Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 16, 2018 | Jul. 02, 2017 | |
Document Document And Entity Information [Abstract] | |||
Entity Registrant Name | SONOCO PRODUCTS CO | ||
Entity Central Index Key | 91,767 | ||
Current Fiscal Year End Date | --12-31 | ||
Trading Symbol | SON | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 99,487,362 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 5,025,108,611 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 254,912 | $ 257,226 |
Trade accounts receivable, net of allowances of $9,913 in 2017 and $10,884 in 2016 | 725,251 | 625,411 |
Other receivables | 64,561 | 43,553 |
Inventories | ||
Finished and in process | 196,204 | 127,446 |
Materials and supplies | 277,859 | 245,368 |
Prepaid expenses | 44,849 | 49,764 |
Total Current Assets | 1,563,636 | 1,348,768 |
Property, Plant and Equipment, Net | 1,169,377 | 1,060,017 |
Goodwill | 1,241,875 | 1,092,215 |
Other Intangible Assets, Net | 331,295 | 224,958 |
Long-term Deferred Income Taxes | 62,053 | 42,130 |
Other Assets | 189,485 | 155,115 |
Total Assets | 4,557,721 | 3,923,203 |
Current Liabilities | ||
Payable to suppliers | 548,309 | 477,831 |
Accrued expenses and other | 217,018 | 205,303 |
Accrued wages and other compensation | 66,337 | 68,693 |
Notes payable and current portion of long-term debt | 159,327 | 32,045 |
Accrued taxes | 8,979 | 18,744 |
Total Current Liabilities | 999,970 | 802,616 |
Long-term Debt | 1,288,002 | 1,020,698 |
Pension and Other Postretirement Benefits | 355,187 | 447,339 |
Deferred Income Taxes | 74,073 | 59,753 |
Other Liabilities | 110,429 | 38,092 |
Commitments and Contingencies | ||
Sonoco Shareholders' Equity | ||
Preferred shares, no par value, authorized 30,000 shares, 0 shares issued and outstanding at December 31, 2017 and 2016, respectively | ||
Common shares, no par value, authorized 300,000 shares, 99,193 and 100,944 shares issued and outstanding at December 31, 2017 and 2016, respectively | 7,175 | 7,175 |
Capital in excess of stated value | 330,157 | 321,050 |
Accumulated other comprehensive loss | (666,272) | (738,380) |
Retained earnings | 2,036,006 | 1,942,513 |
Total Sonoco Shareholders’ Equity | 1,707,066 | 1,532,358 |
Noncontrolling Interests | 22,994 | 22,347 |
Total Equity | 1,730,060 | 1,554,705 |
Total Liabilities and Equity | $ 4,557,721 | $ 3,923,203 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowances for trade accounts receivable | $ 9,913 | $ 10,884 |
Preferred stock, authorized (in shares) | 30,000,000 | 30,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Preferred stock, outstanding (in shares) | 0 | 0 |
Common stock, authorized (in shares) | 300,000,000 | 300,000,000 |
Common stock, issued (in shares) | 99,414,000 | 99,193,000 |
Common stock, outstanding (in shares) | 99,414,000 | 99,193,000 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Statement [Abstract] | |||
Net Sales | $ 5,036,650 | $ 4,782,877 | $ 4,964,369 |
Cost of sales | 4,087,260 | 3,845,451 | 4,034,947 |
Gross profit | 949,390 | 937,426 | 929,422 |
Selling, general and administrative expenses | 543,672 | 506,001 | 496,241 |
Restructuring/Asset impairment charges | 38,419 | 42,883 | 50,637 |
Gain on disposition of business, net | 0 | 104,292 | 0 |
Income before interest and income taxes | 367,299 | 492,834 | 382,544 |
Interest expense | 57,220 | 54,170 | 56,973 |
Interest income | 4,475 | 2,613 | 2,375 |
Income before income taxes | 314,554 | 441,277 | 327,946 |
Provision for income taxes | 146,589 | 164,631 | 87,738 |
Income before equity in earnings of affiliates | 167,965 | 276,646 | 240,208 |
Equity in earnings of affiliates, net of tax | 9,482 | 11,235 | 10,416 |
Net income | 177,447 | 287,881 | 250,624 |
Net (income) attributable to noncontrolling interests | (2,102) | (1,447) | (488) |
Net income attributable to Sonoco | $ 175,345 | $ 286,434 | $ 250,136 |
Weighted average common shares outstanding: | |||
Basic (in shares) | 100,237 | 101,093 | 101,482 |
Assuming exercise of awards (in shares) | 615 | 689 | 910 |
Diluted (in shares) | 100,852 | 101,782 | 102,392 |
Net income attributable to Sonoco: | |||
Basic (usd per share) | $ 1.75 | $ 2.83 | $ 2.46 |
Diluted (usd per share) | 1.74 | 2.81 | 2.44 |
Cash dividends (usd per share) | $ 1.54 | $ 1.46 | $ 1.37 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 177,447 | $ 287,881 | $ 250,624 | |
Other comprehensive income/(loss): | ||||
Foreign currency translation adjustments | 89,108 | (32,405) | (129,652) | |
Changes in defined benefit plans, net of tax | [1] | 59,924 | (9,577) | 31,042 |
Change in derivative financial instruments, net of tax | [1] | (2,580) | 7,091 | 810 |
Other comprehensive income/(loss) | 146,452 | (34,891) | (97,800) | |
Comprehensive income/(loss) | 323,899 | 252,990 | 152,824 | |
Net (income) attributable to noncontrolling interests | (2,102) | (1,447) | (488) | |
Other comprehensive loss/(income) attributable to noncontrolling interests | (1,105) | (956) | 4,118 | |
Comprehensive income/(loss) attributable to Sonoco | $ 320,692 | $ 250,587 | $ 156,454 | |
[1] | net of tax |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN TOTAL EQUITY - USD ($) $ in Thousands | Total | Common Shares | Capital in Excess of Stated Value | Accumulated Other Comprehensive Loss | Retained Earnings | Non- controlling Interests | |
Beginning Balance at Dec. 31, 2014 | $ 1,503,847 | $ 7,175 | $ 396,980 | $ (608,851) | $ 1,692,891 | $ 15,652 | |
Beginning Balance (in shares) at Dec. 31, 2014 | 100,603,000 | ||||||
Net income | 250,624 | 250,136 | 488 | ||||
Other comprehensive income/(loss): | |||||||
Translation gain/(loss) | (129,652) | (125,534) | (4,118) | ||||
Defined benefit plan adjustment | [1] | 31,042 | 31,042 | ||||
Derivative financial instruments | [1] | 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 (in shares) | 514,000 | ||||||
Shares repurchased | (7,868) | (7,868) | |||||
Shares repurchased (in 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 (in shares) at Dec. 31, 2015 | 100,944,000 | ||||||
Net income | 287,881 | 286,434 | 1,447 | ||||
Other comprehensive income/(loss): | |||||||
Translation gain/(loss) | (32,405) | (33,361) | 956 | ||||
Defined benefit plan adjustment | [1] | (9,577) | (9,577) | ||||
Derivative financial instruments | [1] | 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 (in shares) | 428,000 | ||||||
Shares repurchased | (106,739) | (106,739) | |||||
Shares repurchased (in shares) | (2,179,000) | ||||||
Stock-based compensation | 19,289 | 19,289 | |||||
Ending Balance at Dec. 31, 2016 | $ 1,554,705 | $ 7,175 | 321,050 | (738,380) | 1,942,513 | 22,347 | |
Ending Balance (in shares) at Dec. 31, 2016 | 99,193,000 | 99,193,000 | |||||
Net income | $ 177,447 | 175,345 | 2,102 | ||||
Other comprehensive income/(loss): | |||||||
Translation gain/(loss) | 89,108 | 88,003 | 1,105 | ||||
Defined benefit plan adjustment | [1] | 59,924 | 59,924 | ||||
Derivative financial instruments | [1] | (2,580) | (2,580) | ||||
Other comprehensive income/(loss) | 146,452 | 145,347 | 1,105 | ||||
Dividends | (154,773) | (154,773) | |||||
Issuance of stock awards | 1,636 | 1,636 | |||||
Issuance of stock awards (in shares) | 341,000 | ||||||
Shares repurchased | (6,335) | (6,335) | |||||
Shares repurchased (in shares) | (120,000) | ||||||
Stock-based compensation | 13,488 | 13,488 | |||||
Non-controlling interest from acquisition | (2,560) | (2,560) | |||||
Ending Balance at Dec. 31, 2017 | $ 1,730,060 | $ 7,175 | 330,157 | (666,272) | 2,036,006 | $ 22,994 | |
Ending Balance (in shares) at Dec. 31, 2017 | 99,414,000 | 99,414,000 | |||||
Other comprehensive income/(loss): | |||||||
Impact of new accounting pronouncements | $ 0 | $ 318 | $ (73,239) | $ 72,921 | |||
[1] | net of tax |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash Flows from Operating Activities | |||
Net income | $ 177,447 | $ 287,881 | $ 250,624 |
Adjustments to reconcile net income to net cash provided by operating activities | |||
Asset impairment | 20,017 | 7,122 | 24,408 |
Depreciation, depletion and amortization | 217,625 | 205,182 | 213,161 |
Loss/(Gain) on adjustment of Fox River environmental reserves | 0 | 850 | (32,543) |
Share-based compensation expense | 13,488 | 19,289 | 9,257 |
Equity in earnings of affiliates | (9,482) | (11,235) | (10,416) |
Cash dividends from affiliated companies | 6,967 | 10,231 | 8,131 |
Gain/(Loss) on disposition of assets, net | 2,039 | 14,173 | (5,719) |
Gain on disposition of business | 0 | (108,699) | 0 |
Pension and postretirement plan expense | 78,506 | 45,281 | 57,308 |
Pension and postretirement plan contributions | (108,579) | (46,716) | (36,009) |
Tax effect of share-based compensation exercises | 0 | 2,654 | 3,601 |
Excess tax benefit of share-based compensation | 0 | (2,695) | (3,622) |
Net (decrease)/increase in deferred taxes | (20,553) | 2,591 | (3,737) |
Change in assets and liabilities, net of effects from acquisitions, dispositions and foreign currency adjustments | |||
Trade accounts receivable | (43,773) | (44,672) | (15,398) |
Inventories | (16,067) | (11,515) | (2,567) |
Payable to suppliers | 4,226 | 5,550 | 12,349 |
Prepaid expenses | (110) | 5,125 | (6,766) |
Accrued expenses | (14,606) | (11,742) | 15,299 |
Income taxes payable and other income tax items | 70,180 | 21,913 | (17,118) |
Fox River environmental reserves | 0 | (1,043) | (1,335) |
Other assets and liabilities | (27,967) | 9,154 | (5,978) |
Net cash provided by operating activities | 349,358 | 398,679 | 452,930 |
Cash Flows from Investing Activities | |||
Purchase of property, plant and equipment | (188,913) | (186,741) | (192,295) |
Cost of acquisitions, net of cash acquired | (383,725) | (88,632) | (17,447) |
Cash paid for disposition of assets | 0 | (8,436) | 0 |
Proceeds from the sale of assets | 5,271 | 280,373 | 32,530 |
Investment in affiliates and other | 1,687 | 294 | (2,657) |
Net cash used by investing activities | (565,680) | (3,142) | (179,869) |
Cash Flows from Financing Activities | |||
Proceeds from issuance of debt | 448,511 | 241,180 | 68,182 |
Principal repayment of debt | (217,320) | (306,305) | (182,900) |
Net increase in commercial paper borrowings | 124,000 | 0 | 0 |
Net increase/(decrease) in outstanding checks | 7,518 | (163) | (684) |
Cash dividends – common | (153,137) | (146,364) | (138,032) |
Excess tax benefit of share-based compensation | 0 | 2,695 | 3,622 |
Shares acquired | (6,335) | (106,739) | (7,868) |
Shares issued | 0 | 0 | 1,324 |
Net cash provided/(used) by financing activities | 203,237 | (315,696) | (256,356) |
Effects of Exchange Rate Changes on Cash | 10,771 | (5,049) | 4,561 |
(Decrease)/Increase in Cash and Cash Equivalents | (2,314) | 74,792 | 21,266 |
Cash and cash equivalents at beginning of year | 257,226 | 182,434 | 161,168 |
Cash and cash equivalents at end of year | 254,912 | 257,226 | 182,434 |
Supplemental Cash Flow Disclosures | |||
Interest paid, net of amounts capitalized | 57,170 | 53,411 | 57,551 |
Income taxes paid, net of refunds | $ 96,962 | $ 134,777 | $ 104,922 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
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 $107,722 and $106,956 at December 31, 2017 and 2016 , respectively. Affiliated companies over which the Company exercised a significant influence at December 31, 2017 , included: Entity Ownership Interest Percentage at December 31, 2017 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 4% of the Company’s net sales in 2017 , 5% in 2016 and 6% in 2015 , primarily in the Display and Packaging and Consumer Packaging segments. Receivables from this customer accounted for approximately 4% and 3% of the Company’s total trade accounts receivable at December 31, 2017 and 2016 , respectively. The Company’s next largest customer comprised approximately 3% of the Company’s net sales in 2017 , 4% in 2016 and 4% in 2015 . 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 7% and 6% of consolidated annual sales were settled under these arrangements in 2017 and 2016, 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 $21,000 in 2017 , $22,500 in 2016 and $22,100 in 2015 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 net realizable value. 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 14% and 19% of total inventories at December 31, 2017 and 2016 , 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 $17,632 and $17,319 at December 31, 2017 and 2016 , 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, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |
New accounting pronouncements | New accounting pronouncements In February 2018, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2018-02, "Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income," which allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. This update is effective for fiscal years beginning after December 15, 2018, and interim periods within those years, with early adoption permitted. The Company elected to early adopt this standard in the fourth quarter 2017 using specific identification and as a result reclassified $73,239 from "Accumulated other comprehensive income" to "Retained earnings." This reclassification related only to the change in the statutory tax rate and affected only the Company's Consolidated Statement of Financial Position at December 31, 2017, and Consolidated Statements of Changes in Total Equity for the year ended December 31, 2017. In August 2017, the FASB issued ASU 2017-12, "Targeted Improvements to Accounting for Hedging Activities," which expands and refines hedge accounting for both financial and non-financial risk components, aligns the recognition and presentation of the effects of hedging instruments and hedge items in the financial statements, and includes certain targeted improvements to ease the application of current guidance related to the assessment of hedge effectiveness. The update to the standard is effective for periods beginning after December 15, 2018, with early adoption permitted in any interim period after issuance of this update. The Company intends to elect early adoption of the standard effective January 1, 2018. The adoption is not expected to have a material effect on its consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, "Scope of Modification Accounting," which provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting under Topic 718. Under the new guidance, modification accounting to a share-based payment award will not be applied if all of the following are the same immediately before and after the change: the award's fair value (or calculated value or intrinsic value, if those measurement methods are used); the award's vesting conditions; and the award's classification as an equity or liability instrument. While the new guidance does not change the accounting for modifications, it is intended to reduce diversity in practice and result in fewer changes to the terms of an award being accounted for as modifications. This update is effective for annual periods, beginning after December 31, 2017, with early adoption permitted in any interim period after issuance of this update. The Company elected to early adopt the standard in the fourth quarter 2017. The adoption did not have a material effect on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” which requires an employer to report service cost in the same line item as other compensation costs arising from employees during the period. The other components of net benefit cost as defined are required to be presented separately from the service cost component and outside a subtotal of income from operations, if one is presented, or disclosed. This update also allows only the service cost component to be eligible for capitalization when applicable and is effective for periods beginning after December 15, 2017. The amendments should be applied retrospectively for the presentation of the components of net benefit cost in the income statement and prospectively for the capitalization of the service cost component. The Company does not expect the implementation of ASU 2017-07 to have a material effect on its consolidated financial statements. In January 2017, the 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 is 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, with early adoption permitted, and should be applied on a prospective basis. The Company intends to elect early adoption of the standard effective January 1, 2018. Any future goodwill impairment, should it occur, will be determined in accordance with this ASU. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory," effective for periods beginning after December 15, 2017. ASU 2016-16 requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset upon transfer other than inventory, eliminating the current recognition exception. Prior to this ASU, GAAP prohibited the recognition of current and deferred income taxes for intra-entity asset transfers until the asset was sold to an outside party. The recognition prohibition was an exception to the principle of comprehensive recognition of current and deferred income taxes in GAAP. 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 March 2016, the FASB issued ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting," which impacts several aspects of the accounting for share-based payment transactions, including among others, the classification of excess tax benefits in the statements of income and cash flows and accounting for forfeitures. The Company's adoption of this update effective January 1, 2017 resulted in the recognition of $2,453 of excess tax benefits in the income statement during 2017. In accordance with the provisions of this ASU, excess tax benefits have also been recognized on a prospective basis within the operating section of the consolidated statement of cash flows for 2017, rather than the financing section. Pursuant to adoption of the new ASU, the Company recorded a cumulative charge to retained earnings of $318 for the elimination of estimated forfeitures associated with the Company's share-based compensation. The Company has elected to recognize forfeitures prospectively as they occur beginning January 1, 2017. 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, "Leases" 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, but expects it to have a material impact on its Consolidated Statement of Financial Position. 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. ASU 2014-09 is effective for reporting periods beginning after December 15, 2017. Although the Company will not complete its final assessment and quantification of the impact of ASU 2014-09 on its consolidated financial statements until adoption, it 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 plans to adopt ASU 2014-09 in the first quarter of fiscal 2018 following the modified retrospective transition method and estimates the impact of the transition adjustment on the beginning balance of retained earnings will be approximately $5,000 . 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, 2017 , there were no other pronouncements pending adoption that are expected to have a material impact on the Company’s consolidated financial statements. |
Acquisitions and Dispositions
Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisitions and dispositions | Acquisitions and dispositions Acquisitions On July 24, 2017, the Company completed the acquisition of Clear Lam Packaging, Inc. ("Clear Lam") for $164,951 , net of cash acquired. Final consideration will be subject to an adjustment for working capital, which is expected to be completed by the end of the first quarter of 2018. Clear Lam manufactures high barrier flexible and forming films used to package a variety of products for consumer packaged goods companies, retailers and other industrial manufacturers, with a focus on structures used for perishable foods. It has production facilities in Elk Grove Village, Illinois, and Nanjing, China. The Company financed a portion of the transaction with $100,000 in borrowings from a $250,000 five -year term loan with the remaining purchase price funded from available short-term credit facilities. The provisional fair values of the assets acquired and liabilities assumed in connection with the acquisition of Clear Lam are as follows: Clear Lam: Trade accounts receivable $ 11,575 Inventories 25,933 Property, plant and equipment 25,673 Goodwill 52,907 Other intangible assets 77,600 Trade accounts payable (17,813 ) Other net tangible assets /(liabilities) (10,924 ) Net assets $ 164,951 Subsequent to acquiring Clear Lam, the Company continued to finalize its valuations of certain assets and liabilities based on new information obtained about facts and circumstances that existed as of the acquisition date including, but not limited to: inventory; property, plant and equipment; other intangible assets; deferred income taxes; and capital leases. Factors comprising goodwill, all of which is expected to be deductible for income tax purposes, include increased access to certain markets as well as the value of the assembled workforce. Clear Lam's financial results are included in the Company's Consumer Packaging segment. On March 14, 2017, the Company completed the acquisition of Packaging Holdings, Inc. and subsidiaries, including Peninsula Packaging LLC ("Packaging Holdings"), for $218,774 , net of cash acquired. Packaging Holdings 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 from five manufacturing facilities, including four in the United States and one in Mexico. The Company financed the transaction with a combination of cash and borrowings, including a $150,000 three -year term loan which was subsequently repaid with proceeds from the $250,000 term loan noted above. The fair values of the assets acquired and liabilities assumed in connection with the acquisition of Packaging Holdings are as follows: Packaging Holdings: Trade accounts receivable $ 14,415 Inventories 42,959 Property, plant and equipment 53,787 Goodwill 67,775 Other intangible assets 60,190 Trade accounts payable (22,394 ) Other net tangible assets /(liabilities) 2,042 Net assets $ 218,774 Subsequent to acquiring Packaging Holdings, the Company continued to finalize its valuations of certain assets and liabilities based on new information obtained about facts and circumstances that existed as of the acquisition date including, but not limited to: inventory; property, plant and equipment; other intangible assets; deferred income taxes; and capital leases. Factors comprising goodwill, of which approximately $30,500 is expected to be deductible for income tax purposes, include increased access to certain markets as well as the value of the assembled workforce. Packaging Holding's financial results are included in the Company's Consumer Packaging segment and the business will operate as the Peninsula brand of thermoformed packaging products within the Company's global plastics division. The following table presents the aggregate, unaudited financial results for Packaging Holdings and Clear Lam from their respective dates of acquisition: Aggregate Supplemental Information (unaudited) Packaging Holdings and Clear Lam 2017 Actual net sales $ 215,227 Actual net income $ 3,886 Although neither of the acquisitions completed during 2017 is considered individually material, they are considered material on a combined basis. The following table presents the Company's estimated pro forma consolidated results for 2017 and 2016, assuming both acquisitions had occurred on January 1, 2016. This pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved if the acquisitions had been completed as of the beginning of 2016, nor are they necessarily indicative of future consolidated results. Pro Forma Supplemental Information (unaudited) Consolidated 2017 2016 Net sales $ 5,143,066 $ 5,080,492 Net income attributable to Sonoco $ 178,205 $ 271,749 Earnings per share: Pro forma basic $ 1.78 $ 2.69 Pro forma diluted $ 1.77 $ 2.67 The pro forma information above does not project the Company’s expected results of any future period and gives no effect for any future synergistic benefits that may result from consolidating these subsidiaries or costs from integrating their operations with those of the Company. Pro forma information for both 2017 and 2016 includes adjustments to depreciation, amortization, interest expense, and income taxes. Acquisition-related costs of $4,345 and non-recurring expenses related to fair value adjustments to acquisition-date inventory of $5,750 were recognized in 2017 in connection with the acquisitions of Packaging Holdings and Clear Lam. These costs are excluded from 2017 pro forma net income and reflected as though having been incurred on January 1, 2016. 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 initially 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 initial 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. During 2017, the Company finalized its valuations of the assets and liabilities acquired based on information obtained about facts and circumstances that existed as of their respective acquisition dates. As a result, measurement period adjustments were made to the previously disclosed provisional fair values of PPI's net assets that increased identifiable intangibles by $1,400 , increased property, plant and equipment by $400 , increased the deferred tax liability by $599 , and decreased goodwill by $1,201 . 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 initially 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 initial 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 at that time. During 2017, the Company finalized its valuations of the assets and liabilities acquired based on information obtained about facts and circumstances that existed as of their respective acquisition dates. The measurement period adjustments to the previously disclosed provisional fair values of Laminar's net assets decreased goodwill by $326 , decreased deferred tax liabilities by $487 , and decreased property, plant and equipment by $161 . 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 that was paid 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 . 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 payment of $1,100 was paid in September 2017, upon the second anniversary of the acquisition. Acquisition-related costs of $8,040 , $4,569 and $1,663 were incurred in 2017 , 2016 and 2015 , 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. 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 . During 2017, the contingency was resolved with no additional proceeds being released to the Company and no additional gain on sale being recorded.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 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. There were no dispositions in 2017 or 2015. |
Restructuring and Asset Impairm
Restructuring and Asset Impairment | 12 Months Ended |
Dec. 31, 2017 | |
