Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended |
Sep. 30, 2013 | |
Document and Entity Information | |
Entity Registrant Name | BALL CORP |
Entity Central Index Key | 9389 |
Document Type | 10-Q |
Document Period End Date | 30-Sep-13 |
Amendment Flag | FALSE |
Current Fiscal Year End Date | -19 |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 144,633,496 |
Document Fiscal Year Focus | 2013 |
Document Fiscal Period Focus | Q3 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS | ||||
Net sales | $2,277.90 | $2,282.50 | $6,471.30 | $6,621.50 |
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | -1,846.90 | -1,866.10 | -5,289.30 | -5,444.60 |
Depreciation and amortization | -76.6 | -74.7 | -223.6 | -210.2 |
Selling, general and administrative | -99 | -86.3 | -311.2 | -284.5 |
Business consolidation and other activities | -43.8 | -36.8 | -89.1 | -44 |
Total costs and expenses | -2,066.30 | -2,063.90 | -5,913.20 | -5,983.30 |
Earnings before interest and taxes | 211.6 | 218.6 | 558.1 | 638.2 |
Interest expense | -45.5 | -44.2 | -138 | -134.2 |
Debt refinancing costs | -1.3 | -28 | -15.1 | |
Total interest expense | -46.8 | -44.2 | -166 | -149.3 |
Earnings before taxes | 164.8 | 174.4 | 392.1 | 488.9 |
Tax provision | -44.1 | -51.7 | -93 | -129.7 |
Equity in results of affiliates, net of tax | 0.9 | -0.8 | 0.9 | -1 |
Net earnings from continuing operations | 121.6 | 121.9 | 300 | 358.2 |
Discontinued operations, net of tax | 0.3 | -2.2 | 0.4 | -2.9 |
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 |
Less net earnings attributable to noncontrolling interests | -6.7 | -4.6 | -18.1 | -12.4 |
Net earnings attributable to Ball Corporation | 115.2 | 115.1 | 282.3 | 342.9 |
Amounts attributable to Ball Corporation: | ||||
Continuing operations | 114.9 | 117.3 | 281.9 | 345.8 |
Discontinued operations | 0.3 | -2.2 | 0.4 | -2.9 |
Net earnings | $115.20 | $115.10 | $282.30 | $342.90 |
Earnings per share: | ||||
Basic - continuing operations (in dollars per share) | $0.80 | $0.76 | $1.92 | $2.22 |
Basic - discontinued operations (in dollars per share) | ($0.01) | ($0.02) | ||
Total basic earnings per share (in dollars per share) | $0.80 | $0.75 | $1.92 | $2.20 |
Diluted - continuing operations (in dollars per share) | $0.78 | $0.74 | $1.88 | $2.18 |
Diluted - discontinued operations (in dollars per share) | ($0.01) | ($0.02) | ||
Total diluted earnings per share (in dollars per share) | $0.78 | $0.73 | $1.88 | $2.16 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS | ||||||||
Net earnings | $121.90 | $119.70 | $300.40 | $355.30 | ||||
Other comprehensive earnings: | ||||||||
Foreign currency translation adjustment | 57.3 | 27.5 | 29.7 | -2 | ||||
Pension and other postretirement benefits | 3.3 | [1] | 5.7 | [1] | 17.7 | [1] | 20.2 | [1] |
Effective financial derivatives | 3.6 | [2] | 28.6 | [2] | -22.9 | [2] | 26 | [2] |
Total comprehensive earnings | 186.1 | 181.5 | 324.9 | 399.5 | ||||
Less comprehensive earnings attributable to noncontrolling interests | -6.6 | -4.5 | -18.3 | -12.6 | ||||
Comprehensive earnings attributable to Ball Corporation | $179.50 | $177 | $306.60 | $386.90 | ||||
[1] | Net of tax (expense) benefit of $(4.7) million and $(13.9) million for the three and nine months ended September 30, 2013, respectively, and $(4.2) million and $(12.4) million for the comparable periods in 2012, respectively. | |||||||
[2] | Net of tax (expense) benefit of $(2.4) million and $2.5 million for the three and nine months ended September 30, 2013, respectively, and $(17.6) million and $(15.6) million for the comparable periods in 2012, respectively. |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS | ||||
Pension and other postretirement benefits, tax (expense) benefit | ($4.70) | ($4.20) | ($13.90) | ($12.40) |
Effective financial derivatives, tax (expense) benefit | ($2.40) | ($17.60) | $2.50 | ($15.60) |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Current assets | ||||
Cash and cash equivalents | $168.20 | $174.10 | $181.20 | $165.80 |
Receivables, net | 1,087.50 | 930.1 | ||
Inventories, net | 980.3 | 1,044.40 | ||
Other current assets | 189.4 | 190.8 | ||
Total current assets | 2,425.40 | 2,339.40 | ||
Non-current assets | ||||
Property, plant and equipment, net | 2,360.10 | 2,288.60 | ||
Goodwill | 2,379.80 | 2,359.40 | ||
Intangibles and other assets, net | 543.9 | 519.7 | ||
Total assets | 7,709.20 | 7,507.10 | ||
Current liabilities | ||||
Short-term debt and current portion of long-term debt | 104.5 | 219.8 | ||
Accounts payable | 998.8 | 946.9 | ||
Accrued employee costs | 232.3 | 278.4 | ||
Other current liabilities | 234.6 | 240.7 | ||
Total current liabilities | 1,570.20 | 1,685.80 | ||
Non-current liabilities | ||||
Long-term debt | 3,417.50 | 3,085.30 | ||
Employee benefit obligations | 1,175.70 | 1,238.10 | ||
Other non-current liabilities | 229 | 207.9 | ||
Total liabilities | 6,392.40 | 6,217.10 | ||
Shareholders' equity | ||||
Common stock (330,072,784 shares issued - 2013; 329,014,589 shares issued - 2012) | 1,068.30 | 1,026.30 | ||
Retained earnings | 3,807.30 | 3,580.80 | ||
Accumulated other comprehensive earnings (loss) | -328.1 | -352.4 | ||
Treasury stock, at cost (185,439,288 shares - 2013; 179,285,288 shares - 2012) | -3,418.10 | -3,140.10 | ||
Total Ball Corporation shareholders' equity | 1,129.40 | 1,114.60 | ||
Noncontrolling interests | 187.4 | 175.4 | ||
Total shareholders' equity | 1,316.80 | 1,290 | ||
Total liabilities and shareholders' equity | $7,709.20 | $7,507.10 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) | Sep. 30, 2013 | Dec. 31, 2012 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Common stock, shares issued | 330,072,784 | 329,014,589 |
Treasury stock, shares | 185,439,288 | 179,285,288 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Cash Flows from Operating Activities | ||
Net earnings | $300.40 | $355.30 |
Discontinued operations, net of tax | -0.4 | 2.9 |
Adjustments to reconcile net earnings to cash provided by (used in) continuing operating activities: | ||
Depreciation and amortization | 223.6 | 210.2 |
Business consolidation and other activities | 89.1 | 44 |
Deferred tax provision | 3.3 | 15.4 |
Other, net | 4.8 | -34.1 |
Changes in working capital components | -166.6 | -204.4 |
Cash provided by (used in) continuing operating activities | 454.2 | 389.3 |
Cash provided by (used in) discontinued operating activities | -2.3 | -1 |
Total cash provided by (used in) operating activities | 451.9 | 388.3 |
Cash Flows from Investing Activities | ||
Capital expenditures | -309.6 | -206.9 |
Business acquisitions, net of cash acquired | -14.2 | -15.3 |
Other, net | 2.2 | 18 |
Cash provided by (used in) investing activities | -321.6 | -204.2 |
Cash Flows from Financing Activities | ||
Long-term borrowings | 1,546.60 | 1,269.80 |
Repayments of long-term borrowings | -1,277.50 | -982.7 |
Net change in short-term borrowings | -55.4 | -98.8 |
Proceeds from issuances of common stock | 24.3 | 40.8 |
Acquisitions of treasury stock | -292.2 | -345.7 |
Common dividends | -56.8 | -46.6 |
Other, net | -15.6 | -6.6 |
Cash provided by (used in) financing activities | -126.6 | -169.8 |
Effect of exchange rate changes on cash | -9.6 | 1.1 |
Change in cash and cash equivalents | -5.9 | 15.4 |
Cash and cash equivalents - beginning of period | 174.1 | 165.8 |
Cash and cash equivalents - end of period | $168.20 | $181.20 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2013 | |
Basis of Presentation | |
Basis of Presentation | 1. Basis of Presentation |
The accompanying unaudited condensed consolidated financial statements include the accounts of Ball Corporation and its controlled affiliates, including its consolidated variable interest entities (collectively Ball, the company, we or our), and have been prepared by the company. Certain information and footnote disclosures, including critical and significant accounting policies normally included in financial statements prepared in accordance with generally accepted accounting principles, have been condensed or omitted for this quarterly presentation. | |
Results of operations for the periods shown are not necessarily indicative of results for the year, particularly in view of the seasonality in the packaging segments and the irregularity of contract revenues in the aerospace and technologies segment. These unaudited condensed consolidated financial statements and accompanying notes should be read in conjunction with the consolidated financial statements and the notes thereto included in the company’s Annual Report on Form 10-K filed on February 22, 2013, pursuant to Section 13 of the Securities Exchange Act of 1934 for the fiscal year ended December 31, 2012 (annual report). | |
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting periods. These estimates are based on historical experience and various assumptions believed to be reasonable under the circumstances. Actual results could differ from these estimates under different assumptions and conditions. However, we believe that the financial statements reflect all adjustments which are of a normal and recurring nature and are necessary to fairly state the results of the interim periods. Certain prior period amounts have been reclassified in order to conform to the current period presentation. |
Accounting_Pronouncements
Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2013 | |
Accounting Pronouncements | |
Accounting Pronouncements | 2. Accounting Pronouncements |
Recently Adopted Accounting Standards | |
In July 2013, accounting guidance was issued to provide for inclusion of the Overnight Index Swap Rate (OIS, also referred to as the Fed Funds Effective Swap Rate) as a benchmark interest rate for hedge accounting purposes. Prior to this guidance, in the U.S. only interest rates on direct U.S. Treasury obligations and the London Interbank Offered Rate (LIBOR) swap rate were considered benchmark interest rates for hedge accounting purposes. The guidance was effective for Ball prospectively for qualifying new or redesignated hedging relationships entered into on or after July 17, 2013. The guidance did not have a material effect on the company’s consolidated financial statements. | |
In February 2013, amendments to the existing accounting guidance were issued requiring the company to present, either on the face of the financial statements or in the notes, the effect of significant amounts reclassified in their entirety from each component of accumulated other comprehensive earnings based on the source into net earnings during the reporting period. For amounts not required to be reclassified in their entirety, the company is required to cross-reference to other disclosures that provide additional details about those reclassifications. The new guidance was effective for Ball prospectively on January 1, 2013, and the additional required disclosures are included in Note 13. | |
In December 2011, accounting guidance was issued requiring disclosures to help reconcile differences in the offsetting requirements under U.S. generally accepted accounting principles (U.S. GAAP) and international financial reporting standards (IFRS). The new disclosure requirements mandate that companies disclose both gross and net information about instruments and transactions eligible for offset in the statement of financial position as well as instruments and transactions subject to an agreement similar to a master netting arrangement. Further guidance was issued in January 2013 to clarify the intended scope of the required disclosures. The guidance was effective for Ball on January 1, 2013, and did not have a material effect on the company’s unaudited condensed consolidated financial statements. | |
New Accounting Guidance | |
In July 2013, accounting guidance was issued to eliminate diversity in practice for the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists. In general, an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, unless certain exceptions exist. The guidance, which will be effective for Ball on January 1, 2014, is not expected to have a material effect on the company’s consolidated financial statements. | |
In May 2013, the Committee of Sponsoring Organization of the Treadway Commission (COSO) issued the 2013 “Internal Control — Integrated Framework” (Framework). The 2013 Framework is expected to: (1) help companies design and implement internal controls in light of the changes in business and operating environments since the issuance of the original Framework, (2) broaden the application of internal controls in addressing operating and reporting objectives and (3) clarify the requirements for determining what constitutes effective internal controls. Implementation of the 2013 Framework is effective for Ball for the year ended December 31, 2014. During the transitional period, companies can continue to use the original Framework but should disclose whether the original or the 2013 Framework was utilized. Ball is continuing to use the original Framework and does not expect the implementation of the 2013 Framework to have a material effect on the company’s established internal controls around financial reporting. | |
In March 2013, accounting guidance was issued to clarify that a company should release the cumulative translation adjustment into net earnings if the parent ceases to have a controlling financial interest in a subsidiary or group of assets within a foreign entity. The guidance also affects entities that lose a controlling financial interest in an investment in a foreign entity and those that acquire a business in stages by increasing an investment in a foreign entity from one accounted for under the equity method to one accounted for as a consolidated investment. The guidance will be effective for Ball prospectively on January 1, 2014, and is not expected to have a material effect on the company’s consolidated financial statements. |
Business_Segment_Information
Business Segment Information | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Business Segment Information | ||||||||||||||
Business Segment Information | 3. Business Segment Information | |||||||||||||
Ball’s operations are organized and reviewed by management along its product lines and geographical areas and presented in the four reportable segments discussed below. On January 1, 2013, the company implemented changes to its management and internal reporting structure. As a result, the European extruded aluminum business, which was previously included in the metal beverage packaging, Europe, segment, is now included in the metal food and household products packaging segment. The segment results and disclosures for the three and nine months ended September 30, 2012, and the financial position at December 31, 2012, have been retrospectively adjusted to conform to the current year presentation. | ||||||||||||||
Metal beverage packaging, Americas and Asia: Consists of the metal beverage packaging, Americas, operations in the U.S., Canada and Brazil, and the metal beverage packaging, Asia, operations in the People’s Republic of China (PRC). The Americas and Asia segments have been aggregated based on similar economic and qualitative characteristics. The operations in this reporting segment manufacture and sell metal beverage containers, and also manufacture and sell non-beverage plastic containers in the PRC. | ||||||||||||||
Metal beverage packaging, Europe: Consists of operations in several countries in Europe, which manufacture and sell metal beverage containers. | ||||||||||||||
Metal food and household products packaging: Consists of operations in the U.S., Europe, Canada, Mexico and Argentina, which manufacture and sell steel food, aerosol, paint, general line and decorative specialty containers, as well as extruded aluminum beverage and aerosol containers and aluminum slugs. | ||||||||||||||
Aerospace and technologies: Consists of the manufacture and sale of aerospace and other related products and the providing of services used in the defense, civil space and commercial space industries. | ||||||||||||||
The accounting policies of the segments are the same as those in the unaudited condensed consolidated financial statements. A discussion of the company’s critical and significant accounting policies can be found in Ball’s annual report. The company also has investments in companies in the U.S. and Vietnam, which are accounted for under the equity method of accounting and, accordingly, those results are not included in segment sales or earnings. | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | |||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Net sales | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 1,109.20 | $ | 1,169.60 | $ | 3,190.70 | $ | 3,426.90 | ||||||
Metal beverage packaging, Europe | 488.9 | 450.8 | 1,400.50 | 1,377.00 | ||||||||||
Metal food & household products packaging | 463.6 | 445.8 | 1,213.40 | 1,196.70 | ||||||||||
Aerospace & technologies | 217.5 | 219.9 | 675 | 631.8 | ||||||||||
Corporate and intercompany eliminations | (1.3 | ) | (3.6 | ) | (8.3 | ) | (10.9 | ) | ||||||
Net sales | $ | 2,277.90 | $ | 2,282.50 | $ | 6,471.30 | $ | 6,621.50 | ||||||
Net earnings | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 134.8 | $ | 142.2 | $ | 364.5 | $ | 384.5 | ||||||
Business consolidation and other activities | (14.1 | ) | (31.5 | ) | (26.6 | ) | (32.9 | ) | ||||||
Total metal beverage packaging, Americas & Asia | 120.7 | 110.7 | 337.9 | 351.6 | ||||||||||
Metal beverage packaging, Europe | 60.5 | 54.3 | 143.2 | 152.7 | ||||||||||
Business consolidation and other activities | (1.7 | ) | (3.5 | ) | (4.6 | ) | (6.2 | ) | ||||||
Total metal beverage packaging, Europe | 58.8 | 50.8 | 138.6 | 146.5 | ||||||||||
Metal food & household products packaging | 58.4 | 50.1 | 140.6 | 131 | ||||||||||
Business consolidation and other activities | (28.9 | ) | — | (57.4 | ) | — | ||||||||
Total metal food & household products packaging | 29.5 | 50.1 | 83.2 | 131 | ||||||||||
Aerospace & technologies | 18 | 22.5 | 55 | 62.4 | ||||||||||
Business consolidation and other activities | — | — | (0.2 | ) | — | |||||||||
Total aerospace & technologies | 18 | 22.5 | 54.8 | 62.4 | ||||||||||
Segment earnings before interest and taxes | 227 | 234.1 | 614.5 | 691.5 | ||||||||||
Undistributed and corporate expenses and intercompany eliminations, net | (16.3 | ) | (13.7 | ) | (56.1 | ) | (48.4 | ) | ||||||
Business consolidation and other activities | 0.9 | (1.8 | ) | (0.3 | ) | (4.9 | ) | |||||||
Total undistributed and corporate expenses and intercompany eliminations, net | (15.4 | ) | (15.5 | ) | (56.4 | ) | (53.3 | ) | ||||||
Earnings before interest and taxes | 211.6 | 218.6 | 558.1 | 638.2 | ||||||||||
Interest expense | (45.5 | ) | (44.2 | ) | (138.0 | ) | (134.2 | ) | ||||||
Debt refinancing costs | (1.3 | ) | — | (28.0 | ) | (15.1 | ) | |||||||
Total interest expense | (46.8 | ) | (44.2 | ) | (166.0 | ) | (149.3 | ) | ||||||
Tax provision | (44.1 | ) | (51.7 | ) | (93.0 | ) | (129.7 | ) | ||||||
Equity in results of affiliates, net of tax | 0.9 | (0.8 | ) | 0.9 | (1.0 | ) | ||||||||
Net earnings from continuing operations | 121.6 | 121.9 | 300 | 358.2 | ||||||||||
Discontinued operations, net of tax | 0.3 | (2.2 | ) | 0.4 | (2.9 | ) | ||||||||
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 | ||||||||||
Less net earnings attributable to noncontrolling interests | (6.7 | ) | (4.6 | ) | (18.1 | ) | (12.4 | ) | ||||||
Net earnings attibutable to Ball Corporation | $ | 115.2 | $ | 115.1 | $ | 282.3 | $ | 342.9 | ||||||
September 30, | December 31, | |||||||||||||
($ in millions) | 2013 | 2012 | ||||||||||||
Total Assets | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 3,307.60 | $ | 3,227.50 | ||||||||||
Metal beverage packaging, Europe | 2,325.90 | 2,299.80 | ||||||||||||
Metal food & household products packaging | 1,635.30 | 1,568.90 | ||||||||||||
Aerospace & technologies | 346.6 | 332.8 | ||||||||||||
Segment assets | 7,615.40 | 7,429.00 | ||||||||||||
Corporate assets and intercompany eliminations | 93.8 | 78.1 | ||||||||||||
Total assets | $ | 7,709.20 | $ | 7,507.10 |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2013 | |
Acquisitions | |
Acquisitions | 4. Acquisitions |
Envases del Plata S.A. de C.V. | |
In December 2012, the company acquired a leading producer of extruded aluminum aerosol packaging in Mexico with a single manufacturing facility in San Luis Potosí for cash of $57.7 million, net of cash acquired, and assumed debt of $72.7 million. The facility produces extruded aluminum aerosol containers for personal care and household products for customers in North, Central and South America and employs approximately 150 people. The acquisition is expected to provide a platform to grow the company’s existing North American extruded aluminum business, providing a new end market for the company’s products, including the company’s ReAlTM technology that enables the use of recycled material and meaningful lightweighting in the manufacture of extruded aluminum packaging. Based on the final purchase price allocation, goodwill of $64.0 million was recorded at September 30, 2013. This acquisition is not material to the metal food and household products packaging segment. |
Business_Consolidation_and_Oth
Business Consolidation and Other Activities | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Business Consolidation and Other Activities | |||||||||||||||||
Business Consolidation and Other Activities | 5. Business Consolidation and Other Activities | ||||||||||||||||
Following is a summary of business consolidation and other activity charges included in the unaudited condensed consolidated statements of earnings: | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Metal beverage packaging, Americas & Asia | $ | (14.1 | ) | $ | (31.5 | ) | $ | (26.6 | ) | $ | (32.9 | ) | |||||
Metal beverage packaging, Europe | (1.7 | ) | (3.5 | ) | (4.6 | ) | (6.2 | ) | |||||||||
Metal food & household products packaging | (28.9 | ) | — | (57.4 | ) | — | |||||||||||
Aerospace & technologies | — | — | (0.2 | ) | — | ||||||||||||
Corporate and other | 0.9 | (1.8 | ) | (0.3 | ) | (4.9 | ) | ||||||||||
$ | (43.8 | ) | $ | (36.8 | ) | $ | (89.1 | ) | $ | (44.0 | ) | ||||||
2013 | |||||||||||||||||
Metal Beverage Packaging, Americas and Asia | |||||||||||||||||
During July 2013, the company signed a compensation agreement for approximately $72 million pretax with the PRC government to vacate the Shenzhen manufacturing facility and relocate the production equipment. Proceeds from the compensation agreement will offset costs related to the closure and relocation of the Shenzhen facility and will be composed of compensation for the disposal of the land and building, the disposal and transfer of machinery and equipment, business interruption costs and severance. Any compensation received in excess of expenses or losses incurred by the company will be reflected in business consolidation and other activities. The third quarter and first nine months included charges of $6.8 million and $8.1 million, respectively, for closure and relocation costs. The total charges in the first nine months of $8.1 million were composed of $6.6 million for severance, which will be compensated in the fourth quarter; and $1.5 million for other costs that will not be compensated under the agreement. The company also recorded charges of $7.8 million and $3.3 million, respectively, in the first nine months for the write-off of the land and building and the disposal and transfer of machinery and equipment, which were both fully compensated in the third quarter and recorded as income to offset the charges. During the third quarter, the company received $28.4 million of compensation, of which $17.3 million was deferred on the balance sheet. The remainder of the compensation is expected to be received in the fourth quarter of 2013. | |||||||||||||||||
The third quarter and first nine months included charges of $1.6 million and $8.7 million, respectively, to eliminate 12-ounce beverage can production from the company’s Milwaukee, Wisconsin, facility. The charges for the nine months were composed of $4.6 million for accelerated depreciation, $1.6 million for severance and other employee benefits and $2.5 million for other costs. In addition, the third quarter and first nine months of 2013 included net charges of $5.3 million and $8.4 million, respectively, primarily for ongoing costs related to the previously announced closures of Ball’s Columbus, Ohio, and Gainesville, Florida, facilities and voluntary separation programs, as well as other insignificant charges. | |||||||||||||||||
The third quarter and first nine months of 2013 also included net charges of $0.4 million and $1.4 million, respectively, for ongoing costs related to previously closed facilities and other insignificant costs. | |||||||||||||||||
