A. O. Smith (AOS) 10-Q 8 Nov 18 2018 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2018	Oct. 31, 2018
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q3
Trading Symbol	AOS
Entity Registrant Name	SMITH A O CORP
Entity Central Index Key	91,142
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Common Class A
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		26,060,947
Common Stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		143,890,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net sales	$ 754.1	$ 749.9	$ 2,375.4	$ 2,228.1
Cost of products sold	448.1	444.9	1,406.9	1,318
Gross profit	306	305	968.5	910.1
Selling, general and administrative expenses	177.6	176.8	567.7	538.3
Restructuring and impairment expenses			6.7
Interest expense	2	2.5	6.6	7.2
Other income	(5.1)	(5.9)	(15.5)	(15.4)
Earnings before provision for income taxes	131.5	131.6	403	380
Provision for income taxes	26.9	37.9	85.1	106.2
Net Earnings	$ 104.6	$ 93.7	$ 317.9	$ 273.8
Net Earnings Per Share of Common Stock	$ 0.61	$ 0.54	$ 1.86	$ 1.58
Diluted Net Earnings Per Share of Common Stock	0.61	0.54	1.84	1.57
Dividends Per Share of Common Stock	$ 0.18	$ 0.14	$ 0.54	$ 0.42

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net earnings	$ 104.6	$ 93.7	$ 317.9	$ 273.8
Other comprehensive (loss) earnings
Foreign currency translation adjustments	(20.7)	17.3	(33.3)	38.2
Unrealized net gains (losses) on cash flow derivative instruments, less related income tax (provision) benefit of ($0.6) and ($0.9) in 2018, $1.0 and $0.7 in 2017	1.3	(1.6)	2.1	(1)
Adjustment to pension liability, less related income tax provision of ($1.7) and ($3.9) in 2018 and ($1.7) and ($2.3) in 2017	5.6	2.6	12.5	3.6
Comprehensive Earnings	$ 90.8	$ 112	$ 299.2	$ 314.6

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Unrealized net gains (losses) on cash flow derivative instruments, related income tax (provision) benefit	$ (0.6)	$ 1	$ (0.9)	$ 0.7
Adjustment to pension liability, related income tax provision	$ (1.7)	$ (1.7)	$ (3.9)	$ (2.3)

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Assets
Cash and cash equivalents	$ 233	$ 346.6
Marketable securities	384.8	473.4
Receivables	606.6	592.7
Inventories	307.7	297
Other current assets	66.6	57.2
Total Current Assets	1,598.7	1,766.9
Property, plant and equipment	1,071.2	1,060.1
Less accumulated depreciation	(544.9)	(531.2)
Net property, plant and equipment	526.3	528.9
Goodwill	515.2	516.7
Other intangibles	297.4	308.7
Other assets	87.6	76.2
Total Assets	3,025.2	3,197.4
Liabilities
Trade payables	508	535
Accrued payroll and benefits	74.2	90.8
Accrued liabilities	111.9	116
Product warranties	44.8	44.5
Debt due within one year		7.5
Total Current Liabilities	738.9	793.8
Long-term debt	193.3	402.9
Pension liabilities	24.8	48.1
Other liabilities	312	307.7
Total Liabilities	1,269	1,552.5
Stockholders' Equity
Common Stock, value	164.5	164.5
Capital in excess of par value	495.8	486.5
Retained earnings	2,014	1,788.7
Accumulated other comprehensive loss	(318.2)	(299.5)
Treasury stock at cost	(730.9)	(626.5)
Total Stockholders' Equity	1,756.2	1,644.9
Total Liabilities and Stockholders' Equity	3,025.2	3,197.4
Common Class A
Stockholders' Equity
Common Stock, value	$ 131	$ 131.2

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2018	Dec. 31, 2017
Common Stock, par value	$ 1	$ 1
Common Stock, shares authorized	240,000,000	240,000,000
Common Stock, shares issued	164,515,543	164,468,033
Common Class A
Common Stock, par value	$ 5	$ 5
Common Stock, shares authorized	27,000,000	27,000,000
Common Stock, shares issued	26,192,051	26,239,559

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Operating Activities
Net earnings	$ 317.9	$ 273.8
Adjustments to reconcile net earnings to cash provided by (used in) operating activities:
Depreciation and amortization	53.2	51.9
Stock based compensation expense	9.7	8.5
Net changes in operating assets and liabilities:
Current assets and liabilities	(70.9)	(154.5)
Noncurrent assets and liabilities	(20.7)	(29.5)
Cash Provided by Operating Activities	289.2	150.2
Investing Activities
Capital expenditures	(58.5)	(66.4)
Acquisitions		(43.1)
Investments in marketable securities	(345.4)	(407.3)
Net proceeds from sale of marketable securities	418.3	405.3
Cash Provided by (Used in) Investing Activities	14.4	(111.5)
Financing Activities
Long-term debt (repaid) incurred	(217.1)	125.8
Common stock repurchases	(106)	(103.3)
Payment of contingent consideration	(2.3)
Net proceeds from stock option activity	0.7	3.1
Dividends paid	(92.5)	(72.8)
Cash Used In Financing Activities	(417.2)	(47.2)
Net decrease in cash and cash equivalents	(113.6)	(8.5)
Cash and cash equivalents - beginning of period	346.6	330.4
Cash and Cash Equivalents - End of Period	$ 233	$ 321.9

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2018
Basis of Presentation	1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). Accordingly, they do not include all of the information and footnotes required for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2018 are not necessarily indicative of the results expected for the full year. It is suggested that the accompanying condensed consolidated financial statements be read in conjunction with the audited consolidated financial statements and the notes thereto included in the Company’s Annual Report on Form 10-K Recent Accounting Pronouncements In August 2017, the Financial Accounting Standards Board (FASB) amended Accounting Standards Codification (ASC) 815, Derivatives and Hedging 2017-12, 2017-12 2017-12 In May 2017, the FASB amended ASC 718, Compensation – Stock Compensation 2017-09, 2017-09 In March 2017, the FASB amended ASC 715, Compensation – Retirement Benefits 2017-07, non-service non-service products sold and selling, general and administrative expenses, respectively, to other income in the consolidated statement of earnings. The adoption did not have a material impact on the Company’s consolidated balance sheets, statements of earnings or statements of cash flows. In January 2017, the FASB amended ASC 350, Intangibles – Goodwill and Other 2017-04, 2017-04 In October 2016, the FASB amended ASC 740, Income Taxes 2016-16). 2016-16 In February 2016, the FASB amended ASC 842, Leases 2016-02). non-lease 2016-02 In May 2014, the FASB issued ASC 606-10, Revenue from Contracts with Customers 2014-09). 2014-09 2014-09 after-tax 2014-09. 2014-09