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 2017 and 2016 are reported as “ 2017 Actions” and “ 2016 Actions,” respectively. Actions initiated prior to 2016 , all of which were substantially complete at December 31, 2017 , are reported as “ 2015 and Earlier Actions.” Following are the total restructuring and asset impairment charges, net of adjustments, recognized during the periods presented: Year Ended December 31 2017 2016 2015 Restructuring/Asset impairment: 2017 Actions $ 15,329 $ — $ — 2016 Actions 1,935 32,997 — 2015 and Earlier Actions 2,570 7,269 38,572 Other asset impairments 18,585 2,617 12,065 Restructuring/Asset impairment charges $ 38,419 $ 42,883 $ 50,637 Income tax benefit (13,064 ) (7,520 ) (22,641 ) Equity method investments, net of tax — — — Restructuring cost/(benefit) attributable to noncontrolling interests, net of tax (71 ) (161 ) (93 ) Total impact of restructuring/asset impairment charges, net of tax $ 25,284 $ 35,202 $ 27,903 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 $3,600 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 2018. The Company continually evaluates its cost structure, including its manufacturing capacity, and additional restructuring actions are likely to be undertaken. 2017 Actions During 2017, the Company announced the closure of an expanded foam protective packaging plant in the United States (part of the Protective Solutions segment) and five tubes and cores plants - three in the United States, one in Belgium, and one in China (all part of the Paper and Industrial Converted Products segment). In addition, approximately 255 positions were eliminated throughout 2017 in conjunction with the Company's ongoing organizational effectiveness efforts. Below is a summary of 2017 Actions and related expenses by type incurred and estimated to be incurred through completion. 2017 Actions Year Ended December 31, 2017 Estimated Total Cost Severance and Termination Benefits Consumer Packaging $ 4,191 $ 5,941 Display and Packaging 741 741 Paper and Industrial Converted Products 4,018 4,018 Protective Solutions 1,398 1,398 Corporate 452 452 Asset Impairment/Disposal of Assets Consumer Packaging 351 351 Paper and Industrial Converted Products (95 ) (95 ) Protective Solutions 871 871 Other Costs Consumer Packaging 879 1,479 Display and Packaging 789 1,489 Paper and Industrial Converted Products 1,001 1,251 Protective Solutions 742 742 Corporate (9 ) (9 ) Total Charges and Adjustments $ 15,329 $ 18,629 The following table sets forth the activity in the 2017 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2017 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2016 $ — $ — $ — $ — 2017 charges 10,800 1,127 3,402 15,329 Cash payments (6,951 ) 636 (3,187 ) (9,502 ) Asset write downs/disposals — (1,763 ) — (1,763 ) Foreign currency translation 40 — (2 ) 38 Liability, December 31, 2017 $ 3,889 $ — $ 213 $ 4,102 Included in "Asset Impairment/Disposal of Assets" above is a loss of $ 1,238 primarily related to the impairment of fixed assets resulting from the closure of an expanded foam protective packaging plant in North Carolina, and a net gain of $ 111 relating primarily to the sale of two vacated buildings. The Company received proceeds of $ 636 from the sale of these buildings and wrote-off assets of $ 525 . "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 2017 Actions restructuring costs by the end of 2018 using cash generated from operations. 2016 Actions During 2016, the Company initiated the following actions: 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); 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), and 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. Year Ended December 31, Total Incurred to Date Estimated Total Cost 2016 Actions 2017 2016 Severance and Termination Benefits Consumer Packaging $ 34 $ 2,407 $ 2,441 $ 2,441 Display and Packaging (49 ) 4,304 4,255 4,255 Paper and Industrial Converted Products 494 5,887 6,381 6,381 Protective Solutions — 678 678 678 Corporate 14 1,550 1,564 1,564 Asset Impairment/Disposal of Assets Consumer Packaging — (306 ) (306 ) (306 ) Display and Packaging 96 2,712 2,808 2,808 Paper and Industrial Converted Products 45 13,300 13,345 13,345 Other Costs Consumer Packaging 59 731 790 790 Display and Packaging 388 286 674 674 Paper and Industrial Converted Products 804 1,298 2,102 2,102 Protective Solutions 50 150 200 200 Total Charges and Adjustments $ 1,935 $ 32,997 $ 34,932 $ 34,932 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 receipts/(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 2017 charges 493 141 1,301 1,935 Adjustments — — — — Cash (payments)/receipts (3,458 ) — (1,394 ) (4,852 ) Asset write downs/disposals — (141 ) (253 ) (394 ) Foreign currency translation 14 — 35 49 Liability, December 31, 2017 $ 607 $ — $ 329 $ 936 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 $ (13,988) were recognized from restructuring actions initiated in 2016. "Other Costs" in both 2016 and 2017 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 2018 using cash generated from operations. 2015 and Earlier Actions 2015 and Earlier Actions are comprised of a number of plant closures and workforce reductions initiated prior to 2016. Below is a summary of 2015 and Earlier Actions and related expenses by type incurred. Year Ended December 31, 2015 and Earlier Actions 2017 2016 2015 Severance and Termination Benefits Consumer Packaging $ 1,053 $ 3,147 $ 15,883 Display and Packaging 83 97 994 Paper and Industrial Converted Products 249 (6 ) 8,729 Protective Solutions — — 25 Corporate 6 (19 ) 2,775 Asset Impairment/Disposal of Assets Consumer Packaging (1,377 ) 1,658 (4,303 ) Display and Packaging (6 ) 335 474 Paper and Industrial Converted Products 263 190 10,097 Protective Solutions (28 ) 3 133 Other Costs Consumer Packaging 1,561 949 1,490 Display and Packaging 6 206 372 Paper and Industrial Converted Products 631 522 1,360 Protective Solutions 129 187 532 Corporate — — 11 Total Charges and Adjustments $ 2,570 $ 7,269 $ 38,572 The following table sets forth the activity in the 2015 and Earlier Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2015 and Earlier Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2015 $ 15,730 $ — $ 470 $ 16,200 2016 charges 5,095 3,185 5,085 13,365 Adjustments (1,876 ) (999 ) (3,221 ) (6,096 ) Cash receipts/(payments) (15,124 ) 2,154 (2,339 ) (15,309 ) Asset write downs/disposals — (4,340 ) — (4,340 ) Foreign currency translation (217 ) — 5 (212 ) Liability, December 31, 2016 $ 3,608 $ — $ — $ 3,608 2017 charges 1,987 (1,148 ) 2,840 3,679 Adjustments (596 ) — (513 ) (1,109 ) Cash receipts/(payments) (3,778 ) 2,921 (1,828 ) (2,685 ) Asset write downs/disposals — (1,773 ) — (1,773 ) Foreign currency translation 265 — 123 388 Liability, December 31, 2017 $ 1,486 $ — $ 622 $ 2,108 Included in "Asset Impairment/Disposal of Assets" in 2016 were the proceeds and gain from the sale of an asset related to the disposition of a paper mill facility in Pennsylvania. Also included in 2016 were asset impairment charges and asset write downs related to the closure of a rigid paper plant in Manchester, England (part of the Consumer Packaging segment). Included in "Asset Impairment/Disposal of Assets" in 2017 is a gain of $ 2,022 from the sale of the land and building of a rigid paper plant in Manchester, England. The Company received proceeds from the sale of $ 2,741 and wrote off assets of $ 719 . "Other Costs” in both 2016 and 2017 consist primarily of costs related to plant closures including equipment removal, utilities, plant security, property taxes and insurance. "Adjustments" in 2017 relate primarily to revisions to reserves for remaining severance payments and future building rental costs. The Company expects to recognize future pretax charges of approximately $300 associated with 2015 and Earlier Actions, and expects to pay the majority of the remaining 2015 and Earlier Actions restructuring costs by the end of 2018 using cash generated from operations. Other Asset Impairments During the fourth quarter of 2017, the Company recognized the impairment of a power generating facility at its Hartsville manufacturing complex. The facility, which is part of the Paper and Industrial Converted Products segment, was determined to have been rendered obsolete by the Company's new biomass facility and is scheduled for closure at the end of the first quarter of 2018. As a result of the pending closure, the Company recognized a pretax asset impairment charge of $ 17,822 , which includes the remaining net book value of the facility, in December 2017. As a result of the continued devaluation of the Venezuelan Bolivar in 2017, the Company recognized impairment charges against inventories and certain long-term nonmonetary assets totaling $ 338 . The assets were deemed to be impaired as the U.S. dollar value of the projected cash flows from these assets was no longer sufficient to recover their U.S. dollar carrying values. In addition, the Company has recognized foreign exchange remeasurement losses on net monetary assets of $ 425 . During the Company's 2016 annual goodwill impairment testing, management concluded that goodwill associated with the 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. 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, 2017 | |
Cash and Cash Equivalents [Abstract] | |
Book overdrafts and cash pooling | Book overdrafts and cash pooling At December 31, 2017 and 2016 , outstanding checks totaling $17,343 and $10,073 , respectively, were included in “Payable to suppliers” on the Company’s Consolidated Balance Sheets. In addition, outstanding payroll checks of $259 and $11 as of December 31, 2017 and 2016 , 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 $3,328 and $2,789 as of December 31, 2017 and 2016 , respectively. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
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: 2017 2016 Land $ 87,878 $ 84,404 Timber resources 41,664 41,441 Buildings 502,046 478,924 Machinery and equipment 2,871,622 2,637,753 Construction in progress 143,403 113,118 3,646,613 3,355,640 Accumulated depreciation and depletion (2,477,236 ) (2,295,623 ) Property, plant and equipment, net $ 1,169,377 $ 1,060,017 Estimated costs for completion of capital additions under construction totaled approximately $79,000 at December 31, 2017 . Depreciation and depletion expense amounted to $178,049 in 2017 , $173,295 in 2016 and $179,888 in 2015 . 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: 2018 – $46,400 ; 2019 – $38,500 ; 2020 – $30,400 ; 2021 – $21,300 ; 2022 – $17,700 and thereafter – $32,500 . Total rental expense under operating leases was approximately $68,900 in 2017 , $71,800 in 2016 and $72,400 in 2015 . |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 , are as follows: Consumer Packaging Display and Packaging Paper and Industrial Converted Products Protective Solutions Total Balance as of January 1, 2017 $ 435,590 $ 203,414 $ 221,983 $ 231,228 $ 1,092,215 Acquisitions 120,682 — — — 120,682 Other (1,201 ) — — (326 ) (1,527 ) Foreign currency translation 17,645 — 11,795 1,065 30,505 Balance as of December 31, 2017 $ 572,716 $ 203,414 $ 233,778 $ 231,967 $ 1,241,875 Acquisitions in 2017 resulted in the addition of $120,682 of goodwill. Of this total, $67,775 was recorded in connection with the March 2017 acquisition of Packaging Holdings and $52,907 was recorded in connection with the July 2017 acquisition of Clear Lam. In addition to these acquisitions, the Company made small adjustments to the goodwill related to the November 2016 acquisition of Plastics Packaging, Inc. and the September 2016 acquisition of Laminar Medica totaling $(1,201) and $(326) , respectively. See Note 3 for additional information. 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 2017. As part of this testing, the Company analyzed 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. Other than in Display and Packaging, there is no specific singular event or single change in circumstances the Company has identified that it believes could reasonably result in a change to expected future results in any of its reporting units sufficient to result in goodwill impairment. Based on its assessments, the Company concluded that there was no impairment of goodwill for any of its 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 $95,000 , respectively, at December 31, 2017 . A large portion of projected sales in the Display and Packaging reporting unit is concentrated in two customers, the loss of either of which could impact the Company's conclusion regarding the likelihood of goodwill impairment for the unit. Other intangible assets Details at December 31 are as follows: 2017 2016 Other Intangible Assets, Gross: Patents $ 21,957 $ 13,164 Customer lists 497,634 362,162 Trade names 25,148 19,902 Proprietary technology 20,779 20,721 Land use rights 298 288 Other 1,740 1,701 Other Intangible Assets, Gross $ 567,556 $ 417,938 Accumulated Amortization: Patents $ (7,187 ) $ (5,647 ) Customer lists (210,212 ) (172,292 ) Trade names (4,427 ) (2,733 ) Proprietary technology (13,192 ) (11,236 ) Land use rights (47 ) (41 ) Other (1,196 ) (1,031 ) Accumulated Amortization $ (236,261 ) $ (192,980 ) Other Intangible Assets, Net $ 331,295 $ 224,958 The March 2017 acquisition of Packaging Holdings resulted in the addition of $60,190 of intangible assets, of which $48,400 related to customer lists, $8,790 to patents, and $3,000 to trade names. The July 2017 acquisition of Clear Lam resulted in the addition of $77,600 of intangible assets, of which $75,500 related to customer lists and $2,100 to trade names. In addition, adjustments were made in 2017 to the provisional fair values of the assets acquired and the liabilities assumed in the November 2016 acquisition of PPI which resulted in the recognition of an additional $1,400 of intangible assets, all of which related to customer lists. These intangible assets will be amortized over an expected average useful life of 13.1 years . Aggregate amortization expense on intangible assets was $38,165 , $31,887 and $33,273 for the years ended December 31, 2017 , 2016 and 2015 , respectively. Amortization expense on intangible assets is expected to approximate $42,500 in 2018 , $41,300 in 2019 , $38,700 in 2020 , $36,800 in 2021 and $35,200 in 2022 . |
Debt
Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt at December 31 was as follows: 2017 2016 5.75% debentures due November 2040 $ 599,171 $ 599,136 4.375% debentures due November 2021 248,803 248,490 9.2% debentures due August 2021 4,294 4,309 1.00% foreign loan due May 2021 177,218 154,936 Term loan, due July 2022 246,328 — Commercial paper, average rate of 1.24% in 2017 and 0.63% in 2016 124,000 — Other foreign denominated debt, average rate of 3.7% in 2017 and 3.8% in 2016 21,735 33,254 Other notes 25,780 12,618 Total debt 1,447,329 1,052,743 Less current portion and short-term notes 159,327 32,045 Long-term debt $ 1,288,002 $ 1,020,698 On March 13, 2017, the Company entered into a $150,000 unsecured three -year floating-rate assignable loan agreement. The proceeds from this term loan were used to fund the acquisition of Packaging Holdings. On July 20, 2017, the Company entered into a Credit Agreement in connection with a new $750,000 bank credit facility with a syndicate of eight banks replacing an existing credit facility entered into on October 2, 2014, and reflecting substantially the same terms and conditions. Included in the new facility are a $500,000 five -year revolving credit facility and a $250,000 five -year term loan. Based on the pricing grid in the Credit Agreement and the Company's current credit ratings, the borrowing has an all-in drawn margin of 112.5 basis points above the London Interbank Offered Rate (LIBOR). Borrowings under the Credit Agreement are pre-payable at any time at the discretion of the Company and the term loan has annual amortization payments totaling $12,500 . Consistent with prior facilities, the $500,000 revolving credit facility will continue to support the Company's $350,000 commercial paper program. 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 $124,000 of outstanding commercial paper at December 31, 2017 and none at December 31, 2016 . Proceeds from the $250,000 term loan were used to repay the $150,000 term loan entered into on March 13, 2017, and the remaining $100,000 was used to partially fund the Clear Lam acquisition. 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 $500,000 committed revolving bank credit facility, the Company had approximately $203,000 available under unused short-term lines of credit at December 31, 2017 . 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, 2017 , 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: 2018 – $159,327 ; 2019 – $16,531 ; 2020 – $16,439 ; 2021 – $446,694 and 2022 – $199,414 . |
Financial Instruments and Deriv
Financial Instruments and Derivatives | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt $ 1,288,002 $ 1,426,862 $ 1,020,698 $ 1,116,336 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, 2017 and 2016 , 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, 2017 , natural gas swaps covering approximately 7.5 MMBTUs were outstanding. These contracts represent approximately 76.2% and 35.5% of anticipated U.S. and Canadian usage for 2018 and 2019, respectively. Additionally, the Company had swap contracts covering 1,796 metric tons of aluminum representing approximately 24% of anticipated usage for 2018. The total fair values of the Company’s commodity cash flow hedges were in a net loss position totaling $(1,713) at December 31, 2017 , and a net gain position totaling $3,636 at December 31, 2016 . The amount of the loss included in accumulated other comprehensive loss at December 31, 2017 , expected to be reclassified to the income statement during the next twelve months is $(1,166) . 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, 2017 , were as follows: Currency Action Quantity Colombian peso Purchase 7,644,551 Mexican peso Purchase 713,178 Canadian dollar Purchase 53,771 Euro Purchase 53,546 Turkish lira Purchase 14,131 Russian ruble Purchase 1,410 New Zealand dollar Sell (809 ) Australian dollar Sell (2,125 ) British pound Sell (12,592 ) Polish zloty Sell (173,137 ) The total net fair values of the Company’s foreign currency cash flow hedges were $950 and $(184) at December 31, 2017 and 2016 , respectively. During 2017 and 2016, certain foreign currency cash flow hedges related to construction in progress were settled as the capital expenditures were made. Gains totaling $64 and $59 were reclassified from accumulated other comprehensive loss and netted against the carrying value of the capitalized expenditures during the years ended December 31, 2017 and 2016 , respectively. The amount of the gain included in accumulated other comprehensive income at December 31, 2017 , expected to be reclassified to the income statement during the next twelve months is $88 . 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, 2017 , were as follows: Currency Action Quantity Colombian peso Purchase 4,764,646 Mexican peso Purchase 262,876 Canadian dollar Purchase 19,988 The fair value of the Company’s other derivatives was $(581) and $(696) at December 31, 2017 and 2016 , 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 2017 2016 Derivatives designated as hedging instruments: Commodity Contracts Prepaid expenses $ 149 $ 3,240 Commodity Contracts Other assets $ — $ 527 Commodity Contracts Accrued expenses and other $ (1,417 ) $ (89 ) Commodity Contracts Other liabilities $ (445 ) $ (42 ) Foreign Exchange Contracts Prepaid expenses $ 2,232 $ 761 Foreign Exchange Contracts Accrued expenses and other $ (1,282 ) $ (946 ) Derivatives not designated as hedging instruments: Foreign Exchange Contracts Prepaid expenses $ 90 $ 194 Foreign Exchange Contracts Accrued expenses and other $ (671 ) $ (890 ) 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, 2017 , 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 $ 5,947 Net sales $ 11,738 Net sales $ — Cost of sales $ (6,764 ) Cost of sales $ — Commodity Contracts $ (3,062 ) Cost of sales $ 1,667 Cost of sales $ 176 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 $ (2,138 ) 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 ) |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ (1,713 ) $ — $ — $ (1,713 ) $ — Foreign exchange contracts 950 — — 950 — Non-hedge derivatives, net: Foreign exchange contracts (581 ) — — (581 ) — Deferred compensation plan assets 268 — 268 — — Postretirement benefit plan assets: Common Collective Trust (a) $ 1,010,274 $ 1,010,274 $ — $ — $ — Mutual funds(b) 214,555 — — 214,555 — Fixed income securities(c) 167,992 — — 167,992 — Short-term investments(d) 2,239 1,052 1,187 — Hedge fund of funds(e) 69,500 69,500 — — — Real estate funds(f) 56,690 56,690 — — — Cash and accrued income 640 — 640 — — Total postretirement benefit plan assets $ 1,521,890 $ 1,136,464 $ 1,692 $ 383,734 $ — 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 $ — (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, 2017 or 2016 . 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, 2017 | |
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, 2017 , a total of 6,731,137 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 $13,488 , $19,289 and $9,257 , for 2017 , 2016 and 2015 , respectively. The related tax benefit recognized in net income was $5,058 , $7,040 , and $3,379 , 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. As discussed in Note 2 to these Consolidated Financial Statements, ASU 2016-09 required that excess tax benefits be recognized on the income statement beginning in 2017. Previously, these 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 $2,453 , $2,695 and $3,622 for 2017 , 2016 and 2015 , 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 (or good reason) termination within two years of a change in control. SARs granted prior to 2015 vested over one year . Since 2006, the Company has granted 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 and since 2015 vest over three years , with one-third vesting on each anniversary date of the grant, and have 10 -year terms. As of December 31, 2017 , unrecognized compensation cost related to nonvested SARs totaled $2,352 . This cost will be recognized over the remaining weighted-average vesting period of approximately 24 months. Noncash stock-based compensation associated with SARs totaled $3,719 , $2,878 , and $2,750 for 2017, 2016, and 2015, respectively. The aggregate intrinsic value of SARS exercised during 2017, 2016, and 2015 was $3,786 , $9,510 , and $11,888 , respectively. The weighted-average grant date fair value of SARs granted was $7.29 , $5.04 and $6.49 per share in 2017 , 2016 and 2015 , 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: 2017 2016 2015 Expected dividend yield 2.7 % 3.5 % 2.8 % Expected stock price volatility 17.2 % 18.5 % 18.2 % Risk-free interest rate 2.0 % 1.3 % 1.7 % Expected life of SARs 6 years 6 years 6 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, 2016 1,146,749 768,897 1,915,646 $ 41.06 Vested (443,405 ) 443,405 — Granted 536,760 — 536,760 $ 54.46 Exercised — (292,122 ) (292,122 ) $ 40.17 Forfeited/Expired (28,082 ) (4,190 ) (32,272 ) $ 43.29 Outstanding, December 31, 2017 1,212,022 915,990 2,128,012 $ 44.53 Exercisable, December 31, 2017 — 915,990 915,990 $ 40.82 The weighted average remaining contractual life for SARs outstanding and exercisable at December 31, 2017 was 8.0 years and 5.8 years , respectively. The aggregate intrinsic value for SARs outstanding and exercisable at December 31, 2017 was $18,926 and $10,631 , respectively. At December 31, 2017 , the fair market value of the Company’s stock used to calculate intrinsic value was $53.14 per share. There were no stock options outstanding at December 31, 2017 . The aggregate intrinsic value of stock options exercised during 2015 was $975 . Cash received by the Company on option exercises was $1,324 for 2015. There were no stock options exercised during 2017 and 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, 2016 486,045 551,020 1,037,065 $35.56 Granted 130,761 — 130,761 $50.11 Performance adjustments (134,899 ) — (134,899 ) $39.43 Vested (145,414 ) 145,414 — Converted — (220,155 ) (220,155 ) $36.90 Cancelled (1,874 ) (1,874 ) $36.31 Dividend equivalents — 10,145 10,145 $51.73 Outstanding, December 31, 2017 334,619 486,424 821,043 $37.12 2017 PCSU . As of December 31, 2017, the 2017 PCSUs to be awarded are estimated to range from 0 to 261,522 units and are tied to the three -year performance period ending December 31, 2019. 2016 PCSU. As of December 31, 2017, the 2016 PCSUs to be awarded are estimated to range from 0 to 373,572 units and are tied to the three -year performance period ending December 31, 2018. 2015 PCSU. The performance cycle for the 2015 PCSUs was completed on December 31, 2017. Outstanding stock units of 141,546 units were determined to have been earned, all of which qualified for vesting on December 31, 2017. The fair value of these units was $5,906 as of December 31, 2017. 2014 PCSU. The 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 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 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 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 $50.11 , $36.33 , and $42.44 per share in 2017 , 2016 and 2015 , respectively. Noncash stock-based compensation associated with PCSUs totaled $3,896 , $10,568 and $2,271 for 2017 , 2016 and 2015 , respectively. As of December 31, 2017 , there was approximately $7,017 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 During 2017 and 2016, 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 (or good reason) 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 $51.68 , $38.40 and $43.35 per share in 2017 , 2016 and 2015 , respectively. The fair value of shares vesting during the year was $1,129 , $1,291 , and $2,066 for 2017 , 2016 and 2015 , respectively. Noncash stock-based compensation associated with restricted stock grants totaled $3,554 , $3,122 and $2,336 for 2017 , 2016 and 2015 , respectively. As of December 31, 2017 , there was $2,469 of total unrecognized compensation cost related to nonvested restricted stock units. This cost is expected to be recognized over a weighted-average period of 26 months . The activity related to restricted stock units is as follows: Nonvested Vested Total Average Grant Date Fair Value Per Share Outstanding, December 31, 2016 210,346 178,510 388,856 $ 35.85 Granted 69,373 — 69,373 $ 51.68 Vested (53,543 ) 53,543 — Converted — (38,380 ) (38,380 ) $ 38.81 Cancelled (2,493 ) — (2,493 ) $ 42.01 Dividend equivalents 2,124 5,957 8,081 $ 51.73 Outstanding, December 31, 2017 225,807 199,630 425,437 $ 38.41 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, 2016 323,278 Deferred 36,362 Converted (4,835 ) Dividend equivalents 10,243 Outstanding, December 31, 2017 365,048 Deferred compensation for employees and directors of $2,850 , $2,721 , and $1,947 , which will be settled in Company stock at retirement, was deferred during 2017 , 2016 , and 2015 , respectively. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Retirement Benefits [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 certain 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: 2017 2016 2015 Retirement Plans Service cost $ 18,543 $ 19,508 $ 23,366 Interest cost 55,873 59,719 70,797 Expected return on plan assets (81,212 ) (85,466 ) (94,307 ) Amortization of net transition obligation — — 65 Amortization of prior service cost 910 809 745 Amortization of net actuarial loss 39,209 39,009 42,584 Effect of settlement loss 32,761 — — Other — — 49 Net periodic benefit cost $ 66,084 $ 33,579 $ 43,299 Retiree Health and Life Insurance Plans Service cost $ 313 $ 309 $ 711 Interest cost 463 482 766 Expected return on plan assets (1,636 ) (1,579 ) (1,661 ) Amortization of prior service credit (499 ) (498 ) (104 ) Amortization of net actuarial gain (759 ) (667 ) (673 ) Net periodic benefit income $ (2,118 ) $ (1,953 ) $ (961 ) The following tables set forth the Plans’ obligations and assets at December 31 : Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Change in Benefit Obligation Benefit obligation at January 1 $ 1,777,424 $ 1,733,596 $ 17,568 $ 19,053 Service cost 18,543 19,508 313 309 Interest cost 55,873 59,719 463 482 Plan participant contributions 391 439 744 888 Plan amendments 639 812 — — Actuarial loss/(gain) 99,402 93,772 (1,249 ) (1,223 ) Benefits paid (81,547 ) (89,455 ) (2,183 ) (1,956 ) Impact of foreign exchange rates 29,753 (40,856 ) 35 15 Other — (111 ) — — Benefit obligation at December 31 $ 1,837,938 $ 1,777,424 $ 15,691 $ 17,568 Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Change in Plan Assets Fair value of plan assets at January 1 $ 1,325,389 $ 1,298,186 $ 23,848 $ 22,250 Actual return on plan assets 198,071 130,717 3,986 1,872 Company contributions 93,662 32,504 851 860 Plan participant contributions 443 439 744 888 Benefits paid (81,547 ) (89,455 ) (2,183 ) (1,956 ) Impact of foreign exchange rates 29,460 (39,147 ) — — Expenses paid (8,225 ) (7,855 ) (69 ) (66 ) Fair value of plan assets at December 31 $ 1,494,713 $ 1,325,389 $ 27,177 $ 23,848 Funded Status of the Plans $ (343,225 ) $ (452,035 ) $ 11,486 $ 6,280 Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Total Recognized Amounts in the Consolidated Balance Sheets Noncurrent assets $ 24,380 $ 3,863 $ 12,851 $ 7,506 Current liabilities (13,220 ) (9,409 ) (820 ) (802 ) Noncurrent liabilities (354,385 ) (446,489 ) (545 ) (424 ) Net (liability)/asset $ (343,225 ) $ (452,035 ) $ 11,486 $ 6,280 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, 2017 and 2016 , are as follows: Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Net actuarial loss/(gain) $ 625,831 $ 708,533 $ (9,822 ) $ (7,056 ) Prior service cost/(credit) 3,780 4,051 (1,275 ) (1,774 ) $ 629,611 $ 712,584 $ (11,097 ) $ (8,830 ) The amounts recognized in Other Comprehensive Loss/(Income) include the following: Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2015 2017 2016 2015 Adjustments arising during the period: Net actuarial loss/(gain) $ (10,732 ) $ 56,060 $ 8,352 $ (3,525 ) $ (1,449 ) $ (4,129 ) Prior service cost/(credit) 639 1,069 513 — — (2,273 ) Net settlements/curtailments (32,761 ) — — — — — Reversal of amortization: Net actuarial (loss)/gain (39,209 ) (39,009 ) (42,584 ) 759 667 673 Prior service (cost)/credit (910 ) (809 ) (745 ) 499 498 104 Net transition obligation — — (65 ) — — — Total recognized in other comprehensive loss/(income) $ (82,973 ) $ 17,311 $ (34,529 ) $ (2,267 ) $ (284 ) $ (5,625 ) Total recognized in net periodic benefit cost and other comprehensive loss/(income) $ (16,889 ) $ 50,890 $ 8,770 $ (4,385 ) $ (2,237 ) $ (6,586 ) Of the amounts included in Accumulated Other Comprehensive Loss/(Income) as of December 31, 2017 , the portions the Company expects to recognize as components of net periodic benefit cost in 2018 are as follows: Retirement Plans Retiree Health and Life Insurance Plans Net actuarial loss/(gain) $ 37,385 $ (960 ) Prior service cost/(credit) 972 (498 ) Net transition obligation — — $ 38,357 $ (1,458 ) The accumulated benefit obligation for all defined benefit plans was $1,810,462 and $1,738,196 at December 31, 2017 and 2016 , 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, $1,554,395 , $1,538,350 and $1,186,789 , respectively, as of December 31, 2017 , and $1,474,993 , $1,446,624 and $1,019,094 , respectively, as of December 31, 2016 . 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 2018 $ 97,268 $ 1,515 2019 $ 93,487 $ 1,498 2020 $ 96,124 $ 1,427 2021 $ 94,688 $ 1,403 2022 $ 96,280 $ 1,327 2022-2026 $ 510,603 $ 5,663 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 2017 3.59 % 3.36 % 2.78 % 2016 4.12 % 3.70 % 2.95 % Rate of Compensation Increase 2017 3.40 % 3.28 % 3.62 % 2016 3.60 % 3.32 % 3.65 % 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 2017 4.12 % 3.70 % 2.95 % 2016 4.36 % 3.78 % 3.71 % 2015 4.00 % 3.52 % 3.49 % Expected Long-term Rate of Return 2017 6.86 % 6.98 % 4.52 % 2016 7.47 % 7.31 % 4.75 % 2015 7.67 % 7.39 % 4.92 % Rate of Compensation Increase 2017 3.60 % 3.32 % 3.65 % 2016 3.69 % 3.36 % 3.52 % 2015 3.99 % 3.42 % 3.51 % 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 96% 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 2017 6.75 % 6.75 % 2016 7.00 % 7.00 % Ultimate Trend Rate Pre-age 65 Post-age 65 2017 4.50 % 4.50 % 2016 4.80 % 4.80 % Year at which the Rate Reaches the Ultimate Trend Rate Pre-age 65 Post-age 65 2017 2026 2026 2016 2059 2059 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 $176 and $15 , 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 $163 and $13 , 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 settlements, changes and amendments In February 2017, the Company initiated a program to settle a portion of the projected benefit obligation (PBO) relating to terminated vested participants in the U.S. qualified retirement plans through either a single, lump-sum payment or the purchase of an annuity. The terminated vested population comprised approximately 15% of the beginning of year PBO of these plans. The Company successfully settled approximately 47% of the PBO for the terminated vested plan participants. As a result of these and other smaller settlements, the Company recognized non-cash settlement charges of $32,761 in 2017. All settlement payments were funded from plan assets and did not require the Company to make any additional cash contributions in 2017. The Company does not expect to recognize any additional settlement charges in 2018. 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 . Retirement plan assets The following table sets forth the weighted-average asset allocations of the Company’s retirement plans at December 31, 2017 and 2016 , by asset category. Asset Category U.S. U.K. Canada Equity securities 2017 51.7 % 44.7 % 71.7 % 2016 51.4 % 46.6 % 64.9 % Debt securities 2017 37.1 % 54.7 % 27.9 % 2016 34.7 % 52.8 % 35.0 % Alternative 2017 11.2 % — % — % 2016 13.9 % — % — % Cash and short-term investments 2017 — % 0.6 % 0.4 % 2016 — % 0.6 % 0.1 % Total 2017 100.0 % 100.0 % 100.0 % 2016 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, 2017 , postretirement benefit plan assets totaled $1,521,890 , of which $1,124,453 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, 2017 December 31, 2016 Equity securities 63.6% 61.9% Debt securities 30.8% 31.2% Alternative 5.4% 6.8% Cash 0.2% 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 $38,500 in 2018. No assurances can be made, however, about funding requirements beyond 2018, as they will depend largely on actual investment returns and future actuarial assumptions. Sonoco Savings and Retirement Plan The Sonoco Savings and Retirement Plan is a defined contribution retirement plan provided for certain of the Company’s U.S. employees. The plan is comprised of both an elective and non-elective component. The elective component of the plan, which is designed to meet the requirements of section 401(k) of the Internal Revenue Code, allows participants to set aside a portion of their wages and salaries for retirement and encourages saving by matching a portion of their contributions with contributions from the Company. The plan provides for participant contributions of 1% to 100% 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 which are immediately fully vested. The Company’s expenses related to the plan for 2017 , 2016 and 2015 were approximately $11,200 , $11,400 and $11,500 , respectively. The non-elective component of the plan, the Sonoco Retirement Contribution (SRC), is available to certain employees who are not currently active participants in the Company’s U.S. qualified defined benefit pension plan. The SRC provides for an annual Company 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 2017 , 2016 and 2015 were approximately $14,540 , $13,655 and $14,970 , respectively. Cash contributions to the SRC totaled $14,066 , $13,352 and $12,865 in 2017 , 2016 and 2015 , 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, 2017 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income taxes The provision for taxes on income for the years ended December 31 consists of the following: 2017 2016 2015 Pretax income Domestic $ 168,180 $ 318,702 $ 255,897 Foreign 146,374 122,575 72,049 Total pretax income $ 314,554 $ 441,277 $ 327,946 Current Federal $ 120,398 $ 110,567 $ 55,678 State 5,623 10,808 6,000 Foreign 40,328 40,788 31,610 Total current $ 166,349 $ 162,163 $ 93,288 Deferred Federal $ (16,797 ) $ (861 ) $ 11,002 State 3,499 (869 ) (2,359 ) Foreign (6,462 ) 4,198 (14,193 ) Total deferred $ (19,760 ) $ 2,468 $ (5,550 ) Total taxes $ 146,589 $ 164,631 $ 87,738 Deferred tax liabilities/(assets) are comprised of the following at December 31 : 2017 2016 Property, plant and equipment $ 83,584 $ 115,946 Intangibles 174,395 219,584 Gross deferred tax liabilities $ 257,979 $ 335,530 Retiree health benefits $ 595 $ (971 ) Foreign loss carryforwards (59,975 ) (61,381 ) U.S. Federal loss carryforwards (17,977 ) (10,105 ) Capital loss carryforwards — (20 ) Employee benefits (115,771 ) (202,085 ) Accrued liabilities and other (100,031 ) (93,142 ) Gross deferred tax assets $ (293,159 ) $ (367,704 ) Valuation allowance on deferred tax assets $ 47,200 $ 49,797 Total deferred taxes, net $ 12,020 $ 17,623 Federal loss carryforwards of approximately $69,000 were acquired in the 2017 acquisition of Packaging Holdings. The Company has total federal net operating loss carryforwards of approximately $85,600 remaining at December 31, 2017 . These losses are limited based upon future taxable earnings of the respective entities and expire between 2029 and 2037. Foreign subsidiary loss carryforwards of approximately $230,300 remain at December 31, 2017 . Their use is limited to future taxable earnings of the respective foreign subsidiaries. Approximately $219,400 of these loss carryforwards do not have an expiration date. Of the remaining foreign subsidiary loss carryforwards, approximately $8,000 expire within the next five years and approximately $2,900 expire between 2023 and 2035. Approximately $14,000 in tax value of state loss carryforwards and $15,000 of state credit carryforwards remain at December 31, 2017 . These state loss and credit carryforwards are limited based upon future taxable earnings of the respective entities and expire between 2018 and 2037. 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 $15,700 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: 2017 2016 2015 Statutory tax rate $ 110,094 35.0 % $ 154,447 35.0 % $ 114,781 35.0 % State income taxes, net of federal tax benefit 4,780 1.5 7,477 1.7 % 4,872 1.5 % Valuation allowance (3,333 ) (1.1 ) 639 0.1 % (8,080 ) (2.5 )% Tax examinations including change in reserve for uncertain tax positions 4,895 1.6 732 0.2 % (3,245 ) (1.0 )% Adjustments to prior year deferred taxes (1,415 ) (0.4 ) (2,401 ) (0.5 )% 1,596 0.5 % Foreign earnings taxed at other than U.S. rates (16,233 ) (5.2 ) (15,930 ) (3.6 )% (9,065 ) (2.8 )% Disposition of business 537 0.2 22,810 5.2 % (11,996 ) (3.6 )% Effect of tax rate changes enacted during the year (22,183 ) (7.1 ) 2,517 0.6 % (2,235 ) (0.7 )% Deduction related to qualified production activities (5,384 ) (1.7 ) (5,215 ) (1.2 )% (5,968 ) (1.8 )% Transition tax 76,933 24.5 — — — — Other, net (2,102 ) (0.7 ) (445 ) (0.1 )% 7,078 2.2 % Total taxes $ 146,589 46.6 % $ 164,631 37.3 % $ 87,738 26.8 % On December 22, 2017, the Tax Cuts and Jobs Act ("Tax Act") was signed into law making significant changes to the Internal Revenue Code. Changes include, but are not limited to, a corporate tax rate decrease from 35% to 21% effective for tax years beginning after December 31, 2017, a change in methodology for taxation of earnings from non-US operations, and a one-time transition tax on certain accumulated foreign earnings as of December 31, 2017. The Company has calculated its best estimate of the impact of the Tax Act in its year-end income tax provision in accordance with its understanding of the Tax Act and guidance available as of the date of this filing and as a result has recorded $51,265 as additional income tax expense in the fourth quarter of 2017, the period in which the legislation was enacted. The provisional amount related to the remeasurement of certain deferred tax assets and liabilities, based on the rates at which they are expected to reverse in the future, was $25,668 of additional benefit. The provisional amount related to the one-time transition tax on certain accumulated foreign earnings was $76,933 . Under the provisions of the Tax Act, the transition tax is payable in installments over a period of 8 years . Accordingly, $6,155 , the total expected to be paid in 2018, is included in "Accrued taxes" in the Company's Consolidated Balance sheet at December 31, 2017 , and the remaining non-current portion of $70,778 is included in "Other Liabilities." On December 22, 2017, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”) to address the application of U.S. GAAP in situations where a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Act. The Company has recognized the provisional tax impacts related to the one time transition tax and the revaluation of deferred tax assets and liabilities and included these amounts in its consolidated financial statements for the year ended December 31, 2017. The ultimate impact may differ from these provisional amounts, possibly materially, due to, among other things, additional analysis, changes in interpretations and assumptions the Company has made, additional regulatory guidance that may be issued, and actions the Company may take as a result of the Tax Act. Any subsequent adjustment to these amounts will be recorded to current tax expense in 2018 in the quarter the analysis is completed. 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 in reserves for uncertain tax positions of approximately $2,600 , $3,000 and $3,200 for uncertain items arising in 2017 , 2016 and 2015 , 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) , $(2,300) and $(6,500) in 2017 , 2016 and 2015 , 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. The benefits included in the "Effect of tax rate changes enacted during the year" for 2017 consists of the benefits related to the revaluation of deferred tax assets and liabilities due to the enactment of the Tax Act. The benefits included in "Valuation allowance" include a benefit of $3,100 related to the revaluation of the valuation allowance due to the enactment of the Tax Act. As of December 31, 2017 , the Company is in the process of evaluating the impact of the Tax Act on its permanent reinvestment assertion. With respect to accumulated earnings of foreign subsidiaries, no additional U.S. federal income taxes or foreign withholding taxes have been provided as all accumulated earnings of foreign subsidiaries are deemed to have been remitted as part of the one-time transition tax. The Company will finalize its analysis during 2018 and, as provided for in SAB 118, will make any necessary adjustments in the financial statements of future periods within the provided time frame, including a determination of our intentions with respect to undistributed earnings of international subsidiaries. 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: 2017 2016 2015 Gross Unrecognized Tax Benefits at January 1 $ 17,700 $ 17,200 $ 26,000 Increases in prior years’ unrecognized tax benefits 700 1,400 1,500 Decreases in prior years’ unrecognized tax benefits (2,400 ) (3,500 ) (2,100 ) Increases in current year's unrecognized tax benefits 1,600 3,000 1,700 Decreases in unrecognized tax benefits from the lapse of statutes of limitations (300 ) (100 ) (9,200 ) Settlements (200 ) (300 ) (700 ) Gross Unrecognized Tax Benefits at December 31 $ 17,100 $ 17,700 $ 17,200 Of the unrecognized tax benefit balances at December 31, 2017 and December 31, 2016 , approximately $15,500 and $15,300 , 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 $2,300 accrued for interest related to uncertain tax positions at December 31, 2017 and December 31, 2016 , respectively. Tax expense for the year ended December 31, 2017 , includes approximately $100 of interest benefit, which is comprised of an interest benefit of approximately $800 related to the adjustment of prior years' items and interest expense of $700 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 income tax examinations by tax authorities for years before 2012. The Company believes that it is reasonably possible that the amount reserved for uncertain tax positions at December 31, 2017 will increase by approximately $400 over the next twelve months. This change includes the anticipated increase in reserves related to existing positions offset by settlements of issues currently under examination and the release of existing reserves due to the expiration of the statute of limitations. Although the Company's estimate for the potential outcome for any uncertain tax issue is highly judgmental, management believes that any reasonably foreseeable outcomes related to these matters have been adequately provided for. 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. As previously disclosed, the Company received a draft Notice of Proposed Adjustment (“NOPA”) from the Internal Revenue Service (IRS) in February 2017 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. In March 2017, the Company received a draft NOPA proposing penalties of $18,000 associated with the IRS’s recharacterization, as well as an Information Document Request (“IDR”) requesting the Company’s analysis of why such penalties should not apply. The Company responded to this IDR in April 2017. On October 5, 2017, the Company received two revised draft NOPAs proposing the same adjustments and penalties as in the prior NOPAs. On November 14, 2017, the Company received two final NOPAs proposing the same adjustments and penalties as in the prior NOPAs. On November 20, 2017, the Company received a Revenue Agents Report (“RAR”) that included the same adjustments and penalties as in the prior NOPAs. At the time of the distribution 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 taxable 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 RAR would be approximately $89,000 , excluding interest and the previously referenced penalties. On January 22, 2018, the Company filed 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. In January 2018, the FASB released guidance on accounting for the global intangible low-taxed income ("GILTI") provisions of the Tax Act. The GILTI provisions impose a tax on foreign income in excess of a deemed return on tangible assets of foreign corporations. The guidance indicates that, subject to an accounting policy election, it will be acceptable to either recognize deferred taxes for temporary differences expected to reverse as GILTI or treat the effects of such a reversal as a current tax item if and when incurred. Currently, the Company has not elected a method and will only do so after its completion of the analysis of the GILTI provisions, as provided for in SAB 118. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
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 In January 2017, U.S. Paper Mills Corp. (U.S. Mills), a wholly owned subsidiary of the Company, obtained Court approval of a final settlement of cost recovery claims made by Appvion, Inc. for $3,334 . The settlement was paid during the first quarter of 2017, and related legal and professional fees totaling $369 were paid during the course of 2017. All payments were made against previously established reserves and no additional expense was required to be recognized in 2017. 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. Spartanburg In connection with its acquisition of Tegrant in November 2011, the Company identified potential environmental contamination at a site in Spartanburg, South Carolina. The total remediation cost of the Spartanburg site was estimated to be $17,400 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 $913 on remediation of the Spartanburg site. During previous years, the Company has increased its reserves for this site by a total of $17 in order to reflect its best estimate of what it is likely to pay in order to complete the remediation. At December 31, 2017 and 2016 , the Company's accrual for environmental contingencies related to the Spartanburg site totaled $16,504 and $16,821 , 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, 2017 and 2016 , the Company (and its subsidiaries) had accrued $20,306 and $24,515 , 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 final Revenue Agent's Report ("RAR") 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 $89,000 , excluding interest and penalties. On January 22, 2018, the Company filed 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. 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, 2017 , 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 $289,300 , as follows: $118,400 in 2018 ; $71,900 in 2019 ; $58,800 in 2020 , $37,300 in 2021 and a total of $2,900 from 2022 through 2026. |
Shareholders' Equity and Earnin
Shareholders' Equity and Earnings per Share | 12 Months Ended |
Dec. 31, 2017 | |
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 119,349 shares during 2017 , 148,129 shares during 2016 , and 172,884 shares during 2015 , at a cost of $6,335 , $6,739 and $7,868 , 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 . No shares were repurchased during 2017. Accordingly, at December 31, 2017 , a total of 2,969,611 shares remain available for repurchase under this authorization. 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): 2017 2016 2015 Numerator: Net income attributable to Sonoco $ 175,345 $ 286,434 $ 250,136 Denominator: Weighted average common shares outstanding 100,237 101,093 101,482 Dilutive effect of stock-based compensation 615 689 910 Diluted outstanding shares 100,852 101,782 102,392 Per common share: Net income attributable to Sonoco: Basic $ 1.75 $ 2.83 $ 2.46 Diluted $ 1.74 $ 2.81 $ 2.44 No adjustments were made to reported net income in the computation of earnings per share. The Company paid dividends totaling $1.54 , $1.46 , and $1.37 per share in 2017 , 2016 and 2015 , 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, 2017 , 2016 and 2015 (in thousands): 2017 2016 2015 Anti-dilutive stock appreciation rights 487 357 902 These stock appreciation rights may become dilutive in future periods if the market price of the Company’s common stock appreciates. Noncontrolling interests During the third quarter of 2017, the Company recorded a $1,341 noncontrolling interest related to the creation of a joint venture for the manufacture of tubes and cores from a facility in Saudi Arabia. The Company owns a 51% share in the joint venture and the assets have been consolidated. 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. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2017 | |
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, pension settlement charges, 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 2017 $ 2,129,022 $ 511,099 $ 2,007,321 $ 540,665 $ — $ 5,188,107 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 Intersegment Sales 1 2017 $ 5,557 $ 2,863 $ 141,141 $ 1,896 $ — $ 151,457 2016 5,509 2,542 100,059 1,551 — 109,661 2015 4,357 1,953 106,110 2,269 — 114,689 Sales to Unaffiliated Customers 2017 $ 2,123,465 $ 508,236 $ 1,866,180 $ 538,769 $ — $ 5,036,650 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 Income Before Income Taxes 2 2017 $ 250,899 $ 2,502 $ 154,468 $ 42,121 $ (135,436 ) $ 314,554 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 Identifiable Assets 3 2017 $ 1,890,516 $ 480,892 $ 1,346,391 $ 552,425 $ 287,497 $ 4,557,721 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 Depreciation, Depletion and Amortization 4 2017 $ 98,882 $ 17,090 $ 74,850 $ 26,803 $ — $ 217,625 2016 88,875 16,716 74,742 24,849 — 205,182 2015 96,220 16,623 76,744 23,574 — 213,161 Capital Expenditures 2017 $ 63,617 $ 23,908 $ 61,443 $ 19,031 $ 20,914 $ 188,913 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 1 Intersegment sales are recorded at a market-related transfer price. 2 Included in Corporate are restructuring, asset impairment 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 2017 $ 9,990 $ 2,082 $ 24,281 $ 3,071 $ 43,267 $ 82,691 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 The remaining amounts reported as Corporate consist of interest expense, interest income, acquisition related charges, pension settlement charges, and other non-operational income and expenses not associated with a particular segment. 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: 2017 2016 2015 Sales to Unaffiliated Customers United States $ 3,263,975 $ 3,112,016 $ 3,206,513 Europe 981,178 951,783 971,302 Canada 245,992 268,556 262,038 All other 545,505 450,522 524,516 Total $ 5,036,650 $ 4,782,877 $ 4,964,369 Long-lived Assets United States $ 1,962,196 $ 1,671,168 $ 1,719,746 Europe 659,615 599,698 627,126 Canada 120,062 111,452 157,208 All other 108,395 101,828 104,563 Total $ 2,850,268 $ 2,484,146 $ 2,608,643 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, 2017 | |
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, 2017 and 2016 : Foreign Currency Items Defined Benefit Pension Items Gains and Losses on Cash Flow Hedges Accumulated Other Comprehensive Loss 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 ) Other comprehensive income/(loss) before reclassifications 88,003 9,840 2,266 100,109 Amounts reclassified from accumulated other comprehensive loss to net income — 49,849 (4,675 ) 45,174 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 64 64 Other comprehensive income/(loss) 88,003 59,689 (2,345 ) 145,347 Amounts reclassified from accumulated other comprehensive loss to retained earnings — (73,004 ) (235 ) (73,239 ) Balance at December 31, 2017 $ (198,495 ) $ (467,136 ) $ (641 ) $ (666,272 ) "Other comprehensive income/(loss) before reclassifications" during 2017, includes $5,071 of "Defined Benefit Pension Items" related to the release of a portion of the valuation allowance on deferred tax assets related to the pension plan of a foreign subsidiary. 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, 2017 and 2016 : 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 $ 11,738 $ (8,769 ) Net Sales Foreign exchange contracts (6,764 ) 3,981 Cost of sales Commodity contracts 1,667 (3,583 ) Cost of sales 6,641 (8,371 ) Income before income taxes (1,966 ) 3,012 Provision for income taxes $ 4,675 $ (5,359 ) Net income Defined benefit pension items Effect of settlement $ (32,761 ) $ — Selling, general, and administrative expenses Amortization of defined benefit pension items (29,146 ) (28,990 ) Cost of sales Amortization of defined benefit pension items (9,715 ) (9,663 ) Selling, general, and administrative expenses (71,622 ) (38,653 ) Income before income taxes 21,773 12,389 Provision for income taxes (49,849 ) (26,264 ) Net income Total reclassifications for the period $ (45,174 ) $ (31,623 ) Net income The following table summarizes the tax (expense) benefit amounts for the other comprehensive loss components for the years ended December 31, 2017 and 2016 : For the year ended December 31, 2017 For the year ended December 31, 2016 Before Tax Amount Tax (Expense) Benefit After Tax Amount Before Tax Amount Tax (Expense) Benefit After Tax Amount Foreign currency items $ 88,003 $ — $ 88,003 $ (33,361 ) $ — $ (33,361 ) Defined benefit pension items: Other comprehensive income/(loss) before reclassifications 13,118 (3,278 ) 9,840 (56,383 ) 20,542 (35,841 ) Amounts reclassified from accumulated other comprehensive income/(loss) to net income 71,622 (21,773 ) 49,849 38,653 (12,389 ) 26,264 Net other comprehensive income/(loss) from defined benefit pension items 84,740 (25,051 ) 59,689 (17,730 ) 8,153 (9,577 ) Gains and losses on cash flow hedges: Other comprehensive income/(loss) before reclassifications 3,355 (1,089 ) 2,266 2,613 (940 ) 1,673 Amounts reclassified from accumulated other comprehensive income/(loss) to net income (6,641 ) 1,966 (4,675 ) 8,371 (3,012 ) 5,359 Amounts reclassified from accumulated other comprehensive income/(loss) to fixed assets 64 — 64 59 — 59 Net other comprehensive income/(loss) from cash flow hedges (3,222 ) 877 (2,345 ) 11,043 (3,952 ) 7,091 Other comprehensive income/(loss) $ 169,521 $ (24,174 ) $ 145,347 $ (40,048 ) $ 4,201 $ (35,847 ) The change in defined benefit plans includes pretax changes of $(836) and $(767) during the years ended December 31, 2017 and 2016 , related to one of the Company’s equity method investments. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2017 | |
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* 2017 Net sales $ 1,172,324 $ 1,240,674 $ 1,324,634 $ 1,299,018 Gross profit 220,222 235,875 250,873 242,420 Restructuring/Asset impairment charges 4,111 7,897 511 25,900 Net income attributable to Sonoco 53,733 43,125 72,812 5,675 Per common share: Net income attributable to Sonoco: - basic $ 0.54 $ 0.43 $ 0.73 $ 0.06 - diluted 0.53 0.43 0.72 0.06 Cash dividends - common 0.37 0.39 0.39 0.39 Market price - high 55.58 54.00 53.77 55.77 - low 51.87 49.66 47.10 50.39 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 * Net income attributable to Sonoco in the fourth quarter of 2017 includes an additional tax provision of $51,265 resulting from new U.S. tax reform legislation, and 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 II
