.4 | 5.8 |
Amortization of prior service cost (credit) | 0.2 | 0.2 | 0.4 | 0.4 |
Net periodic pension or postretirement benefit cost | 4.9 | 7 | 9.8 | 14.2 |
Postretirement Benefits [Member] | ' | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' |
Service cost | ' | ' | 0.1 | 0.1 |
Interest cost | 0.4 | 0.5 | 0.8 | 0.9 |
Amortization of net actuarial loss | 0 | 0.2 | 0 | 0.3 |
Amortization of prior service cost (credit) | 0.1 | 0.1 | 0.1 | 0.1 |
Net periodic pension or postretirement benefit cost | $0.50 | $0.80 | $1 | $1.40 |
Employee_Benefit_Plans_Net_Per
Employee Benefit Plans (Net Periodic Pension Costs Included in Accumulated Other Comprehensive Income (Loss)) (Details) (USD $) | 6 Months Ended |
In Millions, unless otherwise specified | Jun. 30, 2014 |
Before-Tax Amount | ' |
Accumulated other comprehensive loss, beginning of period | ($279.40) |
Amortization of net actuarial loss | 4.4 |
Amortization of prior service cost | 0.5 |
Accumulated other comprehensive loss, end of period | -274.5 |
Income Tax | ' |
Accumulated other comprehensive loss, beginning of period | -73 |
Amortization of net actuarial loss | 1 |
Amortization of prior service cost | 0.2 |
Accumulated other comprehensive loss, end of period | -71.8 |
After-Tax Amount | ' |
Accumulated other comprehensive loss, beginning of period | -206.4 |
Amortization of net actuarial loss | 3.4 |
Amortization of prior service costs | 0.3 |
Accumulated other comprehensive loss, end of period | ($202.70) |
Segment_Reporting_Sales_Inform
Segment Reporting (Sales Information By Reportable Segments) (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
reportable_segment | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Number of reportable segments, segments | ' | ' | 4 | ' | ' |
Net sales | $2,750.30 | $3,048.20 | $5,083.70 | $5,451.30 | ' |
Income (loss) from operations | 266.7 | 327.1 | 422.4 | 504.5 | ' |
Depreciation | ' | ' | 119.3 | 101.4 | ' |
Capital expenditures | ' | ' | 155.5 | 174.2 | ' |
Segment assets | 8,469.30 | ' | 8,469.30 | ' | 8,438.80 |
Operating Segments [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net sales | 2,750.30 | 3,048.20 | 5,083.70 | 5,451.30 | ' |
Income (loss) from operations | 310.2 | 385.4 | 513.2 | 611 | ' |
Depreciation | 59.9 | 51 | 119.3 | 101.4 | ' |
Capital expenditures | 54.3 | 80.2 | 155.5 | 174.2 | ' |
Segment assets | 5,131.10 | ' | 5,131.10 | ' | 4,434.70 |
North America [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net sales | 686.2 | 788.9 | 1,333.70 | 1,413.10 | ' |
Income (loss) from operations | 95.5 | 121.6 | 151 | 193.7 | ' |
Depreciation | 14.4 | 12.2 | 29.4 | 24.2 | ' |
Capital expenditures | 11.5 | 12.6 | 36.7 | 27.5 | ' |
Segment assets | 1,136.30 | ' | 1,136.30 | ' | 1,002.80 |
South America [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net sales | 440.2 | 540 | 793.8 | 1,005.70 | ' |
Income (loss) from operations | 29.9 | 59.7 | 57.8 | 108 | ' |
Depreciation | 6.6 | 6.3 | 12.8 | 12.7 | ' |
Capital expenditures | 10.2 | 12.6 | 16.5 | 30.6 | ' |
Segment assets | 909.4 | ' | 909.4 | ' | 773.5 |
Europe/ Africa/ Middle East [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net sales | 1,521.90 | 1,599 | 2,757.80 | 2,792.20 | ' |
Income (loss) from operations | 188.1 | 204.9 | 309 | 304.6 | ' |