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2018
Revenue Recognition	2. Revenue Recognition Substantially all of the Company’s sales are from contracts with customers for the purchase of its products. Contracts and customer purchase orders are used to determine the existence of a sales contract. Shipping documents are used to verify shipment. For substantially all of its products, the Company transfers control of products to the customer at the point in time when title and risk are passed to the customer, which generally occurs upon shipment of the product. Each unit sold is considered an independent, unbundled performance obligation. The Company’s sales arrangements do not include other performance obligations that are material in the context of the contract. The nature, timing and amount of revenue for a respective performance obligation are consistent for each customer. The Company measures the sales transaction price based upon the payment terms associated with the transaction and whether the sales price is subject to refund or adjustment. Sales and value added taxes are excluded from the measurement of transaction price. The Company’s payment terms for the majority of its customers are 30 to 90 days from shipment. Additionally, certain customers in China pay prior to the shipment of products resulting in a customer deposits liability of $32.1 million and $56.0 million at September 30, 2018 and December 31, 2017, respectively. The Company assesses collectability based on the creditworthiness of the customer as determined by credit checks and analysis, as well as the customer’s payment history. The Company’s allowance for doubtful accounts was $5.9 million and $5.3 million at September 30, 2018 and December 31, 2017, respectively. Rebates and incentives are based on pricing agreements and are tied to sales volume. The amount of revenue is reduced for variable consideration related to customer rebates which are calculated using expected values and is based on program specific factors such as expected rebate percentages based on expected volumes. In situations where the customer has the right to return eligible products, the Company reduces revenue for its estimates of expected product returns, which are primarily based on an analysis of historical experience. Changes in such accruals may be required if actual sales volume differs from estimated sales volume or if future returns differ from historical experience. Shipping and handling costs billed to customers are included in net sales and the related costs are included in cost of products sold and are activities performed to fulfill the promise to transfer products. Disaggregation of Net Sales The Company is comprised of two reporting segments: North America and Rest of World. The Rest of World segment is primarily comprised of China, Europe and India. Both segments manufacture and market comprehensive lines of residential and commercial gas and electric water heaters, boilers and water treatment products. Both segments primarily manufacture and market in their respective regions of the world. The North America segment also manufactures and markets water system tanks. The Rest of World segment also manufactures and markets in-home As each segment manufactures and markets products in its respective region of the world, the Company has determined that geography is the primary factor in reporting its sales. The Company further disaggregates its North America segment sales by major product line as each of North America’s major product lines is sold through distinct distribution channels and these product lines may be impacted differently by certain economic factors. Within the Rest of World segment, particularly in China and India, the Company’s major customers purchase across the Company’s product lines, utilizing the same distribution channel regardless of product type. In addition, the impact of economic factors is unlikely to be differentiated by product line in the Rest of World segment. The North America segment major product lines are defined as the following: Water heaters Boilers Water treatment products point-of-entry on-the-go point-of-use The following table disaggregates the Company’s net sales by segment. As described above, the Company’s North America segment sales are further disaggregated by major product line. In addition, the Company’s Rest of World segment sales are disaggregated by China and all other Rest of World. (dollars in millions) Three Months Ended Nine Months Ended 2018 2017 2018 2017 North America Water heaters and related parts $ 405.2 $ 415.4 $ 1,318.1 $ 1,273.6 Boilers and related parts 58.6 56.8 143.0 133.3 Water treatment products (1) 23.1 13.8 61.7 37.1 Total North America 486.9 486.0 1,522.8 1,444.0 Rest of World China $ 246.2 $ 247.0 $ 806.4 $ 745.9 All other Rest of World 27.9 23.1 69.6 56.5 Total Rest of World 274.1 270.1 876.0 802.4 Inter-segment sales (6.9 ) (6.2 ) (23.4 ) (18.3 ) Total Net Sales $ 754.1 $ 749.9 $ 2,375.4 $ 2,228.1 (1) Includes Hague Quality Water International (Hague) from the date of acquisition of September 5, 2017

Acquisitions

Acquisitions	9 Months Ended
	Sep. 30, 2018
Acquisitions	3. Acquisitions On September 5, 2017, the Company acquired 100 percent of the shares of Hague, an Ohio-based water softener company. With the addition of Hague, the Company grew its North America water treatment product offerings. Hague is included in the Company’s North America segment for reporting purposes. The Company paid an aggregate cash purchase price of $43.1 million, net of $4.1 million of cash acquired. In addition, the Company established a $1.5 million holdback liability to satisfy any potential obligations of the former owners of Hague. The Company also agreed to make a contingent payment of up to an additional $2.0 million based on the amount by which sales of products manufactured by Hague increase over the two-year As of the acquisition date, the Company estimated the fair value of the holdback liability and additional contingent consideration at $1.5 million and $2.0 million, respectively. During the third quarter of 2018, the Company finalized the amount of acquisition date working capital, which resulted in a $1.3 million payment to the former owners of Hague related to the aforementioned holdback. The Company also paid $1.0 million of contingent payments associated with the amount by which sales of products manufactured by Hague increase over the two-year The following table summarizes the allocation of fair value of the assets acquired and liabilities assumed at the date of acquisition of Hague for purposes of allocating the purchase price. The $12.8 million of acquired intangible assets was comprised of $1.1 million of trade names that are not subject to amortization and $11.7 million of customer lists being amortized over 18 years. September 5, 2017 (dollars in millions) Current assets, net of cash acquired $ 7.8 Property, plant and equipment 6.9 Intangible assets 12.8 Goodwill 22.2 Total assets acquired 49.7 Current liabilities (5.6 ) Long-term liabilities (1.0 ) Total liabilities assumed (6.6 ) Net assets acquired $ 43.1 The acquisition was accounted for using the purchase method of accounting, and accordingly, the results of operations have been included in the Company’s consolidated financial statements from September 5, 2017, the date of acquisition.

Restructuring and Impairment Ex

Restructuring and Impairment Expenses	9 Months Ended
	Sep. 30, 2018
Restructuring and Impairment Expenses	4. Restructuring and Impairment Expenses On March 21, 2018, the Company announced a move of manufacturing operations from its Renton, Washington facility to other U.S. facilities. The Company recognized $6.7 million of restructuring and impairment expenses, comprised of $4.0 million of severance and compensation related costs, lease exit costs of $2.1 million and impairment charges related to long-lived assets totaling $0.6 million, as well as a corresponding $1.7 million tax benefit related to the charges. As of September 30, 2018, the consolidation of the Renton facility to other U.S. facilities was complete. The following table presents an analysis of the Company’s restructuring reserve as of and for nine months ended September 30, 2018: (dollars in millions) Severance Lease Exit Fixed Total Balance at January 1, 2018 $ — $ — $ — $ — Restructuring expense recognized 4.0 2.1 0.6 6.7 Balance at March 31, 2018 4.0 2.1 0.6 6.7 Cash payments and disposals (0.9 ) — (0.3 ) (1.2 ) Balance at June 30, 2018 3.1 2.1 0.3 5.5 Cash payments and disposals (2.8 ) (0.4 ) (0.3 ) (3.5 ) Balance at September 30, 2018 $ 0.3 $ 1.7 $ — $ 2.0

Inventories

Inventories	9 Months Ended
	Sep. 30, 2018
Inventories	5. Inventories The following table presents the components of the Company’s inventory balances: (dollars in millions) September 30, 2018 December 31, 2017 Finished products $ 142.7 $ 140.4 Work in process 21.8 18.3 Raw materials 165.6 160.5 Inventories, at FIFO cost 330.1 319.2 LIFO reserve (22.4 ) (22.2 ) Net inventory $ 307.7 $ 297.0

Product Warranties

Product Warranties	9 Months Ended
	Sep. 30, 2018
Product Warranties	6. Product Warranties The Company offers warranties on the sales of certain of its products with terms that are consistent with the market and records an accrual for the estimated future claims. The following table presents the Company’s warranty liability activity. Three Months Ended (dollars in millions) 2018 2017 Balance at July 1, $ 142.9 $ 140.8 Expense 8.7 8.4 Claims settled (9.9 ) (8.7 ) Balance at September 30, $ 141.7 $ 140.5 Nine Months Ended (dollars in millions) 2018 2017 Balance at January 1, $ 142.4 $ 140.9 Expense 31.4 29.1 Claims settled (32.1 ) (29.5 ) Balance at September 30, $ 141.7 $ 140.5

Long-Term Debt

Long-Term Debt	9 Months Ended
	Sep. 30, 2018
Long-Term Debt	7. Long-Term Debt The Company has a $500 million multi-year multi-currency revolving credit agreement with a group of nine banks, which expires on December 15, 2021. The facility has an accordion provision which allows it to be increased up to $700 million if certain conditions (including lender approval) are satisfied. Borrowings under bank credit lines and commercial paper borrowings are supported by the $500 million revolving credit agreement. As a result of the long-term nature of this facility, the Company’s commercial paper and credit line borrowings are classified as long-term debt at September 30, 2018. At its option, the Company either maintains cash balances or pays fees for bank credit and services.

Earnings per Share of Common St

Earnings per Share of Common Stock	9 Months Ended
	Sep. 30, 2018
Earnings per Share of Common Stock	8. Earnings per Share of Common Stock The numerator for the calculation of basic and diluted earnings per share is net earnings. The following table sets forth the computation of basic and diluted weighted-average shares used in the earnings per share calculations: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Denominator for basic earnings per share - weighted average shares 170,507,922 172,446,529 171,030,747 172,936,255 Effect of dilutive stock options and share units 1,576,694 1,909,214 1,687,050 1,948,557 Denominator for diluted earnings per share 172,084,616 174,355,743 172,717,797 174,884,812

