Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2015shares | |
Document and Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Sep. 30, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | Q3 |
Entity Registrant Name | Timken Co. |
Entity Central Index Key | 98,362 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 82,993,555 |
Consolidated Statements of Inco
Consolidated Statements of Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Net sales | $ 707.4 | $ 788 | $ 2,157.9 | $ 2,314 |
Cost of products sold | 512 | 562.5 | 1,554.9 | 1,636.8 |
Gross Profit | 195.4 | 225.5 | 603 | 677.2 |
Selling, general and administrative expenses | 120.7 | 132.2 | 375.3 | 410.8 |
Impairment and restructuring charges | 4.4 | 99.4 | 12 | 108 |
Pension Settlement Charges | 3.6 | 0 | 223.2 | 0.7 |
Operating Income | 66.7 | (6.1) | (7.5) | 157.7 |
Interest expense | (8.6) | (9.1) | (25) | (20.4) |
Investment Income, Interest | 0.6 | 1 | 2 | 3.1 |
Gains (Losses) on Sales of Other Real Estate | 0 | 0 | 0 | 22.6 |
Other income (expense), net | (0.8) | 1.8 | (1.1) | (1.9) |
Income From Continuing Operations Before Income Taxes | 57.9 | (12.4) | (31.6) | 161.1 |
Provision for income taxes | (6.6) | (2.2) | 1 | 53.4 |
Income (Loss) from Continuing Operations, Including Portion Attributable to Noncontrolling Interest | 64.5 | (10.2) | (32.6) | 107.7 |
Income from Discontinued Operations, Net of Tax, Attributable to Parent | 0 | (11) | 0 | 18.7 |
Net Income | 64.5 | (21.2) | (32.6) | 126.4 |
Net income attributable to noncontrolling interest | 1.1 | 0.7 | 2.5 | 2.1 |
Net (loss) Income attributable to The Timken Company | 63.4 | (21.9) | (35.1) | 124.3 |
Income (Loss) from Continuing Operations Attributable to Parent | $ 63.4 | $ (10.9) | $ (35.1) | $ 105.6 |
Net Income per Common Share attributable to The Timken Company Common Shareholders | ||||
Income (Loss) from Continuing Operations, Per Basic Share | $ 0.76 | $ (0.12) | $ (0.41) | $ 1.16 |
Discontinued Operation, Income (Loss) from Discontinued Operation, Net of Tax, Per Basic Share | 0 | (0.12) | 0 | 0.21 |
Basic earnings per share | 0.76 | (0.24) | (0.41) | 1.37 |
Income (Loss) from Continuing Operations, Per Diluted Share | 0.75 | (0.12) | (0.41) | 1.15 |
Discontinued Operation, Income (Loss) from Discontinued Operation, Net of Tax, Per Diluted Share | 0 | (0.12) | 0 | 0.20 |
Diluted earnings per share | 0.75 | (0.24) | (0.41) | 1.35 |
Common Stock, Dividends, Per Share, Declared | $ 0.26 | $ 0.25 | $ 0.77 | $ 0.75 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 64.5 | $ (21.2) | $ (32.6) | $ 126.4 |
Other comprehensive income, net of tax: | ||||
Foreign currency translation adjustments | (30.9) | (25.9) | (52.1) | (17.6) |
Pension and postretirement liability adjustment (net of the income tax benefit of $60.3 million) | 13 | 15.4 | 120.5 | 1.9 |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 1.2 | (0.7) | 0.9 | (0.9) |
Other comprehensive income | (16.7) | (11.2) | 69.3 | (16.6) |
Comprehensive Income | 47.8 | (32.4) | 36.7 | 109.8 |
Less: comprehensive (loss) income attributable to noncontrolling interest | 0 | 0.2 | 0.9 | 2 |
Comprehensive Income attributable to The Timken Company | $ 47.8 | $ (32.6) | $ 35.8 | $ 107.8 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Current Assets | ||
Cash and cash equivalents | $ 155 | $ 278.8 |
Restricted cash | 14.8 | 15.3 |
Accounts receivable, less allowances (2015 – $17.2 million; 2014 – $13.7 million) | 469.8 | 475.7 |
Inventories, net | 595.4 | 585.5 |
Deferred income taxes | 48 | 49.9 |
Deferred charges and prepaid expenses | 25.1 | 25.2 |
Other current assets | 70.8 | 51.5 |
Total Current Assets | 1,378.9 | 1,481.9 |
Property, Plant and Equipment, net | 783.1 | 780.5 |
Other Assets | ||
Goodwill | 327.1 | 259.5 |
Non-current pension assets | 114.1 | 176.2 |
Other intangible assets | 277.8 | 239.8 |
Deferred income taxes | 18.3 | 11.2 |
Other non-current assets | 47.3 | 52.3 |
Total Other Assets | 784.6 | 739 |
Total Assets | 2,946.6 | 3,001.4 |
Current Liabilities | ||
Short-term debt | 83.6 | 7.4 |
Current portion of long-term debt | 15.1 | 0.6 |
Accounts payable, trade | 176 | 143.9 |
Salaries, wages and benefits | 110 | 146.7 |
Income taxes payable | 75 | 80.2 |
Other current liabilities | 145.9 | 155 |
Total Current Liabilities | 605.6 | 533.8 |
Non-Current Liabilities | ||
Long-term debt | 625.9 | 522.1 |
Accrued pension cost | 158.8 | 165.9 |
Accrued postretirement benefits cost | 130.1 | 141.8 |
Deferred income taxes | 3.8 | 4.1 |
Other non-current liabilities | 70.8 | 44.6 |
Total Non-Current Liabilities | 989.4 | 878.5 |
Shareholders' Equity | ||
Class I and II Serial Preferred Stock, without par value: Authorized – 10,000,000 shares each class, none issued | 0 | 0 |
Common Stock, Value, Issued | 53.1 | 53.1 |
Other paid-in capital | 901 | 899.4 |
Earnings invested in the business | 1,514.6 | 1,615.4 |
Accumulated other comprehensive loss | (411.6) | (482.5) |
Treasury shares at cost (2015 - 15,381,580 shares; 2014 - 9,783,375 shares) | (722.8) | (509.2) |
Total Shareholders' Equity | 1,334.3 | 1,576.2 |
Noncontrolling Interest | 17.3 | 12.9 |
Total Equity | 1,351.6 | 1,589.1 |
Total Liabilities and Shareholders' Equity | $ 2,946.6 | $ 3,001.4 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ / shares in Millions, $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Allowances for accounts receivable | $ 17.2 | $ 13.7 |
Preferred stock, no par value (Class I & Class II Preferred stock) | $ 0 | $ 0 |
Preferred stock, shares authorized (Class I & Class II Preferred stock) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (Class I & Class II Preferred stock) | 0 | 0 |
Common stock, no par value | $ 0 | $ 0 |
Company common stock shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 98,375,135 | 98,375,135 |
Treasury shares | 15,381,580 | 9,783,375 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Operating Activities | ||
Net (loss) income attributable to The Timken Company | $ (35.1) | $ 124.3 |
Income from Discontinued Operations, Net of Tax, Attributable to Parent | 0 | (18.7) |
Net income attributable to noncontrolling interest | 2.5 | 2.1 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 97.8 | 103.4 |
Impairment charges | 3.3 | 98.8 |
Loss on sale of assets | 2.1 | (20.9) |
Deferred income tax provision | (81.1) | (16.6) |
Stock-based compensation expense | 14.1 | 18.5 |
Excess Tax Benefit from Share-based Compensation, Operating Activities | (1.5) | (6.4) |
Pension and other postretirement expense | 251.5 | 22.5 |
Pension contributions and other postretirement benefit payments | (23.5) | (47.6) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1.9) | (52.6) |
Inventories | 7.1 | (52.1) |
Accounts payable, trade | 27 | 47.3 |
Other accrued expenses | (56) | (7.4) |
Income taxes | 23.5 | (31) |
Other, net | 16.5 | 9.2 |
Net Cash Provided by (Used in) Operating Activities, Continuing Operations | 246.3 | 172.8 |
Cash Provided by (Used in) Operating Activities, Discontinued Operations | 0 | 22.6 |
Net Cash Provided by Operating Activities | 246.3 | 195.4 |
Investing Activities | ||
Capital expenditures | (65.1) | (87.1) |
Acquisitions, net of cash received | (213.6) | (12) |
Proceeds from disposals of property, plant and equipment | 11 | 15.1 |
Increase (Decrease) in Marketable Securities, Restricted | (0.6) | 3.9 |
Other | (0.5) | 0 |
Net Cash Used in Investing Activities, Continuing Operations | (268.8) | (80.1) |
Cash Used in Investing Activities, Discontinued Operations | 0 | (77) |
Net Cash Used by Investing Activities | (268.8) | (157.1) |
Financing Activities | ||
Cash dividends paid to shareholders | (65.7) | (68.2) |
Purchase of treasury shares | (227.9) | (266.5) |
Net proceeds from common share activity | 4 | 16.7 |
Excess Tax Benefit from Share-based Compensation, Financing Activities | 1.5 | 6.4 |
Proceeds from Issuance of Long-term Debt | 225.7 | 346.2 |
Payments of Financing Costs | (2) | 0 |
Proceeds from Accounts Receivable Securitization | 116 | 90 |
Payments to Acquire Retained Interest in Securitized Receivables | (38) | (90) |
Payments on long-term debt | (106.1) | (250.6) |
Short-term debt activity, net | (1.6) | (9.5) |
Increase (Decrease) in Restricted Cash | 0.2 | 0 |
Cash Transferred to TimkenSteel | 0 | (46.5) |
Proceeds from (Payments for) Other Financing Activities | 3.7 | (3.1) |
Net Cash Provided by (Used in) Financing Activities, Continuing Operations | (90.2) | (275.1) |
Cash Provided by (Used in) Financing Activities, Discontinued Operations | 0 | 100 |
Net Cash Used by Financing Activities | (90.2) | (175.1) |
Effect of exchange rate changes on cash | (11.1) | (9.6) |
(Decrease) increase In Cash and Cash Equivalents | (123.8) | (146.4) |
Cash and cash equivalents beginning of period | 278.8 | 384.6 |
Cash and cash equivalents end of period | $ 155 | $ 238.2 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Note 1 - Basis of Presentation The accompanying Consolidated Financial Statements (unaudited) for The Timken Company (the Company) have been prepared in accordance with the instructions to Form 10-Q and do not include all of the information and notes required by the accounting principles generally accepted in the United States (U.S. GAAP) for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) and disclosures considered necessary for a fair presentation have been included. For further information, refer to the Consolidated Financial Statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 . |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2015 | |
Recent Accounting Pronouncements [Abstract] | |
Description of New Adopted Accounting Pronouncements | Note 2 - Recent Accounting Pronouncements In April 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2015-03, "Interest - Imputation of Interest (Subtopic 835-30) - Simplifying the Presentation of Debt Issuance Costs." ASU 2015-03 requires that all costs incurred to issue debt be presented in the balance sheet as a direct deduction in the carrying value of debt. Prior to the issuance of this new accounting guidance, debt issuance costs were required to be presented in the balance sheet as a deferred charge (i.e., an asset), and only a debt discount was recorded as a direct deduction to the carrying value of debt. This new accounting guidance is effective for annual periods beginning after December 15, 2015. The impact of adopting ASU 2015-03 is not expected to have a material impact on the Company's results of operations or financial condition. In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers (Topic 606)." ASU 2014-09 introduces a new five-step revenue recognition model in which an entity should recognize revenue to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASU 2014-09 also requires disclosures sufficient to enable users to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative disclosures about contracts with customers, significant judgments and changes in judgments and assets recognized from the costs to obtain or fulfill a contract. On July 9, 2015, the FASB decided to delay the effective date of this new accounting guidance by one year, which will result in it being effective for annual periods beginning after December 15, 2017. The Company is currently evaluating the impact of adopting ASU 2014-09 on the Company's results of operations or financial condition. In April 2014, the FASB issued ASU 2014-08, "Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (Topic 360)." ASU 2014-08 amends the requirements for reporting discontinued operations and requires additional disclosures about discontinued operations. Under the new guidance, only disposals representing a strategic shift in operations or that have a major effect on the Company's operations and financial results should be presented as discontinued operations. ASU 2014-08 also requires expanded disclosures about discontinued operations that will provide financial statement users with more information about the assets, liabilities, income, and expenses of discontinued operations. This new accounting guidance is effective for annual periods beginning after December 15, 2014. The adoption of this accounting guidance did not have any impact on the Company's results of operations or financial condition. |