Metal Beverage Packaging, Europe, and Corporate | |||||||||||||||||
During the third quarter and first nine months, the company recorded charges of $1.7 million and $5.5 million, respectively, primarily for headcount reductions and implementation costs incurred in connection with the relocation of the company’s European headquarters from Germany to Switzerland. | |||||||||||||||||
The third quarter and first nine months of 2013 also included net income of $0.9 million and $0.6 million, respectively, primarily related to previously closed facilities. | |||||||||||||||||
Metal Food and Household Products Packaging | |||||||||||||||||
In the third quarter, the company recorded an accounts receivable provision of $27.0 million as a result of the October 28, 2013, bankruptcy filing of a metal food and household products packaging segment customer. This provision represents the company’s estimate of the most likely potential loss of value it expects to incur on the approximately $46.5 million accounts receivable balance as a result of the financial condition of this customer. The company’s estimate of potential loss as a result of this event may materially change in the future if the customer’s facts and circumstances change. | |||||||||||||||||
During the first quarter, the company announced that it will close its Elgin, Illinois, food and household products packaging facility in December 2013. The third quarter and first nine months included charges of $1.9 million and $28.0 million, respectively, in connection with this planned closure. The total charges in the first nine months were composed of $16.0 million for severance, pension and other employee benefits; $4.2 million for the write down of the land and building to net realizable value; and $7.8 million for the accelerated depreciation on assets to be abandoned and other closure costs. The Elgin facility produces steel aerosol and specialty cans, as well as flat steel sheet used by other Ball facilities. The plant’s production capabilities will be supplied by other Ball food and household products packaging facilities. | |||||||||||||||||
The second quarter also included a charge of $5.9 million to migrate certain hourly employees from a multi-employer defined benefit pension plan as of January 1, 2014, to a Ball-sponsored defined benefit pension plan. Additionally, the first six months included income of $3.5 million to accrue for the reimbursement of funds paid in 2012 for the settlement of certain Canadian defined benefit pension liabilities related to previously closed facilities. | |||||||||||||||||
2012 | |||||||||||||||||
Metal Beverage Packaging, Americas and Asia | |||||||||||||||||
In August 2012, Ball announced plans to close its Columbus, Ohio, U.S., beverage can manufacturing facility and its Gainesville, Florida, U.S., end facility in order to consolidate the company’s 12-ounce beverage can and end production capacity to meet changing market demand. In connection with the closures, the company recorded initial charges of $31.3 million in the third quarter, of which $20.1 million represented severance, pension and other employee benefits; $6.6 million represented accelerated depreciation and $4.6 million represented the obsolescence of tooling and spares. | |||||||||||||||||
The third quarter and first nine months of 2012 also included net charges of $0.2 million and $1.6 million, respectively, for ongoing costs related to previously closed facilities and other insignificant costs. | |||||||||||||||||
Metal Beverage Packaging, Europe, and Corporate | |||||||||||||||||
The third quarter and first nine months included charges of $4.2 million and $9.6 million, respectively, as well as $1.3 million of additional tax expense, in connection with the relocation of the company’s European headquarters from Germany to Switzerland, which was completed during the third quarter of 2012. The third quarter and first nine months of 2012 also included net charges of $1.1 million and $1.5 million, respectively, for ongoing costs related to previously closed facilities and other insignificant charges. | |||||||||||||||||
Following is a summary by segment of the activity in the restructuring reserves: | |||||||||||||||||
($ in millions) | Metal Beverage | Metal Food & | Aerospace & | Corporate and | Total | ||||||||||||
Packaging, | Household | Technologies | Other Costs | ||||||||||||||
Americas & | Products | ||||||||||||||||
Asia | Packaging | ||||||||||||||||
Balance at December 31, 2012 | $ | 16.4 | $ | 3 | $ | 1.9 | $ | 3.8 | $ | 25.1 | |||||||
Charges to earnings | (3.3 | ) | 18.4 | — | 0.2 | 15.3 | |||||||||||
Cash payments and other activity | (11.3 | ) | (6.3 | ) | (1.9 | ) | (4.0 | ) | (23.5 | ) | |||||||
Balance at September 30, 2013 | $ | 1.8 | $ | 15.1 | $ | — | $ | — | $ | 16.9 | |||||||
The carrying value of assets held for sale in connection with facility closures was $36.8 million at September 30, 2013, and $31.4 million at December 31, 2012. |
Receivables
Receivables | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Receivables | ||||||||
Receivables | 6. Receivables | |||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Trade accounts receivable | $ | 1,061.20 | $ | 878.3 | ||||
Less allowance for doubtful accounts | (39.3 | ) | (13.7 | ) | ||||
Net trade accounts receivable | 1,021.90 | 864.6 | ||||||
Other receivables | 65.6 | 65.5 | ||||||
$ | 1,087.50 | $ | 930.1 | |||||
The allowance for doubtful accounts at September 30, 2013, includes a provision recorded in the third quarter as a result of the October 28, 2013, bankruptcy filing of a metal food and household products packaging segment customer. Additional details are available in Note 5. | ||||||||
The company has several regional uncommitted accounts receivable factoring programs with various financial institutions for certain receivables of the company. The programs are accounted for as true sales of the receivables, without recourse to Ball, and had combined limits of approximately $245 million at September 30, 2013. A total of $149.5 million and $75.0 million were sold under these programs as of September 30, 2013, and December 31, 2012, respectively. Latapack-Ball also has a non-recourse uncommitted accounts receivable factoring program in 2013 with a limit of approximately $24 million (55 million Brazilian real), under which there were no accounts receivable sold as of September 30, 2013. |
Inventories
Inventories | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Inventories | ||||||||
Inventories | 7. Inventories | |||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Raw materials and supplies | $ | 441.6 | $ | 426.7 | ||||
Work-in-process and finished goods | 588.1 | 664.5 | ||||||
Less inventory reserves | (49.4 | ) | (46.8 | ) | ||||
$ | 980.3 | $ | 1,044.40 |
Property_Plant_and_Equipment
Property, Plant and Equipment | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Property, Plant and Equipment | ||||||||
Property, Plant and Equipment | 8. Property, Plant and Equipment | |||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Land | $ | 79.2 | $ | 82.6 | ||||
Buildings | 963.5 | 934.3 | ||||||
Machinery and equipment | 3,541.10 | 3,407.60 | ||||||
Construction-in-progress | 283.2 | 240.6 | ||||||
4,867.00 | 4,665.10 | |||||||
Accumulated depreciation | (2,506.9 | ) | (2,376.5 | ) | ||||
$ | 2,360.10 | $ | 2,288.60 | |||||
Property, plant and equipment are stated at historical or acquired cost. Depreciation expense amounted to $66.8 million and $194.9 million for the three and nine months ended September 30, 2013, respectively, and $64.4 million and $190.2 million for the comparable periods in 2012, respectively. |
Goodwill
Goodwill | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill | |||||||||||||||||
Goodwill | 9. Goodwill | ||||||||||||||||
($ in millions) | Metal | Metal | Metal Food & | Aerospace & | Total | ||||||||||||
Beverage | Beverage | Household | Technologies | ||||||||||||||
Packaging, | Packaging, | Products | |||||||||||||||
Americas & | Europe | Packaging | |||||||||||||||
Asia | |||||||||||||||||
Balance at December 31, 2012 | $ | 740.7 | $ | 993.2 | $ | 625.5 | $ | — | $ | 2,359.40 | |||||||
Business acquisitions and related opening balance sheet adjustments | — | — | (15.1 | ) | 8.6 | (6.5 | ) | ||||||||||
Effects of currency exchange rates | — | 23 | 3.9 | — | 26.9 | ||||||||||||
Balance at September 30, 2013 | $ | 740.7 | $ | 1,016.20 | $ | 614.3 | $ | 8.6 | $ | 2,379.80 | |||||||
On January 1, 2013, the company implemented changes to its management and internal reporting structure. As a result, the European extruded aluminum reporting unit, which was previously included in the metal beverage packaging, Europe, segment, is now included in the metal food and household products packaging segment. Goodwill by segment has been retrospectively adjusted to conform to the current year presentation. |
Intangibles_and_Other_Assets
Intangibles and Other Assets | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Intangibles and Other Assets | ||||||||
Intangibles and Other Assets | 10. Intangibles and Other Assets | |||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Investment in affiliates | $ | 33.6 | $ | 32.2 | ||||
Intangible assets (net of accumulated amortization of $87.0 million at September 30, 2013, and $68.1 million at December 31, 2012) | 171.5 | 162.9 | ||||||
Capitalized software (net of accumulated amortization of $87.7 million at September 30, 2013, and $78.4 million at December 31, 2012) | 61.6 | 50.4 | ||||||
Company and trust-owned life insurance | 139.9 | 114.7 | ||||||
Deferred financing costs | 47.8 | 37.3 | ||||||
Other | 89.5 | 122.2 | ||||||
$ | 543.9 | $ | 519.7 | |||||
Total amortization expense of intangible assets amounted to $9.8 million and $28.7 million for the three and nine months ended September 30, 2013, respectively, and $10.3 million and $20.0 million for the comparable periods in 2012, respectively. |
Debt
Debt | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Debt | ||||||||||||||
Debt | 11. Debt | |||||||||||||
Long-term debt consisted of the following: | ||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||
In | In | |||||||||||||
Denominated | Denominated | |||||||||||||
($ in millions) | Currency | In U.S. $ | Currency | In U.S. $ | ||||||||||
Notes Payable | ||||||||||||||
7.125% Senior Notes, due September 2016 | $ | — | $ | — | $ | 375 | $ | 375 | ||||||
7.375% Senior Notes, due September 2019 | $ | 315.4 | 315.4 | $ | 325 | 325 | ||||||||
6.75% Senior Notes, due September 2020 | $ | 500 | 500 | $ | 500 | 500 | ||||||||
5.75% Senior Notes, due May 2021 | $ | 500 | 500 | $ | 500 | 500 | ||||||||
5.00% Senior Notes, due March 2022 | $ | 750 | 750 | $ | 750 | 750 | ||||||||
4.00% Senior Notes, due November 2023 | $ | 1,000.00 | 1,000.00 | $ | — | — | ||||||||
Senior Credit Facilities, due June 2018 (at variable rates) | ||||||||||||||
Term A Loan, U.S. dollar denominated | $ | — | — | $ | 125 | 125 | ||||||||
Term B Loan, British sterling denominated | £ | 37.3 | 60.2 | £ | 46.5 | 75.2 | ||||||||
Term C Loan, euro denominated | € | 81.6 | 110.4 | € | 91.3 | 120.6 | ||||||||
Multi-currency revolver, euro denominated | € | — | — | € | 159 | 210.1 | ||||||||
Latapack-Ball Notes Payable (at various rates and terms) | $ | 230.7 | 230.7 | $ | 176.1 | 176.1 | ||||||||
Other (including discounts and premiums) | Various | (2.6 | ) | Various | 32.4 | |||||||||
3,464.10 | 3,189.40 | |||||||||||||
Less: Current portion of long-term debt | (46.6 | ) | (104.1 | ) | ||||||||||
$ | 3,417.50 | $ | 3,085.30 | |||||||||||
In May 2013, Ball: (1) issued $1 billion of 4.00 percent senior notes due in November 2023; (2) tendered for the redemption of its 7.125 percent senior notes originally due in September 2016 in the amount of $375 million, at a redemption price per note of 105.322 percent of the outstanding principal amount plus accrued interest; and (3) repaid the $125 million Term A loan, which was a component of the senior credit facilities. The redemption of the senior notes, all of which occurred in the second quarter, and the early repayment of the Term A loan resulted in charges of $26.5 million for the tender and call premiums, as well as the write off of unamortized financing costs and issuance discounts. These charges are included as a component of interest expense in the unaudited condensed consolidated statement of earnings. | ||||||||||||||
The senior credit facilities bear interest at variable rates and include the term loans described in the table above, as well as a long-term, multi-currency committed revolving credit facility that provides the company with up to the U.S. dollar equivalent of $1 billion. In June 2013, the company amended the senior credit facilities and extended the term from December 2015 to June 2018. In connection with the amendment, the company recorded a charge of $0.4 million for the write off of unamortized financing costs. The charge is included as a component of interest expense in the unaudited condensed consolidated statement of earnings. | ||||||||||||||
At September 30, 2013, taking into account outstanding letters of credit and excluding availability under the accounts receivable securitization program, approximately $984 million was available under the company’s long-term, multi-currency committed revolving credit facilities, which are available until June 2018. In addition to these facilities, the company had approximately $658 million of short-term uncommitted credit facilities available at the end of the quarter, of which $57.9 million was outstanding and due on demand. | ||||||||||||||
The fair value of the long-term debt at September 30, 2013, and at December 31, 2012, approximated its carrying value. The fair value reflects the market rates at each period end for debt with credit ratings similar to the company’s ratings. Rates currently available to the company for loans with similar terms and maturities are used to estimate the fair value of long-term debt based on discounted cash flows. | ||||||||||||||
On March 9, 2012, Ball issued $750 million of 5.00 percent senior notes due in March 2022. On the same date, the company tendered for the redemption of its 6.625 percent senior notes originally due in March 2018 in the amount of $450 million, at a redemption price per note of 102.583 percent of the outstanding principal amount plus accrued interest. The company redeemed $392.7 million during the first quarter of 2012, and the remaining $57.3 million was redeemed during the second quarter. The redemption of the bonds resulted in a charge of $15.1 million for the call premium and the write off of unamortized financing costs and premiums. The charge is included as a component of interest expense in the unaudited condensed consolidated statement of earnings. | ||||||||||||||
In August 2011, the company entered into an accounts receivable securitization agreement for a term of three years, as amended from time to time. The maximum the company can borrow under the amended agreement can vary between $85 million and $210 million depending on the seasonal accounts receivable balances in the company’s North American packaging businesses. There were no accounts receivable sold under this agreement at September 30, 2013, or December 31, 2012. Borrowings under the securitization agreement, if any, are included within short-term debt and current portion of long-term debt on the balance sheet. | ||||||||||||||
The senior notes and senior credit facilities are guaranteed on a full, unconditional and joint and several basis by certain of the company’s wholly owned domestic subsidiaries. Certain foreign denominated tranches of the senior credit facilities are similarly guaranteed by certain of the company’s wholly owned foreign subsidiaries. Note 19 contains further details, as well as required unaudited condensed consolidating financial information for the company, segregating the guarantor subsidiaries and non-guarantor subsidiaries as defined in the senior notes agreements. | ||||||||||||||
The U.S. note agreements, bank credit agreement and accounts receivable securitization agreement contain certain restrictions relating to dividend payments, share repurchases, investments, financial ratios, guarantees and the incurrence of additional indebtedness. The most restrictive of the company’s debt covenants require the company to maintain an interest coverage ratio (as defined in the agreements) of no less than 3.50 and a leverage ratio (as defined) of no greater than 4.00. The company was in compliance with all loan agreements and debt covenants at September 30, 2013, and December 31, 2012, and has met all debt payment obligations. | ||||||||||||||
The Latapack-Ball debt facilities contain various covenants and restrictions but are non-recourse to Ball Corporation and its wholly owned subsidiaries. |
Employee_Benefit_Obligations
Employee Benefit Obligations | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Employee Benefit Obligations | ||||||||||||||||||||
Employee Benefit Obligations | 12. Employee Benefit Obligations | |||||||||||||||||||
September 30, | December 31, | |||||||||||||||||||
($ in millions) | 2013 | 2012 | ||||||||||||||||||
Underfunded defined benefit pension liabilities, net | $ | 762.7 | $ | 820.2 | ||||||||||||||||
Less current portion and prepaid pension assets | (23.8 | ) | (25.0 | ) | ||||||||||||||||
Long-term defined benefit pension liabilities | 738.9 | 795.2 | ||||||||||||||||||
Retiree medical and other postemployment benefits | 175 | 177 | ||||||||||||||||||
Deferred compensation plans | 239.5 | 237.8 | ||||||||||||||||||
Other | 22.3 | 28.1 | ||||||||||||||||||
$ | 1,175.70 | $ | 1,238.10 | |||||||||||||||||
Components of net periodic benefit cost associated with the company’s defined benefit pension plans were: | ||||||||||||||||||||
Three Months Ended September 30, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
($ in millions) | U.S. | Foreign | Total | U.S. | Foreign | Total | ||||||||||||||
Ball-sponsored plans: | ||||||||||||||||||||
Service cost | $ | 12.1 | $ | 2.5 | $ | 14.6 | $ | 11.7 | $ | 2 | $ | 13.7 | ||||||||
Interest cost | 13.8 | 5.9 | 19.7 | 14.2 | 7.1 | 21.3 | ||||||||||||||
Expected return on plan assets | (19.3 | ) | (3.4 | ) | (22.7 | ) | (18.6 | ) | (4.3 | ) | (22.9 | ) | ||||||||
Amortization of prior service cost | — | (0.1 | ) | (0.1 | ) | 0.2 | (0.1 | ) | 0.1 | |||||||||||
Recognized net actuarial loss | 10.7 | 1.2 | 11.9 | 8.4 | 1.8 | 10.2 | ||||||||||||||
Curtailment loss | — | — | — | 0.1 | — | 0.1 | ||||||||||||||
Net periodic benefit cost for Ball-sponsored plans | 17.3 | 6.1 | 23.4 | 16 | 6.5 | 22.5 | ||||||||||||||
Net periodic benefit cost for multi-employer plans | 0.7 | — | 0.7 | 0.6 | — | 0.6 | ||||||||||||||
Total net periodic benefit cost | $ | 18 | $ | 6.1 | $ | 24.1 | $ | 16.6 | $ | 6.5 | $ | 23.1 | ||||||||
Nine Months Ended September 30, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
($ in millions) | U.S. | Foreign | Total | U.S. | Foreign | Total | ||||||||||||||
Ball-sponsored plans: | ||||||||||||||||||||
Service cost | $ | 36.5 | $ | 7.5 | $ | 44 | $ | 35.1 | $ | 5.9 | $ | 41 | ||||||||
Interest cost | 41.4 | 17.8 | 59.2 | 42.4 | 21.5 | 63.9 | ||||||||||||||
Expected return on plan assets | (58.0 | ) | (10.2 | ) | (68.2 | ) | (55.5 | ) | (12.8 | ) | (68.3 | ) | ||||||||
Amortization of prior service cost | — | (0.3 | ) | (0.3 | ) | 0.7 | (0.3 | ) | 0.4 | |||||||||||
Recognized net actuarial loss | 32 | 3.7 | 35.7 | 25.1 | 5.3 | 30.4 | ||||||||||||||
Curtailment loss (a) | 4.1 | — | 4.1 | 0.3 | — | 0.3 | ||||||||||||||
Net periodic benefit cost for Ball-sponsored plans | 56 | 18.5 | 74.5 | 48.1 | 19.6 | 67.7 | ||||||||||||||
Multi-employer plans: | ||||||||||||||||||||
Net periodic benefit cost, excluding curtailment loss | 2 | — | 2 | 2 | — | 2 | ||||||||||||||
Curtailment loss (a) | 9.8 | — | 9.8 | — | — | — | ||||||||||||||
Net periodic benefit cost for multi-employer plans | 11.8 | — | 11.8 | 2 | — | 2 | ||||||||||||||
Total net periodic benefit cost | $ | 67.8 | $ | 18.5 | $ | 86.3 | $ | 50.1 | $ | 19.6 | $ | 69.7 | ||||||||
(a) Curtailment losses in 2013 are related to the closure of the company’s Elgin, Illinois, facility and the migration of certain of the company’s Weirton, West Virginia, hourly employees from a multi-employer defined benefit pension plan to a Ball-sponsored defined benefit pension plan as of January 1, 2014. Further details are available in Note 5. | ||||||||||||||||||||
Contributions to the company’s defined global benefit pension plans, not including the unfunded German plans, were $89.7 million in the first nine months of 2013 ($108.7 million in 2012). The total contributions to these funded plans are expected to be approximately $95 million for the full year. This estimate may change based on changes in the Pension Protection Act, actual plan asset performance and available company cash flow, among other factors. Payments to participants in the unfunded German plans were $16.7 million (€12.7 million) in the first nine months of 2013 and are expected to be approximately $23 million (approximately €17 million) for the full year. |
Shareholders_Equity_and_Compre
Shareholders' Equity and Comprehensive Earnings | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Shareholders' Equity and Comprehensive Earnings | ||||||||||||||
Shareholders' Equity and Comprehensive Earnings | 13. Shareholders’ Equity and Comprehensive Earnings | |||||||||||||
Accumulated Other Comprehensive Earnings (Loss) | ||||||||||||||
The activity related to accumulated other comprehensive earnings (loss) was as follows: | ||||||||||||||
($ in millions) | Foreign | Pension and | Effective | Accumulated | ||||||||||
Currency | Other | Derivatives | Other | |||||||||||
Translation | Postretirement | (Net of Tax) | Comprehensive | |||||||||||
Benefits | Earnings (Loss) | |||||||||||||
(Net of Tax) | ||||||||||||||
Balance at December 31, 2012 | $ | 117.5 | $ | (461.0 | ) | $ | (8.9 | ) | $ | (352.4 | ) | |||
Other comprehensive earnings (loss) before reclassifications | 29.7 | (3.8 | ) | (37.0 | ) | (11.1 | ) | |||||||
Amounts reclassified from Accumulated other comprehensive earnings (loss) | — | 21.5 | 13.9 | 35.4 | ||||||||||
Balance at September 30, 2013 | $ | 147.2 | $ | (443.3 | ) | $ | (32.0 | ) | $ | (328.1 | ) | |||
The following table provides additional details of the amounts recognized into net earnings from accumulated other comprehensive earnings (loss): | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
($ in millions) | September 30, 2013 | September 30, 2013 | ||||||||||||
Gains (losses) on cash flow hedges: | ||||||||||||||
Commodity contracts recorded in net sales | $ | 2.8 | $ | 5.2 | ||||||||||
Commodity contracts and currency exchange contracts recorded in cost of sales | (13.2 | ) | (23.6 | ) | ||||||||||
Interest rate contracts recorded in interest expense | (0.3 | ) | (0.8 | ) | ||||||||||
Total before tax effect | (10.7 | ) | (19.2 | ) | ||||||||||
Tax benefit (expense) on amounts reclassified into earnings | 2.7 | 5.3 | ||||||||||||
Recognized gain (loss) | $ | (8.0 | ) | $ | (13.9 | ) | ||||||||
Amortization of pension and other postretirement benefits (a): | ||||||||||||||
Prior service income (cost) | $ | 0.1 | $ | 0.3 | ||||||||||
Actuarial gains (losses) | (11.9 | ) | (35.7 | ) | ||||||||||
Total before tax effect | (11.8 | ) | (35.4 | ) | ||||||||||
Tax benefit (expense) on amounts reclassified into earnings | 4.7 | 13.9 | ||||||||||||
Recognized gain (loss) | $ | (7.1 | ) | $ | (21.5 | ) | ||||||||
(a) These components are included in the computation of net periodic benefit cost included in Note 12. | ||||||||||||||
Share Repurchase Agreements | ||||||||||||||
In February 2012, in a privately negotiated transaction, Ball entered into an accelerated share repurchase agreement to buy $200 million of its common shares using cash on hand and available borrowings. The company advanced the $200 million on February 3, 2012, and received 4,584,819 shares, which represented 90 percent of the total shares as calculated using the closing price on January 31, 2012. The agreement was settled in May 2012, and the company received an additional 334,039 shares, which represented a weighted average price of $40.66 for the contract period. | ||||||||||||||
In October 2011, in a privately negotiated transaction, Ball entered into an accelerated share repurchase agreement to buy $100 million of its common shares using cash on hand and available borrowings. The company advanced the $100 million on November 2, 2011, and received 2,523,836 shares, which represented 90 percent of the total shares as calculated using the closing price on October 28, 2011. The agreement was settled in January 2012, and the company received an additional 361,615 shares, which represented a weighted average price of $34.66 for the contract period. |