Schedule II | 12 Months Ended |
Dec. 31, 2017 | |
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 2017 Allowance for Doubtful Accounts $ 10,884 $ 1,439 $ 243 1 $ 2,653 2 $ 9,913 LIFO Reserve 17,319 313 3 — — 17,632 Valuation Allowance on Deferred Tax Assets 49,797 6,967 (2,365 ) 4 7,200 5 47,199 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 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, 2017 | |
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 net realizable value. 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 14% and 19% of total inventories at December 31, 2017 and 2016 , 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 $17,632 and $17,319 at December 31, 2017 and 2016 , 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 In February 2018, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2018-02, "Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income," which allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. This update is effective for fiscal years beginning after December 15, 2018, and interim periods within those years, with early adoption permitted. The Company elected to early adopt this standard in the fourth quarter 2017 using specific identification and as a result reclassified $73,239 from "Accumulated other comprehensive income" to "Retained earnings." This reclassification related only to the change in the statutory tax rate and affected only the Company's Consolidated Statement of Financial Position at December 31, 2017, and Consolidated Statements of Changes in Total Equity for the year ended December 31, 2017. In August 2017, the FASB issued ASU 2017-12, "Targeted Improvements to Accounting for Hedging Activities," which expands and refines hedge accounting for both financial and non-financial risk components, aligns the recognition and presentation of the effects of hedging instruments and hedge items in the financial statements, and includes certain targeted improvements to ease the application of current guidance related to the assessment of hedge effectiveness. The update to the standard is effective for periods beginning after December 15, 2018, with early adoption permitted in any interim period after issuance of this update. The Company intends to elect early adoption of the standard effective January 1, 2018. The adoption is not expected to have a material effect on its consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, "Scope of Modification Accounting," which provides guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting under Topic 718. Under the new guidance, modification accounting to a share-based payment award will not be applied if all of the following are the same immediately before and after the change: the award's fair value (or calculated value or intrinsic value, if those measurement methods are used); the award's vesting conditions; and the award's classification as an equity or liability instrument. While the new guidance does not change the accounting for modifications, it is intended to reduce diversity in practice and result in fewer changes to the terms of an award being accounted for as modifications. This update is effective for annual periods, beginning after December 31, 2017, with early adoption permitted in any interim period after issuance of this update. The Company elected to early adopt the standard in the fourth quarter 2017. The adoption did not have a material effect on its consolidated financial statements. In March 2017, the FASB issued ASU 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost,” which requires an employer to report service cost in the same line item as other compensation costs arising from employees during the period. The other components of net benefit cost as defined are required to be presented separately from the service cost component and outside a subtotal of income from operations, if one is presented, or disclosed. This update also allows only the service cost component to be eligible for capitalization when applicable and is effective for periods beginning after December 15, 2017. The amendments should be applied retrospectively for the presentation of the components of net benefit cost in the income statement and prospectively for the capitalization of the service cost component. The Company does not expect the implementation of ASU 2017-07 to have a material effect on its consolidated financial statements. In January 2017, the 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 is 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, with early adoption permitted, and should be applied on a prospective basis. The Company intends to elect early adoption of the standard effective January 1, 2018. Any future goodwill impairment, should it occur, will be determined in accordance with this ASU. In October 2016, the FASB issued ASU 2016-16, "Intra-Entity Transfers of Assets Other Than Inventory," effective for periods beginning after December 15, 2017. ASU 2016-16 requires an entity to recognize the income tax consequences of an intra-entity transfer of an asset upon transfer other than inventory, eliminating the current recognition exception. Prior to this ASU, GAAP prohibited the recognition of current and deferred income taxes for intra-entity asset transfers until the asset was sold to an outside party. The recognition prohibition was an exception to the principle of comprehensive recognition of current and deferred income taxes in GAAP. 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 March 2016, the FASB issued ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting," which impacts several aspects of the accounting for share-based payment transactions, including among others, the classification of excess tax benefits in the statements of income and cash flows and accounting for forfeitures. The Company's adoption of this update effective January 1, 2017 resulted in the recognition of $2,453 of excess tax benefits in the income statement during 2017. In accordance with the provisions of this ASU, excess tax benefits have also been recognized on a prospective basis within the operating section of the consolidated statement of cash flows for 2017, rather than the financing section. Pursuant to adoption of the new ASU, the Company recorded a cumulative charge to retained earnings of $318 for the elimination of estimated forfeitures associated with the Company's share-based compensation. The Company has elected to recognize forfeitures prospectively as they occur beginning January 1, 2017. 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, "Leases" 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, but expects it to have a material impact on its Consolidated Statement of Financial Position. 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. ASU 2014-09 is effective for reporting periods beginning after December 15, 2017. Although the Company will not complete its final assessment and quantification of the impact of ASU 2014-09 on its consolidated financial statements until adoption, it 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 plans to adopt ASU 2014-09 in the first quarter of fiscal 2018 following the modified retrospective transition method and estimates the impact of the transition adjustment on the beginning balance of retained earnings will be approximately $5,000 . 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, 2017 , there were no other pronouncements pending adoption that are expected to have a material impact on the Company’s consolidated financial statements. |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Company Held Significant Investment | Affiliated companies over which the Company exercised a significant influence at December 31, 2017 , included: Entity Ownership Interest Percentage at December 31, 2017 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 % |
Acquisitions and Dispositions (
Acquisitions and Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Fair Values of Assets Acquired and Liabilities Assumed in Connection with Acquisition | he provisional fair values of the assets acquired and liabilities assumed in connection with the acquisition of Clear Lam are as follows: Clear Lam: Trade accounts receivable $ 11,575 Inventories 25,933 Property, plant and equipment 25,673 Goodwill 52,907 Other intangible assets 77,600 Trade accounts payable (17,813 ) Other net tangible assets /(liabilities) (10,924 ) Net assets $ 164,951 The fair values of the assets acquired and liabilities assumed in connection with the acquisition of Packaging Holdings are as follows: Packaging Holdings: Trade accounts receivable $ 14,415 Inventories 42,959 Property, plant and equipment 53,787 Goodwill 67,775 Other intangible assets 60,190 Trade accounts payable (22,394 ) Other net tangible assets /(liabilities) 2,042 Net assets $ 218,774 |
Pro Forma Supplemental Information | The following table presents the aggregate, unaudited financial results for Packaging Holdings and Clear Lam from their respective dates of acquisition: Aggregate Supplemental Information (unaudited) Packaging Holdings and Clear Lam 2017 Actual net sales $ 215,227 Actual net income $ 3,886 The following table presents the Company's estimated pro forma consolidated results for 2017 and 2016, assuming both acquisitions had occurred on January 1, 2016. This pro forma information is presented for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved if the acquisitions had been completed as of the beginning of 2016, nor are they necessarily indicative of future consolidated results. Pro Forma Supplemental Information (unaudited) Consolidated 2017 2016 Net sales $ 5,143,066 $ 5,080,492 Net income attributable to Sonoco $ 178,205 $ 271,749 Earnings per share: Pro forma basic $ 1.78 $ 2.69 Pro forma diluted $ 1.77 $ 2.67 |
Restructuring and Asset Impai30
Restructuring and Asset Impairment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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 2017 2016 2015 Restructuring/Asset impairment: 2017 Actions $ 15,329 $ — $ — 2016 Actions 1,935 32,997 — 2015 and Earlier Actions 2,570 7,269 38,572 Other asset impairments 18,585 2,617 12,065 Restructuring/Asset impairment charges $ 38,419 $ 42,883 $ 50,637 Income tax benefit (13,064 ) (7,520 ) (22,641 ) Equity method investments, net of tax — — — Restructuring cost/(benefit) attributable to noncontrolling interests, net of tax (71 ) (161 ) (93 ) Total impact of restructuring/asset impairment charges, net of tax $ 25,284 $ 35,202 $ 27,903 |
2017 Actions | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | Below is a summary of 2017 Actions and related expenses by type incurred and estimated to be incurred through completion. 2017 Actions Year Ended December 31, 2017 Estimated Total Cost Severance and Termination Benefits Consumer Packaging $ 4,191 $ 5,941 Display and Packaging 741 741 Paper and Industrial Converted Products 4,018 4,018 Protective Solutions 1,398 1,398 Corporate 452 452 Asset Impairment/Disposal of Assets Consumer Packaging 351 351 Paper and Industrial Converted Products (95 ) (95 ) Protective Solutions 871 871 Other Costs Consumer Packaging 879 1,479 Display and Packaging 789 1,489 Paper and Industrial Converted Products 1,001 1,251 Protective Solutions 742 742 Corporate (9 ) (9 ) Total Charges and Adjustments $ 15,329 $ 18,629 |
Schedule of Restructuring Reserve by Type of Cost | The following table sets forth the activity in the 2017 Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2017 Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2016 $ — $ — $ — $ — 2017 charges 10,800 1,127 3,402 15,329 Cash payments (6,951 ) 636 (3,187 ) (9,502 ) Asset write downs/disposals — (1,763 ) — (1,763 ) Foreign currency translation 40 — (2 ) 38 Liability, December 31, 2017 $ 3,889 $ — $ 213 $ 4,102 |
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. Year Ended December 31, Total Incurred to Date Estimated Total Cost 2016 Actions 2017 2016 Severance and Termination Benefits Consumer Packaging $ 34 $ 2,407 $ 2,441 $ 2,441 Display and Packaging (49 ) 4,304 4,255 4,255 Paper and Industrial Converted Products 494 5,887 6,381 6,381 Protective Solutions — 678 678 678 Corporate 14 1,550 1,564 1,564 Asset Impairment/Disposal of Assets Consumer Packaging — (306 ) (306 ) (306 ) Display and Packaging 96 2,712 2,808 2,808 Paper and Industrial Converted Products 45 13,300 13,345 13,345 Other Costs Consumer Packaging 59 731 790 790 Display and Packaging 388 286 674 674 Paper and Industrial Converted Products 804 1,298 2,102 2,102 Protective Solutions 50 150 200 200 Total Charges and Adjustments $ 1,935 $ 32,997 $ 34,932 $ 34,932 |
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 receipts/(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 2017 charges 493 141 1,301 1,935 Adjustments — — — — Cash (payments)/receipts (3,458 ) — (1,394 ) (4,852 ) Asset write downs/disposals — (141 ) (253 ) (394 ) Foreign currency translation 14 — 35 49 Liability, December 31, 2017 $ 607 $ — $ 329 $ 936 |
2015 and Earlier Actions | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring and Related Costs | 2015 and Earlier Actions are comprised of a number of plant closures and workforce reductions initiated prior to 2016. Below is a summary of 2015 and Earlier Actions and related expenses by type incurred. Year Ended December 31, 2015 and Earlier Actions 2017 2016 2015 Severance and Termination Benefits Consumer Packaging $ 1,053 $ 3,147 $ 15,883 Display and Packaging 83 97 994 Paper and Industrial Converted Products 249 (6 ) 8,729 Protective Solutions — — 25 Corporate 6 (19 ) 2,775 Asset Impairment/Disposal of Assets Consumer Packaging (1,377 ) 1,658 (4,303 ) Display and Packaging (6 ) 335 474 Paper and Industrial Converted Products 263 190 10,097 Protective Solutions (28 ) 3 133 Other Costs Consumer Packaging 1,561 949 1,490 Display and Packaging 6 206 372 Paper and Industrial Converted Products 631 522 1,360 Protective Solutions 129 187 532 Corporate — — 11 Total Charges and Adjustments $ 2,570 $ 7,269 $ 38,572 |
Schedule of Restructuring Reserve by Type of Cost | The following table sets forth the activity in the 2015 and Earlier Actions restructuring accrual included in “Accrued expenses and other” on the Company’s Consolidated Balance Sheets: 2015 and Earlier Actions Severance and Termination Benefits Asset Impairment/ Disposal of Assets Other Costs Total Liability, December 31, 2015 $ 15,730 $ — $ 470 $ 16,200 2016 charges 5,095 3,185 5,085 13,365 Adjustments (1,876 ) (999 ) (3,221 ) (6,096 ) Cash receipts/(payments) (15,124 ) 2,154 (2,339 ) (15,309 ) Asset write downs/disposals — (4,340 ) — (4,340 ) Foreign currency translation (217 ) — 5 (212 ) Liability, December 31, 2016 $ 3,608 $ — $ — $ 3,608 2017 charges 1,987 (1,148 ) 2,840 3,679 Adjustments (596 ) — (513 ) (1,109 ) Cash receipts/(payments) (3,778 ) 2,921 (1,828 ) (2,685 ) Asset write downs/disposals — (1,773 ) — (1,773 ) Foreign currency translation 265 — 123 388 Liability, December 31, 2017 $ 1,486 $ — $ 622 $ 2,108 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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: 2017 2016 Land $ 87,878 $ 84,404 Timber resources 41,664 41,441 Buildings 502,046 478,924 Machinery and equipment 2,871,622 2,637,753 Construction in progress 143,403 113,118 3,646,613 3,355,640 Accumulated depreciation and depletion (2,477,236 ) (2,295,623 ) Property, plant and equipment, net $ 1,169,377 $ 1,060,017 |
Goodwill and Other Intangible32
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 , are as follows: Consumer Packaging Display and Packaging Paper and Industrial Converted Products Protective Solutions Total Balance as of January 1, 2017 $ 435,590 $ 203,414 $ 221,983 $ 231,228 $ 1,092,215 Acquisitions 120,682 — — — 120,682 Other (1,201 ) — — (326 ) (1,527 ) Foreign currency translation 17,645 — 11,795 1,065 30,505 Balance as of December 31, 2017 $ 572,716 $ 203,414 $ 233,778 $ 231,967 $ 1,241,875 |
Summary of Other Intangible Assets | Details at December 31 are as follows: 2017 2016 Other Intangible Assets, Gross: Patents $ 21,957 $ 13,164 Customer lists 497,634 362,162 Trade names 25,148 19,902 Proprietary technology 20,779 20,721 Land use rights 298 288 Other 1,740 1,701 Other Intangible Assets, Gross $ 567,556 $ 417,938 Accumulated Amortization: Patents $ (7,187 ) $ (5,647 ) Customer lists (210,212 ) (172,292 ) Trade names (4,427 ) (2,733 ) Proprietary technology (13,192 ) (11,236 ) Land use rights (47 ) (41 ) Other (1,196 ) (1,031 ) Accumulated Amortization $ (236,261 ) $ (192,980 ) Other Intangible Assets, Net $ 331,295 $ 224,958 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Instruments | Debt at December 31 was as follows: 2017 2016 5.75% debentures due November 2040 $ 599,171 $ 599,136 4.375% debentures due November 2021 248,803 248,490 9.2% debentures due August 2021 4,294 4,309 1.00% foreign loan due May 2021 177,218 154,936 Term loan, due July 2022 246,328 — Commercial paper, average rate of 1.24% in 2017 and 0.63% in 2016 124,000 — Other foreign denominated debt, average rate of 3.7% in 2017 and 3.8% in 2016 21,735 33,254 Other notes 25,780 12,618 Total debt 1,447,329 1,052,743 Less current portion and short-term notes 159,327 32,045 Long-term debt $ 1,288,002 $ 1,020,698 |
Financial Instruments and Der34
Financial Instruments and Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 December 31, 2016 Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt $ 1,288,002 $ 1,426,862 $ 1,020,698 $ 1,116,336 |
Net Positions of Foreign Contracts | The net positions of these contracts at December 31, 2017 , were as follows: Currency Action Quantity Colombian peso Purchase 7,644,551 Mexican peso Purchase 713,178 Canadian dollar Purchase 53,771 Euro Purchase 53,546 Turkish lira Purchase 14,131 Russian ruble Purchase 1,410 New Zealand dollar Sell (809 ) Australian dollar Sell (2,125 ) British pound Sell (12,592 ) Polish zloty Sell (173,137 ) |
Net Positions of Other Derivatives Contract | The net positions of these contracts at December 31, 2017 , were as follows: Currency Action Quantity Colombian peso Purchase 4,764,646 Mexican peso Purchase 262,876 Canadian dollar Purchase 19,988 |
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 2017 2016 Derivatives designated as hedging instruments: Commodity Contracts Prepaid expenses $ 149 $ 3,240 Commodity Contracts Other assets $ — $ 527 Commodity Contracts Accrued expenses and other $ (1,417 ) $ (89 ) Commodity Contracts Other liabilities $ (445 ) $ (42 ) Foreign Exchange Contracts Prepaid expenses $ 2,232 $ 761 Foreign Exchange Contracts Accrued expenses and other $ (1,282 ) $ (946 ) Derivatives not designated as hedging instruments: Foreign Exchange Contracts Prepaid expenses $ 90 $ 194 Foreign Exchange Contracts Accrued expenses and other $ (671 ) $ (890 ) |
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, 2017 , 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 $ 5,947 Net sales $ 11,738 Net sales $ — Cost of sales $ (6,764 ) Cost of sales $ — Commodity Contracts $ (3,062 ) Cost of sales $ 1,667 Cost of sales $ 176 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 $ (2,138 ) 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 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 Assets measured at NAV (g) Level 1 Level 2 Level 3 Hedge derivatives, net: Commodity contracts $ (1,713 ) $ — $ — $ (1,713 ) $ — Foreign exchange contracts 950 — — 950 — Non-hedge derivatives, net: Foreign exchange contracts (581 ) — — (581 ) — Deferred compensation plan assets 268 — 268 — — Postretirement benefit plan assets: Common Collective Trust (a) $ 1,010,274 $ 1,010,274 $ — $ — $ — Mutual funds(b) 214,555 — — 214,555 — Fixed income securities(c) 167,992 — — 167,992 — Short-term investments(d) 2,239 1,052 1,187 — Hedge fund of funds(e) 69,500 69,500 — — — Real estate funds(f) 56,690 56,690 — — — Cash and accrued income 640 — 640 — — Total postretirement benefit plan assets $ 1,521,890 $ 1,136,464 $ 1,692 $ 383,734 $ — 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 $ — (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, 2017 | |
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: 2017 2016 2015 Expected dividend yield 2.7 % 3.5 % 2.8 % Expected stock price volatility 17.2 % 18.5 % 18.2 % Risk-free interest rate 2.0 % 1.3 % 1.7 % Expected life of SARs 6 years 6 years 6 years |
Company's SARs | The activity related to the Company’s SARs is as follows: Nonvested Vested Total Weighted- average Exercise Price Outstanding, December 31, 2016 1,146,749 768,897 1,915,646 $ 41.06 Vested (443,405 ) 443,405 — Granted 536,760 — 536,760 $ 54.46 Exercised — (292,122 ) (292,122 ) $ 40.17 Forfeited/Expired (28,082 ) (4,190 ) (32,272 ) $ 43.29 Outstanding, December 31, 2017 1,212,022 915,990 2,128,012 $ 44.53 Exercisable, December 31, 2017 — 915,990 915,990 $ 40.82 |
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, 2016 486,045 551,020 1,037,065 $35.56 Granted 130,761 — 130,761 $50.11 Performance adjustments (134,899 ) — (134,899 ) $39.43 Vested (145,414 ) 145,414 — Converted — (220,155 ) (220,155 ) $36.90 Cancelled (1,874 ) (1,874 ) $36.31 Dividend equivalents — 10,145 10,145 $51.73 Outstanding, December 31, 2017 334,619 486,424 821,043 $37.12 |
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, 2016 210,346 178,510 388,856 $ 35.85 Granted 69,373 — 69,373 $ 51.68 Vested (53,543 ) 53,543 — Converted — (38,380 ) (38,380 ) $ 38.81 Cancelled (2,493 ) — (2,493 ) $ 42.01 Dividend equivalents 2,124 5,957 8,081 $ 51.73 Outstanding, December 31, 2017 225,807 199,630 425,437 $ 38.41 |
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, 2016 323,278 Deferred 36,362 Converted (4,835 ) Dividend equivalents 10,243 Outstanding, December 31, 2017 365,048 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |
Components of Net Periodic Benefit Cost | The components of net periodic benefit cost include the following: 2017 2016 2015 Retirement Plans Service cost $ 18,543 $ 19,508 $ 23,366 Interest cost 55,873 59,719 70,797 Expected return on plan assets (81,212 ) (85,466 ) (94,307 ) Amortization of net transition obligation — — 65 Amortization of prior service cost 910 809 745 Amortization of net actuarial loss 39,209 39,009 42,584 Effect of settlement loss 32,761 — — Other — — 49 Net periodic benefit cost $ 66,084 $ 33,579 $ 43,299 Retiree Health and Life Insurance Plans Service cost $ 313 $ 309 $ 711 Interest cost 463 482 766 Expected return on plan assets (1,636 ) (1,579 ) (1,661 ) Amortization of prior service credit (499 ) (498 ) (104 ) Amortization of net actuarial gain (759 ) (667 ) (673 ) Net periodic benefit income $ (2,118 ) $ (1,953 ) $ (961 ) |
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 2017 2016 2017 2016 Change in Benefit Obligation Benefit obligation at January 1 $ 1,777,424 $ 1,733,596 $ 17,568 $ 19,053 Service cost 18,543 19,508 313 309 Interest cost 55,873 59,719 463 482 Plan participant contributions 391 439 744 888 Plan amendments 639 812 — — Actuarial loss/(gain) 99,402 93,772 (1,249 ) (1,223 ) Benefits paid (81,547 ) (89,455 ) (2,183 ) (1,956 ) Impact of foreign exchange rates 29,753 (40,856 ) 35 15 Other — (111 ) — — Benefit obligation at December 31 $ 1,837,938 $ 1,777,424 $ 15,691 $ 17,568 |
Fair Value of Plan Assets | Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Change in Plan Assets Fair value of plan assets at January 1 $ 1,325,389 $ 1,298,186 $ 23,848 $ 22,250 Actual return on plan assets 198,071 130,717 3,986 1,872 Company contributions 93,662 32,504 851 860 Plan participant contributions 443 439 744 888 Benefits paid (81,547 ) (89,455 ) (2,183 ) (1,956 ) Impact of foreign exchange rates 29,460 (39,147 ) — — Expenses paid (8,225 ) (7,855 ) (69 ) (66 ) Fair value of plan assets at December 31 $ 1,494,713 $ 1,325,389 $ 27,177 $ 23,848 Funded Status of the Plans $ (343,225 ) $ (452,035 ) $ 11,486 $ 6,280 |
Recognized Amounts in Consolidated Balance Sheets | Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Total Recognized Amounts in the Consolidated Balance Sheets Noncurrent assets $ 24,380 $ 3,863 $ 12,851 $ 7,506 Current liabilities (13,220 ) (9,409 ) (820 ) (802 ) Noncurrent liabilities (354,385 ) (446,489 ) (545 ) (424 ) Net (liability)/asset $ (343,225 ) $ (452,035 ) $ 11,486 $ 6,280 |
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, 2017 and 2016 , are as follows: Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2017 2016 Net actuarial loss/(gain) $ 625,831 $ 708,533 $ (9,822 ) $ (7,056 ) Prior service cost/(credit) 3,780 4,051 (1,275 ) (1,774 ) $ 629,611 $ 712,584 $ (11,097 ) $ (8,830 ) |
Amounts Recognized in Other Comprehensive Loss/(Income) | The amounts recognized in Other Comprehensive Loss/(Income) include the following: Retirement Plans Retiree Health and Life Insurance Plans 2017 2016 2015 2017 2016 2015 Adjustments arising during the period: Net actuarial loss/(gain) $ (10,732 ) $ 56,060 $ 8,352 $ (3,525 ) $ (1,449 ) $ (4,129 ) Prior service cost/(credit) 639 1,069 513 — — (2,273 ) Net settlements/curtailments (32,761 ) — — — — — Reversal of amortization: Net actuarial (loss)/gain (39,209 ) (39,009 ) (42,584 ) 759 667 673 Prior service (cost)/credit (910 ) (809 ) (745 ) 499 498 104 Net transition obligation — — (65 ) — — — Total recognized in other comprehensive loss/(income) $ (82,973 ) $ 17,311 $ (34,529 ) $ (2,267 ) $ (284 ) $ (5,625 ) Total recognized in net periodic benefit cost and other comprehensive loss/(income) $ (16,889 ) $ 50,890 $ 8,770 $ (4,385 ) $ (2,237 ) $ (6,586 ) |
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, 2017 , the portions the Company expects to recognize as components of net periodic benefit cost in 2018 are as follows: Retirement Plans Retiree Health and Life Insurance Plans Net actuarial loss/(gain) $ 37,385 $ (960 ) Prior service cost/(credit) 972 (498 ) Net transition obligation — — $ 38,357 $ (1,458 ) |
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 2018 $ 97,268 $ 1,515 2019 $ 93,487 $ 1,498 2020 $ 96,124 $ 1,427 2021 $ 94,688 $ 1,403 2022 $ 96,280 $ 1,327 2022-2026 $ 510,603 $ 5,663 |
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 2017 3.59 % 3.36 % 2.78 % 2016 4.12 % 3.70 % 2.95 % Rate of Compensation Increase 2017 3.40 % 3.28 % 3.62 % 2016 3.60 % 3.32 % 3.65 % 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 2017 4.12 % 3.70 % 2.95 % 2016 4.36 % 3.78 % 3.71 % 2015 4.00 % 3.52 % 3.49 % Expected Long-term Rate of Return 2017 6.86 % 6.98 % 4.52 % 2016 7.47 % 7.31 % 4.75 % 2015 7.67 % 7.39 % 4.92 % Rate of Compensation Increase 2017 3.60 % 3.32 % 3.65 % 2016 3.69 % 3.36 % 3.52 % 2015 3.99 % 3.42 % 3.51 % |
Health Care Cost Trend Rates Related to U.S. Plan | The U.S. Retiree Health and Life Insurance Plan makes up approximately 96% 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 2017 6.75 % 6.75 % 2016 7.00 % 7.00 % Ultimate Trend Rate Pre-age 65 Post-age 65 2017 4.50 % 4.50 % 2016 4.80 % 4.80 % Year at which the Rate Reaches the Ultimate Trend Rate Pre-age 65 Post-age 65 2017 2026 2026 2016 2059 2059 |
Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted-Average Asset Allocations | The following table sets forth the weighted-average asset allocations of the Company’s retirement plans at December 31, 2017 and 2016 , by asset category. Asset Category U.S. U.K. Canada Equity securities 2017 51.7 % 44.7 % 71.7 % 2016 51.4 % 46.6 % 64.9 % Debt securities 2017 37.1 % 54.7 % 27.9 % 2016 34.7 % 52.8 % 35.0 % Alternative 2017 11.2 % — % — % 2016 13.9 % — % — % Cash and short-term investments 2017 — % 0.6 % 0.4 % 2016 — % 0.6 % 0.1 % Total 2017 100.0 % 100.0 % 100.0 % 2016 100.0 % 100.0 % 100.0 % |
Retiree Health and Life Insurance Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