Discontinued Operations (Notes)
Discontinued Operations (Notes) | 9 Months Ended |
Sep. 30, 2015 | |
Spinoff Text Block [Abstract] | |
Spinoff Text Block [Text Block] | On June 30, 2014 , the Company completed the tax-free spinoff of its steel business (the Spinoff) into a separate independent publicly traded company, TimkenSteel Corporation (TimkenSteel). The Company's board of directors declared a distribution of all outstanding common shares of TimkenSteel through a dividend. At the close of business on June 30, 2014 , the Company's shareholders received one common share of TimkenSteel for every two common shares of the Company they held as of the close of business on June 23, 2014. In connection with the Spinoff, the Company and TimkenSteel entered into certain transitional relationships, including a commercial supply agreement for TimkenSteel to supply the Company with certain steel products and other relationships described in the section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 titled "Risks Relating to the Spinoff of TimkenSteel." The operating results, net of tax, included one-time transaction costs of $10.1 million and $54.7 million in connection with the separation of the two companies for the third quarter and first nine months of 2014, respectively. These costs primarily consisted of consulting and professional fees associated with preparing for and executing the Spinoff, as well as lease cancellation fees. |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2015 | |
Business Acquisition [Line Items] | |
Business Combination Disclosure [Text Block] | On September 1, 2015, the Company completed the acquisition of the membership interests of Carlstar Belt LLC (Carlstar Belts) for $213.7 million , including cash acquired of approximately $0.1 million . The Company incurred approximately $1 million of legal and professional fees to acquire Carlstar Belts. Carlstar Belts is a leading North American manufacturer of belts used in industrial, commercial and consumer applications, and sold under multiple brand names, including Carlisle®, Ultimax® and Panther®, among others. The acquisition of Carlstar Belts further diversifies the Company's portfolio beyond engineered bearings, bringing customers an expanded offering of mechanical power transmission products and services. The product portfolio includes more than 20,000 parts that utilize wrap molded, raw edge, v-ribbed and synchronous belt designs. Based in Springfield, Missouri, Carlstar Belts had annual sales of approximately $140 million for the twelve months ending June 30, 2015, and employs approximately 750 employees. The results of the operations of Carlstar Belts are reported in both the Mobile Industries and Process Industries segments based on customers served. Pro forma results of operations have not been presented because the effects of the acquisition were not significant to the Company's income from continuing operations before income taxes or total assets in 2015. The following table presents the preliminary purchase price allocations for the acquisition in 2015: Initial Purchase Price Allocation Assets: Cash and cash equivalents $ 0.1 Accounts receivable, net 13.3 Inventories, net 48.5 Other current assets 1.1 Property, plant and equipment, net 37.9 Goodwill 69.7 Other intangible assets 63.9 Total assets acquired $ 234.5 Liabilities: Accounts payable, trade $ 10.2 Salaries, wages and benefits 1.1 Other current liabilities 1.3 Non-Current Pension Liability 2.3 Non-Current Deferred Tax Liability 5.9 Total liabilities assumed $ 20.8 Net assets acquired $ 213.7 The following table summarizes the preliminary purchase price allocation for identifiable intangible assets acquired in 2015: Initial Purchase Weighted - Trade name $ 1.7 11 years Technology 17.1 20 years All customer relationships 43.9 20 years Capitalized Software 1.2 3 years Total intangible assets $ 63.9 19 years |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 5 - Inventories The components of inventories were as follows: September 30, December 31, Manufacturing supplies $ 25.7 $ 25.0 Raw materials 63.5 51.3 Work in process 212.0 219.3 Finished products 318.2 302.7 Subtotal 619.4 598.3 Allowance for obsolete and surplus inventory (24.0 ) (12.8 ) Total Inventories, net $ 595.4 $ 585.5 Inventories are valued at the lower of cost or market, with approximately 53% valued by the first-in, first-out (FIFO) method and the remaining 47% valued by the last-in, first-out (LIFO) method. The majority of the Company's domestic inventories are valued by the LIFO method and all of the Company's international (outside the United States) inventories are valued by the FIFO method. An actual valuation of the inventory under the LIFO method can be made only at the end of each year based on the inventory levels and costs at that time. Accordingly, interim LIFO calculations must be based on management’s estimates of expected year-end inventory levels and costs. Because these calculations are subject to many factors beyond management’s control, annual results may differ from interim results as they are subject to the final year-end LIFO inventory valuation. The LIFO reserves at September 30, 2015 and December 31, 2014 were $197.1 million and $199.7 million , respectively. The Company recognized a decrease in its LIFO reserve of $2.6 million during the first nine months of 2015 , compared to a decrease in its LIFO reserve of $1.7 million during the first nine months of 2014 . |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Note 6 - Property, Plant and Equipment The components of property, plant and equipment were as follows: September 30, December 31, Land and buildings $ 429.7 $ 428.8 Machinery and equipment 1,762.9 1,735.3 Subtotal 2,192.6 2,164.1 Accumulated depreciation (1,409.5 ) (1,383.6 ) Property, Plant and Equipment, net $ 783.1 $ 780.5 Depreciation expense for the nine months ended September 30, 2015 and 2014 was $70.8 million and $90.0 million , respectively. During the fourth quarter of 2014, the Company transferred $45.7 million of capitalized software from property, plant and equipment to intangible assets. Depreciation expense on the transferred capitalized software for the nine months ended September 30, 2014 was $8.3 million . Capitalized interest during the nine months ended September 30, 2015 and 2014 was zero and $7.3 million, respectively. Capitalized interest of $5.7 million for the nine months ended September 30, 2014 related to TimkenSteel. In November 2013, the Company finalized the sale of its former manufacturing site in Sao Paulo, Brazil (Sao Paulo). The Company expects to receive approximately $31 million over a twenty-four month period, of which $28.9 million was received as of September 30, 2015 . The total cost of this transaction, including the net book value of the real estate and broker's commissions, was approximately $3 million . The Company began recognizing the gain on the sale of this site using the installment method. In the first quarter of 2014, the Company changed to the full accrual method of recognizing the gain after it had received 25% of the total sales value. As a result, the Company recognized the remaining gain of $22.6 million ( $19.5 million after tax) related to this transaction during the first quarter of 2014. Assets Held for Sale During the third quarter of 2015, the Company explored strategic alternatives for its U.S. subsidiary, Timken Alcor Aerospace Technologies, Inc. (Alcor). Alcor is engaged in the design, engineering, sourcing, manufacture and sale of parts and components used in gas turbine engines and helicopter drivetrain applications and filing applications for and obtaining certificates reflecting a Parts Manufacturer Approval (PMA) issued by the United States Federal Aviation Administration (FAA) for such parts and components. The results of the operations of Alcor are reported in the Mobile Industries segment. At September 30, 2015, the assets and liabilities of Alcor were presented as assets held for sale and included in other current assets and other current liabilities, respectively on the Consolidated Balance Sheet. The following table presents the assets and liabilities classified as assets held for sale at September 30, 2015. Assets Held Assets: Accounts receivable, net $ 2.5 Inventories, net 6.7 Other current assets 0.1 Property, plant and equipment, net 2.0 Other intangible assets 3.6 Total assets $ 14.9 Liabilities: Accounts payable, trade $ 0.7 Other current liabilities 0.8 Total liabilities $ 1.5 Net assets held for sale $ 13.4 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Note 7 - Goodwill and Other Intangible Assets The changes in the carrying amount of goodwill for the nine months ended September 30, 2015 were as follows: Mobile Industries Process Industries Total Beginning balance $ 89.6 $ 169.9 $ 259.5 Acquisitions 7.1 62.6 69.7 Other (0.5 ) (1.6 ) (2.1 ) Ending balance $ 96.2 $ 230.9 $ 327.1 Acquisitions in 2015 relate to the preliminary purchase price allocation for Carlstar Belts completed on September 1, 2015. $55.8 million of the goodwill acquired for Carlstar Belts is tax-deductible and will be recognized over 15 years for tax purposes. The remaining $13.9 million is non-deductible for tax purposes. “Other” primarily includes foreign currency translation adjustments. The following table displays intangible assets as of September 30, 2015 and December 31, 2014 : As of September 30, 2015 As of December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets subject to amortization: Customer relationships $ 198.8 $ 66.4 $ 132.4 $ 160.1 $ 59.0 $ 101.1 Know-how 32.7 6.3 26.4 33.4 5.1 28.3 Industrial license agreements 0.1 0.1 — 0.1 0.1 — Land-use rights 8.5 4.8 3.7 8.7 4.7 4.0 Patents 2.1 2.0 0.1 2.3 2.0 0.3 Technology 53.7 13.3 40.4 37.0 11.9 25.1 Tradenames 6.5 3.1 3.4 5.4 3.0 2.4 PMA licenses — — — 5.3 4.5 0.8 Non-compete agreements 2.7 2.5 0.2 3.5 3.2 0.3 Software 240.7 193.9 46.8 235.0 182.0 53.0 $ 545.8 $ 292.4 $ 253.4 $ 490.8 $ 275.5 $ 215.3 Intangible assets not subject to amortization: Tradenames $ 15.7 $ — $ 15.7 $ 15.8 $ — $ 15.8 FAA air agency certificates 8.7 — 8.7 8.7 — 8.7 $ 24.4 $ — $ 24.4 $ 24.5 $ — $ 24.5 Total intangible assets $ 570.2 $ 292.4 $ 277.8 $ 515.3 $ 275.5 $ 239.8 Intangible assets at September 30, 2015 exclude $3.6 million of intangible assets classified as assets held for sale. See Note 6 - Property, Plant and Equipment for additional information on assets held for sale. Amortization expense for intangible assets was $27.0 million and $13.4 million for the nine months ended September 30, 2015 and 2014 , respectively. Amortization expense for intangible assets is estimated to be $34.3 million in 2015 ; $30.3 million in 2016 ; $26.6 million in 2017 ; $22.1 million in 2018 ; and $16.1 million in 2019 . |