StockBased_Compensation_Progra
Stock-Based Compensation Programs | 9 Months Ended | ||||||
Sep. 30, 2013 | |||||||
Stock-Based Compensation Programs | |||||||
Stock-Based Compensation Programs | 14. Stock-Based Compensation Programs | ||||||
The company has shareholder-approved stock plans under which options and stock-settled appreciation rights (SSARs) have been granted to employees at the market value of the company’s stock at the date of grant. In the case of stock options, payment must be made by the employee at the time of exercise in cash or with shares of stock owned by the employee, which are valued at fair market value on the date exercised. For SSARs, the employee receives the share equivalent of the difference between the fair market value on the date exercised and the exercise price of the SSARs exercised. In general, options and SSARs are exercisable in four equal installments commencing one year from the date of grant and terminating 10 years from the date of grant. A summary of stock option and SSAR activity for the nine months ended September 30, 2013, follows: | |||||||
Outstanding Options and SSARs | |||||||
Number of | Weighted | ||||||
Shares | Average | ||||||
Exercise Price | |||||||
Beginning of year | 9,982,104 | $ | 26.71 | ||||
Granted | 1,364,870 | $ | 45.93 | ||||
Exercised | (1,046,369 | ) | $ | 23.14 | |||
Canceled/forfeited | (48,625 | ) | $ | 37.62 | |||
End of period | 10,251,980 | $ | 29.59 | ||||
Vested and exercisable, end of period | 6,866,980 | $ | 24.79 | ||||
Reserved for future grants (a) | 12,412,861 | ||||||
(a) On April 24, 2013, Ball’s shareholders approved the 2013 Stock and Cash Incentive Plan, which authorized 12.5 million shares for future option, SSAR and restricted share grants. This authorization replaced all previous authorizations. | |||||||
The weighted average remaining contractual term for all options and SSARs outstanding at September 30, 2013, was 6.0 years and the aggregate intrinsic value (difference in exercise price and closing price at that date) was $158.2 million. The weighted average remaining contractual term for options and SSARs vested and exercisable at September 30, 2013, was 4.8 years and the aggregate intrinsic value was $138.0 million. | |||||||
The company received $5.2 million from options exercised during the three months ended September 30, 2013, and the intrinsic value associated with these exercises was $4.6 million. During the nine months ended September 30, 2013, the company received $14.1 million from options exercised, and the intrinsic value associated with these exercises was $13.8 million. The tax benefit associated with the company’s stock compensation programs was $10.5 million for the first nine months of 2013 and was reported as other financing activities in the unaudited condensed consolidated statement of cash flows. | |||||||
These options and SSARs cannot be traded in any equity market. However, based on the Black-Scholes option pricing model, options and SSARs granted in 2013 and 2012 have estimated weighted average fair values at the grant dates of $8.69 and $9.44 per share, respectively. The actual value an employee may realize will depend on the excess of the stock price over the exercise price on the date the option or SSAR is exercised. Consequently, there is no assurance that the value realized by an employee will be at or near the value estimated. The fair values were estimated using the following weighted average assumptions: | |||||||
January 2013 | January 2012 | ||||||
Expected dividend yield | 1.13% | 1.06% | |||||
Expected stock price volatility | 22.02% | 30.22% | |||||
Risk-free interest rate | 1.02% | 0.84% | |||||
Expected life of options | 5.50 years | 5.26 years | |||||
In addition to stock options and SSARs, the company issues restricted shares and restricted stock units to officers and certain employees, which vest over various periods. Other than the performance-contingent grants discussed below, such restricted shares and restricted stock units generally vest in equal installments over five years. Compensation cost is recorded based upon the estimated fair value of the shares at the grant date. | |||||||
The following is a summary of restricted stock activity for the nine months ended September 30, 2013: | |||||||
Number of | Weighted | ||||||
Shares/Units | Average Grant | ||||||
Price | |||||||
Beginning of year | 1,763,636 | $ | 28.97 | ||||
Granted | 185,845 | 46.11 | |||||
Vested | (493,910 | ) | 26.61 | ||||
Canceled/forfeited | (5,502 | ) | 34.21 | ||||
End of period | 1,450,069 | 31.95 | |||||
In January 2013, the company’s board of directors granted 148,875 performance-contingent restricted stock units (RSUs) to key employees, which will vest in January 2016 depending on the company’s growth in economic valued added (EVA®) dollars using 2012 EVA® dollars generated as the minimum threshold. The number of RSUs that will vest can range between zero and 200 percent of each participant’s assigned award opportunity. Under a previous program, in January 2012 the company’s board of directors granted 223,600 performance-contingent RSUs, to key employees, which will cliff-vest if the company’s return on average invested capital during a 36-month performance period is equal to or exceeds the company’s cost of capital established at the beginning of the performance period. In both RSU programs, if the minimum performance goals are not met, the shares will be forfeited. Grants under the plan are being accounted for as equity awards and compensation expense is recorded based upon the most probable outcome using the closing market price of the shares at the grant date. On a quarterly basis, the company reassesses the probability of the goals being met and adjusts compensation expense as appropriate. | |||||||
For the three and nine months ended September 30, 2013, the company recognized expense of $5.6 million ($3.5 million after tax) and $19.0 million ($11.6 million after tax) for share-based compensation arrangements in selling, general and administrative expenses. For the three and nine months ended September 30, 2012, the company recognized expense of $6.6 million ($4.0 million after tax) and $20.2 million ($12.3 million after tax), respectively, for such arrangements. At September 30, 2013, there were $38.9 million of unrecognized compensation costs related to nonvested share-based compensation arrangements. This cost is expected to be recognized in earnings over a weighted average period of 2.2 years. |
Earnings_and_Dividends_Per_Sha
Earnings and Dividends Per Share | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Earnings and Dividends Per Share | ||||||||||||||
Earnings and Dividends Per Share | 15. Earnings and Dividends Per Share | |||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
($ in millions, except per share amounts; | September 30, | September 30, | ||||||||||||
shares in thousands) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Net earnings attributable to Ball Corporation | $ | 115.2 | $ | 115.1 | $ | 282.3 | $ | 342.9 | ||||||
Basic weighted average common shares | 144,714 | 153,604 | 146,910 | 155,561 | ||||||||||
Effect of dilutive securities | 3,181 | 3,504 | 3,212 | 3,402 | ||||||||||
Weighted average shares applicable to diluted earnings per share | 147,895 | 157,108 | 150,122 | 158,963 | ||||||||||
Per basic share | $ | 0.8 | $ | 0.75 | $ | 1.92 | $ | 2.2 | ||||||
Per diluted share | $ | 0.78 | $ | 0.73 | $ | 1.88 | $ | 2.16 | ||||||
Certain outstanding options and SSARs were excluded from the diluted earnings per share calculation because they were anti-dilutive (i.e., the sum of the proceeds, including the unrecognized compensation and windfall tax benefits, exceeded the average closing stock price for the period). The options and SSARs excluded totaled 1.4 million and 1.5 million in the three and nine months ended September 30, 2013, respectively, and 1.5 million and 2.1 million in the three and nine months ended September 30, 2012, respectively. | ||||||||||||||
The company declared and paid dividends of $0.13 per share in each of the first three quarters of 2013 and $0.10 per share in each of the first three quarters of 2012. |
Financial_Instruments_and_Risk
Financial Instruments and Risk Management | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Financial Instruments and Risk Management | ||||||||||||||
Financial Instruments and Risk Management | 16. Financial Instruments and Risk Management | |||||||||||||
The company employs established risk management policies and procedures, which seek to reduce the company’s commercial risk exposure to fluctuations in commodity prices, interest rates, currency exchange rates and prices of the company’s common stock with regard to common share repurchases and the company’s deferred compensation stock plan. However, there can be no assurance that these policies and procedures will be successful. Although the instruments utilized involve varying degrees of credit, market and interest risk, the counterparties to the agreements are expected to perform fully under the terms of the agreements. The company monitors counterparty credit risk, including lenders, on a regular basis, but Ball cannot be certain that all risks will be discerned or that its risk management policies and procedures will always be effective. Additionally, in the event of default under the company’s master derivative agreements, the non-defaulting party has the option to set-off any amounts owed with regard to open derivative positions. | ||||||||||||||
Commodity Price Risk | ||||||||||||||
Aluminum | ||||||||||||||
The company manages commodity price risk in connection with market price fluctuations of aluminum ingot through two different methods. First, the company enters into container sales contracts that include aluminum ingot-based pricing terms that generally reflect the same price fluctuations under commercial purchase contracts for aluminum sheet. The terms include fixed, floating or pass-through aluminum ingot component pricing. Second, the company uses certain derivative instruments such as options and forward contracts as economic and cash flow hedges of commodity price risk where there is not an arrangement in the sales contract to match underlying purchase volumes and pricing with sales volumes and pricing. | ||||||||||||||
The company had aluminum contracts limiting its aluminum exposure with notional amounts of approximately $515 million at September 30, 2013. The aluminum contracts include economic derivative instruments that are undesignated and receive mark to fair value accounting treatment, as well as cash flow hedges that offset sales and purchase contracts of various terms and lengths. Cash flow hedges relate to forecasted transactions that expire within the next four years. Included in shareholders’ equity at September 30, 2013, within accumulated other comprehensive earnings (loss), is a net after-tax loss of $31.3 million associated with these contracts. A net loss of $20.0 million is expected to be recognized in the consolidated statement of earnings during the next 12 months, substantially all of which will be offset by pricing changes in sales and purchase contracts, thus resulting in little or no earnings impact to Ball. | ||||||||||||||
Steel | ||||||||||||||
Most sales contracts involving our steel products either include provisions permitting the company to pass through some or all steel cost changes incurred or incorporate annually negotiated steel prices. | ||||||||||||||
Interest Rate Risk | ||||||||||||||
The company’s objective in managing exposure to interest rate changes is to minimize the impact of interest rate changes on earnings and cash flows and to lower our overall borrowing costs. To achieve these objectives, the company may use a variety of interest rate swaps, collars and options to manage our mix of floating and fixed-rate debt. Interest rate instruments held by the company at September 30, 2013, included pay-fixed interest rate swaps, which effectively convert variable rate obligations to fixed-rate instruments. | ||||||||||||||
At September 30, 2013, the company had outstanding interest rate swap contracts with notional amounts of approximately $147 million paying fixed rates expiring within the next five years. The net after-tax loss associated with these contracts included in shareholders’ equity at September 30, 2013, within accumulated other comprehensive earnings (loss), is insignificant. | ||||||||||||||
Currency Exchange Rate Risk | ||||||||||||||
The company’s objective in managing exposure to currency fluctuations is to limit the exposure of cash flows and earnings from changes associated with currency exchange rate changes through the use of various derivative contracts. In addition, at times the company manages earnings translation volatility through the use of currency option strategies, and the change in the fair value of those options is recorded in the company’s net earnings. The company’s currency translation risk results from the currencies in which we transact business. The company faces currency exposures in our global operations as a result of various factors including intercompany currency denominated loans, selling our products in various currencies, purchasing raw materials in various currencies and tax exposures not denominated in the functional currency. Sales contracts are negotiated with customers to reflect cost changes and, where there is not an exchange pass-through arrangement, the company may use forward and option contracts to manage currency exposures. At September 30, 2013, the company had outstanding exchange forward contracts and option contracts with notional amounts totaling approximately $723 million, of which approximately $93 million used hedge accounting treatment. Approximately $0.6 million of net after-tax loss related to these contracts is included in accumulated other comprehensive earnings at September 30, 2013, of which a net loss of $0.9 million is expected to be recognized in the consolidated statement of earnings during the next 12 months. The contracts outstanding at September 30, 2013, expire within the next two years. | ||||||||||||||
Common Stock Price Risk | ||||||||||||||
The company’s deferred compensation stock program is subject to variable plan accounting and, accordingly, is marked to fair value using the company’s closing stock price at the end of the related reporting period. Based on current share levels in the program, each $1 change in the company’s stock price has an impact of $1.4 million on pretax earnings. During March and September 2011, the company entered into total return swaps to reduce the company’s earnings exposure to these fair value fluctuations that, after renewals, will be outstanding until March 2014 and September 2014, respectively. The swaps have a notional value of 1 million shares and 300,000 shares, respectively. As of September 30, 2013, the combined fair value of these swaps was a $1.0 million loss. All gains and losses on the total return swaps are recorded in the consolidated statement of earnings in selling, general and administrative expenses. | ||||||||||||||
Collateral Calls | ||||||||||||||
The company’s agreements with its financial counterparties require the company to post collateral in certain circumstances when the negative mark to fair value of the contracts exceeds specified levels. Additionally, the company has collateral posting arrangements with certain customers on these derivative contracts. The cash flows of the margin calls are shown within the investing section of the company’s consolidated statements of cash flows. As of September 30, 2013, the aggregate fair value of all derivative instruments with credit-risk-related contingent features that were in a net liability position was $42.9 million and no collateral was required to be posted. As of December 31, 2012, the aggregate fair value of all derivative instruments with credit-risk-related contingent features that were in a net liability position was $11.0 million and no collateral was required to be posted. | ||||||||||||||
Fair Value Measurements | ||||||||||||||
The company has classified all applicable financial derivative assets and liabilities as Level 2 within the fair value hierarchy and presented those values in the tables below. The company’s assessment of the significance of a particular input to the fair value measurement requires judgment and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels. | ||||||||||||||
Fair Value of Derivative Instruments as of September 30, 2013 | ||||||||||||||
($ in millions) | Derivatives | Derivatives Not | Total | |||||||||||
Designated As | Designated As | |||||||||||||
Hedging | Hedging | |||||||||||||
Instruments | Instruments | |||||||||||||
Assets: | ||||||||||||||
Commodity contracts | $ | 3.5 | $ | 2.4 | $ | 5.9 | ||||||||
Foreign currency contracts | 0.3 | 2 | 2.3 | |||||||||||
Total current derivative contracts | $ | 3.8 | $ | 4.4 | $ | 8.2 | ||||||||
Noncurrent commodity contracts | $ | 0.3 | $ | — | $ | 0.3 | ||||||||
Liabilities: | ||||||||||||||
Commodity contracts | $ | 13.2 | $ | 2.7 | $ | 15.9 | ||||||||
Foreign currency contracts | 1.6 | 10.5 | 12.1 | |||||||||||
Interest rate and other contracts | 0.8 | 1 | 1.8 | |||||||||||
Total current derivative contracts | $ | 15.6 | $ | 14.2 | $ | 29.8 | ||||||||
Noncurrent commodity contracts | $ | 20.2 | $ | 0.4 | $ | 20.6 | ||||||||
Foreign currency contracts | 0.2 | — | 0.2 | |||||||||||
Total noncurrent derivative contracts | $ | 20.4 | $ | 0.4 | $ | 20.8 | ||||||||
Fair Value of Derivative Instruments as of December 31, 2012 | ||||||||||||||
($ in millions) | Derivatives | Derivatives Not | Total | |||||||||||
Designated As | Designated As | |||||||||||||
Hedging | Hedging | |||||||||||||
Instruments | Instruments | |||||||||||||
Assets: | ||||||||||||||
Commodity contracts | $ | 9.2 | $ | 1 | $ | 10.2 | ||||||||
Foreign currency contracts | 0.1 | 2.3 | 2.4 | |||||||||||
Other current contracts | — | 0.6 | 0.6 | |||||||||||
Total current derivative contracts | $ | 9.3 | $ | 3.9 | $ | 13.2 | ||||||||
Noncurrent commodity contracts | $ | 4.2 | $ | — | $ | 4.2 | ||||||||
Liabilities: | ||||||||||||||
Commodity contracts | $ | 9 | $ | 0.7 | $ | 9.7 | ||||||||
Foreign currency contracts | 2.5 | 5.2 | 7.7 | |||||||||||
Interest rate and other contracts | 1 | — | 1 | |||||||||||
Total current derivative contracts | $ | 12.5 | $ | 5.9 | $ | 18.4 | ||||||||
Noncurrent commodity contracts | $ | 5.4 | $ | — | $ | 5.4 | ||||||||
Interest rate contracts | 0.5 | — | 0.5 | |||||||||||
Foreign currency contracts | 0.4 | — | 0.4 | |||||||||||
Total noncurrent derivative contracts | $ | 6.3 | $ | — | $ | 6.3 | ||||||||
The company uses closing spot and forward market prices as published by the London Metal Exchange, the Chicago Mercantile Exchange, Reuters and Bloomberg to determine the fair value of its aluminum, currency, energy and interest rate spot and forward contracts. Option contracts are valued using a Black-Scholes model with observable market inputs for aluminum, currency and interest rates. The company values each financial instrument either internally using a single valuation technique or from a reliable observable market source. The company does not adjust the value of its financial instruments except in determining the fair value of a trade that settles in the future by discounting the value to its present value using 12-month LIBOR as the discount factor. Ball performs validations of our internally derived fair values reported for our financial instruments on a quarterly basis utilizing counterparty valuation statements. The company additionally evaluates counterparty creditworthiness and, as of September 30, 2013, has not identified any circumstances requiring that the reported values of our financial instruments be adjusted. | ||||||||||||||
Net receivables related to the European scrap metal program totaling $14.1 million at September 30, 2013, and $16.7 million at December 31, 2012, were classified as Level 2 within the fair value hierarchy. | ||||||||||||||
Impact on Earnings from Derivative Instruments | ||||||||||||||
Three Months Ended September 30, | ||||||||||||||
2013 | 2012 | |||||||||||||
($ in millions) | Cash Flow | Gain (Loss) on | Cash Flow | Gain (Loss) on | ||||||||||
Hedge - | Derivatives Not | Hedge - | Derivatives Not | |||||||||||
Reclassified | Designated As | Reclassified | Designated As | |||||||||||
Amount From | Hedge | Amount From | Hedge | |||||||||||
Other | Instruments | Other | Instruments | |||||||||||
Comprehensive | Comprehensive | |||||||||||||
Earnings (Loss) - | Earnings (Loss) - | |||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||
Commodity contracts (a) | $ | (10.0 | ) | $ | (0.4 | ) | $ | (19.2 | ) | $ | — | |||
Interest rate contracts (b) | (0.3 | ) | — | (0.1 | ) | — | ||||||||
Foreign currency contracts (c) | (0.4 | ) | 0.3 | (0.3 | ) | (10.2 | ) | |||||||
Equity contracts (d) | — | 0.3 | — | 0.5 | ||||||||||
Inflation option contracts (e) | — | — | — | 0.2 | ||||||||||
Total | $ | (10.7 | ) | $ | 0.2 | $ | (19.6 | ) | $ | (9.5 | ) | |||
Nine Months Ended September 30, | ||||||||||||||
2013 | 2012 | |||||||||||||
($ in millions) | Cash Flow | Gain (Loss) on | Cash Flow | Gain (Loss) on | ||||||||||
Hedge - | Derivatives Not | Hedge - | Derivatives Not | |||||||||||
Reclassified | Designated As | Reclassified | Designated As | |||||||||||
Amount From | Hedge | Amount From | Hedge | |||||||||||
Other | Instruments | Other | Instruments | |||||||||||
Comprehensive | Comprehensive | |||||||||||||
Earnings (Loss) - | Earnings (Loss) - | |||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||
Commodity contracts (a) | $ | (17.7 | ) | $ | (1.9 | ) | $ | (36.2 | ) | $ | 2.2 | |||
Interest rate contracts (b) | (0.8 | ) | — | (0.2 | ) | — | ||||||||
Foreign currency contracts (c) | (0.7 | ) | 3.7 | (1.4 | ) | (21.6 | ) | |||||||
Equity contracts (d) | — | (1.5 | ) | — | 1.4 | |||||||||
Inflation option contracts (e) | — | — | — | — | ||||||||||
Total | $ | (19.2 | ) | $ | 0.3 | $ | (37.8 | ) | $ | (18.0 | ) | |||
(a) Gains and losses on commodity contracts are recorded in sales and cost of sales in the statements of earnings. A significant majority of these expenses were passed through to our customers, resulting in no significant impact to earnings. | ||||||||||||||
(b) Gains and losses on interest contracts are recorded in interest expense in the statements of earnings. | ||||||||||||||
(c) Gains and losses on foreign currency contracts to hedge the sales of products are recorded in cost of sales in the statements of earnings. Gains and losses on foreign currency hedges used for translation between segments are reflected in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
(d) Gains and losses on equity contracts are recorded in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
(e) Gains and losses on inflation option contracts are recorded in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
The changes in accumulated other comprehensive earnings (loss) for effective derivatives were as follows: | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | |||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Amounts reclassified into earnings: | ||||||||||||||
Commodity contracts | $ | 10 | $ | 19.2 | $ | 17.7 | $ | 36.2 | ||||||
Interest rate contracts | 0.3 | 0.1 | 0.8 | 0.2 | ||||||||||
Currency exchange contracts | 0.4 | 0.3 | 0.7 | 1.4 | ||||||||||
Change in fair value of cash flow hedges: | ||||||||||||||
Commodity contracts | (1.7 | ) | 26 | (46.1 | ) | 8.6 | ||||||||
Interest rate contracts | (0.5 | ) | (0.5 | ) | 0.4 | (1.3 | ) | |||||||
Currency exchange contracts | (1.4 | ) | (1.1 | ) | 1.9 | (3.5 | ) | |||||||
Foreign currency and tax impacts | (3.4 | ) | (15.3 | ) | 1.5 | (15.9 | ) | |||||||
$ | 3.7 | $ | 28.7 | $ | (23.1 | ) | $ | 25.7 |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2013 | |
Contingencies | |
Contingencies | 17. Contingencies |