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, 2017 December 31, 2016 Equity securities 63.6% 61.9% Debt securities 30.8% 31.2% Alternative 5.4% 6.8% Cash 0.2% 0.1% Total 100.0% 100.0% |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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: 2017 2016 2015 Pretax income Domestic $ 168,180 $ 318,702 $ 255,897 Foreign 146,374 122,575 72,049 Total pretax income $ 314,554 $ 441,277 $ 327,946 Current Federal $ 120,398 $ 110,567 $ 55,678 State 5,623 10,808 6,000 Foreign 40,328 40,788 31,610 Total current $ 166,349 $ 162,163 $ 93,288 Deferred Federal $ (16,797 ) $ (861 ) $ 11,002 State 3,499 (869 ) (2,359 ) Foreign (6,462 ) 4,198 (14,193 ) Total deferred $ (19,760 ) $ 2,468 $ (5,550 ) Total taxes $ 146,589 $ 164,631 $ 87,738 |
Deferred Tax Liabilities/(Assets) | Deferred tax liabilities/(assets) are comprised of the following at December 31 : 2017 2016 Property, plant and equipment $ 83,584 $ 115,946 Intangibles 174,395 219,584 Gross deferred tax liabilities $ 257,979 $ 335,530 Retiree health benefits $ 595 $ (971 ) Foreign loss carryforwards (59,975 ) (61,381 ) U.S. Federal loss carryforwards (17,977 ) (10,105 ) Capital loss carryforwards — (20 ) Employee benefits (115,771 ) (202,085 ) Accrued liabilities and other (100,031 ) (93,142 ) Gross deferred tax assets $ (293,159 ) $ (367,704 ) Valuation allowance on deferred tax assets $ 47,200 $ 49,797 Total deferred taxes, net $ 12,020 $ 17,623 |
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: 2017 2016 2015 Statutory tax rate $ 110,094 35.0 % $ 154,447 35.0 % $ 114,781 35.0 % State income taxes, net of federal tax benefit 4,780 1.5 7,477 1.7 % 4,872 1.5 % Valuation allowance (3,333 ) (1.1 ) 639 0.1 % (8,080 ) (2.5 )% Tax examinations including change in reserve for uncertain tax positions 4,895 1.6 732 0.2 % (3,245 ) (1.0 )% Adjustments to prior year deferred taxes (1,415 ) (0.4 ) (2,401 ) (0.5 )% 1,596 0.5 % Foreign earnings taxed at other than U.S. rates (16,233 ) (5.2 ) (15,930 ) (3.6 )% (9,065 ) (2.8 )% Disposition of business 537 0.2 22,810 5.2 % (11,996 ) (3.6 )% Effect of tax rate changes enacted during the year (22,183 ) (7.1 ) 2,517 0.6 % (2,235 ) (0.7 )% Deduction related to qualified production activities (5,384 ) (1.7 ) (5,215 ) (1.2 )% (5,968 ) (1.8 )% Transition tax 76,933 24.5 — — — — Other, net (2,102 ) (0.7 ) (445 ) (0.1 )% 7,078 2.2 % Total taxes $ 146,589 46.6 % $ 164,631 37.3 % $ 87,738 26.8 % |
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: 2017 2016 2015 Gross Unrecognized Tax Benefits at January 1 $ 17,700 $ 17,200 $ 26,000 Increases in prior years’ unrecognized tax benefits 700 1,400 1,500 Decreases in prior years’ unrecognized tax benefits (2,400 ) (3,500 ) (2,100 ) Increases in current year's unrecognized tax benefits 1,600 3,000 1,700 Decreases in unrecognized tax benefits from the lapse of statutes of limitations (300 ) (100 ) (9,200 ) Settlements (200 ) (300 ) (700 ) Gross Unrecognized Tax Benefits at December 31 $ 17,100 $ 17,700 $ 17,200 |
Shareholders' Equity and Earn39
Shareholders' Equity and Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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): 2017 2016 2015 Numerator: Net income attributable to Sonoco $ 175,345 $ 286,434 $ 250,136 Denominator: Weighted average common shares outstanding 100,237 101,093 101,482 Dilutive effect of stock-based compensation 615 689 910 Diluted outstanding shares 100,852 101,782 102,392 Per common share: Net income attributable to Sonoco: Basic $ 1.75 $ 2.83 $ 2.46 Diluted $ 1.74 $ 2.81 $ 2.44 |
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, 2017 , 2016 and 2015 (in thousands): 2017 2016 2015 Anti-dilutive stock appreciation rights 487 357 902 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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 2017 $ 2,129,022 $ 511,099 $ 2,007,321 $ 540,665 $ — $ 5,188,107 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 Intersegment Sales 1 2017 $ 5,557 $ 2,863 $ 141,141 $ 1,896 $ — $ 151,457 2016 5,509 2,542 100,059 1,551 — 109,661 2015 4,357 1,953 106,110 2,269 — 114,689 Sales to Unaffiliated Customers 2017 $ 2,123,465 $ 508,236 $ 1,866,180 $ 538,769 $ — $ 5,036,650 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 Income Before Income Taxes 2 2017 $ 250,899 $ 2,502 $ 154,468 $ 42,121 $ (135,436 ) $ 314,554 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 Identifiable Assets 3 2017 $ 1,890,516 $ 480,892 $ 1,346,391 $ 552,425 $ 287,497 $ 4,557,721 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 Depreciation, Depletion and Amortization 4 2017 $ 98,882 $ 17,090 $ 74,850 $ 26,803 $ — $ 217,625 2016 88,875 16,716 74,742 24,849 — 205,182 2015 96,220 16,623 76,744 23,574 — 213,161 Capital Expenditures 2017 $ 63,617 $ 23,908 $ 61,443 $ 19,031 $ 20,914 $ 188,913 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 1 Intersegment sales are recorded at a market-related transfer price. 2 Included in Corporate are restructuring, asset impairment 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 2017 $ 9,990 $ 2,082 $ 24,281 $ 3,071 $ 43,267 $ 82,691 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 The remaining amounts reported as Corporate consist of interest expense, interest income, acquisition related charges, pension settlement charges, and other non-operational income and expenses not associated with a particular segment. 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. |
Restructuring Asset Impairment and Acquisition Related Costs | Consumer Packaging Display Paper and Industrial Converted Products Protective Solutions Corporate Total 2017 $ 9,990 $ 2,082 $ 24,281 $ 3,071 $ 43,267 $ 82,691 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 |
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: 2017 2016 2015 Sales to Unaffiliated Customers United States $ 3,263,975 $ 3,112,016 $ 3,206,513 Europe 981,178 951,783 971,302 Canada 245,992 268,556 262,038 All other 545,505 450,522 524,516 Total $ 5,036,650 $ 4,782,877 $ 4,964,369 Long-lived Assets United States $ 1,962,196 $ 1,671,168 $ 1,719,746 Europe 659,615 599,698 627,126 Canada 120,062 111,452 157,208 All other 108,395 101,828 104,563 Total $ 2,850,268 $ 2,484,146 $ 2,608,643 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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, 2017 and 2016 : Foreign Currency Items Defined Benefit Pension Items Gains and Losses on Cash Flow Hedges Accumulated Other Comprehensive Loss 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 ) Other comprehensive income/(loss) before reclassifications 88,003 9,840 2,266 100,109 Amounts reclassified from accumulated other comprehensive loss to net income — 49,849 (4,675 ) 45,174 Amounts reclassified from accumulated other comprehensive loss to fixed assets — — 64 64 Other comprehensive income/(loss) 88,003 59,689 (2,345 ) 145,347 Amounts reclassified from accumulated other comprehensive loss to retained earnings — (73,004 ) (235 ) (73,239 ) Balance at December 31, 2017 $ (198,495 ) $ (467,136 ) $ (641 ) $ (666,272 ) |
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, 2017 and 2016 : 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 $ 11,738 $ (8,769 ) Net Sales Foreign exchange contracts (6,764 ) 3,981 Cost of sales Commodity contracts 1,667 (3,583 ) Cost of sales 6,641 (8,371 ) Income before income taxes (1,966 ) 3,012 Provision for income taxes $ 4,675 $ (5,359 ) Net income Defined benefit pension items Effect of settlement $ (32,761 ) $ — Selling, general, and administrative expenses Amortization of defined benefit pension items (29,146 ) (28,990 ) Cost of sales Amortization of defined benefit pension items (9,715 ) (9,663 ) Selling, general, and administrative expenses (71,622 ) (38,653 ) Income before income taxes 21,773 12,389 Provision for income taxes (49,849 ) (26,264 ) Net income Total reclassifications for the period $ (45,174 ) $ (31,623 ) Net income |
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, 2017 and 2016 : For the year ended December 31, 2017 For the year ended December 31, 2016 Before Tax Amount Tax (Expense) Benefit After Tax Amount Before Tax Amount Tax (Expense) Benefit After Tax Amount Foreign currency items $ 88,003 $ — $ 88,003 $ (33,361 ) $ — $ (33,361 ) Defined benefit pension items: Other comprehensive income/(loss) before reclassifications 13,118 (3,278 ) 9,840 (56,383 ) 20,542 (35,841 ) Amounts reclassified from accumulated other comprehensive income/(loss) to net income 71,622 (21,773 ) 49,849 38,653 (12,389 ) 26,264 Net other comprehensive income/(loss) from defined benefit pension items 84,740 (25,051 ) 59,689 (17,730 ) 8,153 (9,577 ) Gains and losses on cash flow hedges: Other comprehensive income/(loss) before reclassifications 3,355 (1,089 ) 2,266 2,613 (940 ) 1,673 Amounts reclassified from accumulated other comprehensive income/(loss) to net income (6,641 ) 1,966 (4,675 ) 8,371 (3,012 ) 5,359 Amounts reclassified from accumulated other comprehensive income/(loss) to fixed assets 64 — 64 59 — 59 Net other comprehensive income/(loss) from cash flow hedges (3,222 ) 877 (2,345 ) 11,043 (3,952 ) 7,091 Other comprehensive income/(loss) $ 169,521 $ (24,174 ) $ 145,347 $ (40,048 ) $ 4,201 $ (35,847 ) |
Selected Quarterly Financial 42
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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* 2017 Net sales $ 1,172,324 $ 1,240,674 $ 1,324,634 $ 1,299,018 Gross profit 220,222 235,875 250,873 242,420 Restructuring/Asset impairment charges 4,111 7,897 511 25,900 Net income attributable to Sonoco 53,733 43,125 72,812 5,675 Per common share: Net income attributable to Sonoco: - basic $ 0.54 $ 0.43 $ 0.73 $ 0.06 - diluted 0.53 0.43 0.72 0.06 Cash dividends - common 0.37 0.39 0.39 0.39 Market price - high 55.58 54.00 53.77 55.77 - low 51.87 49.66 47.10 50.39 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 * Net income attributable to Sonoco in the fourth quarter of 2017 includes an additional tax provision of $51,265 resulting from new U.S. tax reform legislation, and 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, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Summary Of Significant Accounting Policies [Line Items] | |||
Carrying value of equity investments | $ 107,722 | $ 106,956 | |
Largest customer revenue percentage | 4.00% | 5.00% | 6.00% |
Single customer percentage of receivable | 4.00% | 3.00% | |
Second largest customer revenue percentage | 3.00% | 4.00% | 4.00% |
Research and development costs | $ 21,000 | $ 22,500 | $ 22,100 |
Percentage of LIFO Inventory | 14.00% | 19.00% | |
LIFO inventory amount | $ 17,632 | $ 17,319 | |
Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets, useful life | 3 years | ||
Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Intangible assets, useful life | 40 years | ||
Equipment | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property plant and equipment, useful life | 3 years | ||
Equipment | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property plant and equipment, useful life | 11 years | ||
Buildings | Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property plant and equipment, useful life | 15 years | ||
Buildings | Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property plant and equipment, useful life | 40 years | ||
Net sales | Multi-Vendor Supply Chain Finance Arrangement | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Consolidated annual sales, percent | 7.00% | 6.00% | |
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% |
Summary of Significant Accoun44
Summary of Significant Accounting Policies - Company Held Significant Investment (Detail) | Dec. 31, 2017 |
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% |
New Accounting Pronouncements N
New Accounting Pronouncements New Pronouncements (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Apr. 01, 2018 | Dec. 31, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | $ 0 | $ 0 | ||||||||||
Excess tax benefit - recognized in earnings | 2,453 | |||||||||||
Net Sales | 1,299,018 | $ 1,324,634 | $ 1,240,674 | $ 1,172,324 | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | 5,036,650 | $ 4,782,877 | $ 4,964,369 | |
Accounting Standards Update 2014-09 | Difference between Revenue Guidance in Effect before and after Topic 606 | Subsequent Event | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Net Sales | $ 5,000 | |||||||||||
Accumulated Other Comprehensive Income | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | (73,239) | (73,239) | ||||||||||
Accumulated Other Comprehensive Income | Accounting Standards Update 2018-02 | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | (73,239) | (73,239) | ||||||||||
Retained Earnings | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | 72,921 | 72,921 | ||||||||||
Retained Earnings | Accounting Standards Update 2018-02 | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | $ 73,239 | $ 73,239 | ||||||||||
Retained Earnings | Accounting Standards Update 2016-09 | ||||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||||||||
Increase (decrease) for impact of new accounting pronouncement | $ (318) | $ (318) |
Acquisitions and Dispositions -
Acquisitions and Dispositions - Acquisitions, Narrative (Detail) | Jul. 24, 2017USD ($) | Mar. 14, 2017USD ($)facility | Nov. 01, 2016USD ($)employeefacility | Sep. 19, 2016USD ($) | Aug. 30, 2016USD ($)installment | Jun. 24, 2016USD ($) | Sep. 21, 2015USD ($) | Apr. 01, 2015USD ($)employee | Sep. 30, 2017USD ($) | Oct. 01, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)acquisition | Dec. 31, 2015USD ($)acquisition |
Business Acquisition [Line Items] | |||||||||||||
Cash paid during acquisition | $ 383,725,000 | $ 88,632,000 | $ 17,447,000 | ||||||||||
Borrowings | 448,511,000 | 241,180,000 | 68,182,000 | ||||||||||
Acquisition-related costs | 8,040,000 | $ 4,569,000 | $ 1,663,000 | ||||||||||
Number of acquisitions during period | acquisition | 4 | 2 | |||||||||||
Acquisition cost of entity | $ 88,632,000 | $ 17,447,000 | |||||||||||
Goodwill | 1,241,875,000 | $ 1,092,215,000 | |||||||||||
Total consideration | $ 21,184,000 | ||||||||||||
Consumer Packaging | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Goodwill | 572,716,000 | $ 435,590,000 | |||||||||||
Unsecured Debt | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Proceeds from issuance of debt | $ 250,000,000 | ||||||||||||
Loans Payable | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Proceeds from issuance of debt | $ 150,000,000 | ||||||||||||
Debt instrument, term | 5 years | 3 years | |||||||||||
Clear Lam Packaging, Inc. | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Cash paid during acquisition | $ 164,951,000 | ||||||||||||
Other intangible assets | 77,600,000 | ||||||||||||
Goodwill | 52,907,000 | ||||||||||||
Clear Lam Packaging, Inc. | Unsecured Debt | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Borrowings | $ 100,000,000 | ||||||||||||
Packaging Holdings, Inc. | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Cash paid during acquisition | $ 218,774,000 | ||||||||||||
Number of manufacturing facilities | facility | 5 | ||||||||||||
Expected value of goodwill to be tax deductible | 30,500,000 | ||||||||||||
Other intangible assets | $ 60,190,000 | ||||||||||||
Goodwill | $ 67,775,000 | ||||||||||||
Packaging Holdings, Inc. | United States | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Number of manufacturing facilities | facility | 4 | ||||||||||||
Packaging Holdings, Inc. | Mexico | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Number of manufacturing facilities | facility | 1 | ||||||||||||
Packaging Holding and Clear Lam | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Acquisition-related costs | 4,345,000 | ||||||||||||
Fair value adjustment to acquisition-date inventory | 5,750,000 | ||||||||||||
Plastic Packaging Inc. | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Expected value of goodwill to be tax deductible | 0 | ||||||||||||
Acquisition cost of entity | $ 67,568,000 | ||||||||||||
Entity number of employees | employee | 170 | ||||||||||||
Net assets, excluding intangibles | $ 22,756,000 | ||||||||||||
Other intangible assets | 18,900,000 | ||||||||||||
Goodwill | $ 25,912,000 | ||||||||||||
Adjustment to intangibles | 1,400,000 | ||||||||||||
Adjustment to property, plant and equipment | 400,000 | ||||||||||||
Adjustment to deferred tax liability, increase (decrease) | 599,000 | ||||||||||||
Decrease in goodwill | 1,201,000 | ||||||||||||
Plastic Packaging Inc. | North Carolina | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Number of manufacturing facilities | facility | 2 | ||||||||||||
Laminar Medica | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Cash paid during acquisition | $ 17,201,000 | ||||||||||||
Expected value of goodwill to be tax deductible | 0 | ||||||||||||
Net assets, excluding intangibles | 2,739,000 | ||||||||||||
Other intangible assets | 5,654,000 | ||||||||||||
Goodwill | $ 8,808,000 | ||||||||||||
Adjustment to property, plant and equipment | $ (161,000) | ||||||||||||
Adjustment to deferred tax liability, increase (decrease) | (487,000) | ||||||||||||
Decrease in goodwill | $ 326,000 | ||||||||||||
AAR Corporation | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Acquisition cost of entity | $ 3,000,000 | ||||||||||||
Net assets, excluding intangibles | 200,000 | ||||||||||||
Other intangible assets | 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 | $ 1,000,000 | ||||||||||||
Non-contingent deferred payments, payable in 24 months after closing | $ 1,000,000 | ||||||||||||
Number of installments for contingency payments | installment | 2 | ||||||||||||
AAR Corporation | Contingent Consideration Due 36 Months after Closing | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Contingent purchase liability | $ 500,000 | ||||||||||||
AAR Corporation | Contingent Consideration Due 48 Months after Closing | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Contingent purchase liability | $ 500,000 | ||||||||||||
Australian Tube and Core Business | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Expected value of goodwill to be tax deductible | $ 0 | ||||||||||||
Acquisition cost of entity | 863,000 | ||||||||||||
Net assets, excluding intangibles | 149,000 | ||||||||||||
Other intangible assets | 297,000 | ||||||||||||
Goodwill | $ 417,000 | ||||||||||||
Graffo Paranaense de Embalagens S/A | Consumer Packaging | |||||||||||||
Business Acquisition [Line Items] | |||||||||||||
Cash paid during acquisition | $ 15,697,000 | ||||||||||||
Entity number of employees | employee | 230 | ||||||||||||
Total consideration | $ 18,334,000 | ||||||||||||
Consideration transferred, liabilities incurred | $ 2,637,000 | ||||||||||||
Percentage of controlling asset acquired | 67.00% | ||||||||||||
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 | ||||||||||||
Payment for contingent consideration liability | $ 1,100,000 |
Acquisitions and Dispositions A
Acquisitions and Dispositions Acquisitions and Dispositions - Acquisitions, Fair Value of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Jul. 24, 2017 | Mar. 14, 2017 | Dec. 31, 2016 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 1,241,875 | $ 1,092,215 | ||
Clear Lam Packaging, Inc. | ||||
Business Acquisition [Line Items] | ||||
Trade accounts receivable | $ 11,575 | |||
Inventories | 25,933 | |||
Property, plant and equipment | 25,673 | |||
Goodwill | 52,907 | |||
Other intangible assets | 77,600 | |||
Trade accounts payable | (17,813) | |||
Other net tangible assets /(liabilities) | (10,924) | |||
Net assets | $ 164,951 | |||
Packaging Holdings, Inc. | ||||
Business Acquisition [Line Items] | ||||
Trade accounts receivable | $ 14,415 | |||
Inventories | 42,959 | |||
Property, plant and equipment | 53,787 | |||
Goodwill | 67,775 | |||
Other intangible assets | 60,190 | |||
Trade accounts payable | (22,394) | |||
Other net tangible assets /(liabilities) | 2,042 | |||
Net assets | $ 218,774 |
Acquisitions and Dispositions48
Acquisitions and Dispositions Acquisitions and Dispositions - Acquisitions, Supplemental Table (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Net sales | $ 5,143,066 | $ 5,080,492 |
Net income attributable to Sonoco | $ 178,205 | $ 271,749 |
Earnings per share: | ||
Pro forma basic (in usd per share) | $ 1.78 | $ 2.69 |
Pro forma diluted (in usd per share) | $ 1.77 | $ 2.67 |
Packaging Holding and Clear Lam | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Actual net sales | $ 215,227 | |
Actual net income | $ 3,886 |
Acquisitions and Dispositions49
Acquisitions and Dispositions - Dispositions (Details) $ in Thousands | Nov. 07, 2016USD ($)employeefacility | Dec. 31, 2016USD ($) | Dec. 31, 2017USD ($) |
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 | ||
Proceeds from sales of business | 271,817 | $ 0 | |
Escrow deposit | 7,775 | ||
Disposal group, gain on disposition | 104,292 | $ 0 | |
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, Disposed of by Sale, Not Discontinued Operations | Amcor Rigid Plastics USA, LLC | United States | |||
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 | Amcor Rigid Plastics USA, LLC | Canada | |||
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 Impai50
Restructuring and Asset Impairment - Total Restructuring and Asset Impairment Charges Net (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | $ 25,900 | $ 511 | $ 7,897 | $ 4,111 | $ 1,430 | $ 8,947 | $ 23,278 | $ 9,228 | $ 38,419 | $ 42,883 | $ 50,637 |
Income tax benefit | (13,064) | (7,520) | (22,641) | ||||||||
Equity method investments, net of tax | 0 | 0 | 0 | ||||||||
Restructuring cost/(benefit) attributable to noncontrolling interests, net of tax | (71) | (161) | (93) | ||||||||
Total impact of restructuring/asset impairment charges, net of tax | 25,284 | 35,202 | 27,903 | ||||||||
2017 Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 15,329 | ||||||||||
2016 Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 1,935 | 32,997 | |||||||||
2015 and Earlier Actions | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | 2,570 | 7,269 | 38,572 | ||||||||
Other asset impairments | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Restructuring/Asset impairment charges | $ 18,585 | $ 2,617 | $ 12,065 |
Restructuring and Asset Impai51
Restructuring and Asset Impairment - Additional Information (Detail) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Dec. 31, 2017USD ($)position | Jul. 31, 2016USD ($) | May 31, 2016USD ($) | Oct. 02, 2016USD ($) | Sep. 27, 2015USD ($) | Oct. 01, 2017USD ($) | Dec. 31, 2017USD ($)buildingfacilityposition | Dec. 31, 2016USD ($)facilitypositions | Dec. 31, 2015USD ($) | |
Restructuring Cost and Reserve [Line Items] | |||||||||
Future additional charges expected in connection with previous restructuring | $ 3,600 | ||||||||
Number of facilities closed | facility | 5 | 4 | |||||||
Gain (loss) on disposition of business | $ 0 | $ 108,699 | $ 0 | ||||||
Other asset impairment charges | $ (13,988) | ||||||||
Other asset impairments | $ 12,065 | ||||||||
Foreign exchange remeasurement losses on net monetary assets | $ 425 | ||||||||
Paper and Industrial Converted Products | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Goodwill, impairment loss | $ 2,617 | ||||||||
Number 9 Boiler | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Write off / impairment of assets | $ 17,822 | ||||||||
United States | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 3 | 1 | |||||||
Belgium | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
China | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 1 | ||||||||
Canada | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Number of facilities closed | facility | 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 | ||||||||
France | Paper Mill | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (12,694) | ||||||||
France | Paper Mill | Cash and short-term investments | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | (8,436) | ||||||||
France | Paper Mill | Property, Plant and Equipment, Net | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | (3,201) | ||||||||
France | Paper Mill | Other assets | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (1,057) | ||||||||
Puerto Rico | Retail Security Packaging Business | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Gain (loss) on disposition of business | $ (2,421) | ||||||||
Disposal group, consideration | 1,816 | ||||||||
Puerto Rico | Retail Security Packaging Business | Disposal Group, Disposed of by Sale, Not Discontinued Operations | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Net fixed assets | 217 | ||||||||
Other assets | 858 | ||||||||
Goodwill | 1,215 | ||||||||
Intangible assets | $ 1,947 | ||||||||
Venezuela | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Other asset impairments | $ 338 | ||||||||
2017 Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Elimination of positions due to realign in cost structure | position | 255 | 255 | |||||||
Asset impairment/disposal of assets | $ 15,329 | ||||||||
Number of buildings vacated | building | 2 | ||||||||
Proceeds from sale of building | $ 636 | ||||||||
Write off / impairment of assets | $ 525 | ||||||||
2017 Actions | Asset Impairment, Disposal of Assets, Packaging Plant | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Asset impairment/disposal of assets | 1,238 | ||||||||
2017 Actions | Asset Impairment, Disposal of Assets, Vacated Buildings | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Asset impairment/disposal of assets | 111 | ||||||||
2016 Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Elimination of positions due to realign in cost structure | positions | 180 | ||||||||
Asset impairment/disposal of assets | 1,935 | $ 32,997 | |||||||
2015 and Earlier Actions | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Asset impairment/disposal of assets | 3,679 | $ 13,365 | |||||||
Proceeds from sale of building | $ 2,741 | ||||||||
Write off / impairment of assets | 719 | ||||||||
Future pretax charges | $ 300 | 300 | |||||||
2015 and Earlier Actions | Asset Impairment, Disposal of Assets, Land and Building | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Asset impairment/disposal of assets | $ 2,022 |
Restructuring and Asset Impai52
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, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
2017 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | $ 15,329 | ||
Estimated Total Cost | 18,629 | ||
2017 Actions | Consumer Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 4,191 | ||
Estimated Total Cost | 5,941 | ||
2017 Actions | Consumer Packaging | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 351 | ||
Estimated Total Cost | 351 | ||
2017 Actions | Consumer Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 879 | ||
Estimated Total Cost | 1,479 | ||
2017 Actions | Display and Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 741 | ||
Estimated Total Cost | 741 | ||
2017 Actions | Display and Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 789 | ||
Estimated Total Cost | 1,489 | ||
2017 Actions | Paper and Industrial Converted Products | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 4,018 | ||
Estimated Total Cost | 4,018 | ||
2017 Actions | Paper and Industrial Converted Products | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (95) | ||
Estimated Total Cost | (95) | ||
2017 Actions | Paper and Industrial Converted Products | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 1,001 | ||
Estimated Total Cost | 1,251 | ||
2017 Actions | Protective Solutions | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 1,398 | ||
Estimated Total Cost | 1,398 | ||
2017 Actions | Protective Solutions | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 871 | ||
Estimated Total Cost | 871 | ||
2017 Actions | Protective Solutions | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 742 | ||
Estimated Total Cost | 742 | ||
2017 Actions | Corporate | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 452 | ||
Estimated Total Cost | 452 | ||
2017 Actions | Corporate | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (9) | ||
Estimated Total Cost | (9) | ||
2016 Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 1,935 | $ 32,997 | |
