Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 17, 2017 | Jul. 03, 2016 | |
Document Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | SON | ||
Entity Registrant Name | SONOCO PRODUCTS CO | ||
Entity Central Index Key | 91,767 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 99,245,190 | ||
Entity Public Float | $ 4,944,332,687 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current Assets | ||
Cash and cash equivalents | $ 257,226 | $ 182,434 |
Trade accounts receivable, net of allowances of $10,884 in 2016 and $11,069 in 2015 | 625,411 | 627,962 |
Other receivables | 43,553 | 46,801 |
Inventories | ||
Finished and in process | 127,446 | 139,589 |
Materials and supplies | 245,368 | 245,894 |
Prepaid expenses | 49,764 | 64,698 |
Total Current Assets | 1,348,768 | 1,307,378 |
Property, Plant and Equipment, Net | 1,060,017 | 1,112,036 |
Goodwill | 1,092,215 | 1,140,461 |
Other Intangible Assets, Net | 224,958 | 245,095 |
Long-term Deferred Income Taxes | 42,130 | 52,626 |
Other Assets | 155,115 | 156,089 |
Total Assets | 3,923,203 | 4,013,685 |
Current Liabilities | ||
Payable to suppliers | 477,831 | 508,057 |
Accrued expenses and other | 205,303 | 225,303 |
Accrued wages and other compensation | 68,693 | 68,924 |
Notes payable and current portion of long-term debt | 32,045 | 113,097 |
Accrued taxes | 18,744 | 7,135 |
Total Current Liabilities | 802,616 | 922,516 |
Long-term Debt | 1,020,698 | 1,015,270 |
Pension and Other Postretirement Benefits | 447,339 | 432,964 |
Deferred Income Taxes | 59,753 | 72,933 |
Other Liabilities | 38,092 | 37,129 |
Commitments and Contingencies | ||
Sonoco Shareholders' Equity | ||
Preferred shares, no par value Authorized 30,000 shares 0 shares issued and outstanding at December 31, 2016 and 2015, respectively | ||
Common shares, no par value Authorized 300,000 shares 99,193 and 100,944 shares issued and outstanding at December 31, 2016 and 2015, respectively | 7,175 | 7,175 |
Capital in excess of stated value | 321,050 | 404,460 |
Accumulated other comprehensive loss | (738,380) | (702,533) |
Retained earnings | 1,942,513 | 1,803,827 |
Total Sonoco Shareholders' Equity | 1,532,358 | 1,512,929 |
Noncontrolling Interests | 22,347 | 19,944 |
Total Equity | 1,554,705 | 1,532,873 |
Total Liabilities and Equity | $ 3,923,203 | $ 4,013,685 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Allowances for trade accounts receivable | $ 10,884 | $ 11,069 |
Preferred stock, shares authorized | 30,000,000 | 30,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 99,193,000 | 100,944,000 |
Common stock, shares outstanding | 99,193,000 | 100,944,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net Sales | $ 4,782,877 | $ 4,964,369 | $ 5,016,994 |
Cost of sales | 3,845,451 | 4,034,947 | 4,109,108 |
Gross profit | 937,426 | 929,422 | 907,886 |
Selling, general and administrative expenses | 506,001 | 496,241 | 506,996 |
Restructuring/Asset impairment charges | 42,883 | 50,637 | 22,792 |
Gain on disposition of business, net | 104,292 | 0 | 0 |
Income before interest and income taxes | 492,834 | 382,544 | 378,098 |
Interest expense | 54,170 | 56,973 | 55,140 |
Interest income | 2,613 | 2,375 | 2,749 |
Income before income taxes | 441,277 | 327,946 | 325,707 |
Provision for income taxes | 164,631 | 87,738 | 108,758 |
Income before equity in earnings of affiliates | 276,646 | 240,208 | 216,949 |
Equity in earnings of affiliates, net of tax | 11,235 | 10,416 | 9,886 |
Net income | 287,881 | 250,624 | 226,835 |
Net (income) attributable to noncontrolling interests | (1,447) | (488) | (919) |
Net income attributable to Sonoco | $ 286,434 | $ 250,136 | $ 225,916 |
Weighted average common shares outstanding: | |||
Basic | 101,093,000 | 101,482,000 | 102,215,000 |
Assuming exercise of awards | 689,000 | 910,000 | 957,000 |
Diluted outstanding shares | 101,782,000 | 102,392,000 | 103,172,000 |
Net income attributable to Sonoco: | |||
Basic (usd per share) | $ 2.83 | $ 2.46 | $ 2.21 |
Diluted (usd per share) | 2.81 | 2.44 | 2.19 |
Cash dividends (usd per share) | $ 1.46 | $ 1.37 | $ 1.27 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 287,881 | $ 250,624 | $ 226,835 |
Other comprehensive income/(loss): | |||
Foreign currency translation adjustments | (32,405) | (129,652) | (103,447) |
Changes in defined benefit plans, net of tax | (9,577) | 31,042 | (130,664) |
Change in derivative financial instruments, net of tax | 7,091 | 810 | (5,700) |
Other comprehensive income/(loss) | (34,891) | (97,800) | (239,811) |
Comprehensive income | 252,990 | 152,824 | (12,976) |
Net (income) attributable to noncontrolling interests | (1,447) | (488) | (919) |
Other comprehensive loss/(income) attributable to noncontrolling interests | (956) | 4,118 | 829 |
Comprehensive income attributable to Sonoco | $ 250,587 | $ 156,454 | $ (13,066) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN TOTAL EQUITY - USD ($) $ in Thousands | Total | Common stocks | Capital in Excess of Stated Value | Net income | Retained Earnings | Non-controlling Interests |
Beginning Balance at Dec. 31, 2013 | $ 1,706,049 | $ 7,175 | $ 457,190 | $ (369,869) | $ 1,596,965 | $ 14,588 |
Beginning Balance, Shares at Dec. 31, 2013 | 102,147,000 | |||||
Net income | 226,835 | 225,916 | 919 | |||
Other comprehensive income/(loss): | ||||||
Translation loss | (103,447) | (102,618) | (829) | |||
Defined benefit plan adjustment | (130,664) | (130,664) | ||||
Derivative financial instruments | (5,700) | (5,700) | ||||
Other comprehensive income/(loss) | (239,811) | (238,982) | (829) | |||
Dividends | (129,990) | (129,990) | ||||
Issuance of stock awards | 10,491 | 10,491 | ||||
Issuance of stock awards, Shares | 583,000 | |||||
Shares repurchased | (87,800) | (87,800) | ||||
Shares repurchased, Shares | (2,127,000) | |||||
Stock-based compensation | 17,099 | 17,099 | ||||
Non-controlling interest from acquisition | 974 | 974 | ||||
Ending Balance at Dec. 31, 2014 | 1,503,847 | $ 7,175 | 396,980 | (608,851) | 1,692,891 | 15,652 |
Ending Balance, Shares at Dec. 31, 2014 | 100,603,000 | |||||
Net income | 250,624 | 250,136 | 488 | |||
Other comprehensive income/(loss): | ||||||
Translation loss | (129,652) | (125,534) | (4,118) | |||
Defined benefit plan adjustment | 31,042 | 31,042 | ||||
Derivative financial instruments | 810 | 810 | ||||
Other comprehensive income/(loss) | (97,800) | (93,682) | (4,118) | |||
Dividends | (139,200) | (139,200) | ||||
Issuance of stock awards | 6,091 | 6,091 | ||||
Issuance of stock awards, Shares | 514,000 | |||||
Shares repurchased | (7,868) | (7,868) | ||||
Shares repurchased, Shares | (173,000) | |||||
Stock-based compensation | 9,257 | 9,257 | ||||
Non-controlling interest from acquisition | 7,922 | 7,922 | ||||
Ending Balance at Dec. 31, 2015 | $ 1,532,873 | $ 7,175 | 404,460 | (702,533) | 1,803,827 | 19,944 |
Ending Balance, Shares at Dec. 31, 2015 | 100,944,000 | 100,944,000 | ||||
Net income | $ 287,881 | 286,434 | 1,447 | |||
Other comprehensive income/(loss): | ||||||
Translation loss | (32,405) | (33,361) | 956 | |||
Defined benefit plan adjustment | (9,577) | (9,577) | ||||
Derivative financial instruments | 7,091 | 7,091 | ||||
Other comprehensive income/(loss) | (34,891) | (35,847) | 956 | |||
Dividends | (147,748) | (147,748) | ||||
Issuance of stock awards | 4,040 | 4,040 | ||||
Issuance of stock awards, Shares | 428,000 | |||||
Shares repurchased | (106,739) | (106,739) | ||||
Shares repurchased, Shares | (2,179,000) | |||||
Stock-based compensation | 19,289 | 19,289 | ||||
Non-controlling interest from acquisition | 0 | 0 | ||||
Ending Balance at Dec. 31, 2016 | $ 1,554,705 | $ 7,175 | $ 321,050 | $ (738,380) | $ 1,942,513 | $ 22,347 |
Ending Balance, Shares at Dec. 31, 2016 | 99,193,000 | 99,193,000 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows from Operating Activities | |||
Net income | $ 287,881 | $ 250,624 | $ 226,835 |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Asset impairment | 7,122 | 24,408 | 8,155 |
Depreciation, depletion and amortization | 205,182 | 213,161 | 198,718 |
(Gain)/Loss on adjustment of Fox River environmental reserves | 850 | (32,543) | 0 |
Share-based compensation expense | 19,289 | 9,257 | 17,099 |
Equity in earnings of affiliates | (11,235) | (10,416) | (9,886) |
Cash dividends from affiliated companies | 10,231 | 8,131 | 9,809 |
(Loss)/Gain on disposition of assets, net | 14,173 | (5,719) | (2,103) |
Gain on disposition of business | (108,699) | 0 | 0 |
Pension and postretirement plan expense | 45,281 | 57,308 | 40,435 |
Pension and postretirement plan contributions | (46,716) | (36,009) | (65,944) |
Tax effect of share-based compensation exercises | 2,654 | 3,601 | 3,918 |
Excess tax benefit of share-based compensation | (2,695) | (3,622) | (4,126) |
Net (decrease) increase in deferred taxes | 2,591 | (3,737) | 38,760 |
Change in assets and liabilities, net of effects from acquisitions, dispositions and foreign currency adjustments | |||
Trade accounts receivable | (44,672) | (15,398) | (35,920) |
Inventories | (11,515) | (2,567) | 6,230 |
Payable to suppliers | 5,550 | 12,349 | 26,850 |
Prepaid expenses | 5,125 | (6,766) | (13,282) |
Accrued expenses | (11,742) | 15,299 | (8,713) |
Income taxes payable and other income tax items | 21,913 | (17,118) | (1,111) |
Fox River environmental reserves | (1,043) | (1,335) | (14,349) |
Other assets and liabilities | 9,154 | (5,978) | (3,460) |
Net cash provided by operating activities | 398,679 | 452,930 | 417,915 |
Cash Flows from Investing Activities | |||
Purchase of property, plant and equipment | (186,741) | (192,295) | (177,076) |
Cost of acquisitions, net of cash acquired | (88,632) | (17,447) | (334,132) |
Cash paid for disposition of assets | (8,436) | 0 | 0 |
Proceeds from the sale of assets | 280,373 | 32,530 | 7,758 |
Investment in affiliates and other | 294 | (2,657) | (3,983) |
Net cash used by investing activities | (3,142) | (179,869) | (507,433) |
Cash Flows from Financing Activities | |||
Proceeds from issuance of debt | 241,180 | 68,182 | 294,846 |
Principal repayment of debt | (306,305) | (182,900) | (49,624) |
Net increase in commercial paper borrowings | 0 | 0 | 0 |
Net (decrease) increase in outstanding checks | (163) | (684) | 1,335 |
Cash dividends – common | (146,364) | (138,032) | (128,793) |
Excess tax benefit of share-based compensation | 2,695 | 3,622 | 4,126 |
Shares acquired | (106,739) | (7,868) | (87,800) |
Shares issued | 0 | 1,324 | 5,373 |
Net cash (used) provided by financing activities | (315,696) | (256,356) | 39,463 |
Effects of Exchange Rate Changes on Cash | (5,049) | 4,561 | (6,344) |
Increase (Decrease) in Cash and Cash Equivalents | 74,792 | 21,266 | (56,399) |
Cash and cash equivalents at beginning of year | 182,434 | 161,168 | 217,567 |
Cash and cash equivalents at end of year | 257,226 | 182,434 | 161,168 |
Supplemental Cash Flow Disclosures | |||
Interest paid, net of amounts capitalized | 53,411 | 57,551 | 54,496 |
Income taxes paid, net of refunds | $ 134,777 | $ 104,922 | $ 67,192 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of significant accounting policies Basis of presentation The Consolidated Financial Statements include the accounts of Sonoco Products Company and its majority-owned subsidiaries (the “Company” or “Sonoco”) after elimination of intercompany accounts and transactions. Investments in affiliated companies in which the Company shares control over the financial and operating decisions, but in which the Company is not the primary beneficiary, are accounted for by the equity method of accounting. Income applicable to these equity investments is reflected in “Equity in earnings of affiliates, net of tax” in the Consolidated Statements of Income. The aggregate carrying value of equity investments is reported in “Other Assets” in the Company’s Consolidated Balance Sheets and totaled $106,956 and $111,051 at December 31, 2016 and 2015 , respectively. Affiliated companies over which the Company exercised a significant influence at December 31, 2016 , included: Entity Ownership Interest Percentage at December 31, 2016 RTS Packaging JVCO 35.0 % Cascades Conversion, Inc. 50.0 % Cascades Sonoco, Inc. 50.0 % Showa Products Company Ltd. 20.0 % Conitex Sonoco Holding BVI Ltd. 30.0 % Weidenhammer New Packaging, LLC 40.0 % Also included in the investment totals above is the Company’s 19.5% ownership in a small tubes and cores business in Chile and its 12.19% ownership in a small paper recycling business in Finland. These investments are accounted for under the cost method as the Company does not exercise significant influence over them. Estimates and assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Revenue recognition The Company records revenue when title and risk of ownership pass to the customer, and when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price to the customer is fixed or determinable and when collectibility is reasonably assured. Certain judgments, such as provisions for estimates of sales returns and allowances, are required in the application of the Company’s revenue policy and, therefore, are included in the results of operations in its Consolidated Financial Statements. Shipping and handling expenses are included in “Cost of sales,” and freight charged to customers is included in “Net sales” in the Company’s Consolidated Statements of Income. The Company has rebate agreements with certain customers. These rebates are recorded as reductions of sales and are accrued using sales data and rebate percentages specific to each customer agreement. Accrued customer rebates are included in “Accrued expenses and other” in the Company's Consolidated Balance Sheets. Accounts receivable and allowance for doubtful accounts The Company’s trade accounts receivable are non-interest bearing and are recorded at the invoiced amounts. The allowance for doubtful accounts represents the Company’s best estimate of the amount of probable credit losses in existing accounts receivable. Provisions are made to the allowance for doubtful accounts at such time that collection of all or part of a trade account receivable is in question. The allowance for doubtful accounts is monitored on a regular basis and adjustments are made as needed to ensure that the account properly reflects the Company’s best estimate of uncollectible trade accounts receivable. Account balances are charged off against the allowance for doubtful accounts when the Company determines that the receivable will not be recovered. Sales to one of the Company’s customers accounted for approximately 5% of the Company’s net sales in 2016 , 6% in 2015 and 7% in 2014 , primarily in the Display and Packaging and Consumer Packaging segments. Receivables from this customer accounted for approximately 3% and 6% of the Company’s total trade accounts receivable at December 31, 2016 and 2015 , respectively. The Company’s next largest customer comprised approximately 4% of the Company’s net sales in 2016 , 4% in 2015 and 3% in 2014 . Many of the Company’s customers sponsor and actively promote multi-vendor supply chain finance arrangements and, in a limited number of cases, the Company has agreed to participate. Accordingly, approximately 6% and 5% of consolidated annual sales were settled under these arrangements in 2016 and 2015, respectively. Research and development Research and development costs are charged to expense as incurred and include salaries and other directly related expenses. Research and development costs totaling approximately $22,500 in 2016 , $22,100 in 2015 and $24,200 in 2014 are included in “Selling, general and administrative expenses” in the Company’s Consolidated Statements of Income. Restructuring and asset impairment Costs associated with exit or disposal activities are recognized when the liability is incurred. If assets become impaired as a result of a restructuring action, the assets are written down to fair value, less estimated costs to sell, if applicable. A number of significant estimates and assumptions are involved in the determination of fair value. The Company considers historical experience and all available information at the time the estimates are made; however, the amounts that are ultimately realized upon the sale of divested assets may differ from the estimated fair values reflected in the Company’s Consolidated Financial Statements. Cash and cash equivalents Cash equivalents are composed of highly liquid investments with an original maturity to the Company of generally three months or less when purchased. Cash equivalents are recorded at cost, which approximates market. Inventories Inventories are stated at the lower of cost or market. The last-in, first-out (LIFO) method is used for the valuation of certain of the Company’s domestic inventories, primarily metal, internally manufactured paper and paper purchased from third parties. The LIFO method of accounting was used to determine the carrying costs of approximately 19% and 19% of total inventories at December 31, 2016 and 2015 , respectively. The remaining inventories are determined on the first-in, first-out (FIFO) method. If the FIFO method of accounting had been used for all inventories, total inventory would have been higher by $17,319 and $18,894 at December 31, 2016 and 2015 , respectively. Property, plant and equipment Plant assets represent the original cost of land, buildings and equipment, less depreciation, computed under the straight-line method over the estimated useful lives of the assets, and are reviewed for impairment whenever events indicate the carrying value may not be recoverable. Equipment lives generally range from 3 to 11 years , and buildings from 15 to 40 years . Timber resources are stated at cost. Depletion is charged to operations based on the estimated number of units of timber cut during the year. Goodwill and other intangible assets The Company assesses its goodwill for impairment annually and from time to time when warranted by the facts and circumstances surrounding individual reporting units or the Company as a whole. In performing the impairment test, the Company uses either a qualitative evaluation or a quantitative test. The qualitative evaluation considers factors such as the macroeconomic environment, Company stock price and market capitalization movement, business strategy changes, and significant customer wins and losses. The quantitative test considers factors such as the amount by which estimated fair value exceeds current carrying value, current year operating performance as compared to prior projections, and implied fair values from comparable trading and transaction multiples. Calculated reporting unit estimated fair values reflect a number of significant management assumptions and estimates including the Company's forecast of sales volumes and prices, profit margins, income taxes, capital expenditures and changes in working capital requirements. Changes in these assumptions and/or discount rates could materially impact the estimated fair values. When the Company estimates the fair value of a reporting unit, it does so using a discounted cash flow model based on projections of future years' operating results and associated cash flows, corroborated by comparable trading and transaction multiples. The Company's projections incorporate management's best estimates of the expected future results, which include expectations related to new and retained business and future operating margins. Projected future cash flows are then discounted to present value using a discount rate management believes is commensurate with the risks inherent in the cash flows. If the fair value of a reporting unit exceeds the carrying value of the reporting unit’s assets, including goodwill, there is no impairment. If not, and the carrying value of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment charge is recognized for the excess. Goodwill is not amortized. Intangible assets are amortized, usually on a straight-line basis, over their respective useful lives, which generally range from 3 to 40 years . The Company evaluates its intangible assets for impairment whenever indicators of impairment exist. The Company has no intangibles with indefinite lives. Income taxes The Company provides for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting requirements and tax laws. Assets and liabilities are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Derivatives The Company uses derivatives to mitigate the effect of fluctuations in some of its raw material and energy costs, foreign currencies, and, from time to time, interest rates. The Company purchases commodities such as recovered paper, metal, resins and energy generally at market or at fixed prices that are established with the vendor as part of the purchase process for quantities expected to be consumed in the ordinary course of business. The Company may enter into commodity futures or swaps to manage the effect of price fluctuations. The Company may use foreign currency forward contracts and other risk management instruments to manage exposure to changes in foreign currency cash flows and the translation of monetary assets and liabilities on the Company’s consolidated financial statements. The Company is exposed to interest-rate fluctuations as a result of using debt as a source of financing for its operations. The Company may from time to time use traditional, unleveraged interest rate swaps to adjust its mix of fixed and variable rate debt to manage its exposure to interest rate movements. The Company records its derivatives as assets or liabilities on the balance sheet at fair value using published market prices or estimated values based on current price and/or rate quotes and discounted estimated cash flows. Changes in the fair value of derivatives are recognized either in net income or in other comprehensive income, depending on the designated purpose of the derivative. Amounts in accumulated other comprehensive income are reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. It is the Company’s policy not to speculate in derivative instruments. Reportable segments The Company identifies its reportable segments by evaluating the level of detail reviewed by the chief operating decision maker, gross profit margins, nature of products sold, nature of the production processes, type and class of customer, methods used to distribute products, and nature of the regulatory environment. Of these factors, the Company believes that the most significant in determining the aggregation of operating segments are the nature of the products and the type of customers served. Contingencies Pursuant to U.S. GAAP for accounting for contingencies, accruals for estimated losses are recorded at the time information becomes available indicating that losses are probable and that the amounts are reasonably estimable. Amounts so accrued are not discounted. |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | New accounting pronouncements In January 2017, the Financial Accounting Standards Board (FASB) issued ASU 2017-04, “ Simplifying the Test for Goodwill Impairment ,” eliminating the requirement to determine the fair value of individual assets and liabilities of a reporting unit to measure goodwill impairment. Under ASU 2017-04, goodwill impairment testing will be performed by comparing the fair value of the reporting unit with its carrying amount and recognizing an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The new standard is effective for annual and interim goodwill impairment tests in fiscal years beginning after December 15, 2019, and should be applied on a prospective basis. T he Company does not expect the implementation of ASU 2017-04 to have a material impact on its consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, " Clarifying the Definition of a Business, " providing guidance to entities to assist with evaluating when a set of transferred assets and activities (collectively, the "set") is a business and provides a screen to determine when a set is not a business. Under the new guidance, when substantially all of the fair value of gross assets acquired (or disposed of) is concentrated in a single identifiable asset, or group of similar assets, the assets acquired would not represent a business. Also, to be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to produce outputs. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, and should be applied on a prospective basis to any transactions occurring within the period of adoption. T he Company does not expect the implementation of ASU 2017-01 to have a material impact on its consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, " Restricted Cash," requiring that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments in this Update do not provide a definition of restricted cash or restricted cash equivalents. The guidance is effective for periods beginning after December 15, 2017 on a retrospective basis. Although the presentational format of the statement of cash flows will be updated to conform with this guidance, the Company does not expect the implementation of ASU 2016-18 to have a material impact on its consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory" as part of its simplification initiative to reduce complexity in accounting standards. This update requires that an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The guidance is effective for periods beginning after December 15, 2017 on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Company does not expect the implementation of ASU 2016-16 to have a material effect on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, "Classification of Certain Cash Receipts and Cash Payments," providing clarification on eight cash flow classification issues, including 1) debt prepayment or debt extinguishment costs, 2) settlement of relatively insignificant debt instruments, 3) contingent consideration payments, 4) insurance claim settlements, 5) life insurance settlements, 6) distributions received from equity method investees, 7) beneficial interests in securitization transactions, and 8) separately identifiable cash flows. The guidance is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect the implementation of ASU 2016-15 to have a material effect on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments," which requires measurement and recognition of expected versus incurred credit losses for financial assets held. The guidance is effective for annual reporting periods beginning after December 15, 2019, and interim periods within those annual periods. The Company does not expect the implementation of ASU 2016-13 to have a material effect on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting," which simplifies several aspects of the accounting for share-based payment transactions, including 1) accounting for income taxes, 2) classification of excess tax benefits in the statement of cash flows, 3) forfeitures, 4) minimum statutory tax withholding requirements, 5) cash flow classification of employee taxes withheld in the form of shares, 6) the practical expedient for estimating the expected term, and 7) intrinsic value. The guidance is effective for annual reporting periods beginning after December 15, 2016, and interim periods within those annual periods. The Company does not expect the implementation of ASU 2016-09 to have a material effect on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-08, "Revenue from Contracts with Customers, Principal versus Agent Considerations (Reporting Revenue Gross versus Net)," which provides guidance on recording revenue on a gross basis versus a net basis based on the determination of whether an entity is a principal or an agent when another party is involved in providing goods or services to a customer. The amendments in this update affect the guidance in ASU No. 2014-09 and are effective in the same time frame as ASU 2014-09 as discussed below. In February 2016, the FASB issued ASU 2016-02, which changes accounting for leases and requires lessees to recognize the assets and liabilities arising from all leases, including those classified as operating leases under previous accounting guidance on the balance sheet and requires disclosure of key information about leasing arrangements to increase transparency and comparability among organizations. The accounting for lessors does not fundamentally change except for changes to conform and align guidance to the lessee guidance. The guidance is effective for reporting periods beginning after December 15, 2018, including interim periods within those fiscal years and requires retrospective application. The Company is still assessing the impact of ASU 2016-02 on its consolidated financial statements. In May 2015, the FASB issued ASU 2015-07, " Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)", which removed the requirement to categorize within the fair value hierarchy investments for which fair value is measured using the net asset value per share practical expedient provided by Accounting Standards Codification 820, "Fair Value Measurement." Disclosures about investments in certain entities that calculate net asset value per share are limited under ASU 2015-07 to those investments for which the entity has elected to estimate the fair value using the net asset value practical expedient. This guidance became effective for reporting periods beginning after December 15, 2015, with retrospective application to all periods presented. Accordingly, common collective trusts and certain other investments are no longer categorized within the fair value hierarchy in Note 10. In April 2015, the FASB issued ASU 2015-03, "Simplifying the Presentation of Debt Issuance Costs," which requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, and not recorded as separate assets. This update was effective for reporting periods beginning after December 15, 2015, and was required to be applied on a retrospective basis. Accordingly, the Company adopted ASU 2015-03 on January 1, 2016. Debt issuance costs totaling $6,584 previously included in "Other Assets" have been reclassified to "Long-Term Debt, Net of Current Portion" on the Company's Consolidated Balance Sheets as of December 31, 2015. In May 2014, the FASB issued ASU 2014-09, "Revenue From Contracts With Customers," which changes the definitions/criteria used to determine when revenue should be recognized from being based on risks and rewards to being based on control. Among other changes, ASU 2014-09 changes the manner in which variable consideration is recognized, requires recognition of the time value of money when payment terms exceed one year, provides clarification on accounting for contract costs, and expands disclosure requirements. The effective date for implementation of ASU 2014-09 has been deferred and is now effective for reporting periods beginning after December 15, 2017. The Company is in the process of finalizing its assessment of the impact of ASU 2014-09 on its consolidated financial statements, but expects the adoption to have the effect of accelerating the timing of revenue recognition compared to current standards for those arrangements under which the Company is producing customer-specific products without alternative use and would be entitled to payment for work completed, including a reasonable margin. The Company has selected the modified retrospective method of adoption and is currently expecting to adopt this standard in the first quarter of fiscal 2018. Other than the pronouncements discussed above, there have been no other newly issued nor newly applicable accounting pronouncements that have had, or are expected to have, a material impact on the Company’s financial statements. Further, at December 31, 2016 , there were no other pronouncements pending adoption that are expected to have a material impact on the Company’s financial statements. |
Acquisitions and Dispositions
Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Acquisitions and Dispositions | Acquisitions and dispositions Acquisitions The Company completed four acquisitions during 2016 at a net cash cost of $88,632 . On November 1, 2016, the Company completed the acquisition of Plastic Packaging Inc. ("PPI"), a privately held Hickory, N.C.-based flexible packaging company for $67,568 , net of cash acquired. Founded in 1957, PPI, which is part of the Company's Consumer Packaging segment, specializes in short-run, customized flexible packaging for consumer brands in markets including food products, pet products, confection, and health and personal care. PPI operates two manufacturing facilities in North Carolina with approximately 170 employees. In conjunction with this acquisition, the Company recorded net tangible assets of $22,756 , identifiable intangibles of $18,900 , and goodwill of $25,912 , none of which is expected to be tax deductible. Factors comprising goodwill include the ability to leverage product offerings across a broader customer base and the value of the assembled workforce. The allocation of the purchase price of PPI to the tangible and intangible assets acquired and liabilities assumed was based on the Company's preliminary estimates of their fair value, based on information currently available. Management is continuing to finalize its valuation of certain assets and liabilities and expects to complete the allocation in the first quarter of 2017. On September 19, 2016, the Company completed the acquisition of Laminar Medica ("Laminar") in the United Kingdom and Czech Republic, from Clinimed (Holdings) Limited, a privately held specialty medical products company based in the U.K. for $17,201 , net of cash acquired. In conjunction with this acquisition, which is accounted for as part of the Company's Protective Solutions segment, the Company recorded net tangible assets of $2,739 , identifiable intangibles of $5,654 , and goodwill of $8,808 , none of which is expected to be tax deductible. Factors comprising goodwill include increased access to certain markets as well as the value of the assembled workforce. The allocation of the purchase price of Laminar to the tangible and intangible assets acquired and liabilities assumed was based on the Company's preliminary estimates of their fair value, based on information currently available. Management is continuing to finalize its valuation of certain assets and liabilities and expects to complete the allocation in the first quarter of 2017. On August 30, 2016, the Company completed the acquisition of the temperature-controlled cargo container assets, licenses, trademarks, and manufacturing rights from AAR Corporation. Total consideration for this business was $6,000 , including cash paid of $3,000 , non-contingent deferred payments of $2,000 , and a contingent purchase liability totaling $1,000 . The non-contingent deferred payments are due in two installments, $1,000 payable 12 months from the closing date, and $1,000 payable 24 months from the closing date. The contingent purchase liability is based upon a highly attainable metric which the Company expects to be met. The contingent liability is payable in two installments, $500 due 36 months from the closing date and $500 due 48 months from the closing date. In relation to this acquisition, which is accounted for as part of the Protective Solutions segment, the Company recorded net tangible assets of $200 , identifiable intangibles of $4,100 , and goodwill of $1,700 , all of which will be tax deductible. On June 24, 2016, the Company completed the acquisition of a small tube and core business in Australia. The all-cash purchase price of the business was $863 . In conjunction with this acquisition, which is part of the Paper and Industrial Converted Products segment, the Company recorded net tangible assets of $149 , identifiable intangibles of $297 , and goodwill of $417 , none of which is expected to be tax deductible. The Company completed two acquisitions during 2015 at an aggregate cost of $21,184 , of which $17,447 was paid in cash. On April 1, 2015, the Company completed the acquisition of a 67% controlling interest in Graffo Paranaense de Embalagens S/A ("Graffo"), a flexible packaging business located in Brazil. Graffo, which is part of the Company's Consumer Packaging segment, serves the confectionery, dairy, pharmaceutical and tobacco markets in Brazil with approximately 230 employees. Total consideration paid for Graffo was approximately $18,334 , including cash of $15,697 , and assumed debt of $2,637 . Subsequent to year end, on February 15, 2017, the Company signed a definitive agreement to acquire Packaging Holdings, Inc. (Packaging), including Peninsula Packaging, LLC, for approximately $230 million in cash. Packaging manufactures thermoformed packaging for a wide range of whole fresh fruits, pre-cut fruits and produce, prepared salad mixes, as well as baked goods in retail supermarkets. Founded in 2001 and based in Exeter, California, Packaging operates five manufacturing facilities, four in the United States and one in Mexico. The transaction is subject to normal regulatory review and is expected to close by the end of the second quarter of 2017. Packaging will become part of the Company's Consumer Packaging segment. On September 21, 2015, the Company acquired the high-density wood plug business from Smith Family Companies, Inc. Total consideration for the acquisition was $2,850 , including cash of $1,750 and a contingent purchase liability of $1,100 . The Company will manufacture these wood plugs at its existing facility in Hartselle, Alabama. The acquisition is part of the Paper and Industrial Converted Products segment. The contingent liability will be paid within 30 days of the second anniversary of the acquisition if targeted levels of sales are maintained. The Company completed two acquisitions during 2014 at an aggregate cost of $366,280 , of which $334,132 was paid in cash. The most significant of these was the October 31, 2014, acquisition in the Consumer Packaging segment of the privately held Weidenhammer Packaging Group ("Weidenhammer"), a manufacturer of composite cans, drums, and luxury tubes, as well as rigid plastic containers using thin-walled injection molding technology with in-mold labeling. Markets served include processed foods, powdered beverages, tobacco, confectionery, personal care, pet food, pharmaceuticals, and home and garden products. Headquartered in Hockenheim, Germany, Weidenhammer has approximately 1,100 employees and operates 13 production facilities, including five in Germany, along with individual plants in Belgium, France, the Netherlands, the United Kingdom, the United States, Chile, Greece, and Russia. Total consideration paid for Weidenhammer was approximately $355,316 , including cash of $323,168 , and debt and other liabilities assumed totaling $32,148 . On May 2, 2014, the Company completed the acquisition of Dalton Paper Products, Inc., a manufacturer of tubes and cores, for a net cash cost of $11,286 . The acquisition consisted of a single manufacturing facility located in Dalton, Georgia, and is accounted for in the Company's Paper and Industrial Converted Products segment. Also during 2014, the Company received cash totaling $322 in connection with the final working capital settlement related to a 2013 acquisition. Acquisition-related costs of $4,569 , $1,663 and $9,221 were incurred in 2016 , 2015 and 2014 , respectively. These costs, consisting primarily of legal and professional fees, are included in “Selling, general and administrative expenses” in the Company’s Consolidated Statements of Income. The Company has accounted for these acquisitions as business combinations under the acquisition method of accounting, in accordance with the business combinations subtopic of the Accounting Standards Codification and, accordingly, has included their results of operations in the Company’s consolidated statements of net income from the respective dates of acquisition. The Company does not believe the 2016 acquisitions summarized above are material transactions, individually or in the aggregate, subject to the disclosures and supplemental pro-forma information required by ASC 805. Accordingly, this information is not presented. Dispositions On November 7, 2016 the Company completed the sale of its rigid plastics blow molding operations to Amcor Rigid Plastics USA, LLC and Amcor Packaging Canada, Inc. These operations manufactured containers serving the personal care and food and beverage markets and consisted of seven manufacturing facilities ( six in the U.S. and one in Canada), with approximately 850 employees. The selling price was approximately $280,000 , with the Company receiving net cash proceeds of $271,817 at closing with another $7,775 held in escrow pending resolution of a contingency. In conjunction with the sale, the Company wrote off the following assets and liabilities: trade accounts receivable of $35,031 ; inventory of $14,700 ; trade accounts payable of $18,494 ; property, plant and equipment of $41,210 ; other net tangible liabilities totaling $499 ; goodwill of $76,435 ; and identifiable intangibles (primarily customer lists) of $14,735 . Disposal-related costs totaled $4,407 , resulting in the recognition of a gain on the disposition of $104,292 . Any proceeds released from escrow upon resolution of the aforementioned contingency, which is expected to occur by the end of the first quarter of 2017, will result in an additional gain on the sale. The decision to sell the blow molding operations was made in order to allow the Company to focus on, and provide resources to further enhance, its targeted growth businesses, including flexible packaging, thermoformed rigid plastics, and temperature-assurance packaging. The sale is not expected to notably affect the operating margin percentages for the Company's Consumer Packaging segment. The sale did not represent a strategic shift for the Company that will have a major effect on the entity's operations and financial results. Consequently, the sale did not meet the criteria for reporting as a discontinued operation. |