Ball is subject to numerous lawsuits, claims or proceedings arising out of the ordinary course of business, including actions related to product liability; personal injury; the use and performance of company products; warranty matters; patent, trademark or other intellectual property infringement; contractual liability; the conduct of the company’s business; tax reporting in domestic and foreign jurisdictions; workplace safety; and environmental and other matters. The company has also been identified as a potentially responsible party (PRP) at several waste disposal sites under U.S. federal and related state environmental statutes and regulations and may have joint and several liability for any investigation and remediation costs incurred with respect to such sites. Some of these lawsuits, claims and proceedings involve substantial amounts, including as described below, and some of the environmental proceedings involve potential monetary costs or sanctions that may be material. Ball has denied liability with respect to many of these lawsuits, claims and proceedings and is vigorously defending such lawsuits, claims and proceedings. The company carries various forms of commercial, property and casualty, and other forms of insurance; however, such insurance may not be applicable or adequate to cover the costs associated with a judgment against Ball with respect to these lawsuits, claims and proceedings. The company does not believe that these lawsuits, claims and proceedings are material individually or in the aggregate. While management believes the company has established adequate accruals for expected future liability with respect to pending lawsuits, claims and proceedings, where the nature and extent of any such liability can be reasonably estimated based upon then presently available information, there can be no assurance that the final resolution of any existing or future lawsuits, claims or proceedings will not have a material adverse effect on the liquidity, results of operations or financial condition of the company. | |
As previously reported, the U.S. Environmental Protection Agency (USEPA) considers the company a PRP with respect to the Lowry Landfill site located east of Denver, Colorado. In 1992, the company was served with a lawsuit filed by the City and County of Denver (Denver) and Waste Management of Colorado, Inc., seeking contributions from the company and approximately 38 other companies. The company filed its answer denying the allegations of the complaint. Subsequently in 1992, the company was served with a third-party complaint filed by S.W. Shattuck Chemical Company, Inc., seeking contribution from the company and other companies for the costs associated with cleaning up the Lowry Landfill. The company denied the allegations of the complaint. | |
Also in 1992, Ball entered into a settlement and indemnification agreement with Chemical Waste Management, Inc., and Waste Management of Colorado, Inc. (collectively Waste Management) and Denver pursuant to which Waste Management and Denver dismissed their lawsuit against the company, and Waste Management agreed to defend, indemnify and hold harmless the company from claims and lawsuits brought by governmental agencies and other parties relating to actions seeking contributions or remedial costs from the company for the cleanup of the site. Waste Management, Inc., has agreed to guarantee the obligations of Waste Management. Waste Management and Denver may seek additional payments from the company if the response costs related to the site exceed $319 million. In 2003 Waste Management, Inc., indicated that the cost of the site might exceed $319 million in 2030, approximately three years before the projected completion of the project. The company might also be responsible for payments (based on 1992 dollars) for any additional wastes that may have been disposed of by the company at the site but which are identified after the execution of the settlement agreement. While remediating the site, contaminants were encountered, which could add an additional cleanup cost of approximately $10 million. This additional cleanup cost could, in turn, add approximately $1 million to total site costs for the PRP group. | |
At this time, there are no Lowry Landfill actions in which the company is actively involved. Based on the information available to the company at this time, we do not believe that this matter will have a material adverse effect upon the liquidity, results of operations or financial condition of the company. |
Indemnifications_and_Guarantee
Indemnifications and Guarantees | 9 Months Ended |
Sep. 30, 2013 | |
Indemnifications and Guarantees | |
Indemnifications and Guarantees | 18. Indemnifications and Guarantees |
General Guarantees | |
The company or its appropriate consolidated direct or indirect subsidiaries have made certain indemnities, commitments and guarantees under which the specified entity may be required to make payments in relation to certain transactions. These indemnities, commitments and guarantees include indemnities to the customers of the subsidiaries in connection with the sales of their packaging and aerospace products and services; guarantees to suppliers of subsidiaries of the company guaranteeing the performance of the respective entity under a purchase agreement, construction contract or other commitment; guarantees in respect of certain foreign subsidiaries’ pension plans; indemnities for liabilities associated with the infringement of third party patents, trademarks or copyrights under various types of agreements; indemnities to various lessors in connection with facility, equipment, furniture and other personal property leases for certain claims arising from such leases; indemnities to governmental agencies in connection with the issuance of a permit or license to the company or a subsidiary; indemnities pursuant to agreements relating to certain joint ventures; indemnities in connection with the sale of businesses or substantially all of the assets and specified liabilities of businesses; and indemnities to directors, officers and employees of the company to the extent permitted under the laws of the State of Indiana and the United States of America. The duration of these indemnities, commitments and guarantees varies and, in certain cases, is indefinite. In addition many of these indemnities, commitments and guarantees do not provide for any limitation on the maximum potential future payments the company could be obligated to make. As such, the company is unable to reasonably estimate its potential exposure under these items. | |
The company has not recorded any liability for these indemnities, commitments and guarantees in the accompanying consolidated balance sheets. The company does, however, accrue for payments under promissory notes and other evidences of incurred indebtedness and for losses for any known contingent liability, including those that may arise from indemnifications, commitments and guarantees, when future payment is both reasonably estimable and probable. Finally, the company carries specific and general liability insurance policies and has obtained indemnities, commitments and guarantees from third party purchasers, sellers and other contracting parties, which the company believes would, in certain circumstances, provide recourse to any claims arising from these indemnifications, commitments and guarantees. | |
Debt Guarantees | |
The company’s senior notes and senior credit facilities are guaranteed on a full, unconditional and joint and several basis by certain of the company’s material domestic subsidiaries and the domestic subsidiary borrowers, and obligations of the subsidiary borrowers under the senior credit facilities are guaranteed by the company. Loans borrowed under the senior credit facilities by foreign subsidiary borrowers are also effectively guaranteed by certain of the company’s foreign subsidiaries by pledges of stock of the foreign subsidiary borrowers and stock of material foreign subsidiaries. These guarantees are required in support of the notes and credit facilities referred to above, are co-terminous with the terms of the respective note indentures and credit agreements and would require performance upon certain events of default referred to in the respective guarantees. The maximum potential amounts which could be required to be paid under the domestic guarantees are essentially equal to the then outstanding principal and interest under the respective notes and credit agreements, or under the applicable tranche, and the maximum potential amounts that could be required to be paid under the foreign stock pledges by foreign subsidiaries are essentially equal to the value of the stock pledged. The company is not in default under the above notes or credit facilities. The condensed consolidating financial information for the guarantor and non-guarantor subsidiaries is presented in Note 19. Separate financial statements for the guarantor subsidiaries and the non-guarantor subsidiaries are not presented because management has determined that such financial statements are not required by the current regulations. | |
Accounts Receivable Securitization | |
Ball Capital Corp. II is a separate, wholly owned corporate entity created for the purchase of accounts receivable from certain of the company’s wholly owned subsidiaries. Ball Capital Corp. II’s assets will be available first to satisfy the claims of its creditors. The company has been designated as the servicer pursuant to an agreement whereby Ball Capital Corp. II may sell and assign the accounts receivable to a commercial lender or lenders. As the servicer, the company is responsible for the servicing, administration and collection of the receivables and is primarily liable for the performance of such obligations. The company, the relevant subsidiaries and Ball Capital Corp. II are not in default under the above credit arrangement. |
Subsidiary_Guarantees_of_Debt
Subsidiary Guarantees of Debt | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Subsidiary Guarantees of Debt | |||||||||||||||||
Subsidiary Guarantees of Debt | 19. Subsidiary Guarantees of Debt | ||||||||||||||||
The company’s senior notes are guaranteed on a full, unconditional and joint and several basis by certain of the company’s material domestic subsidiaries. Each of the guarantor subsidiaries is 100 percent owned by Ball Corporation. These guarantees are required in support of the notes, are co-terminous with the terms of the respective note indentures and would require performance upon certain events of default referred to in the respective guarantees. The maximum potential amounts that could be required to be paid under the domestic guarantees are essentially equal to the then outstanding principal and interest under the respective notes. The following is unaudited condensed, consolidating financial information for the company, segregating the guarantor subsidiaries and non-guarantor subsidiaries, as of September 30, 2013, and December 31, 2012, and for the three and nine months ended September 30, 2013 and 2012. Separate financial statements for the guarantor subsidiaries and the non-guarantor subsidiaries are not presented because management has determined that such financial statements are not required by the current regulations. | |||||||||||||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 1,392.60 | $ | 890.3 | $ | (5.0 | ) | $ | 2,277.90 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | — | (1,152.0 | ) | (699.9 | ) | 5 | (1,846.9 | ) | |||||||||
Depreciation and amortization | (1.6 | ) | (33.0 | ) | (42.0 | ) | — | (76.6 | ) | ||||||||
Selling, general and administrative | (16.7 | ) | (42.7 | ) | (39.6 | ) | — | (99.0 | ) | ||||||||
Business consolidation and other activities | 0.9 | (36.2 | ) | (8.5 | ) | — | (43.8 | ) | |||||||||
Equity in results of subsidiaries | 137.5 | 73.7 | — | (211.2 | ) | — | |||||||||||
Intercompany | 46.7 | (37.7 | ) | (9.0 | ) | — | — | ||||||||||
166.8 | (1,227.9 | ) | (799.0 | ) | (206.2 | ) | (2,066.3 | ) | |||||||||
Earnings (loss) before interest and taxes | 166.8 | 164.7 | 91.3 | (211.2 | ) | 211.6 | |||||||||||
Interest expense | (43.3 | ) | 0.6 | (2.8 | ) | — | (45.5 | ) | |||||||||
Debt refinancing and other | (1.3 | ) | — | — | — | (1.3 | ) | ||||||||||
Total interest expense | (44.6 | ) | 0.6 | (2.8 | ) | — | (46.8 | ) | |||||||||
Earnings (loss) before taxes | 122.2 | 165.3 | 88.5 | (211.2 | ) | 164.8 | |||||||||||
Tax provision | (7.0 | ) | (24.6 | ) | (12.5 | ) | — | (44.1 | ) | ||||||||
Equity in results of affiliates, net of tax | — | 0.6 | 0.3 | — | 0.9 | ||||||||||||
Net earnings (loss) from continuing operations | 115.2 | 141.3 | 76.3 | (211.2 | ) | 121.6 | |||||||||||
Discontinued operations, net of tax | — | 0.3 | — | — | 0.3 | ||||||||||||
Net earnings (loss) | 115.2 | 141.6 | 76.3 | (211.2 | ) | 121.9 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (6.7 | ) | — | (6.7 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 115.2 | $ | 141.6 | $ | 69.6 | $ | (211.2 | ) | $ | 115.2 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 179.5 | $ | 204.3 | $ | 125.9 | $ | (330.2 | ) | $ | 179.5 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Three Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 1,453.50 | $ | 832.6 | $ | (3.6 | ) | $ | 2,282.50 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | 0.2 | (1,204.0 | ) | (665.9 | ) | 3.6 | (1,866.1 | ) | |||||||||
Depreciation and amortization | (1.5 | ) | (35.7 | ) | (37.5 | ) | — | (74.7 | ) | ||||||||
Selling, general and administrative | (13.9 | ) | (42.5 | ) | (29.9 | ) | — | (86.3 | ) | ||||||||
Business consolidation and other activities | (1.8 | ) | (31.3 | ) | (3.7 | ) | — | (36.8 | ) | ||||||||
Equity in results of subsidiaries | 114.4 | 69.9 | — | (184.3 | ) | — | |||||||||||
Intercompany | 47 | (40.1 | ) | (6.9 | ) | — | — | ||||||||||
144.4 | (1,283.7 | ) | (743.9 | ) | (180.7 | ) | (2,063.9 | ) | |||||||||
Earnings (loss) before interest and taxes | 144.4 | 169.8 | 88.7 | (184.3 | ) | 218.6 | |||||||||||
Interest expense | (41.2 | ) | 0.4 | (3.4 | ) | — | (44.2 | ) | |||||||||
Earnings (loss) before taxes | 103.2 | 170.2 | 85.3 | (184.3 | ) | 174.4 | |||||||||||
Tax provision | 11.9 | (45.6 | ) | (18.0 | ) | — | (51.7 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 0.4 | (1.2 | ) | — | (0.8 | ) | ||||||||||
Net earnings (loss) from continuing operations | 115.1 | 125 | 66.1 | (184.3 | ) | 121.9 | |||||||||||
Discontinued operations, net of tax | — | (2.2 | ) | — | — | (2.2 | ) | ||||||||||
Net earnings (loss) | 115.1 | 122.8 | 66.1 | (184.3 | ) | 119.7 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (4.6 | ) | — | (4.6 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 115.1 | $ | 122.8 | $ | 61.5 | $ | (184.3 | ) | $ | 115.1 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 177 | $ | 182.8 | $ | 104.2 | $ | (287.0 | ) | $ | 177 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 3,957.10 | $ | 2,533.30 | $ | (19.1 | ) | $ | 6,471.30 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | — | (3,300.1 | ) | (2,008.3 | ) | 19.1 | (5,289.3 | ) | |||||||||
Depreciation and amortization | (5.9 | ) | (94.8 | ) | (122.9 | ) | — | (223.6 | ) | ||||||||
Selling, general and administrative | (58.9 | ) | (135.5 | ) | (116.8 | ) | — | (311.2 | ) | ||||||||
Business consolidation and other activities | (0.4 | ) | (79.1 | ) | (9.6 | ) | — | (89.1 | ) | ||||||||
Equity in results of subsidiaries | 346.6 | 185.5 | — | (532.1 | ) | — | |||||||||||
Intercompany | 135.1 | (110.6 | ) | (24.5 | ) | — | — | ||||||||||
416.5 | (3,534.6 | ) | (2,282.1 | ) | (513.0 | ) | (5,913.2 | ) | |||||||||
Earnings (loss) before interest and taxes | 416.5 | 422.5 | 251.2 | (532.1 | ) | 558.1 | |||||||||||
Interest expense | (128.4 | ) | 1.6 | (11.2 | ) | — | (138.0 | ) | |||||||||
Debt refinancing and other | (28.0 | ) | — | — | — | (28.0 | ) | ||||||||||
Total interest expense | (156.4 | ) | 1.6 | (11.2 | ) | — | (166.0 | ) | |||||||||
Earnings (loss) before taxes | 260.1 | 424.1 | 240 | (532.1 | ) | 392.1 | |||||||||||
Tax provision | 22.2 | (72.8 | ) | (42.4 | ) | — | (93.0 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 0.6 | 0.3 | — | 0.9 | ||||||||||||
Net earnings (loss) from continuing operations | 282.3 | 351.9 | 197.9 | (532.1 | ) | 300 | |||||||||||
Discontinued operations, net of tax | — | 0.4 | — | — | 0.4 | ||||||||||||
Net earnings (loss) | 282.3 | 352.3 | 197.9 | (532.1 | ) | 300.4 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (18.1 | ) | — | (18.1 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 282.3 | $ | 352.3 | $ | 179.8 | $ | (532.1 | ) | $ | 282.3 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 306.6 | $ | 382.4 | $ | 192.5 | $ | (574.9 | ) | $ | 306.6 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 4,154.90 | $ | 2,477.50 | $ | (10.9 | ) | $ | 6,621.50 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | 0.1 | (3,476.6 | ) | (1,979.0 | ) | 10.9 | (5,444.6 | ) | |||||||||
Depreciation and amortization | (4.3 | ) | (94.4 | ) | (111.5 | ) | — | (210.2 | ) | ||||||||
Selling, general and administrative | (51.3 | ) | (140.1 | ) | (93.1 | ) | — | (284.5 | ) | ||||||||
Business consolidation and other activities | (4.9 | ) | (32.8 | ) | (6.3 | ) | — | (44.0 | ) | ||||||||
Equity in results of subsidiaries | 371.5 | 193.5 | — | (565.0 | ) | — | |||||||||||
Intercompany | 129.4 | (110.6 | ) | (18.8 | ) | — | — | ||||||||||
440.5 | (3,661.0 | ) | (2,208.7 | ) | (554.1 | ) | (5,983.3 | ) | |||||||||
Earnings (loss) before interest and taxes | 440.5 | 493.9 | 268.8 | (565.0 | ) | 638.2 | |||||||||||
Interest expense | (124.3 | ) | 1 | (10.9 | ) | — | (134.2 | ) | |||||||||
Debt refinancing and other | (15.1 | ) | — | — | — | (15.1 | ) | ||||||||||
Total interest expense | (139.4 | ) | 1 | (10.9 | ) | — | (149.3 | ) | |||||||||
Earnings (loss) before taxes | 301.1 | 494.9 | 257.9 | (565.0 | ) | 488.9 | |||||||||||
Tax provision | 41.8 | (115.6 | ) | (55.9 | ) | — | (129.7 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 1.4 | (2.4 | ) | — | (1.0 | ) | ||||||||||
Net earnings (loss) from continuing operations | 342.9 | 380.7 | 199.6 | (565.0 | ) | 358.2 | |||||||||||
Discontinued operations, net of tax | — | (2.9 | ) | — | — | (2.9 | ) | ||||||||||
Net earnings (loss) | 342.9 | 377.8 | 199.6 | (565.0 | ) | 355.3 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (12.4 | ) | — | (12.4 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 342.9 | $ | 377.8 | $ | 187.2 | $ | (565.0 | ) | $ | 342.9 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 386.9 | $ | 415.6 | $ | 192.3 | $ | (607.9 | ) | $ | 386.9 | ||||||
Unaudited Condensed Consolidating Balance Sheet | |||||||||||||||||
At September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
ASSETS | |||||||||||||||||
Current assets | |||||||||||||||||
Cash and cash equivalents | $ | 1.8 | $ | 0.3 | $ | 166.1 | $ | — | $ | 168.2 | |||||||
Receivables, net | 1.8 | 184.5 | 901.2 | — | 1,087.50 | ||||||||||||
Intercompany receivables | 289 | 3 | 1.8 | (293.8 | ) | — | |||||||||||
Inventories, net | (0.2 | ) | 579.6 | 400.9 | — | 980.3 | |||||||||||
Other current assets | 11.4 | 98.8 | 79.2 | — | 189.4 | ||||||||||||
Total current assets | 303.8 | 866.2 | 1,549.20 | (293.8 | ) | 2,425.40 | |||||||||||
Non-current assets | |||||||||||||||||
Property, plant and equipment, net | 14.2 | 864.5 | 1,481.40 | — | 2,360.10 | ||||||||||||
Investment in subsidiaries | 4,272.40 | 2,156.20 | 78.6 | (6,507.2 | ) | — | |||||||||||
Goodwill | — | 935.6 | 1,444.20 | — | 2,379.80 | ||||||||||||
Intangibles and other assets, net | 200 | 103.4 | 240.5 | — | 543.9 | ||||||||||||
Total assets | $ | 4,790.40 | $ | 4,925.90 | $ | 4,793.90 | $ | (6,801.0 | ) | $ | 7,709.20 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
Current liabilities | |||||||||||||||||
Short-term debt and current portion of long-term debt | $ | — | $ | — | $ | 104.5 | $ | — | $ | 104.5 | |||||||
Accounts payable | (1.2 | ) | 570.9 | 429.1 | — | 998.8 | |||||||||||
Intercompany payables | — | — | 293.8 | (293.8 | ) | — | |||||||||||
Accrued employee costs | 14 | 140.5 | 77.8 | — | 232.3 | ||||||||||||
Other current liabilities | 18.2 | 95.5 | 120.9 | — | 234.6 | ||||||||||||
Total current liabilities | 31 | 806.9 | 1,026.10 | (293.8 | ) | 1,570.20 | |||||||||||
Non-current liabilities | |||||||||||||||||
Long-term debt | 3,060.60 | — | 356.9 | — | 3,417.50 | ||||||||||||
Employee benefit obligations | 301.8 | 466.8 | 407.1 | — | 1,175.70 | ||||||||||||
Other liabilities | 267.6 | (715.9 | ) | 677.3 | — | 229 | |||||||||||
Total liabilities | 3,661.00 | 557.8 | 2,467.40 | (293.8 | ) | 6,392.40 | |||||||||||
Common stock | 1,068.30 | 847.1 | 626.1 | (1,473.2 | ) | 1,068.30 | |||||||||||
Preferred stock | — | — | 4.8 | (4.8 | ) | — | |||||||||||
Retained earnings | 3,807.30 | 3,786.30 | 1,493.40 | (5,279.7 | ) | 3,807.30 | |||||||||||
Accumulated other comprehensive earnings (loss) | (328.1 | ) | (265.3 | ) | 14.8 | 250.5 | (328.1 | ) | |||||||||
Treasury stock, at cost | (3,418.1 | ) | — | — | — | (3,418.1 | ) | ||||||||||
Total Ball Corporation shareholders’ equity | 1,129.40 | 4,368.10 | 2,139.10 | (6,507.2 | ) | 1,129.40 | |||||||||||
Noncontrolling interests | — | — | 187.4 | — | 187.4 | ||||||||||||
Total shareholders’ equity | 1,129.40 | 4,368.10 | 2,326.50 | (6,507.2 | ) | 1,316.80 | |||||||||||
Total liabilties and shareholders’ equity | $ | 4,790.40 | $ | 4,925.90 | $ | 4,793.90 | $ | (6,801.0 | ) | $ | 7,709.20 | ||||||
Unaudited Condensed Consolidating Balance Sheet | |||||||||||||||||
At December 31, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
ASSETS | |||||||||||||||||
Current assets | |||||||||||||||||
Cash and cash equivalents | $ | 0.2 | $ | 0.3 | $ | 173.6 | $ | — | $ | 174.1 | |||||||
Receivables, net | 11.8 | 182.9 | 735.4 | — | 930.1 | ||||||||||||
Intercompany receivables | 66.5 | 8.8 | — | (75.3 | ) | — | |||||||||||
Inventories, net | (0.8 | ) | 623.7 | 421.5 | — | 1,044.40 | |||||||||||
Other current assets | 20.4 | 96.8 | 73.6 | — | 190.8 | ||||||||||||
Total current assets | 98.1 | 912.5 | 1,404.10 | (75.3 | ) | 2,339.40 | |||||||||||
Non-current assets | |||||||||||||||||
Property, plant and equipment, net | 9.3 | 854.4 | 1,424.90 | — | 2,288.60 | ||||||||||||
Investment in subsidiaries | 3,890.80 | 1,982.30 | 78.6 | (5,951.7 | ) | — | |||||||||||
Goodwill | — | 927 | 1,432.40 | — | 2,359.40 | ||||||||||||
Intangibles and other assets, net | 195 | 98.6 | 226.1 | — | 519.7 | ||||||||||||
Total assets | $ | 4,193.20 | $ | 4,774.80 | $ | 4,566.10 | $ | (6,027.0 | ) | $ | 7,507.10 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
Current liabilities | |||||||||||||||||
Short-term debt and current portion of long-term debt | $ | 25.1 | $ | — | $ | 194.7 | $ | — | $ | 219.8 | |||||||
Accounts payable | 12.8 | 461.4 | 472.7 | — | 946.9 | ||||||||||||
Intercompany payables | — | 0.6 | 74.7 | (75.3 | ) | — | |||||||||||
Accrued employee costs | 27 | 173.5 | 77.9 | — | 278.4 | ||||||||||||
Other current liabilities | 57.9 | 93 | 89.8 | — | 240.7 | ||||||||||||
Total current liabilities | 122.8 | 728.5 | 909.8 | (75.3 | ) | 1,685.80 | |||||||||||
Non-current liabilities | |||||||||||||||||
Long-term debt | 2,565.40 | — | 519.9 | — | 3,085.30 | ||||||||||||
Employee benefit obligations | 300.5 | 526.8 | 410.8 | — | 1,238.10 | ||||||||||||
Other non-current liabilities | 89.9 | (467.9 | ) | 585.9 | — | 207.9 | |||||||||||
Total liabilities | 3,078.60 | 787.4 | 2,426.40 | (75.3 | ) | 6,217.10 | |||||||||||
Common stock | 1,026.30 | 847.1 | 624.9 | (1,472.0 | ) | 1,026.30 | |||||||||||
Preferred stock | — | — | 4.8 | (4.8 | ) | — | |||||||||||
Retained earnings | 3,580.80 | 3,435.70 | 1,332.50 | (4,768.2 | ) | 3,580.80 | |||||||||||
Accumulated other comprehensive earnings (loss) | (352.4 | ) | (295.4 | ) | 2.1 | 293.3 | (352.4 | ) | |||||||||
Treasury stock, at cost | (3,140.1 | ) | — | — | — | (3,140.1 | ) | ||||||||||
Total Ball Corporation shareholders’ equity | 1,114.60 | 3,987.40 | 1,964.30 | (5,951.7 | ) | 1,114.60 | |||||||||||
Noncontrolling interests | — | — | 175.4 | — | 175.4 | ||||||||||||
Total shareholders’ equity | 1,114.60 | 3,987.40 | 2,139.70 | (5,951.7 | ) | 1,290.00 | |||||||||||
Total liabilties and shareholders’ equity | $ | 4,193.20 | $ | 4,774.80 | $ | 4,566.10 | $ | (6,027.0 | ) | $ | 7,507.10 | ||||||
Unaudited Condensed Consolidating Statement of Cash Flows | |||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Consolidated | |||||||||||||
Corporation | Subsidiaries | Subsidiaries | Total | ||||||||||||||
Cash provided by (used in) continuing operating activities | $ | (117.1 | ) | $ | 419.5 | $ | 151.8 | $ | 454.2 | ||||||||
Cash provided by (used in) discontinued operating activities | 0.2 | (2.5 | ) | — | (2.3 | ) | |||||||||||
Total cash provided by (used in) operating activities | (116.9 | ) | 417 | 151.8 | 451.9 | ||||||||||||
Cash flows from investing activities | |||||||||||||||||
Capital expenditures | (4.4 | ) | (122.9 | ) | (182.3 | ) | (309.6 | ) | |||||||||
Business acquisition, net of cash acquired | — | (12.5 | ) | (1.7 | ) | (14.2 | ) | ||||||||||
Other, net | (6.5 | ) | 0.6 | 8.1 | 2.2 | ||||||||||||
Cash provided by (used in) investing activities | (10.9 | ) | (134.8 | ) | (175.9 | ) | (321.6 | ) | |||||||||
Cash flows from financing activities | |||||||||||||||||