Estimated Total Cost | 34,932 | ||
Total Incurred to Date | 34,932 | ||
2016 Actions | Consumer Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 34 | 2,407 | |
Estimated Total Cost | 2,441 | ||
Total Incurred to Date | 2,441 | ||
2016 Actions | Consumer Packaging | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | (306) | |
Estimated Total Cost | (306) | ||
Total Incurred to Date | (306) | ||
2016 Actions | Consumer Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 59 | 731 | |
Estimated Total Cost | 790 | ||
Total Incurred to Date | 790 | ||
2016 Actions | Display and Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (49) | 4,304 | |
Estimated Total Cost | 4,255 | ||
Total Incurred to Date | 4,255 | ||
2016 Actions | Display and Packaging | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 96 | 2,712 | |
Estimated Total Cost | 2,808 | ||
Total Incurred to Date | 2,808 | ||
2016 Actions | Display and Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 388 | 286 | |
Estimated Total Cost | 674 | ||
Total Incurred to Date | 674 | ||
2016 Actions | Paper and Industrial Converted Products | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 494 | 5,887 | |
Estimated Total Cost | 6,381 | ||
Total Incurred to Date | 6,381 | ||
2016 Actions | Paper and Industrial Converted Products | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 45 | 13,300 | |
Estimated Total Cost | 13,345 | ||
Total Incurred to Date | 13,345 | ||
2016 Actions | Paper and Industrial Converted Products | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 804 | 1,298 | |
Estimated Total Cost | 2,102 | ||
Total Incurred to Date | 2,102 | ||
2016 Actions | Protective Solutions | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 678 | |
Estimated Total Cost | 678 | ||
Total Incurred to Date | 678 | ||
2016 Actions | Protective Solutions | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 50 | 150 | |
Estimated Total Cost | 200 | ||
Total Incurred to Date | 200 | ||
2016 Actions | Corporate | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 14 | 1,550 | |
Estimated Total Cost | 1,564 | ||
Total Incurred to Date | 1,564 | ||
2015 and Earlier Actions | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 2,570 | 7,269 | $ 38,572 |
2015 and Earlier Actions | Consumer Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 1,053 | 3,147 | 15,883 |
2015 and Earlier Actions | Consumer Packaging | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (1,377) | 1,658 | (4,303) |
2015 and Earlier Actions | Consumer Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 1,561 | 949 | 1,490 |
2015 and Earlier Actions | Display and Packaging | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 83 | 97 | 994 |
2015 and Earlier Actions | Display and Packaging | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (6) | 335 | 474 |
2015 and Earlier Actions | Display and Packaging | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 6 | 206 | 372 |
2015 and Earlier Actions | Paper and Industrial Converted Products | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 249 | (6) | 8,729 |
2015 and Earlier Actions | Paper and Industrial Converted Products | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 263 | 190 | 10,097 |
2015 and Earlier Actions | Paper and Industrial Converted Products | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 631 | 522 | 1,360 |
2015 and Earlier Actions | Protective Solutions | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 0 | 0 | 25 |
2015 and Earlier Actions | Protective Solutions | Asset Impairment/Disposal of Assets | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | (28) | 3 | 133 |
2015 and Earlier Actions | Protective Solutions | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 129 | 187 | 532 |
2015 and Earlier Actions | Corporate | Severance and Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | 6 | (19) | 2,775 |
2015 and Earlier Actions | Corporate | Other Costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring charge | $ 0 | $ 0 | $ 11 |
Restructuring and Asset Impai53
Restructuring and Asset Impairment - Restructuring Accrual Activity for Given Years (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
2017 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | $ 0 | |
Charges | 15,329 | |
Cash receipts/(payments) | (9,502) | |
Asset write downs/disposals | (1,763) | |
Foreign currency translation | 38 | |
Liability, ending balance | 4,102 | $ 0 |
2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 4,198 | 0 |
Charges | 1,935 | 32,997 |
Cash receipts/(payments) | (4,852) | (20,385) |
Asset write downs/disposals | (394) | (8,384) |
Foreign currency translation | 49 | (30) |
Adjustments | 0 | |
Liability, ending balance | 936 | 4,198 |
2015 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 3,608 | 16,200 |
Charges | 3,679 | 13,365 |
Cash receipts/(payments) | (2,685) | (15,309) |
Asset write downs/disposals | (1,773) | (4,340) |
Foreign currency translation | 388 | (212) |
Adjustments | (1,109) | (6,096) |
Liability, ending balance | 2,108 | 3,608 |
Severance and Termination Benefits | 2017 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Charges | 10,800 | |
Cash receipts/(payments) | (6,951) | |
Asset write downs/disposals | 0 | |
Foreign currency translation | 40 | |
Liability, ending balance | 3,889 | 0 |
Severance and Termination Benefits | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 3,558 | 0 |
Charges | 493 | 14,826 |
Cash receipts/(payments) | (3,458) | (11,244) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | 14 | (24) |
Adjustments | 0 | |
Liability, ending balance | 607 | 3,558 |
Severance and Termination Benefits | 2015 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 3,608 | 15,730 |
Charges | 1,987 | 5,095 |
Cash receipts/(payments) | (3,778) | (15,124) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | 265 | (217) |
Adjustments | (596) | (1,876) |
Liability, ending balance | 1,486 | 3,608 |
Asset Impairment/Disposal of Assets | 2017 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Charges | 1,127 | |
Cash receipts/(payments) | 636 | |
Asset write downs/disposals | (1,763) | |
Foreign currency translation | 0 | |
Liability, ending balance | 0 | 0 |
Asset Impairment/Disposal of Assets | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 0 |
Charges | 141 | 15,706 |
Cash receipts/(payments) | 0 | (7,322) |
Asset write downs/disposals | (141) | (8,384) |
Foreign currency translation | 0 | 0 |
Adjustments | 0 | |
Liability, ending balance | 0 | 0 |
Asset Impairment/Disposal of Assets | 2015 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 0 |
Charges | (1,148) | 3,185 |
Cash receipts/(payments) | 2,921 | 2,154 |
Asset write downs/disposals | (1,773) | (4,340) |
Foreign currency translation | 0 | 0 |
Adjustments | 0 | (999) |
Liability, ending balance | 0 | 0 |
Other Costs | 2017 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | |
Charges | 3,402 | |
Cash receipts/(payments) | (3,187) | |
Asset write downs/disposals | 0 | |
Foreign currency translation | (2) | |
Liability, ending balance | 213 | 0 |
Other Costs | 2016 Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 640 | 0 |
Charges | 1,301 | 2,465 |
Cash receipts/(payments) | (1,394) | (1,819) |
Asset write downs/disposals | (253) | 0 |
Foreign currency translation | 35 | (6) |
Adjustments | 0 | |
Liability, ending balance | 329 | 640 |
Other Costs | 2015 and Earlier Actions | ||
Restructuring Reserve [Roll Forward] | ||
Liability, beginning balance | 0 | 470 |
Charges | 2,840 | 5,085 |
Cash receipts/(payments) | (1,828) | (2,339) |
Asset write downs/disposals | 0 | 0 |
Foreign currency translation | 123 | 5 |
Adjustments | (513) | (3,221) |
Liability, ending balance | $ 622 | $ 0 |
Book Overdrafts and Cash Pool54
Book Overdrafts and Cash Pooling - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 254,912 | $ 257,226 | $ 182,434 | $ 161,168 |
Outstanding A/P check | ||||
Cash and Cash Equivalents [Line Items] | ||||
Outstanding A/P checks | 17,343 | 10,073 | ||
Outstanding payroll checks | ||||
Cash and Cash Equivalents [Line Items] | ||||
Outstanding A/P checks | 259 | 11 | ||
Notional Pooling Arrangement | ||||
Cash and Cash Equivalents [Line Items] | ||||
Cash and cash equivalents | $ 3,328 | $ 2,789 |
Property, Plant and Equipment -
Property, Plant and Equipment - Summary of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 87,878 | $ 84,404 |
Timber resources | 41,664 | 41,441 |
Buildings | 502,046 | 478,924 |
Machinery and equipment | 2,871,622 | 2,637,753 |
Construction in progress | 143,403 | 113,118 |
Property, plant and equipment, gross | 3,646,613 | 3,355,640 |
Accumulated depreciation and depletion | (2,477,236) | (2,295,623) |
Property, plant and equipment, net | $ 1,169,377 | $ 1,060,017 |
Property, Plant and Equipment56
Property, Plant and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |||
Estimated costs for completion of capital additions under construction | $ 79,000 | ||
Depreciation and depletion expense | 178,049 | $ 173,295 | $ 179,888 |
Future minimum rentals under noncancelable operating leases in 2018 | 46,400 | ||
Future minimum rentals under noncancelable operating leases in 2019 | 38,500 | ||
Future minimum rentals under noncancelable operating leases in 2020 | 30,400 | ||
Future minimum rentals under noncancelable operating leases in 2021 | 21,300 | ||
Future minimum rentals under noncancelable operating leases in 2022 | 17,700 | ||
Future minimum rentals under noncancelable operating leases, thereafter | 32,500 | ||
Total rental expense under operating leases | $ 68,900 | $ 71,800 | $ 72,400 |
Goodwill and Other Intangible57
Goodwill and Other Intangible Assets - Changes in Goodwill by Segment (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Goodwill [Roll Forward] | |
Beginning Balance | $ 1,092,215 |
Acquisitions | 120,682 |
Other | (1,527) |
Foreign currency translation | 30,505 |
Ending Balance | 1,241,875 |
Consumer Packaging | |
Goodwill [Roll Forward] | |
Beginning Balance | 435,590 |
Acquisitions | 120,682 |
Other | (1,201) |
Foreign currency translation | 17,645 |
Ending Balance | 572,716 |
Display and Packaging | |
Goodwill [Roll Forward] | |
Beginning Balance | 203,414 |
Acquisitions | 0 |
Other | 0 |
Foreign currency translation | 0 |
Ending Balance | 203,414 |
Paper and Industrial Converted Products | |
Goodwill [Roll Forward] | |
Beginning Balance | 221,983 |
Acquisitions | 0 |
Other | 0 |
Foreign currency translation | 11,795 |
Ending Balance | 233,778 |
Protective Solutions | |
Goodwill [Roll Forward] | |
Beginning Balance | 231,228 |
Acquisitions | 0 |
Other | (326) |
Foreign currency translation | 1,065 |
Ending Balance | $ 231,967 |
Goodwill and Other Intangible58
Goodwill and Other Intangible Assets - Additional Information (Detail) $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||
Jul. 31, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($)customer | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jul. 24, 2017USD ($) | Mar. 14, 2017USD ($) | Nov. 01, 2016USD ($) | Sep. 19, 2016USD ($) | |
Goodwill [Line Items] | |||||||||
Goodwill, acquired during period | $ 120,682 | ||||||||
Goodwill | $ 1,241,875 | $ 1,092,215 | |||||||
Intangible assets, weighted average useful life | 13 years 1 month | ||||||||
Aggregate amortization expenses | $ 38,165 | $ 31,887 | $ 33,273 | ||||||
Amortization expense on intangible assets in 2018 | 42,500 | ||||||||
Amortization expense on intangible assets in 2019 | 41,300 | ||||||||
Amortization expense on intangible assets in 2020 | 38,700 | ||||||||
Amortization expense on intangible assets in 2021 | 36,800 | ||||||||
Amortization expense on intangible assets in 2022 | 35,200 | ||||||||
Display and Packaging Reporting Unit | |||||||||
Goodwill [Line Items] | |||||||||
Goodwill | $ 203,000 | ||||||||
Number of major customers | customer | 2 | ||||||||
Paper and Industrial Converted Products - Europe Reporting Unit | |||||||||
Goodwill [Line Items] | |||||||||
Goodwill | $ 95,000 | ||||||||
Packaging Holdings, Inc. | |||||||||
Goodwill [Line Items] | |||||||||
Goodwill, acquired during period | $ 67,775 | ||||||||
Goodwill | $ 67,775 | ||||||||
Intangible assets acquired | 60,190 | ||||||||
Packaging Holdings, Inc. | Customer lists | |||||||||
Goodwill [Line Items] | |||||||||
Intangible assets acquired | 48,400 | ||||||||
Packaging Holdings, Inc. | Patents | |||||||||
Goodwill [Line Items] | |||||||||
Intangible assets acquired | 8,790 | ||||||||
Packaging Holdings, Inc. | Trade names | |||||||||
Goodwill [Line Items] | |||||||||
Intangible assets acquired | $ 3,000 | ||||||||
Clear Lam Packaging, Inc. | |||||||||
Goodwill [Line Items] | |||||||||
Goodwill, acquired during period | $ 52,907 | ||||||||
Goodwill | $ 52,907 | ||||||||
Intangible assets acquired | 77,600 | ||||||||
Clear Lam Packaging, Inc. | Customer lists | |||||||||
Goodwill [Line Items] | |||||||||
Intangible assets acquired | 75,500 | ||||||||
Clear Lam Packaging, Inc. | Trade names | |||||||||
Goodwill [Line Items] | |||||||||
Intangible assets acquired | $ 2,100 | ||||||||
Plastic Packaging Inc. | |||||||||
Goodwill [Line Items] | |||||||||
Adjustments to goodwill | (1,201) | ||||||||
Goodwill | $ 25,912 | ||||||||
Adjustment to intangibles | 1,400 | ||||||||
Laminar Medica | |||||||||
Goodwill [Line Items] | |||||||||
Adjustments to goodwill | $ (326) | ||||||||
Goodwill | $ 8,808 |
Goodwill and Other Intangible59
Goodwill and Other Intangible Assets - Summary of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | $ 567,556 | $ 417,938 |
Accumulated Amortization | (236,261) | (192,980) |
Other Intangible Assets, Net | 331,295 | 224,958 |
Patents | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 21,957 | 13,164 |
Accumulated Amortization | (7,187) | (5,647) |
Customer lists | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 497,634 | 362,162 |
Accumulated Amortization | (210,212) | (172,292) |
Trade names | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 25,148 | 19,902 |
Accumulated Amortization | (4,427) | (2,733) |
Proprietary technology | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 20,779 | 20,721 |
Accumulated Amortization | (13,192) | (11,236) |
Land use rights | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 298 | 288 |
Accumulated Amortization | (47) | (41) |
Other | ||
Other Intangible Assets, Gross: | ||
Other Intangible Assets, Gross | 1,740 | 1,701 |
Accumulated Amortization | $ (1,196) | $ (1,031) |
Debt - Debt Instruments (Detail
Debt - Debt Instruments (Detail) € in Thousands, $ in Thousands | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | May 31, 2016EUR (€) |
Debt Instrument [Line Items] | |||
Total debt | $ 1,447,329 | $ 1,052,743 | |
Less current portion and short-term notes | 159,327 | 32,045 | |
Long-term debt | 1,288,002 | 1,020,698 | |
5.75% debentures due November 2040 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 599,171 | 599,136 | |
Stated interest rate | 5.75% | ||
4.375% debentures due November 2021 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 248,803 | 248,490 | |
Stated interest rate | 4.375% | ||
9.2% debentures due August 2021 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 4,294 | 4,309 | |
Stated interest rate | 9.20% | ||
1.00% foreign loan due May 2021 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 177,218 | 154,936 | € 150,000 |
Stated interest rate | 1.00% | 1.00% | |
Term loan, due July 2022 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 246,328 | 0 | |
Commercial paper, average rate of 1.24% in 2017 and 0.63% in 2016 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 124,000 | $ 0 | |
Weighted average interest rate | 1.24% | 0.63% | |
Other foreign denominated debt, average rate of 3.7% in 2017 and 3.8% in 2016 | |||
Debt Instrument [Line Items] | |||
Total debt | $ 21,735 | $ 33,254 | |
Weighted average interest rate | 3.70% | 3.80% | |
Other notes | |||
Debt Instrument [Line Items] | |||
Total debt | $ 25,780 | $ 12,618 |
Debt - Additional Information (
Debt - Additional Information (Detail) € in Thousands | Jul. 20, 2017USD ($) | Mar. 13, 2017USD ($) | May 31, 2016EUR (€) | Nov. 30, 2014 | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jun. 30, 2016 |
Debt Instrument [Line Items] | ||||||||
Maximum borrowing capacity | $ 500,000,000 | |||||||
Loan agreement | 1,447,329,000 | $ 1,052,743,000 | ||||||
Borrowings | 448,511,000 | 241,180,000 | $ 68,182,000 | |||||
Unused short-term lines of credit | 203,000,000 | |||||||
Debt maturing, 2018 | 159,327,000 | |||||||
Debt maturing, 2019 | 16,531,000 | |||||||
Debt maturing, 2020 | 16,439,000 | |||||||
Debt maturing, 2021 | 446,694,000 | |||||||
Debt maturing, 2022 | 199,414,000 | |||||||
London Interbank Offered Rate (LIBOR) | ||||||||
Debt Instrument [Line Items] | ||||||||
Basis points | 1.125% | |||||||
Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, term | 5 years | |||||||
Maximum borrowing capacity | $ 500,000,000 | |||||||
Medium-term Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, term | 5 years | |||||||
Maximum borrowing capacity | $ 250,000,000 | |||||||
Annual amortization payments | 12,500,000 | |||||||
Medium-term Notes | Clear Lam Packaging, Inc. | ||||||||
Debt Instrument [Line Items] | ||||||||
Borrowings | 100,000,000 | |||||||
Commercial Paper | ||||||||
Debt Instrument [Line Items] | ||||||||
Maximum borrowing capacity | 350,000,000 | |||||||
Eight Banks Syndicate | ||||||||
Debt Instrument [Line Items] | ||||||||
Maximum borrowing capacity | 750,000,000 | |||||||
Term Loan entered into March 2017 | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt face amount | $ 150,000,000 | |||||||
Debt instrument, term | 3 years | |||||||
Extinguishment of debt, amount | $ 150,000,000 | |||||||
Commercial Paper | ||||||||
Debt Instrument [Line Items] | ||||||||
Loan agreement | 124,000,000 | 0 | ||||||
1.00% foreign loan due May 2021 | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, term | 5 years | |||||||
Loan agreement | € 150,000 | $ 177,218,000 | $ 154,936,000 | |||||
Stated interest rate | 1.00% | 1.00% | ||||||
Term Loan used to fund acquisition of Weidenhammer Packaging Group | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, term | 3 years | |||||||
5.625% debentures due June 2016 | ||||||||
Debt Instrument [Line Items] | ||||||||
Stated interest rate | 5.625% |
Financial Instruments and Der62
Financial Instruments and Derivatives - Carrying Amounts and Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Long-term debt | $ 1,288,002 | $ 1,020,698 |
Long-term debt, Fair Value | $ 1,426,862 | $ 1,116,336 |
Financial Instruments and Der63
Financial Instruments and Derivatives - Additional Information (Detail) $ in Thousands, BTU in Millions | 12 Months Ended | |
Dec. 31, 2017USD ($)BTUt | Dec. 31, 2016USD ($) | |
Derivative [Line Items] | ||
Anticipated usage percentage of natural gas covered by a swap contract for the first succeeding fiscal year | 76.20% | |
Anticipated usage percentage of natural gas covered by swap contract for the second succeeding fiscal year | 35.50% | |
Anticipated usage percentage of aluminum covered by a swap contract for the first succeeding fiscal year | 24.00% | |
Fair value of commodity cash flow hedges | $ (1,713) | $ 3,636 |
Commodity gain (loss) expected to be reclassified to the income statement during the next 12 months | (1,166) | |
Fair value of foreign currency cash flow hedges | 950 | (184) |
Cash flow hedge gain (loss) reclassified from accumulated other comprehensive loss and netted against the carrying value of the assets | 64 | 59 |
Foreign currency gain (loss) expected to be reclassified to the income statement during the next 12 months | 88 | |
Total fair value of other derivatives not designated as hedging instruments | $ (581) | $ (696) |
Natural gas swaps | ||
Derivative [Line Items] | ||
Approximate amount of commodity covered by swap contracts outstanding in MMBTUs | BTU | 7.5 | |
Aluminum Swaps | ||
Derivative [Line Items] | ||
Approximate amount of commodity covered by swap contracts outstanding in metric tons | t | 1,796 |
Financial Instruments and Der64
Financial Instruments and Derivatives - Net Positions of Foreign Contracts (Detail) - Dec. 31, 2017 € 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 | PLN | AUD | CAD | COP | RUB | TRY | MXN | EUR (€) | GBP (£) | NZD |
Long | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | CAD (19,988) | COP (4,764,646) | MXN (262,876) | |||||||
Long | Foreign Currency Cash Flow Hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | CAD (53,771) | COP (7,644,551) | RUB (1,410) | TRY (14,131) | MXN (713,178) | € (53,546) | ||||
Short | Foreign Currency Cash Flow Hedges | ||||||||||
Derivative [Line Items] | ||||||||||
Net purchase / (sales) position of derivatives | PLN (173,137) | AUD (2,125) | ÂŁ (12,592) | NZD (809) |
Financial Instruments and Der65
Financial Instruments and Derivatives - Net Position of Other Derivatives Contracts (Details) - Dec. 31, 2017 MXN in Thousands, COP in Thousands, CAD in Thousands | CAD | COP | MXN |
Long | |||
Derivative [Line Items] | |||
Net purchase / (sales) position of derivatives | CAD (19,988) | COP (4,764,646) | MXN (262,876) |
Financial Instruments and Der66
Financial Instruments and Derivatives - Location and Fair Values of Derivative Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Derivatives designated as hedging instruments | Commodity contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | $ 149 | $ 3,240 |
Derivatives designated as hedging instruments | Commodity contracts | Other assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 0 | 527 |
Derivatives designated as hedging instruments | Commodity contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (1,417) | (89) |
Derivatives designated as hedging instruments | Commodity contracts | Other liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (445) | (42) |
Derivatives designated as hedging instruments | Foreign exchange contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 2,232 | 761 |
Derivatives designated as hedging instruments | Foreign exchange contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | (1,282) | (946) |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Prepaid expenses | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives as hedging instruments, assets | 90 | 194 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Accrued expenses and other | ||
Derivatives, Fair Value [Line Items] | ||
Derivatives hedging instrument, liabilities | $ (671) | $ (890) |
Financial Instruments and Der67
Financial Instruments and Derivatives - Effect of Derivative Instruments on Financial Performance (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Foreign exchange contracts | Net sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | $ 5,947 | $ (420) |
Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) | 11,738 | (8,769) |
Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) | 0 | 0 |
Foreign exchange contracts | Cost of sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) | (6,764) | 3,981 |
Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) | 0 | 0 |
Foreign exchange contracts | Cost of sales | Derivatives not designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain or (Loss) Recognized | 0 | 0 |
Foreign exchange contracts | Selling, general and administrative | Derivatives not designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain or (Loss) Recognized | (2,138) | (2,118) |
Commodity contracts | Cost of sales | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | (3,062) | 3,032 |
Amount of Gain or (Loss) Reclassified from Accumulated OCI Into Income (Effective Portion) | 1,667 | (3,583) |
Amount of Gain or (Loss) Recognized in Income on Derivative (Ineffective Portion) | $ 176 | $ (444) |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Assets measured at NAV | $ 1,136,464 | $ 1,015,783 |
Deferred Compensation Plan Assets | 268 | 349 |
Total postretirement benefit plan assets | 1,521,890 | 1,349,237 |
Common collective trust | ||
Assets | ||
Assets measured at NAV | 1,010,274 | 874,996 |
Total postretirement benefit plan assets | 1,010,274 | 874,996 |
Mutual funds | ||
Assets | ||
Total postretirement benefit plan assets | 214,555 | 213,244 |
Fixed income securities | ||
Assets | ||
Total postretirement benefit plan assets | 167,992 | 118,224 |
Short-term investments | ||
Assets | ||
Assets measured at NAV | 6,090 | |
Total postretirement benefit plan assets | 2,239 | 7,686 |
Hedge fund of funds | ||
Assets | ||
Assets measured at NAV | 69,500 | 72,003 |
Total postretirement benefit plan assets | 69,500 | 72,003 |
Real estate funds | ||
Assets | ||
Assets measured at NAV | 56,690 | 62,694 |
Total postretirement benefit plan assets | 56,690 | 62,694 |
Cash and accrued income | ||
Assets | ||
Total postretirement benefit plan assets | 640 | 390 |
Derivatives designated as hedging instruments | Commodity contracts | ||
Assets | ||
Derivatives | (1,713) | 3,636 |
Derivatives designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | 950 | (185) |
Derivatives not designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | (581) | (696) |
Level 1 | ||
Assets | ||
Deferred Compensation Plan Assets | 268 | 349 |
Total postretirement benefit plan assets | 1,692 | 903 |
Level 1 | Common collective trust | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 1 | Mutual funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 1 | Fixed income securities | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 1 | Short-term investments | ||
Assets | ||
Total postretirement benefit plan assets | 1,052 | 513 |
Level 1 | Hedge fund of funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 1 | Real estate funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 1 | Cash and accrued income | ||
Assets | ||
Total postretirement benefit plan assets | 640 | 390 |
Level 1 | Derivatives designated as hedging instruments | Commodity contracts | ||
Assets | ||
Derivatives | 0 | 0 |
Level 1 | Derivatives designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | 0 | 0 |
Level 1 | Derivatives not designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | 0 | 0 |
Level 2 | ||
Assets | ||
Deferred Compensation Plan Assets | 0 | 0 |
Total postretirement benefit plan assets | 383,734 | 332,551 |
Level 2 | Common collective trust | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 2 | Mutual funds | ||
Assets | ||
Total postretirement benefit plan assets | 214,555 | 213,244 |
Level 2 | Fixed income securities | ||
Assets | ||
Total postretirement benefit plan assets | 167,992 | 118,224 |
Level 2 | Short-term investments | ||
Assets | ||
Total postretirement benefit plan assets | 1,187 | 1,083 |
Level 2 | Hedge fund of funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 2 | Real estate funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 2 | Cash and accrued income | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 2 | Derivatives designated as hedging instruments | Commodity contracts | ||
Assets | ||
Derivatives | (1,713) | 3,636 |
Level 2 | Derivatives designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | 950 | (185) |
Level 2 | Derivatives not designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | (581) | (696) |
Level 3 | ||
Assets | ||
Deferred Compensation Plan Assets | 0 | 0 |
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Common collective trust | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Mutual funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Fixed income securities | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Short-term investments | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Hedge fund of funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Real estate funds | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Cash and accrued income | ||
Assets | ||
Total postretirement benefit plan assets | 0 | 0 |
Level 3 | Derivatives designated as hedging instruments | Commodity contracts | ||
Assets | ||
Derivatives | 0 | 0 |
Level 3 | Derivatives designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | 0 | 0 |