Restructuring and Asset Impairm
Restructuring and Asset Impairment | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Asset Impairment | Restructuring and asset impairment The Company has engaged in a number of restructuring actions over the past several years. Actions initiated in 2016 and 2015 are reported as “ 2016 Actions” and “ 2015 Actions,” respectively. Actions initiated prior to 2015 , all of which were substantially complete at December 31, 2016 , are reported as “ 2014 and Earlier Actions.” Following are the total restructuring and asset impairment charges, net of adjustments, recognized during the periods presented: Year Ended December 31 2016 2015 2014 Restructuring/Asset impairment: 2016 Actions $ 32,997 $ — $ — 2015 Actions 7,239 35,837 — 2014 and Earlier Actions 30 2,735 18,088 Other asset impairments 2,617 12,065 4,704 Restructuring/Asset impairment charges $ 42,883 $ 50,637 $ 22,792 Income tax benefit (7,520 ) (22,641 ) (5,732 ) Restructuring cost/(benefit) attributable to noncontrolling interests, net of tax (161 ) (93 ) (52 ) Total impact of restructuring/asset impairment charges, net of tax $ 35,202 $ 27,903 $ 17,008 Pretax restructuring and asset impairment charges are included in “Restructuring/Asset impairment charges” in the Consolidated Statements of Income. The Company expects to recognize future additional costs totaling approximately $2,100 in connection with previously announced restructuring actions. The Company believes that the majority of these charges will be incurred and paid by the end of 2017. The Company continually evaluates its cost structure, including its manufacturing capacity, and additional restructuring actions are likely to be undertaken. 2016 Actions During 2016, the Company announced the closure of four tubes and cores plants - one in the United States, one in Canada, one in Ecuador, and one in Switzerland (all part of the Paper and Industrial Converted Products segment). The Company closed a packaging services center in Mexico (part of the Display and Packaging segment) and a fulfillment service center in Brazil (part of the Display and Packaging segment). The Company also began manufacturing rationalization efforts in its Reels division (part of the Paper and Industrial Converted Products segment), completed the sales of a paper mill in France (part of the Paper and Industrial Converted Products segment), and a retail security packaging plant in Puerto Rico (part of the Display and Packaging segment). In addition, the Company continued to realign its cost structure, resulting in the elimination of approximately 180 positions. Below is a summary of 2016 Actions and related expenses by type incurred and estimated to be incurred through completion. 2016 Actions Year Ended December 31, 2016 Estimated Total Cost Severance and Termination Benefits Consumer Packaging $ 2,407 $ 3,057 Display and Packaging 4,304 4,354 Paper and Industrial Converted Products 5,887 5,887 Protective Solutions 678 678 Corporate 1,550 1,550 Asset Impairment/Disposal of Assets Consumer Packaging (306 ) (306 ) Display and Packaging 2,712 2,712 Paper and Industrial Converted Products 13,300 13,300 Other Costs Consumer Packaging 731 831 Display and Packaging 286 536 Paper and Industrial Converted Products 1,298 1,548 Protective Solutions 150 150 Total Charges and Adjustments $ 32,997 $ 34,297 The following table sets forth the activity in the 2016 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2016 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2015 $ — $ — $ — $ — 2016 charges 14,826 15,706 2,465 32,997 Cash payments (11,244 ) (7,322 ) (1,819 ) (20,385 ) Asset write downs/disposals — (8,384 ) — (8,384 ) Foreign currency translation (24 ) — (6 ) (30 ) Liability, December 31, 2016 $ 3,558 $ — $ 640 $ 4,198 Included in "Asset Impairment/Disposal of Assets" above is a loss of $ 12,694 from the sale of a paperboard mill in France in May 2016, which includes the payment of $ 8,436 of cash required in order to consummate the disposition with the acquiror. Other assets divested in connection with the sale included net fixed assets of $ 3,201 , and other tangible assets, net of liabilities disposed, of $ 1,057 . Also included in "Asset Impairment/Disposal of Assets" is a loss of $ 2,421 from the sale of a retail security packaging business in Puerto Rico in July 2016. The Company received proceeds of $ 1,816 from the sale of this business. Assets written off in connection with the sale included net fixed assets of $ 217 , other tangible assets, net of liabilities disposed, of $ 858 , goodwill of $ 1,215 , and other intangible assets (customer lists) of $ 1,947 . Additional disposals of fixed assets totaling $ 591 were recognized from restructuring actions initiated in 2016. "Other costs" consist primarily of costs related to plant closures including equipment removal, utilities, plant security, property taxes and insurance. The Company expects to pay the majority of the remaining 2016 Actions restructuring costs by the end of 2017 using cash generated from operations. 2015 Actions During 2015, the Company initiated the following restructuring actions in its Consumer Packaging segment: the closure of six rigid paper facilities ( two in the United States, one in Canada, one in Russia, one in Germany, and one in the United Kingdom); the closure of a production line at a thermoforming plant in the United States; and the sale of two metal ends and closures plants in the United States. Restructuring actions initiated in the Paper and Industrial Converted Products segment include the closures of a tubes and cores plant and a recycling business in the United States. The Company also recognized an asset impairment charge related to the potential disposition of a paper mill in France. Restructuring actions initiated in the Display and Packaging segment consisted of the closure of a printed backer card facility in the United States. In addition, the Company continued to realign its cost structure, resulting in the elimination of approximately 235 positions. Below is a summary of 2015 Actions and related expenses by type incurred and estimated to be incurred through completion. Year Ended December 31, Total Incurred to Date Estimated Total Cost 2015 Actions 2016 2015 Severance and Termination Benefits Consumer Packaging $ 3,147 $ 15,047 $ 18,194 $ 18,294 Display and Packaging 97 1,115 1,212 1,212 Paper and Industrial Converted Products (18 ) 8,479 8,461 8,461 Protective Solutions — 39 39 39 Corporate (19 ) 2,775 2,756 2,756 Asset Impairment/Disposal of Assets Consumer Packaging 1,658 (4,303 ) (2,645 ) (2,645 ) Display and Packaging 335 474 809 809 Paper and Industrial Converted Products 587 10,198 10,785 10,785 Other Costs Consumer Packaging 949 1,400 2,349 2,749 Display and Packaging 206 351 557 557 Paper and Industrial Converted Products 297 251 548 698 Corporate — 11 11 11 Total Charges and Adjustments $ 7,239 $ 35,837 $ 43,076 $ 43,726 The following table sets forth the activity in the 2015 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2015 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2014 $ — $ — $ — $ — 2015 charges 27,455 6,369 2,013 35,837 Cash receipts/(payments) (11,856 ) 29,145 (2,013 ) 15,276 Asset write downs/disposals — (35,514 ) — (35,514 ) Foreign currency translation (223 ) — — (223 ) Liability, December 31, 2015 $ 15,376 $ — $ — $ 15,376 2016 charges 5,083 3,182 4,673 12,938 Adjustments (1,876 ) (602 ) (3,221 ) (5,699 ) Cash (payments)/receipts (14,982 ) 602 (1,457 ) (15,837 ) Asset write downs/disposals — (3,182 ) — (3,182 ) Foreign currency translation (205 ) — 5 (200 ) Liability, December 31, 2016 $ 3,396 $ — $ — $ 3,396 Included in "Asset Impairment/Disposal of Assets" in 2015 above is a gain of $ 7,224 from the sale of two metal ends and closures production facilities in Canton, Ohio. The Company received proceeds of $ 29,128 from the sale of these operations and disposed of net assets totaling $ 21,904 in connection with the sale. Beneficial tax attributes associated with the sale provided an income tax benefit of approximately $ 10,100 . Also included are charges for the impairment of fixed assets totaling $ 6,688 related to the potential disposition of a paper mill in France and impairments related to the closure of a recycling business in the United States including goodwill of $ 1,686 and other intangible assets of $ 1,251 . Additional impairments of fixed assets totaling $ 3,985 were recognized from restructuring actions initiated in 2015. “Other Costs” in both 2015 and 2016 consist primarily of costs related to plant closures including equipment removal, utilities, plant security, property taxes and insurance. "Adjustments" in 2016 relate primarily to severance, equipment removal, transport, and duplicate fixed costs reimbursed by a customer for a plant relocation initiated in 2015 due to customer requirements. The Company expects to pay the majority of the remaining 2015 Actions restructuring costs by the end of 2017 using cash generated from operations. 2014 and Earlier Actions 2014 and Earlier Actions are comprised of a number of plant closures and workforce reductions initiated prior to 2015. Below is a summary of 2014 and Earlier Actions and related expenses by type incurred. Year Ended December 31, 2014 and Earlier Actions 2016 2015 2014 Severance and Termination Benefits Consumer Packaging $ — $ 836 $ 966 Display and Packaging — (121 ) 1,139 Paper and Industrial Converted Products 12 250 4,077 Protective Solutions — (14 ) 539 Corporate — — (27 ) Asset Impairment/Disposal of Assets Consumer Packaging — — 2,446 Display and Packaging — — 972 Paper and Industrial Converted Products (397 ) (101 ) (931 ) Protective Solutions 3 133 185 Other Costs Consumer Packaging — 90 5,302 Display and Packaging — 21 113 Paper and Industrial Converted Products 225 1,109 2,853 Protective Solutions 187 532 454 Total Charges and Adjustments $ 30 $ 2,735 $ 18,088 The following table sets forth the activity in the 2014 and Earlier Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2014 and Earlier Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2014 $ 1,849 $ — $ 1,463 $ 3,312 2015 charges 1,256 373 1,935 3,564 Adjustments (305 ) (341 ) (183 ) (829 ) Cash receipts/(payments) (2,400 ) 341 (2,731 ) (4,790 ) Asset write downs/disposals — (373 ) — (373 ) Foreign currency translation (46 ) — (14 ) (60 ) Liability, December 31, 2015 $ 354 $ — $ 470 $ 824 2016 charges 12 3 412 427 Adjustments — (397 ) — (397 ) Cash receipts/(payments) (142 ) 1,552 (882 ) 528 Asset write downs/disposals — (1,158 ) — (1,158 ) Foreign currency translation (12 ) — — (12 ) Liability, December 31, 2016 $ 212 $ — $ — $ 212 Included in "Asset Impairment/Disposal of Assets" in 2016 are the proceeds and gain from the sale of an asset related to the disposition of a former paper mill facility in Pennsylvania. “Other Costs” include costs related to plant closures including equipment removal, utilities, plant security, property taxes and insurance. “Other Costs” in 2014 also include lease termination fees and cancellation fees on assets under construction related to the Company’s decision not to continue with the planned start up of a composite can operation in Belgium following the Weidenhammer acquisition and costs related to the demolition and cleanup costs at two former paper mills in the United States. The Company expects to recognize future pretax charges of approximately $150 associated with 2014 and Earlier Actions, and expects to pay the majority of the remaining 2014 and Earlier Actions restructuring costs by the end of 2017 using cash generated from operations. Other Asset Impairments In addition to the restructuring charges discussed above, during the Company's annual goodwill impairment testing conducted during the third quarter of 2016, management concluded that goodwill associated with the Company's Paper and Industrial Converted Products - Brazil reporting unit had become impaired as a result of the continued deterioration of economic conditions in Brazil. Accordingly, an impairment charge totaling $ 2,617 , the entire amount of goodwill associated with this reporting unit, was recognized during the third quarter of 2016. No other impairments were identified during this most recently completed annual goodwill impairment testing. Prior to July 1, 2015, the Company used Venezuela's official exchange rate to report the results of its operations in Venezuela. As a result of significant inflationary increases, and to avoid distortion of its consolidated results from translation of its Venezuelan operations, the Company concluded that it was an appropriate time to begin translating its Venezuelan operations using an alternative exchange rate. Accordingly, effective July 1, 2015, the Company began translating its Venezuelan operations using the most current published Venezuelan exchange rate (which at that time was known as the SIMADI rate). This resulted in a foreign exchange remeasurement loss on net monetary assets. In addition, the use of the significantly higher SIMADI rate resulted in the need to recognize impairment charges against inventories and certain long-term nonmonetary assets as the U.S. dollar value of projected future cash flows from these assets was no longer sufficient to recover their U.S. dollar carrying values. The combined impact of the impairment charges and remeasurement loss was $ 12,065 on both a before and after-tax basis, recognized in the third quarter of 2015. The Company recorded a pretax asset impairment charge of $2,730 in the third quarter of 2014 to write off the customer list obtained in the 2008 acquisition of a small packaging fulfillment business included in the Company's Display and Packaging segment. This business provided display assembly and fulfillment services to a single customer in the pharmaceutical industry. As a result of losing this business, the Company has impaired the remaining unamortized balance of the customer list. In the fourth quarter of 2014, the Company recorded an additional pretax impairment charge of $1,974 related to the trade name intangible assets acquired in its purchase of Weidenhammer Packaging Group. The Company did not intend to utilize the acquired Company's trade name and, accordingly, determined that the fair value of the affected asset was impaired. These asset impairment charges are included in “Restructuring/Asset impairment charges” in the Company’s Consolidated Statements of Income. |
Book Overdrafts and Cash Poolin
Book Overdrafts and Cash Pooling | 12 Months Ended |
Dec. 31, 2016 | |
Cash and Cash Equivalents [Abstract] | |
Book Overdrafts and Cash Pooling | Book overdrafts and cash pooling At December 31, 2016 and 2015 , outstanding checks totaling $10,073 and $10,148 , respectively, were included in “Payable to suppliers” on the Company’s Consolidated Balance Sheets. In addition, outstanding payroll checks of $11 and $37 as of December 31, 2016 and 2015 , respectively, were included in “Accrued wages and other compensation” on the Company’s Consolidated Balance Sheets. The Company uses a notional pooling arrangement with an international bank to help manage global liquidity requirements. Under this pooling arrangement, the Company and its participating subsidiaries may maintain either cash deposit or borrowing positions through local currency accounts with the bank, so long as the aggregate position of the global pool is a notionally calculated net cash deposit. Because it maintains a security interest in the cash deposits, and has the right to offset the cash deposits against the borrowings, the bank provides the Company and its participating subsidiaries favorable interest terms on both. The Company’s Consolidated Balance Sheets reflect a net cash deposit under this pooling arrangement of $2,789 and $22,905 as of December 31, 2016 and 2015 , respectively. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant and equipment Details of the Company's property, plant and equipment at December 31 are as follows: 2016 2015 Land $ 84,404 $ 84,811 Timber resources 41,441 41,152 Buildings 478,924 479,845 Machinery and equipment 2,637,753 2,796,257 Construction in progress 113,118 116,081 3,355,640 3,518,146 Accumulated depreciation and depletion (2,295,623 ) (2,406,110 ) Property, plant and equipment, net $ 1,060,017 $ 1,112,036 Estimated costs for completion of capital additions under construction totaled approximately $82,000 at December 31, 2016 . Depreciation and depletion expense amounted to $173,295 in 2016 , $179,888 in 2015 and $169,911 in 2014 . The Company has certain properties and equipment that are leased under noncancelable operating leases. Future minimum rentals under noncancelable operating leases with terms of more than one year are as follows: 2017 – $38,700 ; 2018 – $32,900 ; 2019 – $26,600 ; 2020 – $19,700 ; 2021 – $13,200 and thereafter – $21,600 . Total rental expense under operating leases was approximately $71,800 in 2016 , $72,400 in 2015 and $70,300 in 2014 . |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and other intangible assets Goodwill The changes in the carrying amount of goodwill by segment for the year ended December 31, 2016 , are as follows: Consumer Packaging Display and Packaging Paper and Industrial Converted Products Protective Solutions Total Balance as of January 1, 2016 $ 487,342 $ 204,629 $ 227,325 $ 221,165 $ 1,140,461 Acquisitions 25,912 — 417 10,508 36,837 Dispositions (76,435 ) (1,215 ) — — (77,650 ) Impairment loss — — (2,617 ) — (2,617 ) Other (71 ) — — — (71 ) Foreign currency translation (1,158 ) — (3,142 ) (445 ) (4,745 ) Balance as of December 31, 2016 $ 435,590 $ 203,414 $ 221,983 $ 231,228 $ 1,092,215 Acquisitions in 2016 resulted in the addition of $36,837 of goodwill. Of this total, $417 was recorded in connection with the June 2016 acquisition of a small tubes and cores business in Australia, $1,700 was recorded in connection with the August 2016 acquisition of temperature-controlled cargo container assets, licenses, trademarks, and manufacturing rights from AAR Corporation, $8,808 was recorded in connection with the September 2016 acquisition of Laminar Medica, and $25,912 was recorded in connection with the November 2016 acquisition of Plastics Packaging, Inc. See Note 3 for additional information. In November 2016, the Company completed the sale of its rigid plastics blow molding operations. In connection with this disposal, the Company wrote off $76,435 of goodwill. See Note 3 for additional information. In July 2016, the Company disposed of a retail security packaging plant in Juncos, Puerto Rico. In connection with this disposal, the Company wrote off $1,215 of goodwill. See Note 4 for additional information. In addition, the Company made a small adjustment to the goodwill related to the April 2015 acquisition of a flexible packaging business in Brazil decreasing goodwill by $71 . The Company assesses goodwill for impairment annually and from time to time when warranted by the facts and circumstances surrounding individual reporting units or the Company as a whole. The Company completed its most recent annual goodwill impairment testing during the third quarter of 2016. As part of this testing, the Company analyzes certain qualitative and quantitative factors in determining goodwill impairment. Goodwill is tested for impairment using either a qualitative evaluation or a quantitative test. The qualitative evaluation considers factors such as the macroeconomic environment, Company stock price and market capitalization movement, business strategy changes, and significant customer wins and losses. The quantitative test considers factors such as the amount by which estimated fair value exceeds current carrying value, current year operating performance as compared to prior projections, and implied fair values from comparable trading and transaction multiples. When calculated, reporting unit estimated fair values reflect a number of significant management assumptions and estimates including the Company's forecast of sales volumes and prices, profit margins, income taxes, capital expenditures and changes in working capital requirements. Changes in these assumptions and/or discount rates could materially impact the estimated fair values. When the Company estimates the fair value of a reporting unit, it does so using a discounted cash flow model based on projections of future years' operating results and associated cash flows, together with comparable trading and transaction multiples. The Company's projections incorporate management's best estimates of the expected future results, which include expectations related to new business, and, where applicable, improved operating margins. Management's projections related to revenue growth and/or margin improvements arise from a combination of factors, including expectations for volume growth with existing customers, product expansion, improved price/cost, productivity gains, fixed cost leverage, improvement in general economic conditions, increased operational capacity, and customer retention. Projected future cash flows are then discounted to present value using a discount rate management believes is commensurate with the risks inherent in the cash flows for each reporting unit. Because the Company's assessments incorporate management's expectations for the future, including forecasted growth and/or margin improvements, if there are changes in the relevant facts and circumstances and/or expectations, management's assessment regarding goodwill impairment may change as well. In considering the level of uncertainty regarding the potential for goodwill impairment, management has concluded that any such impairment would likely be the result of adverse changes in more than one assumption. During this most recent testing, management concluded that goodwill associated with the Company's Paper and Industrial Converted Products - Brazil reporting unit had become impaired as a result of the continued deterioration of economic conditions in Brazil. Accordingly, an impairment charge totaling $2,617 , the entire amount of goodwill associated with this reporting unit, was recognized during the third quarter of 2016. The charge is included in “Restructuring/Asset impairment charges” in the Consolidated Statements of Income. Based on its assessments, the Company concluded that there was no impairment of goodwill for any of its other reporting units. The assessments reflected a number of significant management assumptions and estimates including the Company's forecast of sales volumes and prices, profit margins, income taxes, capital expenditures and changes in working capital requirements. Changes in these assumptions and/or discount rates could materially impact the Company's conclusions. Although no reporting units failed the assessments noted above, in management’s opinion, the reporting units having the greatest risk of a significant future impairment if actual results fall short of expectations are Display and Packaging, and Paper and Industrial Converted Products - Europe. Total goodwill associated with these reporting units was approximately $203,000 and $87,000 , respectively, at December 31, 2016 . A large portion of sales in the Display and Packaging reporting unit is concentrated in one customer, the majority of which is under contract until 2021. Other intangible assets Details at December 31 are as follows: 2016 2015 Other Intangible Assets, Gross: Patents $ 13,164 $ 12,716 Customer lists 362,162 381,938 Trade names 19,902 19,246 Proprietary technology 20,721 17,738 Land use rights 288 297 Other 1,701 1,223 Other Intangible Assets, Gross $ 417,938 $ 433,158 Accumulated Amortization: Patents $ (5,647 ) $ (3,784 ) Customer lists (172,292 ) (171,590 ) Trade names (2,733 ) (2,171 ) Proprietary technology (11,236 ) (9,518 ) Land use rights (41 ) (40 ) Other (1,031 ) (960 ) Accumulated Amortization $ (192,980 ) $ (188,063 ) Other Intangible Assets, Net $ 224,958 $ 245,095 The Company recorded $28,951 of identifiable intangibles in connection with 2016 acquisitions, $24,578 related to customer lists, $3,000 related to proprietary technology, $700 related to tradenames, $475 related to non-compete agreements, and $198 related to patents. These intangibles will be amortized over an average life of 8.6 years. Aggregate amortization expense on intangible assets was $31,887 , $33,273 and $28,807 for the years ended December 31, 2016 , 2015 and 2014 , respectively. Amortization expense on intangible assets is expected to approximate $31,100 in 2017 , $30,700 in 2018 , $29,400 in 2019 , $28,000 in 2020 and $26,700 in 2021 . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt at December 31 was as follows: 2016 2015 5.75% debentures due November 2040 $ 599,136 $ 599,100 4.375% debentures due November 2021 248,490 248,178 9.2% debentures due August 2021 4,309 4,309 5.625% debentures due June 2016 — 75,214 1.00% foreign loan due May 2021 154,936 — Term loan, due October 2017 — 149,705 Commercial paper, average rate of 0.63% in 2016 and 0.39% in 2015 — — Other foreign denominated debt, average rate of 3.8% in 2016 and 4.3% in 2015 33,254 39,070 Other notes 12,618 12,791 Total debt 1,052,743 1,128,367 Less current portion and short-term notes 32,045 113,097 Long-term debt $ 1,020,698 $ 1,015,270 The Company operates a $350,000 commercial paper program, supported by a committed revolving bank credit facility of the same amount. In October 2014, the Company entered into a credit agreement with a syndicate of eight banks for that revolving facility, which is committed through October 2019. If circumstances were to prevent the Company from issuing commercial paper, it has the contractual right to draw funds directly on the underlying bank credit facility. The Company had no outstanding commercial paper at December 31, 2016 or 2015 . In May 2016, the Company's wholly-owned subsidiary Sonoco Deutschland Holdings GmbH entered into a Euro 150,000 , unsecured five -year fixed-rate assignable loan agreement guaranteed by the Company. The loan bears interest at a rate of 1.00% and is due in May 2021. The loan may be redeemed in whole by the Company at any time with notice. The proceeds of the loan were used primarily to settle the remaining balance of the three-year term loan used to fund the November 2014 acquisition of Weidenhammer Packaging Group. In addition to the $350,000 committed revolving bank credit facility, the Company had approximately $113,000 available under unused short-term lines of credit at December 31, 2016 . These short-term lines of credit are for general Company purposes, with interest at mutually agreed-upon rates. The Company utilized cash on hand to fund the repayment of its 5.625% debentures upon their maturity in June 2016. Certain of the Company’s debt agreements impose restrictions with respect to the maintenance of financial ratios and the disposition of assets. The most restrictive covenant currently requires the Company to maintain a minimum level of interest coverage, and a minimum level of net worth, as defined. As of December 31, 2016 , the Company had substantial tolerance above the minimum levels required under these covenants. The principal requirements of debt maturing in the next five years are: 2017 – $32,045 ; 2018 – $1,846 ; 2019 – $1,793 ; 2020 – $1,762 and 2021 – $409,437 . |
Financial Instruments and Deriv
Financial Instruments and Derivatives | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Derivatives | Financial instruments and derivatives The following table sets forth the carrying amounts and fair values of the Company’s significant financial instruments where the carrying amount differs from the fair value. December 31, 2016 December 31, 2015 Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt $ 1,020,698 $ 1,116,336 $ 1,015,270 $ 1,075,146 The carrying value of cash and cash equivalents, short-term debt and long-term variable-rate debt approximates fair value. The fair value of long-term debt is based on recent trade information in the financial markets of the Company’s public debt or is determined by discounting future cash flows using interest rates available to the Company for issues with similar terms and maturities. It is considered a Level 2 fair value measurement. Cash flow hedges At December 31, 2016 and 2015 , the Company had derivative financial instruments outstanding to hedge anticipated transactions and certain asset and liability related cash flows. To the extent considered effective, the changes in fair value of these contracts are recorded in other comprehensive income and reclassified to income or expense in the period in which the hedged item impacts earnings. Commodity cash flow hedges The Company has entered into certain derivative contracts to manage some of the cost of anticipated purchases of natural gas, aluminum and old corrugated containers (OCC). At December 31, 2016 , natural gas swaps covering approximately 8.5 MMBTUs were outstanding. These contracts represent approximately 79.5% , 37.3% and 17.8% of anticipated U.S. and Canadian usage for 2017, 2018 and 2019, respectively. Additionally, the Company had swap contracts covering 2,629 metric tons of aluminum and 660 short tons of OCC, representing approximately 59% and less than 1% of anticipated usage for 2017, respectively. The total fair values of the Company’s commodity cash flow hedges were in a net gain position totaling $3,636 at December 31, 2016 , and a net loss position totaling $(3,611) at December 31, 2015 . The amount of the gain included in accumulated other comprehensive loss at December 31, 2016 , expected to be reclassified to the income statement during the next twelve months is $2,856 . Foreign currency cash flow hedges The Company has entered into forward contracts to hedge certain anticipated foreign currency denominated sales and purchases forecasted to occur in 2017. The net positions of these contracts at December 31, 2016 , were as follows: Currency Action Quantity Colombian peso Purchase 2,059,287 Mexican peso Purchase 585,283 Canadian dollar Purchase 57,290 Turkish lira Purchase 12,650 Russian ruble Purchase 10,924 British pound Purchase 2,945 New Zealand dollar Sell (932 ) Australian dollar Sell (2,259 ) Polish zloty Sell (2,812 ) Euro Sell (7,987 ) The total net fair values of the Company’s foreign currency cash flow hedges were $(184) and $(4,612) at December 31, 2016 and 2015 , respectively. During 2016 and 2015, certain foreign currency cash flow hedges related to construction in progress were settled as the capital expenditures were made. Gains totaling $59 and $528 were reclassified from accumulated other comprehensive loss and netted against the carrying value of the capitalized expenditures during the years ended December 31, 2016 and 2015 , respectively. The amount of the loss included in accumulated other comprehensive loss at December 31, 2016 , expected to be reclassified to the income statement during the next twelve months is $(217) . Other derivatives The Company routinely enters into forward contracts or swaps to economically hedge the currency exposure of intercompany debt and existing foreign currency denominated receivables and payables. The Company does not apply hedge accounting treatment under ASC 815 for these instruments. As such, changes in fair value are recorded directly to income and expense in the periods that they occur. The net positions of these contracts at December 31, 2016 , were as follows: Currency Action Quantity Mexican peso Purchase 244,600 Canadian dollar Purchase 14,089 Colombian peso Sell (28,300,164 ) The fair value of the Company’s other derivatives was $(696) and $(2,180) at December 31, 2016 and 2015 , respectively. The Company has determined all derivatives for which it has applied hedge accounting under ASC 815 to be highly effective and as a result no material ineffectiveness has been recorded during the periods presented. The following table sets forth the location and fair values of the Company’s derivative instruments: Fair Value at December 31 Description Balance Sheet Location 2016 2015 Derivatives designated as hedging instruments: Commodity Contracts Prepaid expenses $ 3,240 $ — Commodity Contracts Other assets $ 527 $ 8 Commodity Contracts Accrued expenses and other $ (89 ) $ (3,425 ) Commodity Contracts Other liabilities $ (42 ) $ (194 ) Foreign Exchange Contracts Prepaid expenses $ 761 $ 156 Foreign Exchange Contracts Accrued expenses and other $ (946 ) $ (4,768 ) Derivatives not designated as hedging instruments: Foreign Exchange Contracts Prepaid expenses $ 194 $ 50 Foreign Exchange Contracts Accrued expenses and other $ (890 ) $ (2,230 ) While certain of the Company's derivative contract arrangements with its counterparties provide for the ability to settle contracts on a net basis, the Company reports its derivative positions on a gross basis. There are no collateral arrangements or requirements in these agreements. The following table sets forth the effect of the Company’s derivative instruments on financial performance for the twelve months ended December 31, 2016 , excluding the gains on foreign currency cash flow hedges that were reclassified from accumulated other comprehensive loss to the carrying value of the capitalized expenditures: Description Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) Location of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Location of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Derivatives in Cash Flow Hedging Relationships: Foreign Exchange Contracts $ (420 ) Net sales $ (8,769 ) Net sales $ — Cost of sales $ 3,981 Cost of sales $ — Commodity Contracts $ 3,032 Cost of sales $ (3,583 ) Cost of sales $ (444 ) Location of Gain or (Loss) Recognized in Income Statement Gain or (Loss) Recognized Derivatives not designated as hedging instruments: Foreign Exchange Contracts Cost of sales $ — Selling, general and administrative $ (2,118 ) The following table sets forth the effect of the Company’s derivative instruments on financial performance for the twelve months ended December 31, 2015 , excluding the gains on foreign currency cash flow hedges that were reclassified from accumulated other comprehensive loss to the carrying value of the capitalized expenditures: Description Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) Location of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Location of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Derivatives in Cash Flow Hedging Relationships: Foreign Exchange Contracts $ (10,908 ) Net sales $ (21,454 ) Net sales $ — Cost of sales $ 12,154 Cost of sales $ — Commodity Contracts $ (7,258 ) Cost of sales $ (9,920 ) Cost of sales $ 213 Location of Gain or (Loss) Recognized in Income Statement Gain or (Loss) Recognized Derivatives not designated as hedging instruments: Foreign Exchange Contracts Cost of sales $ — Selling, general and administrative $ (6,638 ) |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair value measurements Fair value is defined as exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is a market-based measurement that is determined based on assumptions that market participants would use in pricing an asset or liability. A three-tier fair value hierarchy is used to prioritize the inputs in measuring fair value as follows: Level 1 – Observable inputs such as quoted market prices in active markets; Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and Level 3 – Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. The following tables set forth information regarding the Company’s financial assets and financial liabilities that are measured at fair value on a recurring basis: Description December 31, 2016 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ 3,636 $ — $ — $ 3,636 $ — Foreign exchange contracts (185 ) — — (185 ) — Non-hedge derivatives, net: Foreign exchange contracts $ (696 ) $ — $ — $ (696 ) $ — Deferred compensation plan assets $ 349 $ — $ 349 $ — $ — Postretirement benefit plan assets: Common Collective Trust (a) $ 874,996 $ 874,996 $ — $ — $ — Mutual funds(b) 213,244 — 213,244 — Fixed income securities(c) 118,224 — — 118,224 — Short-term investments(d) 7,686 6,090 513 1,083 — Hedge fund of funds(e) 72,003 72,003 — — — Real estate funds(f) 62,694 62,694 — — — Cash and accrued income 390 — 390 — — Total postretirement benefit plan assets $ 1,349,237 $ 1,015,783 $ 903 $ 332,551 $ — Description December 31, 2015 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ (3,611 ) $ — $ — $ (3,611 ) $ — Foreign exchange contracts (4,612 ) — — (4,612 ) — Non-hedge derivatives, net: Foreign exchange contracts $ (2,180 ) $ — $ — $ (2,180 ) $ — Deferred compensation plan assets $ 460 $ — $ 460 $ — $ — Postretirement benefit plan assets: 0 Common Collective Trust (a) $ 852,680 $ 852,680 $ — $ — $ — Mutual funds(b) 213,646 — — 213,646 — Fixed income securities(c) 110,439 — — 110,439 — Short-term investments(d) 3,304 1,482 524 1,298 — Hedge fund of funds(e) 81,746 81,746 — — — Real estate funds(f) 57,850 57,850 — — — Cash and accrued income 771 — 771 — — Total postretirement benefit plan assets $ 1,320,436 $ 993,758 $ 1,295 $ 325,383 $ — (a) Common collective trust investments consist of domestic and international large and mid capitalization equities, including emerging markets and funds invested in both short-term and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers. (b) Mutual fund investments are comprised of equity securities of corporations with large capitalizations and also include funds invested in corporate equities in international and emerging markets and funds invested in long-term bonds, which are valued at closing prices from national exchanges. (c) Fixed income securities include funds that invest primarily in government securities and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges, fixed income pricing models, and independent financial analysts. Fixed income commingled funds are valued at unit values provided by the investment managers. (d) Short-term investments include several money market funds used for managing overall liquidity. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds are valued at unit values provided by the investment managers. (e) The hedge fund of funds category includes investments in funds representing a variety of strategies intended to diversify risks and reduce volatility. It includes event-driven credit and equity investments targeted at economic policy decisions, long and short positions in U.S. and international equities, arbitrage investments and emerging market equity investments. Investments are valued at unit values or net asset values provided by the investment managers. (f) This category includes investments in real estate funds (including office, industrial, residential and retail) primarily throughout the United States. Underlying real estate securities are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers. (g) Certain assets that are measured at fair value using the net asset value (NAV) per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The Company’s pension plan assets comprise more than 98% of its total postretirement benefit plan assets. The assets of the Company’s various pension plans and retiree health and life insurance plans are largely invested in the same funds and investments and in similar proportions and, as such, are not shown separately, but are combined in the tables above. Postretirement benefit plan assets are netted against postretirement benefit obligations to determine the funded status of each plan. The funded status is recognized in the Company’s Consolidated Balance Sheets as shown in Note 12. As discussed in Note 9, the Company uses derivatives to mitigate some of the effect of raw material and energy cost fluctuations, foreign currency fluctuations and, from time to time, interest rate movements. Fair value measurements for the Company’s derivatives are classified under Level 2 because such measurements are estimated based on observable inputs such as interest rates, yield curves, spot and future commodity prices and spot and future exchange rates. Certain deferred compensation plan liabilities are funded and the assets invested in various exchange traded mutual funds. These assets are measured using quoted prices in accessible active markets for identical assets. The Company does not currently have any nonfinancial assets or liabilities that are recognized or disclosed at fair value on a recurring basis. None of the Company's financial assets or liabilities is measured at fair value using significant unobservable inputs. There were no transfers in or out of Level 1 or Level 2 fair value measurements during the years ended December 31, 2016 or 2015 . For additional fair value information on the Company's financial instruments, see Note 9. |
Share-based Compensation Plans
Share-based Compensation Plans | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation Plans | Share-based compensation plans The Company provides share-based compensation to certain employees and non-employee directors in the form of stock appreciation rights, restricted stock units and other share-based awards. Beginning in 2014, share-based awards were issued pursuant to the Sonoco Products Company 2014 Long-Term Incentive Plan (the “2014 Plan”), which became effective upon approval by the shareholders on April 16, 2014. Awards issued from 2012 through 2013 were issued pursuant to the Sonoco Products Company 2012 Long-Term Incentive Plan (the “2012 Plan”) and awards issued from 2009 through 2011 were issued pursuant to the Sonoco Products Company 2008 Long-Term Incentive Plan (the “2008 Plan”). Awards issued prior to 2009 were issued pursuant to the 1991 Key Employee Stock Plan (the “1991 Plan”) or the 1996 Non-Employee Directors Stock Plan (the “1996 Plan”). The maximum number of shares of common stock that may be issued under the 2014 Plan was originally set at 10,381,533 shares, which includes all shares then remaining under the 2012 Plan and an additional 4,500,000 shares authorized under the 2014 Plan. Awards granted under all previous plans which are forfeited, expire or are cancelled without delivery of shares, or which result in forfeiture of shares back to the Company, will be added to the total shares available under the 2014 Plan. At December 31, 2016 , a total of 7,522,658 shares remain available for future grant under the 2014 Plan. The Company issues new shares for stock appreciation right exercises and stock unit conversions. The Company’s stock-based awards to non-employee directors have not been material. Accounting for share-based compensation Total compensation cost for share-based payment arrangements was $19,289 , $9,257 and $17,099 , for 2016 , 2015 and 2014 , respectively. The related tax benefit recognized in net income was $7,040 , $3,379 , and $6,414 , for the same years, respectively. Share-based compensation expense is included in “Selling, general and administrative expenses” in the Consolidated Statements of Income. An “excess” tax benefit is created when the tax deduction for an exercised stock appreciation right, exercised stock option or converted stock unit exceeds the compensation cost that has been recognized in income. For the years 2016, 2015, and 2014, the excess tax benefits were not recognized on the income statement, but rather on the consolidated balance sheet within the line item “Capital in excess of stated value.” The additional net excess tax benefit realized was $2,695 , $3,622 and $4,126 for 2016 , 2015 and 2014 , respectively. Stock appreciation rights and stock options Beginning in 2015, stock appreciation rights (SARs) granted vest over three years and expense is recognized following the graded-vesting method, which results in front-loaded expense being recognized during the early years of the required service period. Unvested SARs are cancelable upon termination of employment, except in the case of death, disability, or involuntary termination within two years of a change in control. SARs granted prior to 2015 vested over one year . Since 2006, the Company has granted stock appreciation rights (SARs) annually on a discretionary basis to key employees. These SARs are granted at market (have an exercise price equal to the closing market price on the date of the grant) and can be settled only in stock. The SARs granted in 2016 and 2015 vest over three years , with one-third vesting on each anniversary date of the grant, and have 10 -year terms, while the SARs granted from 2006 through 2014 vested over one year and have seven -year terms. As of December 31, 2016 , unrecognized compensation cost related to nonvested SARs totaled $2,447 . This cost will be recognized over the remaining weighted-average vesting period of approximately 24 months. Noncash stock-based compensation associated with SARs and stock options totaled $2,878 , $2,750 , and $4,488 for 2016, 2015, and 2014, respectively. The aggregate intrinsic value of SARS exercised during 2016, 2015, and 2014 was $9,510 , $11,888 , and $13,831 , respectively. The weighted-average grant date fair value of SARs granted was $5.04 , $6.49 and $4.72 per share in 2016 , 2015 and 2014 , respectively. The Company computed the estimated fair values of all SARs using the Black-Scholes option-pricing model applying the assumptions set forth in the following table: 2016 2015 2014 Expected dividend yield 3.5 % 2.8 % 3.0 % Expected stock price volatility 18.5 % 18.2 % 18.4 % Risk-free interest rate 1.3 % 1.7 % 1.2 % Expected life of SARs 6 years 6 years 4 years The assumptions employed in the calculation of the fair value of SARs were determined as follows: • Expected dividend yield – the Company’s annual dividend divided by the stock price at the time of grant. • Expected stock price volatility – based on historical volatility of the Company’s common stock measured weekly for a time period equal to the expected life. • Risk-free interest rate – based on U.S. Treasury yields in effect at the time of grant for maturities equal to the expected life. • Expected life – calculated using the simplified method as prescribed in U.S. GAAP, where the expected life is equal to the sum of the vesting period and the contractual term divided by two. The activity related to the Company’s SARs is as follows: Nonvested Vested Total Weighted- average Exercise Price Outstanding, December 31, 2015 593,443 1,413,069 2,006,512 $ 40.35 Vested (197,371 ) 197,371 — Granted 820,266 — 820,266 $ 40.41 Exercised — (837,573 ) (837,573 ) $ 38.57 Forfeited/Expired (69,589 ) (3,970 ) (73,559 ) $ 44.17 Outstanding, December 31, 2016 1,146,749 768,897 1,915,646 $ 41.06 Exercisable, December 31, 2016 — 768,897 768,897 $ 40.53 The weighted average remaining contractual life for SARs outstanding and exercisable at December 31, 2016 was 7 years and 4.5 years, respectively. The aggregate intrinsic value for SARs outstanding and exercisable at December 31, 2016 was $22,200 and $10,323 , respectively. At December 31, 2016 , the fair market value of the Company’s stock used to calculate intrinsic value was $52.70 per share. There were no stock options outstanding at December 31, 2016 . The aggregate intrinsic value of stock options exercised during 2015 and 2014 was $975 and $3,497 , respectively. Cash received by the Company on option exercises was $1,324 and $5,951 for 2015 and 2014, respectively. There were no stock options exercised during 2016. Performance-based stock awards The Company grants performance contingent restricted stock units (PCSUs) annually on a discretionary basis to executive officers and certain key management employees. The ultimate number of PCSUs awarded is dependent upon the degree to which performance, relative to defined targets related to earnings and return on net assets employed, are achieved over a three-year performance cycle. PCSUs granted in 2015 and afterwards vest at the end of the three -year performance period if the respective performance targets are met. No units will be awarded if the performance targets are not met. For PCSUs granted in 2014 and earlier, units awarded vested at the end of the three-year performance period if the respective performance targets were met. In the event performance targets were not met, a minimum number of outstanding units were awarded and vested at the end of the performance period, 50% of the remaining number of threshold shares vested at the end of the fourth year and the remaining 50% at the end of the fifth year. Regardless of grant date, upon vesting, PCSUs are convertible into common shares on a one-for-one basis. Except in the event of the participant's death, disability, or retirement, if a participant is not employed by the Company at the end of the performance period, no PCSU's will vest. However, in the event of the participant’s death, disability or retirement prior to full vesting, shares will be issued on a pro rata basis up through the time the participant’s employment or service ceases. In the event of a change in control, as defined under the 2014 Plan, all unvested PCSUs will vest at target on a pro rata basis if the change in control occurs during the three-year performance period. The activity related to performance contingent restricted stock units is as follows: Nonvested Vested Total Average Grant Date Fair Value per Share Outstanding, December 31, 2015 350,510 524,985 875,495 $32.12 Granted 188,181 — 188,181 $36.33 Performance adjustments 207,583 — 207,583 $40.77 Vested (251,694 ) 251,694 — Converted — (201,246 ) (201,246 ) $28.38 Cancelled (8,535 ) (33,798 ) (42,333 ) $30.26 Dividend equivalents — 9,385 9,385 $48.20 Outstanding, December 31, 2016 486,045 551,020 1,037,065 $35.56 2016 PCSU. As of December 31, 2016, the 2016 PCSUs to be awarded are estimated to range from 0 to 373,522 units and are tied to the three-year performance period ending December 31, 2018. 2015 PCSU. As of December 31, 2016, the 2015 PCSUs to be awarded are estimated to range from 0 to 334,382 units and are tied to the three-year performance period ending December 31, 2017. 2014 PCSU. The three-year performance cycle for the 2014 PCSUs was completed on December 31, 2016. Outstanding stock units of 247,554 units were determined to have been earned, all of which qualified for vesting on December 31, 2016. The fair value of these units was $13,046 as of December 31, 2016. 2013 PCSU. The three-year performance cycle for the 2013 PCSUs was completed on December 31, 2015. Based on performance and the terms of the awards as of December 31, 2015, 205,673 stock units were determined to have been earned, all of which qualified for vesting on December 31, 2015. The fair value of these units was $8,406 as of December 31, 2015. 2012 PCSU. The three-year performance cycle for the 2012 PCSUs was completed on December 31, 2014. Based on the performance achieved and the terms of the award, 143,519 stock units qualified for vesting on December 31, 2014 with a fair value of $6,272 . A total of 4,387 units vested on December 31, 2015, and 4,140 units vested on December 31, 2016. The fair value of the stock units vesting in 2015 and 2016 was $179 and $218 , respectively. 2011 PCSU. The three-year performance cycle for the 2011 PCSUs was completed on December 31, 2013. Based on the performance achieved and the terms of the award, 123,414 stock units were awarded. A total of 61,707 stock units vested on December 31, 2014, with the remaining 61,707 stock units vesting on December 31, 2015. The fair value of the stock units vesting in 2014 and 2015 was $2,697 and $2,522 , respectively. The weighted-average grant-date fair value of PCSUs granted was $36.33 , $42.44 , and $38.04 per share in 2016, 2015 and 2014, respectively. Noncash stock-based compensation associated with PCSUs totaled $10,568 , $2,271 and $9,719 for 2016 , 2015 and 2014 , respectively. As of December 31, 2016 , there was approximately $8,854 of total unrecognized compensation cost related to nonvested PCSUs. This cost is expected to be recognized over a weighted-average period of 20 months . Restricted stock awards In 2016 and 2015, the Company granted awards of restricted stocks units (RSUs) to executive officers and certain key management employees. These awards vest over a three -year period with one-third vesting on each anniversary date of the grant. Participants must be actively employed by the Company on the vesting date for shares to be issued, except in the event of the participant’s death, disability, or involuntary termination within two years of a change in control prior to full vesting, in which case shares will immediately vest. Once vested, these awards do not expire. Prior to 2015, the Company from time to time granted RSUs to certain of its executive officers and directors. These awards normally vested over a five -year period with one-third vesting on each of the third, fourth and fifth anniversaries of the grant, but in some circumstances vested over a shorter period. A participant must be actively employed by, or serving as a director of, the Company on the vesting date for shares to be issued. However, certain award agreements provided that in the event of the participant’s death, disability or retirement prior to full vesting, shares would be issued on a pro rata basis up through the time the participant’s employment or service ceases. Officers and directors can elect to defer receipt of RSUs, but key management employees are required to take receipt of stock issued. The weighted-average grant-date fair value of RSUs granted was $38.40 , $43.35 and $39.14 per share in 2016, 2015 and 2014, respectively. The fair value of shares vesting during the year was $1,291 , $2,066 , and $1,094 for 2016, 2015, and 2014, respectively. Noncash stock-based compensation associated with restricted stock grants totaled $3,122 , $2,336 and $1,153 for 2016 , 2015 and 2014 , respectively. As of December 31, 2016 , there was $2,856 of total unrecognized compensation cost related to nonvested restricted stock units. This cost is expected to be recognized over a weighted-average period of 24 months . The activity related to restricted stock units is as follows: Nonvested Vested Total Average Grant Date Fair Value Per Share Outstanding, December 31, 2015 157,766 158,169 315,935 $ 34.90 Granted 96,356 — 96,356 $ 38.40 Vested (36,173 ) 36,173 — Converted — (20,732 ) (20,732 ) $ 36.19 Cancelled (8,197 ) — (8,197 ) $ 42.15 Dividend equivalents 594 4,900 5,494 $ 56.54 Outstanding, December 31, 2016 210,346 178,510 388,856 $ 35.85 Deferred compensation plans Certain officers of the Company receive a portion of their compensation, either current or deferred, in the form of stock units. Units are granted as of the day the cash compensation would have otherwise been paid using the closing price of the Company’s common stock on that day. Deferrals into stock equivalent units are converted into phantom stock equivalents as if Sonoco shares were actually purchased. The units immediately vest and earn dividend equivalents. Units are distributed in the form of common stock upon retirement over a period elected by the employee. Non-employee directors may elect to defer a portion of their cash retainer or other fees (except chair retainers) into phantom stock equivalent units as if Sonoco shares were actually purchased. The deferred stock equivalent units accrue dividend equivalents, and are issued in shares of Sonoco common stock six months following termination of Board service. Directors must elect to receive these deferred distributions in one, three or five annual installments. The activity related to deferred compensation for equity award units granted to both employees and non-employee directors combined is as follows: Total Outstanding, December 31, 2015 285,098 Deferred 46,780 Converted (14,567 ) Dividend equivalents 5,967 Outstanding, December 31, 2016 323,278 Deferred compensation for employees and directors of $2,721 , $1,947 , and $1,850 , which will be settled in Company stock at retirement, was deferred during 2016 , 2015 , and 2014 , respectively. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefit Plans | Employee benefit plans Retirement plans and retiree health and life insurance plans The Company provides non-contributory defined benefit pension plans for certain of its employees in the United States, Mexico, Belgium, Germany, Greece, France, and Turkey. The Company also sponsors contributory defined benefit pension plans covering the majority of its employees in the United Kingdom, Canada and the Netherlands, and provides postretirement healthcare and life insurance benefits to a limited number of its retirees and their dependents in the United States and Canada, based on certain age and/or service eligibility requirements. The Company froze participation in its U.S. qualified defined benefit pension plan for newly hired salaried and non-union hourly employees effective December 31, 2003. To replace this benefit, the Company provides non-union U.S. employees hired on or after January 1, 2004, with an annual contribution, called the Sonoco Retirement Contribution (SRC), to their participant accounts in the Sonoco Retirement and Savings Plan. Also eligible for the SRC are former participants of the U.S. qualified defined benefit pension plan who elected to transfer out of that plan under a one-time option effective January 1, 2010. On February 4, 2009, the U.S. qualified defined benefit pension plan was amended to freeze plan benefits for all active participants effective December 31, 2018. Remaining active participants in the U.S. qualified plan will become eligible for SRC contributions effective January 1, 2019. The components of net periodic benefit cost include the following: 2016 2015 2014 Retirement Plans Service cost $ 19,508 $ 23,366 $ 21,826 Interest cost 59,719 70,797 73,505 Expected return on plan assets (85,466 ) (94,307 ) (93,198 ) Amortization of net transition obligation — 65 405 Amortization of prior service cost 809 745 697 Amortization of net actuarial loss 39,009 42,584 26,523 Other — 49 77 Net periodic benefit cost $ 33,579 $ 43,299 $ 29,835 Retiree Health and Life Insurance Plans Service cost $ 309 $ 711 $ 726 Interest cost 482 766 1,034 Expected return on plan assets (1,579 ) (1,661 ) (1,599 ) Amortization of prior service credit (498 ) (104 ) (1,381 ) Amortization of net actuarial gain (667 ) (673 ) (259 ) Net periodic benefit income $ (1,953 ) $ (961 ) $ (1,479 ) The following tables set forth the Plans’ obligations and assets at December 31 : Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Change in Benefit Obligation Benefit obligation at January 1 $ 1,733,596 $ 1,857,106 $ 19,053 $ 27,451 Service cost 19,508 23,366 309 711 Interest cost 59,719 70,797 482 766 Plan participant contributions 439 452 888 1,046 Plan amendments 812 519 — (2,273 ) Actuarial loss/(gain) 93,772 (106,211 ) (1,223 ) (6,004 ) Benefits paid (89,455 ) (87,626 ) (1,956 ) (2,556 ) Impact of foreign exchange rates (40,856 ) (25,822 ) 15 (88 ) Other (111 ) 1,015 — — Benefit obligation at December 31 $ 1,777,424 $ 1,733,596 $ 17,568 $ 19,053 Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Change in Plan Assets Fair value of plan assets at January 1 $ 1,298,186 $ 1,407,461 $ 22,250 $ 23,064 Actual return on plan assets 130,717 (13,886 ) 1,872 (107 ) Company contributions 32,504 22,233 860 911 Plan participant contributions 439 452 888 1,046 Benefits paid (89,455 ) (87,626 ) (1,956 ) (2,556 ) Impact of foreign exchange rates (39,147 ) (24,271 ) — — Expenses paid (7,855 ) (6,177 ) (66 ) (108 ) Fair value of plan assets at December 31 $ 1,325,389 $ 1,298,186 $ 23,848 $ 22,250 Funded Status of the Plans $ (452,035 ) $ (435,410 ) $ 6,280 $ 3,197 Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Total Recognized Amounts in the Consolidated Balance Sheets Noncurrent assets $ 3,863 $ 4,635 $ 7,506 $ 4,057 Current liabilities (9,409 ) (8,678 ) (802 ) (860 ) Noncurrent liabilities (446,489 ) (431,367 ) (424 ) — Net (liability)/asset $ (452,035 ) $ (435,410 ) $ 6,280 $ 3,197 Items not yet recognized as a component of net periodic pension cost that are included in Accumulated Other Comprehensive Loss (Income) as of December 31, 2016 and 2015 , are as follows: Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Net actuarial loss/(gain) $ 708,533 $ 691,482 $ (7,056 ) $ (6,274 ) Prior service cost/(credit) 4,051 3,791 (1,774 ) (2,272 ) $ 712,584 $ 695,273 $ (8,830 ) $ (8,546 ) The amounts recognized in Other Comprehensive Loss/(Income) during December 31, 2016 and 2015 include the following: Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2014 2016 2015 2014 Adjustments arising during the period: Net actuarial loss/(gain) $ 56,060 $ 8,352 $ 233,962 $ (1,449 ) $ (4,129 ) $ 101 Prior service cost/(credit) 1,069 513 729 — (2,273 ) (46 ) Net settlements/curtailments — — — — — — Reversal of amortization: Net actuarial (loss)/gain (39,009 ) (42,584 ) (26,523 ) 667 673 259 Prior service (cost)/credit (809 ) (745 ) (697 ) 498 104 1,381 Net transition obligation — (65 ) (405 ) — — — Total recognized in other comprehensive loss/(income) $ 17,311 $ (34,529 ) $ 207,066 $ (284 ) $ (5,625 ) $ 1,695 Total recognized in net periodic benefit cost and other comprehensive loss/(income) $ 50,890 $ 8,770 $ 236,901 $ (2,237 ) $ (6,586 ) $ 216 Of the amounts included in Accumulated Other Comprehensive Loss/(Income) as of December 31, 2016 , the portions the Company expects to recognize as components of net periodic benefit cost in 2017 are as follows: Retirement Plans Retiree Health and Life Insurance Plans Net actuarial loss/(gain) $ 40,064 $ (611 ) Prior service cost/(credit) 846 (498 ) Net transition obligation — — $ 40,910 $ (1,109 ) The accumulated benefit obligation for all defined benefit plans was $1,738,196 and $1,691,589 at December 31, 2016 and 2015 , respectively. The projected benefit obligation (PBO), accumulated benefit obligation (ABO) and fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets were, $1,474,993 , $1,446,624 and $1,019,094 , respectively, as of December 31, 2016 , and $1,656,174 , $1,617,051 and $1,216,128 , respectively, as of December 31, 2015 . The following table sets forth the Company’s projected benefit payments for the next ten years: Year Retirement Plans Retiree Health and Life Insurance Plans 2017 $ 89,743 $ 1,920 2018 $ 91,769 $ 1,881 2019 $ 93,782 $ 1,853 2020 $ 96,630 $ 1,542 2021 $ 97,838 $ 1,478 2022-2026 $ 520,839 $ 6,201 Assumptions The following tables set forth the major actuarial assumptions used in determining the PBO, ABO and net periodic cost: Weighted-average assumptions used to determine benefit obligations at December 31 U.S. Retirement Plans U.S. Retiree Health and Life Insurance Plans Foreign Plans Discount Rate 2016 4.12 % 3.70 % 2.95 % 2015 4.36 % 3.78 % 3.71 % Rate of Compensation Increase 2016 3.60 % 3.32 % 3.65 % 2015 3.69 % 3.36 % 3.52 % Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31 U.S. Retirement Plans U.S. Retiree Health and Life Insurance Plans Foreign Plans Discount Rate 2016 4.36 % 3.78 % 3.71 % 2015 4.00 % 3.52 % 3.49 % 2014 4.78 % 4.03 % 4.51 % Expected Long-term Rate of Return 2016 7.47 % 7.31 % 4.75 % 2015 7.67 % 7.39 % 4.92 % 2014 7.66 % 7.39 % 5.57 % Rate of Compensation Increase 2016 3.69 % 3.36 % 3.52 % 2015 3.99 % 3.42 % 3.51 % 2014 3.99 % 3.44 % 3.80 % The Company adjusts its discount rates at the end of each fiscal year based on yield curves of high-quality debt instruments over durations that match the expected benefit payouts of each plan. The expected long-term rate of return assumption is based on the Company’s current and expected future portfolio mix by asset class, and expected nominal returns of these asset classes using an economic “building block” approach. Expectations for inflation and real interest rates are developed and various risk premiums are assigned to each asset class based primarily on historical performance. The expected long-term rate of return also gives consideration to the expected level of outperformance to be achieved on that portion of the Company’s investment portfolio under active management. The assumed rate of compensation increase reflects historical experience and management’s expectations regarding future salary and incentive increases. Medical trends The U.S. Retiree Health and Life Insurance Plan makes up approximately 97% of the Retiree Health liability. Therefore, the following information relates to the U.S. plan only. Healthcare Cost Trend Rate Pre-age 65 Post-age 65 2016 7.00 % 7.00 % 2015 7.00 % 6.00 % Ultimate Trend Rate Pre-age 65 Post-age 65 2016 4.80 % 4.80 % 2015 4.90 % 4.90 % Year at which the Rate Reaches the Ultimate Trend Rate Pre-age 65 Post-age 65 2016 2059 2059 2015 2039 2041 Increasing the assumed trend rate for healthcare costs by one percentage point would increase the accumulated postretirement benefit obligation (the APBO) and total service and interest cost component approximately $228 and $17 , respectively. Decreasing the assumed trend rate for healthcare costs by one percentage point would decrease the APBO and total service and interest cost component approximately $212 and $16 , respectively. Based on amendments to the U.S. plan approved in 1999, which became effective in 2003, cost increases borne by the Company are limited to the Urban CPI, as defined. Plan changes, amendments and settlements During 2015, the Company's U.S. Retiree Medical and Life Insurance Plan was amended to eliminate certain life insurance benefits for all nonunion and applicable union participants. The effect of this and other smaller amendments was a reduction in the accumulated postretirement benefit obligation of $2,273 . During 2010, certain retiree medical benefits and life insurance coverage under the Company’s U.S. Retiree Medical and Life Insurance Plan were changed, reducing the accumulated postretirement benefit obligation by $4,566 . The resulting prior service credit was amortized over a four year period ending in 2014. In February 2017, the Company initiated a program through which it seeks to settle a portion of the projected benefit obligation (PBO) relating to terminated vested participants in the U.S. qualified retirement plans. The terminated vested population comprises approximately 15% of the PBO of these plans and such participants are being given the option to receive their benefits early as either a lump sum or an annuity. If the election rates are in the expected range of 40% to 70% , the Company estimates it will be required to recognize non-cash settlement charges of between $25,000 and $40,000 in the second quarter of 2017. Related settlement payments will be funded from plan assets and will not require the Company to make any additional cash contributions in 2017. Retirement plan assets The following table sets forth the weighted-average asset allocations of the Company’s retirement plans at December 31, 2016 and 2015 , by asset category. Asset Category U.S. U.K. Canada Equity securities 2016 51.4 % 46.6 % 64.9 % 2015 49.0 % 49.0 % 62.9 % Debt securities 2016 34.7 % 52.8 % 35.0 % 2015 36.8 % 50.2 % 36.8 % Alternative 2016 13.9 % — % — % 2015 14.2 % — % — % Cash and short-term investments 2016 — % 0.6 % 0.1 % 2015 — % 0.8 % 0.3 % Total 2016 100.0 % 100.0 % 100.0 % 2015 100.0 % 100.0 % 100.0 % The Company employs a total-return investment approach whereby a mix of equities and fixed income investments are used to maximize the long-term return of plan assets for a desired level of risk. Alternative assets such as real estate funds, private equity funds and hedge funds are used to enhance expected long-term returns while improving portfolio diversification. Risk tolerance is established through consideration of plan liabilities, plan funded status and corporate financial condition. Investment risk is measured and monitored on an ongoing basis through periodic investment portfolio reviews and periodic asset/liability studies. At December 31, 2016 , postretirement benefit plan assets totaled $1,349,236 , of which $1,004,732 were assets of the U.S. Defined Benefit Plans. U.S. defined benefit plans The equity investments consist of direct ownership and funds and are diversified among U.S. and non-U.S. stocks of small to large capitalizations. Following the December 2010 amendment that split the U.S. qualified defined benefit pension plan into the Active Plan and the Inactive Plan effective January 1, 2011, the Company completed separate asset/liability studies for both plans during 2011 and adopted revised investment guidelines for each. The revised guidelines establish a dynamic de-risking framework that will gradually shift the allocation of assets to long-duration domestic fixed income from equity and other asset categories, as the relative funding ratio of each plan increases over time. The current target allocation (midpoint) for the Inactive Plan investment portfolio is: Equity Securities – 49% , Debt Securities – 40% , Alternative – 11% and Cash – 0% . The current target allocation (midpoint) for the Active Plan investment portfolio is: Equity Securities – 57% , Debt Securities – 30% , Alternative – 13% and Cash – 0% . United Kingdom defined benefit plan The equity investments consist of direct ownership and funds and are diversified among U.K. and international stocks of small and large capitalizations. The current target allocation (midpoint) for the investment portfolio is: Equity Securities – 48% , Debt Securities – 52% , Alternative – 0% and Cash – 0% . Canada defined benefit plan The equity investments consist of direct ownership and funds and are diversified among Canadian and international stocks of primarily large capitalizations and short to intermediate duration corporate and government bonds. The current target allocation (midpoint) for the investment portfolio is: Equity Securities – 60% , Debt Securities – 39% , Alternative – 0% and Cash – 1% . Retiree health and life insurance plan assets The following table sets forth the weighted-average asset allocations by asset category of the Company’s retiree health and life insurance plan. Asset Category December 31, 2016 December 31, 2015 Equity securities 61.9% 59.8% Debt securities 31.2% 33.0% Alternative 6.8% 7.1% Cash 0.1% 0.1% Total 100.0% 100.0% Contributions Based on current actuarial estimates, the Company anticipates that the total contributions to its retirement plans and retiree health and life insurance plans, excluding contributions to the Sonoco Savings Plan, will be approximately $57,900 in 2017. No assurances can be made, however, about funding requirements beyond 2017, as they will depend largely on actual investment returns and future actuarial assumptions. Sonoco Retirement Contribution The Sonoco Retirement Contribution (SRC) is a defined contribution pension plan provided for the Company’s salaried and non-union U.S. employees who were hired on or after January 1, 2004, or those former participants in the Company’s U.S. qualified defined benefit pension plan who elected to transfer into the SIRP under a one-time option effective January 1, 2010. The Company makes an annual contribution of 4% of all eligible pay plus 4% of eligible pay in excess of the Social Security wage base to eligible participant accounts. Participants are fully vested after three years of service or upon reaching age 55 , if earlier. The Company’s expenses related to the plan for 2016 , 2015 and 2014 were approximately $13,655 , $14,970 and $12,079 , respectively. Cash contributions to the SRC totaled $13,352 , $12,865 and $12,049 in 2016 , 2015 and 2014 , respectively. Sonoco Savings Plan The Sonoco Savings Plan is a defined contribution retirement plan provided for the Company’s U.S. employees. The plan provides for participant contributions of 1% to 30% of gross pay. Since January 1, 2010, the Company has matched 50% on the first 4% of compensation contributed by the participant as pretax contributions. The Company’s expenses related to the plan for 2016 , 2015 and 2014 were approximately $11,400 , $11,500 and $11,400 , respectively. Other plans The Company also provides retirement and postretirement benefits to certain other non-U.S. employees through various Company-sponsored and local government sponsored defined contribution arrangements. For the most part, the liabilities related to these arrangements are funded in the period they arise. The Company’s expenses for these plans were not material for all years presented. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income taxes The provision for taxes on income for the years ended December 31 consists of the following: 2016 2015 2014 Pretax income Domestic $ 318,702 $ 255,897 $ 224,683 Foreign 122,575 72,049 101,024 Total pretax income $ 441,277 $ 327,946 $ 325,707 Current Federal $ 110,567 $ 55,678 $ 40,600 State 10,808 6,000 6,889 Foreign 40,788 31,610 29,630 Total current $ 162,163 $ 93,288 $ 77,119 Deferred Federal $ (861 ) $ 11,002 $ 29,078 State (869 ) (2,359 ) 5,067 Foreign 4,198 (14,193 ) (2,506 ) Total deferred $ 2,468 $ (5,550 ) $ 31,639 Total taxes $ 164,631 $ 87,738 $ 108,758 Deferred tax liabilities/(assets) are comprised of the following at December 31 : 2016 2015 Property, plant and equipment $ 115,946 $ 118,216 Intangibles 219,584 232,420 Gross deferred tax liabilities $ 335,530 $ 350,636 Retiree health benefits $ (971 ) $ (2,078 ) Foreign loss carryforwards (61,381 ) (65,123 ) U.S. Federal loss carryforwards (10,105 ) (1,214 ) Capital loss carryforwards (20 ) (69 ) Employee benefits (202,085 ) (192,798 ) Accrued liabilities and other (93,142 ) (118,511 ) Gross deferred tax assets $ (367,704 ) $ (379,793 ) Valuation allowance on deferred tax assets $ 49,797 $ 49,464 Total deferred taxes, net $ 17,623 $ 20,307 Federal operating loss carryforwards of approximately $2,600 remaining from the Tegrant acquisition were fully utilized in 2016. Federal loss carryforwards of approximately $29,000 were acquired in the 2016 acquisition of Plastic Packaging Inc. Foreign subsidiary loss carryforwards of approximately $241,000 remain at December 31, 2016 . Their use is limited to future taxable earnings of the respective foreign subsidiaries. Approximately $226,200 of these loss carryforwards do not have an expiration date. Of the remaining foreign subsidiary loss carryforwards, approximately $7,700 expire within the next five years and approximately $7,100 expire between 2022 and 2034. Approximately $8,200 in tax value of state loss carryforwards and $16,000 of state credit carryforwards remain at December 31, 2016 . These state loss and credit carryforwards are limited based upon future taxable earnings of the respective entities and expire between 2017 and 2036. State loss and credit carryforwards are reflected at their "tax" value, as opposed to the amount of expected gross deduction due to the vastly different apportionment and statutory tax rates applicable to the various entities and states in which they file. The Company has recorded a $15,900 deferred tax asset in France primarily related to cumulative net operating losses. These losses have an indefinite carryforward period and the Company expects to utilize them over the next 20 to 25 years. Accordingly, a valuation allowance on the deferred asset has not been provided. A reconciliation of the U.S. federal statutory tax rate to the actual consolidated tax expense is as follows: 2016 2015 2014 Statutory tax rate $ 154,447 35.0 % $ 114,781 35.0 % $ 113,998 35.0 % State income taxes, net of federal tax benefit 7,477 1.7 4,872 1.5 % 8,465 2.6 % Valuation allowance 639 0.1 (8,080 ) (2.5 )% (2,264 ) (0.7 )% Tax examinations including change in reserve for uncertain tax positions 732 0.2 (3,245 ) (1.0 )% (2,109 ) (0.6 )% Adjustments to prior year deferred taxes (2,401 ) (0.5 ) 1,596 0.5 % (518 ) (0.2 )% Foreign earnings taxed at other than U.S. rates (15,930 ) (3.6 ) (9,065 ) (2.8 )% (8,891 ) (2.7 )% Disposition of business 22,810 5.2 (11,996 ) (3.6 )% — — % Effect of tax rate changes enacted during the year 2,517 0.6 (2,235 ) (0.7 )% 81 — % Deduction related to qualified production activities (5,215 ) (1.2 ) (5,968 ) (1.8 )% (4,003 ) (1.2 )% Other, net (445 ) (0.1 ) 7,078 2.2 % 3,999 1.2 % Total taxes $ 164,631 37.3 % $ 87,738 26.8 % $ 108,758 33.4 % The change in “Tax examinations including change in reserve for uncertain tax positions” is shown net of associated deferred taxes and accrued interest. Included in the change are net increases of approximately $3,000 , $3,200 and $3,500 for uncertain items arising in 2016 , 2015 and 2014 , respectively, combined with adjustments related to prior year items, primarily decreases related to lapses of statutes of limitations in international, federal and state jurisdictions as well as overall changes in facts and judgment. These adjustments decreased the reserve by a total of approximately $(2,300) , $(6,500) and $(5,600) in 2016 , 2015 and 2014 , respectively. In many of the countries in which the Company operates, earnings are taxed at rates lower than in the U.S. This benefit is reflected in “Foreign earnings taxed at other than U.S. rates” along with other items, if any, that impacted taxes on foreign earnings in the periods presented. The effect on tax expense for "Disposition of business" in 2016 relates to the sale of the Company's rigid plastic blow molding operations, its retail security packaging operation in Juncos, Puerto Rico, and its paper mill in France. The above adjustment reflects the recognition of tax gains in excess of book gains due to basis differences, and losses on which no future tax benefit will be recognized. For 2015, the adjustment pertains primarily to recognition of beneficial tax attributes related to the disposition of a portion of the Company's metal ends and closures business. The benefits included in “Adjustments to prior year deferred taxes” for each of the years presented consist primarily of adjustments to deferred tax assets and liabilities arising from changes in estimates. Undistributed earnings of international subsidiaries totaled approximately $799,373 at December 31, 2016 . Deferred taxes have not been provided on the undistributed earnings, as the Company considers these amounts to be indefinitely reinvested to finance the growth and expansion of its international operations. Computation of the potential deferred tax liability associated with those undistributed earnings is not practicable. All or a portion of these earnings could become subject to current tax if they were remitted or loaned to the U.S. parent company, the stock of the foreign subsidiaries were sold, or through a future change in U.S. tax law. Reserve for uncertain tax positions The following table sets forth the reconciliation of the gross amounts of unrecognized tax benefits at the beginning and ending of the periods indicated: 2016 2015 2014 Gross Unrecognized Tax Benefits at January 1 $ 17,200 $ 26,000 $ 28,800 Increases in prior years’ unrecognized tax benefits 1,400 1,500 6,800 Decreases in prior years’ unrecognized tax benefits (3,500 ) (2,100 ) (5,500 ) Increases in current year's unrecognized tax benefits 3,000 1,700 4,600 Decreases in unrecognized tax benefits from the lapse of statutes of limitations (100 ) (9,200 ) (5,900 ) Settlements (300 ) (700 ) (2,800 ) Gross Unrecognized Tax Benefits at December 31 $ 17,700 $ 17,200 $ 26,000 Of the unrecognized tax benefit balances at December 31, 2016 and December 31, 2015 , approximately $15,300 and $15,000 , respectively, would have an impact on the effective tax rate if ultimately recognized. Interest and/or penalties related to income taxes are reported as part of income tax expense. The Company had approximately $2,300 and $2,200 accrued for interest related to uncertain tax positions at December 31, 2016 and December 31, 2015 , respectively. Tax expense for the year ended December 31, 2016 , includes approximately $200 of interest expense, which is comprised of an interest benefit of approximately $550 related to the adjustment of prior years' items and interest expense of $750 on unrecognized tax benefits. The amounts listed above for accrued interest and interest expense do not reflect the benefit of a federal tax deduction which would be available if the interest were ultimately paid. The Company and/or its subsidiaries file federal, state and local income tax returns in the United States and various foreign jurisdictions. With few exceptions, the Company is no longer subject to U.S. federal, or non-U.S., income tax examinations by tax authorities for years before 2012. With respect to state and local income taxes, the Company is no longer subject to examination prior to 2012, with few exceptions. The Company has $1,900 of reserves for uncertain tax benefits for which it believes it is reasonably possible that a resolution may be reached within the next twelve months. The estimate for the potential outcome of any uncertain tax issue is highly judgmental. The Company believes it has adequately provided for any reasonably foreseeable outcome related to these matters. However, future results may include favorable or unfavorable adjustments to estimated tax liabilities in the period the assessments are made or resolved or when statutes of limitation on potential assessments expire. Additionally, the jurisdictions in which earnings or deductions are realized may differ from current estimates. As a result, the effective tax rate may fluctuate significantly on a quarterly basis. The Company has operations in many countries outside of the United States and the taxes paid on those earnings are subject to varying rates. The Company is not dependent upon the favorable benefit of any one jurisdiction to an extent that loss of those benefits would have a material effect on the Company's overall effective tax rate. In February 2017, the Company received a draft Notice of Proposed Adjustment (“NOPA”) from the Internal Revenue Service (IRS) proposing an adjustment to income for the 2013 tax year based on the IRS's recharacterization of a distribution of an intercompany note made in 2012, and the subsequent repayment of the note over the course of 2013, as if it were a cash distribution made in 2013. At the time the distribution was paid in 2012, it was characterized as a dividend to the extent of earnings and profits, with the remainder as a tax free return of basis and capital gain. As the IRS proposes to recharacterize the distribution, the entire distribution would be characterized as a dividend. The incremental tax liability associated with the income adjustment proposed in the NOPA would be approximately $84,000 , excluding interest and penalties. The Company expects a final NOPA to be issued during the first quarter of 2017, and intends to file a protest to the proposed deficiency with the IRS, which will cause the matter to be referred to the Appeals Division of the IRS. The Company strongly believes the position of the IRS with regard to this matter is inconsistent with applicable tax laws and existing Treasury regulations, and that the Company's previously reported income tax provision for the year in question is appropriate. However, there can be no assurance that this matter will be resolved in the Company's favor. Regardless of whether the matter is resolved in the Company's favor, the final resolution of this matter could be expensive and time consuming to defend and/or settle. While the Company believes that the amount of tax originally paid with respect to this distribution is correct, and accordingly has not provided additional reserve for tax uncertainty, there is still a possibility that an adverse outcome of the matter could have a material effect on its results of operations and financial condition. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and contingencies Pursuant to U.S. GAAP, accruals for estimated losses are recorded at the time information becomes available indicating that losses are probable and that the amounts are reasonably estimable. As is the case with other companies in similar industries, the Company faces exposure from actual or potential claims and legal proceedings from a variety of sources. Some of these exposures, as discussed below, have the potential to be material. Environmental matters The Company is subject to a variety of environmental and pollution control laws and regulations in all jurisdictions in which it operates. Fox River Settlement and Remaining Claim As previously disclosed, the Company's wholly owned subsidiary U.S. Paper Mills Corp. (U.S. Mills) was previously identified as a potentially responsible party (PRP) for the Wisconsin Fox River environmental cleanup and U.S. Mills has been involved in subsequent Superfund litigation related to the Fox River. In March 2014, U.S. Mills settled claims brought by the U. S. Environmental Protection Agency (EPA) and the Wisconsin Department of Natural Resources (WDNR) for $14,700 , which settlement provided U.S. Mills with protection from the contribution claims of other PRPs. As a result of the settlement becoming final, the Company reversed $32,543 of the reserves it had previously established for the related claims, resulting in the recognition of a gain in the Company's Consolidated Financial Statements in the first quarter of 2015. This settlement left intact a cost recovery claim by Appvion, Inc., under Section 107 of CERCLA against eight defendants, including U.S. Mills, to recover response costs allegedly incurred by Appvion consistent with the national contingency plan for responding to release or threatened release of hazardous substances into the lower Fox River (Civil Action No. 8-CV-16-WCG in the United States District Court for the Eastern District of Wisconsin). In January 2017, U.S. Mills obtained Court Approval of a final settlement of the claims made by Appvion for $3,334 . As a result of this settlement becoming final, the Company and U.S. Mills have resolved all pending or threatened legal proceedings related to the Fox River matter, as well as any such proceedings known to be contemplated by governmental authorities. A reserve of $5,000 had been set aside for the potential liabilities associated with the Appvion claim. During 2016 and 2015, the Company spent approximately $1,043 and $1,104 , respectively, against the reserve on legal costs related to the Appvion claim. Based on the settlement that was reached in January 2017, the Company increased the reserve by $850 during the fourth quarter of 2016 to a total of $3,703 at December 31, 2016 , to cover both the settlement and related legal costs. The majority of this reserve is expected to be paid during the first quarter of 2017. Tegrant On November 8, 2011, the Company completed the acquisition of Tegrant. During its due diligence, the Company identified several potentially environmentally contaminated sites. The total remediation cost of these sites was estimated to be $18,850 at the time of the acquisition and an accrual in this amount was recorded on Tegrant’s opening balance sheet. Since the acquisition, the Company has spent a total of $845 on remediation of these sites. During 2015 and 2014, the Company increased its reserves for these sites by $68 and $324 , respectively, in order to reflect its best estimate of what it is likely to pay in order to complete the remediation. At December 31, 2016 and 2015 , the Company's accrual for Tegrant's environmental contingencies totaled $18,397 and $18,521 , respectively. The Company cannot currently estimate its potential liability, damages or range of potential loss, if any, beyond the amounts accrued with respect to this exposure. However, the Company does not believe that the resolution of this matter has a reasonable possibility of having a material adverse effect on the Company's financial statements. Other environmental matters The Company has been named as a potentially responsible party at several other environmentally contaminated sites. All of the sites are also the responsibility of other parties. The potential remediation liabilities are shared with such other parties, and, in most cases, the Company’s share, if any, cannot be reasonably estimated at the current time. However, the Company does not believe that the resolution of these matters has a reasonable possibility of having a material adverse effect on the Company's financial statements. Summary As of December 31, 2016 and 2015 , the Company (and its subsidiaries) had accrued $24,515 and $25,195 , respectively, related to environmental contingencies. These accruals are included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets. Other legal and regulatory matters As described more fully in Note 13 to these Consolidated Financial Statements, the Company has received a draft Notice of Proposed Adjustment (“NOPA”) from the IRS proposing an adjustment to income for the 2013 tax year. The incremental tax liability associated with the proposed adjustment would be approximately $84,000 , excluding interest and penalties. The Company expects a final NOPA to be issued during the first quarter of 2017 and intends to file a protest to the proposed deficiency with the IRS, which will cause the matter to be referred to the Appeals Division of the IRS. The Company strongly believes the position of the IRS with regard to this matter is inconsistent with applicable tax laws and existing Treasury regulations, and that its previously reported income tax provision for the year in question is appropriate. However, there can be no assurance that this matter will be resolved in the Company’s favor. Regardless of whether this matter is resolved in the Company’s favor, the final resolution of this matter could be expensive and time-consuming to defend and/or settle. While the Company believes that the amount of tax originally paid with respect to this distribution is correct, and accordingly has not provided additional reserve for tax uncertainty, there is still a possibility that an adverse outcome of the matter could have a material effect on its results of operations and financial condition. In addition to those described above, the Company is subject to other various legal proceedings, claims and litigation arising in the normal course of business. While the outcome of these matters could differ from management’s expectations, the Company does not believe that the resolution of these matters has a reasonable possibility of having a material adverse effect on the Company’s financial statements. Commitments As of December 31, 2016 , the Company had long-term obligations to purchase electricity and steam, which it uses in its production processes, as well as long-term purchase commitments for certain raw materials, principally old corrugated containers. These purchase commitments require the Company to make total payments of approximately $339,500 , as follows: $102,600 in 2017 ; $91,700 in 2018 ; $91,100 in 2019 , $42,000 in 2020 and a total of $12,100 from 2021 through 2025. |
Shareholders' Equity and Earnin
Shareholders' Equity and Earnings per Share | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Shareholders' Equity and Earnings per Share | Shareholders’ equity and earnings per share Stock repurchases The Company occasionally repurchases shares of its common stock to satisfy employee tax withholding obligations in association with the exercise of stock appreciation rights and performance-based stock awards. These repurchases, which are not part of a publicly announced plan or program, totaled 148,129 shares during 2016 , 172,884 shares during 2015 , and 126,670 shares during 2014 , at a cost of $6,739 , $7,868 and $5,378 , respectively. On February 10, 2016, the Company’s Board of Directors authorized the repurchase of up to 5,000,000 shares of the Company’s common stock. During 2016, a total of 2,030,389 shares were repurchased under this authorization at a cost of $100,000 . Accordingly, at December 31, 2016 , a total of 2,969,611 shares remain available for repurchase under this authorization. The Company repurchased a total of 2,000,000 shares of its common stock during 2014 under a previous authorization at a cost of $82,422 . No shares were repurchased during 2015. Earnings per share The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): 2016 2015 2014 Numerator: Net income attributable to Sonoco $ 286,434 $ 250,136 $ 225,916 Denominator: Weighted average common shares outstanding 101,093 101,482 102,215 Dilutive effect of stock-based compensation 689 910 957 Diluted outstanding shares 101,782 102,392 103,172 Per common share: Net income attributable to Sonoco: Basic $ 2.83 $ 2.46 $ 2.21 Diluted $ 2.81 $ 2.44 $ 2.19 No adjustments were made to reported net income in the computation of earnings per share. The Company paid dividends totaling $1.46 , $1.37 , and $1.27 per share in 2016 , 2015 and 2014 , respectively. Potentially dilutive securities are calculated in accordance with the treasury stock method, which assumes the proceeds from the exercise of all dilutive stock appreciation rights (SARs) are used to repurchase the Company’s common stock. Certain SARs are not dilutive because either the exercise price is greater than the average market price of the stock during the reporting period or assumed repurchases from proceeds from the exercise of the SARs were antidilutive. The average number of shares that were not dilutive and therefore not included in the computation of diluted income per share was as follows for the years ended December 31, 2016 , 2015 and 2014 (in thousands): 2016 2015 2014 Anti-dilutive stock appreciation rights 357 902 720 These stock appreciation rights may become dilutive in future periods if the market price of the Company’s common stock appreciates. Noncontrolling interests In April 2015, the Company acquired a 67% controlling interest in Graffo Paranaense de Embalagens S/A ("Graffo"). The Company consolidates 100% of Graffo, with the partner's 33% share included in "Noncontrolling Interests" on the Consolidated Balance Sheet. The fair value of this noncontrolling interest was $7,922 at the time of the acquisition. In October 2014, as part of its acquisition of the Weidenhammer Packaging Group ("Weidenhammer"), the Company acquired a 65% ownership in Weidenhammer's Chilean affiliate - Weidenhammer Chile Ltda. The Company consolidates 100% of the Chilean subsidiary, with the partner's 35% share included in "Noncontrolling Interests" on the Consolidated Balance Sheet. On the date of the acquisition, the fair value of this noncontrolling interest was $974 . |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment reporting The Company reports its financial results in four reportable segments – Consumer Packaging, Display and Packaging, Paper and Industrial Converted Products, and Protective Solutions. The Consumer Packaging segment includes the following products and services: round and shaped rigid containers and trays (both composite and thermoformed plastic); extruded and injection-molded plastic products; printed flexible packaging; global brand artwork management; and metal and peelable membrane ends and closures. This segment also included blow-molded plastic bottles and jars through November 7, 2016, when the Company completed the sale of its rigid plastics blow molding operations. The Display and Packaging segment includes the following products and services: designing, manufacturing, assembling, packing and distributing temporary, semipermanent and permanent point-of-purchase displays; supply chain management services, including contract packing, fulfillment and scalable service centers; retail packaging, including printed backer cards, thermoformed blisters and heat sealing equipment; and paper amenities, such as coasters and glass covers. The Paper and Industrial Converted Products segment includes the following products: paperboard tubes and cores; fiber-based construction tubes and forms; wooden, metal and composite wire and cable reels and spools; and recycled paperboard, linerboard, corrugating medium, recovered paper and material recycling services. The Protective Solutions segment includes the following products: custom-engineered paperboard-based and expanded foam protective packaging and components; and temperature-assurance packaging. Restructuring charges, asset impairment charges, gains from the disposition of businesses, insurance settlement gains, acquisition-related costs, interest expense and interest income are included in income before income taxes under “Corporate.” The following table sets forth financial information about each of the Company's business segments: Years ended December 31 Consumer Packaging Display and Packaging Paper and Protective Solutions Corporate Consolidated Total Revenue 2016 $ 2,048,621 $ 522,955 $ 1,793,512 $ 527,450 $ — $ 4,892,538 2015 2,126,916 608,064 1,835,896 508,182 — 5,079,058 2014 1,966,989 668,407 2,010,160 487,171 — 5,132,727 Intersegment Sales 1 2016 $ 5,509 $ 2,542 $ 100,059 $ 1,551 $ — $ 109,661 2015 4,357 1,953 106,110 2,269 — 114,689 2014 4,092 1,592 107,712 2,337 — 115,733 Sales to Unaffiliated Customers 2016 $ 2,043,112 $ 520,413 $ 1,693,453 $ 525,899 $ — $ 4,782,877 2015 2,122,559 606,111 1,729,786 505,913 — 4,964,369 2014 1,962,897 666,815 1,902,448 484,834 — 5,016,994 Income Before Income Taxes 2 2016 $ 240,925 $ 14,797 $ 129,678 $ 51,526 $ 4,351 $ 441,277 2015 231,590 10,904 124,057 46,013 (84,618 ) 327,946 2014 200,591 10,680 162,269 34,003 (81,836 ) 325,707 Identifiable Assets 3 2016 $ 1,447,886 $ 446,906 $ 1,164,365 $ 573,949 $ 290,097 $ 3,923,203 2015 1,507,621 491,268 1,199,280 561,592 253,924 4,013,685 2014 1,579,950 495,604 1,299,356 564,468 247,328 4,186,706 Depreciation, Depletion and Amortization 4 2016 $ 88,875 $ 16,716 $ 74,742 $ 24,849 $ — $ 205,182 2015 96,220 16,623 76,744 23,574 — 213,161 2014 75,782 17,034 83,076 22,826 — 198,718 Capital Expenditures 2016 $ 86,369 $ 11,542 $ 60,601 $ 12,860 $ 15,369 $ 186,741 2015 75,986 10,906 74,008 15,724 15,671 192,295 2014 63,117 9,432 73,636 22,238 8,653 177,076 1 Intersegment sales are recorded at a market-related transfer price. 2 Included in Corporate are restructuring, asset impairment charges, acquisition-related charges, gains from the sale of a business, environmental settlement gains, property insurance settlement gains, and other non-operational income and expenses associated with the following segments: Consumer Packaging Display Paper and Industrial Converted Products Protective Solutions Corporate Total 2016 $ (80,500 ) $ 7,883 $ 27,567 $ 1,018 $ (11,876 ) $ (55,908 ) 2015 15,097 1,812 (490 ) (1,469 ) 15,070 30,020 2014 12,536 4,042 4,340 1,527 7,000 29,445 The remaining amounts reported as Corporate consist of interest expense and interest income. 3 Identifiable assets are those assets used by each segment in its operations. Corporate assets consist primarily of cash and cash equivalents, investments in affiliates, headquarters facilities, deferred income taxes and prepaid expenses. 4 Depreciation, depletion and amortization incurred at Corporate are allocated to the reportable segments. Geographic regions Sales to unaffiliated customers and long-lived assets by geographic region are as follows: 2016 2015 2014 Sales to Unaffiliated Customers United States $ 3,112,016 $ 3,206,513 $ 3,285,017 Europe 951,783 971,302 841,452 Canada 268,556 262,038 292,163 All other 450,522 524,516 598,362 Total $ 4,782,877 $ 4,964,369 $ 5,016,994 Long-lived Assets United States $ 1,671,168 $ 1,719,746 $ 1,738,648 Europe 599,698 627,126 680,791 Canada 111,452 157,208 184,879 All other 101,828 104,563 117,249 Total $ 2,484,146 $ 2,608,643 $ 2,721,567 Sales are attributed to countries/regions based upon the plant location from which products are shipped. Long-lived assets are comprised of property, plant and equipment, goodwill, intangible assets and investment in affiliates (see Notes 6 and 7). |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated other comprehensive loss The following table summarizes the components of accumulated other comprehensive loss and the changes in accumulated other comprehensive loss, net of tax as applicable, for the years ended December 31, 2016 and 2015 : Foreign Currency Items Defined Benefit Pension Items Gains and Losses on Cash Flow Hedges Accumulated Other Comprehensive Loss Balance at December 31, 2014 $ (127,603 ) $ (475,286 ) $ (5,962 ) $ (608,851 ) Other comprehensive income/(loss) before reclassifications (125,534 ) 3,979 (11,726 ) (133,281 ) Amounts reclassified from accumulated other comprehensive loss to net income — 27,063 12,008 39,071 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 528 528 Other comprehensive income/(loss) (125,534 ) 31,042 810 (93,682 ) Balance at December 31, 2015 $ (253,137 ) $ (444,244 ) $ (5,152 ) $ (702,533 ) Other comprehensive income/(loss) before reclassifications (33,361 ) (35,841 ) 1,673 (67,529 ) Amounts reclassified from accumulated other comprehensive loss to net income — 26,264 5,359 31,623 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 59 59 Other comprehensive income/(loss) (33,361 ) (9,577 ) 7,091 (35,847 ) Balance at December 31, 2016 $ (286,498 ) $ (453,821 ) $ 1,939 $ (738,380 ) The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the affected line items in the consolidated statements of net income for the years ended December 31, 2016 and 2015 : Amount Reclassified from Accumulated Other Comprehensive Loss Details about Accumulated Other Comprehensive Loss Components Twelve Months Ended Twelve Months Ended Affected Line Item in the Consolidated Statements of Net Income Gains and losses on cash flow hedges Foreign exchange contracts $ (8,769 ) $ (21,454 ) Net Sales Foreign exchange contracts 3,981 12,154 Cost of sales Commodity contracts (3,583 ) (9,920 ) Cost of sales (8,371 ) (19,220 ) Total before tax 3,012 7,212 Tax benefit $ (5,359 ) $ (12,008 ) Net of tax Defined benefit pension items Amortization of defined benefit pension items $ (28,990 ) $ (31,963 ) Cost of sales Amortization of defined benefit pension items (9,663 ) (10,654 ) Selling, general, and administrative (38,653 ) (42,617 ) Total before tax 12,389 15,554 Tax benefit (26,264 ) (27,063 ) Net of tax Total reclassifications for the period $ (31,623 ) $ (39,071 ) Net of tax The following table summarizes the tax (expense) benefit amounts for the other comprehensive loss components for the years ended December 31, 2016 and 2015 : For the year ended December 31, 2016 For the year ended December 31, 2015 Before Tax Amount Tax (Expense) Benefit After Tax Amount Before Tax Amount Tax (Expense) Benefit After Tax Amount Foreign currency items $ (33,361 ) $ — $ (33,361 ) $ (125,534 ) $ — $ (125,534 ) Defined benefit pension items: Other comprehensive income/(loss) before reclassifications (56,383 ) 20,542 (35,841 ) (2,523 ) 6,502 3,979 Amounts reclassified from accumulated other comprehensive income/(loss) to net income 38,653 (12,389 ) 26,264 42,617 (15,554 ) 27,063 Net other comprehensive income/(loss) from defined benefit pension items (17,730 ) 8,153 (9,577 ) 40,094 (9,052 ) 31,042 Gains and losses on cash flow hedges: Other comprehensive income/(loss) before reclassifications 2,613 (940 ) 1,673 (18,167 ) 6,441 (11,726 ) Amounts reclassified from accumulated other comprehensive income/(loss) to net income 8,371 (3,012 ) 5,359 19,220 (7,212 ) 12,008 Amounts reclassified from accumulated other comprehensive income/(loss) to fixed assets 59 — 59 528 — 528 Net other comprehensive income/(loss) from cash flow hedges 11,043 (3,952 ) 7,091 1,581 (771 ) 810 Other comprehensive income/(loss) $ (40,048 ) $ 4,201 $ (35,847 ) $ (83,859 ) $ (9,823 ) $ (93,682 ) The change in defined benefit plans includes pretax changes of $(767) and $(60) during the years ended December 31, 2016 and 2015 , related to one of the Company’s equity method investments. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Selected Quarterly Financial Information [Abstract] | |
Selected Quarterly Financial Data | Selected quarterly financial data The following table sets forth selected quarterly financial data of the Company: (unaudited) First Quarter Second Quarter Third Quarter Fourth Quarter* 2016 Net sales $ 1,226,276 $ 1,205,680 $ 1,208,724 $ 1,142,197 Gross profit 245,253 242,013 235,373 214,787 Restructuring/Asset impairment charges 9,228 23,278 8,947 1,430 Net income attributable to Sonoco 59,914 56,252 65,395 104,873 Per common share: Net income attributable to Sonoco: - basic $ 0.59 $ 0.56 $ 0.65 $ 1.04 - diluted 0.59 0.55 0.64 1.04 Cash dividends - common 0.35 0.37 0.37 0.37 Market price - high 49.08 50.13 53.57 55.47 - low 36.56 45.02 49.10 49.50 2015 Net sales $ 1,206,052 $ 1,248,590 $ 1,242,592 $ 1,267,135 Gross profit 220,390 240,316 229,373 239,343 Restructuring/Asset impairment charges (359 ) 10,445 19,551 21,000 Net income attributable to Sonoco 85,780 64,379 43,914 56,063 Per common share: Net income attributable to Sonoco: - basic $ 0.85 $ 0.63 $ 0.43 $ 0.55 - diluted 0.84 0.63 0.43 0.55 Cash dividends - common 0.32 0.35 0.35 0.35 Market price - high 47.94 46.50 44.13 44.56 - low 42.44 43.89 34.68 37.01 * Net income attributable to Sonoco in the fourth quarter of 2016 includes a net after-tax gain of $49,341 from the sale of the Company's rigid plastic blow molding operations. |
Schedule IV
Schedule IV | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
Schedule of Valuation and Qualifying Accounts Disclosure | Column A Column B Column C - Additions Column D Column E Description Balance at Beginning of Year Charged to Costs and Expenses Charged to Other Deductions Balance at End of Year 2016 Allowance for Doubtful Accounts $ 11,069 $ 1,566 $ (86 ) 1 $ 1,665 2 $ 10,884 LIFO Reserve 18,894 (1,575 ) 3 — — 17,319 Valuation Allowance on Deferred Tax Assets 49,464 3,273 (306 ) 4 2,634 5 49,797 2015 Allowance for Doubtful Accounts $ 8,547 $ 2,501 $ 467 1 $ 446 2 $ 11,069 LIFO Reserve 17,908 986 3 — — 18,894 Valuation Allowance on Deferred Tax Assets 63,231 2,248 (5,686 ) 4 10,329 5 49,464 2014 Allowance for Doubtful Accounts $ 9,771 $ 2,350 $ (411 ) 1 $ 3,163 2 $ 8,547 LIFO Reserve 18,146 (238 ) 3 — — 17,908 Valuation Allowance on Deferred Tax Assets 60,856 828 5,367 4 3,820 5 63,231 1 Includes translation adjustments and other insignificant adjustments. 2 Includes amounts written off. 3 Includes adjustments based on pricing and inventory levels. 4 Includes translation adjustments and increases to deferred tax assets which were previously fully reserved. 5 Includes utilization of capital loss carryforwards, net operating loss carryforwards and other deferred tax assets. All other schedules not included have been omitted because they are not required, are not applicable or the required information is given in the financial statements or notes thereto. |
Summary of Significant Accoun27
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of presentation The Consolidated Financial Statements include the accounts of Sonoco Products Company and its majority-owned subsidiaries (the “Company” or “Sonoco”) after elimination of intercompany accounts and transactions. Investments in affiliated companies in which the Company shares control over the financial and operating decisions, but in which the Company is not the primary beneficiary, are accounted for by the equity method of accounting. Income applicable to these equity investments is reflected in “Equity in earnings of affiliates, net of tax” in the Consolidated Statements of Income. |
Estimates and Assumptions | Estimates and assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect the reported amount of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Revenue Recognition | Revenue recognition The Company records revenue when title and risk of ownership pass to the customer, and when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price to the customer is fixed or determinable and when collectibility is reasonably assured. Certain judgments, such as provisions for estimates of sales returns and allowances, are required in the application of the Company’s revenue policy and, therefore, are included in the results of operations in its Consolidated Financial Statements. Shipping and handling expenses are included in “Cost of sales,” and freight charged to customers is included in “Net sales” in the Company’s Consolidated Statements of Income. The Company has rebate agreements with certain customers. These rebates are recorded as reductions of sales and are accrued using sales data and rebate percentages specific to each customer agreement. Accrued customer rebates are included in “Accrued expenses and other” in the Company's Consolidated Balance Sheets. |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts receivable and allowance for doubtful accounts The Company’s trade accounts receivable are non-interest bearing and are recorded at the invoiced amounts. The allowance for doubtful accounts represents the Company’s best estimate of the amount of probable credit losses in existing accounts receivable. Provisions are made to the allowance for doubtful accounts at such time that collection of all or part of a trade account receivable is in question. The allowance for doubtful accounts is monitored on a regular basis and adjustments are made as needed to ensure that the account properly reflects the Company’s best estimate of uncollectible trade accounts receivable. Account balances are charged off against the allowance for doubtful accounts when the Company determines that the receivable will not be recovered. |
Research and Development | Research and development Research and development costs are charged to expense as incurred and include salaries and other directly related expenses. |
Restructuring and Asset Impairment | Restructuring and asset impairment Costs associated with exit or disposal activities are recognized when the liability is incurred. If assets become impaired as a result of a restructuring action, the assets are written down to fair value, less estimated costs to sell, if applicable. A number of significant estimates and assumptions are involved in the determination of fair value. The Company considers historical experience and all available information at the time the estimates are made; however, the amounts that are ultimately realized upon the sale of divested assets may differ from the estimated fair values reflected in the Company’s Consolidated Financial Statements. |
Cash and Cash Equivalents | Cash and cash equivalents Cash equivalents are composed of highly liquid investments with an original maturity to the Company of generally three months or less when purchased. Cash equivalents are recorded at cost, which approximates market. |
Inventories | Inventories Inventories are stated at the lower of cost or market. The last-in, first-out (LIFO) method is used for the valuation of certain of the Company’s domestic inventories, primarily metal, internally manufactured paper and paper purchased from third parties. The LIFO method of accounting was used to determine the carrying costs of approximately 19% and 19% of total inventories at December 31, 2016 and 2015 , respectively. The remaining inventories are determined on the first-in, first-out (FIFO) method. If the FIFO method of accounting had been used for all inventories, total inventory would have been higher by $17,319 and $18,894 at December 31, 2016 and 2015 , respectively. |