Stock Based Compensation

Stock Based Compensation	9 Months Ended
	Sep. 30, 2018
Stock Based Compensation	9. Stock Based Compensation The Company adopted the A. O. Smith Combined Incentive Compensation Plan (the “Plan”) effective January 1, 2007. The Plan was reapproved by stockholders on April 16, 2012. The Plan is a continuation of the A. O. Smith Combined Executive Incentive Compensation Plan which was originally approved by stockholders in 2002. The number of shares available for granting of options or share units at September 30, 2018 was 2,488,996. Upon stock option exercise or share unit vesting, shares are issued from treasury stock. Total stock based compensation expense recognized in the three months ended September 30, 2018 and 2017 was $1.8 million and $1.3 million, respectively. Total stock based compensation recognized in the nine months ended September 30, 2018 and 2017 was $9.7 million and $8.5 million, respectively. Stock Options The stock options granted in the nine months ended September 30, 2018 and 2017 have three year pro rata vesting from the date of grant. Stock options are issued at exercise prices equal to the fair value of the Company’s Common Stock on the date of grant. For active employees, all options granted in 2018 and 2017 expire ten years after the date of grant. The Company’s stock options are expensed ratably over the three year vesting period; however, included in stock option expense for the three and nine months ended September 30, 2018 and 2017 was expense associated with the accelerated vesting of stock option awards for certain employees who either are retirement eligible or become retirement eligible during the vesting period. Stock based compensation expense attributable to stock options in the three months ended September 30, 2018 and 2017 was $0.8 million and $0.6 million, respectively. Stock based compensation expense attributable to stock options in the nine months ended September 30, 2018 and 2017 was $4.6 million and $4.0 million, respectively. Changes in option shares, all of which relate to the Company’s Common Stock, were as follows for the nine months ended September 30, 2018: Weighted- Number of Average Aggregate Outstanding at January 1, 2018 $ 27.73 2,263,126 Granted 61.62 373,220 Exercised 24.22 (162,102 ) Forfeited 47.94 (26,622 ) Outstanding at September 30, 2018 32.91 2,447,622 7 years $ 53.1 Exercisable at September 30, 2018 24.39 1,680,117 6 years $ 48.7 The weighted-average fair value per option at the date of grant during the nine months ended September 30, 2018 and 2017 using the Black-Scholes option-pricing model was $14.80 and $13.04, respectively. Assumptions were as follows: Nine Months Ended September 30, 2018 2017 Expected life (years) 5.7 5.7 Risk-free interest rate 2.9 % 2.4 % Dividend yield 1.0 % 1.0 % Expected volatility 22.1 % 26.5 % The expected lives of options for purposes of these models are based on historical exercise behavior. The risk-free interest rates for purposes of these models are based on the U.S. Treasury yield curve in effect on the date of grant for the respective expected lives of the option. The expected dividend yields for purposes of these models are based on the dividends paid in the preceding four quarters divided by the grant date market value of the Common Stock. The expected volatility for purposes of these models are based on the historical volatility of the Common Stock. Stock Appreciations Rights (SARs) Certain non-U.S.-based Restricted Stock and Share Units Participants may also be awarded shares of restricted stock or share units under the Plan. The Company granted 106,581 and 107,755 share units under the plan in the nine months ended September 30, 2018 and 2017, respectively. The share units were valued at $6.6 million and $5.4 million at the date of issuance in 2018 and 2017, respectively, based on the price of the Company’s Common Stock at the date of grant. The share units are recognized as compensation expense ratably over the three-year vesting period; however, included in share unit expense in the three and nine months ended September 30, 2018 and 2017 was expense associated with accelerated vesting of share unit awards for certain employees who either are retirement eligible or will become retirement eligible during the vesting period. Stock based compensation expense attributable to share units of $1.0 million and $0.7 million was recognized in the three months ended September 30, 2018 and 2017, respectively. Stock based compensation expense attributable to share units of $5.1 million and $4.5 million was recognized in the nine months ended September 30, 2018 and 2017, respectively. Certain non-U.S.-based A summary of share unit activity under the plan is as follows for the nine months ended September 30, 2018: Number of Weighted-Average Issued and unvested at January 1, 2018 433,290 $ 34.96 Granted 106,581 61.70 Vested (145,105 ) 30.79 Forfeited (13,500 ) 43.13 Issued and unvested at September 30, 2018 381,266 42.94

Pensions

Pensions	9 Months Ended
	Sep. 30, 2018
Pensions	10. Pensions The following table presents the components of the Company’s net pension income. Three Months Ended Nine Months Ended 2018 2017 2018 2017 Service cost $ 0.5 $ 0.5 $ 1.5 $ 1.4 Interest cost 7.2 7.6 21.7 22.5 Expected return on plan assets (14.5 ) (14.8 ) (43.6 ) (43.5 ) Amortization of unrecognized loss 4.9 4.6 14.2 13.4 Amortization of prior service cost (0.2 ) (0.1 ) (0.4 ) (0.3 ) Defined benefit plan income $ (2.1 ) $ (2.2 ) $ (6.6 ) $ (6.5 ) The Company was not required to make a contribution to its U.S. pension plan in 2017 but made a voluntary $30 million contribution. The Company is not required to make a contribution and does not anticipate making a contribution in 2018. As required under ASU 2017-07,

Segment Results

Segment Results	9 Months Ended
	Sep. 30, 2018
Segment Results	11. Segment Results The Company is comprised of two reporting segments: North America and Rest of World. The Rest of World segment is primarily comprised of China, Europe and India. Both segments manufacture and market comprehensive lines of residential and commercial gas, and electric water heaters, boilers and water treatment products. Both segments primarily manufacture and market in their respective regions of the world. The North America segment also manufactures and markets water system tanks. The Rest of World segment also manufactures and markets in-home The following table presents the Company’s segment results: (dollars in millions) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net sales North America $ 486.9 $ 486.0 $ 1,522.8 $ 1,444.0 Rest of World 274.1 270.1 876.0 802.4 Inter-segment (6.9 ) (6.2 ) (23.4 ) (18.3 ) $ 754.1 $ 749.9 $ 2,375.4 $ 2,228.1 Segment earnings North America (1) $ 105.6 $ 110.3 $ 336.5 $ 323.7 Rest of World 39.1 33.8 109.8 98.8 Inter-segment — (0.1 ) — (0.3 ) 144.7 144.0 446.3 422.2 Corporate expense (11.2 ) (9.9 ) (36.7 ) (35.0 ) Interest expense (2.0 ) (2.5 ) (6.6 ) (7.2 ) Earnings before income taxes 131.5 131.6 403.0 380.0 Provision for income taxes 26.9 37.9 85.1 106.2 Net earnings $ 104.6 $ 93.7 $ 317.9 $ 273.8 (1) $ — $ — $ 6.7 $ —

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2018
Fair Value Measurements	12. Fair Value Measurements ASC 820, Fair Value Measurements The following table presents assets and (liabilities) measured at fair value on a recurring basis. (dollars in millions) Fair Value Measurement Using September 30, 2018 December 31, 2017 Quoted prices in active markets for identical assets (Level 1) $ 384.8 $ 473.4 Significant other observable inputs (Level 2) 11.5 (1.4 ) Items measured at fair value were comprised of the Company’s marketable securities and derivative instruments. There were no changes in the Company’s valuation techniques used to measure fair values on a recurring basis during the nine months ended September 30, 2018.