Long-term borrowings | 1,373.00 | — | 173.6 | 1,546.60 | |||||||||||||
Repayments of long-term borrowings | (882.7 | ) | — | (394.8 | ) | (1,277.5 | ) | ||||||||||
Net change in short-term borrowings | (25.0 | ) | — | (30.4 | ) | (55.4 | ) | ||||||||||
Proceeds from issuances of common stock | 24.3 | — | — | 24.3 | |||||||||||||
Acquisitions of treasury stock | (292.2 | ) | — | — | (292.2 | ) | |||||||||||
Common dividends | (56.8 | ) | — | — | (56.8 | ) | |||||||||||
Intercompany | 1.4 | (282.2 | ) | 280.8 | — | ||||||||||||
Other, net | (9.1 | ) | — | (6.5 | ) | (15.6 | ) | ||||||||||
Cash provided by (used in) financing activities | 132.9 | (282.2 | ) | 22.7 | (126.6 | ) | |||||||||||
Effect of exchange rate changes on cash | (3.5 | ) | — | (6.1 | ) | (9.6 | ) | ||||||||||
Change in cash and cash equivalents | 1.6 | — | (7.5 | ) | (5.9 | ) | |||||||||||
Cash and cash equivalents — beginning of period | 0.2 | 0.3 | 173.6 | 174.1 | |||||||||||||
Cash and cash equivalents — end of period | $ | 1.8 | $ | 0.3 | $ | 166.1 | $ | 168.2 | |||||||||
Unaudited Condensed Consolidating Statement of Cash Flows | |||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Consolidated | |||||||||||||
Corporation | Subsidiaries | Subsidiaries | Total | ||||||||||||||
Cash provided by (used in) continuing operating activities | $ | (77.9 | ) | $ | 314 | $ | 153.2 | $ | 389.3 | ||||||||
Cash provided by (used in) discontinued operating activities | (1.8 | ) | 0.8 | — | (1.0 | ) | |||||||||||
Total cash provided by (used in) operating activities | (79.7 | ) | 314.8 | 153.2 | 388.3 | ||||||||||||
Cash flows from investing activities | |||||||||||||||||
Capital expenditures | (3.5 | ) | (67.3 | ) | (136.1 | ) | (206.9 | ) | |||||||||
Business acquisition, net of cash acquired | — | — | (15.3 | ) | (15.3 | ) | |||||||||||
Other, net | 19.9 | 1.7 | (3.6 | ) | 18 | ||||||||||||
Cash provided by (used in) investing activities | 16.4 | (65.6 | ) | (155.0 | ) | (204.2 | ) | ||||||||||
Cash flows from financing activities | |||||||||||||||||
Long-term borrowings | 1,237.50 | 0.1 | 32.2 | 1,269.80 | |||||||||||||
Repayments of long-term borrowings | (950.1 | ) | (0.1 | ) | (32.5 | ) | (982.7 | ) | |||||||||
Net change in short-term borrowings | 7 | — | (105.8 | ) | (98.8 | ) | |||||||||||
Proceeds from issuances of common stock | 40.8 | — | — | 40.8 | |||||||||||||
Acquisitions of treasury stock | (345.7 | ) | — | — | (345.7 | ) | |||||||||||
Common dividends | (46.6 | ) | — | — | (46.6 | ) | |||||||||||
Intercompany | 100.2 | (250.0 | ) | 149.8 | — | ||||||||||||
Other, net | (6.2 | ) | — | (0.4 | ) | (6.6 | ) | ||||||||||
Cash provided by (used in) financing activities | 36.9 | (250.0 | ) | 43.3 | (169.8 | ) | |||||||||||
Effect of exchange rate changes on cash | 4 | 0.5 | (3.4 | ) | 1.1 | ||||||||||||
Change in cash and cash equivalents | (22.4 | ) | (0.3 | ) | 38.1 | 15.4 | |||||||||||
Cash and cash equivalents — beginning of period | 24 | 0.5 | 141.3 | 165.8 | |||||||||||||
Cash and cash equivalents — end of period | $ | 1.6 | $ | 0.2 | $ | 179.4 | $ | 181.2 |
Business_Segment_Information_T
Business Segment Information (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Business Segment Information | ||||||||||||||
Summary of business by segment | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | |||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Net sales | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 1,109.20 | $ | 1,169.60 | $ | 3,190.70 | $ | 3,426.90 | ||||||
Metal beverage packaging, Europe | 488.9 | 450.8 | 1,400.50 | 1,377.00 | ||||||||||
Metal food & household products packaging | 463.6 | 445.8 | 1,213.40 | 1,196.70 | ||||||||||
Aerospace & technologies | 217.5 | 219.9 | 675 | 631.8 | ||||||||||
Corporate and intercompany eliminations | (1.3 | ) | (3.6 | ) | (8.3 | ) | (10.9 | ) | ||||||
Net sales | $ | 2,277.90 | $ | 2,282.50 | $ | 6,471.30 | $ | 6,621.50 | ||||||
Net earnings | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 134.8 | $ | 142.2 | $ | 364.5 | $ | 384.5 | ||||||
Business consolidation and other activities | (14.1 | ) | (31.5 | ) | (26.6 | ) | (32.9 | ) | ||||||
Total metal beverage packaging, Americas & Asia | 120.7 | 110.7 | 337.9 | 351.6 | ||||||||||
Metal beverage packaging, Europe | 60.5 | 54.3 | 143.2 | 152.7 | ||||||||||
Business consolidation and other activities | (1.7 | ) | (3.5 | ) | (4.6 | ) | (6.2 | ) | ||||||
Total metal beverage packaging, Europe | 58.8 | 50.8 | 138.6 | 146.5 | ||||||||||
Metal food & household products packaging | 58.4 | 50.1 | 140.6 | 131 | ||||||||||
Business consolidation and other activities | (28.9 | ) | — | (57.4 | ) | — | ||||||||
Total metal food & household products packaging | 29.5 | 50.1 | 83.2 | 131 | ||||||||||
Aerospace & technologies | 18 | 22.5 | 55 | 62.4 | ||||||||||
Business consolidation and other activities | — | — | (0.2 | ) | — | |||||||||
Total aerospace & technologies | 18 | 22.5 | 54.8 | 62.4 | ||||||||||
Segment earnings before interest and taxes | 227 | 234.1 | 614.5 | 691.5 | ||||||||||
Undistributed and corporate expenses and intercompany eliminations, net | (16.3 | ) | (13.7 | ) | (56.1 | ) | (48.4 | ) | ||||||
Business consolidation and other activities | 0.9 | (1.8 | ) | (0.3 | ) | (4.9 | ) | |||||||
Total undistributed and corporate expenses and intercompany eliminations, net | (15.4 | ) | (15.5 | ) | (56.4 | ) | (53.3 | ) | ||||||
Earnings before interest and taxes | 211.6 | 218.6 | 558.1 | 638.2 | ||||||||||
Interest expense | (45.5 | ) | (44.2 | ) | (138.0 | ) | (134.2 | ) | ||||||
Debt refinancing costs | (1.3 | ) | — | (28.0 | ) | (15.1 | ) | |||||||
Total interest expense | (46.8 | ) | (44.2 | ) | (166.0 | ) | (149.3 | ) | ||||||
Tax provision | (44.1 | ) | (51.7 | ) | (93.0 | ) | (129.7 | ) | ||||||
Equity in results of affiliates, net of tax | 0.9 | (0.8 | ) | 0.9 | (1.0 | ) | ||||||||
Net earnings from continuing operations | 121.6 | 121.9 | 300 | 358.2 | ||||||||||
Discontinued operations, net of tax | 0.3 | (2.2 | ) | 0.4 | (2.9 | ) | ||||||||
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 | ||||||||||
Less net earnings attributable to noncontrolling interests | (6.7 | ) | (4.6 | ) | (18.1 | ) | (12.4 | ) | ||||||
Net earnings attibutable to Ball Corporation | $ | 115.2 | $ | 115.1 | $ | 282.3 | $ | 342.9 | ||||||
September 30, | December 31, | |||||||||||||
($ in millions) | 2013 | 2012 | ||||||||||||
Total Assets | ||||||||||||||
Metal beverage packaging, Americas & Asia | $ | 3,307.60 | $ | 3,227.50 | ||||||||||
Metal beverage packaging, Europe | 2,325.90 | 2,299.80 | ||||||||||||
Metal food & household products packaging | 1,635.30 | 1,568.90 | ||||||||||||
Aerospace & technologies | 346.6 | 332.8 | ||||||||||||
Segment assets | 7,615.40 | 7,429.00 | ||||||||||||
Corporate assets and intercompany eliminations | 93.8 | 78.1 | ||||||||||||
Total assets | $ | 7,709.20 | $ | 7,507.10 |
Business_Consolidation_and_Oth1
Business Consolidation and Other Activities (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Business Consolidation and Other Activities | |||||||||||||||||
Schedule of business consolidation and other activity charges included in the unaudited condensed consolidated statements of earnings | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
September 30, | September 30, | ||||||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | |||||||||||||
Metal beverage packaging, Americas & Asia | $ | (14.1 | ) | $ | (31.5 | ) | $ | (26.6 | ) | $ | (32.9 | ) | |||||
Metal beverage packaging, Europe | (1.7 | ) | (3.5 | ) | (4.6 | ) | (6.2 | ) | |||||||||
Metal food & household products packaging | (28.9 | ) | — | (57.4 | ) | — | |||||||||||
Aerospace & technologies | — | — | (0.2 | ) | — | ||||||||||||
Corporate and other | 0.9 | (1.8 | ) | (0.3 | ) | (4.9 | ) | ||||||||||
$ | (43.8 | ) | $ | (36.8 | ) | $ | (89.1 | ) | $ | (44.0 | ) | ||||||
Summary by segment of the activity in the restructuring reserves | |||||||||||||||||
($ in millions) | Metal Beverage | Metal Food & | Aerospace & | Corporate and | Total | ||||||||||||
Packaging, | Household | Technologies | Other Costs | ||||||||||||||
Americas & | Products | ||||||||||||||||
Asia | Packaging | ||||||||||||||||
Balance at December 31, 2012 | $ | 16.4 | $ | 3 | $ | 1.9 | $ | 3.8 | $ | 25.1 | |||||||
Charges to earnings | (3.3 | ) | 18.4 | — | 0.2 | 15.3 | |||||||||||
Cash payments and other activity | (11.3 | ) | (6.3 | ) | (1.9 | ) | (4.0 | ) | (23.5 | ) | |||||||
Balance at September 30, 2013 | $ | 1.8 | $ | 15.1 | $ | — | $ | — | $ | 16.9 |
Receivables_Tables
Receivables (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Receivables | ||||||||
Schedule of receivables | ||||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Trade accounts receivable | $ | 1,061.20 | $ | 878.3 | ||||
Less allowance for doubtful accounts | (39.3 | ) | (13.7 | ) | ||||
Net trade accounts receivable | 1,021.90 | 864.6 | ||||||
Other receivables | 65.6 | 65.5 | ||||||
$ | 1,087.50 | $ | 930.1 |
Inventories_Tables
Inventories (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Inventories | ||||||||
Schedule of inventories | ||||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Raw materials and supplies | $ | 441.6 | $ | 426.7 | ||||
Work-in-process and finished goods | 588.1 | 664.5 | ||||||
Less inventory reserves | (49.4 | ) | (46.8 | ) | ||||
$ | 980.3 | $ | 1,044.40 |
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Property, Plant and Equipment | ||||||||
Schedule of property, plant and equipment | ||||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Land | $ | 79.2 | $ | 82.6 | ||||
Buildings | 963.5 | 934.3 | ||||||
Machinery and equipment | 3,541.10 | 3,407.60 | ||||||
Construction-in-progress | 283.2 | 240.6 | ||||||
4,867.00 | 4,665.10 | |||||||
Accumulated depreciation | (2,506.9 | ) | (2,376.5 | ) | ||||
$ | 2,360.10 | $ | 2,288.60 |
Goodwill_Tables
Goodwill (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Goodwill | |||||||||||||||||
Schedule of goodwill | |||||||||||||||||
($ in millions) | Metal | Metal | Metal Food & | Aerospace & | Total | ||||||||||||
Beverage | Beverage | Household | Technologies | ||||||||||||||
Packaging, | Packaging, | Products | |||||||||||||||
Americas & | Europe | Packaging | |||||||||||||||
Asia | |||||||||||||||||
Balance at December 31, 2012 | $ | 740.7 | $ | 993.2 | $ | 625.5 | $ | — | $ | 2,359.40 | |||||||
Business acquisitions and related opening balance sheet adjustments | — | — | (15.1 | ) | 8.6 | (6.5 | ) | ||||||||||
Effects of currency exchange rates | — | 23 | 3.9 | — | 26.9 | ||||||||||||
Balance at September 30, 2013 | $ | 740.7 | $ | 1,016.20 | $ | 614.3 | $ | 8.6 | $ | 2,379.80 |
Intangibles_and_Other_Assets_T
Intangibles and Other Assets (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Intangibles and Other Assets | ||||||||
Schedule of intangibles and other assets | ||||||||
September 30, | December 31, | |||||||
($ in millions) | 2013 | 2012 | ||||||
Investment in affiliates | $ | 33.6 | $ | 32.2 | ||||
Intangible assets (net of accumulated amortization of $87.0 million at September 30, 2013, and $68.1 million at December 31, 2012) | 171.5 | 162.9 | ||||||
Capitalized software (net of accumulated amortization of $87.7 million at September 30, 2013, and $78.4 million at December 31, 2012) | 61.6 | 50.4 | ||||||
Company and trust-owned life insurance | 139.9 | 114.7 | ||||||
Deferred financing costs | 47.8 | 37.3 | ||||||
Other | 89.5 | 122.2 | ||||||
$ | 543.9 | $ | 519.7 |
Debt_Tables
Debt (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Debt | ||||||||||||||
Schedule of long-term debt | ||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||
In | In | |||||||||||||
Denominated | Denominated | |||||||||||||
($ in millions) | Currency | In U.S. $ | Currency | In U.S. $ | ||||||||||
Notes Payable | ||||||||||||||
7.125% Senior Notes, due September 2016 | $ | — | $ | — | $ | 375 | $ | 375 | ||||||
7.375% Senior Notes, due September 2019 | $ | 315.4 | 315.4 | $ | 325 | 325 | ||||||||
6.75% Senior Notes, due September 2020 | $ | 500 | 500 | $ | 500 | 500 | ||||||||
5.75% Senior Notes, due May 2021 | $ | 500 | 500 | $ | 500 | 500 | ||||||||
5.00% Senior Notes, due March 2022 | $ | 750 | 750 | $ | 750 | 750 | ||||||||
4.00% Senior Notes, due November 2023 | $ | 1,000.00 | 1,000.00 | $ | — | — | ||||||||
Senior Credit Facilities, due June 2018 (at variable rates) | ||||||||||||||
Term A Loan, U.S. dollar denominated | $ | — | — | $ | 125 | 125 | ||||||||
Term B Loan, British sterling denominated | £ | 37.3 | 60.2 | £ | 46.5 | 75.2 | ||||||||
Term C Loan, euro denominated | € | 81.6 | 110.4 | € | 91.3 | 120.6 | ||||||||
Multi-currency revolver, euro denominated | € | — | — | € | 159 | 210.1 | ||||||||
Latapack-Ball Notes Payable (at various rates and terms) | $ | 230.7 | 230.7 | $ | 176.1 | 176.1 | ||||||||
Other (including discounts and premiums) | Various | (2.6 | ) | Various | 32.4 | |||||||||
3,464.10 | 3,189.40 | |||||||||||||
Less: Current portion of long-term debt | (46.6 | ) | (104.1 | ) | ||||||||||
$ | 3,417.50 | $ | 3,085.30 |
Employee_Benefit_Obligations_T
Employee Benefit Obligations (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Employee Benefit Obligations | ||||||||||||||||||||
Schedule of employee benefit obligations | ||||||||||||||||||||
September 30, | December 31, | |||||||||||||||||||
($ in millions) | 2013 | 2012 | ||||||||||||||||||
Underfunded defined benefit pension liabilities, net | $ | 762.7 | $ | 820.2 | ||||||||||||||||
Less current portion and prepaid pension assets | (23.8 | ) | (25.0 | ) | ||||||||||||||||
Long-term defined benefit pension liabilities | 738.9 | 795.2 | ||||||||||||||||||
Retiree medical and other postemployment benefits | 175 | 177 | ||||||||||||||||||
Deferred compensation plans | 239.5 | 237.8 | ||||||||||||||||||
Other | 22.3 | 28.1 | ||||||||||||||||||
$ | 1,175.70 | $ | 1,238.10 | |||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||
Three Months Ended September 30, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
($ in millions) | U.S. | Foreign | Total | U.S. | Foreign | Total | ||||||||||||||
Ball-sponsored plans: | ||||||||||||||||||||
Service cost | $ | 12.1 | $ | 2.5 | $ | 14.6 | $ | 11.7 | $ | 2 | $ | 13.7 | ||||||||
Interest cost | 13.8 | 5.9 | 19.7 | 14.2 | 7.1 | 21.3 | ||||||||||||||
Expected return on plan assets | (19.3 | ) | (3.4 | ) | (22.7 | ) | (18.6 | ) | (4.3 | ) | (22.9 | ) | ||||||||
Amortization of prior service cost | — | (0.1 | ) | (0.1 | ) | 0.2 | (0.1 | ) | 0.1 | |||||||||||
Recognized net actuarial loss | 10.7 | 1.2 | 11.9 | 8.4 | 1.8 | 10.2 | ||||||||||||||
Curtailment loss | — | — | — | 0.1 | — | 0.1 | ||||||||||||||
Net periodic benefit cost for Ball-sponsored plans | 17.3 | 6.1 | 23.4 | 16 | 6.5 | 22.5 | ||||||||||||||
Net periodic benefit cost for multi-employer plans | 0.7 | — | 0.7 | 0.6 | — | 0.6 | ||||||||||||||
Total net periodic benefit cost | $ | 18 | $ | 6.1 | $ | 24.1 | $ | 16.6 | $ | 6.5 | $ | 23.1 | ||||||||
Nine Months Ended September 30, | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
($ in millions) | U.S. | Foreign | Total | U.S. | Foreign | Total | ||||||||||||||
Ball-sponsored plans: | ||||||||||||||||||||
Service cost | $ | 36.5 | $ | 7.5 | $ | 44 | $ | 35.1 | $ | 5.9 | $ | 41 | ||||||||
Interest cost | 41.4 | 17.8 | 59.2 | 42.4 | 21.5 | 63.9 | ||||||||||||||
Expected return on plan assets | (58.0 | ) | (10.2 | ) | (68.2 | ) | (55.5 | ) | (12.8 | ) | (68.3 | ) | ||||||||
Amortization of prior service cost | — | (0.3 | ) | (0.3 | ) | 0.7 | (0.3 | ) | 0.4 | |||||||||||
Recognized net actuarial loss | 32 | 3.7 | 35.7 | 25.1 | 5.3 | 30.4 | ||||||||||||||
Curtailment loss (a) | 4.1 | — | 4.1 | 0.3 | — | 0.3 | ||||||||||||||
Net periodic benefit cost for Ball-sponsored plans | 56 | 18.5 | 74.5 | 48.1 | 19.6 | 67.7 | ||||||||||||||
Multi-employer plans: | ||||||||||||||||||||
Net periodic benefit cost, excluding curtailment loss | 2 | — | 2 | 2 | — | 2 | ||||||||||||||
Curtailment loss (a) | 9.8 | — | 9.8 | — | — | — | ||||||||||||||
Net periodic benefit cost for multi-employer plans | 11.8 | — | 11.8 | 2 | — | 2 | ||||||||||||||
Total net periodic benefit cost | $ | 67.8 | $ | 18.5 | $ | 86.3 | $ | 50.1 | $ | 19.6 | $ | 69.7 | ||||||||
(a) Curtailment losses in 2013 are related to the closure of the company’s Elgin, Illinois, facility and the migration of certain of the company’s Weirton, West Virginia, hourly employees from a multi-employer defined benefit pension plan to a Ball-sponsored defined benefit pension plan as of January 1, 2014. Further details are available in Note 5. |
Shareholders_Equity_and_Compre1
Shareholders' Equity and Comprehensive Earnings (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Shareholders' Equity and Comprehensive Earnings | ||||||||||||||
Schedule of activity related to accumulated other comprehensive earnings (loss) | ||||||||||||||
($ in millions) | Foreign | Pension and | Effective | Accumulated | ||||||||||
Currency | Other | Derivatives | Other | |||||||||||
Translation | Postretirement | (Net of Tax) | Comprehensive | |||||||||||
Benefits | Earnings (Loss) | |||||||||||||
(Net of Tax) | ||||||||||||||
Balance at December 31, 2012 | $ | 117.5 | $ | (461.0 | ) | $ | (8.9 | ) | $ | (352.4 | ) | |||
Other comprehensive earnings (loss) before reclassifications | 29.7 | (3.8 | ) | (37.0 | ) | (11.1 | ) | |||||||
Amounts reclassified from Accumulated other comprehensive earnings (loss) | — | 21.5 | 13.9 | 35.4 | ||||||||||
Balance at September 30, 2013 | $ | 147.2 | $ | (443.3 | ) | $ | (32.0 | ) | $ | (328.1 | ) | |||
Information related to amounts recognized into net earnings from AOCI | Three Months Ended | Nine Months Ended | ||||||||||||
($ in millions) | September 30, 2013 | September 30, 2013 | ||||||||||||
Gains (losses) on cash flow hedges: | ||||||||||||||
Commodity contracts recorded in net sales | $ | 2.8 | $ | 5.2 | ||||||||||
Commodity contracts and currency exchange contracts recorded in cost of sales | (13.2 | ) | (23.6 | ) | ||||||||||
Interest rate contracts recorded in interest expense | (0.3 | ) | (0.8 | ) | ||||||||||
Total before tax effect | (10.7 | ) | (19.2 | ) | ||||||||||
Tax benefit (expense) on amounts reclassified into earnings | 2.7 | 5.3 | ||||||||||||
Recognized gain (loss) | $ | (8.0 | ) | $ | (13.9 | ) | ||||||||
Amortization of pension and other postretirement benefits (a): | ||||||||||||||
Prior service income (cost) | $ | 0.1 | $ | 0.3 | ||||||||||
Actuarial gains (losses) | (11.9 | ) | (35.7 | ) | ||||||||||
Total before tax effect | (11.8 | ) | (35.4 | ) | ||||||||||
Tax benefit (expense) on amounts reclassified into earnings | 4.7 | 13.9 | ||||||||||||
Recognized gain (loss) | $ | (7.1 | ) | $ | (21.5 | ) | ||||||||
(a) These components are included in the computation of net periodic benefit cost included in Note 12. |
StockBased_Compensation_Progra1
Stock-Based Compensation Programs (Tables) | 9 Months Ended | ||||||
Sep. 30, 2013 | |||||||
Stock-Based Compensation Programs | |||||||
Summary of stock option and SSAR activity | A summary of stock option and SSAR activity for the nine months ended September 30, 2013, follows: | ||||||
Outstanding Options and SSARs | |||||||
Number of | Weighted | ||||||
Shares | Average | ||||||
Exercise Price | |||||||
Beginning of year | 9,982,104 | $ | 26.71 | ||||
Granted | 1,364,870 | $ | 45.93 | ||||
Exercised | (1,046,369 | ) | $ | 23.14 | |||
Canceled/forfeited | (48,625 | ) | $ | 37.62 | |||
End of period | 10,251,980 | $ | 29.59 | ||||
Vested and exercisable, end of period | 6,866,980 | $ | 24.79 | ||||
Reserved for future grants (a) | 12,412,861 | ||||||
(a) On April 24, 2013, Ball’s shareholders approved the 2013 Stock and Cash Incentive Plan, which authorized 12.5 million shares for future option, SSAR and restricted share grants. This authorization replaced all previous authorizations. | |||||||
Schedule of weighted average assumptions used for estimating fair values of options | |||||||
January 2013 | January 2012 | ||||||
Expected dividend yield | 1.13% | 1.06% | |||||
Expected stock price volatility | 22.02% | 30.22% | |||||
Risk-free interest rate | 1.02% | 0.84% | |||||
Expected life of options | 5.50 years | 5.26 years | |||||
Summary of restricted stock activity | The following is a summary of restricted stock activity for the nine months ended September 30, 2013: | ||||||
Number of | Weighted | ||||||
Shares/Units | Average Grant | ||||||
Price | |||||||
Beginning of year | 1,763,636 | $ | 28.97 | ||||
Granted | 185,845 | 46.11 | |||||
Vested | (493,910 | ) | 26.61 | ||||
Canceled/forfeited | (5,502 | ) | 34.21 | ||||
End of period | 1,450,069 | 31.95 | |||||
Earnings_and_Dividends_Per_Sha1
Earnings and Dividends Per Share (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Earnings and Dividends Per Share | ||||||||||||||
Schedule of earnings per share | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
($ in millions, except per share amounts; | September 30, | September 30, | ||||||||||||
shares in thousands) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Net earnings attributable to Ball Corporation | $ | 115.2 | $ | 115.1 | $ | 282.3 | $ | 342.9 | ||||||
Basic weighted average common shares | 144,714 | 153,604 | 146,910 | 155,561 | ||||||||||
Effect of dilutive securities | 3,181 | 3,504 | 3,212 | 3,402 | ||||||||||
Weighted average shares applicable to diluted earnings per share | 147,895 | 157,108 | 150,122 | 158,963 | ||||||||||
Per basic share | $ | 0.8 | $ | 0.75 | $ | 1.92 | $ | 2.2 | ||||||
Per diluted share | $ | 0.78 | $ | 0.73 | $ | 1.88 | $ | 2.16 |
Financial_Instruments_and_Risk1
Financial Instruments and Risk Management (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Financial Instruments and Risk Management | ||||||||||||||
Schedule of fair value of derivative instruments | Fair Value of Derivative Instruments as of September 30, 2013 | |||||||||||||
($ in millions) | Derivatives | Derivatives Not | Total | |||||||||||
Designated As | Designated As | |||||||||||||
Hedging | Hedging | |||||||||||||
Instruments | Instruments | |||||||||||||
Assets: | ||||||||||||||
Commodity contracts | $ | 3.5 | $ | 2.4 | $ | 5.9 | ||||||||
Foreign currency contracts | 0.3 | 2 | 2.3 | |||||||||||
Total current derivative contracts | $ | 3.8 | $ | 4.4 | $ | 8.2 | ||||||||
Noncurrent commodity contracts | $ | 0.3 | $ | — | $ | 0.3 | ||||||||
Liabilities: | ||||||||||||||
Commodity contracts | $ | 13.2 | $ | 2.7 | $ | 15.9 | ||||||||
Foreign currency contracts | 1.6 | 10.5 | 12.1 | |||||||||||
Interest rate and other contracts | 0.8 | 1 | 1.8 | |||||||||||
Total current derivative contracts | $ | 15.6 | $ | 14.2 | $ | 29.8 | ||||||||
Noncurrent commodity contracts | $ | 20.2 | $ | 0.4 | $ | 20.6 | ||||||||
Foreign currency contracts | 0.2 | — | 0.2 | |||||||||||
Total noncurrent derivative contracts | $ | 20.4 | $ | 0.4 | $ | 20.8 | ||||||||
Fair Value of Derivative Instruments as of December 31, 2012 | ||||||||||||||
($ in millions) | Derivatives | Derivatives Not | Total | |||||||||||
Designated As | Designated As | |||||||||||||
Hedging | Hedging | |||||||||||||
Instruments | Instruments | |||||||||||||
Assets: | ||||||||||||||
Commodity contracts | $ | 9.2 | $ | 1 | $ | 10.2 | ||||||||
Foreign currency contracts | 0.1 | 2.3 | 2.4 | |||||||||||
Other current contracts | — | 0.6 | 0.6 | |||||||||||
Total current derivative contracts | $ | 9.3 | $ | 3.9 | $ | 13.2 | ||||||||
Noncurrent commodity contracts | $ | 4.2 | $ | — | $ | 4.2 | ||||||||
Liabilities: | ||||||||||||||
Commodity contracts | $ | 9 | $ | 0.7 | $ | 9.7 | ||||||||
Foreign currency contracts | 2.5 | 5.2 | 7.7 | |||||||||||
Interest rate and other contracts | 1 | — | 1 | |||||||||||
Total current derivative contracts | $ | 12.5 | $ | 5.9 | $ | 18.4 | ||||||||
Noncurrent commodity contracts | $ | 5.4 | $ | — | $ | 5.4 | ||||||||
Interest rate contracts | 0.5 | — | 0.5 | |||||||||||
Foreign currency contracts | 0.4 | — | 0.4 | |||||||||||
Total noncurrent derivative contracts | $ | 6.3 | $ | — | $ | 6.3 | ||||||||
Schedule of impact on earnings from derivative instruments | ||||||||||||||
Three Months Ended September 30, | ||||||||||||||
2013 | 2012 | |||||||||||||
($ in millions) | Cash Flow | Gain (Loss) on | Cash Flow | Gain (Loss) on | ||||||||||
Hedge - | Derivatives Not | Hedge - | Derivatives Not | |||||||||||
Reclassified | Designated As | Reclassified | Designated As | |||||||||||
Amount From | Hedge | Amount From | Hedge | |||||||||||
Other | Instruments | Other | Instruments | |||||||||||
Comprehensive | Comprehensive | |||||||||||||
Earnings (Loss) - | Earnings (Loss) - | |||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||
Commodity contracts (a) | $ | (10.0 | ) | $ | (0.4 | ) | $ | (19.2 | ) | $ | — | |||
Interest rate contracts (b) | (0.3 | ) | — | (0.1 | ) | — | ||||||||