Property, Plant and Equipment | Property, plant and equipment Plant assets represent the original cost of land, buildings and equipment, less depreciation, computed under the straight-line method over the estimated useful lives of the assets, and are reviewed for impairment whenever events indicate the carrying value may not be recoverable. Equipment lives generally range from 3 to 11 years , and buildings from 15 to 40 years . Timber resources are stated at cost. Depletion is charged to operations based on the estimated number of units of timber cut during the year. |
Goodwill and Other Intangible Assets | Goodwill and other intangible assets The Company assesses its goodwill for impairment annually and from time to time when warranted by the facts and circumstances surrounding individual reporting units or the Company as a whole. In performing the impairment test, the Company uses either a qualitative evaluation or a quantitative test. The qualitative evaluation considers factors such as the macroeconomic environment, Company stock price and market capitalization movement, business strategy changes, and significant customer wins and losses. The quantitative test considers factors such as the amount by which estimated fair value exceeds current carrying value, current year operating performance as compared to prior projections, and implied fair values from comparable trading and transaction multiples. Calculated reporting unit estimated fair values reflect a number of significant management assumptions and estimates including the Company's forecast of sales volumes and prices, profit margins, income taxes, capital expenditures and changes in working capital requirements. Changes in these assumptions and/or discount rates could materially impact the estimated fair values. When the Company estimates the fair value of a reporting unit, it does so using a discounted cash flow model based on projections of future years' operating results and associated cash flows, corroborated by comparable trading and transaction multiples. The Company's projections incorporate management's best estimates of the expected future results, which include expectations related to new and retained business and future operating margins. Projected future cash flows are then discounted to present value using a discount rate management believes is commensurate with the risks inherent in the cash flows. If the fair value of a reporting unit exceeds the carrying value of the reporting unit’s assets, including goodwill, there is no impairment. If not, and the carrying value of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment charge is recognized for the excess. Goodwill is not amortized. Intangible assets are amortized, usually on a straight-line basis, over their respective useful lives, which generally range from 3 to 40 years . The Company evaluates its intangible assets for impairment whenever indicators of impairment exist. The Company has no intangibles with indefinite lives. |
Income Taxes | Income taxes The Company provides for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting requirements and tax laws. Assets and liabilities are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. |
Derivatives | Derivatives The Company uses derivatives to mitigate the effect of fluctuations in some of its raw material and energy costs, foreign currencies, and, from time to time, interest rates. The Company purchases commodities such as recovered paper, metal, resins and energy generally at market or at fixed prices that are established with the vendor as part of the purchase process for quantities expected to be consumed in the ordinary course of business. The Company may enter into commodity futures or swaps to manage the effect of price fluctuations. The Company may use foreign currency forward contracts and other risk management instruments to manage exposure to changes in foreign currency cash flows and the translation of monetary assets and liabilities on the Company’s consolidated financial statements. The Company is exposed to interest-rate fluctuations as a result of using debt as a source of financing for its operations. The Company may from time to time use traditional, unleveraged interest rate swaps to adjust its mix of fixed and variable rate debt to manage its exposure to interest rate movements. The Company records its derivatives as assets or liabilities on the balance sheet at fair value using published market prices or estimated values based on current price and/or rate quotes and discounted estimated cash flows. Changes in the fair value of derivatives are recognized either in net income or in other comprehensive income, depending on the designated purpose of the derivative. Amounts in accumulated other comprehensive income are reclassified into earnings in the same period or periods during which the hedged forecasted transaction affects earnings. It is the Company’s policy not to speculate in derivative instruments. |
Reportable Segments | Reportable segments The Company identifies its reportable segments by evaluating the level of detail reviewed by the chief operating decision maker, gross profit margins, nature of products sold, nature of the production processes, type and class of customer, methods used to distribute products, and nature of the regulatory environment. Of these factors, the Company believes that the most significant in determining the aggregation of operating segments are the nature of the products and the type of customers served. |
Contingencies | Contingencies Pursuant to U.S. GAAP for accounting for contingencies, accruals for estimated losses are recorded at the time information becomes available indicating that losses are probable and that the amounts are reasonably estimable. Amounts so accrued are not discounted. |
New Accounting Pronouncements (
New Accounting Pronouncements (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | New accounting pronouncements In January 2017, the Financial Accounting Standards Board (FASB) issued ASU 2017-04, “ Simplifying the Test for Goodwill Impairment ,” eliminating the requirement to determine the fair value of individual assets and liabilities of a reporting unit to measure goodwill impairment. Under ASU 2017-04, goodwill impairment testing will be performed by comparing the fair value of the reporting unit with its carrying amount and recognizing an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. The new standard is effective for annual and interim goodwill impairment tests in fiscal years beginning after December 15, 2019, and should be applied on a prospective basis. T he Company does not expect the implementation of ASU 2017-04 to have a material impact on its consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, " Clarifying the Definition of a Business, " providing guidance to entities to assist with evaluating when a set of transferred assets and activities (collectively, the "set") is a business and provides a screen to determine when a set is not a business. Under the new guidance, when substantially all of the fair value of gross assets acquired (or disposed of) is concentrated in a single identifiable asset, or group of similar assets, the assets acquired would not represent a business. Also, to be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to produce outputs. The new standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, and should be applied on a prospective basis to any transactions occurring within the period of adoption. T he Company does not expect the implementation of ASU 2017-01 to have a material impact on its consolidated financial statements. In November 2016, the FASB issued ASU 2016-18, " Restricted Cash," requiring that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash or restricted cash equivalents. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The amendments in this Update do not provide a definition of restricted cash or restricted cash equivalents. The guidance is effective for periods beginning after December 15, 2017 on a retrospective basis. Although the presentational format of the statement of cash flows will be updated to conform with this guidance, the Company does not expect the implementation of ASU 2016-18 to have a material impact on its consolidated financial statements. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory" as part of its simplification initiative to reduce complexity in accounting standards. This update requires that an entity should recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. The guidance is effective for periods beginning after December 15, 2017 on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Company does not expect the implementation of ASU 2016-16 to have a material effect on its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, "Classification of Certain Cash Receipts and Cash Payments," providing clarification on eight cash flow classification issues, including 1) debt prepayment or debt extinguishment costs, 2) settlement of relatively insignificant debt instruments, 3) contingent consideration payments, 4) insurance claim settlements, 5) life insurance settlements, 6) distributions received from equity method investees, 7) beneficial interests in securitization transactions, and 8) separately identifiable cash flows. The guidance is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. The Company does not expect the implementation of ASU 2016-15 to have a material effect on its consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments," which requires measurement and recognition of expected versus incurred credit losses for financial assets held. The guidance is effective for annual reporting periods beginning after December 15, 2019, and interim periods within those annual periods. The Company does not expect the implementation of ASU 2016-13 to have a material effect on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting," which simplifies several aspects of the accounting for share-based payment transactions, including 1) accounting for income taxes, 2) classification of excess tax benefits in the statement of cash flows, 3) forfeitures, 4) minimum statutory tax withholding requirements, 5) cash flow classification of employee taxes withheld in the form of shares, 6) the practical expedient for estimating the expected term, and 7) intrinsic value. The guidance is effective for annual reporting periods beginning after December 15, 2016, and interim periods within those annual periods. The Company does not expect the implementation of ASU 2016-09 to have a material effect on its consolidated financial statements. In March 2016, the FASB issued ASU 2016-08, "Revenue from Contracts with Customers, Principal versus Agent Considerations (Reporting Revenue Gross versus Net)," which provides guidance on recording revenue on a gross basis versus a net basis based on the determination of whether an entity is a principal or an agent when another party is involved in providing goods or services to a customer. The amendments in this update affect the guidance in ASU No. 2014-09 and are effective in the same time frame as ASU 2014-09 as discussed below. In February 2016, the FASB issued ASU 2016-02, which changes accounting for leases and requires lessees to recognize the assets and liabilities arising from all leases, including those classified as operating leases under previous accounting guidance on the balance sheet and requires disclosure of key information about leasing arrangements to increase transparency and comparability among organizations. The accounting for lessors does not fundamentally change except for changes to conform and align guidance to the lessee guidance. The guidance is effective for reporting periods beginning after December 15, 2018, including interim periods within those fiscal years and requires retrospective application. The Company is still assessing the impact of ASU 2016-02 on its consolidated financial statements. In May 2015, the FASB issued ASU 2015-07, " Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)", which removed the requirement to categorize within the fair value hierarchy investments for which fair value is measured using the net asset value per share practical expedient provided by Accounting Standards Codification 820, "Fair Value Measurement." Disclosures about investments in certain entities that calculate net asset value per share are limited under ASU 2015-07 to those investments for which the entity has elected to estimate the fair value using the net asset value practical expedient. This guidance became effective for reporting periods beginning after December 15, 2015, with retrospective application to all periods presented. Accordingly, common collective trusts and certain other investments are no longer categorized within the fair value hierarchy in Note 10. In April 2015, the FASB issued ASU 2015-03, "Simplifying the Presentation of Debt Issuance Costs," which requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, and not recorded as separate assets. This update was effective for reporting periods beginning after December 15, 2015, and was required to be applied on a retrospective basis. Accordingly, the Company adopted ASU 2015-03 on January 1, 2016. Debt issuance costs totaling $6,584 previously included in "Other Assets" have been reclassified to "Long-Term Debt, Net of Current Portion" on the Company's Consolidated Balance Sheets as of December 31, 2015. In May 2014, the FASB issued ASU 2014-09, "Revenue From Contracts With Customers," which changes the definitions/criteria used to determine when revenue should be recognized from being based on risks and rewards to being based on control. Among other changes, ASU 2014-09 changes the manner in which variable consideration is recognized, requires recognition of the time value of money when payment terms exceed one year, provides clarification on accounting for contract costs, and expands disclosure requirements. The effective date for implementation of ASU 2014-09 has been deferred and is now effective for reporting periods beginning after December 15, 2017. The Company is in the process of finalizing its assessment of the impact of ASU 2014-09 on its consolidated financial statements, but expects the adoption to have the effect of accelerating the timing of revenue recognition compared to current standards for those arrangements under which the Company is producing customer-specific products without alternative use and would be entitled to payment for work completed, including a reasonable margin. The Company has selected the modified retrospective method of adoption and is currently expecting to adopt this standard in the first quarter of fiscal 2018. Other than the pronouncements discussed above, there have been no other newly issued nor newly applicable accounting pronouncements that have had, or are expected to have, a material impact on the Company’s financial statements. Further, at December 31, 2016 , there were no other pronouncements pending adoption that are expected to have a material impact on the Company’s financial statements. |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Company Held Significant Investment | Affiliated companies over which the Company exercised a significant influence at December 31, 2016 , included: Entity Ownership Interest Percentage at December 31, 2016 RTS Packaging JVCO 35.0 % Cascades Conversion, Inc. 50.0 % Cascades Sonoco, Inc. 50.0 % Showa Products Company Ltd. 20.0 % Conitex Sonoco Holding BVI Ltd. 30.0 % Weidenhammer New Packaging, LLC 40.0 % |
Restructuring and Asset Impai30
Restructuring and Asset Impairment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring And Asset Impairment Charges Table | Following are the total restructuring and asset impairment charges, net of adjustments, recognized during the periods presented: Year Ended December 31 2016 2015 2014 Restructuring/Asset impairment: 2016 Actions $ 32,997 $ — $ — 2015 Actions 7,239 35,837 — 2014 and Earlier Actions 30 2,735 18,088 Other asset impairments 2,617 12,065 4,704 Restructuring/Asset impairment charges $ 42,883 $ 50,637 $ 22,792 Income tax benefit (7,520 ) (22,641 ) (5,732 ) Restructuring cost/(benefit) attributable to noncontrolling interests, net of tax (161 ) (93 ) (52 ) Total impact of restructuring/asset impairment charges, net of tax $ 35,202 $ 27,903 $ 17,008 |
2016 Actions | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | Below is a summary of 2016 Actions and related expenses by type incurred and estimated to be incurred through completion. 2016 Actions Year Ended December 31, 2016 Estimated Total Cost Severance and Termination Benefits Consumer Packaging $ 2,407 $ 3,057 Display and Packaging 4,304 4,354 Paper and Industrial Converted Products 5,887 5,887 Protective Solutions 678 678 Corporate 1,550 1,550 Asset Impairment/Disposal of Assets Consumer Packaging (306 ) (306 ) Display and Packaging 2,712 2,712 Paper and Industrial Converted Products 13,300 13,300 Other Costs Consumer Packaging 731 831 Display and Packaging 286 536 Paper and Industrial Converted Products 1,298 1,548 Protective Solutions 150 150 Total Charges and Adjustments $ 32,997 $ 34,297 |
Schedule of Restructuring Reserve by Type of Cost | The following table sets forth the activity in the 2016 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2016 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2015 $ — $ — $ — $ — 2016 charges 14,826 15,706 2,465 32,997 Cash payments (11,244 ) (7,322 ) (1,819 ) (20,385 ) Asset write downs/disposals — (8,384 ) — (8,384 ) Foreign currency translation (24 ) — (6 ) (30 ) Liability, December 31, 2016 $ 3,558 $ — $ 640 $ 4,198 |
2015 Actions | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | Below is a summary of 2015 Actions and related expenses by type incurred and estimated to be incurred through completion. Year Ended December 31, Total Incurred to Date Estimated Total Cost 2015 Actions 2016 2015 Severance and Termination Benefits Consumer Packaging $ 3,147 $ 15,047 $ 18,194 $ 18,294 Display and Packaging 97 1,115 1,212 1,212 Paper and Industrial Converted Products (18 ) 8,479 8,461 8,461 Protective Solutions — 39 39 39 Corporate (19 ) 2,775 2,756 2,756 Asset Impairment/Disposal of Assets Consumer Packaging 1,658 (4,303 ) (2,645 ) (2,645 ) Display and Packaging 335 474 809 809 Paper and Industrial Converted Products 587 10,198 10,785 10,785 Other Costs Consumer Packaging 949 1,400 2,349 2,749 Display and Packaging 206 351 557 557 Paper and Industrial Converted Products 297 251 548 698 Corporate — 11 11 11 Total Charges and Adjustments $ 7,239 $ 35,837 $ 43,076 $ 43,726 |
Schedule of Restructuring Reserve by Type of Cost | The following table sets forth the activity in the 2015 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2015 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2014 $ — $ — $ — $ — 2015 charges 27,455 6,369 2,013 35,837 Cash receipts/(payments) (11,856 ) 29,145 (2,013 ) 15,276 Asset write downs/disposals — (35,514 ) — (35,514 ) Foreign currency translation (223 ) — — (223 ) Liability, December 31, 2015 $ 15,376 $ — $ — $ 15,376 2016 charges 5,083 3,182 4,673 12,938 Adjustments (1,876 ) (602 ) (3,221 ) (5,699 ) Cash (payments)/receipts (14,982 ) 602 (1,457 ) (15,837 ) Asset write downs/disposals — (3,182 ) — (3,182 ) Foreign currency translation (205 ) — 5 (200 ) Liability, December 31, 2016 $ 3,396 $ — $ — $ 3,396 |
2014 and Earlier Actions | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | 2014 and Earlier Actions are comprised of a number of plant closures and workforce reductions initiated prior to 2015. Below is a summary of 2014 and Earlier Actions and related expenses by type incurred. Year Ended December 31, 2014 and Earlier Actions 2016 2015 2014 Severance and Termination Benefits Consumer Packaging $ — $ 836 $ 966 Display and Packaging — (121 ) 1,139 Paper and Industrial Converted Products 12 250 4,077 Protective Solutions — (14 ) 539 Corporate — — (27 ) Asset Impairment/Disposal of Assets Consumer Packaging — — 2,446 Display and Packaging — — 972 Paper and Industrial Converted Products (397 ) (101 ) (931 ) Protective Solutions 3 133 185 Other Costs Consumer Packaging — 90 5,302 Display and Packaging — 21 113 Paper and Industrial Converted Products 225 1,109 2,853 Protective Solutions 187 532 454 Total Charges and Adjustments $ 30 $ 2,735 $ 18,088 |
Schedule of Restructuring Reserve by Type of Cost | The following table sets forth the activity in the 2014 and Earlier Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2014 and Earlier Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2014 $ 1,849 $ — $ 1,463 $ 3,312 2015 charges 1,256 373 1,935 3,564 Adjustments (305 ) (341 ) (183 ) (829 ) Cash receipts/(payments) (2,400 ) 341 (2,731 ) (4,790 ) Asset write downs/disposals — (373 ) — (373 ) Foreign currency translation (46 ) — (14 ) (60 ) Liability, December 31, 2015 $ 354 $ — $ 470 $ 824 2016 charges 12 3 412 427 Adjustments — (397 ) — (397 ) Cash receipts/(payments) (142 ) 1,552 (882 ) 528 Asset write downs/disposals — (1,158 ) — (1,158 ) Foreign currency translation (12 ) — — (12 ) Liability, December 31, 2016 $ 212 $ — $ — $ 212 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property, Plant and Equipment | Details of the Company's property, plant and equipment at December 31 are as follows: 2016 2015 Land $ 84,404 $ 84,811 Timber resources 41,441 41,152 Buildings 478,924 479,845 Machinery and equipment 2,637,753 2,796,257 Construction in progress 113,118 116,081 3,355,640 3,518,146 Accumulated depreciation and depletion (2,295,623 ) (2,406,110 ) Property, plant and equipment, net $ 1,060,017 $ 1,112,036 |
Goodwill and Other Intangible32
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in Goodwill | The changes in the carrying amount of goodwill by segment for the year ended December 31, 2016 , are as follows: Consumer Packaging Display and Packaging Paper and Industrial Converted Products Protective Solutions Total Balance as of January 1, 2016 $ 487,342 $ 204,629 $ 227,325 $ 221,165 $ 1,140,461 Acquisitions 25,912 — 417 10,508 36,837 Dispositions (76,435 ) (1,215 ) — — (77,650 ) Impairment loss — — (2,617 ) — (2,617 ) Other (71 ) — — — (71 ) Foreign currency translation (1,158 ) — (3,142 ) (445 ) (4,745 ) Balance as of December 31, 2016 $ 435,590 $ 203,414 $ 221,983 $ 231,228 $ 1,092,215 |
Summary of Other Intangible Assets | Details at December 31 are as follows: 2016 2015 Other Intangible Assets, Gross: Patents $ 13,164 $ 12,716 Customer lists 362,162 381,938 Trade names 19,902 19,246 Proprietary technology 20,721 17,738 Land use rights 288 297 Other 1,701 1,223 Other Intangible Assets, Gross $ 417,938 $ 433,158 Accumulated Amortization: Patents $ (5,647 ) $ (3,784 ) Customer lists (172,292 ) (171,590 ) Trade names (2,733 ) (2,171 ) Proprietary technology (11,236 ) (9,518 ) Land use rights (41 ) (40 ) Other (1,031 ) (960 ) Accumulated Amortization $ (192,980 ) $ (188,063 ) Other Intangible Assets, Net $ 224,958 $ 245,095 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt Instruments | Debt at December 31 was as follows: 2016 2015 5.75% debentures due November 2040 $ 599,136 $ 599,100 4.375% debentures due November 2021 248,490 248,178 9.2% debentures due August 2021 4,309 4,309 5.625% debentures due June 2016 — 75,214 1.00% foreign loan due May 2021 154,936 — Term loan, due October 2017 — 149,705 Commercial paper, average rate of 0.63% in 2016 and 0.39% in 2015 — — Other foreign denominated debt, average rate of 3.8% in 2016 and 4.3% in 2015 33,254 39,070 Other notes 12,618 12,791 Total debt 1,052,743 1,128,367 Less current portion and short-term notes 32,045 113,097 Long-term debt $ 1,020,698 $ 1,015,270 |
Financial Instruments and Der34
Financial Instruments and Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Carrying Amounts and Fair Values of Financial Instruments | The following table sets forth the carrying amounts and fair values of the Company’s significant financial instruments where the carrying amount differs from the fair value. December 31, 2016 December 31, 2015 Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt $ 1,020,698 $ 1,116,336 $ 1,015,270 $ 1,075,146 |
Net Positions of Foreign Contracts | The net positions of these contracts at December 31, 2016 , were as follows: Currency Action Quantity Colombian peso Purchase 2,059,287 Mexican peso Purchase 585,283 Canadian dollar Purchase 57,290 Turkish lira Purchase 12,650 Russian ruble Purchase 10,924 British pound Purchase 2,945 New Zealand dollar Sell (932 ) Australian dollar Sell (2,259 ) Polish zloty Sell (2,812 ) Euro Sell (7,987 ) |
Net Positions of Other Derivatives Contract | The net positions of these contracts at December 31, 2016 , were as follows: Currency Action Quantity Mexican peso Purchase 244,600 Canadian dollar Purchase 14,089 Colombian peso Sell (28,300,164 ) |
Location and Fair Values of Derivative Instruments | The following table sets forth the location and fair values of the Company’s derivative instruments: Fair Value at December 31 Description Balance Sheet Location 2016 2015 Derivatives designated as hedging instruments: Commodity Contracts Prepaid expenses $ 3,240 $ — Commodity Contracts Other assets $ 527 $ 8 Commodity Contracts Accrued expenses and other $ (89 ) $ (3,425 ) Commodity Contracts Other liabilities $ (42 ) $ (194 ) Foreign Exchange Contracts Prepaid expenses $ 761 $ 156 Foreign Exchange Contracts Accrued expenses and other $ (946 ) $ (4,768 ) Derivatives not designated as hedging instruments: Foreign Exchange Contracts Prepaid expenses $ 194 $ 50 Foreign Exchange Contracts Accrued expenses and other $ (890 ) $ (2,230 ) |
Effect of Derivative Instruments on Financial Performance | The following table sets forth the effect of the Company’s derivative instruments on financial performance for the twelve months ended December 31, 2016 , excluding the gains on foreign currency cash flow hedges that were reclassified from accumulated other comprehensive loss to the carrying value of the capitalized expenditures: Description Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) Location of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Location of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Derivatives in Cash Flow Hedging Relationships: Foreign Exchange Contracts $ (420 ) Net sales $ (8,769 ) Net sales $ — Cost of sales $ 3,981 Cost of sales $ — Commodity Contracts $ 3,032 Cost of sales $ (3,583 ) Cost of sales $ (444 ) Location of Gain or (Loss) Recognized in Income Statement Gain or (Loss) Recognized Derivatives not designated as hedging instruments: Foreign Exchange Contracts Cost of sales $ — Selling, general and administrative $ (2,118 ) The following table sets forth the effect of the Company’s derivative instruments on financial performance for the twelve months ended December 31, 2015 , excluding the gains on foreign currency cash flow hedges that were reclassified from accumulated other comprehensive loss to the carrying value of the capitalized expenditures: Description Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) Location of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) Location of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) Derivatives in Cash Flow Hedging Relationships: Foreign Exchange Contracts $ (10,908 ) Net sales $ (21,454 ) Net sales $ — Cost of sales $ 12,154 Cost of sales $ — Commodity Contracts $ (7,258 ) Cost of sales $ (9,920 ) Cost of sales $ 213 Location of Gain or (Loss) Recognized in Income Statement Gain or (Loss) Recognized Derivatives not designated as hedging instruments: Foreign Exchange Contracts Cost of sales $ — Selling, general and administrative $ (6,638 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured on Recurring Basis | The following tables set forth information regarding the Company’s financial assets and financial liabilities that are measured at fair value on a recurring basis: Description December 31, 2016 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ 3,636 $ — $ — $ 3,636 $ — Foreign exchange contracts (185 ) — — (185 ) — Non-hedge derivatives, net: Foreign exchange contracts $ (696 ) $ — $ — $ (696 ) $ — Deferred compensation plan assets $ 349 $ — $ 349 $ — $ — Postretirement benefit plan assets: Common Collective Trust (a) $ 874,996 $ 874,996 $ — $ — $ — Mutual funds(b) 213,244 — 213,244 — Fixed income securities(c) 118,224 — — 118,224 — Short-term investments(d) 7,686 6,090 513 1,083 — Hedge fund of funds(e) 72,003 72,003 — — — Real estate funds(f) 62,694 62,694 — — — Cash and accrued income 390 — 390 — — Total postretirement benefit plan assets $ 1,349,237 $ 1,015,783 $ 903 $ 332,551 $ — Description December 31, 2015 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ (3,611 ) $ — $ — $ (3,611 ) $ — Foreign exchange contracts (4,612 ) — — (4,612 ) — Non-hedge derivatives, net: Foreign exchange contracts $ (2,180 ) $ — $ — $ (2,180 ) $ — Deferred compensation plan assets $ 460 $ — $ 460 $ — $ — Postretirement benefit plan assets: 0 Common Collective Trust (a) $ 852,680 $ 852,680 $ — $ — $ — Mutual funds(b) 213,646 — — 213,646 — Fixed income securities(c) 110,439 — — 110,439 — Short-term investments(d) 3,304 1,482 524 1,298 — Hedge fund of funds(e) 81,746 81,746 — — — Real estate funds(f) 57,850 57,850 — — — Cash and accrued income 771 — 771 — — Total postretirement benefit plan assets $ 1,320,436 $ 993,758 $ 1,295 $ 325,383 $ — (a) Common collective trust investments consist of domestic and international large and mid capitalization equities, including emerging markets and funds invested in both short-term and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers. (b) Mutual fund investments are comprised of equity securities of corporations with large capitalizations and also include funds invested in corporate equities in international and emerging markets and funds invested in long-term bonds, which are valued at closing prices from national exchanges. (c) Fixed income securities include funds that invest primarily in government securities and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges, fixed income pricing models, and independent financial analysts. Fixed income commingled funds are valued at unit values provided by the investment managers. (d) Short-term investments include several money market funds used for managing overall liquidity. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds are valued at unit values provided by the investment managers. (e) The hedge fund of funds category includes investments in funds representing a variety of strategies intended to diversify risks and reduce volatility. It includes event-driven credit and equity investments targeted at economic policy decisions, long and short positions in U.S. and international equities, arbitrage investments and emerging market equity investments. Investments are valued at unit values or net asset values provided by the investment managers. (f) This category includes investments in real estate funds (including office, industrial, residential and retail) primarily throughout the United States. Underlying real estate securities are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers. (g) Certain assets that are measured at fair value using the net asset value (NAV) per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. |
Share-based Compensation Plans
Share-based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Estimated Fair Values of all SARs Applying Assumptions | The Company computed the estimated fair values of all SARs using the Black-Scholes option-pricing model applying the assumptions set forth in the following table: 2016 2015 2014 Expected dividend yield 3.5 % 2.8 % 3.0 % Expected stock price volatility 18.5 % 18.2 % 18.4 % Risk-free interest rate 1.3 % 1.7 % 1.2 % Expected life of SARs 6 years 6 years 4 years |
Company's Stock Options and SARs | The activity related to the Company’s SARs is as follows: Nonvested Vested Total Weighted- average Exercise Price Outstanding, December 31, 2015 593,443 1,413,069 2,006,512 $ 40.35 Vested (197,371 ) 197,371 — Granted 820,266 — 820,266 $ 40.41 Exercised — (837,573 ) (837,573 ) $ 38.57 Forfeited/Expired (69,589 ) (3,970 ) (73,559 ) $ 44.17 Outstanding, December 31, 2016 1,146,749 768,897 1,915,646 $ 41.06 Exercisable, December 31, 2016 — 768,897 768,897 $ 40.53 |
Share-based Compensation, Performance Shares Award Unvested Activity | The activity related to performance contingent restricted stock units is as follows: Nonvested Vested Total Average Grant Date Fair Value per Share Outstanding, December 31, 2015 350,510 524,985 875,495 $32.12 Granted 188,181 — 188,181 $36.33 Performance adjustments 207,583 — 207,583 $40.77 Vested (251,694 ) 251,694 — Converted — (201,246 ) (201,246 ) $28.38 Cancelled (8,535 ) (33,798 ) (42,333 ) $30.26 Dividend equivalents — 9,385 9,385 $48.20 Outstanding, December 31, 2016 486,045 551,020 1,037,065 $35.56 |
Activity Related to PCSUs and Restricted Stock Units | The activity related to restricted stock units is as follows: Nonvested Vested Total Average Grant Date Fair Value Per Share Outstanding, December 31, 2015 157,766 158,169 315,935 $ 34.90 Granted 96,356 — 96,356 $ 38.40 Vested (36,173 ) 36,173 — Converted — (20,732 ) (20,732 ) $ 36.19 Cancelled (8,197 ) — (8,197 ) $ 42.15 Dividend equivalents 594 4,900 5,494 $ 56.54 Outstanding, December 31, 2016 210,346 178,510 388,856 $ 35.85 |
Schedule of Other Share-based Compensation, Activity | The activity related to deferred compensation for equity award units granted to both employees and non-employee directors combined is as follows: Total Outstanding, December 31, 2015 285,098 Deferred 46,780 Converted (14,567 ) Dividend equivalents 5,967 Outstanding, December 31, 2016 323,278 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Components of Net Periodic Benefit Cost | The components of net periodic benefit cost include the following: 2016 2015 2014 Retirement Plans Service cost $ 19,508 $ 23,366 $ 21,826 Interest cost 59,719 70,797 73,505 Expected return on plan assets (85,466 ) (94,307 ) (93,198 ) Amortization of net transition obligation — 65 405 Amortization of prior service cost 809 745 697 Amortization of net actuarial loss 39,009 42,584 26,523 Other — 49 77 Net periodic benefit cost $ 33,579 $ 43,299 $ 29,835 Retiree Health and Life Insurance Plans Service cost $ 309 $ 711 $ 726 Interest cost 482 766 1,034 Expected return on plan assets (1,579 ) (1,661 ) (1,599 ) Amortization of prior service credit (498 ) (104 ) (1,381 ) Amortization of net actuarial gain (667 ) (673 ) (259 ) Net periodic benefit income $ (1,953 ) $ (961 ) $ (1,479 ) |
Plans' Obligations and Assets | The following tables set forth the Plans’ obligations and assets at December 31 : Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Change in Benefit Obligation Benefit obligation at January 1 $ 1,733,596 $ 1,857,106 $ 19,053 $ 27,451 Service cost 19,508 23,366 309 711 Interest cost 59,719 70,797 482 766 Plan participant contributions 439 452 888 1,046 Plan amendments 812 519 — (2,273 ) Actuarial loss/(gain) 93,772 (106,211 ) (1,223 ) (6,004 ) Benefits paid (89,455 ) (87,626 ) (1,956 ) (2,556 ) Impact of foreign exchange rates (40,856 ) (25,822 ) 15 (88 ) Other (111 ) 1,015 — — Benefit obligation at December 31 $ 1,777,424 $ 1,733,596 $ 17,568 $ 19,053 |
Fair Value of Plan Assets | Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Change in Plan Assets Fair value of plan assets at January 1 $ 1,298,186 $ 1,407,461 $ 22,250 $ 23,064 Actual return on plan assets 130,717 (13,886 ) 1,872 (107 ) Company contributions 32,504 22,233 860 911 Plan participant contributions 439 452 888 1,046 Benefits paid (89,455 ) (87,626 ) (1,956 ) (2,556 ) Impact of foreign exchange rates (39,147 ) (24,271 ) — — Expenses paid (7,855 ) (6,177 ) (66 ) (108 ) Fair value of plan assets at December 31 $ 1,325,389 $ 1,298,186 $ 23,848 $ 22,250 Funded Status of the Plans $ (452,035 ) $ (435,410 ) $ 6,280 $ 3,197 |
Recognized Amounts in Consolidated Balance Sheets | Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Total Recognized Amounts in the Consolidated Balance Sheets Noncurrent assets $ 3,863 $ 4,635 $ 7,506 $ 4,057 Current liabilities (9,409 ) (8,678 ) (802 ) (860 ) Noncurrent liabilities (446,489 ) (431,367 ) (424 ) — Net (liability)/asset $ (452,035 ) $ (435,410 ) $ 6,280 $ 3,197 |
Component of Net Periodic Pension Cost that are Included in Accumulated Other Comprehensive Loss (Income) | Items not yet recognized as a component of net periodic pension cost that are included in Accumulated Other Comprehensive Loss (Income) as of December 31, 2016 and 2015 , are as follows: Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2016 2015 Net actuarial loss/(gain) $ 708,533 $ 691,482 $ (7,056 ) $ (6,274 ) Prior service cost/(credit) 4,051 3,791 (1,774 ) (2,272 ) $ 712,584 $ 695,273 $ (8,830 ) $ (8,546 ) |
Amounts Recognized in Other Comprehensive Loss/(Income) | The amounts recognized in Other Comprehensive Loss/(Income) during December 31, 2016 and 2015 include the following: Retirement Plans Retiree Health and Life Insurance Plans 2016 2015 2014 2016 2015 2014 Adjustments arising during the period: Net actuarial loss/(gain) $ 56,060 $ 8,352 $ 233,962 $ (1,449 ) $ (4,129 ) $ 101 Prior service cost/(credit) 1,069 513 729 — (2,273 ) (46 ) Net settlements/curtailments — — — — — — Reversal of amortization: Net actuarial (loss)/gain (39,009 ) (42,584 ) (26,523 ) 667 673 259 Prior service (cost)/credit (809 ) (745 ) (697 ) 498 104 1,381 Net transition obligation — (65 ) (405 ) — — — Total recognized in other comprehensive loss/(income) $ 17,311 $ (34,529 ) $ 207,066 $ (284 ) $ (5,625 ) $ 1,695 Total recognized in net periodic benefit cost and other comprehensive loss/(income) $ 50,890 $ 8,770 $ 236,901 $ (2,237 ) $ (6,586 ) $ 216 |
Accumulated Other Comprehensive Loss/(Income) Expects to Recognize as Components of Net Periodic Benefit Cost | Of the amounts included in Accumulated Other Comprehensive Loss/(Income) as of December 31, 2016 , the portions the Company expects to recognize as components of net periodic benefit cost in 2017 are as follows: Retirement Plans Retiree Health and Life Insurance Plans Net actuarial loss/(gain) $ 40,064 $ (611 ) Prior service cost/(credit) 846 (498 ) Net transition obligation — — $ 40,910 $ (1,109 ) |