Derivative Instruments

Derivative Instruments	9 Months Ended
	Sep. 30, 2018
Derivative Instruments	13. Derivative Instruments ASC 815, Derivatives and Hedging The Company utilizes certain derivative instruments to enhance its ability to manage currency exposure as well as raw materials price risk. Derivative instruments are entered into for periods consistent with the related underlying exposures and do not constitute positions independent of those exposures. The Company does not enter into contracts for speculative purposes. The contracts are executed with major financial institutions with no credit loss anticipated for failure of the counterparties to perform. Cash Flow Hedges With the exception of its net investment hedges, the Company designates that all of its hedging instruments are cash flow hedges. For derivative instruments that are designated and qualify as a cash flow hedge (i.e., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), gains or losses on the derivative instrument are reported as a component of other comprehensive loss, net of tax, and are reclassified into earnings in the same line item associated with the forecasted transaction and in the same period or periods during which the hedged transaction affects earnings. Foreign Currency Forward Contracts The Company is exposed to foreign currency exchange risk as a result of transactions in currencies other than the functional currency of certain subsidiaries. The Company utilizes foreign currency forward purchase and sale contracts to manage the volatility associated with foreign currency purchases, sales and certain intercompany transactions in the normal course of business. Principal currencies for which the Company utilizes foreign currency forward contracts include the British pound, Canadian dollar, Euro and Mexican peso. Gains and losses on these instruments are recorded in accumulated other comprehensive loss, net of tax, until the underlying transaction is recorded in earnings. When the hedged item is realized, gains or losses are reclassified from accumulated other comprehensive loss to the consolidated statement of earnings. The assessment of effectiveness for forward contracts is based on changes in the forward rates. These hedges have been determined to be effective. (dollars in millions) September 30, 2018 December 31, 2017 Buy Sell Buy Sell British pound $ — $ 0.3 $ — $ 1.2 Canadian dollar — 12.1 — 48.1 Euro 23.7 0.8 29.3 — Mexican peso 29.7 — 16.3 — Total $ 53.4 $ 13.2 $ 45.6 $ 49.3 Commodity Futures Contracts In addition to entering into supply arrangements in the normal course of business, the Company also enters into futures contracts to fix the cost of certain raw material purchases, principally steel, with the objective of minimizing changes in cost due to market price fluctuations. The hedging strategy for achieving this objective is to purchase steel futures contracts on the New York Metals Exchange (NYMEX) and copper futures contracts on the open market of the London Metals Exchange (LME) or over the counter contracts based on the LME. With NYMEX, the Company is required to make cash deposits on unrealized losses on steel derivative contracts. The after-tax after-tax Net Investment Hedges The Company enters into certain foreign currency forward contracts to hedge the exposure to a portion of the Company’s net investments in certain non-U.S. non-U.S. after-tax non-U.S. The following tables present the impact of derivative contracts on the Company’s financial statements. Fair value of derivatives designated as hedging instruments under ASC 815: (dollars in millions) Balance Sheet Location September 30, December 31, Foreign currency contracts Other current assets $ 5.5 $ 0.2 Other non-current 6.4 — Accrued liabilities (0.4 ) (1.8 ) Commodities contracts Other current assets 0.1 0.2 Accrued liabilities (0.1 ) — Total derivatives designated as hedging instruments $ 11.5 $ (1.4 ) The effect of cash flow hedges on the condensed consolidated statement of earnings: Three Months Ended September 30 (dollars in millions): Derivatives in ASC 815 cash flow hedging relationships Amount of gain (loss) Location of gain (loss) reclassified from accumulated other comprehensive loss into earnings Amount of gain 2018 2017 2018 2017 Foreign currency contracts $ 1.9 $ (2.5 ) Cost of products sold $ — $ (0.3 ) Commodities contracts — — Cost of products sold — 0.3 $ 1.9 $ (2.5 ) $ — $ — Nine Months Ended September 30 (dollars in millions): Derivatives in ASC 815 cash flow hedging relationships Amount of gain (loss) Location of gain (loss) reclassified from accumulated other comprehensive loss into earnings Amount of gain 2018 2017 2018 2017 Foreign currency contracts $ 3.3 $ (1.0 ) Cost of products sold $ 0.1 $ 0.3 Commodities contracts — 0.1 Cost of products sold 0.3 0.4 $ 3.3 $ (0.9 ) $ 0.4 $ 0.7

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2018
Income Taxes	14. Income Taxes The effective income tax rates for the three and nine months ended September 30, 2018 were 20.5 percent and 21.1 percent, respectively. The Company estimates that its annual effective income tax rate for the full year 2018 will be approximately 21 percent. The effective income tax rates for the three and nine months ended September 30, 2017 were 28.8 percent and 27.9 percent, respectively. The lower effective income tax rate for the three and nine months ended September 30, 2018 compared to the effective income tax rate for the three and nine months ended September 30, 2017 was primarily due to lower federal income taxes related to the U.S. Tax Cuts & Jobs Act (U.S. Tax Reform) which were partially offset by lower income tax benefits from settled stock based compensation awards. As of September 30, 2018, the Company had $6.2 million of unrecognized tax benefits of which $0.6 million would affect its effective income tax rate if recognized. The Company recognizes potential interest and penalties related to unrecognized tax benefits as a component of income tax expense. The Company’s U.S. federal income tax returns for 2015-2017 are subject to audit. The Company is subject to state and local income tax audits for tax years 2001-2017. The Company is subject to non-U.S. U.S. Tax Reform was enacted on December 22, 2017 and significantly changed U.S. corporate income tax laws. Among other things, U.S. Tax Reform reduced the U.S. corporate income tax rate to 21 percent commencing on January 1, 2018, implemented a territorial tax system and levied a one-time one-time For tax years beginning after December 31, 2017, U.S. Tax Reform subjects U.S. shareholders to tax on Global Intangible Low-Taxed Accounting for GILTI

Changes in Accumulated Other Co

Changes in Accumulated Other Comprehensive Loss by Component	9 Months Ended
	Sep. 30, 2018
Changes in Accumulated Other Comprehensive Loss by Component	15. Changes in Accumulated Other Comprehensive Loss by Component Changes to accumulated other comprehensive loss by component are as follows: (dollars in millions) Three Months Ended September 30, 2018 2017 Cumulative foreign currency translation Balance at beginning of period $ (39.1 ) $ (58.3 ) Other comprehensive (loss) income before reclassifications (20.7 ) 17.3 Balance at end of period (59.8 ) (41.0 ) Unrealized net gain on cash flow derivatives Balance at beginning of period (0.1 ) 0.8 Other comprehensive income (loss) before reclassifications 1.3 (1.6 ) Realized gains on derivatives reclassified to cost of products sold — — Balance at end of period 1.2 (0.8 ) Pension liability Balance at beginning of period (265.2 ) (283.2 ) Other comprehensive income (loss) before reclassifications 2.0 (0.1 ) Amounts reclassified from accumulated other comprehensive loss: (1) 3.6 2.7 Balance at end of period (259.6 ) (280.6 ) Accumulated other comprehensive loss, end of period $ (318.2 ) $ (322.4 ) (1)   Actuarial losses $ 4.9 (2) $ 4.6 (2) Prior year service cost (0.2 ) (2) (0.1 ) (2) 4.7 4.5 Income tax benefit (1.1 ) (1.8 ) Reclassification net of income tax benefit $ 3.6 $ 2.7 (2)    Changes to accumulated other comprehensive loss by component are as follows: (dollars in millions) Nine Months Ended 2018 2017 Cumulative foreign currency translation Balance at beginning of period $ (26.5 ) $ (79.2 ) Other comprehensive (loss) income before reclassifications (33.3 ) 38.2 Balance at end of period (59.8 ) (41.0 ) Unrealized net gain on cash flow derivatives Balance at beginning of period (0.9 ) 0.2 Other comprehensive income before reclassifications 2.4 (0.6 ) Realized gains on derivatives reclassified to cost of products sold (net of income tax provision of $0.1 and $0.3 in 2018 and 2017, respectively) (0.3 ) (0.4 ) Balance at end of period 1.2 (0.8 ) Pension liability Balance at beginning of period (272.1 ) (284.2 ) Other comprehensive income (loss) before reclassifications 2.0 (4.3 ) Amounts reclassified from accumulated other comprehensive loss: (1) 10.5 7.9 Balance at end of period (259.6 ) (280.6 ) Accumulated other comprehensive loss, end of period $ (318.2 ) $ (322.4 ) (1)   Actuarial losses $ 14.2 (2) $ 13.4 (2) Prior year service cost (0.4 ) (2) (0.3 ) (2) 13.8 13.1 Income tax benefit (3.3 ) (5.2 ) Reclassification net of income tax benefit $ 10.5 $ 7.9 (2)

Basis of Presentation (Policies

Basis of Presentation (Policies)	9 Months Ended
	Sep. 30, 2018
Recent Accounting Pronouncements	Recent Accounting Pronouncements In August 2017, the Financial Accounting Standards Board (FASB) amended Accounting Standards Codification (ASC) 815, Derivatives and Hedging 2017-12, 2017-12 2017-12 In May 2017, the FASB amended ASC 718, Compensation – Stock Compensation 2017-09, 2017-09 In March 2017, the FASB amended ASC 715, Compensation – Retirement Benefits 2017-07, non-service non-service products sold and selling, general and administrative expenses, respectively, to other income in the consolidated statement of earnings. The adoption did not have a material impact on the Company’s consolidated balance sheets, statements of earnings or statements of cash flows. In January 2017, the FASB amended ASC 350, Intangibles – Goodwill and Other 2017-04, 2017-04 In October 2016, the FASB amended ASC 740, Income Taxes 2016-16). 2016-16 In February 2016, the FASB amended ASC 842, Leases 2016-02). non-lease 2016-02 In May 2014, the FASB issued ASC 606-10, Revenue from Contracts with Customers 2014-09). 2014-09 2014-09 after-tax 2014-09. 2014-09

Revenue Recognition (Tables)

Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2018
Segment Sales Disaggregated by Major Product Line	The following table disaggregates the Company’s net sales by segment. As described above, the Company’s North America segment sales are further disaggregated by major product line. In addition, the Company’s Rest of World segment sales are disaggregated by China and all other Rest of World. (dollars in millions) Three Months Ended Nine Months Ended 2018 2017 2018 2017 North America Water heaters and related parts $ 405.2 $ 415.4 $ 1,318.1 $ 1,273.6 Boilers and related parts 58.6 56.8 143.0 133.3 Water treatment products (1) 23.1 13.8 61.7 37.1 Total North America 486.9 486.0 1,522.8 1,444.0 Rest of World China $ 246.2 $ 247.0 $ 806.4 $ 745.9 All other Rest of World 27.9 23.1 69.6 56.5 Total Rest of World 274.1 270.1 876.0 802.4 Inter-segment sales (6.9 ) (6.2 ) (23.4 ) (18.3 ) Total Net Sales $ 754.1 $ 749.9 $ 2,375.4 $ 2,228.1 (1) Includes Hague Quality Water International (Hague) from the date of acquisition of September 5, 2017

Acquisitions (Tables)

Acquisitions (Tables)	9 Months Ended
	Sep. 30, 2018
Hague
Summary of Preliminary Allocation of Fair Value of Assets Acquired and Liabilities Assumed at Date of Acquisition	The following table summarizes the allocation of fair value of the assets acquired and liabilities assumed at the date of acquisition of Hague for purposes of allocating the purchase price. The $12.8 million of acquired intangible assets was comprised of $1.1 million of trade names that are not subject to amortization and $11.7 million of customer lists being amortized over 18 years. September 5, 2017 (dollars in millions) Current assets, net of cash acquired $ 7.8 Property, plant and equipment 6.9 Intangible assets 12.8 Goodwill 22.2 Total assets acquired 49.7 Current liabilities (5.6 ) Long-term liabilities (1.0 ) Total liabilities assumed (6.6 ) Net assets acquired $ 43.1

Restructuring and Impairment _2

Restructuring and Impairment Expenses (Tables)	9 Months Ended
	Sep. 30, 2018
Analysis of Company's Restructuring Reserve	The following table presents an analysis of the Company’s restructuring reserve as of and for nine months ended September 30, 2018: (dollars in millions) Severance Lease Exit Fixed Total Balance at January 1, 2018 $ — $ — $ — $ — Restructuring expense recognized 4.0 2.1 0.6 6.7 Balance at March 31, 2018 4.0 2.1 0.6 6.7 Cash payments and disposals (0.9 ) — (0.3 ) (1.2 ) Balance at June 30, 2018 3.1 2.1 0.3 5.5 Cash payments and disposals (2.8 ) (0.4 ) (0.3 ) (3.5 ) Balance at September 30, 2018 $ 0.3 $ 1.7 $ — $ 2.0

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Inventories	The following table presents the components of the Company’s inventory balances: (dollars in millions) September 30, 2018 December 31, 2017 Finished products $ 142.7 $ 140.4 Work in process 21.8 18.3 Raw materials 165.6 160.5 Inventories, at FIFO cost 330.1 319.2 LIFO reserve (22.4 ) (22.2 ) Net inventory $ 307.7 $ 297.0

Product Warranties (Tables)

Product Warranties (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Product Warranty Liability Activity	The following table presents the Company’s warranty liability activity. Three Months Ended (dollars in millions) 2018 2017 Balance at July 1, $ 142.9 $ 140.8 Expense 8.7 8.4 Claims settled (9.9 ) (8.7 ) Balance at September 30, $ 141.7 $ 140.5 Nine Months Ended (dollars in millions) 2018 2017 Balance at January 1, $ 142.4 $ 140.9 Expense 31.4 29.1 Claims settled (32.1 ) (29.5 ) Balance at September 30, $ 141.7 $ 140.5

Earnings per Share of Common _2

Earnings per Share of Common Stock (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Computation of Basic and Diluted Weighted Average Shares Used in EPS Calculations	The following table sets forth the computation of basic and diluted weighted-average shares used in the earnings per share calculations: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Denominator for basic earnings per share - weighted average shares 170,507,922 172,446,529 171,030,747 172,936,255 Effect of dilutive stock options and share units 1,576,694 1,909,214 1,687,050 1,948,557 Denominator for diluted earnings per share 172,084,616 174,355,743 172,717,797 174,884,812

Stock Based Compensation (Table

Stock Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Changes in Option Shares	Changes in option shares, all of which relate to the Company’s Common Stock, were as follows for the nine months ended September 30, 2018: Weighted- Number of Average Aggregate Outstanding at January 1, 2018 $ 27.73 2,263,126 Granted 61.62 373,220 Exercised 24.22 (162,102 ) Forfeited 47.94 (26,622 ) Outstanding at September 30, 2018 32.91 2,447,622 7 years $ 53.1 Exercisable at September 30, 2018 24.39 1,680,117 6 years $ 48.7
Schedule of Weighted Average Fair Value per Option at Date of Grant	The weighted-average fair value per option at the date of grant during the nine months ended September 30, 2018 and 2017 using the Black-Scholes option-pricing model was $14.80 and $13.04, respectively. Assumptions were as follows: Nine Months Ended September 30, 2018 2017 Expected life (years) 5.7 5.7 Risk-free interest rate 2.9 % 2.4 % Dividend yield 1.0 % 1.0 % Expected volatility 22.1 % 26.5 %
Schedule of Share Unit Activity Under Plan	A summary of share unit activity under the plan is as follows for the nine months ended September 30, 2018: Number of Weighted-Average Issued and unvested at January 1, 2018 433,290 $ 34.96 Granted 106,581 61.70 Vested (145,105 ) 30.79 Forfeited (13,500 ) 43.13 Issued and unvested at September 30, 2018 381,266 42.94

Pensions (Tables)

Pensions (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Components of Net Pension Income	The following table presents the components of the Company’s net pension income. Three Months Ended Nine Months Ended 2018 2017 2018 2017 Service cost $ 0.5 $ 0.5 $ 1.5 $ 1.4 Interest cost 7.2 7.6 21.7 22.5 Expected return on plan assets (14.5 ) (14.8 ) (43.6 ) (43.5 ) Amortization of unrecognized loss 4.9 4.6 14.2 13.4 Amortization of prior service cost (0.2 ) (0.1 ) (0.4 ) (0.3 ) Defined benefit plan income $ (2.1 ) $ (2.2 ) $ (6.6 ) $ (6.5 )

Segment Results (Tables)

Segment Results (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Earnings	The following table presents the Company’s segment results: (dollars in millions) Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net sales North America $ 486.9 $ 486.0 $ 1,522.8 $ 1,444.0 Rest of World 274.1 270.1 876.0 802.4 Inter-segment (6.9 ) (6.2 ) (23.4 ) (18.3 ) $ 754.1 $ 749.9 $ 2,375.4 $ 2,228.1 Segment earnings North America (1) $ 105.6 $ 110.3 $ 336.5 $ 323.7 Rest of World 39.1 33.8 109.8 98.8 Inter-segment — (0.1 ) — (0.3 ) 144.7 144.0 446.3 422.2 Corporate expense (11.2 ) (9.9 ) (36.7 ) (35.0 ) Interest expense (2.0 ) (2.5 ) (6.6 ) (7.2 ) Earnings before income taxes 131.5 131.6 403.0 380.0 Provision for income taxes 26.9 37.9 85.1 106.2 Net earnings $ 104.6 $ 93.7 $ 317.9 $ 273.8 (1) $ — $ — $ 6.7 $ —

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2018
Schedule of Assets and (Liabilities) Measured at Fair Value on Recurring Basis	The following table presents assets and (liabilities) measured at fair value on a recurring basis. (dollars in millions) Fair Value Measurement Using September 30, 2018 December 31, 2017 Quoted prices in active markets for identical assets (Level 1) $ 384.8 $ 473.4 Significant other observable inputs (Level 2) 11.5 (1.4 )

Derivative Instruments (Tables)