Foreign currency contracts (c) | (0.4 | ) | 0.3 | (0.3 | ) | (10.2 | ) | |||||||
Equity contracts (d) | — | 0.3 | — | 0.5 | ||||||||||
Inflation option contracts (e) | — | — | — | 0.2 | ||||||||||
Total | $ | (10.7 | ) | $ | 0.2 | $ | (19.6 | ) | $ | (9.5 | ) | |||
Nine Months Ended September 30, | ||||||||||||||
2013 | 2012 | |||||||||||||
($ in millions) | Cash Flow | Gain (Loss) on | Cash Flow | Gain (Loss) on | ||||||||||
Hedge - | Derivatives Not | Hedge - | Derivatives Not | |||||||||||
Reclassified | Designated As | Reclassified | Designated As | |||||||||||
Amount From | Hedge | Amount From | Hedge | |||||||||||
Other | Instruments | Other | Instruments | |||||||||||
Comprehensive | Comprehensive | |||||||||||||
Earnings (Loss) - | Earnings (Loss) - | |||||||||||||
Gain (Loss) | Gain (Loss) | |||||||||||||
Commodity contracts (a) | $ | (17.7 | ) | $ | (1.9 | ) | $ | (36.2 | ) | $ | 2.2 | |||
Interest rate contracts (b) | (0.8 | ) | — | (0.2 | ) | — | ||||||||
Foreign currency contracts (c) | (0.7 | ) | 3.7 | (1.4 | ) | (21.6 | ) | |||||||
Equity contracts (d) | — | (1.5 | ) | — | 1.4 | |||||||||
Inflation option contracts (e) | — | — | — | — | ||||||||||
Total | $ | (19.2 | ) | $ | 0.3 | $ | (37.8 | ) | $ | (18.0 | ) | |||
(a) Gains and losses on commodity contracts are recorded in sales and cost of sales in the statements of earnings. A significant majority of these expenses were passed through to our customers, resulting in no significant impact to earnings. | ||||||||||||||
(b) Gains and losses on interest contracts are recorded in interest expense in the statements of earnings. | ||||||||||||||
(c) Gains and losses on foreign currency contracts to hedge the sales of products are recorded in cost of sales in the statements of earnings. Gains and losses on foreign currency hedges used for translation between segments are reflected in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
(d) Gains and losses on equity contracts are recorded in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
(e) Gains and losses on inflation option contracts are recorded in selling, general and administrative expenses in the statements of earnings. | ||||||||||||||
Schedule of changes in accumulated other comprehensive earnings (loss) for effective derivatives | ||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | |||||||||||||
($ in millions) | 2013 | 2012 | 2013 | 2012 | ||||||||||
Amounts reclassified into earnings: | ||||||||||||||
Commodity contracts | $ | 10 | $ | 19.2 | $ | 17.7 | $ | 36.2 | ||||||
Interest rate contracts | 0.3 | 0.1 | 0.8 | 0.2 | ||||||||||
Currency exchange contracts | 0.4 | 0.3 | 0.7 | 1.4 | ||||||||||
Change in fair value of cash flow hedges: | ||||||||||||||
Commodity contracts | (1.7 | ) | 26 | (46.1 | ) | 8.6 | ||||||||
Interest rate contracts | (0.5 | ) | (0.5 | ) | 0.4 | (1.3 | ) | |||||||
Currency exchange contracts | (1.4 | ) | (1.1 | ) | 1.9 | (3.5 | ) | |||||||
Foreign currency and tax impacts | (3.4 | ) | (15.3 | ) | 1.5 | (15.9 | ) | |||||||
$ | 3.7 | $ | 28.7 | $ | (23.1 | ) | $ | 25.7 |
Subsidiary_Guarantees_of_Debt_
Subsidiary Guarantees of Debt (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Subsidiary Guarantees of Debt | |||||||||||||||||
Schedule of condensed, consolidating statement of earnings | |||||||||||||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Three Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 1,392.60 | $ | 890.3 | $ | (5.0 | ) | $ | 2,277.90 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | — | (1,152.0 | ) | (699.9 | ) | 5 | (1,846.9 | ) | |||||||||
Depreciation and amortization | (1.6 | ) | (33.0 | ) | (42.0 | ) | — | (76.6 | ) | ||||||||
Selling, general and administrative | (16.7 | ) | (42.7 | ) | (39.6 | ) | — | (99.0 | ) | ||||||||
Business consolidation and other activities | 0.9 | (36.2 | ) | (8.5 | ) | — | (43.8 | ) | |||||||||
Equity in results of subsidiaries | 137.5 | 73.7 | — | (211.2 | ) | — | |||||||||||
Intercompany | 46.7 | (37.7 | ) | (9.0 | ) | — | — | ||||||||||
166.8 | (1,227.9 | ) | (799.0 | ) | (206.2 | ) | (2,066.3 | ) | |||||||||
Earnings (loss) before interest and taxes | 166.8 | 164.7 | 91.3 | (211.2 | ) | 211.6 | |||||||||||
Interest expense | (43.3 | ) | 0.6 | (2.8 | ) | — | (45.5 | ) | |||||||||
Debt refinancing and other | (1.3 | ) | — | — | — | (1.3 | ) | ||||||||||
Total interest expense | (44.6 | ) | 0.6 | (2.8 | ) | — | (46.8 | ) | |||||||||
Earnings (loss) before taxes | 122.2 | 165.3 | 88.5 | (211.2 | ) | 164.8 | |||||||||||
Tax provision | (7.0 | ) | (24.6 | ) | (12.5 | ) | — | (44.1 | ) | ||||||||
Equity in results of affiliates, net of tax | — | 0.6 | 0.3 | — | 0.9 | ||||||||||||
Net earnings (loss) from continuing operations | 115.2 | 141.3 | 76.3 | (211.2 | ) | 121.6 | |||||||||||
Discontinued operations, net of tax | — | 0.3 | — | — | 0.3 | ||||||||||||
Net earnings (loss) | 115.2 | 141.6 | 76.3 | (211.2 | ) | 121.9 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (6.7 | ) | — | (6.7 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 115.2 | $ | 141.6 | $ | 69.6 | $ | (211.2 | ) | $ | 115.2 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 179.5 | $ | 204.3 | $ | 125.9 | $ | (330.2 | ) | $ | 179.5 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Three Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 1,453.50 | $ | 832.6 | $ | (3.6 | ) | $ | 2,282.50 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | 0.2 | (1,204.0 | ) | (665.9 | ) | 3.6 | (1,866.1 | ) | |||||||||
Depreciation and amortization | (1.5 | ) | (35.7 | ) | (37.5 | ) | — | (74.7 | ) | ||||||||
Selling, general and administrative | (13.9 | ) | (42.5 | ) | (29.9 | ) | — | (86.3 | ) | ||||||||
Business consolidation and other activities | (1.8 | ) | (31.3 | ) | (3.7 | ) | — | (36.8 | ) | ||||||||
Equity in results of subsidiaries | 114.4 | 69.9 | — | (184.3 | ) | — | |||||||||||
Intercompany | 47 | (40.1 | ) | (6.9 | ) | — | — | ||||||||||
144.4 | (1,283.7 | ) | (743.9 | ) | (180.7 | ) | (2,063.9 | ) | |||||||||
Earnings (loss) before interest and taxes | 144.4 | 169.8 | 88.7 | (184.3 | ) | 218.6 | |||||||||||
Interest expense | (41.2 | ) | 0.4 | (3.4 | ) | — | (44.2 | ) | |||||||||
Earnings (loss) before taxes | 103.2 | 170.2 | 85.3 | (184.3 | ) | 174.4 | |||||||||||
Tax provision | 11.9 | (45.6 | ) | (18.0 | ) | — | (51.7 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 0.4 | (1.2 | ) | — | (0.8 | ) | ||||||||||
Net earnings (loss) from continuing operations | 115.1 | 125 | 66.1 | (184.3 | ) | 121.9 | |||||||||||
Discontinued operations, net of tax | — | (2.2 | ) | — | — | (2.2 | ) | ||||||||||
Net earnings (loss) | 115.1 | 122.8 | 66.1 | (184.3 | ) | 119.7 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (4.6 | ) | — | (4.6 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 115.1 | $ | 122.8 | $ | 61.5 | $ | (184.3 | ) | $ | 115.1 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 177 | $ | 182.8 | $ | 104.2 | $ | (287.0 | ) | $ | 177 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 3,957.10 | $ | 2,533.30 | $ | (19.1 | ) | $ | 6,471.30 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | — | (3,300.1 | ) | (2,008.3 | ) | 19.1 | (5,289.3 | ) | |||||||||
Depreciation and amortization | (5.9 | ) | (94.8 | ) | (122.9 | ) | — | (223.6 | ) | ||||||||
Selling, general and administrative | (58.9 | ) | (135.5 | ) | (116.8 | ) | — | (311.2 | ) | ||||||||
Business consolidation and other activities | (0.4 | ) | (79.1 | ) | (9.6 | ) | — | (89.1 | ) | ||||||||
Equity in results of subsidiaries | 346.6 | 185.5 | — | (532.1 | ) | — | |||||||||||
Intercompany | 135.1 | (110.6 | ) | (24.5 | ) | — | — | ||||||||||
416.5 | (3,534.6 | ) | (2,282.1 | ) | (513.0 | ) | (5,913.2 | ) | |||||||||
Earnings (loss) before interest and taxes | 416.5 | 422.5 | 251.2 | (532.1 | ) | 558.1 | |||||||||||
Interest expense | (128.4 | ) | 1.6 | (11.2 | ) | — | (138.0 | ) | |||||||||
Debt refinancing and other | (28.0 | ) | — | — | — | (28.0 | ) | ||||||||||
Total interest expense | (156.4 | ) | 1.6 | (11.2 | ) | — | (166.0 | ) | |||||||||
Earnings (loss) before taxes | 260.1 | 424.1 | 240 | (532.1 | ) | 392.1 | |||||||||||
Tax provision | 22.2 | (72.8 | ) | (42.4 | ) | — | (93.0 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 0.6 | 0.3 | — | 0.9 | ||||||||||||
Net earnings (loss) from continuing operations | 282.3 | 351.9 | 197.9 | (532.1 | ) | 300 | |||||||||||
Discontinued operations, net of tax | — | 0.4 | — | — | 0.4 | ||||||||||||
Net earnings (loss) | 282.3 | 352.3 | 197.9 | (532.1 | ) | 300.4 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (18.1 | ) | — | (18.1 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 282.3 | $ | 352.3 | $ | 179.8 | $ | (532.1 | ) | $ | 282.3 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 306.6 | $ | 382.4 | $ | 192.5 | $ | (574.9 | ) | $ | 306.6 | ||||||
Unaudited Condensed Consolidating Statement of Earnings | |||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
Net sales | $ | — | $ | 4,154.90 | $ | 2,477.50 | $ | (10.9 | ) | $ | 6,621.50 | ||||||
Cost and expenses | |||||||||||||||||
Cost of sales (excluding depreciation and amortization) | 0.1 | (3,476.6 | ) | (1,979.0 | ) | 10.9 | (5,444.6 | ) | |||||||||
Depreciation and amortization | (4.3 | ) | (94.4 | ) | (111.5 | ) | — | (210.2 | ) | ||||||||
Selling, general and administrative | (51.3 | ) | (140.1 | ) | (93.1 | ) | — | (284.5 | ) | ||||||||
Business consolidation and other activities | (4.9 | ) | (32.8 | ) | (6.3 | ) | — | (44.0 | ) | ||||||||
Equity in results of subsidiaries | 371.5 | 193.5 | — | (565.0 | ) | — | |||||||||||
Intercompany | 129.4 | (110.6 | ) | (18.8 | ) | — | — | ||||||||||
440.5 | (3,661.0 | ) | (2,208.7 | ) | (554.1 | ) | (5,983.3 | ) | |||||||||
Earnings (loss) before interest and taxes | 440.5 | 493.9 | 268.8 | (565.0 | ) | 638.2 | |||||||||||
Interest expense | (124.3 | ) | 1 | (10.9 | ) | — | (134.2 | ) | |||||||||
Debt refinancing and other | (15.1 | ) | — | — | — | (15.1 | ) | ||||||||||
Total interest expense | (139.4 | ) | 1 | (10.9 | ) | — | (149.3 | ) | |||||||||
Earnings (loss) before taxes | 301.1 | 494.9 | 257.9 | (565.0 | ) | 488.9 | |||||||||||
Tax provision | 41.8 | (115.6 | ) | (55.9 | ) | — | (129.7 | ) | |||||||||
Equity in results of affiliates, net of tax | — | 1.4 | (2.4 | ) | — | (1.0 | ) | ||||||||||
Net earnings (loss) from continuing operations | 342.9 | 380.7 | 199.6 | (565.0 | ) | 358.2 | |||||||||||
Discontinued operations, net of tax | — | (2.9 | ) | — | — | (2.9 | ) | ||||||||||
Net earnings (loss) | 342.9 | 377.8 | 199.6 | (565.0 | ) | 355.3 | |||||||||||
Less net earnings attributable to noncontrolling interests | — | — | (12.4 | ) | — | (12.4 | ) | ||||||||||
Net earnings (loss) attributable to Ball Corporation | $ | 342.9 | $ | 377.8 | $ | 187.2 | $ | (565.0 | ) | $ | 342.9 | ||||||
Comprehensive earnings attributable to Ball Corporation | $ | 386.9 | $ | 415.6 | $ | 192.3 | $ | (607.9 | ) | $ | 386.9 | ||||||
Schedule of condensed, consolidating balance sheet | Unaudited Condensed Consolidating Balance Sheet | ||||||||||||||||
At September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
ASSETS | |||||||||||||||||
Current assets | |||||||||||||||||
Cash and cash equivalents | $ | 1.8 | $ | 0.3 | $ | 166.1 | $ | — | $ | 168.2 | |||||||
Receivables, net | 1.8 | 184.5 | 901.2 | — | 1,087.50 | ||||||||||||
Intercompany receivables | 289 | 3 | 1.8 | (293.8 | ) | — | |||||||||||
Inventories, net | (0.2 | ) | 579.6 | 400.9 | — | 980.3 | |||||||||||
Other current assets | 11.4 | 98.8 | 79.2 | — | 189.4 | ||||||||||||
Total current assets | 303.8 | 866.2 | 1,549.20 | (293.8 | ) | 2,425.40 | |||||||||||
Non-current assets | |||||||||||||||||
Property, plant and equipment, net | 14.2 | 864.5 | 1,481.40 | — | 2,360.10 | ||||||||||||
Investment in subsidiaries | 4,272.40 | 2,156.20 | 78.6 | (6,507.2 | ) | — | |||||||||||
Goodwill | — | 935.6 | 1,444.20 | — | 2,379.80 | ||||||||||||
Intangibles and other assets, net | 200 | 103.4 | 240.5 | — | 543.9 | ||||||||||||
Total assets | $ | 4,790.40 | $ | 4,925.90 | $ | 4,793.90 | $ | (6,801.0 | ) | $ | 7,709.20 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
Current liabilities | |||||||||||||||||
Short-term debt and current portion of long-term debt | $ | — | $ | — | $ | 104.5 | $ | — | $ | 104.5 | |||||||
Accounts payable | (1.2 | ) | 570.9 | 429.1 | — | 998.8 | |||||||||||
Intercompany payables | — | — | 293.8 | (293.8 | ) | — | |||||||||||
Accrued employee costs | 14 | 140.5 | 77.8 | — | 232.3 | ||||||||||||
Other current liabilities | 18.2 | 95.5 | 120.9 | — | 234.6 | ||||||||||||
Total current liabilities | 31 | 806.9 | 1,026.10 | (293.8 | ) | 1,570.20 | |||||||||||
Non-current liabilities | |||||||||||||||||
Long-term debt | 3,060.60 | — | 356.9 | — | 3,417.50 | ||||||||||||
Employee benefit obligations | 301.8 | 466.8 | 407.1 | — | 1,175.70 | ||||||||||||
Other liabilities | 267.6 | (715.9 | ) | 677.3 | — | 229 | |||||||||||
Total liabilities | 3,661.00 | 557.8 | 2,467.40 | (293.8 | ) | 6,392.40 | |||||||||||
Common stock | 1,068.30 | 847.1 | 626.1 | (1,473.2 | ) | 1,068.30 | |||||||||||
Preferred stock | — | — | 4.8 | (4.8 | ) | — | |||||||||||
Retained earnings | 3,807.30 | 3,786.30 | 1,493.40 | (5,279.7 | ) | 3,807.30 | |||||||||||
Accumulated other comprehensive earnings (loss) | (328.1 | ) | (265.3 | ) | 14.8 | 250.5 | (328.1 | ) | |||||||||
Treasury stock, at cost | (3,418.1 | ) | — | — | — | (3,418.1 | ) | ||||||||||
Total Ball Corporation shareholders’ equity | 1,129.40 | 4,368.10 | 2,139.10 | (6,507.2 | ) | 1,129.40 | |||||||||||
Noncontrolling interests | — | — | 187.4 | — | 187.4 | ||||||||||||
Total shareholders’ equity | 1,129.40 | 4,368.10 | 2,326.50 | (6,507.2 | ) | 1,316.80 | |||||||||||
Total liabilties and shareholders’ equity | $ | 4,790.40 | $ | 4,925.90 | $ | 4,793.90 | $ | (6,801.0 | ) | $ | 7,709.20 | ||||||
Unaudited Condensed Consolidating Balance Sheet | |||||||||||||||||
At December 31, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Eliminating | Consolidated | ||||||||||||
Corporation | Subsidiaries | Subsidiaries | Adjustments | Total | |||||||||||||
ASSETS | |||||||||||||||||
Current assets | |||||||||||||||||
Cash and cash equivalents | $ | 0.2 | $ | 0.3 | $ | 173.6 | $ | — | $ | 174.1 | |||||||
Receivables, net | 11.8 | 182.9 | 735.4 | — | 930.1 | ||||||||||||
Intercompany receivables | 66.5 | 8.8 | — | (75.3 | ) | — | |||||||||||
Inventories, net | (0.8 | ) | 623.7 | 421.5 | — | 1,044.40 | |||||||||||
Other current assets | 20.4 | 96.8 | 73.6 | — | 190.8 | ||||||||||||
Total current assets | 98.1 | 912.5 | 1,404.10 | (75.3 | ) | 2,339.40 | |||||||||||
Non-current assets | |||||||||||||||||
Property, plant and equipment, net | 9.3 | 854.4 | 1,424.90 | — | 2,288.60 | ||||||||||||
Investment in subsidiaries | 3,890.80 | 1,982.30 | 78.6 | (5,951.7 | ) | — | |||||||||||
Goodwill | — | 927 | 1,432.40 | — | 2,359.40 | ||||||||||||
Intangibles and other assets, net | 195 | 98.6 | 226.1 | — | 519.7 | ||||||||||||
Total assets | $ | 4,193.20 | $ | 4,774.80 | $ | 4,566.10 | $ | (6,027.0 | ) | $ | 7,507.10 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||||||
Current liabilities | |||||||||||||||||
Short-term debt and current portion of long-term debt | $ | 25.1 | $ | — | $ | 194.7 | $ | — | $ | 219.8 | |||||||
Accounts payable | 12.8 | 461.4 | 472.7 | — | 946.9 | ||||||||||||
Intercompany payables | — | 0.6 | 74.7 | (75.3 | ) | — | |||||||||||
Accrued employee costs | 27 | 173.5 | 77.9 | — | 278.4 | ||||||||||||
Other current liabilities | 57.9 | 93 | 89.8 | — | 240.7 | ||||||||||||
Total current liabilities | 122.8 | 728.5 | 909.8 | (75.3 | ) | 1,685.80 | |||||||||||
Non-current liabilities | |||||||||||||||||
Long-term debt | 2,565.40 | — | 519.9 | — | 3,085.30 | ||||||||||||
Employee benefit obligations | 300.5 | 526.8 | 410.8 | — | 1,238.10 | ||||||||||||
Other non-current liabilities | 89.9 | (467.9 | ) | 585.9 | — | 207.9 | |||||||||||
Total liabilities | 3,078.60 | 787.4 | 2,426.40 | (75.3 | ) | 6,217.10 | |||||||||||
Common stock | 1,026.30 | 847.1 | 624.9 | (1,472.0 | ) | 1,026.30 | |||||||||||
Preferred stock | — | — | 4.8 | (4.8 | ) | — | |||||||||||
Retained earnings | 3,580.80 | 3,435.70 | 1,332.50 | (4,768.2 | ) | 3,580.80 | |||||||||||
Accumulated other comprehensive earnings (loss) | (352.4 | ) | (295.4 | ) | 2.1 | 293.3 | (352.4 | ) | |||||||||
Treasury stock, at cost | (3,140.1 | ) | — | — | — | (3,140.1 | ) | ||||||||||
Total Ball Corporation shareholders’ equity | 1,114.60 | 3,987.40 | 1,964.30 | (5,951.7 | ) | 1,114.60 | |||||||||||
Noncontrolling interests | — | — | 175.4 | — | 175.4 | ||||||||||||
Total shareholders’ equity | 1,114.60 | 3,987.40 | 2,139.70 | (5,951.7 | ) | 1,290.00 | |||||||||||
Total liabilties and shareholders’ equity | $ | 4,193.20 | $ | 4,774.80 | $ | 4,566.10 | $ | (6,027.0 | ) | $ | 7,507.10 | ||||||
Schedule of condensed, consolidating statement of cash flows | Unaudited Condensed Consolidating Statement of Cash Flows | ||||||||||||||||
For the Nine Months Ended September 30, 2013 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Consolidated | |||||||||||||
Corporation | Subsidiaries | Subsidiaries | Total | ||||||||||||||
Cash provided by (used in) continuing operating activities | $ | (117.1 | ) | $ | 419.5 | $ | 151.8 | $ | 454.2 | ||||||||
Cash provided by (used in) discontinued operating activities | 0.2 | (2.5 | ) | — | (2.3 | ) | |||||||||||
Total cash provided by (used in) operating activities | (116.9 | ) | 417 | 151.8 | 451.9 | ||||||||||||
Cash flows from investing activities | |||||||||||||||||
Capital expenditures | (4.4 | ) | (122.9 | ) | (182.3 | ) | (309.6 | ) | |||||||||
Business acquisition, net of cash acquired | — | (12.5 | ) | (1.7 | ) | (14.2 | ) | ||||||||||
Other, net | (6.5 | ) | 0.6 | 8.1 | 2.2 | ||||||||||||
Cash provided by (used in) investing activities | (10.9 | ) | (134.8 | ) | (175.9 | ) | (321.6 | ) | |||||||||
Cash flows from financing activities | |||||||||||||||||
Long-term borrowings | 1,373.00 | — | 173.6 | 1,546.60 | |||||||||||||
Repayments of long-term borrowings | (882.7 | ) | — | (394.8 | ) | (1,277.5 | ) | ||||||||||
Net change in short-term borrowings | (25.0 | ) | — | (30.4 | ) | (55.4 | ) | ||||||||||
Proceeds from issuances of common stock | 24.3 | — | — | 24.3 | |||||||||||||
Acquisitions of treasury stock | (292.2 | ) | — | — | (292.2 | ) | |||||||||||
Common dividends | (56.8 | ) | — | — | (56.8 | ) | |||||||||||
Intercompany | 1.4 | (282.2 | ) | 280.8 | — | ||||||||||||
Other, net | (9.1 | ) | — | (6.5 | ) | (15.6 | ) | ||||||||||
Cash provided by (used in) financing activities | 132.9 | (282.2 | ) | 22.7 | (126.6 | ) | |||||||||||
Effect of exchange rate changes on cash | (3.5 | ) | — | (6.1 | ) | (9.6 | ) | ||||||||||
Change in cash and cash equivalents | 1.6 | — | (7.5 | ) | (5.9 | ) | |||||||||||
Cash and cash equivalents — beginning of period | 0.2 | 0.3 | 173.6 | 174.1 | |||||||||||||
Cash and cash equivalents — end of period | $ | 1.8 | $ | 0.3 | $ | 166.1 | $ | 168.2 | |||||||||
Unaudited Condensed Consolidating Statement of Cash Flows | |||||||||||||||||
For the Nine Months Ended September 30, 2012 | |||||||||||||||||
($ in millions) | Ball | Guarantor | Non-Guarantor | Consolidated | |||||||||||||
Corporation | Subsidiaries | Subsidiaries | Total | ||||||||||||||
Cash provided by (used in) continuing operating activities | $ | (77.9 | ) | $ | 314 | $ | 153.2 | $ | 389.3 | ||||||||
Cash provided by (used in) discontinued operating activities | (1.8 | ) | 0.8 | — | (1.0 | ) | |||||||||||
Total cash provided by (used in) operating activities | (79.7 | ) | 314.8 | 153.2 | 388.3 | ||||||||||||
Cash flows from investing activities | |||||||||||||||||
Capital expenditures | (3.5 | ) | (67.3 | ) | (136.1 | ) | (206.9 | ) | |||||||||
Business acquisition, net of cash acquired | — | — | (15.3 | ) | (15.3 | ) | |||||||||||
Other, net | 19.9 | 1.7 | (3.6 | ) | 18 | ||||||||||||
Cash provided by (used in) investing activities | 16.4 | (65.6 | ) | (155.0 | ) | (204.2 | ) | ||||||||||
Cash flows from financing activities | |||||||||||||||||
Long-term borrowings | 1,237.50 | 0.1 | 32.2 | 1,269.80 | |||||||||||||
Repayments of long-term borrowings | (950.1 | ) | (0.1 | ) | (32.5 | ) | (982.7 | ) | |||||||||
Net change in short-term borrowings | 7 | — | (105.8 | ) | (98.8 | ) | |||||||||||
Proceeds from issuances of common stock | 40.8 | — | — | 40.8 | |||||||||||||
Acquisitions of treasury stock | (345.7 | ) | — | — | (345.7 | ) | |||||||||||
Common dividends | (46.6 | ) | — | — | (46.6 | ) | |||||||||||
Intercompany | 100.2 | (250.0 | ) | 149.8 | — | ||||||||||||
Other, net | (6.2 | ) | — | (0.4 | ) | (6.6 | ) | ||||||||||
Cash provided by (used in) financing activities | 36.9 | (250.0 | ) | 43.3 | (169.8 | ) | |||||||||||
Effect of exchange rate changes on cash | 4 | 0.5 | (3.4 | ) | 1.1 | ||||||||||||
Change in cash and cash equivalents | (22.4 | ) | (0.3 | ) | 38.1 | 15.4 | |||||||||||
Cash and cash equivalents — beginning of period | 24 | 0.5 | 141.3 | 165.8 | |||||||||||||
Cash and cash equivalents — end of period | $ | 1.6 | $ | 0.2 | $ | 179.4 | $ | 181.2 |
Business_Segment_Information_D
Business Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
segment | |||||
Business Segment Information | |||||
Number of reportable segments | 4 | ||||
Business Segment Information | |||||
Net sales | $2,277.90 | $2,282.50 | $6,471.30 | $6,621.50 | |
Business consolidation and other activities | -43.8 | -36.8 | -89.1 | -44 | |
Earnings before interest and taxes | 211.6 | 218.6 | 558.1 | 638.2 | |
Interest expense | -45.5 | -44.2 | -138 | -134.2 | |
Debt refinancing costs | -1.3 | -28 | -15.1 | ||
Total interest expense | -46.8 | -44.2 | -166 | -149.3 | |
Tax provision | -44.1 | -51.7 | -93 | -129.7 | |
Equity in results of affiliates, net of tax | 0.9 | -0.8 | 0.9 | -1 | |
Net earnings from continuing operations | 121.6 | 121.9 | 300 | 358.2 | |
Discontinued operations, net of tax | 0.3 | -2.2 | 0.4 | -2.9 | |
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 | |
Less net earnings attributable to noncontrolling interests | -6.7 | -4.6 | -18.1 | -12.4 | |
Net earnings attributable to Ball Corporation | 115.2 | 115.1 | 282.3 | 342.9 | |
Segment Assets | |||||
Assets | 7,709.20 | 7,709.20 | 7,507.10 | ||
Total of segments | |||||
Business Segment Information | |||||
Earnings before interest and taxes | 227 | 234.1 | 614.5 | 691.5 | |
Segment Assets | |||||
Assets | 7,615.40 | 7,615.40 | 7,429 | ||
Metal beverage packaging, Americas and Asia | |||||
Business Segment Information | |||||
Net sales | 1,109.20 | 1,169.60 | 3,190.70 | 3,426.90 | |
Earnings before business consolidation and other activities, and before interest and taxes | 134.8 | 142.2 | 364.5 | 384.5 | |
Business consolidation and other activities | -14.1 | -31.5 | -26.6 | -32.9 | |
Earnings before interest and taxes | 120.7 | 110.7 | 337.9 | 351.6 | |
Segment Assets | |||||
Assets | 3,307.60 | 3,307.60 | 3,227.50 | ||
Metal beverage packaging, Europe | |||||
Business Segment Information | |||||
Net sales | 488.9 | 450.8 | 1,400.50 | 1,377 | |
Earnings before business consolidation and other activities, and before interest and taxes | 60.5 | 54.3 | 143.2 | 152.7 | |
Business consolidation and other activities | -1.7 | -3.5 | -4.6 | -6.2 | |
Earnings before interest and taxes | 58.8 | 50.8 | 138.6 | 146.5 | |
Segment Assets | |||||
Assets | 2,325.90 | 2,325.90 | 2,299.80 | ||
Metal food and household products packaging | |||||
Business Segment Information | |||||
Net sales | 463.6 | 445.8 | 1,213.40 | 1,196.70 | |
Earnings before business consolidation and other activities, and before interest and taxes | 58.4 | 50.1 | 140.6 | 131 | |
Business consolidation and other activities | -28.9 | -57.4 | |||
Earnings before interest and taxes | 29.5 | 50.1 | 83.2 | 131 | |
Segment Assets | |||||
Assets | 1,635.30 | 1,635.30 | 1,568.90 | ||
Aerospace & technologies | |||||
Business Segment Information | |||||
Net sales | 217.5 | 219.9 | 675 | 631.8 | |
Earnings before business consolidation and other activities, and before interest and taxes | 18 | 22.5 | 55 | 62.4 | |
Business consolidation and other activities | -0.2 | ||||
Earnings before interest and taxes | 18 | 22.5 | 54.8 | 62.4 | |
Segment Assets | |||||
Assets | 346.6 | 346.6 | 332.8 | ||
Corporate assets and intercompany eliminations | |||||
Segment Assets | |||||
Assets | 93.8 | 93.8 | 78.1 | ||
Corporate and intercompany eliminations | |||||
Business Segment Information | |||||
Net sales | -1.3 | -3.6 | -8.3 | -10.9 | |
Undistributed and corporate expenses and intercompany eliminations, net | -16.3 | -13.7 | -56.1 | -48.4 | |
Business consolidation and other activities | 0.9 | -1.8 | -0.3 | -4.9 | |
Total undistributed and corporate expenses and intercompany eliminations, net | ($15.40) | ($15.50) | ($56.40) | ($53.30) |
Acquisitions_Details