Company's Projected Benefit Payments | The following table sets forth the Company’s projected benefit payments for the next ten years: Year Retirement Plans Retiree Health and Life Insurance Plans 2017 $ 89,743 $ 1,920 2018 $ 91,769 $ 1,881 2019 $ 93,782 $ 1,853 2020 $ 96,630 $ 1,542 2021 $ 97,838 $ 1,478 2022-2026 $ 520,839 $ 6,201 |
Major Actuarial Assumptions Used in Determining PBO, ABO and Net Periodic Cost | The following tables set forth the major actuarial assumptions used in determining the PBO, ABO and net periodic cost: Weighted-average assumptions used to determine benefit obligations at December 31 U.S. Retirement Plans U.S. Retiree Health and Life Insurance Plans Foreign Plans Discount Rate 2016 4.12 % 3.70 % 2.95 % 2015 4.36 % 3.78 % 3.71 % Rate of Compensation Increase 2016 3.60 % 3.32 % 3.65 % 2015 3.69 % 3.36 % 3.52 % Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31 U.S. Retirement Plans U.S. Retiree Health and Life Insurance Plans Foreign Plans Discount Rate 2016 4.36 % 3.78 % 3.71 % 2015 4.00 % 3.52 % 3.49 % 2014 4.78 % 4.03 % 4.51 % Expected Long-term Rate of Return 2016 7.47 % 7.31 % 4.75 % 2015 7.67 % 7.39 % 4.92 % 2014 7.66 % 7.39 % 5.57 % Rate of Compensation Increase 2016 3.69 % 3.36 % 3.52 % 2015 3.99 % 3.42 % 3.51 % 2014 3.99 % 3.44 % 3.80 % |
Health Care Cost Trend Rates Related to U.S. Plan | The U.S. Retiree Health and Life Insurance Plan makes up approximately 97% of the Retiree Health liability. Therefore, the following information relates to the U.S. plan only. Healthcare Cost Trend Rate Pre-age 65 Post-age 65 2016 7.00 % 7.00 % 2015 7.00 % 6.00 % Ultimate Trend Rate Pre-age 65 Post-age 65 2016 4.80 % 4.80 % 2015 4.90 % 4.90 % Year at which the Rate Reaches the Ultimate Trend Rate Pre-age 65 Post-age 65 2016 2059 2059 2015 2039 2041 |
Retirement Plans | |
Weighted-Average Asset Allocations | The following table sets forth the weighted-average asset allocations of the Company’s retirement plans at December 31, 2016 and 2015 , by asset category. Asset Category U.S. U.K. Canada Equity securities 2016 51.4 % 46.6 % 64.9 % 2015 49.0 % 49.0 % 62.9 % Debt securities 2016 34.7 % 52.8 % 35.0 % 2015 36.8 % 50.2 % 36.8 % Alternative 2016 13.9 % — % — % 2015 14.2 % — % — % Cash and short-term investments 2016 — % 0.6 % 0.1 % 2015 — % 0.8 % 0.3 % Total 2016 100.0 % 100.0 % 100.0 % 2015 100.0 % 100.0 % 100.0 % |
Retiree Health and Life Insurance Plans | |
Weighted-Average Asset Allocations | The following table sets forth the weighted-average asset allocations by asset category of the Company’s retiree health and life insurance plan. Asset Category December 31, 2016 December 31, 2015 Equity securities 61.9% 59.8% Debt securities 31.2% 33.0% Alternative 6.8% 7.1% Cash 0.1% 0.1% Total 100.0% 100.0% |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Provision for Taxes on Income | The provision for taxes on income for the years ended December 31 consists of the following: 2016 2015 2014 Pretax income Domestic $ 318,702 $ 255,897 $ 224,683 Foreign 122,575 72,049 101,024 Total pretax income $ 441,277 $ 327,946 $ 325,707 Current Federal $ 110,567 $ 55,678 $ 40,600 State 10,808 6,000 6,889 Foreign 40,788 31,610 29,630 Total current $ 162,163 $ 93,288 $ 77,119 Deferred Federal $ (861 ) $ 11,002 $ 29,078 State (869 ) (2,359 ) 5,067 Foreign 4,198 (14,193 ) (2,506 ) Total deferred $ 2,468 $ (5,550 ) $ 31,639 Total taxes $ 164,631 $ 87,738 $ 108,758 |
Deferred Tax Liabilities/(Assets) | Deferred tax liabilities/(assets) are comprised of the following at December 31 : 2016 2015 Property, plant and equipment $ 115,946 $ 118,216 Intangibles 219,584 232,420 Gross deferred tax liabilities $ 335,530 $ 350,636 Retiree health benefits $ (971 ) $ (2,078 ) Foreign loss carryforwards (61,381 ) (65,123 ) U.S. Federal loss carryforwards (10,105 ) (1,214 ) Capital loss carryforwards (20 ) (69 ) Employee benefits (202,085 ) (192,798 ) Accrued liabilities and other (93,142 ) (118,511 ) Gross deferred tax assets $ (367,704 ) $ (379,793 ) Valuation allowance on deferred tax assets $ 49,797 $ 49,464 Total deferred taxes, net $ 17,623 $ 20,307 |
Reconciliation of U.S. Federal Statutory Tax Rate to Actual Consolidated Tax Expense | A reconciliation of the U.S. federal statutory tax rate to the actual consolidated tax expense is as follows: 2016 2015 2014 Statutory tax rate $ 154,447 35.0 % $ 114,781 35.0 % $ 113,998 35.0 % State income taxes, net of federal tax benefit 7,477 1.7 4,872 1.5 % 8,465 2.6 % Valuation allowance 639 0.1 (8,080 ) (2.5 )% (2,264 ) (0.7 )% Tax examinations including change in reserve for uncertain tax positions 732 0.2 (3,245 ) (1.0 )% (2,109 ) (0.6 )% Adjustments to prior year deferred taxes (2,401 ) (0.5 ) 1,596 0.5 % (518 ) (0.2 )% Foreign earnings taxed at other than U.S. rates (15,930 ) (3.6 ) (9,065 ) (2.8 )% (8,891 ) (2.7 )% Disposition of business 22,810 5.2 (11,996 ) (3.6 )% — — % Effect of tax rate changes enacted during the year 2,517 0.6 (2,235 ) (0.7 )% 81 — % Deduction related to qualified production activities (5,215 ) (1.2 ) (5,968 ) (1.8 )% (4,003 ) (1.2 )% Other, net (445 ) (0.1 ) 7,078 2.2 % 3,999 1.2 % Total taxes $ 164,631 37.3 % $ 87,738 26.8 % $ 108,758 33.4 % |
Reconciliation of Gross Amounts of Unrecognized Tax Benefits | The following table sets forth the reconciliation of the gross amounts of unrecognized tax benefits at the beginning and ending of the periods indicated: 2016 2015 2014 Gross Unrecognized Tax Benefits at January 1 $ 17,200 $ 26,000 $ 28,800 Increases in prior years’ unrecognized tax benefits 1,400 1,500 6,800 Decreases in prior years’ unrecognized tax benefits (3,500 ) (2,100 ) (5,500 ) Increases in current year's unrecognized tax benefits 3,000 1,700 4,600 Decreases in unrecognized tax benefits from the lapse of statutes of limitations (100 ) (9,200 ) (5,900 ) Settlements (300 ) (700 ) (2,800 ) Gross Unrecognized Tax Benefits at December 31 $ 17,700 $ 17,200 $ 26,000 |
Shareholders' Equity and Earn39
Shareholders' Equity and Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share data): 2016 2015 2014 Numerator: Net income attributable to Sonoco $ 286,434 $ 250,136 $ 225,916 Denominator: Weighted average common shares outstanding 101,093 101,482 102,215 Dilutive effect of stock-based compensation 689 910 957 Diluted outstanding shares 101,782 102,392 103,172 Per common share: Net income attributable to Sonoco: Basic $ 2.83 $ 2.46 $ 2.21 Diluted $ 2.81 $ 2.44 $ 2.19 |
Shares Not Included in Computations of Diluted Income Per Share | The average number of shares that were not dilutive and therefore not included in the computation of diluted income per share was as follows for the years ended December 31, 2016 , 2015 and 2014 (in thousands): 2016 2015 2014 Anti-dilutive stock appreciation rights 357 902 720 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Financial Segment Information | The following table sets forth financial information about each of the Company's business segments: Years ended December 31 Consumer Packaging Display and Packaging Paper and Protective Solutions Corporate Consolidated Total Revenue 2016 $ 2,048,621 $ 522,955 $ 1,793,512 $ 527,450 $ — $ 4,892,538 2015 2,126,916 608,064 1,835,896 508,182 — 5,079,058 2014 1,966,989 668,407 2,010,160 487,171 — 5,132,727 Intersegment Sales 1 2016 $ 5,509 $ 2,542 $ 100,059 $ 1,551 $ — $ 109,661 2015 4,357 1,953 106,110 2,269 — 114,689 2014 4,092 1,592 107,712 2,337 — 115,733 Sales to Unaffiliated Customers 2016 $ 2,043,112 $ 520,413 $ 1,693,453 $ 525,899 $ — $ 4,782,877 2015 2,122,559 606,111 1,729,786 505,913 — 4,964,369 2014 1,962,897 666,815 1,902,448 484,834 — 5,016,994 Income Before Income Taxes 2 2016 $ 240,925 $ 14,797 $ 129,678 $ 51,526 $ 4,351 $ 441,277 2015 231,590 10,904 124,057 46,013 (84,618 ) 327,946 2014 200,591 10,680 162,269 34,003 (81,836 ) 325,707 Identifiable Assets 3 2016 $ 1,447,886 $ 446,906 $ 1,164,365 $ 573,949 $ 290,097 $ 3,923,203 2015 1,507,621 491,268 1,199,280 561,592 253,924 4,013,685 2014 1,579,950 495,604 1,299,356 564,468 247,328 4,186,706 Depreciation, Depletion and Amortization 4 2016 $ 88,875 $ 16,716 $ 74,742 $ 24,849 $ — $ 205,182 2015 96,220 16,623 76,744 23,574 — 213,161 2014 75,782 17,034 83,076 22,826 — 198,718 Capital Expenditures 2016 $ 86,369 $ 11,542 $ 60,601 $ 12,860 $ 15,369 $ 186,741 2015 75,986 10,906 74,008 15,724 15,671 192,295 2014 63,117 9,432 73,636 22,238 8,653 177,076 1 Intersegment sales are recorded at a market-related transfer price. 2 Included in Corporate are restructuring, asset impairment charges, acquisition-related charges, gains from the sale of a business, environmental settlement gains, property insurance settlement gains, and other non-operational income and expenses associated with the following segments: |
Restructuring Asset Impairment and Acquisition Related Costs | Consumer Packaging Display Paper and Industrial Converted Products Protective Solutions Corporate Total 2016 $ (80,500 ) $ 7,883 $ 27,567 $ 1,018 $ (11,876 ) $ (55,908 ) 2015 15,097 1,812 (490 ) (1,469 ) 15,070 30,020 2014 12,536 4,042 4,340 1,527 7,000 29,445 The remaining amounts reported as Corporate consist of interest expense and interest income. 3 Identifiable assets are those assets used by each segment in its operations. Corporate assets consist primarily of cash and cash equivalents, investments in affiliates, headquarters facilities, deferred income taxes and prepaid expenses. 4 Depreciation, depletion and amortization incurred at Corporate are allocated to the reportable segments. |
Sales to Unaffiliated Customers and Long-Lived Assets by Geographic Region | Sales to unaffiliated customers and long-lived assets by geographic region are as follows: 2016 2015 2014 Sales to Unaffiliated Customers United States $ 3,112,016 $ 3,206,513 $ 3,285,017 Europe 951,783 971,302 841,452 Canada 268,556 262,038 292,163 All other 450,522 524,516 598,362 Total $ 4,782,877 $ 4,964,369 $ 5,016,994 Long-lived Assets United States $ 1,671,168 $ 1,719,746 $ 1,738,648 Europe 599,698 627,126 680,791 Canada 111,452 157,208 184,879 All other 101,828 104,563 117,249 Total $ 2,484,146 $ 2,608,643 $ 2,721,567 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income Loss and Changes in Accumulated Other Comprehensive Loss, Net of Tax | The following table summarizes the components of accumulated other comprehensive loss and the changes in accumulated other comprehensive loss, net of tax as applicable, for the years ended December 31, 2016 and 2015 : Foreign Currency Items Defined Benefit Pension Items Gains and Losses on Cash Flow Hedges Accumulated Other Comprehensive Loss Balance at December 31, 2014 $ (127,603 ) $ (475,286 ) $ (5,962 ) $ (608,851 ) Other comprehensive income/(loss) before reclassifications (125,534 ) 3,979 (11,726 ) (133,281 ) Amounts reclassified from accumulated other comprehensive loss to net income — 27,063 12,008 39,071 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 528 528 Other comprehensive income/(loss) (125,534 ) 31,042 810 (93,682 ) Balance at December 31, 2015 $ (253,137 ) $ (444,244 ) $ (5,152 ) $ (702,533 ) Other comprehensive income/(loss) before reclassifications (33,361 ) (35,841 ) 1,673 (67,529 ) Amounts reclassified from accumulated other comprehensive loss to net income — 26,264 5,359 31,623 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 59 59 Other comprehensive income/(loss) (33,361 ) (9,577 ) 7,091 (35,847 ) Balance at December 31, 2016 $ (286,498 ) $ (453,821 ) $ 1,939 $ (738,380 ) |
Reclassification out of Accumulated Other Comprehensive Income | The following table summarizes the amounts reclassified from accumulated other comprehensive loss and the affected line items in the consolidated statements of net income for the years ended December 31, 2016 and 2015 : Amount Reclassified from Accumulated Other Comprehensive Loss Details about Accumulated Other Comprehensive Loss Components Twelve Months Ended Twelve Months Ended Affected Line Item in the Consolidated Statements of Net Income Gains and losses on cash flow hedges Foreign exchange contracts $ (8,769 ) $ (21,454 ) Net Sales Foreign exchange contracts 3,981 12,154 Cost of sales Commodity contracts (3,583 ) (9,920 ) Cost of sales (8,371 ) (19,220 ) Total before tax 3,012 7,212 Tax benefit $ (5,359 ) $ (12,008 ) Net of tax Defined benefit pension items Amortization of defined benefit pension items $ (28,990 ) $ (31,963 ) Cost of sales Amortization of defined benefit pension items (9,663 ) (10,654 ) Selling, general, and administrative (38,653 ) (42,617 ) Total before tax 12,389 15,554 Tax benefit (26,264 ) (27,063 ) Net of tax Total reclassifications for the period $ (31,623 ) $ (39,071 ) Net of tax |
Schedule of Other Comprehensive Loss Components | The following table summarizes the tax (expense) benefit amounts for the other comprehensive loss components for the years ended December 31, 2016 and 2015 : For the year ended December 31, 2016 For the year ended December 31, 2015 Before Tax Amount Tax (Expense) Benefit After Tax Amount Before Tax Amount Tax (Expense) Benefit After Tax Amount Foreign currency items $ (33,361 ) $ — $ (33,361 ) $ (125,534 ) $ — $ (125,534 ) Defined benefit pension items: Other comprehensive income/(loss) before reclassifications (56,383 ) 20,542 (35,841 ) (2,523 ) 6,502 3,979 Amounts reclassified from accumulated other comprehensive income/(loss) to net income 38,653 (12,389 ) 26,264 42,617 (15,554 ) 27,063 Net other comprehensive income/(loss) from defined benefit pension items (17,730 ) 8,153 (9,577 ) 40,094 (9,052 ) 31,042 Gains and losses on cash flow hedges: Other comprehensive income/(loss) before reclassifications 2,613 (940 ) 1,673 (18,167 ) 6,441 (11,726 ) Amounts reclassified from accumulated other comprehensive income/(loss) to net income 8,371 (3,012 ) 5,359 19,220 (7,212 ) 12,008 Amounts reclassified from accumulated other comprehensive income/(loss) to fixed assets 59 — 59 528 — 528 Net other comprehensive income/(loss) from cash flow hedges 11,043 (3,952 ) 7,091 1,581 (771 ) 810 Other comprehensive income/(loss) $ (40,048 ) $ 4,201 $ (35,847 ) $ (83,859 ) $ (9,823 ) $ (93,682 ) |
Selected Quarterly Financial 42
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Selected Quarterly Financial Information [Abstract] | |
Selected Quarterly Financial Data | The following table sets forth selected quarterly financial data of the Company: (unaudited) First Quarter Second Quarter Third Quarter Fourth Quarter* 2016 Net sales $ 1,226,276 $ 1,205,680 $ 1,208,724 $ 1,142,197 Gross profit 245,253 242,013 235,373 214,787 Restructuring/Asset impairment charges 9,228 23,278 8,947 1,430 Net income attributable to Sonoco 59,914 56,252 65,395 104,873 Per common share: Net income attributable to Sonoco: - basic $ 0.59 $ 0.56 $ 0.65 $ 1.04 - diluted 0.59 0.55 0.64 1.04 Cash dividends - common 0.35 0.37 0.37 0.37 Market price - high 49.08 50.13 53.57 55.47 - low 36.56 45.02 49.10 49.50 2015 Net sales $ 1,206,052 $ 1,248,590 $ 1,242,592 $ 1,267,135 Gross profit 220,390 240,316 229,373 239,343 Restructuring/Asset impairment charges (359 ) 10,445 19,551 21,000 Net income attributable to Sonoco 85,780 64,379 43,914 56,063 Per common share: Net income attributable to Sonoco: - basic $ 0.85 $ 0.63 $ 0.43 $ 0.55 - diluted 0.84 0.63 0.43 0.55 Cash dividends - common 0.32 0.35 0.35 0.35 Market price - high 47.94 46.50 44.13 44.56 - low 42.44 43.89 34.68 37.01 * Net income attributable to Sonoco in the fourth quarter of 2016 includes a net after-tax gain of $49,341 from the sale of the Company's rigid plastic blow molding operations. |
Summary of Significant Accoun43
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Carrying value of equity investments | $ 106,956 | $ 111,051 | |
Largest customer revenue percentage | 5.00% | 6.00% | 7.00% |
Single customer percentage of receivable | 3.00% | 6.00% | |
Second largest customer revenue percentage | 4.00% | 4.00% | 3.00% |
Research and development costs | $ 22,500 | $ 22,100 | $ 24,200 |
Percentage of LIFO Inventory | 19.00% | 19.00% | |
LIFO inventory amount | $ 17,319 | $ 18,894 | |
Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets, useful life (in years) | 3 years | ||
Minimum | Equipment | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property Plant and Equipment, useful life | 3 years | ||
Minimum | Buildings | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property Plant and Equipment, useful life | 15 years | ||
Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets, useful life (in years) | 40 years | ||
Maximum | Equipment | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property Plant and Equipment, useful life | 11 years | ||
Maximum | Buildings | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property Plant and Equipment, useful life | 40 years | ||
Chilean tube | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage ownership of investments accounted for under the cost method | 19.50% | ||
Finland Small Recycling Business | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Percentage ownership of investments accounted for under the cost method | 12.19% | ||
Multi-Vendor Supply Chain Finance Arrangement | Net sales | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Consolidated annual sales, percent | 6.00% | 5.00% |
Summary of Significant Accoun44
Summary of Significant Accounting Policies - Company Held Significant Investment (Detail) | Dec. 31, 2016 |
RTS Packaging JVCO | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 35.00% |
Cascades Conversion, Inc. | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 50.00% |
Cascades Sonoco, Inc. | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 50.00% |
Showa Products Company Ltd. | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 20.00% |
Conitex Sonoco Holding BVI Ltd. | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 30.00% |
Weidenhammer New Packaging LLC | |
Noncontrolling Interest [Line Items] | |
Ownership interest percentage | 40.00% |
Acquisitions and Dispositions -
Acquisitions and Dispositions - Acquisitions (Detail) | Feb. 15, 2017USD ($)facility | Nov. 01, 2016USD ($)employeefacility | Sep. 19, 2016USD ($) | Aug. 30, 2016USD ($) | Jun. 24, 2016USD ($) | Sep. 21, 2015USD ($) | Apr. 01, 2015USD ($)employee | Oct. 31, 2014USD ($)facilityemployee | May 02, 2014USD ($) | Dec. 31, 2016USD ($)acquisitioninstallment | Dec. 31, 2015USD ($)acquisition | Dec. 31, 2014USD ($)acquisition |
Business Acquisition [Line Items] | ||||||||||||
Number of acquisitions during period | acquisition | 4 | 2 | 2 | |||||||||
Acquisition cost of entity | $ 88,632,000 | $ 17,447,000 | $ 334,132,000 | |||||||||
Intangibles acquired | 28,951,000 | |||||||||||
Goodwill | 1,092,215,000 | 1,140,461,000 | ||||||||||
Cash paid during acquisition | 88,632,000 | 17,447,000 | 334,132,000 | |||||||||
Total consideration | 21,184,000 | 366,280,000 | ||||||||||
Acquisition-related costs | $ 4,569,000 | 1,663,000 | 9,221,000 | |||||||||
Plastic Packaging Inc. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition cost of entity | $ 67,568,000 | |||||||||||
Entity number of employees | employee | 170 | |||||||||||
Net assets, excluding intangibles | $ 22,756,000 | |||||||||||
Intangibles acquired | 18,900,000 | |||||||||||
Goodwill | 25,912,000 | |||||||||||
Expected value of goodwill to be tax deductible | $ 0 | |||||||||||
Plastic Packaging Inc. | North Carolina | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of manufacturing facilities | facility | 2 | |||||||||||
Laminar Medica | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Net assets, excluding intangibles | $ 2,739,000 | |||||||||||
Intangibles acquired | 5,654,000 | |||||||||||
Goodwill | 8,808,000 | |||||||||||
Expected value of goodwill to be tax deductible | 0 | |||||||||||
Cash paid during acquisition | $ 17,201,000 | |||||||||||
AAR Corporation | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition cost of entity | $ 3,000,000 | |||||||||||
Net assets, excluding intangibles | 200,000 | |||||||||||
Intangibles acquired | 4,100,000 | |||||||||||
Goodwill | 1,700,000 | |||||||||||
Total consideration | 6,000,000 | |||||||||||
Consideration transferred, liabilities incurred | 2,000,000 | |||||||||||
Contingent purchase liability | $ 1,000,000 | |||||||||||
Number of installments for non-contingent payments | installment | 2 | |||||||||||
Non-contingent deferred payments, payable in 12 months after closing | $ 1,000 | |||||||||||
Non-contingent deferred payments, payable in 24 months after closing | $ 1,000 | |||||||||||
Number of installments for contingency payments | installment | 2 | |||||||||||
Australian Tube and Core Business | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition cost of entity | $ 863,000 | |||||||||||
Net assets, excluding intangibles | 149,000 | |||||||||||
Intangibles acquired | 297,000 | |||||||||||
Goodwill | 417,000 | |||||||||||
Expected value of goodwill to be tax deductible | $ 0 | |||||||||||
Wood Plug Business of Smith Family Companies Inc. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Cash paid during acquisition | $ 1,750,000 | |||||||||||
Total consideration | 2,850,000 | |||||||||||
Contingent purchase liability | $ 1,100,000 | |||||||||||
Contingent consideration, period of payment | 30 days | |||||||||||
Weidenhammer Packaging Group | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition cost of entity | $ 323,168,000 | |||||||||||
Total consideration | $ 355,316,000 | |||||||||||
Number of employees in facilities operated | employee | 1,100 | |||||||||||
Number of facilities operated | facility | 13 | |||||||||||
Debt and other liabilities assumed | $ 32,148,000 | |||||||||||
Weidenhammer Packaging Group | Germany | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of facilities operated | facility | 5 | |||||||||||
Dalton Paper Products | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Total consideration | $ 11,286,000 | |||||||||||
Cash acquired from acquisition | $ 322,000 | |||||||||||
Consumer Packaging | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Goodwill | $ 435,590,000 | $ 487,342,000 | ||||||||||
Consumer Packaging | Graffo Paranaense de Embalagens S/A | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Entity number of employees | employee | 230 | |||||||||||
Cash paid during acquisition | $ 15,697,000 | |||||||||||
Total consideration | 18,334,000 | |||||||||||
Consideration transferred, liabilities incurred | $ 2,637,000 | |||||||||||
Percentage of controlling asset acquired | 67.00% | |||||||||||
Contingent Consideration Due 36 Months after Closing | AAR Corporation | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Contingent purchase liability | 1,000 | |||||||||||
Contingent Consideration Due 48 Months after Closing | AAR Corporation | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Contingent purchase liability | $ 1,000 | |||||||||||
Scenario, Forecast | Packaging Holdings, Inc. | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Acquisition cost of entity | $ 230,000,000 | |||||||||||
Number of manufacturing facilities | facility | 5 | |||||||||||
Scenario, Forecast | Packaging Holdings, Inc. | United States | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of manufacturing facilities | facility | 4 | |||||||||||
Scenario, Forecast | Packaging Holdings, Inc. | Mexico | ||||||||||||
Business Acquisition [Line Items] | ||||||||||||
Number of manufacturing facilities | facility | 1 |
Acquisitions and Dispositions46
Acquisitions and Dispositions - Dispositions (Details) $ in Thousands | Nov. 07, 2016USD ($)employeefacility | Dec. 31, 2016USD ($) |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Disposal group, gain on disposition | $ 49,341 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Amcor Rigid Plastics USA, LLC | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Number of production facilities sold | facility | 7 | |
Entity number of employees | employee | 850 | |
Disposal group, consideration | $ 280,000 | |
Disposal group, net cash proceeds | 271,817 | |
Escrow deposit | 7,775 | |
Accounts receivable | 35,031 | |
Inventory | 14,700 | |
Accounts payable | 18,494 | |
Net fixed assets | 41,210 | |
Disposal group, net assets | 499 | |
Disposal group, goodwill | 76,435 | |
Disposal group, intangible assets | 14,735 | |
Disposal costs | 4,407 | |
Disposal group, gain on disposition | $ 104,292 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | United States | Amcor Rigid Plastics USA, LLC | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Number of production facilities sold | facility | 6 | |
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Canada | Amcor Rigid Plastics USA, LLC | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Number of production facilities sold | facility | 1 |
Restructuring and Asset Impai47
Restructuring and Asset Impairment - Total Restructuring and Asset Impairment Charges Net (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | $ (1,430) | $ (8,947) | $ (23,278) | $ (9,228) | $ (21,000) | $ (19,551) | $ (10,445) | $ 359 | $ 42,883 | $ 50,637 | $ 22,792 |
Income tax benefit | (7,520) | (22,641) | (5,732) | ||||||||
Impact of noncontrolling interests, net of tax | (161) | (93) | (52) | ||||||||
Total impact of restructuring/asset impairment charges, net of tax | 35,202 | 27,903 | 17,008 | ||||||||
2016 Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 32,997 | ||||||||||
2015 Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 7,239 | 35,837 | |||||||||
2014 and Earlier Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 30 | 2,735 | 18,088 | ||||||||
Other Asset Impairment | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | $ 2,617 | $ 12,065 | $ 4,704 |
Restructuring and Asset Impai48
Restructuring and Asset Impairment - Additional Information (Detail) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Jul. 31, 2016USD ($) | May 31, 2016USD ($) | Oct. 02, 2016USD ($) | Sep. 27, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 28, 2014USD ($) | Dec. 31, 2016USD ($)facilityposition | Dec. 31, 2015USD ($)facilitypositions | Dec. 31, 2014USD ($)facility | |
Restructuring Cost and Reserve [Line Items] | |||||||||
Future additional charges expected in connection with previous restructuring | $ 2,100 | ||||||||
Number of facilities closed | facility | 4 | 6 | |||||||
Gain (loss) on disposition of business | $ 108,699 | $ 0 | $ 0 | ||||||
Other asset impairment charges | 591 | 3,985 | |||||||
Income tax benefit | 164,631 | $ 87,738 | $ 108,758 | ||||||
Other asset impairments | $ 12,065 | $ 1,974 | $ 2,730 | ||||||
Goodwill, impairment loss | $ 2,617 | ||||||||
United States | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | 2 | 2 | ||||||
Canada | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | 1 | |||||||
Ecuador | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
Switzerland | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
Russia | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
Germany | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
United Kingdom | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
Paper Mill | France | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (12,694) | ||||||||
Other asset impairments | $ 6,688 | ||||||||
Retail Security Packaging Business | Puerto Rico | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (2,421) | ||||||||
Disposal group, consideration | 1,816 | ||||||||
Metal Ends and Closures Business | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | 7,224 | ||||||||
Proceeds from sales of business | 29,128 | ||||||||
Disposal group, net assets | 21,904 | ||||||||
Income tax benefit | $ 10,100 | ||||||||
Metal Ends and Closures Business | Ohio | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of production facilities sold | facility | 2 | ||||||||
Recycling Business | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Goodwill, impairment loss | $ 1,686 | ||||||||
Impairment of intangible assets (excluding goodwill) | $ 1,251 | ||||||||
2015 Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Elimination of positions due to realign in cost structure | position | 180 | ||||||||
2014 Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Elimination of positions due to realign in cost structure | positions | 235 | ||||||||
2014 and Earlier Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Future pretax charges | $ 150 | ||||||||
Cash and short-term investments | Paper Mill | France | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | (8,436) | ||||||||
Property, Plant and Equipment, Net | Paper Mill | France | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | (3,201) | ||||||||
Other assets | Paper Mill | France | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (1,057) | ||||||||
Paper And Industrial Converted Products Segment | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Goodwill, impairment loss | $ 2,617 | $ 2,617 | |||||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations | Retail Security Packaging Business | Puerto Rico | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Net fixed assets | 217 | ||||||||
Other assets | 858 | ||||||||
Goodwill | 1,215 | ||||||||
Intangible assets | $ 1,947 |
Restructuring and Asset Impai49
Restructuring and Asset Impairment - Actions and Related Expenses by Type Incurred and Estimated for Given Years (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
2016 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | $ (8,384) | ||
Restructuring charge | (32,997) | ||
Estimated total cost | 34,297 | ||
2015 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | (3,182) | $ (35,514) | |
Restructuring charge | (7,239) | (35,837) | |
Total incurred to date | 43,076 | ||
Estimated total cost | 43,726 | ||
2014 and Earlier Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | (1,158) | (373) | |
Restructuring charge | (30) | (2,735) | $ (18,088) |
Severance and Termination Benefits | 2016 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | ||
Severance and Termination Benefits | 2016 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (2,407) | ||
Estimated total cost | 3,057 | ||
Severance and Termination Benefits | 2016 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (4,304) | ||
Estimated total cost | 4,354 | ||
Severance and Termination Benefits | 2016 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (5,887) | ||
Estimated total cost | 5,887 | ||
Severance and Termination Benefits | 2016 Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (678) | ||
Estimated total cost | 678 | ||
Severance and Termination Benefits | 2016 Actions | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (1,550) | ||
Estimated total cost | 1,550 | ||
Severance and Termination Benefits | 2015 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | 0 | |
Severance and Termination Benefits | 2015 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (3,147) | (15,047) | |
Total incurred to date | 18,194 | ||
Estimated total cost | 18,294 | ||
Severance and Termination Benefits | 2015 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (97) | (1,115) | |
Total incurred to date | 1,212 | ||
Estimated total cost | 1,212 | ||
Severance and Termination Benefits | 2015 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 18 | (8,479) | |
Total incurred to date | 8,461 | ||
Estimated total cost | 8,461 | ||
Severance and Termination Benefits | 2015 Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (39) | |
Total incurred to date | 39 | ||
Estimated total cost | 39 | ||
Severance and Termination Benefits | 2015 Actions | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 19 | (2,775) | |
Total incurred to date | 2,756 | ||
Estimated total cost | 2,756 | ||
Severance and Termination Benefits | 2014 and Earlier Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | 0 | |
Severance and Termination Benefits | 2014 and Earlier Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (836) | (966) |
Severance and Termination Benefits | 2014 and Earlier Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 121 | (1,139) |
Severance and Termination Benefits | 2014 and Earlier Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (12) | (250) | (4,077) |
Severance and Termination Benefits | 2014 and Earlier Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 14 | (539) |
Severance and Termination Benefits | 2014 and Earlier Actions | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 0 | 27 |
Asset Impairment / Disposal of Assets | 2016 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | (8,384) | ||
Asset Impairment / Disposal of Assets | 2016 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 306 | ||
Estimated total cost | (306) | ||
Asset Impairment / Disposal of Assets | 2016 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (2,712) | ||
Estimated total cost | 2,712 | ||
Asset Impairment / Disposal of Assets | 2016 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (13,300) | ||
Estimated total cost | 13,300 | ||
Asset Impairment / Disposal of Assets | 2015 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | (3,182) | (35,514) | |
Asset Impairment / Disposal of Assets | 2015 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (1,658) | 4,303 | |
Total incurred to date | (2,645) | ||
Estimated total cost | (2,645) | ||
Asset Impairment / Disposal of Assets | 2015 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (335) | (474) | |
Total incurred to date | 809 | ||
Estimated total cost | 809 | ||
Asset Impairment / Disposal of Assets | 2015 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (587) | (10,198) | |
Total incurred to date | 10,785 | ||
Estimated total cost | 10,785 | ||
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | (1,158) | (373) | |
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 0 | (2,446) |
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 0 | (972) |
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 397 | 101 | 931 |
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (3) | (133) | (185) |
Other Costs | 2016 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | ||
Other Costs | 2016 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (731) | ||
Estimated total cost | 831 | ||
Other Costs | 2016 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (286) | ||
Estimated total cost | 536 | ||
Other Costs | 2016 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (1,298) | ||
Estimated total cost | 1,548 | ||
Other Costs | 2016 Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (150) | ||
Estimated total cost | 150 | ||
Other Costs | 2015 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | 0 | |
Other Costs | 2015 Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (949) | (1,400) | |
Total incurred to date | 2,349 | ||
Estimated total cost | 2,749 | ||
Other Costs | 2015 Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (206) | (351) | |
Total incurred to date | 557 | ||
Estimated total cost | 557 | ||
Other Costs | 2015 Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (297) | (251) | |
Total incurred to date | 548 | ||
Estimated total cost | 698 | ||
Other Costs | 2015 Actions | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (11) | |
Total incurred to date | 11 | ||
Estimated total cost | 11 | ||
Other Costs | 2014 and Earlier Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Asset write downs/disposals | 0 | 0 | |
Other Costs | 2014 and Earlier Actions | Consumer Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (90) | (5,302) |
Other Costs | 2014 and Earlier Actions | Display and Packaging | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (21) | (113) |
Other Costs | 2014 and Earlier Actions | Paper and Industrial Converted Products | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (225) | (1,109) | (2,853) |
Other Costs | 2014 and Earlier Actions | Protective Solutions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | $ (187) | $ (532) | $ (454) |
Restructuring and Asset Impai50
Restructuring and Asset Impairment - Restructuring Accrual Activity for Given Years (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | $ 0 | |
Restructuring-related charges | 32,997 | |
Cash receipts/(payments) | (20,385) | |
Asset write downs/disposals | (8,384) | |
Foreign currency translation | (30) | |
Liability, ending balance | 4,198 | $ 0 |
2015 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 15,376 | 0 |
Restructuring-related charges | 12,938 | 35,837 |
Adjustments | (5,699) | |
Cash receipts/(payments) | (15,837) | 15,276 |
Asset write downs/disposals | (3,182) | (35,514) |
Foreign currency translation | (200) | (223) |
Liability, ending balance | 3,396 | 15,376 |
2014 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 824 | 3,312 |
Restructuring-related charges | 427 | 3,564 |
Adjustments | (397) | (829) |
Cash receipts/(payments) | 528 | (4,790) |
Asset write downs/disposals | (1,158) | (373) |
Foreign currency translation | (12) | (60) |
Liability, ending balance | 212 | 824 |
Severance and Termination Benefits | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Restructuring-related charges | 14,826 | |
Cash receipts/(payments) | (11,244) | |
Asset write downs/disposals | 0 | |
Foreign currency translation | (24) | |
Liability, ending balance | 3,558 | 0 |
Severance and Termination Benefits | 2015 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 15,376 | 0 |
Restructuring-related charges | 5,083 | 27,455 |
Adjustments | (1,876) | |
Cash receipts/(payments) | (14,982) | (11,856) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | (205) | (223) |
Liability, ending balance | 3,396 | 15,376 |
Severance and Termination Benefits | 2014 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 354 | 1,849 |
Restructuring-related charges | 12 | 1,256 |
Adjustments | 0 | (305) |
Cash receipts/(payments) | (142) | (2,400) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | (12) | (46) |
Liability, ending balance | 212 | 354 |
Asset Impairment / Disposal of Assets | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Restructuring-related charges | 15,706 | |
Cash receipts/(payments) | (7,322) | |
Asset write downs/disposals | (8,384) | |
Foreign currency translation | 0 | |
Liability, ending balance | 0 | 0 |
Asset Impairment / Disposal of Assets | 2015 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 0 |
Restructuring-related charges | 3,182 | 6,369 |
Adjustments | (602) | |
Cash receipts/(payments) | 602 | 29,145 |
Asset write downs/disposals | (3,182) | (35,514) |
Foreign currency translation | 0 | 0 |
Liability, ending balance | 0 | 0 |