Derivative Instruments (Tables) - Designated as Hedging Instrument	9 Months Ended
	Sep. 30, 2018
Schedule of Summary by Currency of Foreign Currency Forward Contracts	The following table summarizes, by currency, the contractual amounts of the Company’s foreign currency forward contracts that are designated as cash flow hedges. (dollars in millions) September 30, 2018 December 31, 2017 Buy Sell Buy Sell British pound $ — $ 0.3 $ — $ 1.2 Canadian dollar — 12.1 — 48.1 Euro 23.7 0.8 29.3 — Mexican peso 29.7 — 16.3 — Total $ 53.4 $ 13.2 $ 45.6 $ 49.3
Schedule of Impact of Cash Flow Hedges on Company's Financial Statements	The following tables present the impact of derivative contracts on the Company’s financial statements. Fair value of derivatives designated as hedging instruments under ASC 815: (dollars in millions) Balance Sheet Location September 30, December 31, Foreign currency contracts Other current assets $ 5.5 $ 0.2 Other non-current 6.4 — Accrued liabilities (0.4 ) (1.8 ) Commodities contracts Other current assets 0.1 0.2 Accrued liabilities (0.1 ) — Total derivatives designated as hedging instruments $ 11.5 $ (1.4 )
Schedule of Effect of Derivatives Instruments on Statement of Earnings	The effect of cash flow hedges on the condensed consolidated statement of earnings: Three Months Ended September 30 (dollars in millions): Derivatives in ASC 815 cash flow hedging relationships Amount of gain (loss) Location of gain (loss) reclassified from accumulated other comprehensive loss into earnings Amount of gain 2018 2017 2018 2017 Foreign currency contracts $ 1.9 $ (2.5 ) Cost of products sold $ — $ (0.3 ) Commodities contracts — — Cost of products sold — 0.3 $ 1.9 $ (2.5 ) $ — $ — Nine Months Ended September 30 (dollars in millions): Derivatives in ASC 815 cash flow hedging relationships Amount of gain (loss) Location of gain (loss) reclassified from accumulated other comprehensive loss into earnings Amount of gain 2018 2017 2018 2017 Foreign currency contracts $ 3.3 $ (1.0 ) Cost of products sold $ 0.1 $ 0.3 Commodities contracts — 0.1 Cost of products sold 0.3 0.4 $ 3.3 $ (0.9 ) $ 0.4 $ 0.7

Changes in Accumulated Other _2

Changes in Accumulated Other Comprehensive Loss by Component (Tables)	9 Months Ended
	Sep. 30, 2018
Changes to Accumulated Other Comprehensive Loss by Component	Changes to accumulated other comprehensive loss by component are as follows: (dollars in millions) Three Months Ended September 30, 2018 2017 Cumulative foreign currency translation Balance at beginning of period $ (39.1 ) $ (58.3 ) Other comprehensive (loss) income before reclassifications (20.7 ) 17.3 Balance at end of period (59.8 ) (41.0 ) Unrealized net gain on cash flow derivatives Balance at beginning of period (0.1 ) 0.8 Other comprehensive income (loss) before reclassifications 1.3 (1.6 ) Realized gains on derivatives reclassified to cost of products sold — — Balance at end of period 1.2 (0.8 ) Pension liability Balance at beginning of period (265.2 ) (283.2 ) Other comprehensive income (loss) before reclassifications 2.0 (0.1 ) Amounts reclassified from accumulated other comprehensive loss: (1) 3.6 2.7 Balance at end of period (259.6 ) (280.6 ) Accumulated other comprehensive loss, end of period $ (318.2 ) $ (322.4 ) (1)   Actuarial losses $ 4.9 (2) $ 4.6 (2) Prior year service cost (0.2 ) (2) (0.1 ) (2) 4.7 4.5 Income tax benefit (1.1 ) (1.8 ) Reclassification net of income tax benefit $ 3.6 $ 2.7 (2)    Changes to accumulated other comprehensive loss by component are as follows: (dollars in millions) Nine Months Ended 2018 2017 Cumulative foreign currency translation Balance at beginning of period $ (26.5 ) $ (79.2 ) Other comprehensive (loss) income before reclassifications (33.3 ) 38.2 Balance at end of period (59.8 ) (41.0 ) Unrealized net gain on cash flow derivatives Balance at beginning of period (0.9 ) 0.2 Other comprehensive income before reclassifications 2.4 (0.6 ) Realized gains on derivatives reclassified to cost of products sold (net of income tax provision of $0.1 and $0.3 in 2018 and 2017, respectively) (0.3 ) (0.4 ) Balance at end of period 1.2 (0.8 ) Pension liability Balance at beginning of period (272.1 ) (284.2 ) Other comprehensive income (loss) before reclassifications 2.0 (4.3 ) Amounts reclassified from accumulated other comprehensive loss: (1) 10.5 7.9 Balance at end of period (259.6 ) (280.6 ) Accumulated other comprehensive loss, end of period $ (318.2 ) $ (322.4 ) (1)   Actuarial losses $ 14.2 (2) $ 13.4 (2) Prior year service cost (0.4 ) (2) (0.3 ) (2) 13.8 13.1 Income tax benefit (3.3 ) (5.2 ) Reclassification net of income tax benefit $ 10.5 $ 7.9 (2)

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2017	Sep. 30, 2017	Jan. 01, 2018
Retained Earnings | Accounting Standards Update 2014-09
Net after tax reduction to opening retained earnings			$ 3.9
Cost of Products Sold | Accounting Standards Update 2017-07
Reclassified amounts of non-service cost pension income on adoption of amendment	$ 1.6	$ 4.7
Selling, General and Administrative Expenses | Accounting Standards Update 2017-07
Reclassified amounts of non-service cost pension income on adoption of amendment	$ 1	$ 3.1

Revenue Recognition - Additiona

Revenue Recognition - Additional Information (Detail) $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)SegmentDistributor	Dec. 31, 2017USD ($)
Customer deposits liability	$ 32.1	$ 56
Allowance for doubtful accounts	$ 5.9	$ 5.3
Number of reportable segments | Segment	2
Water Heaters | North America
Number of wholesale distributors | Distributor	1,200

Segment Sales Disaggregated by

Segment Sales Disaggregated by Major Product Line (Detail) - USD ($) $ in Millions		3 Months Ended		9 Months Ended
		Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Net sales		$ 754.1	$ 749.9	$ 2,375.4	$ 2,228.1
Inter-segment
Net sales		(6.9)	(6.2)	(23.4)	(18.3)
North America | Operating Segments
Net sales		486.9	486	1,522.8	1,444
North America | Operating Segments | Water Heaters and Related Parts
Net sales		405.2	415.4	1,318.1	1,273.6
North America | Operating Segments | Boilers and Related Parts
Net sales		58.6	56.8	143	133.3
North America | Operating Segments | Water Treatment Products
Net sales	[1]	23.1	13.8	61.7	37.1
Rest of World | Operating Segments
Net sales		274.1	270.1	876	802.4
Rest of World | Operating Segments | China
Net sales		246.2	247	806.4	745.9
Rest of World | Operating Segments | All Other Rest of World
Net sales		$ 27.9	$ 23.1	$ 69.6	$ 56.5
[1]	Includes Hague Quality Water International (Hague) from the date of acquisition of September 5, 2017

Acquisitions - Additional Infor

Acquisitions - Additional Information (Detail) - USD ($) $ in Millions	Sep. 05, 2017	Sep. 30, 2018	Sep. 30, 2018	Sep. 30, 2017
Business Acquisition [Line Items]
Aggregate cash purchase price, net of cash acquired				$ 43.1
Contingent Consideration amount			$ 2.3
Hague
Business Acquisition [Line Items]
Percentage of ownership interest acquired	100.00%
Aggregate cash purchase price, net of cash acquired	$ 43.1
Cash acquired from business acquisition	4.1
Contingent consideration and holdback	$ 1.5	$ 2	2
Contingent consideration, conditions measurement period	2 years	2 years
Acquisition-related costs	$ 0.2
Contingent Consideration amount		$ 1.3
Estimated fair value of remaining contingent consideration		1	1
Acquired intangible assets	12.8
Hague | Maximum
Business Acquisition [Line Items]
Contingent consideration and holdback	2	$ 1	$ 1
Hague | Trade Names
Business Acquisition [Line Items]
Acquired intangible assets, not subject to amortization	1.1
Hague | Customer Lists
Business Acquisition [Line Items]
Acquired intangible assets, subject to amortization	$ 11.7
Acquired intangible assets, amortization period, in years	18 years

Summary of Preliminary Allocati

Summary of Preliminary Allocation of Fair Value of Assets Acquired and Liabilities Assumed at Date of Acquisition (Detail) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017	Sep. 05, 2017
Business Acquisition [Line Items]
Goodwill	$ 515.2	$ 516.7
Hague
Business Acquisition [Line Items]
Current assets, net of cash acquired			$ 7.8
Property, plant and equipment			6.9
Intangible assets			12.8
Goodwill			22.2
Total assets acquired			49.7
Current liabilities			(5.6)
Long-term liabilities			(1)
Total liabilities assumed			(6.6)
Net assets acquired			$ 43.1