Financing Arrangements
Financing Arrangements | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Financing Arrangements | Short-term debt at September 30, 2015 and December 31, 2014 was as follows: September 30, December 31, Variable-rate Asset Securitization Agreement with interest rate of 0.98% at September 30, 2015 $ 78.0 $ — Borrowings under variable-rate lines of credit for certain of the Company’s foreign subsidiaries with various banks with interest rates ranging from 0.40% to 9.50% at September 30, 2015 and interest rates ranging from 0.51% to 5.13% at December 31, 2014 5.6 7.4 Short-term debt $ 83.6 $ 7.4 The lines of credit for certain of the Company’s foreign subsidiaries provide for short-term borrowings up to $222.9 million . Most of these lines of credit are uncommitted. At September 30, 2015 , the Company’s foreign subsidiaries had borrowings outstanding of $5.6 million and guarantees of $5.1 million , which reduced the availability under these facilities to $212.2 million . The Company has a $100 million Amended and Restated Asset Securitization Agreement (Accounts Receivable Facility), which matures on November 30, 2015 . Under the terms of the Accounts Receivable Facility, the Company sells, on an ongoing basis, certain accounts receivable to Timken Receivables Corporation, a wholly-owned consolidated subsidiary, that in turn uses the accounts receivable to secure borrowings, which are funded through a vehicle that issues commercial paper in the short-term market. Borrowings under the Accounts Receivable Facility are limited by certain borrowing base calculations. Amounts outstanding under the Accounts Receivable Facility are reported in short-term debt in the Company’s Consolidated Balance Sheet. As of September 30, 2015 , the Company had $78.0 million in outstanding borrowings under the Accounts Receivable Facility, which are secured by certain accounts receivable in accordance with the terms of the Accounts Receivable Facility. These borrowings reduced the availability of the Accounts Receivable Facility to zero at September 30, 2015 . The cost of this facility, which is the commercial paper rate plus program fees, is considered a financing cost and is included in interest expense in the Consolidated Statements of Income. Long-term debt at September 30, 2015 and December 31, 2014 was as follows: September 30, December 31, Fixed-rate Medium-Term Notes, Series A, mature at various dates through $ 175.0 $ 175.0 Fixed-rate Senior Unsecured Notes, maturing on September 1, 2024, with an 345.1 346.4 Variable-rate Senior Credit Facility with an interest rate of 1.48% at September 30, 2015 120.8 — Other 0.1 1.3 $ 641.0 $ 522.7 Less current maturities 15.1 0.6 Long-term debt $ 625.9 $ 522.1 On June 19, 2015, the Company entered into a $500 million Third Amended and Restated Credit Agreement (Senior Credit Facility). The Senior Credit Facility amended and restated the previous senior credit facility, which was due to expire on May 11, 2016. The Senior Credit Facility now matures on June 19, 2020. At September 30, 2015, the Company had outstanding borrowings of $120.8 million under the Senior Credit Facility, which reduced the availability to $379.2 million at September 30, 2015. The Company incurred $2.0 million of deferred financing costs in connection with the Senior Credit Facility that will be amortized over life of the facility. Under the Senior Credit Facility, the Company has two financial covenants: a consolidated leverage ratio and a consolidated interest coverage ratio. At September 30, 2015, the Company was in full compliance with both of these covenants. On August 20, 2014, the Company issued $350 million of fixed-rate 3.875% senior unsecured notes that mature on September 1, 2024 (2024 Notes). The Company used the net proceeds from the issuance of the 2024 Notes to repay the Company's fixed-rate 6.00% senior unsecured notes that matured on September 15, 2014 and for general corporate purposes. |
Equity
Equity | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Equity | Note 9 - Equity The changes in the equity components for the nine months ended September 30, 2015 were as follows: The Timken Company Shareholders Total Stated Capital Other Paid-In Capital Earnings Invested in the Business Accumulated Other Comprehensive (Loss) Treasury Stock Non- controlling Interest Balance at December 31, 2014 $ 1,589.1 $ 53.1 $ 899.4 $ 1,615.4 $ (482.5 ) $ (509.2 ) $ 12.9 Net (loss) income (32.6 ) (35.1 ) 2.5 Foreign currency translation adjustment (52.1 ) (50.5 ) (1.6 ) Pension and postretirement liability 120.5 120.5 Change in fair value of derivative financial instruments, net of reclassifications 0.9 0.9 Dissolution of joint venture (0.2 ) (0.2 ) Investment in joint venture by noncontrolling interest party 3.7 3.7 Dividends – $0.77 per share (65.7 ) (65.7 ) Excess tax benefit from stock compensation 1.5 1.5 Stock-based compensation expense 14.1 14.1 Stock purchased at fair market value (227.9 ) (227.9 ) Stock option exercise activity 4.0 (7.4 ) 11.4 Restricted shares (issued) surrendered 0.2 (6.6 ) 6.8 Shares surrendered for taxes (3.9 ) (3.9 ) Balance at September 30, 2015 $ 1,351.6 $ 53.1 $ 901.0 $ 1,514.6 $ (411.6 ) $ (722.8 ) $ 17.3 On March 6, 2014, Timken Lux Holdings II S.A.R.L, a subsidiary of the Company, entered into a joint venture agreement with Holme Service Limited (joint venture partner). During the first quarter of 2015, the Company and its joint venture partner established TUBC Limited, a Cyprus entity, for the purpose of producing bearings to serve the rail market sector in Russia. During the second quarter of 2015, the Company and its joint venture partner amended and restated the joint venture agreement and contributed $3.8 million and $3.7 million , respectively, to TUBC Limited. The Company and its joint venture partner will have a 51% controlling interest and 49% controlling interest, respectively, in TUBC Limited. The Company expects to contribute a total of $16 million in 2015 and 2016 during phase one of the joint venture agreement. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2014 | |
Statement of Financial Position [Abstract] | |
accumulated other comprehensive income components reclassification | Note 10 - Accumulated Other Comprehensive Income (Loss) The following tables present details about components of accumulated other comprehensive income (loss) for the three and nine months ended September 30, 2015 , respectively: Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at June 30, 2015 $ (21.4 ) $ (373.5 ) $ (1.1 ) $ (396.0 ) Other comprehensive (loss) income before reclassifications, before income tax (30.9 ) 4.2 2.1 (24.6 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 13.4 (0.2 ) 13.2 Income tax (benefit) expense — (4.6 ) (0.7 ) (5.3 ) Net current period other comprehensive (loss) income, net of income taxes (30.9 ) 13.0 1.2 (16.7 ) Non-controlling interest 1.1 — — 1.1 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (29.8 ) 13.0 1.2 (15.6 ) Balance at September 30, 2015 $ (51.2 ) $ (360.5 ) $ 0.1 $ (411.6 ) Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at December 31, 2014 $ (0.7 ) $ (481.0 ) $ (0.8 ) $ (482.5 ) Other comprehensive (loss) income before reclassifications, before income tax (52.1 ) (62.3 ) 2.1 (112.3 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 251.3 (0.7 ) 250.6 Income tax (benefit) expense — (68.5 ) (0.5 ) (69.0 ) Net current period other comprehensive (loss) income, net of income taxes (52.1 ) 120.5 0.9 69.3 Non-controlling interest 1.6 — — 1.6 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (50.5 ) 120.5 0.9 70.9 Balance at September 30, 2015 $ (51.2 ) $ (360.5 ) $ 0.1 $ (411.6 ) The following tables present details about components of accumulated other comprehensive loss for the three and the nine months ended September 30, 2014 , respectively: Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at June 30, 2014 $ 48.5 $ (445.7 ) $ (0.6 ) $ (397.8 ) Other comprehensive (loss) income before reclassifications, before income tax (25.9 ) 6.1 (0.1 ) (19.9 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 13.5 0.1 13.6 Income tax (benefit) expense — (4.2 ) (0.7 ) (4.9 ) Net current period other comprehensive (loss) income, net of income taxes (25.9 ) 15.4 (0.7 ) (11.2 ) Non-controlling interest 0.5 — — 0.5 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (25.4 ) 15.4 (0.7 ) (10.7 ) Balance at September 30, 2014 $ 23.1 $ (430.3 ) $ (1.3 ) $ (408.5 ) Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total As of December 31, 2013 $ 37.5 $ (663.2 ) $ (0.4 ) $ (626.1 ) Other comprehensive (loss) income before reclassifications, before income tax (17.6 ) (33.4 ) (1.0 ) (52.0 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 52.9 0.7 53.6 Income tax (benefit) expense — (17.6 ) (0.6 ) (18.2 ) Net current period other comprehensive (loss) income, net of income taxes (17.6 ) 1.9 (0.9 ) (16.6 ) Non-controlling interest 0.1 — — 0.1 Distribution of TimkenSteel 3.1 231.0 — 234.1 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (14.4 ) 232.9 (0.9 ) 217.6 Balance at September 30, 2014 $ 23.1 $ (430.3 ) $ (1.3 ) $ (408.5 ) Other comprehensive (loss) income before reclassifications and income taxes includes the effect of foreign currency. $221.0 million of the before-tax reclassification of pension and postretirement liability adjustments was included in pension settlement charges in the Consolidated Statement of Income for the first nine months of 2015. The remaining before-tax reclassification of pension and postretirement liability adjustments was due to the amortization of actuarial losses and prior service costs and was included in costs of products sold and selling, general and administrative expenses in the Consolidated Statements of Income. The reclassification of the remaining components of accumulated other comprehensive income (loss) was included in other income (expense), net in the Consolidated Statements of Income. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 11 - Earnings Per Share The following table sets forth the reconciliation of the numerator and the denominator of basic earnings per share and diluted earnings per share for the three and nine months ended September 30, 2015 and 2014 : Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Numerator: Net income (loss) from continuing operations attributable to The Timken Company $ 63.4 $ (10.9 ) $ (35.1 ) $ 105.6 Less: undistributed earnings allocated to nonvested stock — — — Net income (loss) from continuing operations available to common shareholders for basic earnings per share and diluted earnings per share $ 63.4 $ (10.9 ) $ (35.1 ) $ 105.6 Denominator: Weighted average number of shares outstanding, basic 83,671,931 89,683,436 85,578,800 90,889,871 Effect of dilutive securities: Stock options and awards based on the treasury stock method 473,820 — — 820,157 Weighted average number of shares outstanding, assuming dilution of stock options and awards 84,145,751 89,683,436 85,578,800 91,710,028 Basic earnings (loss) per share from continuing operations $ 0.76 $ (0.12 ) $ (0.41 ) $ 1.16 Diluted earnings (loss) per share from continuing operations $ 0.75 $ (0.12 ) $ (0.41 ) $ 1.15 The exercise prices for certain stock options that the Company has awarded exceed the average market price of the Company’s common shares during the relevant periods. Such stock options are antidilutive and were not included in the computation of diluted earnings per share. The antidilutive stock options outstanding during the three months ended September 30, 2015 were 2,761,824 . During the three months ended September 31, 2014, all stock options were antidilutive as the Company experienced a loss from continuing operations. During the nine months ended September 31, 2015, all stock options were antidilutive as the Company experienced a loss from continuing operations. The antidilutive stock options outstanding during the nine months ended September 30, 2014 were 697,670 . |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | Note 12 - Segment Information The primary measurement used by management to measure the financial performance of each segment is EBIT (earnings before interest and taxes). Three Months Ended Nine Months Ended 2015 2014 2015 2014 Net sales to external customers: Mobile Industries $ 396.4 $ 427.0 $ 1,178.0 $ 1,295.9 Process Industries 311.0 361.0 979.9 1,018.1 $ 707.4 $ 788.0 $ 2,157.9 $ 2,314.0 Segment EBIT: Mobile Industries $ 43.0 $ (63.4 ) $ 114.4 $ 43.2 Process Industries 43.1 74.4 145.0 187.4 Total EBIT, for reportable segments $ 86.1 $ 11.0 $ 259.4 $ 230.6 Unallocated corporate expenses (16.6 ) (15.3 ) (44.8 ) (52.2 ) Unallocated pension settlement charges (3.6 ) — (223.2 ) — Interest expense (8.6 ) (9.1 ) (25.0 ) (20.4 ) Interest income 0.6 1.0 2.0 3.1 Income (loss) from continuing operations before income taxes $ 57.9 $ (12.4 ) $ (31.6 ) $ 161.1 |
Impairment and Restructuring Ch
Impairment and Restructuring Charges | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring and Related Activities [Abstract] | |
Impairment and Restructuring Charges | Note 13 - Impairment and Restructuring Charges Impairment and restructuring charges by segment are comprised of the following: For the three months ended September 30, 2015 : Mobile Industries Process Industries Corporate Total Severance and related benefit costs $ 2.0 $ 1.7 $ 0.6 $ 4.3 Exit costs 0.1 — — 0.1 Total $ 2.1 $ 1.7 $ 0.6 $ 4.4 For the three months ended September 30, 2014 : Mobile Industries Process Industries Corporate Total Impairment charges $ 97.4 $ 0.2 $ 0.4 $ 98.0 Severance and related benefit costs 1.0 0.3 — 1.3 Exit costs — 0.1 — 0.1 Total $ 98.4 $ 0.6 $ 0.4 $ 99.4 For the nine months ended September 30, 2015 : Mobile Industries Process Industries Corporate Total Impairment charges $ 0.1 $ 3.2 $ — $ 3.3 Severance and related benefit costs 2.7 1.7 0.6 5.0 Exit costs 0.7 3.0 — 3.7 Total $ 3.5 $ 7.9 $ 0.6 $ 12.0 For the nine months ended September 30, 2014 : Mobile Industries Process Industries Corporate Total Impairment charges $ 98.2 $ 0.2 $ 0.4 $ 98.8 Severance and related benefit costs 4.7 1.7 — 6.4 Exit costs 1.4 1.4 — 2.8 Total $ 104.3 $ 3.3 $ 0.4 $ 108.0 The following discussion explains the impairment and restructuring charges recorded for the periods presented; however, it is not intended to reflect a comprehensive discussion of all amounts in the tables above. Mobile Industries On September 8, 2014, the Company announced plans to: eliminate leadership positions under its former Aerospace segment and integrate aerospace activities under the direction of Christopher A. Coughlin, executive vice president and group president; close its aerospace engine overhaul business, located in Mesa, Arizona, by the end of 2014; evaluate strategic alternatives for its aerospace MRO parts business, also located in Mesa; and close its aerospace bearing facility located in Wolverhampton, United Kingdom, rationalizing the capacity into existing facilities, with timing to be finalized at a later date. In conjunction with this announcement, the Company reviewed goodwill for impairment for its three reporting units within the former Aerospace segment as a result of declining sales forecasts and financial performance within the segment. As a result of that review, the Company recorded a pretax goodwill impairment charge of $86.3 million during the third quarter of 2014 related to its Drive Systems and Aerospace Aftermarket reporting units. In addition, the Company recorded an intangible asset impairment charge of $9.9 million , an impairment charge of $1.2 million for its overhaul business, which it classified as assets held for sale, and severance and related benefits of $0.3 million . These charges are included in the Mobile Industries segment. In addition, the Company incurred $1.2 million and $2.3 million of severance and related benefit costs related to the rationalization of one of its facilities in Europe during the first nine months of 2015 and 2014 , respectively. Process Industries During the first nine months of 2015 , the Company recorded $3.0 million of exit costs related to the Company's termination of its relationship with one of its third-party sales representatives in Colombia. In addition, the Company recorded impairment charges of $3.0 million related to one of the Company's repair businesses in the United States. See Note 17 - Fair Value for additional information on the impairment charges for the repair business. Workforce Reductions: During the third quarter of 2015, the Company recognized $4.0 million of severance and related benefit costs to eliminate approximately 65 positions. Of the $4.0 million charge for the third quarter of 2015, $1.8 million related to the Mobile Industries segment, $1.6 million related to the Process Industries segment and $0.6 million related to Corporate positions. During the first nine months of 2014 , the Company recognized $2.8 million of severance and related benefit costs to eliminate approximately 30 positions. Of the $2.8 million charge for the first nine months of 2014 , $1.6 million related to the Mobile Industries segment and $1.2 million related to the Process Industries segment. The following is a rollforward of the consolidated restructuring accrual for the nine months ended September 30, 2015 and the twelve months ended December 31, 2014 : September 30, December 31, Beginning balance, January 1 $ 9.5 $ 10.8 Expense 8.7 14.5 Payments (4.4 ) (15.8 ) Ending balance $ 13.8 $ 9.5 The restructuring accrual at September 30, 2015 and December 31, 2014 was included in other current liabilities on the Consolidated Balance Sheets. |
Retirement Benefit Plans
Retirement Benefit Plans | 9 Months Ended |
Sep. 30, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |
Retirement Benefit Plans | Note 14 - Retirement Benefit Plans The following table sets forth the net periodic benefit cost for the Company’s defined benefit pension plans. The amounts for the three months and nine months ended September 30, 2015 are based on calculations prepared by the Company's actuaries during the second quarter of 2015 . The net periodic benefit cost recorded for the three months and nine months ended September 30, 2015 is the Company’s best estimate of each period’s proportionate share of the amounts to be recorded for the year ending December 31, 2015 . U.S. Plans International Plans Total Three Months Ended Three Months Ended Three Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 3.8 $ 3.6 $ 0.5 $ 0.6 $ 4.3 $ 4.2 Interest cost 11.4 18.1 3.0 4.2 14.4 22.3 Expected return on plan assets (15.7 ) (28.7 ) (4.0 ) (5.4 ) (19.7 ) (34.1 ) Amortization of prior service cost 0.7 0.8 — — 0.7 0.8 Amortization of net actuarial loss 7.8 11.3 1.2 1.3 9.0 12.6 Pension settlements and curtailments 3.5 — — — 3.5 — Net periodic benefit cost $ 11.5 $ 5.1 $ 0.7 $ 0.7 $ 12.2 $ 5.8 U.S. Plans International Plans Total Nine Months Ended Nine Months Ended Nine Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 11.4 $ 17.9 $ 1.9 $ 1.8 $ 13.3 $ 19.7 Interest cost 35.6 80.1 9.2 14.2 44.8 94.3 Expected return on plan assets (49.1 ) (123.1 ) (12.4 ) (18.5 ) (61.5 ) (141.6 ) Amortization of prior service cost 2.1 2.7 — — 2.1 2.7 Amortization of net actuarial loss 24.1 44.3 3.9 4.4 28.0 48.7 Pension settlements and curtailments 219.9 — 1.1 0.7 221.0 0.7 Less: discontinued operations — (8.0 ) — 0.4 — (7.6 ) Net periodic benefit cost $ 244.0 $ 13.9 $ 3.7 $ 3.0 $ 247.7 $ 16.9 On January 23, 2015 , the Company entered into an agreement pursuant to which the Timken-Latrobe-MPB-Torrington Retirement Plan (the Plan) purchased a group annuity contract from Prudential Insurance Company of America (Prudential) that requires Prudential to pay and administer future pension benefits for approximately 5,000 U.S. Timken retirees. The Company transferred approximately $575 million of the Company's pension obligations and approximately $635 million of pension assets to Prudential in this transaction. In addition to the purchase of the group annuity contract, the Company made lump sum distributions of $29.5 million to new retirees. The Company also incurred pension settlement and curtailment charges related to one of its Canadian defined benefit pension plans. As a result of the purchase of the group annuity contract and the lump sum distributions, as well as pension settlement and curtailment charges related to one of its Canadian defined benefit pension plans, the Company incurred pension settlement and curtailment charges of $223.2 million , including professional fees of $2.2 million , for the nine months ended September 30, 2015 . The Company generally amortizes actuarial gains and losses over the remaining service period of active participants. However, in accordance with its policy, the Company updates and reviews the census data for its U.S. defined benefit pension plans on an annual basis. This review, which was completed during the second quarter of 2015, indicated that over 95% of the participants in one of these plans are inactive. Therefore, the Company changed the amortization period over which actuarial gains and losses related to that plan will be amortized to be based on the remaining expected life of inactive participants in the plan. This change resulted in an amortization period of 15.5 years, compared to 10.1 years had the change not been made. The impact of the change resulted in lower pension expense of $3.1 million ( $1.9 million after-tax, or $0.02 per share) for the first six months of 2015. The following table sets forth the net periodic benefit cost for the Company’s postretirement benefit plans. The amounts for the three months and nine months ended September 30, 2015 are based on calculations prepared by the Company's actuaries during the second quarter of 2015 . The net periodic benefit cost recorded for the three months and nine months ended September 30, 2015 is the Company’s best estimate of each period’s proportionate share of the amounts to be recorded for the year ending December 31, 2015 . Three Months Ended Nine Months Ended 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 0.1 $ 0.2 $ 0.3 $ 1.2 Interest cost 2.7 2.9 8.1 13.8 Expected return on plan assets (1.7 ) (1.4 ) (5.3 ) (7.1 ) Amortization of prior service cost (credit) 0.2 0.1 0.6 0.8 Amortization of net actuarial loss — — 0.1 — Less: discontinued operations — — — (3.1 ) Net periodic benefit cost $ 1.3 $ 1.8 $ 3.8 $ 5.6 |