Asset Impairment / Disposal of Assets | 2014 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 0 |
Restructuring-related charges | 3 | 373 |
Adjustments | (397) | (341) |
Cash receipts/(payments) | 1,552 | 341 |
Asset write downs/disposals | (1,158) | (373) |
Foreign currency translation | 0 | 0 |
Liability, ending balance | 0 | 0 |
Other Costs | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Restructuring-related charges | 2,465 | |
Cash receipts/(payments) | (1,819) | |
Asset write downs/disposals | 0 | |
Foreign currency translation | (6) | |
Liability, ending balance | 640 | 0 |
Other Costs | 2015 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 0 |
Restructuring-related charges | 4,673 | 2,013 |
Adjustments | (3,221) | |
Cash receipts/(payments) | (1,457) | (2,013) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | 5 | 0 |
Liability, ending balance | 0 | 0 |
Other Costs | 2014 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 470 | 1,463 |
Restructuring-related charges | 412 | 1,935 |
Adjustments | 0 | (183) |
Cash receipts/(payments) | (882) | (2,731) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | 0 | (14) |
Liability, ending balance | $ 0 | $ 470 |
Book Overdrafts and Cash Pool51
Book Overdrafts and Cash Pooling - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 257,226 | $ 182,434 | $ 161,168 | $ 217,567 |
Outstanding A/P check | ||||
Cash and Cash Equivalents [Line Items] | ||||
Outstanding A/P checks | 10,073 | 10,148 | ||
Outstanding payroll checks | ||||
Cash and Cash Equivalents [Line Items] | ||||
Outstanding A/P checks | 11 | 37 | ||
Notional Pooling Arrangement | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 2,789 | $ 22,905 |
Property, Plant and Equipment -
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 84,404 | $ 84,811 |
Timber resources | 41,441 | 41,152 |
Buildings | 478,924 | 479,845 |
Machinery and equipment | 2,637,753 | 2,796,257 |
Construction in progress | 113,118 | 116,081 |
Property, plant and equipment, gross | 3,355,640 | 3,518,146 |
Accumulated depreciation and depletion | (2,295,623) | (2,406,110) |
Property, plant and equipment, net | $ 1,060,017 | $ 1,112,036 |
Property, Plant and Equipment53
Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | |||
Estimated costs for completion of capital additions under construction | $ 82,000 | ||
Depreciation and depletion expense | 173,295 | $ 179,888 | $ 169,911 |
Future minimum rentals under noncancelable operating leases in 2017 | 38,700 | ||
Future minimum rentals under noncancelable operating leases in 2018 | 32,900 | ||
Future minimum rentals under noncancelable operating leases in 2019 | 26,600 | ||
Future minimum rentals under noncancelable operating leases in 2020 | 19,700 | ||
Future minimum rentals under noncancelable operating leases in 2021 | 13,200 | ||
Future minimum rentals under noncancelable operating leases, thereafter | 21,600 | ||
Total rental expense under operating leases | $ 71,800 | $ 72,400 | $ 70,300 |
Goodwill and Other Intangible54
Goodwill and Other Intangible Assets - Changes in Goodwill by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Oct. 02, 2016 | Dec. 31, 2016 | |
Goodwill [Roll Forward] | ||
Beginning Balance | $ 1,140,461 | |
Acquisitions | 36,837 | |
Dispositions | (77,650) | |
Goodwill, Impairment Loss | (2,617) | |
Other | (71) | |
Foreign currency translation | (4,745) | |
Ending Balance | 1,092,215 | |
Consumer Packaging | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 487,342 | |
Acquisitions | 25,912 | |
Dispositions | (76,435) | |
Other | (71) | |
Foreign currency translation | (1,158) | |
Ending Balance | 435,590 | |
Display and Packaging | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 204,629 | |
Acquisitions | 0 | |
Dispositions | (1,215) | |
Other | 0 | |
Foreign currency translation | 0 | |
Ending Balance | 203,414 | |
Paper And Industrial Converted Products Segment | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 227,325 | |
Acquisitions | 417 | |
Dispositions | 0 | |
Goodwill, Impairment Loss | $ (2,617) | (2,617) |
Other | 0 | |
Foreign currency translation | (3,142) | |
Ending Balance | 221,983 | |
Protective Solutions | ||
Goodwill [Roll Forward] | ||
Beginning Balance | 221,165 | |
Acquisitions | 10,508 | |
Dispositions | 0 | |
Other | 0 | |
Foreign currency translation | (445) | |
Ending Balance | $ 231,228 |
Goodwill and Other Intangible55
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||
Sep. 30, 2016 | Aug. 31, 2016 | Jun. 30, 2016 | Oct. 02, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Nov. 01, 2016 | Sep. 19, 2016 | Aug. 30, 2016 | Jun. 24, 2016 | |
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | $ 36,837 | ||||||||||
Goodwill, dispositions | 77,650 | ||||||||||
Other | (71) | ||||||||||
Goodwill, impairment loss | 2,617 | ||||||||||
Goodwill | 1,092,215 | $ 1,140,461 | |||||||||
Intangibles acquired | $ 28,951 | ||||||||||
Intangible assets, weighted average useful life (in years) | 8 years 7 months | ||||||||||
Aggregate amortization expenses | $ 31,887 | 33,273 | $ 28,807 | ||||||||
Amortization expense on intangible assets in 2017 | 31,100 | ||||||||||
Amortization expense on intangible assets in 2018 | 30,700 | ||||||||||
Amortization expense on intangible assets in 2019 | 29,400 | ||||||||||
Amortization expense on intangible assets in 2020 | 28,000 | ||||||||||
Amortization expense on intangible assets in 2021 | 26,700 | ||||||||||
Consumer Packaging | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | 25,912 | ||||||||||
Goodwill, dispositions | 76,435 | ||||||||||
Other | (71) | ||||||||||
Goodwill | 435,590 | 487,342 | |||||||||
Display and Packaging | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | 0 | ||||||||||
Goodwill, dispositions | 1,215 | ||||||||||
Other | 0 | ||||||||||
Goodwill | 203,414 | 204,629 | |||||||||
Paper And Industrial Converted Products Segment | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | 417 | ||||||||||
Goodwill, dispositions | 0 | ||||||||||
Other | 0 | ||||||||||
Goodwill, impairment loss | $ 2,617 | 2,617 | |||||||||
Goodwill | 221,983 | $ 227,325 | |||||||||
Packaging Services | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill | 203,000 | ||||||||||
Thermoforming | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill | 87,000 | ||||||||||
Australian Tube and Core Business | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | $ 417 | ||||||||||
Goodwill | $ 417 | ||||||||||
Intangibles acquired | $ 297 | ||||||||||
AAR Corporation | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | $ 1,700 | ||||||||||
Goodwill | $ 1,700 | ||||||||||
Intangibles acquired | $ 4,100 | ||||||||||
Laminar Medica | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill, acquired during period | $ 8,808 | ||||||||||
Goodwill | $ 8,808 | ||||||||||
Intangibles acquired | $ 5,654 | ||||||||||
Plastic Packaging Inc. | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill | $ 25,912 | ||||||||||
Intangibles acquired | $ 18,900 | ||||||||||
Customer lists | |||||||||||
Goodwill [Line Items] | |||||||||||
Intangibles acquired | 24,578 | ||||||||||
Proprietary technology | |||||||||||
Goodwill [Line Items] | |||||||||||
Intangibles acquired | 3,000 | ||||||||||
Trade names | |||||||||||
Goodwill [Line Items] | |||||||||||
Intangibles acquired | 700 | ||||||||||
Non-compete agreements | |||||||||||
Goodwill [Line Items] | |||||||||||
Intangibles acquired | 475 | ||||||||||
Patents | |||||||||||
Goodwill [Line Items] | |||||||||||
Intangibles acquired | $ 198 |
Goodwill and Other Intangible56
Goodwill and Other Intangible Assets - Summary of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | $ 417,938 | $ 433,158 |
Accumulated Amortization | (192,980) | (188,063) |
Other Intangible Assets, Net | 224,958 | 245,095 |
Patents | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 13,164 | 12,716 |
Accumulated Amortization | (5,647) | (3,784) |
Customer lists | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 362,162 | 381,938 |
Accumulated Amortization | (172,292) | (171,590) |
Trade names | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 19,902 | 19,246 |
Accumulated Amortization | (2,733) | (2,171) |
Proprietary technology | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 20,721 | 17,738 |
Accumulated Amortization | (11,236) | (9,518) |
Land use rights | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 288 | 297 |
Accumulated Amortization | (41) | (40) |
Other | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, gross | 1,701 | 1,223 |
Accumulated Amortization | $ (1,031) | $ (960) |
Debt - Debt Instruments (Detail
Debt - Debt Instruments (Detail) € in Thousands, $ in Thousands | Dec. 31, 2016USD ($) | Jun. 30, 2016 | May 31, 2016EUR (€) | Dec. 31, 2015USD ($) |
Debt Instrument [Line Items] | ||||
Total debt | $ 1,052,743 | $ 1,128,367 | ||
Less current portion and short-term notes | 32,045 | 113,097 | ||
Long-term Debt | 1,020,698 | 1,015,270 | ||
5.75% debentures due November 2040 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 599,136 | 599,100 | ||
Stated interest rate (percentage) | 5.75% | |||
4.375% debentures due November 2021 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 248,490 | 248,178 | ||
Stated interest rate (percentage) | 4.375% | |||
9.2% debentures due August 2021 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 4,309 | 4,309 | ||
Stated interest rate (percentage) | 9.20% | |||
5.625% debentures due June 2016 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 0 | 75,214 | ||
Stated interest rate (percentage) | 5.625% | 5.625% | ||
1.00% foreign loan due May 2021 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 154,936 | € 150,000 | 0 | |
Stated interest rate (percentage) | 1.00% | 1.00% | ||
Term loan, due October 2017 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 0 | 149,705 | ||
Commercial paper, average rate of 0.63% in 2016 and 0.39% in 2015 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 0 | $ 0 | ||
Weighted average interest rate (percentage) | 0.63% | 0.39% | ||
Other foreign denominated debt, average rate of 3.8% in 2016 and 4.3% in 2015 | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 33,254 | $ 39,070 | ||
Weighted average interest rate (percentage) | 3.80% | 4.30% | ||
Other notes | ||||
Debt Instrument [Line Items] | ||||
Total debt | $ 12,618 | $ 12,791 |
Debt - Additional Information (
Debt - Additional Information (Detail) € in Thousands | Oct. 31, 2014bank | May 31, 2016EUR (€) | Dec. 31, 2016USD ($) | Jun. 30, 2016 | Dec. 31, 2015USD ($) |
Debt Instrument [Line Items] | |||||
Commercial paper program | $ 350,000,000 | ||||
Loan agreement | 1,052,743,000 | $ 1,128,367,000 | |||
Unused short-term lines of credit | 113,000,000 | ||||
Debt maturing, 2017 | 32,045,000 | ||||
Debt maturing, 2018 | 1,846,000 | ||||
Debt maturing, 2019 | 1,793,000 | ||||
Debt maturing, 2020 | 1,762,000 | ||||
Debt maturing, 2021 | 409,437,000 | ||||
Revolving Credit Facility | Line of Credit | |||||
Debt Instrument [Line Items] | |||||
Number of banks in contract | bank | 8 | ||||
1.00% foreign loan due May 2021 | |||||
Debt Instrument [Line Items] | |||||
Loan agreement | € 150,000 | $ 154,936,000 | 0 | ||
Debt instrument, term (in years) | 5 years | ||||
Stated interest rate (percentage) | 1.00% | 1.00% | |||
5.625% debentures due June 2016 | |||||
Debt Instrument [Line Items] | |||||
Loan agreement | $ 0 | $ 75,214,000 | |||
Stated interest rate (percentage) | 5.625% | 5.625% |
Financial Instruments and Der59
Financial Instruments and Derivatives - Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Long-term debt, Carrying Amount | $ 1,020,698 | $ 1,015,270 |
Long-term debt, Fair Value | $ 1,116,336 | $ 1,075,146 |
Financial Instruments and Der60
Financial Instruments and Derivatives - Additional Information (Detail) $ in Thousands, BTU in Millions | 12 Months Ended | |
Dec. 31, 2016USD ($)BTUtT | Dec. 31, 2015USD ($) | |
Derivative [Line Items] | ||
Anticipated usage percentage of natural gas covered by a swap contract for the first succeeding fiscal year | 79.50% | |
Anticipated usage percentage of natural gas covered by swap contract for the second succeeding fiscal year | 37.30% | |
Anticipated usage percentage of natural gas covered by swap contract for the third succeeding fiscal year | 17.80% | |
Anticipated usage percentage of aluminum covered by a swap contract for the first succeeding fiscal year | 59.00% | |
Fair value of commodity cash flow hedges | $ 3,636 | $ (3,611) |
Commodity gain (loss) expected to be reclassified to the income statement during the next 12 months | 2,856 | |
Fair value of foreign currency cash flow hedges | (184) | (4,612) |
Cash flow hedge gain (loss) reclassified from accumulated other comprehensive loss and netted against the carrying value of the assets | 59 | 528 |
Foreign currency gain (loss) expected to be reclassified to the income statement during the next 12 months | (217) | |
Total fair value of other derivatives not designated as hedging instruments | $ (696) | $ (2,180) |
Natural gas swaps | ||
Derivative [Line Items] | ||
Approximate amount of commodity covered by swap contracts outstanding in MMBTUs | BTU | 8.5 | |
Aluminum Swaps | ||
Derivative [Line Items] | ||
Approximate amount of commodity covered by swap contracts outstanding in metric tons | t | 2,629 | |
Containers | ||
Derivative [Line Items] | ||
Approximate amount of commodity covered by swap contracts outstanding in metric tons | T | 660 | |
Anticipated usage percentage of short tons covered by a swap contract for the first succeeding fiscal year | 1.00% |
Financial Instruments and Der61
Financial Instruments and Derivatives - Net Positions of Foreign Contracts (Detail) - Dec. 31, 2016 € in Thousands, £ in Thousands, TRY in Thousands, RUB in Thousands, PLN in Thousands, NZD in Thousands, MXN in Thousands, COP in Thousands, CAD in Thousands, AUD in Thousands | RUB | COP | PLN | AUD | CAD | EUR (€) | TRY | NZD | GBP (£) | MXN |
Long | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | CAD 14,089 | MXN 244,600 | ||||||||
Long | Foreign Currency Cash Flow Hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | RUB 10,924 | COP 2,059,287 | CAD 57,290 | TRY 12,650 | £ 2,945 | MXN 585,283 | ||||
Short | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | COP 28,300,164 | |||||||||
Short | Foreign Currency Cash Flow Hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | PLN 2,812 | AUD 2,259 | € 7,987 | NZD 932 |
Financial Instruments and Der62
Financial Instruments and Derivatives - Net Position of Other Derivatives Contracts (Details) - Dec. 31, 2016 MXN in Thousands, COP in Thousands, CAD in Thousands | COP | CAD | MXN |
Long | |||
Derivative [Line Items] | |||
Net purchase / (sales) position of derivatives | CAD (14,089) | MXN (244,600) | |
Short | |||
Derivative [Line Items] | |||
Net purchase / (sales) position of derivatives | COP (28,300,164) |
Financial Instruments and Der63
Financial Instruments and Derivatives - Location and Fair Values of Derivative Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Derivatives designated as hedging instruments | Commodity contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | $ 3,240 | $ 0 |
Derivatives designated as hedging instruments | Commodity contracts | Other assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 527 | 8 |
Derivatives designated as hedging instruments | Commodity contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (89) | (3,425) |
Derivatives designated as hedging instruments | Commodity contracts | Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (42) | (194) |
Derivatives designated as hedging instruments | Foreign exchange contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 761 | 156 |
Derivatives designated as hedging instruments | Foreign exchange contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (946) | (4,768) |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 194 | 50 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | $ (890) | $ (2,230) |
Financial Instruments and Der64
Financial Instruments and Derivatives - Effect of Derivative Instruments on Financial Performance (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Foreign exchange contracts | Net sales | ||
Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | $ (420) | $ (10,908) |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | (8,769) | (21,454) |
Foreign exchange contracts | Cost of sales | ||
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | 3,981 | 12,154 |
Foreign exchange contracts | Cost of sales | Derivatives not designated as hedging instruments | ||
Gain or (Loss) Recognized | 0 | 0 |
Foreign exchange contracts | Selling, general and administrative | Derivatives not designated as hedging instruments | ||
Gain or (Loss) Recognized | (2,118) | (6,638) |
Commodity contracts | Cost of sales | ||
Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | 3,032 | (7,258) |
Amount of Gain or (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) | (3,583) | (9,920) |
Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) | $ (444) | $ 213 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Assets | |||
Deferred compensation plan assets | $ 349 | $ 460 | |
Assets measured at NAV | 1,015,783 | 993,758 | |
Total postretirement benefit plan assets | 1,349,237 | 1,320,436 | |
Common collective trust | |||
Assets | |||
Assets measured at NAV | [1] | 874,996 | 852,680 |
Total postretirement benefit plan assets | [1] | 874,996 | 852,680 |
Mutual funds | |||
Assets | |||
Assets measured at NAV | [2] | 0 | 0 |
Total postretirement benefit plan assets | [2] | 213,244 | 213,646 |
Fixed income securities | |||
Assets | |||
Assets measured at NAV | [3] | 0 | 0 |
Total postretirement benefit plan assets | [3] | 118,224 | 110,439 |
Short-term investments | |||
Assets | |||
Assets measured at NAV | [4] | 6,090 | 1,482 |
Total postretirement benefit plan assets | [4] | 7,686 | 3,304 |
Hedge fund of funds | |||
Assets | |||
Assets measured at NAV | [5] | 72,003 | 81,746 |
Total postretirement benefit plan assets | [5] | 72,003 | 81,746 |
Real estate funds | |||
Assets | |||
Assets measured at NAV | [6] | 62,694 | 57,850 |
Total postretirement benefit plan assets | [6] | 62,694 | 57,850 |
Cash and accrued income | |||
Assets | |||
Assets measured at NAV | [6] | 0 | 0 |
Total postretirement benefit plan assets | 390 | 771 | |
Derivatives designated as hedging instruments | Commodity contracts | |||
Assets | |||
Derivatives | 3,636 | (3,611) | |
Derivatives designated as hedging instruments | Foreign exchange contracts | |||
Assets | |||
Derivatives | (185) | (4,612) | |
Derivatives not designated as hedging instruments | Foreign exchange contracts | |||
Assets | |||
Derivatives | (696) | (2,180) | |
Level 1 | |||
Assets | |||
Deferred compensation plan assets | 349 | 460 | |
Total postretirement benefit plan assets | 903 | 1,295 | |
Level 1 | Mutual funds | |||
Assets | |||
Total postretirement benefit plan assets | [2] | 0 | |
Level 1 | Short-term investments | |||
Assets | |||
Total postretirement benefit plan assets | [4] | 513 | 524 |
Level 1 | Cash and accrued income | |||
Assets | |||
Total postretirement benefit plan assets | 390 | 771 | |
Level 2 | |||
Assets | |||
Total postretirement benefit plan assets | 332,551 | 325,383 | |
Level 2 | Common collective trust | |||
Assets | |||
Total postretirement benefit plan assets | [1] | 0 | 0 |
Level 2 | Mutual funds | |||
Assets | |||
Total postretirement benefit plan assets | [2] | 213,244 | 213,646 |
Level 2 | Fixed income securities | |||
Assets | |||
Total postretirement benefit plan assets | [3] | 118,224 | 110,439 |
Level 2 | Short-term investments | |||
Assets | |||
Total postretirement benefit plan assets | [4] | 1,083 | 1,298 |
Level 2 | Hedge fund of funds | |||
Assets | |||
Total postretirement benefit plan assets | [5] | 0 | 0 |
Level 2 | Real estate funds | |||
Assets | |||
Total postretirement benefit plan assets | [6] | 0 | 0 |
Level 2 | Cash and accrued income | |||
Assets | |||
Total postretirement benefit plan assets | [6] | 0 | |
Level 2 | Derivatives designated as hedging instruments | Commodity contracts | |||
Assets | |||
Derivatives | 3,636 | (3,611) | |
Level 2 | Derivatives designated as hedging instruments | Foreign exchange contracts | |||
Assets | |||
Derivatives | (185) | (4,612) | |
Level 2 | Derivatives not designated as hedging instruments | Foreign exchange contracts | |||
Assets | |||
Derivatives | $ (696) | $ (2,180) | |
[1] | Common collective trust investments consist of domestic and international large and mid capitalization equities, including emerging markets and funds invested in both short-term and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers. | ||
[2] | Mutual fund investments are comprised of equity securities of corporations with large capitalizations and also include funds invested in corporate equities in international and emerging markets and funds invested in long-term bonds, which are valued at closing prices from national exchanges. | ||
[3] | Fixed income securities include funds that invest primarily in government securities and long-term bonds. Underlying investments are generally valued at closing prices from national exchanges, fixed income pricing models, and independent financial analysts. Fixed income commingled funds are valued at unit values provided by the investment managers. | ||
[4] | Short-term investments include several money market funds used for managing overall liquidity. Underlying investments are generally valued at closing prices from national exchanges. Commingled funds are valued at unit values provided by the investment managers. | ||
[5] | The hedge fund of funds category includes investments in funds representing a variety of strategies intended to diversify risks and reduce volatility. It includes event-driven credit and equity investments targeted at economic policy decisions, long and short positions in U.S. and international equities, arbitrage investments and emerging market equity investments. Investments are valued at unit values or net asset values provided by the investment managers. | ||
[6] | This category includes investments in real estate funds (including office, industrial, residential and retail) primarily throughout the United States. Underlying real estate securities are generally valued at closing prices from national exchanges. Commingled funds, private securities, and limited partnerships are valued at unit values or net asset values provided by the investment managers.(g)Certain assets that are measured at fair value using the net asset value (NAV) per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Percentage of postretirement benefit plan assets comprised of pension plan assets, more than | 98.00% |
Share-based Compensation Plan67
Share-based Compensation Plans - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Maximum number of shares of common stock issued | 10,381,533 | 10,381,533 | |||
Number of additional shares authorized | 4,500,000 | ||||
Shares available for grant | 7,522,658 | 7,522,658 | |||
Compensation cost for share-based payment arrangements | $ 19,289 | $ 9,257 | $ 17,099 | ||
Related tax benefit recognized in net income | 7,040 | 3,379 | 6,414 | ||
Additional net excess tax benefit realized | 2,695 | 3,622 | 4,126 | ||
Cash received on option exercises | 0 | 1,324 | 5,951 | ||
Noncash stock-based compensation associated performance contingent restricted stock units | 10,568 | 2,271 | 9,719 | ||
Compensation deferrals in current year | $ 2,721 | $ 1,947 | $ 1,850 | ||
Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Expected life of SARs | 6 years | 6 years | 4 years | ||
Total unrecognized compensation cost related to nonvested awards | $ 2,447 | $ 2,447 | |||
Weighted-average period | 24 months | ||||
Aggregate intrinsic value of options and SARs exercised | $ 9,510 | $ 11,888 | $ 13,831 | ||
Weighted-average fair value of awards granted | $ 5.04 | $ 6.49 | $ 4.72 | ||
Weighted average remaining contractual life for SAR's, outstanding | 7 years | ||||
Weighted average remaining contractual life for SAR's, exercisable | 4 years 6 months | ||||
Aggregate intrinsic value for SAR's, outstanding | 22,200 | $ 22,200 | |||
Aggregate intrinsic value for SAR's, exercisable | $ 10,323 | $ 10,323 | |||
Fair market value of the Company’s stock used to calculate intrinsic value (per share) | $ 52.70 | $ 52.70 | |||
Stock Options And Stock Appreciation Rights Sars | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Compensation cost for share-based payment arrangements | $ 2,878 | $ 2,750 | $ 4,488 | ||
Equity Option | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Aggregate intrinsic value of options and SARs exercised | $ 975 | $ 3,497 | |||
Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 3 years | ||||
Total unrecognized compensation cost related to nonvested awards | $ 8,854 | $ 8,854 | |||
Weighted-average period | 20 months | ||||
Vesting at end of 4 years, if performance targets are not met | 50.00% | ||||
Vesting at end of 5 years, if performance targets are not met | 50.00% | ||||
Granted, weighted-average grant date fair value | $ 36.33 | $ 42.44 | $ 38.04 | ||
Restricted Stock Awards | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Granted, weighted-average grant date fair value | $ 38.40 | ||||
After Two Thousand Fifteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 3 years | ||||
Prior Two Thousand Fifteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 1 year | ||||
After Two Thousand Fourteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 3 years | ||||
Expected life of SARs | 10 years | ||||
After 2006 | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 1 year | ||||
Expected life of SARs | 7 years | ||||
Two Thousand and Sixteen | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total performance contingent restricted stock units vested , Minimum shares | 0 | ||||
Total performance contingent restricted stock units, Maximum | 373,522 | ||||
Two Thousand and Fifteen | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total performance contingent restricted stock units vested , Minimum shares | 0 | ||||
Total performance contingent restricted stock units, Maximum | 334,382 | ||||
Two Thousand and Fourteen | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total performance contingent restricted stock units vested , Minimum shares | 247,554 | ||||
Fair value of vested units | $ 13,046 | ||||
Two Thousand and Thirteen | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vested units in period (in shares) | 205,673 | ||||
Fair value of vested units | $ 8,406 | ||||
Two Thousand And Twelve | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vested units in period (in shares) | 4,140 | 4,387 | 143,519 | ||
Fair value of vested units | $ 218 | $ 179 | $ 6,272 | ||
Two Thousand and Eleven | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total performance contingent restricted stock units, Maximum | 123,414 | ||||
Fair value of vested units | $ 2,522 | $ 2,697 | |||
Share-based Compensation Award, Tranche One | After Two Thousand Fourteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting percentage | 33.33% | ||||
Share-based Compensation Award, Tranche Two | After Two Thousand Fourteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting percentage | 33.33% | ||||
Share-based Compensation Award, Tranche Two | Two Thousand and Eleven | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vested units in period (in shares) | 61,707 | ||||
Share-based Compensation Award, Tranche Three | After Two Thousand Fourteen | Stock Appreciation Rights (SARs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vesting percentage | 33.33% | ||||
Share-based Compensation Award, Tranche Three | Two Thousand and Eleven | Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Vested units in period (in shares) | 61,707 | ||||
Executives and Directors | Restricted Stock Awards | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Minimum vesting period | 3 years | 5 years | |||
Total unrecognized compensation cost related to nonvested awards | $ 2,856 | $ 2,856 | |||
Weighted-average period | 24 months | ||||
Fair value of vested units | $ 1,291 | $ 2,066 | $ 1,094 | ||
Granted, weighted-average grant date fair value | $ 38.40 | $ 43.35 | $ 39.14 | ||
Noncash stock-based compensation associated performance contingent restricted stock units | $ 3,122 | $ 2,336 | $ 1,153 |
Share-based Compensation Plan68
Share-based Compensation Plans - Estimated Fair Value of all SARs Applying Assumptions (Detail) - Stock Appreciation Rights (SARs) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 3.50% | 2.80% | 3.00% |
Expected stock price volatility | 18.50% | 18.20% | 18.40% |
Risk-free interest rate | 1.30% | 1.70% | 1.20% |
Expected life of SARs | 6 years | 6 years | 4 years |
Share-based Compensation Plan69
Share-based Compensation Plans - Company's Stock Options and SARs (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ending Balance | 0 |
Stock Appreciation Rights (SARs) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 2,006,512 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 820,266 |
Exercised | (837,573) |
Forfeited/Expired | (73,559) |
Ending Balance | 1,915,646 |
Options and SAR's, number exercisable | 768,897 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |
Beginning Balance, weighted-average exercise price | $ / shares | $ 40.35 |
Granted, weighted-average exercise price | $ / shares | 40.41 |
Exercised, weighted-average exercise price | $ / shares | 38.57 |
Forfeited/Expired, weighted average exercise price | $ / shares | 44.17 |
Ending Balance, weighted average exercise price | $ / shares | 41.06 |
Options and SAR's, exercisable, weighted-average exercise price | $ / shares | $ 40.53 |
Stock Appreciation Rights (SARs) | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 593,443 |
Vested | 197,371 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 820,266 |
Exercised | 0 |
Forfeited/Expired | (69,589) |
Ending Balance | 1,146,749 |
Options and SAR's, number exercisable | 0 |
Stock Appreciation Rights (SARs) | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 1,413,069 |
Vested | 197,371 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0 |
Exercised | (837,573) |
Forfeited/Expired | (3,970) |
Ending Balance | 768,897 |
Options and SAR's, number exercisable | 768,897 |
Share-based Compensation Plan70
Share-based Compensation Plans - Activity Related to PCSUs and Restricted Stock Units (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Performance Contingent Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 875,495 |
Granted | 188,181 |
Performance adjustments | 207,583 |
Converted | (201,246) |
Cancelled | (42,333) |
Dividend equivalents | 9,385 |
Ending Balance | 1,037,065 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning Balance, weighted-average grant date fair value | $ / shares | $ 32.12 |
Granted, weighted-average grant date fair value | $ / shares | 36.33 |
Performance adjustments, weighted-average grant date fair value | $ / shares | 40.77 |
Converted, weighted-average grant date fair value | $ / shares | 28.38 |
Cancelled, weighted-average grant date fair value | $ / shares | 30.26 |
Dividend equivalents, weighted-average grant date fair value | $ / shares | 48.20 |
Ending Balance, weighted-average grant date fair value | $ / shares | $ 35.56 |
Performance Contingent Restricted Stock Units | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 350,510 |
Granted | 188,181 |
Performance adjustments | 207,583 |
Vested | (251,694) |
Cancelled | (8,535) |
Dividend equivalents | 0 |
Ending Balance | 486,045 |
Performance Contingent Restricted Stock Units | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 524,985 |
Granted | 0 |
Performance adjustments | 0 |
Vested | (251,694) |
Converted | (201,246) |
Cancelled | (33,798) |
Dividend equivalents | 9,385 |
Ending Balance | 551,020 |
Restricted Stock Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 315,935 |
Granted | 96,356 |
Converted | (20,732) |
Cancelled | (8,197) |
Dividend equivalents | 5,494 |
Ending Balance | 388,856 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning Balance, weighted-average grant date fair value | $ / shares | $ 34.90 |
Granted, weighted-average grant date fair value | $ / shares | 38.40 |
Converted, weighted-average grant date fair value | $ / shares | 36.19 |
Cancelled, weighted-average grant date fair value | $ / shares | 42.15 |
Dividend equivalents, weighted-average grant date fair value | $ / shares | 56.54 |
Ending Balance, weighted-average grant date fair value | $ / shares | $ 35.85 |
Restricted Stock Awards | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 157,766 |
Granted | 96,356 |
Vested | (36,173) |
Cancelled | (8,197) |
Dividend equivalents | 594 |
Ending Balance | 210,346 |
Restricted Stock Awards | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 158,169 |
Granted | 0 |
Vested | (36,173) |
Converted | (20,732) |
Cancelled | 0 |
Dividend equivalents | 4,900 |
Ending Balance | 178,510 |
Deferred Compensation Plans | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance | 285,098 |
Deferred | 46,780 |
Converted | (14,567) |
Dividend equivalents | 5,967 |
Ending Balance | 323,278 |
Employee Benefit Plans - Compon
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 19,508 | $ 23,366 | $ 21,826 |
Interest cost | 59,719 | 70,797 | 73,505 |
Expected return on plan assets | (85,466) | (94,307) | (93,198) |
Amortization of net transition obligation | 0 | 65 | 405 |
Amortization of prior service cost / (credit) | 809 | 745 | 697 |
Amortization of net actuarial loss | 39,009 | 42,584 | 26,523 |
Other | 0 | 49 | 77 |
Net periodic benefit cost | 33,579 | 43,299 | 29,835 |
Retiree Health and Life Insurance Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 309 | 711 | 726 |
Interest cost | 482 | 766 | 1,034 |
Expected return on plan assets | (1,579) | (1,661) | (1,599) |
Amortization of prior service cost / (credit) | (498) | (104) | (1,381) |
Amortization of net actuarial loss | (667) | (673) | (259) |
Net periodic benefit cost | $ (1,953) | $ (961) | $ (1,479) |
Employee Benefit Plans - Plans'
Employee Benefit Plans - Plans' Obligation and Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | $ 1,320,436 | ||
Fair value of plan assets at December 31 | 1,349,237 | $ 1,320,436 | |
Retirement Plans | |||
Change in Benefit Obligation | |||
Benefit obligation at January 1 | 1,733,596 | 1,857,106 | |
Service cost | 19,508 | 23,366 | $ 21,826 |
Interest cost | 59,719 | 70,797 | 73,505 |
Plan participant contributions | 439 | 452 | |
Plan amendments | 812 | 519 | |
Actuarial loss/(gain) | 93,772 | (106,211) | |
Benefits paid | (89,455) | (87,626) | |
Impact of foreign exchange rates | (40,856) | (25,822) | |
Other | (111) | 1,015 | |
Benefit obligation at December 31 | 1,777,424 | 1,733,596 | 1,857,106 |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | 1,298,186 | 1,407,461 | |
Actual return on plan assets | 130,717 | (13,886) | |
Company contributions | 32,504 | 22,233 | |
Plan participant contributions | 439 | 452 | |
Benefits paid | (89,455) | (87,626) | |
Impact of foreign exchange rates | (39,147) | (24,271) | |
Expenses paid | (7,855) | (6,177) | |
Fair value of plan assets at December 31 | 1,325,389 | 1,298,186 | 1,407,461 |
Funded status of the plans | (452,035) | (435,410) | |
Retiree Health and Life Insurance Plans | |||
Change in Benefit Obligation | |||
Benefit obligation at January 1 | 19,053 | 27,451 | |
Service cost | 309 | 711 | 726 |
Interest cost | 482 | 766 | 1,034 |
Plan participant contributions | 888 | 1,046 | |
Plan amendments | 0 | (2,273) | |
Actuarial loss/(gain) | (1,223) | (6,004) | |
Benefits paid | (1,956) | (2,556) | |
Impact of foreign exchange rates | 15 | (88) | |
Other | 0 | 0 | |
Benefit obligation at December 31 | 17,568 | 19,053 | 27,451 |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | 22,250 | 23,064 | |
Actual return on plan assets | 1,872 | (107) | |
Company contributions | 860 | 911 | |
Plan participant contributions | 888 | 1,046 | |
Benefits paid | (1,956) | (2,556) | |
Expenses paid | (66) | (108) | |
Fair value of plan assets at December 31 | 23,848 | 22,250 | $ 23,064 |
Funded status of the plans | $ 6,280 | $ 3,197 |
Employee Benefit Plans - Recogn
Employee Benefit Plans - Recognized Amounts in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent liabilities | $ (447,339) | $ (432,964) |
Retirement Plans | ||
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent assets | 3,863 | 4,635 |
Current liabilities | (9,409) | (8,678) |
Noncurrent liabilities | (446,489) | (431,367) |
Net liability | (452,035) | (435,410) |
Retiree Health and Life Insurance Plans | ||
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent assets | 7,506 | 4,057 |
Current liabilities | (802) | (860) |
Noncurrent liabilities | (424) | 0 |
Net liability | $ 6,280 | $ 3,197 |
Employee Benefit Plans - Comp74
Employee Benefit Plans - Component of Net Periodic Pension Cost that are Included in Accumulated Other Comprehensive Loss (Income) (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Retirement Plans | ||
Net actuarial loss/(gain) | $ 708,533 | $ 691,482 |
Prior service cost/(credit) | 4,051 | 3,791 |
Amount in accumulated other comprehensive loss (income) | 712,584 | 695,273 |
Retiree Health and Life Insurance Plans | ||
Net actuarial loss/(gain) | (7,056) | (6,274) |
Prior service cost/(credit) | (1,774) | (2,272) |
Amount in accumulated other comprehensive loss (income) | $ (8,830) | $ (8,546) |
Employee Benefit Plans - Amount
Employee Benefit Plans - Amounts Recognized in Other Comprehensive Loss/(Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Retirement Plans | |||
Adjustments arising during the period: | |||
Net actuarial loss/(gain) | $ 56,060 | $ 8,352 | $ 233,962 |
Prior service cost/(credit) | 1,069 | 513 | 729 |
Net settlements/curtailments | 0 | 0 | 0 |
Reversal of amortization: | |||
Net actuarial (loss)/gain | (39,009) | (42,584) | (26,523) |
Prior service (cost)/credit | (809) | (745) | (697) |
Net transition obligation | 0 | (65) | (405) |
Total recognized in other comprehensive loss/(income) | 17,311 | (34,529) | 207,066 |
Total recognized in net periodic benefit cost and other comprehensive loss/(income) | 50,890 | 8,770 | 236,901 |