Depreciation | 35.3 | 30.5 | 70.2 | 60 | ' |
Capital expenditures | 21.4 | 48.5 | 82.1 | 101.7 | ' |
Segment assets | 2,679.50 | ' | 2,679.50 | ' | 2,368.90 |
Asia/Pacific [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net sales | 102 | 120.3 | 198.4 | 240.3 | ' |
Income (loss) from operations | -3.3 | -0.8 | -4.6 | 4.7 | ' |
Depreciation | 3.6 | 2 | 6.9 | 4.5 | ' |
Capital expenditures | 11.2 | 6.5 | 20.2 | 14.4 | ' |
Segment assets | $405.90 | ' | $405.90 | ' | $289.50 |
Segment_Reporting_Income_From_
Segment Reporting (Income From Operations And Total Assets) (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Income from Operations | ' | ' | ' | ' | ' | ' |
Stock compensation | ($5.30) | ($18.50) | ($11.20) | ($26.40) | ' | ' |
Amortization of intangibles | -10 | -12.1 | -20 | -24.1 | ' | ' |
Segment income from operations | 266.7 | 327.1 | 422.4 | 504.5 | ' | ' |
Total Assets | ' | ' | ' | ' | ' | ' |
Segment assets | 8,469.30 | ' | 8,469.30 | ' | 8,438.80 | ' |
Cash and cash equivalents | 323.3 | 680.6 | 323.3 | 680.6 | 1,047.20 | 781.3 |
Receivables from affiliates | 143.7 | ' | 143.7 | ' | 124.3 | ' |
Investments in affiliates | 448.2 | ' | 448.2 | ' | 416.1 | ' |
Deferred tax assets, other current and noncurrent assets | 690.8 | ' | 690.8 | ' | 672.2 | ' |
Intangible assets, net | 541.6 | ' | 541.6 | ' | 565.6 | ' |
Goodwill | 1,190.60 | ' | 1,190.60 | ' | 1,178.70 | ' |
Operating Segments [Member] | ' | ' | ' | ' | ' | ' |
Income from Operations | ' | ' | ' | ' | ' | ' |
Segment income from operations | 310.2 | 385.4 | 513.2 | 611 | ' | ' |
Corporate [Member] | ' | ' | ' | ' | ' | ' |
Income from Operations | ' | ' | ' | ' | ' | ' |
Corporate expenses | ($28.20) | ($27.70) | ($59.60) | ($56) | ' | ' |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Oct. 30, 2012 | Jun. 27, 2008 | Oct. 30, 2012 | Jun. 27, 2008 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | USD ($) | BRL | USD ($) | Subsidiaries [Member] | Subsidiaries [Member] | Third Parties [Member] | Third Parties [Member] | Retail Finance Joint Venture [Member] | Corporate Joint Venture [Member] | Corporate Joint Venture [Member] |
defendant | defendant | defendant | defendant | USD ($) | ||||||
Guarantees [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum repossessed inventory purchase obligation with retail joint ventures | ' | ' | ' | ' | ' | ' | ' | $6 | ' | ' |
Guaranteed indebtedness owed to third parties | 164.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Joint venture ownership percentage | ' | ' | ' | ' | ' | ' | ' | ' | 49.00% | 49.00% |
Loss Contingency [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reserve against outstanding Brazilian VAT receivable | 69 | ' | 62.8 | ' | ' | ' | ' | ' | ' | ' |
Number of defendants | ' | ' | ' | 3 | 3 | 60 | 91 | ' | ' | ' |
Tax disallowance not including interest and penalties | $59.50 | 131.5 | ' | ' | ' | ' | ' | ' | ' | ' |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | 6 Months Ended | 0 Months Ended | |
In Millions, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Aug. 01, 2014 |
Intersystems Holdings, Inc. [Member] | |||
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | ' | ' | ' |
Payments to acquire business, net of cash received | $0.10 | $0.10 | $130 |
Cash acquired in acquisition | ' | ' | $3.70 |