Level 3 | Derivatives not designated as hedging instruments | Foreign exchange contracts | ||
Assets | ||
Derivatives | $ 0 | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Percentage of postretirement benefit plan assets comprised of pension plan assets, more than | 98.00% |
Share-based Compensation Plan70
Share-based Compensation Plans - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | Apr. 16, 2014 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Maximum number of shares of common stock issued | 10,381,533 | ||||||
Number of additional shares authorized | 4,500,000 | ||||||
Shares available for grant | 6,731,137 | 6,731,137 | |||||
Compensation cost for share-based payment arrangements | $ 13,488 | $ 19,289 | $ 9,257 | ||||
Related tax benefit recognized in net income | 5,058 | 7,040 | 3,379 | ||||
Excess tax benefit - recognized in earnings | 2,453 | ||||||
Excess tax benefit - recognized in AOCI | 0 | 2,695 | 3,622 | ||||
Cash received on option exercises | 0 | 0 | 1,324 | ||||
Noncash stock-based compensation associated performance contingent restricted stock units | 3,896 | 10,568 | 2,271 | ||||
Compensation deferrals in current year | $ 2,850 | $ 2,721 | $ 1,947 | ||||
Stock Appreciation Rights (SARs) | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Expected life of SARs | 6 years | 6 years | 6 years | ||||
Total unrecognized compensation cost related to nonvested awards | $ 2,352 | $ 2,352 | |||||
Weighted-average period | 24 months | ||||||
Aggregate intrinsic value of options and SARs exercised | $ 3,786 | $ 9,510 | $ 11,888 | ||||
Weighted-average fair value of awards granted | $ 7.29 | $ 5.04 | $ 6.49 | ||||
Weighted average remaining contractual life for SAR's, outstanding | 8 years | ||||||
Weighted average remaining contractual life for SAR's, exercisable | 5 years 10 months | ||||||
Aggregate intrinsic value for SAR's, outstanding | $ 18,926 | 18,926 | |||||
Aggregate intrinsic value for SAR's, exercisable | $ 10,631 | $ 10,631 | |||||
Fair market value of the Company’s stock used to calculate intrinsic value (usd per share) | $ 53.14 | $ 53.14 | |||||
Stock Appreciation Rights (SARs) | After Two Thousand Fifteen | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Minimum vesting period | 3 years | ||||||
Stock Appreciation Rights (SARs) | After Two Thousand Six | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Minimum vesting period | 2 years | ||||||
Stock Appreciation Rights (SARs) | Prior Two Thousand Fifteen | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Minimum vesting period | 1 year | ||||||
Stock Appreciation Rights (SARs) | After Two Thousand Fourteen | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Minimum vesting period | 3 years | ||||||
Expected life of SARs | 10 years | ||||||
Stock Appreciation Rights (SARs) | After Two Thousand Fourteen | Share-based Compensation Award, Tranche One | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.33% | ||||||
Stock Appreciation Rights (SARs) | After Two Thousand Fourteen | Share-based Compensation Award, Tranche Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.33% | ||||||
Stock Appreciation Rights (SARs) | After Two Thousand Fourteen | Share-based Compensation Award, Tranche Three | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vesting percentage | 33.33% | ||||||
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 | $ 3,719 | $ 2,878 | $ 2,750 | ||||
Equity Option | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Aggregate intrinsic value of options and SARs exercised | $ 975 | ||||||
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 | $ 7,017 | $ 7,017 | |||||
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 (usd per share) | $ 50.11 | $ 36.33 | $ 42.44 | ||||
Performance Shares | Two Thousand and Seventeen | |||||||
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 shares | 261,522 | ||||||
Performance Shares | Two Thousand and Sixteen | |||||||
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 shares | 373,572 | ||||||
Performance Shares | Two Thousand and Fifteen | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vested units in period (in shares) | 141,546 | ||||||
Fair value of vested units | $ 5,906 | ||||||
Performance Shares | Two Thousand and Fourteen | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vested units in period (in shares) | 247,554 | ||||||
Fair value of vested units | $ 13,046 | ||||||
Performance Shares | Two Thousand and Thirteen | |||||||
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 | ||||||
Performance Shares | Two Thousand And Twelve | |||||||
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 | ||||
Performance Shares | Two Thousand and Eleven | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Total performance contingent restricted stock units, maximum shares | 123,414 | ||||||
Fair value of vested units | $ 2,522 | $ 2,697 | |||||
Performance Shares | Two Thousand and Eleven | Share-based Compensation Award, Tranche Two | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vested units in period (in shares) | 61,707 | ||||||
Performance Shares | Two Thousand and Eleven | Share-based Compensation Award, Tranche Three | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Vested units in period (in shares) | 61,707 | ||||||
Restricted Stock Awards | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Granted, weighted-average grant date fair value (usd per share) | $ 51.68 | ||||||
Restricted Stock Awards | Executives and Directors | |||||||
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 | $ 2,469 | $ 2,469 | |||||
Weighted-average period | 26 months | ||||||
Fair value of vested units | $ 1,129 | $ 1,291 | $ 2,066 | ||||
Granted, weighted-average grant date fair value (usd per share) | $ 51.68 | $ 38.40 | $ 43.35 | ||||
Noncash stock-based compensation associated performance contingent restricted stock units | $ 3,554 | $ 3,122 | $ 2,336 |
Share-based Compensation Plan71
Share-based Compensation Plans - Estimated Fair Value of all SARs Applying Assumptions (Detail) - Stock Appreciation Rights (SARs) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 2.70% | 3.50% | 2.80% |
Expected stock price volatility | 17.20% | 18.50% | 18.20% |
Risk-free interest rate | 2.00% | 1.30% | 1.70% |
Expected life of SARs | 6 years | 6 years | 6 years |
Share-based Compensation Plan72
Share-based Compensation Plans - Company's SARs (Detail) | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Ending Balance (in shares) | 0 |
Stock Appreciation Rights (SARs) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 1,915,646 |
Granted (in shares) | 536,760 |
Exercised (in shares) | (292,122) |
Forfeited/Expired (in shares) | (32,272) |
Ending Balance (in shares) | 2,128,012 |
Exercisable (in shares) | 915,990 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |
Beginning Balance, weighted-average exercise price (usd per share) | $ / shares | $ 41.06 |
Granted, weighted-average exercise price (usd per share) | $ / shares | 54.46 |
Exercised, weighted-average exercise price (usd per share) | $ / shares | 40.17 |
Forfeited/Expired, weighted average exercise price (usd per share) | $ / shares | 43.29 |
Ending Balance, weighted average exercise price (usd per share) | $ / shares | 44.53 |
Exercisable, weighted-average exercise price (usd per share) | $ / shares | $ 40.82 |
Stock Appreciation Rights (SARs) | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 1,146,749 |
Vested (in shares) | 443,405 |
Granted (in shares) | 536,760 |
Exercised (in shares) | 0 |
Forfeited/Expired (in shares) | (28,082) |
Ending Balance (in shares) | 1,212,022 |
Exercisable (in shares) | 0 |
Stock Appreciation Rights (SARs) | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 768,897 |
Vested (in shares) | 443,405 |
Granted (in shares) | 0 |
Exercised (in shares) | (292,122) |
Forfeited/Expired (in shares) | (4,190) |
Ending Balance (in shares) | 915,990 |
Exercisable (in shares) | 915,990 |
Share-based Compensation Plan73
Share-based Compensation Plans - Activity Related to PCSUs, Restricted Stock Units and Deferred Compensation Plans (Detail) | 12 Months Ended |
Dec. 31, 2017$ / sharesshares | |
Performance Contingent Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 1,037,065 |
Granted (in shares) | 130,761 |
Performance adjustments (in shares) | (134,899) |
Converted (in shares) | (220,155) |
Cancelled (in shares) | (1,874) |
Dividend equivalents (in shares) | 10,145 |
Ending Balance (in shares) | 821,043 |
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 (usd per share) | $ / shares | $ 35.56 |
Granted, weighted-average grant date fair value (usd per share) | $ / shares | 50.11 |
Performance adjustments, weighted-average grant date fair value (usd per share) | $ / shares | 39.43 |
Converted, weighted-average grant date fair value (usd per share) | $ / shares | 36.90 |
Cancelled, weighted-average grant date fair value (usd per share) | $ / shares | 36.31 |
Dividend equivalents, weighted-average grant date fair value (usd per share) | $ / shares | 51.73 |
Ending Balance, weighted-average grant date fair value (usd per share) | $ / shares | $ 37.12 |
Performance Contingent Restricted Stock Units | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 486,045 |
Granted (in shares) | 130,761 |
Performance adjustments (in shares) | (134,899) |
Vested (in shares) | (145,414) |
Cancelled (in shares) | (1,874) |
Dividend equivalents (in shares) | 0 |
Ending Balance (in shares) | 334,619 |
Performance Contingent Restricted Stock Units | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 551,020 |
Granted (in shares) | 0 |
Performance adjustments (in shares) | 0 |
Vested (in shares) | (145,414) |
Converted (in shares) | (220,155) |
Cancelled (in shares) | |
Dividend equivalents (in shares) | 10,145 |
Ending Balance (in shares) | 486,424 |
Restricted Stock Awards | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 388,856 |
Granted (in shares) | 69,373 |
Converted (in shares) | (38,380) |
Cancelled (in shares) | (2,493) |
Dividend equivalents (in shares) | 8,081 |
Ending Balance (in shares) | 425,437 |
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 (usd per share) | $ / shares | $ 35.85 |
Granted, weighted-average grant date fair value (usd per share) | $ / shares | 51.68 |
Converted, weighted-average grant date fair value (usd per share) | $ / shares | 38.81 |
Cancelled, weighted-average grant date fair value (usd per share) | $ / shares | 42.01 |
Dividend equivalents, weighted-average grant date fair value (usd per share) | $ / shares | 51.73 |
Ending Balance, weighted-average grant date fair value (usd per share) | $ / shares | $ 38.41 |
Restricted Stock Awards | Nonvested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 210,346 |
Granted (in shares) | 69,373 |
Vested (in shares) | (53,543) |
Cancelled (in shares) | (2,493) |
Dividend equivalents (in shares) | 2,124 |
Ending Balance (in shares) | 225,807 |
Restricted Stock Awards | Vested | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 178,510 |
Granted (in shares) | 0 |
Vested (in shares) | (53,543) |
Converted (in shares) | (38,380) |
Cancelled (in shares) | 0 |
Dividend equivalents (in shares) | 5,957 |
Ending Balance (in shares) | 199,630 |
Deferred Compensation Plans | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning Balance (in shares) | 323,278 |
Deferred (in shares) | 36,362 |
Converted (in shares) | (4,835) |
Dividend equivalents (in shares) | 10,243 |
Ending Balance (in shares) | 365,048 |
Employee Benefit Plans - Compon
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 18,543 | $ 19,508 | $ 23,366 |
Interest cost | 55,873 | 59,719 | 70,797 |
Expected return on plan assets | (81,212) | (85,466) | (94,307) |
Amortization of net transition obligation | 0 | 0 | 65 |
Amortization of prior service cost / (credit) | 910 | 809 | 745 |
Amortization of net actuarial gain (loss) | 39,209 | 39,009 | 42,584 |
Effect of settlement loss | 32,761 | 0 | 0 |
Other | 0 | 0 | 49 |
Net periodic benefit cost (income) | 66,084 | 33,579 | 43,299 |
Retiree Health and Life Insurance Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 313 | 309 | 711 |
Interest cost | 463 | 482 | 766 |
Expected return on plan assets | (1,636) | (1,579) | (1,661) |
Amortization of prior service cost / (credit) | (499) | (498) | (104) |
Amortization of net actuarial gain (loss) | (759) | (667) | (673) |
Net periodic benefit cost (income) | $ (2,118) | $ (1,953) | $ (961) |
Employee Benefit Plans - Plans'
Employee Benefit Plans - Plans' Obligation and Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | $ 1,349,237 | ||
Fair value of plan assets at December 31 | 1,521,890 | $ 1,349,237 | |
Retirement Plan | |||
Change in Benefit Obligation | |||
Benefit obligation at January 1 | 1,777,424 | 1,733,596 | |
Service cost | 18,543 | 19,508 | $ 23,366 |
Interest cost | 55,873 | 59,719 | 70,797 |
Plan participant contributions | 391 | 439 | |
Plan amendments | 639 | 812 | |
Actuarial loss/(gain) | 99,402 | 93,772 | |
Benefits paid | (81,547) | (89,455) | |
Impact of foreign exchange rates | 29,753 | (40,856) | |
Other | 0 | (111) | |
Benefit obligation at December 31 | 1,837,938 | 1,777,424 | 1,733,596 |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | 1,325,389 | 1,298,186 | |
Actual return on plan assets | 198,071 | 130,717 | |
Company contributions | 93,662 | 32,504 | |
Plan participant contributions | 443 | 439 | |
Benefits paid | (81,547) | (89,455) | |
Impact of foreign exchange rates | 29,460 | (39,147) | |
Expenses paid | (8,225) | (7,855) | |
Fair value of plan assets at December 31 | 1,494,713 | 1,325,389 | 1,298,186 |
Funded Status of the Plans | (343,225) | (452,035) | |
Retiree Health and Life Insurance Plans | |||
Change in Benefit Obligation | |||
Benefit obligation at January 1 | 17,568 | 19,053 | |
Service cost | 313 | 309 | 711 |
Interest cost | 463 | 482 | 766 |
Plan participant contributions | 744 | 888 | |
Plan amendments | 0 | 0 | |
Actuarial loss/(gain) | (1,249) | (1,223) | |
Benefits paid | (2,183) | (1,956) | |
Impact of foreign exchange rates | 35 | 15 | |
Other | 0 | 0 | |
Benefit obligation at December 31 | 15,691 | 17,568 | 19,053 |
Change in Plan Assets | |||
Fair value of plan assets at January 1 | 23,848 | 22,250 | |
Actual return on plan assets | 3,986 | 1,872 | |
Company contributions | 851 | 860 | |
Plan participant contributions | 744 | 888 | |
Benefits paid | (2,183) | (1,956) | |
Impact of foreign exchange rates | 0 | 0 | |
Expenses paid | (69) | (66) | |
Fair value of plan assets at December 31 | 27,177 | 23,848 | $ 22,250 |
Funded Status of the Plans | $ 11,486 | $ 6,280 |
Employee Benefit Plans - Recogn
Employee Benefit Plans - Recognized Amounts in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent liabilities | $ (355,187) | $ (447,339) |
Retirement Plan | ||
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent assets | 24,380 | 3,863 |
Current liabilities | (13,220) | (9,409) |
Noncurrent liabilities | (354,385) | (446,489) |
Net (liability)/asset | (343,225) | (452,035) |
Retiree Health and Life Insurance Plans | ||
Total Recognized Amounts in the Consolidated Balance Sheets | ||
Noncurrent assets | 12,851 | 7,506 |
Current liabilities | (820) | (802) |
Noncurrent liabilities | (545) | (424) |
Net (liability)/asset | $ 11,486 | $ 6,280 |
Employee Benefit Plans - Comp77
Employee Benefit Plans - Component of Net Periodic Pension Cost that are Included in Accumulated Other Comprehensive Loss (Income) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Retirement Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss/(gain) | $ 625,831 | $ 708,533 |
Prior service cost/(credit) | 3,780 | 4,051 |
Amount in accumulated other comprehensive loss (income) | 629,611 | 712,584 |
Retiree Health and Life Insurance Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net actuarial loss/(gain) | (9,822) | (7,056) |
Prior service cost/(credit) | (1,275) | (1,774) |
Amount in accumulated other comprehensive loss (income) | $ (11,097) | $ (8,830) |
Employee Benefit Plans - Amount
Employee Benefit Plans - Amounts Recognized in Other Comprehensive Loss/(Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Retirement Plan | |||
Adjustments arising during the period: | |||
Net actuarial loss/(gain) | $ (10,732) | $ 56,060 | $ 8,352 |
Prior service cost/(credit) | 639 | 1,069 | 513 |
Net settlements/curtailments | (32,761) | 0 | 0 |
Reversal of amortization: | |||
Net actuarial (loss)/gain | (39,209) | (39,009) | (42,584) |
Prior service (cost)/credit | (910) | (809) | (745) |
Net transition obligation | 0 | 0 | (65) |
Total recognized in other comprehensive loss/(income) | (82,973) | 17,311 | (34,529) |
Total recognized in net periodic benefit cost and other comprehensive loss/(income) | (16,889) | 50,890 | 8,770 |
Retiree Health and Life Insurance Plans | |||
Adjustments arising during the period: | |||
Net actuarial loss/(gain) | (3,525) | (1,449) | (4,129) |
Prior service cost/(credit) | 0 | 0 | (2,273) |
Net settlements/curtailments | 0 | 0 | 0 |
Reversal of amortization: | |||
Net actuarial (loss)/gain | 759 | 667 | 673 |
Prior service (cost)/credit | 499 | 498 | 104 |
Net transition obligation | 0 | 0 | 0 |
Total recognized in other comprehensive loss/(income) | (2,267) | (284) | (5,625) |
Total recognized in net periodic benefit cost and other comprehensive loss/(income) | $ (4,385) | $ (2,237) | $ (6,586) |
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 | Dec. 31, 2017USD ($) |
Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Net actuarial loss/(gain) | $ 37,385 |
Prior service cost/(credit) | 972 |
Net transition obligation | 0 |
Expected amortization of defined benefit plan amounts from AOCI in next fiscal year | 38,357 |
Retiree Health and Life Insurance Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Net actuarial loss/(gain) | (960) |
Prior service cost/(credit) | (498) |
Net transition obligation | 0 |
Expected amortization of defined benefit plan amounts from AOCI in next fiscal year | $ (1,458) |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) $ in Thousands | 1 Months Ended | 12 Months Ended | 96 Months Ended | ||
Feb. 28, 2017 | Dec. 31, 2017USD ($)year | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2017USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined benefit plans, accumulated benefit obligation | $ 1,810,462 | $ 1,738,196 | $ 1,810,462 | ||
Projected benefit obligation (PBO) with accumulated benefit obligations in excess of plan assets | 1,554,395 | 1,474,993 | 1,554,395 | ||
Accumulated benefit obligation (ABO) with accumulated benefit obligations in excess of plan assets | 1,538,350 | 1,446,624 | 1,538,350 | ||
Fair value of plan assets for pension plans with accumulated benefit obligations in excess of plan assets | $ 1,186,789 | 1,019,094 | 1,186,789 | ||
Percentage of retiree health liability | 96.00% | ||||
Effect of one percentage point increase on postretirement benefit obligation | $ 176 | ||||
Effect of one percentage point increase of health care cost trend rate on total of service and interest cost | 15 | ||||
Effect of one percentage point decrease on postretirement benefit obligation | 163 | ||||
Effect of one percentage point decrease of health care cost trend rate on total of service and interest cost | 13 | ||||
Total postretirement benefit plan assets | 1,521,890 | 1,349,237 | 1,521,890 | ||
Projected contributions to retirement plan | 38,500 | 38,500 | |||
Retirement Plans | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Reduction in accumulated postretirement benefit obligation | $ 2,273 | ||||
Retiree Health and Life Insurance Plans | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Total postretirement benefit plan assets | 1,521,890 | 1,521,890 | |||
Retirement Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Total postretirement benefit plan assets | $ 1,494,713 | 1,325,389 | 1,298,186 | $ 1,494,713 | |
Canada Defined Benefit Plan | Equity securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 60.00% | 60.00% | |||
Canada Defined Benefit Plan | Debt securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 39.00% | 39.00% | |||
Canada Defined Benefit Plan | Alternative | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 0.00% | 0.00% | |||
Canada Defined Benefit Plan | Cash and short-term investments | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 1.00% | 1.00% | |||
United States | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Terminated vested participants, percentage | 15.00% | ||||
Election rates, percentage | 47.00% | ||||
Non-cash settlement charges | $ 32,761 | ||||
Total postretirement benefit plan assets | $ 1,124,453 | $ 1,124,453 | |||
United States | Retirement Plan | Equity securities | Inactive Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 49.00% | 49.00% | |||
United States | Retirement Plan | Equity securities | Active Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 57.00% | 57.00% | |||
United States | Retirement Plan | Debt securities | Inactive Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 40.00% | 40.00% | |||
United States | Retirement Plan | Debt securities | Active Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 30.00% | 30.00% | |||
United States | Retirement Plan | Alternative | Inactive Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 11.00% | 11.00% | |||
United States | Retirement Plan | Alternative | Active Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 13.00% | 13.00% | |||
United States | Retirement Plan | Cash and short-term investments | Inactive Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 0.00% | 0.00% | |||
United States | Retirement Plan | Cash and short-term investments | Active Plan Investment Portfolio | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 0.00% | 0.00% | |||
Foreign Plan | Equity securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 48.00% | 48.00% | |||
Foreign Plan | Debt securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 52.00% | 52.00% | |||
Foreign Plan | Alternative | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 0.00% | 0.00% | |||
Foreign Plan | Cash and short-term investments | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Current target allocation for investment portfolio | 0.00% | 0.00% | |||
Sonoco Investment and Retirement Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Companies expense related to the plan | $ 14,540 | 13,655 | 14,970 | ||
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 | 3 years | ||||
Age limit of participants | year | 55 | ||||
Cash contributions to the SIRP | $ 14,066 | 13,352 | 12,865 | ||
Sonoco Savings Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined contribution plan contribution percentage, Minimum | 1.00% | ||||
Defined contribution plan contribution percentage, Maximum | 100.00% | ||||
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% | ||||
Companies expense related to the plan | $ 11,200 | $ 11,400 | $ 11,500 |
Employee Benefit Plans - Compan
Employee Benefit Plans - Company's Projected Benefit Payments (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | $ 97,268 |
2,019 | 93,487 |
2,020 | 96,124 |
2,021 | 94,688 |
2,022 | 96,280 |
2022-2026 | 510,603 |
Retiree Health and Life Insurance Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,018 | 1,515 |
2,019 | 1,498 |
2,020 | 1,427 |
2,021 | 1,403 |
2,022 | 1,327 |
2022-2026 | $ 5,663 |
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, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
United States | Retirement Plan | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 3.59% | 4.12% | |
Rate of Compensation Increase | 3.40% | 3.60% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 4.12% | 4.36% | 4.00% |
Expected Long-term Rate of Return | 6.86% | 7.47% | 7.67% |
Rate of Compensation Increase | 3.60% | 3.69% | 3.99% |
United States | Retiree Health and Life Insurance Plans | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 3.36% | 3.70% | |
Rate of Compensation Increase | 3.28% | 3.32% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 3.70% | 3.78% | 3.52% |
Expected Long-term Rate of Return | 6.98% | 7.31% | 7.39% |
Rate of Compensation Increase | 3.32% | 3.36% | 3.42% |
Foreign Plans | |||
Weighted-average assumptions used to determine benefit obligations | |||
Discount Rate | 2.78% | 2.95% | |
Rate of Compensation Increase | 3.62% | 3.65% | |
Weighted-average assumptions used to determine net periodic benefit cost | |||
Discount Rate | 2.95% | 3.71% | 3.49% |
Expected Long-term Rate of Return | 4.52% | 4.75% | 4.92% |
Rate of Compensation Increase | 3.65% | 3.52% | 3.51% |
Employee Benefit Plans - Health
Employee Benefit Plans - Health Care Cost Trend Rates Related to U.S. Plan (Detail) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Pre-age 65 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Healthcare Cost Trend Rate | 6.75% | 7.00% |
Ultimate Trend Rate | 4.50% | 4.80% |
Year at which the Rate Reaches the Ultimate Trend Rate | 2,026 | 2,059 |
Post-age 65 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Healthcare Cost Trend Rate | 6.75% | 7.00% |
Ultimate Trend Rate | 4.50% | 4.80% |
Year at which the Rate Reaches the Ultimate Trend Rate | 2,026 | 2,059 |
Employee Benefit Plans - Weight
Employee Benefit Plans - Weighted-Average Asset Allocations (Detail) | Dec. 31, 2017 | Dec. 31, 2016 |
U.S. | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 100.00% | 100.00% |
U.K. | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 100.00% | 100.00% |
Canada | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 100.00% | 100.00% |
Retirement Plan | U.S. | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 51.70% | 51.40% |
Retirement Plan | U.S. | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 37.10% | 34.70% |
Retirement Plan | U.S. | Alternative | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 11.20% | 13.90% |
Retirement Plan | U.S. | Cash and short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.00% | 0.00% |
Retirement Plan | U.K. | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 44.70% | 46.60% |
Retirement Plan | U.K. | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 54.70% | 52.80% |
Retirement Plan | U.K. | Alternative | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.00% | 0.00% |
Retirement Plan | U.K. | Cash and short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.60% | 0.60% |
Retirement Plan | Canada | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 71.70% | 64.90% |
Retirement Plan | Canada | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 27.90% | 35.00% |
Retirement Plan | Canada | Alternative | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.00% | 0.00% |
Retirement Plan | Canada | Cash and short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.40% | 0.10% |
Retiree Health and Life Insurance Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 100.00% | 100.00% |
Retiree Health and Life Insurance Plans | Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 63.60% | 61.90% |
Retiree Health and Life Insurance Plans | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 30.80% | 31.20% |
Retiree Health and Life Insurance Plans | Alternative | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 5.40% | 6.80% |
Retiree Health and Life Insurance Plans | Cash and short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total | 0.20% | 0.10% |
Income Taxes - Provision for Ta
Income Taxes - Provision for Taxes on Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Pretax income | |||
Domestic | $ 168,180 | $ 318,702 | $ 255,897 |
Foreign | 146,374 | 122,575 | 72,049 |
Income before income taxes | 314,554 | 441,277 | 327,946 |
Current | |||
Federal | 120,398 | 110,567 | 55,678 |
State | 5,623 | 10,808 | 6,000 |
Foreign | 40,328 | 40,788 | 31,610 |
Total current | 166,349 | 162,163 | 93,288 |
Deferred | |||
Federal | (16,797) | (861) | 11,002 |
State | 3,499 | (869) | (2,359) |
Foreign | (6,462) | 4,198 | (14,193) |
Total deferred | (19,760) | 2,468 | (5,550) |
Total taxes | $ 146,589 | $ 164,631 | $ 87,738 |