Retiree Health and Life Insurance Plans | |||
Adjustments arising during the period: | |||
Net actuarial loss/(gain) | (1,449) | (4,129) | 101 |
Prior service cost/(credit) | 0 | (2,273) | (46) |
Net settlements/curtailments | 0 | 0 | 0 |
Reversal of amortization: | |||
Net actuarial (loss)/gain | 667 | 673 | 259 |
Prior service (cost)/credit | 498 | 104 | 1,381 |
Total recognized in other comprehensive loss/(income) | (284) | (5,625) | 1,695 |
Total recognized in net periodic benefit cost and other comprehensive loss/(income) | $ (2,237) | $ (6,586) | $ 216 |
Employee Benefit Plans - Accumu
Employee Benefit Plans - Accumulated Other Comprehensive Loss/(Income) Expects to Recognize as Components of Net Periodic Benefit Cost (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Retirement Plans | |
Net actuarial loss | $ 40,064 |
Prior service cost/(credit) | 846 |
Net transition obligation | 0 |
Expected amortization of defined benefit plan amounts from AOCI in next fiscal year | 40,910 |
Retiree Health and Life Insurance Plans | |
Net actuarial loss | (611) |
Prior service cost/(credit) | (498) |
Expected amortization of defined benefit plan amounts from AOCI in next fiscal year | $ (1,109) |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Feb. 28, 2017 | Jul. 02, 2017USD ($) | Dec. 31, 2016USD ($)year | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2010USD ($) | |
Defined benefit plans, accumulated benefit obligation | $ 1,738,196 | $ 1,691,589 | ||||
Projected benefit obligation (PBO) with accumulated benefit obligations in excess of plan assets | 1,474,993 | 1,656,174 | ||||
Accumulated benefit obligation (ABO) with accumulated benefit obligations in excess of plan assets | 1,446,624 | 1,617,051 | ||||
Fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets | $ 1,019,094 | 1,216,128 | ||||
Percentage of retiree health liability | 97.00% | |||||
Increasing the assumed trend rate for healthcare costs by one percentage point would increase the accumulated postretirement benefit obligation | $ 228 | |||||
Increasing the assumed trend rate for healthcare costs by one percentage point would increase total service and interest cost compo | 17 | |||||
Decreasing the assumed trend rate for healthcare costs by one percentage point would decrease the APBO | 212 | |||||
Decreasing the assumed trend rate for healthcare costs by one percentage point would decrease total service and interest cost component | 16 | |||||
Total postretirement benefit plan assets | 1,349,237 | 1,320,436 | ||||
Projected contributions to retirement plan | 57,900 | |||||
Other Postretirement Benefit Plan, Defined Benefit | ||||||
Total postretirement benefit plan assets | 1,349,236 | |||||
U.S. Defined Benefit Plans | ||||||
Total postretirement benefit plan assets | $ 1,004,732 | |||||
United Kingdom Defined Benefit Plan | Equity securities | ||||||
Current target allocation for investment portfolio | 48.00% | |||||
United Kingdom Defined Benefit Plan | Debt Securities | ||||||
Current target allocation for investment portfolio | 52.00% | |||||
United Kingdom Defined Benefit Plan | Alternative | ||||||
Current target allocation for investment portfolio | 0.00% | |||||
United Kingdom Defined Benefit Plan | Cash and short-term investments | ||||||
Current target allocation for investment portfolio | 0.00% | |||||
Canada Defined Benefit Plan | Equity securities | ||||||
Current target allocation for investment portfolio | 60.00% | |||||
Canada Defined Benefit Plan | Debt Securities | ||||||
Current target allocation for investment portfolio | 39.00% | |||||
Canada Defined Benefit Plan | Alternative | ||||||
Current target allocation for investment portfolio | 0.00% | |||||
Canada Defined Benefit Plan | Cash and short-term investments | ||||||
Current target allocation for investment portfolio | 1.00% | |||||
Inactive Plan Investment Portfolio | U.S. Defined Benefit Plans | Equity securities | ||||||
Current target allocation for investment portfolio | 49.00% | |||||
Inactive Plan Investment Portfolio | U.S. Defined Benefit Plans | Debt Securities | ||||||
Current target allocation for investment portfolio | 40.00% | |||||
Inactive Plan Investment Portfolio | U.S. Defined Benefit Plans | Alternative | ||||||
Current target allocation for investment portfolio | 11.00% | |||||
Inactive Plan Investment Portfolio | U.S. Defined Benefit Plans | Cash and short-term investments | ||||||
Current target allocation for investment portfolio | 0.00% | |||||
Active Plan Investment Portfolio | U.S. Defined Benefit Plans | Equity securities | ||||||
Current target allocation for investment portfolio | 57.00% | |||||
Active Plan Investment Portfolio | U.S. Defined Benefit Plans | Debt Securities | ||||||
Current target allocation for investment portfolio | 30.00% | |||||
Active Plan Investment Portfolio | U.S. Defined Benefit Plans | Alternative | ||||||
Current target allocation for investment portfolio | 13.00% | |||||
Active Plan Investment Portfolio | U.S. Defined Benefit Plans | Cash and short-term investments | ||||||
Current target allocation for investment portfolio | 0.00% | |||||
Plan Changes and Amendments | ||||||
Reduction in accumulated postretirement benefit obligation | $ 4,566 | |||||
Plan Changes and Amendments | Retirement Plans | ||||||
Reduction in accumulated postretirement benefit obligation | 2,273 | |||||
Plan Changes and Amendments | Retiree Health And Life Insurance Plans | ||||||
Amortization period of accumulated postretirement benefit obligation | 4 years | |||||
Sonoco Investment and Retirement Plan | ||||||
Contribution rate of annual eligible earnings under companies investment and retirement plan | 4.00% | |||||
Contribution rate of annual eligible earnings in excess of social security wage base under companies investment and retirement plan | 4.00% | |||||
Vesting period (in years) | 3 years | |||||
Age limit of participants | year | 55 | |||||
Companies expense related to the plan | $ 13,655 | 14,970 | $ 12,079 | |||
Cash contributions to the SIRP | 13,352 | 12,865 | 12,049 | |||
Sonoco Savings Plan | ||||||
Companies expense related to the plan | $ 11,400 | $ 11,500 | $ 11,400 | |||
Defined contribution plan contribution percentage, Minimum | 1.00% | |||||
Defined contribution plan contribution percentage, Maximum | 30.00% | |||||
Percentage of participants modified matching contribution to be matched towards safe Harbor under companies savings plan | 50.00% | |||||
Modify matching employee contribution to profit sharing under companies savings plan | 4.00% | |||||
Minimum | Scenario, Forecast | U.S. Defined Benefit Plans | ||||||
Election rates (as a percent) | 40.00% | |||||
Non-cash settlement charges | $ 25,000 | |||||
Maximum | Scenario, Forecast | U.S. Defined Benefit Plans | ||||||
Election rates (as a percent) | 70.00% | |||||
Non-cash settlement charges | $ 40,000 | |||||
Subsequent Event | U.S. Defined Benefit Plans | ||||||
Terminated vested participants (as a percent) | 15.00% |
Employee Benefit Plans - Compan
Employee Benefit Plans - Company's Projected Benefit Payments (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Retirement Plans | |
2,017 | $ 89,743 |
2,018 | 91,769 |
2,019 | 93,782 |
2,020 | 96,630 |
2,021 | 97,838 |
2022-2026 | 520,839 |
Retiree Health and Life Insurance Plans | |
2,017 | 1,920 |
2,018 | 1,881 |
2,019 | 1,853 |
2,020 | 1,542 |
2,021 | 1,478 |
2022-2026 | $ 6,201 |
Employee Benefit Plans - Major
Employee Benefit Plans - Major Actuarial Assumptions Used in Determining PBO, ABO and Net Periodic Cost (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Retirement Plans | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 4.12% | 4.36% | |
Rate of Compensation Increase | 3.60% | 3.69% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 4.36% | 4.00% | 4.78% |
Expected long-term rate of return | 7.47% | 7.67% | 7.66% |
Rate of Compensation Increase | 3.69% | 3.99% | 3.99% |
Retiree Health and Life Insurance Plans | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 3.70% | 3.78% | |
Rate of Compensation Increase | 3.32% | 3.36% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 3.78% | 3.52% | 4.03% |
Expected long-term rate of return | 7.31% | 7.39% | 7.39% |
Rate of Compensation Increase | 3.36% | 3.42% | 3.44% |
Foreign Plans | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 2.95% | 3.71% | |
Rate of Compensation Increase | 3.65% | 3.52% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 3.71% | 3.49% | 4.51% |
Expected long-term rate of return | 4.75% | 4.92% | 5.57% |
Rate of Compensation Increase | 3.52% | 3.51% | 3.80% |
Employee Benefit Plans - Health
Employee Benefit Plans - Health Care Cost Trend Rates Related to U.S. Plan (Detail) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Pre-age 65 | ||
Healthcare Cost Trend Rate | 7.00% | 7.00% |
Ultimate Trend Rate | 4.80% | 4.90% |
Year at which the Rate Reaches the Ultimate Trend Rate | 2,059 | 2,039 |
Post-age 65 | ||
Healthcare Cost Trend Rate | 7.00% | 6.00% |
Ultimate Trend Rate | 4.80% | 4.90% |
Year at which the Rate Reaches the Ultimate Trend Rate | 2,059 | 2,041 |
Employee Benefit Plans - Weight
Employee Benefit Plans - Weighted-Average Asset Allocations (Detail) | Dec. 31, 2016 | Dec. 31, 2015 |
Total | 100.00% | 100.00% |
U.S. | ||
Total | 100.00% | 100.00% |
U.K. | ||
Total | 100.00% | 100.00% |
Canada | ||
Total | 100.00% | 100.00% |
Retirement Plans | Equity securities | ||
Total | 61.90% | 59.80% |
Retirement Plans | Debt Securities | ||
Total | 31.20% | 33.00% |
Retirement Plans | Alternative | ||
Total | 6.80% | 7.10% |
Retirement Plans | Cash and short-term investments | ||
Total | 0.10% | 0.10% |
Retirement Plans | U.S. | Equity securities | ||
Total | 51.40% | 49.00% |
Retirement Plans | U.S. | Debt Securities | ||
Total | 34.70% | 36.80% |
Retirement Plans | U.S. | Alternative | ||
Total | 13.90% | 14.20% |
Retirement Plans | U.S. | Cash and short-term investments | ||
Total | 0.00% | 0.00% |
Retirement Plans | U.K. | Equity securities | ||
Total | 46.60% | 49.00% |
Retirement Plans | U.K. | Debt Securities | ||
Total | 52.80% | 50.20% |
Retirement Plans | U.K. | Alternative | ||
Total | 0.00% | 0.00% |
Retirement Plans | U.K. | Cash and short-term investments | ||
Total | 0.60% | 0.80% |
Retirement Plans | Canada | Equity securities | ||
Total | 64.90% | 62.90% |
Retirement Plans | Canada | Debt Securities | ||
Total | 35.00% | 36.80% |
Retirement Plans | Canada | Alternative | ||
Total | 0.00% | 0.00% |
Retirement Plans | Canada | Cash and short-term investments | ||
Total | 0.10% | 0.30% |
Income Taxes - Provision for Ta
Income Taxes - Provision for Taxes on Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Pretax income | |||
Domestic | $ 318,702 | $ 255,897 | $ 224,683 |
Foreign | 122,575 | 72,049 | 101,024 |
Income before income taxes | 441,277 | 327,946 | 325,707 |
Current | |||
Federal | 110,567 | 55,678 | 40,600 |
State | 10,808 | 6,000 | 6,889 |
Foreign | 40,788 | 31,610 | 29,630 |
Total current | 162,163 | 93,288 | 77,119 |
Deferred | |||
Federal | (861) | 11,002 | 29,078 |
State | (869) | (2,359) | 5,067 |
Foreign | 4,198 | (14,193) | (2,506) |
Total deferred | 2,468 | (5,550) | 31,639 |
Total taxes | $ 164,631 | $ 87,738 | $ 108,758 |
Income Taxes - Deferred Tax Lia
Income Taxes - Deferred Tax Liabilities/(Assets) (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Income Tax Disclosure [Abstract] | ||
Depreciation | $ 115,946 | $ 118,216 |
Intangibles | 219,584 | 232,420 |
Deferred Tax Liabilities, Gross | 335,530 | 350,636 |
Retiree health benefits | (971) | (2,078) |
Foreign loss carryforwards | (61,381) | (65,123) |
U.S. Federal loss carryforwards | (10,105) | (1,214) |
Capital loss carryforwards | (20) | (69) |
Employee benefits | (202,085) | (192,798) |
Accrued liabilities and other | (93,142) | (118,511) |
Gross deferred tax assets | (367,704) | (379,793) |
Valuation allowance on deferred tax assets | 49,797 | 49,464 |
Gross deferred tax liabilities | $ 17,623 | $ 20,307 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Feb. 28, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Line Items] | ||||
Loss carryforwards not subject to expiration | $ 226,200 | |||
Increase (decrease) in reserve for uncertain tax positions | 732 | $ (3,245) | $ (2,109) | |
Undistributed earnings of international subsidiaries total | 799,373 | |||
Unrecognized tax benefits | 15,300 | 15,000 | ||
Accrued for interest | 2,300 | 2,200 | ||
Interest expense | 200 | |||
Interest benefit | 550 | |||
Interest expense | 750 | |||
Reserve for uncertain tax benefits | 1,900 | |||
U.S. Federal | ||||
Income Taxes [Line Items] | ||||
Loss carryforwards | 2,600 | |||
Foreign | ||||
Income Taxes [Line Items] | ||||
Loss carryforwards | 241,000 | |||
State | ||||
Income Taxes [Line Items] | ||||
Loss carryforwards | 8,200 | |||
State credit carry forwards | 16,000 | |||
Uncertain Items Arising During Year | ||||
Income Taxes [Line Items] | ||||
Increase (decrease) in reserve for uncertain tax positions | 3,000 | 3,200 | 3,500 | |
Uncertain Items Arising During Prior Years | ||||
Income Taxes [Line Items] | ||||
Increase (decrease) in reserve for uncertain tax positions | (2,300) | $ (6,500) | $ (5,600) | |
2014 to 2019 | Foreign | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards subject to expiration | 7,700 | |||
2022 to 2034 | Foreign | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards subject to expiration | 7,100 | |||
France | Foreign | ||||
Income Taxes [Line Items] | ||||
Loss carryforwards not subject to expiration | $ 15,900 | |||
France | Minimum | Foreign | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards, estimated time until use | 20 years | |||
France | Maximum | Foreign | ||||
Income Taxes [Line Items] | ||||
Operating loss carryforwards, estimated time until use | 25 years | |||
Plastic Packaging Inc. | U.S. Federal | ||||
Income Taxes [Line Items] | ||||
Loss carryforwards | $ 29,000 | |||
Subsequent Event | Internal Revenue Service (IRS) | ||||
Income Taxes [Line Items] | ||||
Income tax examination, estimate of possible loss | $ 84,000 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of U.S. Federal Statutory Tax Rate to Actual Consolidated Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate | $ 154,447 | $ 114,781 | $ 113,998 |
State income taxes, net of federal tax benefit | 7,477 | 4,872 | 8,465 |
Valuation allowance | 639 | (8,080) | (2,264) |
Tax examinations including change in reserve for uncertain tax positions | 732 | (3,245) | (2,109) |
Change in estimates related to prior years | (2,401) | 1,596 | (518) |
Foreign earnings taxed at other than U.S. rates | (15,930) | (9,065) | (8,891) |
Disposition of business | 22,810 | (11,996) | 0 |
Effect of tax rate changes enacted during the year | 2,517 | (2,235) | 81 |
Deduction related to qualified production activities | (5,215) | (5,968) | (4,003) |
Other, net | (445) | 7,078 | 3,999 |
Total taxes | $ 164,631 | $ 87,738 | $ 108,758 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Statutory tax rate | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal tax benefit | 1.70% | 1.50% | 2.60% |
Valuation allowance | 0.10% | (2.50%) | (0.70%) |
Tax examinations including change in reserve for uncertain tax positions | 0.20% | (1.00%) | (0.60%) |
Change in estimates related to prior years | (0.50%) | 0.50% | (0.20%) |
Foreign earnings taxed at other than U.S. rates | (3.60%) | (2.80%) | (2.70%) |
Disposition of business | 5.20% | (3.60%) | 0.00% |
Effect of tax rate changes enacted during the year | 0.60% | (0.70%) | 0.00% |
Deduction related to qualified production activities | (1.20%) | (1.80%) | (1.20%) |
Other, net | (0.10%) | 2.20% | 1.20% |
Total taxes | 37.30% | 26.80% | 33.40% |
Income Taxes - Reconciliation86
Income Taxes - Reconciliation of Gross Amounts of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Gross unrecognized tax benefits, Beginning Balance | $ 17,200 | $ 26,000 | $ 28,800 |
Increases in prior years' unrecognized tax benefits | 1,400 | 1,500 | 6,800 |
Decreases in prior years' unrecognized tax benefits | (3,500) | (2,100) | (5,500) |
Increases in current year unrecognized tax benefits | 3,000 | 1,700 | 4,600 |
Decreases in unrecognized tax benefits from the lapse of statutes of limitations | (100) | (9,200) | (5,900) |
Settlements | (300) | (700) | (2,800) |
Gross unrecognized tax benefits, Ending Balance | $ 17,700 | $ 17,200 | $ 26,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Thousands | Apr. 07, 2015defendant | Jan. 31, 2017USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Mar. 29, 2015USD ($) | Nov. 08, 2011USD ($) |
Site Contingency [Line Items] | |||||||||
Environmental accrual | $ 24,515 | $ 24,515 | $ 25,195 | ||||||
Total future payments | 339,500 | 339,500 | |||||||
Payments in 2017 | 102,600 | 102,600 | |||||||
Payments in 2018 | 91,700 | 91,700 | |||||||
Payments in 2019 | 91,100 | 91,100 | |||||||
Payments in 2020 | 42,000 | 42,000 | |||||||
Payments in 2021 - 2025 | 12,100 | 12,100 | |||||||
U.S. Mills | |||||||||
Site Contingency [Line Items] | |||||||||
Increase (decrease) due to revision of estimates | $ 32,543 | ||||||||
Environmental accrual | 3,703 | 3,703 | |||||||
Loss contingency accrual, period increase (decrease) | 850 | ||||||||
Tegrant Holding Corporation | |||||||||
Site Contingency [Line Items] | |||||||||
Increase (decrease) due to revision of estimates | 68 | $ 324 | |||||||
Environmental accrual | 18,397 | 18,397 | 18,521 | $ 18,850 | |||||
Payment for remediation | 845 | ||||||||
Lower Fox River | U.S. Mills | |||||||||
Site Contingency [Line Items] | |||||||||
Settlement amount | $ 14,700 | ||||||||
Operating Units 2 - 5 | U.S. Mills | |||||||||
Site Contingency [Line Items] | |||||||||
Environmental accrual | $ 5,000 | ||||||||
Environmental remediation cumulative spending | $ 1,043 | $ 1,043 | $ 1,104 | ||||||
Appvion, Inc. | Lower Fox River | U.S. Mills | |||||||||
Site Contingency [Line Items] | |||||||||
Number of defendants | defendant | 8 | ||||||||
Subsequent Event | Appvion, Inc. | Lower Fox River | U.S. Mills | |||||||||
Site Contingency [Line Items] | |||||||||
Settlement amount | $ (3,334) |
Shareholders' Equity and Earn88
Shareholders' Equity and Earnings per Share - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
Apr. 30, 2015 | Oct. 31, 2014 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Feb. 10, 2016 | |
Equity [Line Items] | ||||||||||||||
Cost of shares repurchased | $ 106,739 | $ 7,868 | $ 87,800 | |||||||||||
Number of shares authorized for repurchase | 5,000,000 | |||||||||||||
Number of shares to be repurchased under authorization plan | 2,969,611 | 2,969,611 | ||||||||||||
Cash dividends per common share | $ 0.37 | $ 0.37 | $ 0.37 | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.32 | $ 1.46 | $ 1.37 | $ 1.27 | |||
Noncontrolling interest, increase from business combination | $ 0 | $ 7,922 | $ 974 | |||||||||||
Tax Withholding Obligations | ||||||||||||||
Equity [Line Items] | ||||||||||||||
Shares repurchased | 148,129 | 172,884 | 126,670 | |||||||||||
Cost of shares repurchased | $ 6,739 | $ 7,868 | $ 5,378 | |||||||||||
Buyback Program | ||||||||||||||
Equity [Line Items] | ||||||||||||||
Shares repurchased | 2,030,389 | 0 | 2,000,000 | |||||||||||
Cost of shares repurchased | $ 100,000 | $ 82,422 | ||||||||||||
Non-controlling Interests | ||||||||||||||
Equity [Line Items] | ||||||||||||||
Noncontrolling interest, increase from business combination | $ 7,922 | $ 974 | $ 0 | $ 7,922 | $ 974 | |||||||||
Graffo Paranaense de Embalagens S/A | ||||||||||||||
Equity [Line Items] | ||||||||||||||
Owned subsidiary, percentage | 67.00% | |||||||||||||
Percentage of ownership of Graffo | 33.00% | |||||||||||||
Percentage of ownership, small chilean tube and core business accounted | 33.00% | |||||||||||||
Weidenhammer Chile Ltda. | ||||||||||||||
Equity [Line Items] | ||||||||||||||
Owned subsidiary, percentage | 65.00% | |||||||||||||
Percentage of ownership of Graffo | 35.00% | |||||||||||||
Percentage of ownership, small chilean tube and core business accounted | 35.00% |
Shareholders' Equity and Earn89
Shareholders' Equity and Earnings per Share - Earnings Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Numerator: | |||||||||||
Net income attributable to Sonoco | $ 104,873 | $ 65,395 | $ 56,252 | $ 59,914 | $ 56,063 | $ 43,914 | $ 64,379 | $ 85,780 | $ 286,434 | $ 250,136 | $ 225,916 |
Denominator: | |||||||||||
Weighted average common shares outstanding | 101,093,000 | 101,482,000 | 102,215,000 | ||||||||
Dilutive effect of stock-based compensation | 689,000 | 910,000 | 957,000 | ||||||||
Diluted outstanding shares | 101,782,000 | 102,392,000 | 103,172,000 | ||||||||
Net income attributable to Sonoco: | |||||||||||
Basic (usd per share) | $ 1.04 | $ 0.65 | $ 0.56 | $ 0.59 | $ 0.55 | $ 0.43 | $ 0.63 | $ 0.85 | $ 2.83 | $ 2.46 | $ 2.21 |
Diluted (usd per share) | $ 1.04 | $ 0.64 | $ 0.55 | $ 0.59 | $ 0.55 | $ 0.43 | $ 0.63 | $ 0.84 | $ 2.81 | $ 2.44 | $ 2.19 |
Shareholders' Equity and Earn90
Shareholders' Equity and Earnings per Share - Shares Not Included in Computations of Diluted Income Per Share (Detail) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity [Abstract] | |||
Anti-dilutive options/SARs | 357 | 902 | 720 |
Segment Reporting Segment Repor
Segment Reporting Segment Reporting - Narrative (Details) | 12 Months Ended |
Dec. 31, 2016segment | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 4 |
Segment Reporting - Financial S
Segment Reporting - Financial Segment Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Total Revenue | |||||||||||
Total Revenue | $ 4,892,538 | $ 5,079,058 | $ 5,132,727 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 4,892,538 | 5,079,058 | 5,132,727 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 1,267,135 | $ 1,242,592 | $ 1,248,590 | $ 1,206,052 | 4,782,877 | 4,964,369 | 5,016,994 |
Income Before Income Taxes | |||||||||||
Income before income taxes | 441,277 | 327,946 | 325,707 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 3,923,203 | 4,013,685 | 3,923,203 | 4,013,685 | 4,186,706 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, depletion and amortization | 205,182 | 213,161 | 198,718 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 186,741 | 192,295 | 177,076 | ||||||||
Consumer Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 2,048,621 | 2,126,916 | 1,966,989 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 2,048,621 | 2,126,916 | 1,966,989 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 2,043,112 | 2,122,559 | 1,962,897 | ||||||||
Income Before Income Taxes | |||||||||||
Income before income taxes | 240,925 | 231,590 | 200,591 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 1,447,886 | 1,507,621 | 1,447,886 | 1,507,621 | 1,579,950 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, depletion and amortization | 88,875 | 96,220 | 75,782 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 86,369 | 75,986 | 63,117 | ||||||||
Display and Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 522,955 | 608,064 | 668,407 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 522,955 | 608,064 | 668,407 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 520,413 | 606,111 | 666,815 | ||||||||
Income Before Income Taxes | |||||||||||
Income before income taxes | 14,797 | 10,904 | 10,680 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 446,906 | 491,268 | 446,906 | 491,268 | 495,604 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, depletion and amortization | 16,716 | 16,623 | 17,034 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 11,542 | 10,906 | 9,432 | ||||||||
Paper and Industrial Converted Products | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 1,793,512 | 1,835,896 | 2,010,160 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 1,793,512 | 1,835,896 | 2,010,160 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 1,693,453 | 1,729,786 | 1,902,448 | ||||||||
Income Before Income Taxes | |||||||||||
Income before income taxes | 129,678 | 124,057 | 162,269 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 1,164,365 | 1,199,280 | 1,164,365 | 1,199,280 | 1,299,356 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, depletion and amortization | 74,742 | 76,744 | 83,076 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 60,601 | 74,008 | 73,636 | ||||||||
Protective Solutions | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 527,450 | 508,182 | 487,171 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 527,450 | 508,182 | 487,171 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 525,899 | 505,913 | 484,834 | ||||||||
Income Before Income Taxes | |||||||||||
Income before income taxes | 51,526 | 46,013 | 34,003 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 573,949 | 561,592 | 573,949 | 561,592 | 564,468 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, depletion and amortization | 24,849 | 23,574 | 22,826 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 12,860 | 15,724 | 22,238 | ||||||||
Corporate | |||||||||||
Income Before Income Taxes | |||||||||||
Income before income taxes | 4,351 | (84,618) | (81,836) | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | $ 290,097 | $ 253,924 | 290,097 | 253,924 | 247,328 | ||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 15,369 | 15,671 | 8,653 | ||||||||
Consolidation, Eliminations | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 109,661 | 114,689 | 115,733 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 109,661 | 114,689 | 115,733 | ||||||||
Consolidation, Eliminations | Consumer Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 5,509 | 4,357 | 4,092 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 5,509 | 4,357 | 4,092 | ||||||||
Consolidation, Eliminations | Display and Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 2,542 | 1,953 | 1,592 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 2,542 | 1,953 | 1,592 | ||||||||
Consolidation, Eliminations | Paper and Industrial Converted Products | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 100,059 | 106,110 | 107,712 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 100,059 | 106,110 | 107,712 | ||||||||
Consolidation, Eliminations | Protective Solutions | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 1,551 | 2,269 | 2,337 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | $ 1,551 | $ 2,269 | $ 2,337 |
Segment Reporting - Restructuri
Segment Reporting - Restructuring Asset Impairment and Acquisition Related Costs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | $ (55,908) | $ 30,020 | $ 29,445 |
Consumer Packaging | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | (80,500) | 15,097 | 12,536 |
Display and Packaging | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 7,883 | 1,812 | 4,042 |
Paper And Industrial Converted Products | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 27,567 | (490) | 4,340 |
Protective Solutions | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 1,018 | (1,469) | 1,527 |
Corporate | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | $ (11,876) | $ 15,070 | $ 7,000 |
Segment Reporting - Sales to Un
Segment Reporting - Sales to Unaffiliated Customers and Long-Lived Assets by Geographic Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 1,267,135 | $ 1,242,592 | $ 1,248,590 | $ 1,206,052 | $ 4,782,877 | $ 4,964,369 | $ 5,016,994 |
Long-lived Assets | |||||||||||
Long-lived Assets | 2,484,146 | 2,608,643 | 2,484,146 | 2,608,643 | 2,721,567 | ||||||
United States | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 3,112,016 | 3,206,513 | 3,285,017 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 1,671,168 | 1,719,746 | 1,671,168 | 1,719,746 | 1,738,648 | ||||||
Europe | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 951,783 | 971,302 | 841,452 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 599,698 | 627,126 | 599,698 | 627,126 | 680,791 | ||||||
Canada | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 268,556 | 262,038 | 292,163 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 111,452 | 157,208 | 111,452 | 157,208 | 184,879 | ||||||
All other | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 450,522 | 524,516 | 598,362 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | $ 101,828 | $ 104,563 | $ 101,828 | $ 104,563 | $ 117,249 |
Accumulated Other Comprehensi95
Accumulated Other Comprehensive Loss - Accumulated Other Comprehensive Income Loss and Changes in Accumulated Other Comprehensive Loss, Net of Tax (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | $ 1,532,873 | $ 1,503,847 |
Amounts reclassified from accumulated other comprehensive loss | 31,623 | 39,071 |
Ending Balance | 1,554,705 | 1,532,873 |
Foreign Currency Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (253,137) | (127,603) |
Other comprehensive income/(loss) before reclassifications | (33,361) | (125,534) |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Other comprehensive income/(loss) | (33,361) | (125,534) |
Ending Balance | (286,498) | (253,137) |
Defined Benefit Pension Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (444,244) | (475,286) |
Other comprehensive income/(loss) before reclassifications | (35,841) | 3,979 |
Amounts reclassified from accumulated other comprehensive loss | 26,264 | 27,063 |
Other comprehensive income/(loss) | (9,577) | 31,042 |
Ending Balance | (453,821) | (444,244) |
Gains and Losses on Cash Flow Hedges | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (5,152) | (5,962) |
Other comprehensive income/(loss) before reclassifications | 1,673 | (11,726) |
Amounts reclassified from accumulated other comprehensive loss | 5,359 | 12,008 |
Other comprehensive income/(loss) | 7,091 | 810 |
Ending Balance | 1,939 | (5,152) |
AOCI Attributable to Parent | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (702,533) | (608,851) |
Other comprehensive income/(loss) before reclassifications | (67,529) | (133,281) |
Amounts reclassified from accumulated other comprehensive loss | 31,623 | 39,071 |
Other comprehensive income/(loss) | (35,847) | (93,682) |
Ending Balance | (738,380) | (702,533) |
Fixed assets | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 59 | 528 |
Fixed assets | Foreign Currency Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Fixed assets | Defined Benefit Pension Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Fixed assets | Gains and Losses on Cash Flow Hedges | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | $ 59 | $ 528 |
Accumulated Other Comprehensi96
Accumulated Other Comprehensive Loss - Effects on Net Income of Significant Amounts Reclassified from Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Net Sales | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 1,267,135 | $ 1,242,592 | $ 1,248,590 | $ 1,206,052 | $ 4,782,877 | $ 4,964,369 | $ 5,016,994 |
Cost of sales | (3,845,451) | (4,034,947) | (4,109,108) | ||||||||
Income before income taxes | 441,277 | 327,946 | 325,707 | ||||||||
Tax benefit | (164,631) | (87,738) | (108,758) | ||||||||
Income before equity in earnings of affiliates | 276,646 | 240,208 | $ 216,949 | ||||||||
Reclassification from AOCI, current period, net of tax | (31,623) | (39,071) | |||||||||
Gains and losses on cash flow hedges | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, current period, net of tax | (5,359) | (12,008) | |||||||||
Gains and losses on cash flow hedges | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income before income taxes | (8,371) | (19,220) | |||||||||
Tax benefit | 3,012 | 7,212 | |||||||||
Income before equity in earnings of affiliates | (5,359) | (12,008) | |||||||||
Defined benefit pension items | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | (38,653) | (42,617) | |||||||||
Reclassification from AOCI, tax | (12,389) | (15,554) | |||||||||
Reclassification from AOCI, current period, net of tax | (26,264) | (27,063) | |||||||||
Foreign exchange contracts | Gains and losses on cash flow hedges | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Net Sales | (8,769) | (21,454) | |||||||||
Cost of sales | (3,981) | (12,154) | |||||||||
Commodity contracts | Gains and losses on cash flow hedges | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Cost of sales | 3,583 | 9,920 | |||||||||
Cost of sales | Defined benefit pension items | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | 28,990 | 31,963 | |||||||||
Selling, General and Administrative Expenses | Defined benefit pension items | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | $ 9,663 | $ 10,654 |
Accumulated Other Comprehensi97
Accumulated Other Comprehensive Loss - Components of Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Foreign currency translation adjustments | $ 32,405 | $ 129,652 | $ 103,447 |
Defined benefit pension items: | |||
Net other comprehensive income (loss) from defined benefit pension items, After Tax | (9,577) | 31,042 | (130,664) |
Gains and losses on cash flow hedges: | |||
Net other comprehensive income (loss) from cash flow hedges, After Tax | 7,091 | 810 | (5,700) |
AOCI Attributable to Parent | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Foreign currency items, Before Tax | (33,361) | (125,534) | |
Foreign currency items, Tax (Expense) Benefit | 0 | 0 | |
Foreign currency translation adjustments | 33,361 | 125,534 | 102,618 |
Defined benefit pension items: | |||
Other comprehensive income (loss), Before Tax | (56,383) | (2,523) | |
Other comprehensive income (loss), Tax (Expense) Benefit | 20,542 | 6,502 | |
Other comprehensive income (loss), After Tax | (35,841) | 3,979 | |
Amounts reclassified from accumulated other comprehensive income (loss) to net income, Before Tax | 38,653 | 42,617 | |
Amounts reclassified from accumulated other comprehensive income (loss) to net income, Tax (Expense) Benefit | (12,389) | (15,554) | |
Amounts reclassified from accumulated other comprehensive income (loss) to net income, After Tax | 26,264 | 27,063 | |
Net other comprehensive income (loss) from defined benefit pension items, Before Tax | (17,730) | 40,094 | |
Net other comprehensive income (loss) from defined benefit pension items, Tax (Expense) Benefit | 8,153 | (9,052) | |
Net other comprehensive income (loss) from defined benefit pension items, After Tax | (9,577) | 31,042 | (130,664) |
Gains and losses on cash flow hedges: | |||
Other comprehensive income (loss) before reclassifications, Before Tax | 2,613 | (18,167) | |
Other comprehensive income (loss) before reclassifications, Tax (Expense) Benefit | (940) | 6,441 | |
Other comprehensive income (loss) before reclassifications, After Tax | 1,673 | (11,726) | |
Amounts reclassified from accumulated other comprehensive income (loss), Before Tax | 8,371 | 19,220 | |
Amounts reclassified from accumulated other comprehensive income (loss), Tax (Expense) Benefit | (3,012) | (7,212) | |
Amounts reclassified from accumulated other comprehensive income (loss), After Tax | 5,359 | 12,008 | |
Net other comprehensive income (loss) from cash flow hedges, Before Tax | 11,043 | 1,581 | |
Net other comprehensive income (loss) from cash flow hedges, Tax (Expense) Benefit | (3,952) | (771) | |
Net other comprehensive income (loss) from cash flow hedges, After Tax | 7,091 | 810 | $ (5,700) |
Other comprehensive income (loss), Before Tax | (40,048) | (83,859) | |
Other comprehensive income (loss), Tax (Expense) Benefit | 4,201 | (9,823) | |
Other comprehensive income (loss), After Tax | (35,847) | (93,682) | |
AOCI Attributable to Parent | Fixed assets | |||
Gains and losses on cash flow hedges: | |||
Amounts reclassified from accumulated other comprehensive income (loss), Before Tax | 59 | 528 | |
Amounts reclassified from accumulated other comprehensive income (loss), Tax (Expense) Benefit | 0 | 0 | |
Amounts reclassified from accumulated other comprehensive income (loss), After Tax | $ 59 | $ 528 |
Accumulated Other Comprehensi98
Accumulated Other Comprehensive Loss - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Equity [Abstract] | ||
Defined benefit plan adjustment | $ (767) | $ (60) |
Selected Quarterly Financial 99
Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2015 | Sep. 27, 2015 | Jun. 28, 2015 | Mar. 29, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Selected Quarterly Financial Information [Abstract] | |||||||||||
Net Sales | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 1,267,135 | $ 1,242,592 | $ 1,248,590 | $ 1,206,052 | $ 4,782,877 | $ 4,964,369 | $ 5,016,994 |
Gross profit | 214,787 | 235,373 | 242,013 | 245,253 | 239,343 | 229,373 | 240,316 | 220,390 | 937,426 | 929,422 | 907,886 |
Restructuring/Asset impairment charges | 1,430 | 8,947 | 23,278 | 9,228 | 21,000 | 19,551 | 10,445 | (359) | (42,883) | (50,637) | (22,792) |
Net income attributable to Sonoco | $ 104,873 | $ 65,395 | $ 56,252 | $ 59,914 | $ 56,063 | $ 43,914 | $ 64,379 | $ 85,780 | $ 286,434 | $ 250,136 | $ 225,916 |
Net income attributable to Sonoco: | |||||||||||
Basic (usd per share) | $ 1.04 | $ 0.65 | $ 0.56 | $ 0.59 | $ 0.55 | $ 0.43 | $ 0.63 | $ 0.85 | $ 2.83 | $ 2.46 | $ 2.21 |
Diluted (usd per share) | 1.04 | 0.64 | 0.55 | 0.59 | 0.55 | 0.43 | 0.63 | 0.84 | 2.81 | 2.44 | 2.19 |
Cash dividends (usd per share) | 0.37 | 0.37 | 0.37 | 0.35 | 0.35 | 0.35 | 0.35 | 0.32 | $ 1.46 | $ 1.37 | $ 1.27 |
Market price - high | 55.47 | 53.57 | 50.13 | 49.08 | 44.56 | 44.13 | 46.50 | 47.94 | |||
Market price - low | $ 49.50 | $ 49.10 | $ 45.02 | $ 36.56 | $ 37.01 | $ 34.68 | $ 43.89 | $ 42.44 | |||
Disposal group, gain on disposition | $ 49,341 |
Schedule IV (Details)
Schedule IV (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Doubtful Accounts | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | $ 11,069 | $ 8,547 | $ 9,771 |
Charged to Costs and Expenses | 1,566 | 2,501 | 2,350 |
Charged to Other | (86) | 467 | (411) |
Deductions | 1,665 | 446 | 3,163 |
Closing Balance | 10,884 | 11,069 | 8,547 |
LIFO | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | 18,894 | 17,908 | 18,146 |
Charged to Costs and Expenses | (1,575) | 986 | (238) |
Closing Balance | 17,319 | 18,894 | 17,908 |
Valuation Allowance of Deferred Tax Assets | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | 49,464 | 63,231 | 60,856 |
Charged to Costs and Expenses | 3,273 | 2,248 | 828 |
Charged to Other | (306) | (5,686) | 5,367 |
Deductions | 2,634 | 10,329 | 3,820 |
Closing Balance | $ 49,797 | $ 49,464 | $ 63,231 |