Postretirement Benefit Plans
Postretirement Benefit Plans | 9 Months Ended |
Sep. 30, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |
Postretirement Benefit Plans | Note 14 - Retirement Benefit Plans The following table sets forth the net periodic benefit cost for the Company’s defined benefit pension plans. The amounts for the three months and nine months ended September 30, 2015 are based on calculations prepared by the Company's actuaries during the second quarter of 2015 . The net periodic benefit cost recorded for the three months and nine months ended September 30, 2015 is the Company’s best estimate of each period’s proportionate share of the amounts to be recorded for the year ending December 31, 2015 . U.S. Plans International Plans Total Three Months Ended Three Months Ended Three Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 3.8 $ 3.6 $ 0.5 $ 0.6 $ 4.3 $ 4.2 Interest cost 11.4 18.1 3.0 4.2 14.4 22.3 Expected return on plan assets (15.7 ) (28.7 ) (4.0 ) (5.4 ) (19.7 ) (34.1 ) Amortization of prior service cost 0.7 0.8 — — 0.7 0.8 Amortization of net actuarial loss 7.8 11.3 1.2 1.3 9.0 12.6 Pension settlements and curtailments 3.5 — — — 3.5 — Net periodic benefit cost $ 11.5 $ 5.1 $ 0.7 $ 0.7 $ 12.2 $ 5.8 U.S. Plans International Plans Total Nine Months Ended Nine Months Ended Nine Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 11.4 $ 17.9 $ 1.9 $ 1.8 $ 13.3 $ 19.7 Interest cost 35.6 80.1 9.2 14.2 44.8 94.3 Expected return on plan assets (49.1 ) (123.1 ) (12.4 ) (18.5 ) (61.5 ) (141.6 ) Amortization of prior service cost 2.1 2.7 — — 2.1 2.7 Amortization of net actuarial loss 24.1 44.3 3.9 4.4 28.0 48.7 Pension settlements and curtailments 219.9 — 1.1 0.7 221.0 0.7 Less: discontinued operations — (8.0 ) — 0.4 — (7.6 ) Net periodic benefit cost $ 244.0 $ 13.9 $ 3.7 $ 3.0 $ 247.7 $ 16.9 On January 23, 2015 , the Company entered into an agreement pursuant to which the Timken-Latrobe-MPB-Torrington Retirement Plan (the Plan) purchased a group annuity contract from Prudential Insurance Company of America (Prudential) that requires Prudential to pay and administer future pension benefits for approximately 5,000 U.S. Timken retirees. The Company transferred approximately $575 million of the Company's pension obligations and approximately $635 million of pension assets to Prudential in this transaction. In addition to the purchase of the group annuity contract, the Company made lump sum distributions of $29.5 million to new retirees. The Company also incurred pension settlement and curtailment charges related to one of its Canadian defined benefit pension plans. As a result of the purchase of the group annuity contract and the lump sum distributions, as well as pension settlement and curtailment charges related to one of its Canadian defined benefit pension plans, the Company incurred pension settlement and curtailment charges of $223.2 million , including professional fees of $2.2 million , for the nine months ended September 30, 2015 . The Company generally amortizes actuarial gains and losses over the remaining service period of active participants. However, in accordance with its policy, the Company updates and reviews the census data for its U.S. defined benefit pension plans on an annual basis. This review, which was completed during the second quarter of 2015, indicated that over 95% of the participants in one of these plans are inactive. Therefore, the Company changed the amortization period over which actuarial gains and losses related to that plan will be amortized to be based on the remaining expected life of inactive participants in the plan. This change resulted in an amortization period of 15.5 years, compared to 10.1 years had the change not been made. The impact of the change resulted in lower pension expense of $3.1 million ( $1.9 million after-tax, or $0.02 per share) for the first six months of 2015. The following table sets forth the net periodic benefit cost for the Company’s postretirement benefit plans. The amounts for the three months and nine months ended September 30, 2015 are based on calculations prepared by the Company's actuaries during the second quarter of 2015 . The net periodic benefit cost recorded for the three months and nine months ended September 30, 2015 is the Company’s best estimate of each period’s proportionate share of the amounts to be recorded for the year ending December 31, 2015 . Three Months Ended Nine Months Ended 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 0.1 $ 0.2 $ 0.3 $ 1.2 Interest cost 2.7 2.9 8.1 13.8 Expected return on plan assets (1.7 ) (1.4 ) (5.3 ) (7.1 ) Amortization of prior service cost (credit) 0.2 0.1 0.6 0.8 Amortization of net actuarial loss — — 0.1 — Less: discontinued operations — — — (3.1 ) Net periodic benefit cost $ 1.3 $ 1.8 $ 3.8 $ 5.6 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 16 - Income Taxes The Company's provision for income taxes in interim periods is computed by applying the estimated annual effective tax rates to income or loss before income taxes for the period. In addition, non-recurring or discrete items, including interest on prior year tax liabilities, are recorded during the period(s) in which they occur. Three Months Ended Nine Months Ended 2015 2014 2015 2014 Provision (benefit) for income taxes $ (6.6 ) $ (2.2 ) $ 1.0 $ 53.4 Effective tax rate (11.4 )% 17.7 % (3.2 )% 33.1 % In accordance with ASC Topic 740, "Income Taxes," the effective tax rate in the third quarter of 2015 was calculated as the difference between the income taxes computed for the nine months, as described below, and the year-to-date income taxes recorded as of June 30, 2015. This computation resulted in an effective tax rate of negative 11.4% for the third quarter of 2015, including discrete items. The effective tax rate of negative 11.4% was primarily due to the change in the Company's 2015 forecast and the variability caused by the large pension settlement charge recorded in the first quarter of 2015. The effective tax rate in the third quarter of 2014 was calculated as the difference between the tax computed for the nine months, as described below, and the year-to-date tax recorded as of June 30, 2014. This computation resulted in an effective tax rate of 17.7% for the third quarter of 2014, including discrete items. In accordance with ASC Topic 740, "Income Taxes", the effective tax rate in the first nine months of 2015 was computed based on an estimated overall annual effective tax rate, which produced a rate of negative 3.2% , including discrete items, for the first nine months of 2015 (expected tax benefits on expected pretax income). This rate reflects an estimated full year loss in the U.S. primarily driven by pension settlement charges and earnings in foreign jurisdictions, which is expected to produce a net tax benefit on pre-tax income. The effective tax rate of negative 3.2% was lower than the U.S. federal statutory rate of 35% primarily due to earnings in certain foreign jurisdictions where the effective tax rate is less than 35% , tax benefits related to foreign tax credits, U.S. state and local tax benefits, non-taxable U.S. income and the U.S. manufacturing deduction. These factors were partially offset by U.S. taxation of foreign earnings, losses at certain foreign subsidiaries where no tax benefit could be recorded, non-deductible U.S. expenses and certain discrete tax expenses. The effective tax rate in the first nine months of 2014 was computed based on an expected annual effective tax rate of 33.1% , including discrete items. The effective tax rate was lower than the U.S. federal statutory rate of 35% primarily due to earnings in certain foreign jurisdictions where the effective tax rate is less than 35% , tax benefits related to foreign tax credits, the U.S. manufacturing deduction, non-taxable U.S. income and certain discrete tax benefits. These factors were partially offset by U.S. taxation of foreign earnings, goodwill impairment, losses at certain foreign subsidiaries where no tax benefit could be recorded, U.S. state and local taxes and non-deductible U.S. expenses. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Note 17 - Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The FASB provides accounting rules that classify the inputs used to measure fair value into the following hierarchy: Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2 – Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability. Level 3 – Unobservable inputs for the asset or liability. The following tables present the fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2015 and December 31, 2014 : September 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 155.0 $ 120.3 $ 34.7 $ — Restricted cash 14.8 — 14.8 — Short-term investments 8.7 — 8.7 — Foreign currency hedges 5.5 — 5.5 — Total Assets $ 184.0 $ 120.3 $ 63.7 $ — Liabilities: Foreign currency hedges $ 2.0 $ — $ 2.0 $ — Total Liabilities $ 2.0 $ — $ 2.0 $ — December 31, 2014 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 278.8 $ 155.6 $ 123.2 $ — Restricted cash 15.3 — 15.3 — Short-term investments 8.4 — 8.4 — Foreign currency hedges 12.4 — 12.4 — Total Assets $ 314.9 $ 155.6 $ 159.3 $ — Liabilities: Foreign currency hedges $ 0.3 $ — $ 0.3 $ — Total Liabilities $ 0.3 $ — $ 0.3 $ — Cash and cash equivalents are highly liquid investments with maturities of three months or less when purchased and are valued at the redemption value. Short-term investments are investments with maturities between four months and one year and are valued at the amortized cost. The Company uses publicly available foreign currency forward and spot rates to measure the fair value of its foreign currency forward contracts. The Company does not believe it has significant concentrations of risk associated with the counterparts to its financial instruments. The following table presents those assets measured at fair value on a nonrecurring basis for the nine months ended September 30, 2015 using Level 3 inputs: Carrying Value Fair Value Adjustment Fair Value Long-lived assets held for sale: Repair business $ 5.8 $ (3.0 ) $ 2.8 Total long-lived assets held for sale $ 5.8 $ (3.0 ) $ 2.8 Long-lived assets held and used: Fixed assets $ 0.8 $ (0.3 ) $ 0.5 Total long-lived assets held and used $ 0.8 $ (0.3 ) $ 0.5 Assets held for sale of $5.8 million associated with the Company's service center in Niles, Ohio were written down to their fair value of $2.8 million during the first quarter of 2015, resulting in an impairment charge of $3.0 million . The fair value of these assets was based on the price that the Company expected to receive from the sale of these assets. Various items of property, plant and equipment, with a carrying value of $0.8 million , were written down to their fair value of $0.5 million , resulting in an impairment charge of $0.3 million . The fair value for these assets was based on the price that would be received in a current transaction to sell the assets on a standalone basis, considering the age and physical attributes of these items, as these assets had been idled. Financial Instruments The Company’s financial instruments consist primarily of cash and cash equivalents, restricted cash, short-term investments, accounts receivable, net, accounts payable, trade, short-term borrowings and long-term debt. Due to their short-term nature, the carrying value of cash and cash equivalents, restricted cash, short-term investments, accounts receivable, net, accounts payable, trade and short-term borrowings are a reasonable estimate of their fair value. The fair value of the Company’s long-term fixed-rate debt, based on quoted market prices, was $538.8 million and $558.6 million at September 30, 2015 and December 31, 2014 , respectively. The carrying value of this debt was $520.1 million and $521.4 million at September 30, 2015 and December 31, 2014 , respectively. The fair value of long-term fixed-debt was measured using Level 2 inputs. |
Derivatives and Hedging Activit
Derivatives and Hedging Activities (Notes) | 9 Months Ended |
Sep. 30, 2015 | |
Derivative [Line Items] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | The Company is exposed to certain risks relating to its ongoing business operations. The primary risks managed by using derivative instruments are foreign currency exchange rate risk, commodity price risk and interest rate risk. Forward exchange contracts on various foreign currencies are entered into in order to manage the foreign currency exchange rate risk associated with certain of the Company’s commitments denominated in foreign currencies. Forward contracts on various commodities are entered into in order to manage the price risk associated with forecasted purchases of natural gas used in the Company’s manufacturing process. Interest rate swaps are used to manage interest rate risk associated with the Company’s fixed and floating-rate borrowings. The Company designates certain foreign currency forward contracts as cash flow hedges of forecasted revenues and certain interest rate hedges as fair value hedges of fixed-rate borrowings. The majority of the Company’s natural gas forward contracts are not subject to any hedge designation as they are considered within the normal purchases exemption. The Company does not purchase or hold any derivative financial instruments for trading purposes. As of September 30, 2015 and December 31, 2014 , the Company had $263.4 million and $194.1 million , respectively, of outstanding foreign currency forward contracts at notional value. Refer to Note 17 – Fair Value for the fair value disclosure of derivative financial instruments. Cash Flow Hedging Strategy: For certain derivative instruments that are designated as and qualify as cash flow hedges ( i.e ., hedging the exposure to variability in expected future cash flows that is attributable to a particular risk), the effective portion of the gain or loss on the derivative instrument is reported as a component of other comprehensive income and reclassified into earnings in the same line item associated with the forecasted transaction and in the same period or periods during which the hedged transaction affects earnings. The remaining gain or loss on the derivative instrument in excess of the cumulative change in the present value of future cash flows of the hedged item, if any ( i.e ., the ineffective portion), or hedge components excluded from the assessment of effectiveness, are recognized in the Consolidated Statement of Income during the current period. To protect against a reduction in the value of forecasted foreign currency cash flows resulting from export sales over the next year, the Company has instituted a foreign currency cash flow hedging program. The Company hedges portions of its forecasted intra-group revenue or expense denominated in foreign currencies with forward contracts. When the dollar strengthens significantly against foreign currencies, the decline in the present value of future foreign currency revenue is offset by gains in the fair value of the forward contracts designated as hedges. Conversely, when the dollar weakens, the increase in the present value of future foreign currency cash flows is offset by losses in the fair value of the forward contracts. Fair Value Hedging Strategy: For derivative instruments that are designated and qualify as fair value hedges ( i.e ., hedging the exposure to changes in the fair value of an asset or a liability or an identified portion thereof that is attributable to a particular risk), the gain or loss on the derivative instrument as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in the same line item associated with the hedged item ( i.e ., in “interest expense” when the hedged item is fixed-rate debt). Purpose for Derivative Instruments not Designated as Hedging Instruments: For derivative instruments that are not designated as hedging instruments, the instruments are typically forward contracts. In general, the practice is to reduce volatility by selectively hedging transaction exposures including intercompany loans, accounts payable and accounts receivable. Intercompany loans between entities with different functional currencies are typically hedged with a forward contract at the inception of loan with a maturity date at the maturity of the loan. The revaluation of these contracts, as well as the revaluation of the underlying balance sheet items, is recorded directly to the income statement so the adjustment generally offsets the revaluation of the underlying balance sheet items to protect cash payments and reduce income statement volatility. The following table presents the fair value and location of all assets and liabilities associated with the Company's hedging instruments within the Consolidated Balance Sheets. Asset Derivatives Liability Derivatives Derivatives designated as hedging instruments Balance Sheet Location Fair Value at 9/30/15 Fair Value at 12/31/14 Fair Value at 9/30/15 Fair Value at 12/31/14 Foreign currency forward contracts Other non-current assets/liabilities $ 2.3 $ 0.6 $ 0.5 $ — Total derivatives designated as hedging instruments 2.3 0.6 0.5 — Derivatives not designated as hedging instruments Foreign currency forward contracts Other non-current assets/liabilities 3.2 11.8 1.5 0.3 Total Derivatives $ 5.5 $ 12.4 $ 2.0 $ 0.3 The following tables present the impact of derivative instruments and their location within the Consolidated Statements of Income: Amount of gain or (loss) recognized in Other Comprehensive Income (OCI) on derivative instruments Three Months Ended Nine Months Ended Derivatives in cash flow hedging relationships 2015 2014 2015 2014 Foreign currency forward contracts $ 2.1 $ 1.4 $ 2.1 $ 1.0 Interest rate swaps — (1.6 ) — (2.1 ) Total $ 2.1 $ (0.2 ) $ 2.1 $ (1.1 ) Amount of gain or (loss) reclassified from Accumulated Other Comprehensive Income (AOCI) into income (effective portion) Three Months Ended Nine Months Ended Derivatives in cash flow hedging relationships 2015 2014 2015 2014 Foreign currency forward contracts $ 0.3 $ (0.1 ) $ 1.0 $ (0.6 ) Interest rate swaps (0.1 ) — (0.3 ) — Total $ 0.2 $ (0.1 ) $ 0.7 $ (0.6 ) Amount of gain or (loss) recognized in income on derivative instruments Three Months Ended Nine Months Ended Derivatives not designated as hedging instruments Location of gain or (loss) recognized in income on derivative 2015 2014 2015 2014 Foreign currency forward contracts Other (expense) income, net $ (16.3 ) $ 9.5 $ 9.8 $ 13.9 Total $ (16.3 ) $ 9.5 $ 9.8 $ 13.9 |
Schedule Of Subsequent Events (
Schedule Of Subsequent Events (Notes) | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | Note 19 - Subsequent Events On October 21, 2015 , the Company completed the sale of all of the outstanding stock of Alcor. Alcor, located in Mesa, Arizona, had annual sales of $20.6 million for the twelve months ending September 30, 2015. The results of the operations of Alcor were reported in the Mobile Industries segment. The Company expects to recognize a gain on the sale of Alcor during the fourth quarter of 2015. |
Discontinued Operations Spinoff
Discontinued Operations Spinoff Income Statement (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Spinoff Income Statement Table [Table Text Block] | The following table presents the results of operations for TimkenSteel that have been reclassified to discontinued operations. Three Months Ended Nine Months Ended Net sales $ — $ 786.2 Cost of goods sold — 642.1 Gross profit — 144.1 Selling, administrative and general expenses — 46.3 Separation Costs 10.1 54.7 Interest expense, net — 0.8 Other expense (income), net — (0.1 ) Income (loss) before income taxes (10.1 ) 42.4 Income tax expense (0.9 ) (23.7 ) Income (loss) from discontinued operations $ (11.0 ) $ 18.7 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Acquired Indefinite-lived Intangible Assets [Line Items] | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | The following table summarizes the preliminary purchase price allocation for identifiable intangible assets acquired in 2015: Initial Purchase Weighted - Trade name $ 1.7 11 years Technology 17.1 20 years All customer relationships 43.9 20 years Capitalized Software 1.2 3 years Total intangible assets $ 63.9 19 years |