Restructuring and Impairment _3

Restructuring and Impairment Expenses - Additional Information (Detail) - USD ($) $ in Millions	Mar. 21, 2018	Sep. 30, 2018	Mar. 31, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Restructuring expense recognized	$ 6.7		$ 6.7		$ 6.7
Severance costs	4
Lease exit cost	2.1
Impairment of long-lived assets	0.6
Income tax expense (benefit)		$ 26.9		$ 37.9	$ 85.1	$ 106.2
Restructuring and Impairment Charges
Income tax expense (benefit)	$ 1.7

Analysis of Company's Restructu

Analysis of Company's Restructuring Reserve (Detail) - USD ($) $ in Millions	Mar. 21, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Sep. 30, 2018
Beginning balance		$ 5.5	$ 6.7
Cash payments and disposals		(3.5)	(1.2)
Restructuring expense recognized	$ 6.7			$ 6.7	$ 6.7
Ending balance		2	5.5	6.7	2
Severance Costs
Beginning balance		3.1	4
Cash payments and disposals		(2.8)	(0.9)
Restructuring expense recognized				4
Ending balance		0.3	3.1	4	0.3
Lease Exit Costs
Beginning balance		2.1	2.1
Cash payments and disposals		(0.4)
Restructuring expense recognized				2.1
Ending balance		1.7	2.1	2.1	$ 1.7
Fixed Assets Impairment
Beginning balance		0.3	0.6
Cash payments and disposals		$ (0.3)	(0.3)
Restructuring expense recognized				0.6
Ending balance			$ 0.3	$ 0.6

Schedule of Inventories (Detail

Schedule of Inventories (Detail) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Inventories
Finished products	$ 142.7	$ 140.4
Work in process	21.8	18.3
Raw materials	165.6	160.5
Inventories, at FIFO cost	330.1	319.2
LIFO reserve	(22.4)	(22.2)
Net inventory	$ 307.7	$ 297

Company's Warranty Liability Ac

Company's Warranty Liability Activity (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Product Warranties
Balance at beginning of year	$ 142.9	$ 140.8	$ 142.4	$ 140.9
Expense	8.7	8.4	31.4	29.1
Claims settled	(9.9)	(8.7)	(32.1)	(29.5)
Balance at end of year	$ 141.7	$ 140.5	$ 141.7	$ 140.5

Long-Term Debt - Additional Inf

Long-Term Debt - Additional Information (Detail)	9 Months Ended
	Sep. 30, 2018USD ($)lender
Debt Instrument [Line Items]
Multi-currency revolving credit agreement	$ 500,000,000
Number of banks involved in multi-year multi-currency revolving credit agreement | lender	9
Revolving credit facility, expiration date	Dec. 15, 2021
Multi-currency revolving credit agreement, maximum amount	$ 700,000,000

Schedule of Computation of Basi

Schedule of Computation of Basic and Diluted Weighted-Average Shares Used in Earnings per Share Calculations (Detail) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Earnings Per Share Of Common Stock
Denominator for basic earnings per share -weighted average shares	170,507,922	172,446,529	171,030,747	172,936,255
Effect of dilutive stock options and share units	1,576,694	1,909,214	1,687,050	1,948,557
Denominator for diluted earnings per share	172,084,616	174,355,743	172,717,797	174,884,812

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock based compensation cost recognized	$ 1.8	$ 1.3	$ 9.7	$ 8.5
Stock option compensation expense recognized	$ 0.8	$ 0.6	$ 4.6	$ 4
Weighted-average fair value per option at the date of grant			$ 14.80	$ 13.04
Number of Options, outstanding	2,447,622		2,447,622		2,263,126
Number of Options, Exercisable at End of Period	1,680,117		1,680,117
Number of options, exercised			162,102
Employee Stock Option
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			3 years	3 years
Award expiration period			10 years	10 years
Stock Appreciation Rights (SARs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			3 years
Award expiration period			10 years
Number of Options, outstanding	16,170		16,170
Number of Options, Exercisable at End of Period	16,170		16,170
Number of Options, granted			0	0
Number of options, exercised			7,800
Restricted Stock And Share Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period	3 years	3 years	3 years	3 years
Number of Units - Granted			106,581	107,755
Value of share units at the date of issuance			$ 6.6	$ 5.4
Share based compensation expense attributable to share units	$ 1	$ 0.7	$ 5.1	$ 4.5
A.O. Smith Combined Compensation Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares available for granting of options, restricted stock or share units	2,488,996		2,488,996

Changes in Option Awards All of

Changes in Option Awards All of Which Related to Common Stock (Detail) $ / shares in Units, $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-Average Per Share Exercise Price, beginning period | $ / shares	$ 27.73
Weighted-Average Per Share Exercise Price - Granted | $ / shares	61.62
Weighted-Average Per Share Exercise Price - Exercised | $ / shares	24.22
Weighted-Average Per Share Exercise Price - Forfeited | $ / shares	47.94
Weighted-Average Per Share Exercise Price, ending period | $ / shares	32.91
Weighted-Average Per Share Exercise Price, Exercisable | $ / shares	$ 24.39
Number of Options Outstanding, Beginning Balance | shares	2,263,126
Number of Options, Granted | shares	373,220
Number of Options, Exercised | shares	(162,102)
Number of Options, Forfeited | shares	(26,622)
Number of Options Outstanding, Ending Balance | shares	2,447,622
Number of Options, Exercisable at End of Period | shares	1,680,117
Average Remaining Contractual Life, Outstanding at End of Period, Years	7 years
Average Remaining Contractual Life, Exercisable at End of Period, Years	6 years
Aggregate Intrinsic Value, Outstanding at End of Period | $	$ 53.1
Aggregate Intrinsic Value, Exercisable at End of Period | $	$ 48.7

Schedule of Weighted-Average Fa

Schedule of Weighted-Average Fair Value per Option at Date of Grant (Detail)	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Stock Based Compensation [Abstract]
Expected life (years)	5 years 8 months 12 days	5 years 8 months 12 days
Risk-free interest rate	2.90%	2.40%
Dividend yield	1.00%	1.00%
Expected volatility	22.10%	26.50%

Summary of Share Unit Activity

Summary of Share Unit Activity Under Plan (Detail) - Restricted Stock And Share Units - $ / shares	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of Units Issued and unvested, Beginning of Period	433,290
Number of Units - Granted	106,581	107,755
Number of Units - Vested	(145,105)
Number of Units - Forfeited	(13,500)
Number of Units Issued and unvested, End of Period	381,266
Weighted-Average Grant Date Value, Beginning of Period	$ 34.96
Weighted-Average Grant Date Value - Granted	61.70
Weighted-Average Grant Date Value - Vested	30.79
Weighted-Average Grant Date Value - Forfeited	43.13
Weighted-Average Grant Date Value, End of Period	$ 42.94

Components of Company's Net Pen

Components of Company's Net Pension Income (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Pensions [Abstract]
Service cost	$ 0.5	$ 0.5	$ 1.5	$ 1.4
Interest cost	7.2	7.6	21.7	22.5
Expected return on plan assets	(14.5)	(14.8)	(43.6)	(43.5)
Amortization of unrecognized loss	4.9	4.6	14.2	13.4
Amortization of prior service cost	(0.2)	(0.1)	(0.4)	(0.3)
Defined benefit plan income	$ (2.1)	$ (2.2)	$ (6.6)	$ (6.5)

Pensions - Additional Informati

Pensions - Additional Information (Detail) $ in Millions	9 Months Ended
	Sep. 30, 2018USD ($)
Pension and Other Postretirement Benefits Disclosure [Line Items]
Voluntary pension contribution	$ 30

Schedule of Earnings (Detail)

Schedule of Earnings (Detail) - USD ($) $ in Millions		3 Months Ended		9 Months Ended
		Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Segment Reporting Information [Line Items]
Net sales		$ 754.1	$ 749.9	$ 2,375.4	$ 2,228.1
Segment earnings		144.7	144	446.3	422.2
Other income (expense)		5.1	5.9	15.5	15.4
Interest expense		(2)	(2.5)	(6.6)	(7.2)
Earnings before provision for income taxes		131.5	131.6	403	380
Provision for income taxes		26.9	37.9	85.1	106.2
Net earnings		104.6	93.7	317.9	273.8
Inter-segment
Segment Reporting Information [Line Items]
Net sales		(6.9)	(6.2)	(23.4)	(18.3)
Segment earnings			(0.1)		(0.3)
Corporate
Segment Reporting Information [Line Items]
Other income (expense)		(11.2)	(9.9)	(36.7)	(35)
North America | Operating Segments
Segment Reporting Information [Line Items]
Net sales		486.9	486	1,522.8	1,444
Segment earnings	[1]	105.6	110.3	336.5	323.7
Rest of World | Operating Segments
Segment Reporting Information [Line Items]
Net sales		274.1	270.1	876	802.4
Segment earnings		$ 39.1	$ 33.8	$ 109.8	$ 98.8
[1]	includes restructuring and impairment expenses of: $ - $ - $ 6.7 $ -