Acquisitions (Details) (Envasas del Plata S A de C V, USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | item | |
Envasas del Plata S A de C V | ||
Acquisitions | ||
Business acquired in cash | $57.70 | |
Business acquired, assumed debt | 72.7 | |
Number of people employed in facilities | 150 | |
Goodwill recorded on acquisition | $64 |
Business_Consolidation_and_Oth2
Business Consolidation and Other Activities (Details) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | |||||||||||||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Jul. 31, 2013 | Aug. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Metal beverage packaging, Americas and Asia | Metal beverage packaging, Americas and Asia | Metal beverage packaging, Americas and Asia | Metal beverage packaging, Americas and Asia | Metal beverage packaging, Americas and Asia | Metal beverage packaging, Americas and Asia | Metal beverage packaging, Europe | Metal beverage packaging, Europe | Metal beverage packaging, Europe | Metal beverage packaging, Europe | Metal Food and Household Products Packaging | Metal Food and Household Products Packaging | Metal Food and Household Products Packaging | Metal Food and Household Products Packaging | Metal Beverage Packaging, Europe, and Corporate | Metal Beverage Packaging, Europe, and Corporate | Metal Beverage Packaging, Europe, and Corporate | Metal Beverage Packaging, Europe, and Corporate | Aerospace and technologies | Corporate and Other Costs | Corporate and Other Costs | Corporate and Other Costs | Corporate and Other Costs | ||||||
oz | oz | oz | ||||||||||||||||||||||||||
Business consolidation and other activities | ||||||||||||||||||||||||||||
Business consolidation and other activities | ($43.80) | ($36.80) | ($89.10) | ($44) | ($14.10) | ($31.50) | ($26.60) | ($32.90) | ($1.70) | ($3.50) | ($4.60) | ($6.20) | ($28.90) | ($57.40) | ($0.20) | $0.90 | ($1.80) | ($0.30) | ($4.90) | |||||||||
Compensation agreement, pretax amount | 72 | |||||||||||||||||||||||||||
Charges for closure and relocation costs | 6.8 | 8.1 | ||||||||||||||||||||||||||
Charges to eliminate 12-ounce beverage can production from facility | 1.6 | 8.7 | ||||||||||||||||||||||||||
Weight of container (in ounces) | 12 | 12 | 12 | |||||||||||||||||||||||||
Accelerated depreciation | 6.6 | 4.6 | 7.8 | |||||||||||||||||||||||||
Other costs which will not be compensated | 1.5 | |||||||||||||||||||||||||||
Proceeds from the compensation agreement | 28.4 | |||||||||||||||||||||||||||
Proceeds from the compensation agreement, amount deferred | 17.3 | 17.3 | ||||||||||||||||||||||||||
Obsolescence of tooling and spares | 4.6 | |||||||||||||||||||||||||||
Severance, pension and other employee benefits | 20.1 | 1.6 | 16 | |||||||||||||||||||||||||
Net income related to previously closed facilities | 0.9 | 0.6 | ||||||||||||||||||||||||||
Other closure costs | 2.5 | 1.7 | 5.5 | |||||||||||||||||||||||||
Accounts receivable provision | 27 | |||||||||||||||||||||||||||
Accounts receivable balance | 1,061.20 | 1,061.20 | 878.3 | 46.5 | 46.5 | |||||||||||||||||||||||
Charges related to facilities closure | 5.3 | 8.4 | 1.9 | 28 | ||||||||||||||||||||||||
Write down of land and buildings down to net realizable value | 4.2 | |||||||||||||||||||||||||||
Severance | 6.6 | |||||||||||||||||||||||||||
Write off of land and building | 7.8 | |||||||||||||||||||||||||||
Charges related to disposal and transfer of machinery and equipment | 3.3 | |||||||||||||||||||||||||||
Charges related to migrate certain hourly employees from a multi-employer defined benefit pension plan to a Ball-sponsored defined benefit pension plan | 5.9 | |||||||||||||||||||||||||||
Additional tax expense in connection with the relocation of the company's European headquarters from Germany to Switzerland | 1.3 | |||||||||||||||||||||||||||
Income related to settlement of defined benefit pension liabilities | 3.5 | |||||||||||||||||||||||||||
Charges related to previously closed facilities and other insignificant costs | 0.4 | 0.2 | 1.4 | 1.6 | 1.1 | 1.5 | ||||||||||||||||||||||
Summary of reserve activity by segment related to restructuring activities | ||||||||||||||||||||||||||||
Balance at the beginning of the period | 25.1 | 16.4 | 3 | 3 | 1.9 | 3.8 | ||||||||||||||||||||||
Charges to earnings | 15.3 | 31.3 | -3.3 | 18.4 | 4.2 | 9.6 | 0.2 | |||||||||||||||||||||
Cash payments and other activity | -23.5 | -11.3 | -6.3 | -1.9 | -4 | |||||||||||||||||||||||
Balance at the end of the period | 16.9 | 16.9 | 1.8 | 1.8 | 15.1 | 15.1 | ||||||||||||||||||||||
Assets held for sale in connection with facilities closures | $36.80 | $36.80 | $31.40 |
Receivables_Details
Receivables (Details) | 9 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | USD ($) | Latapack-Ball | Latapack-Ball | |
USD ($) | BRL | |||
Receivables | ||||
Trade accounts receivable | $1,061.20 | $878.30 | ||
Less allowance for doubtful accounts | -39.3 | -13.7 | ||
Net trade accounts receivable | 1,021.90 | 864.6 | ||
Other receivables | 65.6 | 65.5 | ||
Receivables, net | 1,087.50 | 930.1 | ||
Accounts, Notes, Loans and Financing Receivable | ||||
Maximum available sale of the receivables under factoring program | 245 | 24 | 55 | |
Receivables sold under factoring program | $149.50 | $75 | $0 |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Inventories | ||
Raw materials and supplies | $441.60 | $426.70 |
Work in process and finished goods | 588.1 | 664.5 |
Less inventory reserves | -49.4 | -46.8 |
Inventories, net | $980.30 | $1,044.40 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Property, plant and equipment | |||||
Property, plant and equipment, gross | $4,867 | $4,867 | $4,665.10 | ||
Accumulated depreciation | -2,506.90 | -2,506.90 | -2,376.50 | ||
Net property, plant and equipment | 2,360.10 | 2,360.10 | 2,288.60 | ||
Depreciation expense | 66.8 | 64.4 | 194.9 | 190.2 | |
Land | |||||
Property, plant and equipment | |||||
Property, plant and equipment, gross | 79.2 | 79.2 | 82.6 | ||
Buildings | |||||
Property, plant and equipment | |||||
Property, plant and equipment, gross | 963.5 | 963.5 | 934.3 | ||
Machinery and equipment | |||||
Property, plant and equipment | |||||
Property, plant and equipment, gross | 3,541.10 | 3,541.10 | 3,407.60 | ||
Construction-in-progress | |||||
Property, plant and equipment | |||||
Property, plant and equipment, gross | $283.20 | $283.20 | $240.60 |
Goodwill_Details
Goodwill (Details) (USD $) | 9 Months Ended | 9 Months Ended | ||||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Metal Beverage Packaging, Americas and Asia | Metal Beverage Packaging, Americas and Asia | Metal Beverage Packaging, Europe | Metal Food and Household Products Packaging | Aerospace & technologies | ||
Goodwill | ||||||
Balance at the beginning of the period | $2,359.40 | $740.70 | $740.70 | $993.20 | $625.50 | |
Business acquisitions and related opening balance sheet adjustments | -6.5 | -15.1 | 8.6 | |||
Effects of currency exchange rates | 26.9 | 23 | 3.9 | |||
Balance at the end of the period | $2,379.80 | $740.70 | $740.70 | $1,016.20 | $614.30 | $8.60 |
Intangibles_and_Other_Assets_D
Intangibles and Other Assets (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Intangibles and Other Assets | |||||
Investments in affiliates | $33.60 | $33.60 | $32.20 | ||
Intangible assets (net of accumulated amortization) | 171.5 | 171.5 | 162.9 | ||
Accumulated amortization | 87 | 87 | 68.1 | ||
Capitalized software (net of accumulated amortization) | 61.6 | 61.6 | 50.4 | ||
Accumulated amortization | 87.7 | 87.7 | 78.4 | ||
Company and trust-owned life insurance | 139.9 | 139.9 | 114.7 | ||
Deferred financing costs | 47.8 | 47.8 | 37.3 | ||
Other | 89.5 | 89.5 | 122.2 | ||
Intangibles and Other Assets | 543.9 | 543.9 | 519.7 | ||
Amortization expense of intangible assets | $9.80 | $10.30 | $28.70 | $20 |
Debt_Details
Debt (Details) | 3 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | 1 Months Ended | |||||||||||||||||||||||||||||||||||||
In Millions, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | 31-May-13 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Mar. 09, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | 31-May-13 | Sep. 30, 2013 | Sep. 30, 2012 | Jul. 01, 2012 | Apr. 01, 2012 | Mar. 09, 2012 | Jun. 30, 2013 | 31-May-13 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Aug. 31, 2011 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
USD ($) | USD ($) | USD ($) | 7.125% Senior Notes, due September 2016 | 7.125% Senior Notes, due September 2016 | 7.125% Senior Notes, due September 2016 | 7.375% Senior Notes, due September 2019 | 7.375% Senior Notes, due September 2019 | 6.75% Senior Notes, due September 2020 | 6.75% Senior Notes, due September 2020 | 5.75% Senior Notes, due May 2021 | 5.75% Senior Notes, due May 2021 | 5.00% Senior Notes, due March 2022 | 5.00% Senior Notes, due March 2022 | 5.00% Senior Notes, due March 2022 | 4.00% Senior Notes, due November 2023 | 4.00% Senior Notes, due November 2023 | 6.625% Senior Notes, due March 2018 | 6.625% Senior Notes, due March 2018 | 6.625% Senior Notes, due March 2018 | 6.625% Senior Notes, due March 2018 | Senior Credit Facilities, due June 2018 | Term A Loan, U.S. dollar denominated | Term A Loan, U.S. dollar denominated | Term B Loan, British sterling denominated | Term B Loan, British sterling denominated | Term B Loan, British sterling denominated | Term B Loan, British sterling denominated | Term C Loan, euro denominated | Term C Loan, euro denominated | Term C Loan, euro denominated | Term C Loan, euro denominated | Multi-currency revolver, euro denominated | Multi-currency revolver, euro denominated | Latapack-Ball Notes Payable (at various rates and terms) | Latapack-Ball Notes Payable (at various rates and terms) | Accounts receivable securitization agreement, current | Accounts receivable securitization agreement, current | Accounts receivable securitization agreement, current | Accounts receivable securitization agreement, current | Accounts receivable securitization agreement, current | Committed multi-currency revolving credit facilities | Short-term uncommitted credit facilities | |
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | GBP (£) | USD ($) | GBP (£) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | Maximum | Minimum | USD ($) | USD ($) | ||||||
USD ($) | USD ($) | ||||||||||||||||||||||||||||||||||||||||||
Long-term debt | |||||||||||||||||||||||||||||||||||||||||||
Notes issued | $750 | $1,000 | |||||||||||||||||||||||||||||||||||||||||
Interest rate (as a percent) | 7.13% | 7.13% | 7.38% | 7.38% | 6.75% | 6.75% | 5.75% | 5.75% | 5.00% | 5.00% | 4.00% | ||||||||||||||||||||||||||||||||
Notes tendered for redemption | 375 | 450 | |||||||||||||||||||||||||||||||||||||||||
Redemption price of senior notes (as a percent) | 105.32% | 102.58% | |||||||||||||||||||||||||||||||||||||||||
Notes repaid | 125 | ||||||||||||||||||||||||||||||||||||||||||
Other (including discounts and premiums) | -2.6 | 32.4 | |||||||||||||||||||||||||||||||||||||||||
Total long-term debt | 3,464.10 | 3,189.40 | 375 | 315.4 | 325 | 500 | 500 | 500 | 500 | 750 | 750 | 1,000 | 125 | 60.2 | 37.3 | 75.2 | 46.5 | 110.4 | 81.6 | 120.6 | 91.3 | 210.1 | 159 | 230.7 | 176.1 | ||||||||||||||||||
Less: Current portion of long-term debt | -46.6 | -104.1 | |||||||||||||||||||||||||||||||||||||||||
Long-term debt excluding current maturities | 3,417.50 | 3,085.30 | |||||||||||||||||||||||||||||||||||||||||
Maximum borrowing capacity of revolving credit facility | 210 | 85 | 1,000 | ||||||||||||||||||||||||||||||||||||||||
Available borrowing capacity under line of credit facility | 984 | 658 | |||||||||||||||||||||||||||||||||||||||||
Write-off of unamortized financing costs | 0.4 | ||||||||||||||||||||||||||||||||||||||||||
Amount of credit facility outstanding and due on demand | 57.9 | ||||||||||||||||||||||||||||||||||||||||||
Term of securitization agreement | 3 years | ||||||||||||||||||||||||||||||||||||||||||
Accounts receivable sold under the securitization program | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||
Notes redeemed | 57.3 | 392.7 | |||||||||||||||||||||||||||||||||||||||||
Redemption and refinancing charges | $26.50 | $15.10 | |||||||||||||||||||||||||||||||||||||||||
Interest coverage ratio, minimum | 3.5 | ||||||||||||||||||||||||||||||||||||||||||
Leverage ratio, maximum | 4 |
Employee_Benefit_Obligations_D
Employee Benefit Obligations (Details) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
In Millions, unless otherwise specified | USD ($) | USD ($) | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | Defined Benefit Pension Plans | U.S. | U.S. | U.S. | U.S. | Foreign | Foreign | Foreign | Foreign |
USD ($) | USD ($) | USD ($) | USD ($) | Funded plans | Funded plans | Funded plans | Unfunded German plans | Unfunded German plans | Unfunded German plans | Unfunded German plans | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||
USD ($) | USD ($) | Forecast | USD ($) | EUR (€) | Forecast | Forecast | |||||||||||||||
USD ($) | USD ($) | EUR (€) | |||||||||||||||||||
Employee Benefit Obligations | |||||||||||||||||||||
Underfunded defined benefit pension liabilities, net | $762.70 | $820.20 | |||||||||||||||||||
Less current portion and prepaid pension assets | -23.8 | -25 | |||||||||||||||||||
Long-term defined benefit pension liability | 738.9 | 795.2 | |||||||||||||||||||
Retiree medical and other postemployment benefits | 175 | 177 | |||||||||||||||||||
Deferred compensation plans | 239.5 | 237.8 | |||||||||||||||||||
Other | 22.3 | 28.1 | |||||||||||||||||||
Employee benefit obligations | 1,175.70 | 1,238.10 | |||||||||||||||||||
Ball-sponsored plans: | |||||||||||||||||||||
Service cost | 14.6 | 13.7 | 44 | 41 | 12.1 | 11.7 | 36.5 | 35.1 | 2.5 | 2 | 7.5 | 5.9 | |||||||||
Interest cost | 19.7 | 21.3 | 59.2 | 63.9 | 13.8 | 14.2 | 41.4 | 42.4 | 5.9 | 7.1 | 17.8 | 21.5 | |||||||||
Expected return on plan assets | -22.7 | -22.9 | -68.2 | -68.3 | -19.3 | -18.6 | -58 | -55.5 | -3.4 | -4.3 | -10.2 | -12.8 | |||||||||
Amortization of prior service cost | -0.1 | 0.1 | -0.3 | 0.4 | 0.2 | 0.7 | -0.1 | -0.1 | -0.3 | -0.3 | |||||||||||
Recognized net actuarial loss | 11.9 | 10.2 | 35.7 | 30.4 | 10.7 | 8.4 | 32 | 25.1 | 1.2 | 1.8 | 3.7 | 5.3 | |||||||||
Curtailment loss | 0.1 | 4.1 | 0.3 | 0.1 | 4.1 | 0.3 | |||||||||||||||
Net periodic benefit cost for Ball-sponsored plans | 23.4 | 22.5 | 74.5 | 67.7 | 17.3 | 16 | 56 | 48.1 | 6.1 | 6.5 | 18.5 | 19.6 | |||||||||
Multi-employer plans: | |||||||||||||||||||||
Net periodic benefit cost, excluding curtailment loss | 2 | 2 | 2 | 2 | |||||||||||||||||
Curtailment loss | 9.8 | 9.8 | |||||||||||||||||||
Net periodic benefit cost for multi-employer plans | 0.7 | 0.6 | 11.8 | 2 | 0.7 | 0.6 | 11.8 | 2 | |||||||||||||
Total net periodic benefit cost | 24.1 | 23.1 | 86.3 | 69.7 | 18 | 16.6 | 67.8 | 50.1 | 6.1 | 6.5 | 18.5 | 19.6 | |||||||||
Contributions to pension plans | 89.7 | 108.7 | 16.7 | 12.7 | |||||||||||||||||
Expected contributions to pension plans for the full year | 95 | ||||||||||||||||||||
Expected benefit payments to plan participants for the full year | $23 | € 17 |
Shareholders_Equity_and_Compre2
Shareholders' Equity and Comprehensive Earnings (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Accumulated Other Comprehensive Earnings (Loss) | |
Balance at the beginning of the period | ($352.40) |
Other comprehensive earnings (loss) before reclassifications | -11.1 |
Amounts reclassified from accumulated other comprehensive earnings (loss) | 35.4 |
Balance at the end of the period | -328.1 |
Foreign Currency Translation | |
Accumulated Other Comprehensive Earnings (Loss) | |
Balance at the beginning of the period | 117.5 |
Other comprehensive earnings (loss) before reclassifications | 29.7 |
Balance at the end of the period | 147.2 |
Pension and Other Postretirement Benefits (Net of Tax) | |
Accumulated Other Comprehensive Earnings (Loss) | |
Balance at the beginning of the period | -461 |
Other comprehensive earnings (loss) before reclassifications | -3.8 |
Amounts reclassified from accumulated other comprehensive earnings (loss) | 21.5 |
Balance at the end of the period | -443.3 |
Effective Derivatives (Net of Tax) | |
Accumulated Other Comprehensive Earnings (Loss) | |
Balance at the beginning of the period | -8.9 |
Other comprehensive earnings (loss) before reclassifications | -37 |
Amounts reclassified from accumulated other comprehensive earnings (loss) | 13.9 |
Balance at the end of the period | ($32) |
Shareholders_Equity_and_Compre3
Shareholders' Equity and Comprehensive Earnings (Details 2) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Amounts Reclassified from AOCI | ||||
Net sales | $2,277.90 | $2,282.50 | $6,471.30 | $6,621.50 |
Cost of sales | -2,066.30 | -2,063.90 | -5,913.20 | -5,983.30 |
Interest expense | -46.8 | -44.2 | -166 | -149.3 |
Earnings before taxes | 164.8 | 174.4 | 392.1 | 488.9 |
Tax benefit (expense) on amounts reclassified into earnings | -44.1 | -51.7 | -93 | -129.7 |
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 |
Gain (losses) on cash flow hedges | Amount Reclassified from Accumulated Other Comprehensive Earnings (Loss) | ||||
Amounts Reclassified from AOCI | ||||
Earnings before taxes | -10.7 | -19.2 | ||
Tax benefit (expense) on amounts reclassified into earnings | 2.7 | 5.3 | ||
Net earnings | -8 | -13.9 | ||
Gain (losses) on cash flow hedges | Amount Reclassified from Accumulated Other Comprehensive Earnings (Loss) | Commodity contracts | ||||
Amounts Reclassified from AOCI | ||||
Net sales | 2.8 | 5.2 | ||
Gain (losses) on cash flow hedges | Amount Reclassified from Accumulated Other Comprehensive Earnings (Loss) | Commodity contract and currency exchange contracts | ||||
Amounts Reclassified from AOCI | ||||
Cost of sales | -13.2 | -23.6 | ||
Gain (losses) on cash flow hedges | Amount Reclassified from Accumulated Other Comprehensive Earnings (Loss) | Interest rate contracts | ||||
Amounts Reclassified from AOCI | ||||
Interest expense | -0.3 | -0.8 | ||
Amortization of pension and other postretirement benefits | Amount Reclassified from Accumulated Other Comprehensive Earnings (Loss) | ||||
Amounts Reclassified from AOCI | ||||
Prior service income (cost) | 0.1 | 0.3 | ||
Actuarial gains (losses) | -11.9 | -35.7 | ||
Earnings before taxes | -11.8 | -35.4 | ||
Tax benefit (expense) on amounts reclassified into earnings | 4.7 | 13.9 | ||
Net earnings | ($7.10) | ($21.50) |
Shareholders_Equity_and_Compre4
Shareholders' Equity and Comprehensive Earnings (Details 3) (USD $) | 0 Months Ended | 1 Months Ended | ||||
In Millions, except Share data, unless otherwise specified | Feb. 03, 2012 | Nov. 02, 2011 | 31-May-12 | Feb. 29, 2012 | Jan. 31, 2012 | Oct. 31, 2011 |
Share repurchase agreement | ||||||
Accelerated share repurchase agreement amount | $200 | $100 | ||||
Weighted average price per share for the contract period | $40.66 | $34.66 | ||||
Payment made under the agreement | $200 | $100 | ||||
Shares received | 4,584,819 | 2,523,836 | 334,039 | 361,615 | ||
Percentage of treasury stock acquired of total stock | 90.00% | 90.00% |
StockBased_Compensation_Progra2
Stock-Based Compensation Programs (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | 1 Months Ended | |||||||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Jan. 31, 2013 | Jan. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Jan. 31, 2013 | Jan. 31, 2012 | Sep. 30, 2013 | Jan. 31, 2013 | Jan. 31, 2013 | Apr. 24, 2013 |
Stock option and SSARs | Stock option and SSARs | Stock option and SSARs | Stock option and SSARs | Stock options | Stock options | Restricted shares and restricted stock units | Performance-contingent restricted stock units | Performance-contingent restricted stock units | Performance-contingent restricted stock units | Performance-contingent restricted stock units | Performance-contingent restricted stock units | Options, SSARs and restricted shares | |||||
installment | Minimum | Maximum | |||||||||||||||
Stock-Based Compensation Programs | |||||||||||||||||
Number of equal installments commencing one year from the date of grant | 4 | ||||||||||||||||
Vesting period | 5 years | ||||||||||||||||
Expiration period of options | P10Y | ||||||||||||||||
Outstanding Options, Number of Shares | |||||||||||||||||
Beginning of year (in shares) | 9,982,104 | 9,982,104 | |||||||||||||||
Granted (in shares) | 1,364,870 | ||||||||||||||||
Exercised (in shares) | -1,046,369 | ||||||||||||||||
Canceled/forfeited (in shares) | -48,625 | ||||||||||||||||
End of the period (in shares) | 10,251,980 | 9,982,104 | |||||||||||||||
Vested and exercisable, end of period (in shares) | 6,866,980 | ||||||||||||||||
Reserved for future grants (in shares) | 12,412,861 | ||||||||||||||||
Shares authorized for future grants | 12,500,000 | ||||||||||||||||
Outstanding Options, Weighted Average Exercise Price | |||||||||||||||||
Beginning of year (in dollars per share) | $26.71 | $26.71 | |||||||||||||||
Granted (in dollars per share) | $45.93 | ||||||||||||||||
Exercised (in dollars per share) | $23.14 | ||||||||||||||||
Canceled/forfeited (in dollars per share) | $37.62 | ||||||||||||||||
End of period (in dollars per share) | $29.59 | $26.71 | |||||||||||||||
Vested and exercisable, end of period (in dollars per share) | $24.79 | ||||||||||||||||
Weighted average remaining contractual term of options outstanding | 6 years | ||||||||||||||||
Aggregate intrinsic value of options outstanding | $158.20 | ||||||||||||||||
Weighted average remaining contractual term of options vested and exercisable | 4 years 9 months 18 days | ||||||||||||||||
Aggregate intrinsic value of options vested and exercisable | 138 | ||||||||||||||||
Weighted average fair value at grant date (in dollars per share) | $8.69 | $9.44 | |||||||||||||||
Cash received from options exercised | 5.2 | 14.1 | |||||||||||||||
Intrinsic value of options exercised | 4.6 | 13.8 | |||||||||||||||
Tax benefit from exercise of options | 10.5 | ||||||||||||||||
Weighted average assumptions used in estimation of fair values of options | |||||||||||||||||
Expected dividend yield (as a percent) | 1.13% | 1.06% | |||||||||||||||
Expected stock price volatility (as a percent) | 22.02% | 30.22% | |||||||||||||||
Risk-free interest rate (as a percent) | 1.02% | 0.84% | |||||||||||||||
Expected life of options | 5 years 6 months | 5 years 3 months 4 days | |||||||||||||||
Restricted stock activity, Number of shares | |||||||||||||||||
Beginning of the period (in shares) | 1,763,636 | ||||||||||||||||
Granted (in shares) | 185,845 | 148,875 | 223,600 | ||||||||||||||
Vested (in shares) | -493,910 | ||||||||||||||||
Canceled/forfeited (in shares) | -5,502 | ||||||||||||||||
End of the period (in shares) | 1,450,069 | ||||||||||||||||
Restricted stock activity, Weighted average grant price | |||||||||||||||||
Beginning of the period (in dollars per share) | $28.97 | ||||||||||||||||
Granted (in dollars per share) | $46.11 | ||||||||||||||||
Vested (in dollars per share) | $26.61 | ||||||||||||||||
Canceled/forfeited (in dollars per share) | $34.21 | ||||||||||||||||
End of the period (in dollars per share) | $31.95 | ||||||||||||||||
Vest range of participant's assigned award opportunity (as a percent) | 0.00% | 200.00% | |||||||||||||||
Company performance period for vesting of award | 36 months | ||||||||||||||||
Share based compensation expense | 5.6 | 6.6 | 19 | 20.2 | |||||||||||||
Expenses for share-based compensation arrangements, after tax | 3.5 | 4 | 11.6 | 12.3 | |||||||||||||
Unrecognized compensation cost related to nonvested share-based compensation arrangements | $38.90 | $38.90 | |||||||||||||||
Expected weighted-average period for recognition of unrecognized stock-based compensation costs | 2 years 2 months 12 days |
Earnings_and_Dividends_Per_Sha2
Earnings and Dividends Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2012 | Jul. 01, 2012 | Apr. 01, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Earnings and Dividends Per Share | ||||||||
Net earnings attributable to Ball Corporation | $115.20 | $115.10 | $282.30 | $342.90 | ||||
Basic weighted average common shares | 144,714,000 | 153,604,000 | 146,910,000 | 155,561,000 | ||||
Effect of dilutive securities (in shares) | 3,181,000 | 3,504,000 | 3,212,000 | 3,402,000 | ||||
Weighted average shares applicable to diluted earnings per share | 147,895,000 | 157,108,000 | 150,122,000 | 158,963,000 | ||||
Per basic share | $0.80 | $0.75 | $1.92 | $2.20 | ||||
Per diluted share | $0.78 | $0.73 | $1.88 | $2.16 | ||||
Number of outstanding options and SSARs excluded from computation of diluted earnings per share | 1,400,000 | 1,500,000 | 1,500,000 | 2,100,000 | ||||
Dividends declared (in dollars per share) | $0.13 | $0.13 | $0.13 | $0.10 | $0.10 | $0.10 | ||