Fair values of the assets acquired and liabilities assumed | Pro forma results of operations have not been presented because the effects of the acquisition were not significant to the Company's income from continuing operations before income taxes or total assets in 2015. The following table presents the preliminary purchase price allocations for the acquisition in 2015: Initial Purchase Price Allocation Assets: Cash and cash equivalents $ 0.1 Accounts receivable, net 13.3 Inventories, net 48.5 Other current assets 1.1 Property, plant and equipment, net 37.9 Goodwill 69.7 Other intangible assets 63.9 Total assets acquired $ 234.5 Liabilities: Accounts payable, trade $ 10.2 Salaries, wages and benefits 1.1 Other current liabilities 1.3 Non-Current Pension Liability 2.3 Non-Current Deferred Tax Liability 5.9 Total liabilities assumed $ 20.8 Net assets acquired $ 213.7 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Inventory Disclosure [Abstract] | |
Components of inventories | The components of inventories were as follows: September 30, December 31, Manufacturing supplies $ 25.7 $ 25.0 Raw materials 63.5 51.3 Work in process 212.0 219.3 Finished products 318.2 302.7 Subtotal 619.4 598.3 Allowance for obsolete and surplus inventory (24.0 ) (12.8 ) Total Inventories, net $ 595.4 $ 585.5 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Long Lived Assets Held-for-sale [Line Items] | |
Disclosure of Long Lived Assets Held-for-sale [Table Text Block] | Assets Held for Sale During the third quarter of 2015, the Company explored strategic alternatives for its U.S. subsidiary, Timken Alcor Aerospace Technologies, Inc. (Alcor). Alcor is engaged in the design, engineering, sourcing, manufacture and sale of parts and components used in gas turbine engines and helicopter drivetrain applications and filing applications for and obtaining certificates reflecting a Parts Manufacturer Approval (PMA) issued by the United States Federal Aviation Administration (FAA) for such parts and components. The results of the operations of Alcor are reported in the Mobile Industries segment. At September 30, 2015, the assets and liabilities of Alcor were presented as assets held for sale and included in other current assets and other current liabilities, respectively on the Consolidated Balance Sheet. The following table presents the assets and liabilities classified as assets held for sale at September 30, 2015. Assets Held Assets: Accounts receivable, net $ 2.5 Inventories, net 6.7 Other current assets 0.1 Property, plant and equipment, net 2.0 Other intangible assets 3.6 Total assets $ 14.9 Liabilities: Accounts payable, trade $ 0.7 Other current liabilities 0.8 Total liabilities $ 1.5 Net assets held for sale $ 13.4 |
Components of property, plant and equipment | The components of property, plant and equipment were as follows: September 30, December 31, Land and buildings $ 429.7 $ 428.8 Machinery and equipment 1,762.9 1,735.3 Subtotal 2,192.6 2,164.1 Accumulated depreciation (1,409.5 ) (1,383.6 ) Property, Plant and Equipment, net $ 783.1 $ 780.5 |
Goodwill and Other Intangible30
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Change in the carrying amount of goodwill | The changes in the carrying amount of goodwill for the nine months ended September 30, 2015 were as follows: Mobile Industries Process Industries Total Beginning balance $ 89.6 $ 169.9 $ 259.5 Acquisitions 7.1 62.6 69.7 Other (0.5 ) (1.6 ) (2.1 ) Ending balance $ 96.2 $ 230.9 $ 327.1 |
Intangible assets | The following table displays intangible assets as of September 30, 2015 and December 31, 2014 : As of September 30, 2015 As of December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets subject to amortization: Customer relationships $ 198.8 $ 66.4 $ 132.4 $ 160.1 $ 59.0 $ 101.1 Know-how 32.7 6.3 26.4 33.4 5.1 28.3 Industrial license agreements 0.1 0.1 — 0.1 0.1 — Land-use rights 8.5 4.8 3.7 8.7 4.7 4.0 Patents 2.1 2.0 0.1 2.3 2.0 0.3 Technology 53.7 13.3 40.4 37.0 11.9 25.1 Tradenames 6.5 3.1 3.4 5.4 3.0 2.4 PMA licenses — — — 5.3 4.5 0.8 Non-compete agreements 2.7 2.5 0.2 3.5 3.2 0.3 Software 240.7 193.9 46.8 235.0 182.0 53.0 $ 545.8 $ 292.4 $ 253.4 $ 490.8 $ 275.5 $ 215.3 Intangible assets not subject to amortization: Tradenames $ 15.7 $ — $ 15.7 $ 15.8 $ — $ 15.8 FAA air agency certificates 8.7 — 8.7 8.7 — 8.7 $ 24.4 $ — $ 24.4 $ 24.5 $ — $ 24.5 Total intangible assets $ 570.2 $ 292.4 $ 277.8 $ 515.3 $ 275.5 $ 239.8 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Short-term debt | Short-term debt at September 30, 2015 and December 31, 2014 was as follows: September 30, December 31, Variable-rate Asset Securitization Agreement with interest rate of 0.98% at September 30, 2015 $ 78.0 $ — Borrowings under variable-rate lines of credit for certain of the Company’s foreign subsidiaries with various banks with interest rates ranging from 0.40% to 9.50% at September 30, 2015 and interest rates ranging from 0.51% to 5.13% at December 31, 2014 5.6 7.4 Short-term debt $ 83.6 $ 7.4 |
Long-term debt | Long-term debt at September 30, 2015 and December 31, 2014 was as follows: September 30, December 31, Fixed-rate Medium-Term Notes, Series A, mature at various dates through $ 175.0 $ 175.0 Fixed-rate Senior Unsecured Notes, maturing on September 1, 2024, with an 345.1 346.4 Variable-rate Senior Credit Facility with an interest rate of 1.48% at September 30, 2015 120.8 — Other 0.1 1.3 $ 641.0 $ 522.7 Less current maturities 15.1 0.6 Long-term debt $ 625.9 $ 522.1 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Equity | The changes in the equity components for the nine months ended September 30, 2015 were as follows: The Timken Company Shareholders Total Stated Capital Other Paid-In Capital Earnings Invested in the Business Accumulated Other Comprehensive (Loss) Treasury Stock Non- controlling Interest Balance at December 31, 2014 $ 1,589.1 $ 53.1 $ 899.4 $ 1,615.4 $ (482.5 ) $ (509.2 ) $ 12.9 Net (loss) income (32.6 ) (35.1 ) 2.5 Foreign currency translation adjustment (52.1 ) (50.5 ) (1.6 ) Pension and postretirement liability 120.5 120.5 Change in fair value of derivative financial instruments, net of reclassifications 0.9 0.9 Dissolution of joint venture (0.2 ) (0.2 ) Investment in joint venture by noncontrolling interest party 3.7 3.7 Dividends – $0.77 per share (65.7 ) (65.7 ) Excess tax benefit from stock compensation 1.5 1.5 Stock-based compensation expense 14.1 14.1 Stock purchased at fair market value (227.9 ) (227.9 ) Stock option exercise activity 4.0 (7.4 ) 11.4 Restricted shares (issued) surrendered 0.2 (6.6 ) 6.8 Shares surrendered for taxes (3.9 ) (3.9 ) Balance at September 30, 2015 $ 1,351.6 $ 53.1 $ 901.0 $ 1,514.6 $ (411.6 ) $ (722.8 ) $ 17.3 |
Accumulated Other Comprehensi33
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2014 | |
Accumulated Comprehensive Income Components reclassification | The following tables present details about components of accumulated other comprehensive income (loss) for the three and nine months ended September 30, 2015 , respectively: Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at June 30, 2015 $ (21.4 ) $ (373.5 ) $ (1.1 ) $ (396.0 ) Other comprehensive (loss) income before reclassifications, before income tax (30.9 ) 4.2 2.1 (24.6 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 13.4 (0.2 ) 13.2 Income tax (benefit) expense — (4.6 ) (0.7 ) (5.3 ) Net current period other comprehensive (loss) income, net of income taxes (30.9 ) 13.0 1.2 (16.7 ) Non-controlling interest 1.1 — — 1.1 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (29.8 ) 13.0 1.2 (15.6 ) Balance at September 30, 2015 $ (51.2 ) $ (360.5 ) $ 0.1 $ (411.6 ) Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at December 31, 2014 $ (0.7 ) $ (481.0 ) $ (0.8 ) $ (482.5 ) Other comprehensive (loss) income before reclassifications, before income tax (52.1 ) (62.3 ) 2.1 (112.3 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 251.3 (0.7 ) 250.6 Income tax (benefit) expense — (68.5 ) (0.5 ) (69.0 ) Net current period other comprehensive (loss) income, net of income taxes (52.1 ) 120.5 0.9 69.3 Non-controlling interest 1.6 — — 1.6 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (50.5 ) 120.5 0.9 70.9 Balance at September 30, 2015 $ (51.2 ) $ (360.5 ) $ 0.1 $ (411.6 ) The following tables present details about components of accumulated other comprehensive loss for the three and the nine months ended September 30, 2014 , respectively: Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total Balance at June 30, 2014 $ 48.5 $ (445.7 ) $ (0.6 ) $ (397.8 ) Other comprehensive (loss) income before reclassifications, before income tax (25.9 ) 6.1 (0.1 ) (19.9 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 13.5 0.1 13.6 Income tax (benefit) expense — (4.2 ) (0.7 ) (4.9 ) Net current period other comprehensive (loss) income, net of income taxes (25.9 ) 15.4 (0.7 ) (11.2 ) Non-controlling interest 0.5 — — 0.5 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (25.4 ) 15.4 (0.7 ) (10.7 ) Balance at September 30, 2014 $ 23.1 $ (430.3 ) $ (1.3 ) $ (408.5 ) Foreign currency translation adjustments Pension and postretirement liability adjustments Change in fair value of derivative financial instruments Total As of December 31, 2013 $ 37.5 $ (663.2 ) $ (0.4 ) $ (626.1 ) Other comprehensive (loss) income before reclassifications, before income tax (17.6 ) (33.4 ) (1.0 ) (52.0 ) Amounts reclassified from accumulated other comprehensive income, before income tax — 52.9 0.7 53.6 Income tax (benefit) expense — (17.6 ) (0.6 ) (18.2 ) Net current period other comprehensive (loss) income, net of income taxes (17.6 ) 1.9 (0.9 ) (16.6 ) Non-controlling interest 0.1 — — 0.1 Distribution of TimkenSteel 3.1 231.0 — 234.1 Net current period comprehensive (loss) income, net of income taxes and non-controlling interest (14.4 ) 232.9 (0.9 ) 217.6 Balance at September 30, 2014 $ 23.1 $ (430.3 ) $ (1.3 ) $ (408.5 ) Other comprehensive (loss) income before reclassifications and income taxes includes the effect of foreign currency. $221.0 million of the before-tax reclassification of pension and postretirement liability adjustments was included in pension settlement charges in the Consolidated Statement of Income for the first nine months of 2015. The remaining before-tax reclassification of pension and postretirement liability adjustments was due to the amortization of actuarial losses and prior service costs and was included in costs of products sold and selling, general and administrative expenses in the Consolidated Statements of Income. The reclassification of the remaining components of accumulated other comprehensive income (loss) was included in other income (expense), net in the Consolidated Statements of Income. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Reconciliation of the numerator and the denominator of basic earnings per share and diluted earnings per share | The following table sets forth the reconciliation of the numerator and the denominator of basic earnings per share and diluted earnings per share for the three and nine months ended September 30, 2015 and 2014 : Three Months Ended Nine Months Ended September 30, 2015 2014 2015 2014 Numerator: Net income (loss) from continuing operations attributable to The Timken Company $ 63.4 $ (10.9 ) $ (35.1 ) $ 105.6 Less: undistributed earnings allocated to nonvested stock — — — Net income (loss) from continuing operations available to common shareholders for basic earnings per share and diluted earnings per share $ 63.4 $ (10.9 ) $ (35.1 ) $ 105.6 Denominator: Weighted average number of shares outstanding, basic 83,671,931 89,683,436 85,578,800 90,889,871 Effect of dilutive securities: Stock options and awards based on the treasury stock method 473,820 — — 820,157 Weighted average number of shares outstanding, assuming dilution of stock options and awards 84,145,751 89,683,436 85,578,800 91,710,028 Basic earnings (loss) per share from continuing operations $ 0.76 $ (0.12 ) $ (0.41 ) $ 1.16 Diluted earnings (loss) per share from continuing operations $ 0.75 $ (0.12 ) $ (0.41 ) $ 1.15 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment wise financial performance | The primary measurement used by management to measure the financial performance of each segment is EBIT (earnings before interest and taxes). Three Months Ended Nine Months Ended 2015 2014 2015 2014 Net sales to external customers: Mobile Industries $ 396.4 $ 427.0 $ 1,178.0 $ 1,295.9 Process Industries 311.0 361.0 979.9 1,018.1 $ 707.4 $ 788.0 $ 2,157.9 $ 2,314.0 Segment EBIT: Mobile Industries $ 43.0 $ (63.4 ) $ 114.4 $ 43.2 Process Industries 43.1 74.4 145.0 187.4 Total EBIT, for reportable segments $ 86.1 $ 11.0 $ 259.4 $ 230.6 Unallocated corporate expenses (16.6 ) (15.3 ) (44.8 ) (52.2 ) Unallocated pension settlement charges (3.6 ) — (223.2 ) — Interest expense (8.6 ) (9.1 ) (25.0 ) (20.4 ) Interest income 0.6 1.0 2.0 3.1 Income (loss) from continuing operations before income taxes $ 57.9 $ (12.4 ) $ (31.6 ) $ 161.1 |