Income Taxes - Deferred Tax Lia
Income Taxes - Deferred Tax Liabilities/(Assets) (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Income Tax Disclosure [Abstract] | ||
Property, plant and equipment | $ 83,584 | $ 115,946 |
Intangibles | 174,395 | 219,584 |
Gross deferred tax liabilities | 257,979 | 335,530 |
Retiree health benefits | 595 | (971) |
Foreign loss carryforwards | (59,975) | (61,381) |
U.S. Federal loss carryforwards | (17,977) | (10,105) |
Capital loss carryforwards | 0 | (20) |
Employee benefits | (115,771) | (202,085) |
Accrued liabilities and other | (100,031) | (93,142) |
Gross deferred tax assets | (293,159) | (367,704) |
Valuation allowance on deferred tax assets | 47,200 | 49,797 |
Total deferred taxes, net | $ 12,020 | $ 17,623 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2017 | Feb. 28, 2017 | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Line Items] | ||||||
Loss carryforwards not subject to expiration | $ 219,400 | $ 219,400 | ||||
Tax Act, additional income tax expense | 51,265 | |||||
Tax Act, change in tax rate, additional benefit | 25,668 | |||||
Tax Act, provisional amount related to transition tax | 76,933 | |||||
Tax Act, transition tax payable, current | 6,155 | 6,155 | ||||
Tax Act, transition tax payable, non-current | 70,778 | 70,778 | ||||
Increase (decrease) in reserve for uncertain tax positions | 4,895 | $ 732 | $ (3,245) | |||
Tax Act, benefits included in valuation allowance | 3,100 | |||||
Unrecognized tax benefits | 15,500 | 15,500 | 15,300 | |||
Accrued for interest | 2,300 | 2,300 | 2,300 | |||
Interest expense | (100) | |||||
Interest benefit | 800 | |||||
Interest expense | 700 | |||||
Reserve for uncertain tax benefits | 400 | 400 | ||||
U.S. Federal | ||||||
Income Taxes [Line Items] | ||||||
Loss carryforwards | 85,600 | 85,600 | ||||
U.S. Federal | Plastic Packaging Inc. | ||||||
Income Taxes [Line Items] | ||||||
Loss carryforwards | 69,000 | 69,000 | ||||
Foreign | ||||||
Income Taxes [Line Items] | ||||||
Loss carryforwards | 230,300 | 230,300 | ||||
Foreign | France | ||||||
Income Taxes [Line Items] | ||||||
Loss carryforwards not subject to expiration | 15,700 | $ 15,700 | ||||
Foreign | France | Minimum | ||||||
Income Taxes [Line Items] | ||||||
Operating loss carryforwards, estimated time until use | 20 years | |||||
Foreign | France | Maximum | ||||||
Income Taxes [Line Items] | ||||||
Operating loss carryforwards, estimated time until use | 25 years | |||||
Foreign | 2014 to 2019 | ||||||
Income Taxes [Line Items] | ||||||
Operating loss carryforwards subject to expiration | 8,000 | $ 8,000 | ||||
Foreign | 2022 to 2034 | ||||||
Income Taxes [Line Items] | ||||||
Operating loss carryforwards subject to expiration | 2,900 | 2,900 | ||||
State | ||||||
Income Taxes [Line Items] | ||||||
Loss carryforwards | 14,000 | 14,000 | ||||
State credit carry forwards | $ 15,000 | 15,000 | ||||
Uncertain Items Arising During Year | ||||||
Income Taxes [Line Items] | ||||||
Increase (decrease) in reserve for uncertain tax positions | 2,600 | 3,000 | 3,200 | |||
Uncertain Items Arising During Prior Years | ||||||
Income Taxes [Line Items] | ||||||
Increase (decrease) in reserve for uncertain tax positions | $ (2,300) | $ (2,300) | $ (6,500) | |||
Internal Revenue Service (IRS) | ||||||
Income Taxes [Line Items] | ||||||
Income tax examination, estimate of possible loss, penalties | $ 18,000 | |||||
Income tax examination, estimate of possible loss | $ 89,000 |
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, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Statutory tax rate | $ 110,094 | $ 154,447 | $ 114,781 |
State income taxes, net of federal tax benefit | 4,780 | 7,477 | 4,872 |
Valuation allowance | (3,333) | 639 | (8,080) |
Tax examinations including change in reserve for uncertain tax positions | 4,895 | 732 | (3,245) |
Adjustments to prior year deferred taxes | (1,415) | (2,401) | 1,596 |
Foreign earnings taxed at other than U.S. rates | (16,233) | (15,930) | (9,065) |
Disposition of business | 537 | 22,810 | (11,996) |
Effect of tax rate changes enacted during the year | (22,183) | 2,517 | (2,235) |
Deduction related to qualified production activities | (5,384) | (5,215) | (5,968) |
Transition tax | 76,933 | 0 | 0 |
Other, net | (2,102) | (445) | 7,078 |
Total taxes | $ 146,589 | $ 164,631 | $ 87,738 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
Statutory tax rate, percent | 35.00% | 35.00% | 35.00% |
State income taxes, net of federal tax benefit, percent | 1.50% | 1.70% | 1.50% |
Valuation allowance, percent | (1.10%) | 0.10% | (2.50%) |
Tax examinations including change in reserve for uncertain tax positions, percent | 1.60% | 0.20% | (1.00%) |
Adjustments to prior year deferred taxes, percent | (0.40%) | (0.50%) | 0.50% |
Foreign earnings taxed at other than U.S. rates, percent | (5.20%) | (3.60%) | (2.80%) |
Disposition of business, percent | 0.20% | 5.20% | (3.60%) |
Effect of tax rate changes enacted during the year, percent | (7.10%) | 0.60% | (0.70%) |
Deduction related to qualified production activities, percent | (1.70%) | (1.20%) | (1.80%) |
Transition tax, percent | 24.50% | 0.00% | 0.00% |
Other, net, percent | (0.70%) | (0.10%) | 2.20% |
Total taxes, percent | 46.60% | 37.30% | 26.80% |
Income Taxes - Reconciliation89
Income Taxes - Reconciliation of Gross Amounts of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Gross unrecognized tax benefits, Beginning Balance | $ 17,700 | $ 17,200 | $ 26,000 |
Increases in prior years’ unrecognized tax benefits | 700 | 1,400 | 1,500 |
Decreases in prior years’ unrecognized tax benefits | (2,400) | (3,500) | (2,100) |
Increases in current year's unrecognized tax benefits | 1,600 | 3,000 | 1,700 |
Decreases in unrecognized tax benefits from the lapse of statutes of limitations | (300) | (100) | (9,200) |
Settlements | (200) | (300) | (700) |
Gross unrecognized tax benefits, Ending Balance | $ 17,100 | $ 17,700 | $ 17,200 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Feb. 28, 2017 | Jan. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Nov. 08, 2011 | |
Site Contingency [Line Items] | |||||
Environmental accrual | $ 20,306 | $ 24,515 | |||
Total future payments | 289,300 | ||||
Payments in 2018 | 118,400 | ||||
Payments in 2019 | 71,900 | ||||
Payments in 2020 | 58,800 | ||||
Payments in 2021 | 37,300 | ||||
Payments in 2022 - 2026 | 2,900 | ||||
Internal Revenue Service (IRS) | |||||
Site Contingency [Line Items] | |||||
Income tax examination, estimate of possible loss | $ 89,000 | ||||
U.S. Mills | Operating Units 2 - 5 | |||||
Site Contingency [Line Items] | |||||
Environmental remediation cumulative spending | 369 | ||||
Tegrant Holding Corporation | |||||
Site Contingency [Line Items] | |||||
Environmental accrual | 16,504 | 16,821 | $ 17,400 | ||
Payment for remediation | $ 913 | ||||
Expense (reversal of expense) due to revision of estimates | $ 17 | ||||
Appvion, Inc. | U.S. Mills | Lower Fox River | |||||
Site Contingency [Line Items] | |||||
Settlement amount | $ 3,334 |
Shareholders' Equity and Earn91
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 | Dec. 31, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Feb. 10, 2016 | |
Equity [Line Items] | |||||||||||||
Cost of shares repurchased | $ 6,335 | $ 106,739 | $ 7,868 | ||||||||||
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 (usd per share) | $ 0.39 | $ 0.39 | $ 0.39 | $ 0.37 | $ 0.37 | $ 0.37 | $ 0.37 | $ 0.35 | $ 1.54 | $ 1.46 | $ 1.37 | ||
Noncontrolling interest, increase from business combination | $ 7,922 | ||||||||||||
Owned subsidiary, percentage | 51.00% | ||||||||||||
Graffo Paranaense de Embalagens S/A | |||||||||||||
Equity [Line Items] | |||||||||||||
Owned subsidiary, percentage | 67.00% | ||||||||||||
Percentage of ownership of Graffo | 33.00% | ||||||||||||
Tax Withholding Obligations | |||||||||||||
Equity [Line Items] | |||||||||||||
Number of shares repurchased | 119,349 | 148,129 | 172,884 | ||||||||||
Cost of shares repurchased | $ 6,335 | $ 6,739 | $ 7,868 | ||||||||||
Buyback Program | |||||||||||||
Equity [Line Items] | |||||||||||||
Number of shares repurchased | 0 | 2,030,389 | 0 | ||||||||||
Cost of shares repurchased | $ 100,000 | ||||||||||||
Non- controlling Interests | |||||||||||||
Equity [Line Items] | |||||||||||||
Noncontrolling interest, increase from business combination | $ 7,922 | $ 1,341 | $ 7,922 |
Shareholders' Equity and Earn92
Shareholders' Equity and Earnings per Share - Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Numerator: | |||||||||||
Net income attributable to Sonoco | $ 5,675 | $ 72,812 | $ 43,125 | $ 53,733 | $ 104,873 | $ 65,395 | $ 56,252 | $ 59,914 | $ 175,345 | $ 286,434 | $ 250,136 |
Denominator: | |||||||||||
Weighted average common shares outstanding | 100,237 | 101,093 | 101,482 | ||||||||
Dilutive effect of stock-based compensation (in shares) | 615 | 689 | 910 | ||||||||
Diluted outstanding shares | 100,852 | 101,782 | 102,392 | ||||||||
Net income attributable to Sonoco: | |||||||||||
Basic (usd per share) | $ 0.06 | $ 0.73 | $ 0.43 | $ 0.54 | $ 1.04 | $ 0.65 | $ 0.56 | $ 0.59 | $ 1.75 | $ 2.83 | $ 2.46 |
Diluted (usd per share) | $ 0.06 | $ 0.72 | $ 0.43 | $ 0.53 | $ 1.04 | $ 0.64 | $ 0.55 | $ 0.59 | $ 1.74 | $ 2.81 | $ 2.44 |
Shareholders' Equity and Earn93
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, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Equity [Abstract] | |||
Anti-dilutive stock appreciation rights | 487 | 357 | 902 |
Segment Reporting Segment Repor
Segment Reporting Segment Reporting - Narrative (Details) | 12 Months Ended |
Dec. 31, 2017segment | |
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, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Total Revenue | |||||||||||
Total Revenue | $ 5,188,107 | $ 4,892,538 | $ 5,079,058 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 5,188,107 | 4,892,538 | 5,079,058 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | $ 1,299,018 | $ 1,324,634 | $ 1,240,674 | $ 1,172,324 | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | 5,036,650 | 4,782,877 | 4,964,369 |
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | 314,554 | 441,277 | 327,946 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 4,557,721 | 3,923,203 | 4,557,721 | 3,923,203 | 4,013,685 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, Depletion and Amortization | 217,625 | 205,182 | 213,161 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 188,913 | 186,741 | 192,295 | ||||||||
Operating Segments | Consumer Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 2,129,022 | 2,048,621 | 2,126,916 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 2,129,022 | 2,048,621 | 2,126,916 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 2,123,465 | 2,043,112 | 2,122,559 | ||||||||
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | 250,899 | 240,925 | 231,590 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 1,890,516 | 1,447,886 | 1,890,516 | 1,447,886 | 1,507,621 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, Depletion and Amortization | 98,882 | 88,875 | 96,220 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 63,617 | 86,369 | 75,986 | ||||||||
Operating Segments | Display and Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 511,099 | 522,955 | 608,064 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 511,099 | 522,955 | 608,064 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 508,236 | 520,413 | 606,111 | ||||||||
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | 2,502 | 14,797 | 10,904 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 480,892 | 446,906 | 480,892 | 446,906 | 491,268 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, Depletion and Amortization | 17,090 | 16,716 | 16,623 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 23,908 | 11,542 | 10,906 | ||||||||
Operating Segments | Paper and Industrial Converted Products | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 2,007,321 | 1,793,512 | 1,835,896 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 2,007,321 | 1,793,512 | 1,835,896 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 1,866,180 | 1,693,453 | 1,729,786 | ||||||||
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | 154,468 | 129,678 | 124,057 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 1,346,391 | 1,164,365 | 1,346,391 | 1,164,365 | 1,199,280 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, Depletion and Amortization | 74,850 | 74,742 | 76,744 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 61,443 | 60,601 | 74,008 | ||||||||
Operating Segments | Protective Solutions | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 540,665 | 527,450 | 508,182 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 540,665 | 527,450 | 508,182 | ||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 538,769 | 525,899 | 505,913 | ||||||||
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | 42,121 | 51,526 | 46,013 | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | 552,425 | 573,949 | 552,425 | 573,949 | 561,592 | ||||||
Depreciation, Depletion and Amortization | |||||||||||
Depreciation, Depletion and Amortization | 26,803 | 24,849 | 23,574 | ||||||||
Capital Expenditures | |||||||||||
Capital Expenditures | 19,031 | 12,860 | 15,724 | ||||||||
Consolidation, Eliminations | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 151,457 | 109,661 | 114,689 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 151,457 | 109,661 | 114,689 | ||||||||
Consolidation, Eliminations | Consumer Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 5,557 | 5,509 | 4,357 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 5,557 | 5,509 | 4,357 | ||||||||
Consolidation, Eliminations | Display and Packaging | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 2,863 | 2,542 | 1,953 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 2,863 | 2,542 | 1,953 | ||||||||
Consolidation, Eliminations | Paper and Industrial Converted Products | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 141,141 | 100,059 | 106,110 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 141,141 | 100,059 | 106,110 | ||||||||
Consolidation, Eliminations | Protective Solutions | |||||||||||
Total Revenue | |||||||||||
Total Revenue | 1,896 | 1,551 | 2,269 | ||||||||
Intersegment Sales | |||||||||||
Total Revenue | 1,896 | 1,551 | 2,269 | ||||||||
Corporate | |||||||||||
Income Before Income Taxes | |||||||||||
Income Before Income Taxes | (135,436) | 4,351 | (84,618) | ||||||||
Identifiable Assets | |||||||||||
Identifiable Assets | $ 287,497 | $ 290,097 | 287,497 | 290,097 | 253,924 | ||||||
Capital Expenditures | |||||||||||
Capital Expenditures | $ 20,914 | $ 15,369 | $ 15,671 |
Segment Reporting - Restructuri
Segment Reporting - Restructuring Asset Impairment and Acquisition Related Costs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | $ 82,691 | $ (55,908) | $ 30,020 |
Operating Segments | Consumer Packaging | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 9,990 | (80,500) | 15,097 |
Operating Segments | Display and Packaging | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 2,082 | 7,883 | 1,812 |
Operating Segments | Paper and Industrial Converted Products | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 24,281 | 27,567 | (490) |
Operating Segments | Protective Solutions | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | 3,071 | 1,018 | (1,469) |
Corporate | |||
Segment Reporting Information [Line Items] | |||
Restructuring, asset impairment and acquisition-related costs | $ 43,267 | $ (11,876) | $ 15,070 |
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, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | $ 1,299,018 | $ 1,324,634 | $ 1,240,674 | $ 1,172,324 | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 5,036,650 | $ 4,782,877 | $ 4,964,369 |
Long-lived Assets | |||||||||||
Long-lived Assets | 2,850,268 | 2,484,146 | 2,850,268 | 2,484,146 | 2,608,643 | ||||||
United States | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 3,263,975 | 3,112,016 | 3,206,513 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 1,962,196 | 1,671,168 | 1,962,196 | 1,671,168 | 1,719,746 | ||||||
Europe | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 981,178 | 951,783 | 971,302 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 659,615 | 599,698 | 659,615 | 599,698 | 627,126 | ||||||
Canada | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 245,992 | 268,556 | 262,038 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | 120,062 | 111,452 | 120,062 | 111,452 | 157,208 | ||||||
All other | |||||||||||
Sales to Unaffiliated Customers | |||||||||||
Sales to Unaffiliated Customers | 545,505 | 450,522 | 524,516 | ||||||||
Long-lived Assets | |||||||||||
Long-lived Assets | $ 108,395 | $ 101,828 | $ 108,395 | $ 101,828 | $ 104,563 |
Accumulated Other Comprehensi98
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, 2017 | Dec. 31, 2016 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | $ 1,554,705 | $ 1,532,873 |
Amounts reclassified from accumulated other comprehensive loss | 45,174 | 31,623 |
Ending Balance | 1,730,060 | 1,554,705 |
Foreign Currency Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (286,498) | (253,137) |
Other comprehensive income/(loss) before reclassifications | 88,003 | (33,361) |
Other comprehensive income/(loss) | 88,003 | (33,361) |
Ending Balance | (198,495) | (286,498) |
Foreign Currency Items | Fixed assets | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Foreign Currency Items | Retained Earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | |
Foreign Currency Items | Net Income | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Defined Benefit Pension Items | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (453,821) | (444,244) |
Other comprehensive income/(loss) before reclassifications | 9,840 | (35,841) |
Other comprehensive income/(loss) | 59,689 | (9,577) |
Ending Balance | (467,136) | (453,821) |
Defined Benefit Pension Items | Fixed assets | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 |
Defined Benefit Pension Items | Retained Earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | (73,004) | |
Defined Benefit Pension Items | Net Income | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 49,849 | 26,264 |
Gains and Losses on Cash Flow Hedges | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | 1,939 | (5,152) |
Other comprehensive income/(loss) before reclassifications | 2,266 | 1,673 |
Other comprehensive income/(loss) | (2,345) | 7,091 |
Ending Balance | (641) | 1,939 |
Gains and Losses on Cash Flow Hedges | Fixed assets | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 64 | 59 |
Gains and Losses on Cash Flow Hedges | Retained Earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | (235) | |
Gains and Losses on Cash Flow Hedges | Net Income | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | (4,675) | 5,359 |
Accumulated Other Comprehensive Loss | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance | (738,380) | (702,533) |
Other comprehensive income/(loss) before reclassifications | 100,109 | (67,529) |
Other comprehensive income/(loss) | 145,347 | (35,847) |
Ending Balance | (666,272) | (738,380) |
Accumulated Other Comprehensive Loss | Fixed assets | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | 64 | 59 |
Accumulated Other Comprehensive Loss | Retained Earnings | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | (73,239) | |
Accumulated Other Comprehensive Loss | Net Income | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Amounts reclassified from accumulated other comprehensive loss | $ 45,174 | $ 31,623 |
Accumulated Other Comprehensi99
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, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Net Sales | $ 1,299,018 | $ 1,324,634 | $ 1,240,674 | $ 1,172,324 | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 5,036,650 | $ 4,782,877 | $ 4,964,369 |
Cost of sales | (4,087,260) | (3,845,451) | (4,034,947) | ||||||||
Income before income taxes | 314,554 | 441,277 | 327,946 | ||||||||
Provision for income taxes | (146,589) | (164,631) | $ (87,738) | ||||||||
Reclassification from AOCI, current period, net of tax | (45,174) | (31,623) | |||||||||
Effect of settlement | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | (32,761) | 0 | |||||||||
Defined benefit pension items | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | (71,622) | (38,653) | |||||||||
Reclassification from AOCI, tax | (21,773) | (12,389) | |||||||||
Reclassification from AOCI, current period, net of tax | (49,849) | (26,264) | |||||||||
Defined benefit pension items | Cost of sales | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | (29,146) | (28,990) | |||||||||
Defined benefit pension items | Selling, General and Administrative Expenses | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Reclassification from AOCI, before tax | (9,715) | (9,663) | |||||||||
Reclassification out of Accumulated Other Comprehensive Income | Gains and losses on cash flow hedges | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income before income taxes | 6,641 | (8,371) | |||||||||
Provision for income taxes | (1,966) | 3,012 | |||||||||
Net income | 4,675 | (5,359) | |||||||||
Foreign exchange contracts | Reclassification out of Accumulated Other Comprehensive Income | Gains and losses on cash flow hedges | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Net Sales | 11,738 | (8,769) | |||||||||
Cost of sales | (6,764) | 3,981 | |||||||||
Commodity contracts | Reclassification out of Accumulated Other Comprehensive Income | Gains and losses on cash flow hedges | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Cost of sales | $ 1,667 | $ (3,583) |
Accumulated Other Comprehens100
Accumulated Other Comprehensive Loss - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Defined benefit plan adjustment | $ (836) | $ (767) |
Subsidiaries | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income/(loss) before reclassifications | $ 5,071 |
Accumulated Other Comprehens101
Accumulated Other Comprehensive Loss - Components of Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign currency items, After Tax | $ (89,108) | $ 32,405 | $ 129,652 | |
Defined benefit pension items: | ||||
Net other comprehensive income (loss) from defined benefit pension items, After Tax | [1] | 59,924 | (9,577) | 31,042 |
Gains and losses on cash flow hedges: | ||||
Net other comprehensive income (loss) from cash flow hedges, After Tax | [1] | (2,580) | 7,091 | $ 810 |
AOCI Including Portion Attributable to Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign currency items, Before Tax | 88,003 | (33,361) | ||
Foreign currency items, Tax (Expense) Benefit | 0 | 0 | ||
Foreign currency items, After Tax | (88,003) | 33,361 | ||
Defined benefit pension items: | ||||
Other comprehensive income (loss), Before Tax | 13,118 | (56,383) | ||
Other comprehensive income (loss), Tax (Expense) Benefit | (3,278) | 20,542 | ||
Other comprehensive income (loss), After Tax | 9,840 | (35,841) | ||
Net other comprehensive income (loss) from defined benefit pension items, Before Tax | 84,740 | (17,730) | ||
Net other comprehensive income (loss) from defined benefit pension items, Tax (Expense) Benefit | (25,051) | 8,153 | ||
Net other comprehensive income (loss) from defined benefit pension items, After Tax | 59,689 | (9,577) | ||
Gains and losses on cash flow hedges: | ||||
Other comprehensive income (loss) before reclassifications, Before Tax | 3,355 | 2,613 | ||
Other comprehensive income (loss) before reclassifications, Tax (Expense) Benefit | (1,089) | (940) | ||
Other comprehensive income (loss) before reclassifications, After Tax | 2,266 | 1,673 | ||
Net other comprehensive income (loss) from cash flow hedges, Before Tax | (3,222) | 11,043 | ||
Net other comprehensive income (loss) from cash flow hedges, Tax (Expense) Benefit | 877 | (3,952) | ||
Net other comprehensive income (loss) from cash flow hedges, After Tax | (2,345) | 7,091 | ||
Other comprehensive income (loss), Before Tax | 169,521 | (40,048) | ||
Other comprehensive income (loss), Tax (Expense) Benefit | (24,174) | 4,201 | ||
Other comprehensive income (loss), After Tax | 145,347 | (35,847) | ||
AOCI Including Portion Attributable to Noncontrolling Interest | Fixed assets | ||||
Gains and losses on cash flow hedges: | ||||
Amounts reclassified from accumulated other comprehensive income (loss), Before Tax | 64 | 59 | ||
Amounts reclassified from accumulated other comprehensive income (loss), Tax (Expense) Benefit | 0 | 0 | ||
Amounts reclassified from accumulated other comprehensive income (loss), After Tax | 64 | 59 | ||
AOCI Including Portion Attributable to Noncontrolling Interest | Net Income | ||||
Defined benefit pension items: | ||||
Amounts reclassified from accumulated other comprehensive income (loss) to net income, Before Tax | 71,622 | 38,653 | ||
Amounts reclassified from accumulated other comprehensive income (loss) to net income, Tax (Expense) Benefit | (21,773) | (12,389) | ||
Amounts reclassified from accumulated other comprehensive income (loss) to net income, After Tax | 49,849 | 26,264 | ||
Gains and losses on cash flow hedges: | ||||
Amounts reclassified from accumulated other comprehensive income (loss), Before Tax | (6,641) | 8,371 | ||
Amounts reclassified from accumulated other comprehensive income (loss), Tax (Expense) Benefit | 1,966 | (3,012) | ||
Amounts reclassified from accumulated other comprehensive income (loss), After Tax | $ (4,675) | $ 5,359 | ||
[1] | net of tax |
Selected Quarterly Financial102
Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Oct. 01, 2017 | Jul. 02, 2017 | Apr. 02, 2017 | Dec. 31, 2016 | Oct. 02, 2016 | Jul. 03, 2016 | Apr. 03, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Selected Quarterly Financial Information [Abstract] | |||||||||||
Net Sales | $ 1,299,018 | $ 1,324,634 | $ 1,240,674 | $ 1,172,324 | $ 1,142,197 | $ 1,208,724 | $ 1,205,680 | $ 1,226,276 | $ 5,036,650 | $ 4,782,877 | $ 4,964,369 |
Gross profit | 242,420 | 250,873 | 235,875 | 220,222 | 214,787 | 235,373 | 242,013 | 245,253 | 949,390 | 937,426 | 929,422 |
Restructuring/Asset impairment charges | 25,900 | 511 | 7,897 | 4,111 | 1,430 | 8,947 | 23,278 | 9,228 | 38,419 | 42,883 | 50,637 |
Net income attributable to Sonoco | $ 5,675 | $ 72,812 | $ 43,125 | $ 53,733 | $ 104,873 | $ 65,395 | $ 56,252 | $ 59,914 | $ 175,345 | $ 286,434 | $ 250,136 |
Net income attributable to Sonoco: | |||||||||||
Basic (usd per share) | $ 0.06 | $ 0.73 | $ 0.43 | $ 0.54 | $ 1.04 | $ 0.65 | $ 0.56 | $ 0.59 | $ 1.75 | $ 2.83 | $ 2.46 |
Diluted (usd per share) | 0.06 | 0.72 | 0.43 | 0.53 | 1.04 | 0.64 | 0.55 | 0.59 | 1.74 | 2.81 | 2.44 |
Cash dividends (usd per share) | 0.39 | 0.39 | 0.39 | 0.37 | 0.37 | 0.37 | 0.37 | 0.35 | $ 1.54 | $ 1.46 | $ 1.37 |
Market price - high | 55.77 | 53.77 | 54 | 55.58 | 55.47 | 53.57 | 50.13 | 49.08 | |||
Market price - low | $ 50.39 | $ 47.10 | $ 49.66 | $ 51.87 | $ 49.50 | $ 49.10 | $ 45.02 | $ 36.56 | |||
Additional tax provision from new U.S. tax reform legislation | $ 51,265 | ||||||||||
Disposal group, gain on disposition | $ 49,341 |
Schedule II (Details)
Schedule II (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Allowance for Doubtful Accounts | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | $ 10,884 | $ 11,069 | $ 8,547 |
Charged to Costs and Expenses | 1,439 | 1,566 | 2,501 |
Charged to Other | 243 | (86) | 467 |
Deductions | 2,653 | 1,665 | 446 |
Closing Balance | 9,913 | 10,884 | 11,069 |
LIFO Reserve | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | 17,319 | 18,894 | 17,908 |
Charged to Costs and Expenses | 313 | (1,575) | 986 |
Charged to Other | 0 | 0 | 0 |
Deductions | 0 | 0 | 0 |
Closing Balance | 17,632 | 17,319 | 18,894 |
Valuation Allowance on Deferred Tax Assets | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Opening Balance | 49,797 | 49,464 | 63,231 |
Charged to Costs and Expenses | 6,967 | 3,273 | 2,248 |
Charged to Other | (2,365) | (306) | (5,686) |
Deductions | 7,200 | 2,634 | 10,329 |
Closing Balance | $ 47,199 | $ 49,797 | $ 49,464 |