Schedule of Earnings (Parenthet

Schedule of Earnings (Parenthetical) (Detail) - USD ($) $ in Millions	Mar. 21, 2018	Mar. 31, 2018	Sep. 30, 2018
Segment Reporting Information [Line Items]
Restructuring expense recognized	$ 6.7	$ 6.7	$ 6.7

Assets and (Liabilities) Measur

Assets and (Liabilities) Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Quoted Prices In Active Markets For Identical Assets (Level 1)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value on recurring basis	$ 384.8	$ 473.4
Significant Other Observable Inputs (Level 2)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets measured at fair value on recurring basis	$ 11.5
Liabilities measured at fair value on recurring basis		$ (1.4)

Schedule of Summary by Currency

Schedule of Summary by Currency of Foreign Currency Forward Contracts (Detail) - Foreign currency forward contracts - USD ($)	Sep. 30, 2018	Dec. 31, 2017
Buy
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	$ 53,400,000	$ 45,600,000
Buy | Euro
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	23,700,000	29,300,000
Buy | Mexican peso
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	29,700,000	16,300,000
Sell
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	13,200,000	49,300,000
Sell | British pound
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	300,000	1,200,000
Sell | Canadian dollar
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	12,100,000	$ 48,100,000
Sell | Euro
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Contractual amounts of foreign currency forward contracts	$ 800,000

Derivative Instruments - Additi

Derivative Instruments - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Trading Activity, Gains and Losses, Net [Line Items]
Derivative instruments, loss recognized in other comprehensive income (loss)	$ (20.7)	$ 17.3	$ (33.3)	$ 38.2
Net Investment Hedging | Non-US
Trading Activity, Gains and Losses, Net [Line Items]
Derivative instruments, loss recognized in other comprehensive income (loss)	4.1		7.4
Contractual amounts of foreign currency forward contracts	$ 150		$ 150
Commodity Futures Contracts
Trading Activity, Gains and Losses, Net [Line Items]
Reclassification period for effective portion of contract, in years			1 year

Impact of Derivative Contracts

Impact of Derivative Contracts on Company's Financial Statements (Detail) - Designated as Hedging Instrument - USD ($) $ in Millions	Sep. 30, 2018	Dec. 31, 2017
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, total	$ 11.5	$ (1.4)
Foreign Currency Contracts | Other Current Assets
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, assets	5.5	0.2
Foreign Currency Contracts | Other Non-current Assets
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, assets	6.4
Foreign Currency Contracts | Accrued Liabilities
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, liabilities	(0.4)	(1.8)
Commodities Contracts | Other Current Assets
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, assets	0.1	$ 0.2
Commodities Contracts | Accrued Liabilities
Derivatives, Fair Value [Line Items]
Fair value of derivative instruments, liabilities	$ (0.1)

Schedule of Effect of Derivativ

Schedule of Effect of Derivatives Instruments on Statement of Earnings (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Derivative [Line Items]
Amount of gain (loss) recognized in other comprehensive loss on derivative	$ 1.9	$ (2.5)	$ 3.3	$ (0.9)
Amount of gain (loss) reclassified from accumulated other comprehensive loss into earnings			0.4	0.7
Foreign Currency Contracts
Derivative [Line Items]
Amount of gain (loss) recognized in other comprehensive loss on derivative	$ 1.9	(2.5)	3.3	(1)
Foreign Currency Contracts | Cost Of Products Sold
Derivative [Line Items]
Amount of gain (loss) reclassified from accumulated other comprehensive loss into earnings		(0.3)	0.1	0.3
Commodities Contracts
Derivative [Line Items]
Amount of gain (loss) recognized in other comprehensive loss on derivative				0.1
Commodities Contracts | Cost Of Products Sold
Derivative [Line Items]
Amount of gain (loss) reclassified from accumulated other comprehensive loss into earnings		$ 0.3	$ 0.3	$ 0.4

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017	Dec. 31, 2018	Dec. 31, 2017
Income Tax Contingency [Line Items]
Effective tax rates	20.50%	28.80%	21.10%	27.90%
Unrecognized tax benefits	$ 6.2		$ 6.2
Unrecognized tax benefits that would affect the effective tax rate, if recognized	$ 0.6		$ 0.6
Effective income tax rate reconciliation, tax cuts and jobs act, percent			21.00%
Tax cuts and jobs act, transition tax for accumulated foreign earnings, income tax expense						$ 81.8
Scenario, Forecast
Income Tax Contingency [Line Items]
Effective tax rates					21.00%
Earliest Tax Year | U.S. federal
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,015
Latest Tax Year | U.S. federal
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,017
State and local | Earliest Tax Year
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,001
State and local | Latest Tax Year
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,017
Non-U.S. | Earliest Tax Year
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,009
Non-U.S. | Latest Tax Year
Income Tax Contingency [Line Items]
Income tax examinations, years under examination			2,017

Changes in Accumulated Other _3

Changes in Accumulated Other Comprehensive Loss by Component (Detail) - USD ($) $ in Millions	3 Months Ended				9 Months Ended
	Sep. 30, 2018		Sep. 30, 2017		Sep. 30, 2018		Sep. 30, 2017
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance					$ 1,644.9
Ending balance	$ 1,756.2				1,756.2
Cumulative foreign currency translation
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(39.1)		$ (58.3)		(26.5)		$ (79.2)
Other comprehensive income (loss) before reclassifications	(20.7)		17.3		(33.3)		38.2
Ending balance	(59.8)		(41)		(59.8)		(41)
Unrealized net gain on cash flow derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(0.1)		0.8		(0.9)		0.2
Other comprehensive income (loss) before reclassifications	1.3		(1.6)		2.4		(0.6)
Realized gains on derivatives reclassified to cost of products sold					(0.3)		(0.4)
Ending balance	1.2		(0.8)		1.2		(0.8)
Pension liability
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(265.2)		(283.2)		(272.1)		(284.2)
Other comprehensive income (loss) before reclassifications	2		(0.1)		2		(4.3)
Amounts reclassified from accumulated other comprehensive loss	3.6	[1]	2.7	[1]	10.5	[2]	7.9	[2]
Ending balance	(259.6)		(280.6)		(259.6)		(280.6)
Accumulated Other Comprehensive Loss
Accumulated Other Comprehensive Income (Loss) [Line Items]
Ending balance	$ (318.2)		$ (322.4)		$ (318.2)		$ (322.4)
[1]	Amortization of pension items: Actuarial losses $ 4.9 (2) $ 4.6 (2) Prior year service cost (0.2 ) (2) (0.1 ) (2) 4.7 4.5 Income tax benefit (1.1 ) (1.8 ) Reclassification net of income tax benefit $ 3.6 $ 2.7
[2]	Amortization of pension items: Actuarial losses $ 14.2 (2) $ 13.4 (2) Prior year service cost (0.4 ) (2) (0.3 ) (2) 13.8 13.1 Income tax benefit (3.3 ) (5.2 ) Reclassification net of income tax benefit $ 10.5 $ 7.9

Changes in Accumulated Other _4

Changes in Accumulated Other Comprehensive Loss by Component (Parenthetical) (Detail) - USD ($) $ in Millions		3 Months Ended		9 Months Ended
		Sep. 30, 2018	Sep. 30, 2017	Sep. 30, 2018	Sep. 30, 2017
Unrealized net gain on cash flow derivatives
Accumulated Other Comprehensive Income (Loss) [Line Items]
Realized (gains) losses on derivatives reclassified to cost of products sold, tax provision (benefit)				$ 0.1	$ 0.3
Pension liability
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification, before income tax benefit		$ 4.7	$ 4.5	13.8	13.1
Income tax benefit		(1.1)	(1.8)	(3.3)	(5.2)
Reclassification net of income tax benefit		3.6	2.7	10.5	7.9
Actuarial losses
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification, before income tax benefit	[1]	4.9	4.6	14.2	13.4
Prior year service cost
Accumulated Other Comprehensive Income (Loss) [Line Items]
Reclassification, before income tax benefit	[1]	$ (0.2)	$ (0.1)	$ (0.4)	$ (0.3)
[1]	These accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 10 - Pensions for additional details