Dividends paid (in dollars per share) | $0.13 | $0.13 | $0.13 | $0.10 | $0.10 | $0.10 |
Financial_Instruments_and_Risk2
Financial Instruments and Risk Management (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Mar. 31, 2014 |
In Millions, except Share data, unless otherwise specified | Commodity contracts | Interest rate swap agreements | Currency Exchange Rate Risk | Equity contracts | Equity contracts | ||
item | |||||||
Financial Instruments and Risk Management | |||||||
Number of methods through which entity manages commodity price risk in connection with market price fluctuations of aluminum ingot | 2 | ||||||
Notional amount of derivatives | $515 | $147 | $723 | ||||
Notional amount of derivatives which used hedge accounting treatment | 93 | ||||||
Period within which derivative will expire | 4 years | 5 years | 2 years | ||||
Loss on derivatives included in accumulated other comprehensive earnings (loss), net of tax | -31.3 | -0.6 | |||||
Net loss expected to be recognized in the consolidated statement of earnings during the next 12 months | -20 | -0.9 | |||||
Change in company's stock price (in dollars per share) | $1 | ||||||
Impact of change in the company's stock price on pretax earnings | 1.4 | ||||||
Notional value of the swap (in shares) | 300,000 | 1,000,000 | |||||
Combined fair value of the swaps | 1 | ||||||
Aggregate fair value of derivative instruments with credit-risk-related contingent features that were in a net liability position | 42.9 | 11 | |||||
Collateral amount posted for derivative instruments with credit-risk-related contingent features that were in a net liability position | $0 | $0 |
Financial_Instruments_and_Risk3
Financial Instruments and Risk Management (Details 2) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Fair Value Measurements | ||
Total current derivative contracts, assets | $8.20 | $13.20 |
Total current derivative contracts, liabilities | 29.8 | 18.4 |
Total noncurrent derivative contracts, liabilities | 20.8 | 6.3 |
Discount factor | 12-month LIBOR | |
Fair value of the net receivables related to the European scrap metal program | 14.1 | 16.7 |
Commodity contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 5.9 | 10.2 |
Total noncurrent derivative contracts, assets | 0.3 | 4.2 |
Total current derivative contracts, liabilities | 15.9 | 9.7 |
Total noncurrent derivative contracts, liabilities | 20.6 | 5.4 |
Foreign currency contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 2.3 | 2.4 |
Total current derivative contracts, liabilities | 12.1 | 7.7 |
Total noncurrent derivative contracts, liabilities | 0.2 | 0.4 |
Other contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 0.6 | |
Interest rate contracts | ||
Fair Value Measurements | ||
Total noncurrent derivative contracts, liabilities | 0.5 | |
Interest rate and other contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, liabilities | 1.8 | 1 |
Derivatives Designated As Hedging Instruments | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 3.8 | 9.3 |
Total current derivative contracts, liabilities | 15.6 | 12.5 |
Total noncurrent derivative contracts, liabilities | 20.4 | 6.3 |
Derivatives Designated As Hedging Instruments | Commodity contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 3.5 | 9.2 |
Total noncurrent derivative contracts, assets | 0.3 | 4.2 |
Total current derivative contracts, liabilities | 13.2 | 9 |
Total noncurrent derivative contracts, liabilities | 20.2 | 5.4 |
Derivatives Designated As Hedging Instruments | Foreign currency contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 0.3 | 0.1 |
Total current derivative contracts, liabilities | 1.6 | 2.5 |
Total noncurrent derivative contracts, liabilities | 0.2 | 0.4 |
Derivatives Designated As Hedging Instruments | Interest rate contracts | ||
Fair Value Measurements | ||
Total noncurrent derivative contracts, liabilities | 0.5 | |
Derivatives Designated As Hedging Instruments | Interest rate and other contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, liabilities | 0.8 | 1 |
Derivatives Not Designated As Hedging Instruments | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 4.4 | 3.9 |
Total current derivative contracts, liabilities | 14.2 | 5.9 |
Total noncurrent derivative contracts, liabilities | 0.4 | |
Derivatives Not Designated As Hedging Instruments | Commodity contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 2.4 | 1 |
Total current derivative contracts, liabilities | 2.7 | 0.7 |
Total noncurrent derivative contracts, liabilities | 0.4 | |
Derivatives Not Designated As Hedging Instruments | Foreign currency contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 2 | 2.3 |
Total current derivative contracts, liabilities | 10.5 | 5.2 |
Derivatives Not Designated As Hedging Instruments | Other contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, assets | 0.6 | |
Derivatives Not Designated As Hedging Instruments | Interest rate and other contracts | ||
Fair Value Measurements | ||
Total current derivative contracts, liabilities | $1 |
Financial_Instruments_and_Risk4
Financial Instruments and Risk Management (Details 3) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Impact on Earnings from Derivative Instruments | ||||
Cash Flow Hedge - Reclassified Amount From Other Comprehensive Earnings (Loss) - Gain (Loss) | ($10.70) | ($19.60) | ($19.20) | ($37.80) |
Gain (Loss) on Derivatives Not Designated As Hedge Instruments | 0.2 | -9.5 | 0.3 | -18 |
Amounts reclassified into earnings: | ||||
Commodity contracts | 10 | 19.2 | 17.7 | 36.2 |
Interest rate contracts | 0.3 | 0.1 | 0.8 | 0.2 |
Currency exchange contracts | 0.4 | 0.3 | 0.7 | 1.4 |
Change in fair value of cash flow hedges: | ||||
Commodity contracts | -1.7 | 26 | -46.1 | 8.6 |
Interest rate contracts | -0.5 | -0.5 | 0.4 | -1.3 |
Currency exchange contracts | -1.4 | -1.1 | 1.9 | -3.5 |
Foreign Currency and tax impacts | -3.4 | -15.3 | 1.5 | -15.9 |
Changes in accumulated other comprehensive earnings (loss) for effective derivatives | 3.7 | 28.7 | -23.1 | 25.7 |
Commodity contracts | ||||
Impact on Earnings from Derivative Instruments | ||||
Cash Flow Hedge - Reclassified Amount From Other Comprehensive Earnings (Loss) - Gain (Loss) | -10 | -19.2 | -17.7 | -36.2 |
Gain (Loss) on Derivatives Not Designated As Hedge Instruments | -0.4 | -1.9 | 2.2 | |
Interest rate contracts | ||||
Impact on Earnings from Derivative Instruments | ||||
Cash Flow Hedge - Reclassified Amount From Other Comprehensive Earnings (Loss) - Gain (Loss) | -0.3 | -0.1 | -0.8 | -0.2 |
Foreign currency contracts | ||||
Impact on Earnings from Derivative Instruments | ||||
Cash Flow Hedge - Reclassified Amount From Other Comprehensive Earnings (Loss) - Gain (Loss) | -0.4 | -0.3 | -0.7 | -1.4 |
Gain (Loss) on Derivatives Not Designated As Hedge Instruments | 0.3 | -10.2 | 3.7 | -21.6 |
Equity contracts | ||||
Impact on Earnings from Derivative Instruments | ||||
Gain (Loss) on Derivatives Not Designated As Hedge Instruments | 0.3 | 0.5 | -1.5 | 1.4 |
Inflation option contracts | ||||
Impact on Earnings from Derivative Instruments | ||||
Gain (Loss) on Derivatives Not Designated As Hedge Instruments | $0.20 |
Contingencies_Details
Contingencies (Details) (USD $) | 12 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 1992 | Sep. 30, 2013 |
Environmental litigation with respect to Lowry Landfill site | Waste Management litigation | |
entity | ||
Contingencies | ||
Approximate number of other companies named in a lawsuit with respect to Lowry Landfill | 38 | |
Response cost related to site, minimum before the company may be asked to make payments | $319 | |
Period before projected completion of project when response cost is expected to exceed minimum amount | 3 years | |
Estimated additional cleanup costs | 10 | |
Estimated additional site costs for the potentially responsible party (PRP) group | $1 |
Subsidiary_Guarantees_of_Debt_1
Subsidiary Guarantees of Debt (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
CONDENSED, CONSOLIDATING STATEMENT OF EARNINGS | ||||
Net sales | $2,277.90 | $2,282.50 | $6,471.30 | $6,621.50 |
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | -1,846.90 | -1,866.10 | -5,289.30 | -5,444.60 |
Depreciation and amortization | -76.6 | -74.7 | -223.6 | -210.2 |
Selling, general and administrative | -99 | -86.3 | -311.2 | -284.5 |
Business consolidation and other activities | -43.8 | -36.8 | -89.1 | -44 |
Total costs and expenses | -2,066.30 | -2,063.90 | -5,913.20 | -5,983.30 |
Earnings before interest and taxes | 211.6 | 218.6 | 558.1 | 638.2 |
Interest expense | -45.5 | -44.2 | -138 | -134.2 |
Debt refinancing and other | -1.3 | -28 | -15.1 | |
Total interest expense | -46.8 | -44.2 | -166 | -149.3 |
Earnings before taxes | 164.8 | 174.4 | 392.1 | 488.9 |
Tax provision | -44.1 | -51.7 | -93 | -129.7 |
Equity in results of affiliates, net of tax | 0.9 | -0.8 | 0.9 | -1 |
Net earnings from continuing operations | 121.6 | 121.9 | 300 | 358.2 |
Discontinued operations, net of tax | 0.3 | -2.2 | 0.4 | -2.9 |
Net earnings | 121.9 | 119.7 | 300.4 | 355.3 |
Less net earnings attributable to noncontrolling interests | -6.7 | -4.6 | -18.1 | -12.4 |
Net earnings attributable to Ball Corporation | 115.2 | 115.1 | 282.3 | 342.9 |
Comprehensive earnings attributable to Ball Corporation | 179.5 | 177 | 306.6 | 386.9 |
Ownership interest in guarantor subsidiaries (as a percent) | 100.00% | |||
Ball Corporation | ||||
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | 0.2 | 0.1 | ||
Depreciation and amortization | -1.6 | -1.5 | -5.9 | -4.3 |
Selling, general and administrative | -16.7 | -13.9 | -58.9 | -51.3 |
Business consolidation and other activities | 0.9 | -1.8 | -0.4 | -4.9 |
Equity in results of subsidiaries | 137.5 | 114.4 | 346.6 | 371.5 |
Intercompany | 46.7 | 47 | 135.1 | 129.4 |
Total costs and expenses | 166.8 | 144.4 | 416.5 | 440.5 |
Earnings before interest and taxes | 166.8 | 144.4 | 416.5 | 440.5 |
Interest expense | -43.3 | -41.2 | -128.4 | -124.3 |
Debt refinancing and other | -1.3 | -28 | -15.1 | |
Total interest expense | -44.6 | -156.4 | -139.4 | |
Earnings before taxes | 122.2 | 103.2 | 260.1 | 301.1 |
Tax provision | -7 | 11.9 | 22.2 | 41.8 |
Net earnings from continuing operations | 115.2 | 115.1 | 282.3 | 342.9 |
Net earnings | 115.2 | 115.1 | 282.3 | 342.9 |
Net earnings attributable to Ball Corporation | 115.2 | 115.1 | 282.3 | 342.9 |
Comprehensive earnings attributable to Ball Corporation | 179.5 | 177 | 306.6 | 386.9 |
Guarantor Subsidiaries | ||||
CONDENSED, CONSOLIDATING STATEMENT OF EARNINGS | ||||
Net sales | 1,392.60 | 1,453.50 | 3,957.10 | 4,154.90 |
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | -1,152 | -1,204 | -3,300.10 | -3,476.60 |
Depreciation and amortization | -33 | -35.7 | -94.8 | -94.4 |
Selling, general and administrative | -42.7 | -42.5 | -135.5 | -140.1 |
Business consolidation and other activities | -36.2 | -31.3 | -79.1 | -32.8 |
Equity in results of subsidiaries | 73.7 | 69.9 | 185.5 | 193.5 |
Intercompany | -37.7 | -40.1 | -110.6 | -110.6 |
Total costs and expenses | -1,227.90 | -1,283.70 | -3,534.60 | -3,661 |
Earnings before interest and taxes | 164.7 | 169.8 | 422.5 | 493.9 |
Interest expense | 0.6 | 0.4 | 1.6 | 1 |
Total interest expense | 0.6 | 1.6 | 1 | |
Earnings before taxes | 165.3 | 170.2 | 424.1 | 494.9 |
Tax provision | -24.6 | -45.6 | -72.8 | -115.6 |
Equity in results of affiliates, net of tax | 0.6 | 0.4 | 0.6 | 1.4 |
Net earnings from continuing operations | 141.3 | 125 | 351.9 | 380.7 |
Discontinued operations, net of tax | 0.3 | -2.2 | 0.4 | -2.9 |
Net earnings | 141.6 | 122.8 | 352.3 | 377.8 |
Net earnings attributable to Ball Corporation | 141.6 | 122.8 | 352.3 | 377.8 |
Comprehensive earnings attributable to Ball Corporation | 204.3 | 182.8 | 382.4 | 415.6 |
Non-Guarantor Subsidiaries | ||||
CONDENSED, CONSOLIDATING STATEMENT OF EARNINGS | ||||
Net sales | 890.3 | 832.6 | 2,533.30 | 2,477.50 |
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | -699.9 | -665.9 | -2,008.30 | -1,979 |
Depreciation and amortization | -42 | -37.5 | -122.9 | -111.5 |
Selling, general and administrative | -39.6 | -29.9 | -116.8 | -93.1 |
Business consolidation and other activities | -8.5 | -3.7 | -9.6 | -6.3 |
Intercompany | -9 | -6.9 | -24.5 | -18.8 |
Total costs and expenses | -799 | -743.9 | -2,282.10 | -2,208.70 |
Earnings before interest and taxes | 91.3 | 88.7 | 251.2 | 268.8 |
Interest expense | -2.8 | 3.4 | -11.2 | -10.9 |
Total interest expense | -2.8 | -11.2 | -10.9 | |
Earnings before taxes | 88.5 | 85.3 | 240 | 257.9 |
Tax provision | -12.5 | -18 | -42.4 | -55.9 |
Equity in results of affiliates, net of tax | 0.3 | -1.2 | 0.3 | -2.4 |
Net earnings from continuing operations | 76.3 | 66.1 | 197.9 | 199.6 |
Net earnings | 76.3 | 66.1 | 197.9 | 199.6 |
Less net earnings attributable to noncontrolling interests | -6.7 | -4.6 | -18.1 | -12.4 |
Net earnings attributable to Ball Corporation | 69.6 | 61.5 | 179.8 | 187.2 |
Comprehensive earnings attributable to Ball Corporation | 125.9 | 104.2 | 192.5 | 192.3 |
Eliminating Adjustments | ||||
CONDENSED, CONSOLIDATING STATEMENT OF EARNINGS | ||||
Net sales | -5 | -3.6 | -19.1 | -10.9 |
Costs and expenses | ||||
Cost of sales (excluding depreciation and amortization) | 5 | 3.6 | 19.1 | 10.9 |
Equity in results of subsidiaries | -211.2 | -184.3 | -532.1 | -565 |
Total costs and expenses | -206.2 | -180.7 | -513 | -554.1 |
Earnings before interest and taxes | -211.2 | -184.3 | -532.1 | -565 |
Earnings before taxes | -211.2 | -184.3 | -532.1 | -565 |
Net earnings from continuing operations | -211.2 | -184.3 | -532.1 | -565 |
Net earnings | -211.2 | -184.3 | -532.1 | -565 |
Net earnings attributable to Ball Corporation | -211.2 | -184.3 | -532.1 | -565 |
Comprehensive earnings attributable to Ball Corporation | ($330.20) | ($287) | ($574.90) | ($607.90) |
Subsidiary_Guarantees_of_Debt_2
Subsidiary Guarantees of Debt (Details 2) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2011 |
In Millions, unless otherwise specified | ||||
Current assets | ||||
Cash and cash equivalents | $168.20 | $174.10 | $181.20 | $165.80 |
Receivables, net | 1,087.50 | 930.1 | ||
Inventories, net | 980.3 | 1,044.40 | ||
Other current assets | 189.4 | 190.8 | ||
Total current assets | 2,425.40 | 2,339.40 | ||
Non-current assets | ||||
Property, plant and equipment, net | 2,360.10 | 2,288.60 | ||
Goodwill | 2,379.80 | 2,359.40 | ||
Intangibles and other assets, net | 543.9 | 519.7 | ||
Total assets | 7,709.20 | 7,507.10 | ||
Current liabilities | ||||
Short-term debt and current portion of long-term debt | 104.5 | 219.8 | ||
Accounts payable | 998.8 | 946.9 | ||
Accrued employee costs | 232.3 | 278.4 | ||
Other current liabilities | 234.6 | 240.7 | ||
Total current liabilities | 1,570.20 | 1,685.80 | ||
Non-current liabilities | ||||
Long-term debt | 3,417.50 | 3,085.30 | ||
Employee benefit obligations | 1,175.70 | 1,238.10 | ||
Other liabilities | 229 | 207.9 | ||
Total liabilities | 6,392.40 | 6,217.10 | ||
Common stock | 1,068.30 | 1,026.30 | ||
Retained earnings | 3,807.30 | 3,580.80 | ||
Accumulated other comprehensive earnings (loss) | -328.1 | -352.4 | ||
Treasury stock, at cost | -3,418.10 | -3,140.10 | ||
Total Ball Corporation shareholders' equity | 1,129.40 | 1,114.60 | ||
Noncontrolling interests | 187.4 | 175.4 | ||
Total shareholders' equity | 1,316.80 | 1,290 | ||
Total liabilities and shareholders' equity | 7,709.20 | 7,507.10 | ||
Ball Corporation | ||||
Current assets | ||||
Cash and cash equivalents | 1.8 | 0.2 | 1.6 | 24 |
Receivables, net | 1.8 | 11.8 | ||
Intercompany receivables | 289 | 66.5 | ||
Inventories, net | -0.2 | -0.8 | ||
Other current assets | 11.4 | 20.4 | ||
Total current assets | 303.8 | 98.1 | ||
Non-current assets | ||||
Property, plant and equipment, net | 14.2 | 9.3 | ||
Investment in subsidiaries | 4,272.40 | 3,890.80 | ||
Intangibles and other assets, net | 200 | 195 | ||
Total assets | 4,790.40 | 4,193.20 | ||
Current liabilities | ||||
Short-term debt and current portion of long-term debt | 25.1 | |||
Accounts payable | -1.2 | 12.8 | ||
Accrued employee costs | 14 | 27 | ||
Other current liabilities | 18.2 | 57.9 | ||
Total current liabilities | 31 | 122.8 | ||
Non-current liabilities | ||||
Long-term debt | 3,060.60 | 2,565.40 | ||
Employee benefit obligations | 301.8 | 300.5 | ||
Other liabilities | 267.6 | 89.9 | ||
Total liabilities | 3,661 | 3,078.60 | ||
Common stock | 1,068.30 | 1,026.30 | ||
Retained earnings | 3,807.30 | 3,580.80 | ||
Accumulated other comprehensive earnings (loss) | -328.1 | -352.4 | ||
Treasury stock, at cost | -3,418.10 | -3,140.10 | ||
Total Ball Corporation shareholders' equity | 1,129.40 | 1,114.60 | ||
Total shareholders' equity | 1,129.40 | 1,114.60 | ||
Total liabilities and shareholders' equity | 4,790.40 | 4,193.20 | ||
Guarantor Subsidiaries | ||||
Current assets | ||||
Cash and cash equivalents | 0.3 | 0.3 | 0.2 | 0.5 |
Receivables, net | 184.5 | 182.9 | ||
Intercompany receivables | 3 | 8.8 | ||
Inventories, net | 579.6 | 623.7 | ||
Other current assets | 98.8 | 96.8 | ||
Total current assets | 866.2 | 912.5 | ||
Non-current assets | ||||
Property, plant and equipment, net | 864.5 | 854.4 | ||
Investment in subsidiaries | 2,156.20 | 1,982.30 | ||
Goodwill | 935.6 | 927 | ||
Intangibles and other assets, net | 103.4 | 98.6 | ||
Total assets | 4,925.90 | 4,774.80 | ||
Current liabilities | ||||
Accounts payable | 570.9 | 461.4 | ||
Intercompany payables | 0.6 | |||
Accrued employee costs | 140.5 | 173.5 | ||
Other current liabilities | 95.5 | 93 | ||
Total current liabilities | 806.9 | 728.5 | ||
Non-current liabilities | ||||
Employee benefit obligations | 466.8 | 526.8 | ||
Other liabilities | -715.9 | -467.9 | ||
Total liabilities | 557.8 | 787.4 | ||
Common stock | 847.1 | 847.1 | ||
Retained earnings | 3,786.30 | 3,435.70 | ||
Accumulated other comprehensive earnings (loss) | -265.3 | -295.4 | ||
Total Ball Corporation shareholders' equity | 4,368.10 | 3,987.40 | ||
Total shareholders' equity | 4,368.10 | 3,987.40 | ||
Total liabilities and shareholders' equity | 4,925.90 | 4,774.80 | ||
Non-Guarantor Subsidiaries | ||||
Current assets | ||||
Cash and cash equivalents | 166.1 | 173.6 | 179.4 | 141.3 |
Receivables, net | 901.2 | 735.4 | ||
Intercompany receivables | 1.8 | |||
Inventories, net | 400.9 | 421.5 | ||
Other current assets | 79.2 | 73.6 | ||
Total current assets | 1,549.20 | 1,404.10 | ||
Non-current assets | ||||
Property, plant and equipment, net | 1,481.40 | 1,424.90 | ||
Investment in subsidiaries | 78.6 | 78.6 | ||
Goodwill | 1,444.20 | 1,432.40 | ||
Intangibles and other assets, net | 240.5 | 226.1 | ||
Total assets | 4,793.90 | 4,566.10 | ||
Current liabilities | ||||
Short-term debt and current portion of long-term debt | 104.5 | 194.7 | ||
Accounts payable | 429.1 | 472.7 | ||
Intercompany payables | 293.8 | 74.7 | ||
Accrued employee costs | 77.8 | 77.9 | ||
Other current liabilities | 120.9 | 89.8 | ||
Total current liabilities | 1,026.10 | 909.8 | ||
Non-current liabilities | ||||
Long-term debt | 356.9 | 519.9 | ||
Employee benefit obligations | 407.1 | 410.8 | ||
Other liabilities | 677.3 | 585.9 | ||
Total liabilities | 2,467.40 | 2,426.40 | ||
Common stock | 626.1 | 624.9 | ||
Preferred stock | 4.8 | 4.8 | ||
Retained earnings | 1,493.40 | 1,332.50 | ||
Accumulated other comprehensive earnings (loss) | 14.8 | 2.1 | ||
Total Ball Corporation shareholders' equity | 2,139.10 | 1,964.30 | ||
Noncontrolling interests | 187.4 | 175.4 | ||
Total shareholders' equity | 2,326.50 | 2,139.70 | ||
Total liabilities and shareholders' equity | 4,793.90 | 4,566.10 | ||
Eliminating Adjustments | ||||
Current assets | ||||
Intercompany receivables | -293.8 | -75.3 | ||
Total current assets | -293.8 | -75.3 | ||
Non-current assets | ||||
Investment in subsidiaries | -6,507.20 | -5,951.70 | ||
Total assets | -6,801 | -6,027 | ||
Current liabilities | ||||
Intercompany payables | -293.8 | -75.3 | ||
Total current liabilities | -293.8 | -75.3 | ||
Non-current liabilities | ||||
Total liabilities | -293.8 | -75.3 | ||
Common stock | -1,473.20 | -1,472 | ||
Preferred stock | -4.8 | -4.8 | ||
Retained earnings | -5,279.70 | -4,768.20 | ||
Accumulated other comprehensive earnings (loss) | 250.5 | 293.3 | ||
Total Ball Corporation shareholders' equity | -6,507.20 | -5,951.70 | ||
Total shareholders' equity | -6,507.20 | -5,951.70 | ||
Total liabilities and shareholders' equity | ($6,801) | ($6,027) |
Subsidiary_Guarantees_of_Debt_3
Subsidiary Guarantees of Debt (Details 3) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
CONDENSED, CONSOLIDATING STATEMENT OF CASH FLOWS | ||
Cash provided by (used in) continuing operating activities | $454.20 | $389.30 |
Cash provided by (used in) discontinued operating activities | -2.3 | -1 |
Total cash provided by (used in) operating activities | 451.9 | 388.3 |
Cash flows from investing activities | ||
Capital expenditures | -309.6 | -206.9 |
Business acquisition, net of cash acquired | -14.2 | -15.3 |
Other, net | 2.2 | 18 |
Cash provided by (used in) investing activities | -321.6 | -204.2 |
Cash flows from financing activities | ||
Long-term borrowings | 1,546.60 | 1,269.80 |
Repayments of long-term borrowings | -1,277.50 | -982.7 |
Net change in short-term borrowings | -55.4 | -98.8 |
Proceeds from issuances of common stock | 24.3 | 40.8 |
Acquisitions of treasury stock | -292.2 | -345.7 |
Common dividends | -56.8 | -46.6 |
Other, net | -15.6 | -6.6 |
Cash provided by (used in) financing activities | -126.6 | -169.8 |
Effect of exchange rate changes on cash | -9.6 | 1.1 |
Change in cash and cash equivalents | -5.9 | 15.4 |
Cash and cash equivalents - beginning of period | 174.1 | 165.8 |
Cash and cash equivalents - end of period | 168.2 | 181.2 |
Ball Corporation | ||
CONDENSED, CONSOLIDATING STATEMENT OF CASH FLOWS | ||
Cash provided by (used in) continuing operating activities | -117.1 | -77.9 |
Cash provided by (used in) discontinued operating activities | 0.2 | -1.8 |
Total cash provided by (used in) operating activities | -116.9 | -79.7 |
Cash flows from investing activities | ||
Capital expenditures | -4.4 | -3.5 |
Other, net | -6.5 | 19.9 |
Cash provided by (used in) investing activities | -10.9 | 16.4 |
Cash flows from financing activities | ||
Long-term borrowings | 1,373 | 1,237.50 |
Repayments of long-term borrowings | -882.7 | -950.1 |
Net change in short-term borrowings | -25 | 7 |
Proceeds from issuances of common stock | 24.3 | 40.8 |
Acquisitions of treasury stock | -292.2 | -345.7 |
Common dividends | -56.8 | -46.6 |
Intercompany | 1.4 | 100.2 |
Other, net | -9.1 | -6.2 |
Cash provided by (used in) financing activities | 132.9 | 36.9 |
Effect of exchange rate changes on cash | -3.5 | 4 |
Change in cash and cash equivalents | 1.6 | -22.4 |
Cash and cash equivalents - beginning of period | 0.2 | 24 |
Cash and cash equivalents - end of period | 1.8 | 1.6 |
Guarantor Subsidiaries | ||
CONDENSED, CONSOLIDATING STATEMENT OF CASH FLOWS | ||
Cash provided by (used in) continuing operating activities | 419.5 | 314 |
Cash provided by (used in) discontinued operating activities | -2.5 | 0.8 |
Total cash provided by (used in) operating activities | 417 | 314.8 |
Cash flows from investing activities | ||
Capital expenditures | -122.9 | -67.3 |
Business acquisition, net of cash acquired | -12.5 | |
Other, net | 0.6 | 1.7 |
Cash provided by (used in) investing activities | -134.8 | -65.6 |
Cash flows from financing activities | ||
Long-term borrowings | 0.1 | |
Repayments of long-term borrowings | -0.1 | |
Intercompany | -282.2 | -250 |
Cash provided by (used in) financing activities | -282.2 | -250 |
Effect of exchange rate changes on cash | 0.5 | |
Change in cash and cash equivalents | -0.3 | |
Cash and cash equivalents - beginning of period | 0.3 | 0.5 |
Cash and cash equivalents - end of period | 0.3 | 0.2 |
Non-Guarantor Subsidiaries | ||
CONDENSED, CONSOLIDATING STATEMENT OF CASH FLOWS | ||
Cash provided by (used in) continuing operating activities | 151.8 | 153.2 |
Total cash provided by (used in) operating activities | 151.8 | 153.2 |
Cash flows from investing activities | ||
Capital expenditures | -182.3 | -136.1 |
Business acquisition, net of cash acquired | -1.7 | -15.3 |
Other, net | 8.1 | -3.6 |
Cash provided by (used in) investing activities | -175.9 | -155 |
Cash flows from financing activities | ||
Long-term borrowings | 173.6 | 32.2 |
Repayments of long-term borrowings | -394.8 | -32.5 |
Net change in short-term borrowings | -30.4 | -105.8 |
Intercompany | 280.8 | 149.8 |
Other, net | -6.5 | -0.4 |
Cash provided by (used in) financing activities | 22.7 | 43.3 |
Effect of exchange rate changes on cash | -6.1 | -3.4 |
Change in cash and cash equivalents | -7.5 | 38.1 |
Cash and cash equivalents - beginning of period | 173.6 | 141.3 |
Cash and cash equivalents - end of period | $166.10 | $179.40 |