Impairment and Restructuring 36
Impairment and Restructuring Charges (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Restructuring Cost and Reserve [Line Items] | |
Schedule of Restructuring and Related Costs | Impairment and restructuring charges by segment are comprised of the following: For the three months ended September 30, 2015 : Mobile Industries Process Industries Corporate Total Severance and related benefit costs $ 2.0 $ 1.7 $ 0.6 $ 4.3 Exit costs 0.1 — — 0.1 Total $ 2.1 $ 1.7 $ 0.6 $ 4.4 For the three months ended September 30, 2014 : Mobile Industries Process Industries Corporate Total Impairment charges $ 97.4 $ 0.2 $ 0.4 $ 98.0 Severance and related benefit costs 1.0 0.3 — 1.3 Exit costs — 0.1 — 0.1 Total $ 98.4 $ 0.6 $ 0.4 $ 99.4 For the nine months ended September 30, 2015 : Mobile Industries Process Industries Corporate Total Impairment charges $ 0.1 $ 3.2 $ — $ 3.3 Severance and related benefit costs 2.7 1.7 0.6 5.0 Exit costs 0.7 3.0 — 3.7 Total $ 3.5 $ 7.9 $ 0.6 $ 12.0 For the nine months ended September 30, 2014 : Mobile Industries Process Industries Corporate Total Impairment charges $ 98.2 $ 0.2 $ 0.4 $ 98.8 Severance and related benefit costs 4.7 1.7 — 6.4 Exit costs 1.4 1.4 — 2.8 Total $ 104.3 $ 3.3 $ 0.4 $ 108.0 |
Roll Forward consolidated restructuring accrual | The following is a rollforward of the consolidated restructuring accrual for the nine months ended September 30, 2015 and the twelve months ended December 31, 2014 : September 30, December 31, Beginning balance, January 1 $ 9.5 $ 10.8 Expense 8.7 14.5 Payments (4.4 ) (15.8 ) Ending balance $ 13.8 $ 9.5 |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |
Net periodic benefit cost for the Company's retirement benefit plans | The following table sets forth the net periodic benefit cost for the Company’s defined benefit pension plans. The amounts for the three months and nine months ended September 30, 2015 are based on calculations prepared by the Company's actuaries during the second quarter of 2015 . The net periodic benefit cost recorded for the three months and nine months ended September 30, 2015 is the Company’s best estimate of each period’s proportionate share of the amounts to be recorded for the year ending December 31, 2015 . U.S. Plans International Plans Total Three Months Ended Three Months Ended Three Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 3.8 $ 3.6 $ 0.5 $ 0.6 $ 4.3 $ 4.2 Interest cost 11.4 18.1 3.0 4.2 14.4 22.3 Expected return on plan assets (15.7 ) (28.7 ) (4.0 ) (5.4 ) (19.7 ) (34.1 ) Amortization of prior service cost 0.7 0.8 — — 0.7 0.8 Amortization of net actuarial loss 7.8 11.3 1.2 1.3 9.0 12.6 Pension settlements and curtailments 3.5 — — — 3.5 — Net periodic benefit cost $ 11.5 $ 5.1 $ 0.7 $ 0.7 $ 12.2 $ 5.8 U.S. Plans International Plans Total Nine Months Ended Nine Months Ended Nine Months Ended 2015 2014 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 11.4 $ 17.9 $ 1.9 $ 1.8 $ 13.3 $ 19.7 Interest cost 35.6 80.1 9.2 14.2 44.8 94.3 Expected return on plan assets (49.1 ) (123.1 ) (12.4 ) (18.5 ) (61.5 ) (141.6 ) Amortization of prior service cost 2.1 2.7 — — 2.1 2.7 Amortization of net actuarial loss 24.1 44.3 3.9 4.4 28.0 48.7 Pension settlements and curtailments 219.9 — 1.1 0.7 221.0 0.7 Less: discontinued operations — (8.0 ) — 0.4 — (7.6 ) Net periodic benefit cost $ 244.0 $ 13.9 $ 3.7 $ 3.0 $ 247.7 $ 16.9 |
Postretirement Benefit Plans (T
Postretirement Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Post Retirement Benefit Plans | |
Defined Contribution Plan Disclosures [Table Text Block] | Three Months Ended Nine Months Ended 2015 2014 2015 2014 Components of net periodic benefit cost: Service cost $ 0.1 $ 0.2 $ 0.3 $ 1.2 Interest cost 2.7 2.9 8.1 13.8 Expected return on plan assets (1.7 ) (1.4 ) (5.3 ) (7.1 ) Amortization of prior service cost (credit) 0.2 0.1 0.6 0.8 Amortization of net actuarial loss — — 0.1 — Less: discontinued operations — — — (3.1 ) Net periodic benefit cost $ 1.3 $ 1.8 $ 3.8 $ 5.6 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income taxes | The Company's provision for income taxes in interim periods is computed by applying the estimated annual effective tax rates to income or loss before income taxes for the period. In addition, non-recurring or discrete items, including interest on prior year tax liabilities, are recorded during the period(s) in which they occur. Three Months Ended Nine Months Ended 2015 2014 2015 2014 Provision (benefit) for income taxes $ (6.6 ) $ (2.2 ) $ 1.0 $ 53.4 Effective tax rate (11.4 )% 17.7 % (3.2 )% 33.1 % |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements, Nonrecurring [Table Text Block] | The following table presents those assets measured at fair value on a nonrecurring basis for the nine months ended September 30, 2015 using Level 3 inputs: Carrying Value Fair Value Adjustment Fair Value Long-lived assets held for sale: Repair business $ 5.8 $ (3.0 ) $ 2.8 Total long-lived assets held for sale $ 5.8 $ (3.0 ) $ 2.8 Long-lived assets held and used: Fixed assets $ 0.8 $ (0.3 ) $ 0.5 Total long-lived assets held and used $ 0.8 $ (0.3 ) $ 0.5 |
Assets and liabilities measured at fair value on a recurring basis | The following tables present the fair value hierarchy for those financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2015 and December 31, 2014 : September 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 155.0 $ 120.3 $ 34.7 $ — Restricted cash 14.8 — 14.8 — Short-term investments 8.7 — 8.7 — Foreign currency hedges 5.5 — 5.5 — Total Assets $ 184.0 $ 120.3 $ 63.7 $ — Liabilities: Foreign currency hedges $ 2.0 $ — $ 2.0 $ — Total Liabilities $ 2.0 $ — $ 2.0 $ — December 31, 2014 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 278.8 $ 155.6 $ 123.2 $ — Restricted cash 15.3 — 15.3 — Short-term investments 8.4 — 8.4 — Foreign currency hedges 12.4 — 12.4 — Total Assets $ 314.9 $ 155.6 $ 159.3 $ — Liabilities: Foreign currency hedges $ 0.3 $ — $ 0.3 $ — Total Liabilities $ 0.3 $ — $ 0.3 $ — |
Derivatives and Hedging Activ41
Derivatives and Hedging Activities (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Fair Value and Location of Hedging Assets and Liabilities [Abstract] | |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | The following table presents the fair value and location of all assets and liabilities associated with the Company's hedging instruments within the Consolidated Balance Sheets. Asset Derivatives Liability Derivatives Derivatives designated as hedging instruments Balance Sheet Location Fair Value at 9/30/15 Fair Value at 12/31/14 Fair Value at 9/30/15 Fair Value at 12/31/14 Foreign currency forward contracts Other non-current assets/liabilities $ 2.3 $ 0.6 $ 0.5 $ — Total derivatives designated as hedging instruments 2.3 0.6 0.5 — Derivatives not designated as hedging instruments Foreign currency forward contracts Other non-current assets/liabilities 3.2 11.8 1.5 0.3 Total Derivatives $ 5.5 $ 12.4 $ 2.0 $ 0.3 |
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location [Table Text Block] | The following tables present the impact of derivative instruments and their location within the Consolidated Statements of Income: Amount of gain or (loss) recognized in Other Comprehensive Income (OCI) on derivative instruments Three Months Ended Nine Months Ended Derivatives in cash flow hedging relationships 2015 2014 2015 2014 Foreign currency forward contracts $ 2.1 $ 1.4 $ 2.1 $ 1.0 Interest rate swaps — (1.6 ) — (2.1 ) Total $ 2.1 $ (0.2 ) $ 2.1 $ (1.1 ) |
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | Amount of gain or (loss) recognized in income on derivative instruments Three Months Ended Nine Months Ended Derivatives not designated as hedging instruments Location of gain or (loss) recognized in income on derivative 2015 2014 2015 2014 Foreign currency forward contracts Other (expense) income, net $ (16.3 ) $ 9.5 $ 9.8 $ 13.9 Total $ (16.3 ) $ 9.5 $ 9.8 $ 13.9 |
Discontinued Operations Text (D
Discontinued Operations Text (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2014 | Sep. 30, 2014 | |
TimkenSteel [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Transaction Cost | $ 10.1 | $ 54.7 |
Discontinued Operations Tables
Discontinued Operations Tables 1 (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net sales | $ 707.4 | $ 788 | $ 2,157.9 | $ 2,314 |
Cost of Goods Sold | 512 | 562.5 | 1,554.9 | 1,636.8 |
Gross Profit | 195.4 | 225.5 | 603 | 677.2 |
Selling, General and Administrative Expense | 120.7 | 132.2 | 375.3 | 410.8 |
Interest expense | (8.6) | (9.1) | (25) | (20.4) |
Other Nonoperating Income (Expense) | (0.8) | 1.8 | (1.1) | (1.9) |
Income From Continuing Operations Before Income Taxes | 57.9 | (12.4) | (31.6) | 161.1 |
Income Tax Expense (Benefit) | (6.6) | (2.2) | 1 | 53.4 |
Income from Discontinued Operations, Net of Tax, Attributable to Parent | $ 0 | (11) | $ 0 | 18.7 |
TimkenSteel [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Net sales | 0 | 786.2 | ||
Cost of Goods Sold | 0 | 642.1 | ||
Gross Profit | 0 | 144.1 | ||
Selling, General and Administrative Expense | 0 | 46.3 | ||
Transaction Cost | 10.1 | 54.7 | ||
Interest expense | 0 | 0.8 | ||
Other Nonoperating Income (Expense) | 0 | (0.1) | ||
Income From Continuing Operations Before Income Taxes | (10.1) | 42.4 | ||
Income Tax Expense (Benefit) | (0.9) | (23.7) | ||
Income from Discontinued Operations, Net of Tax, Attributable to Parent | $ (11) | $ 18.7 |
Acquisitions (Details)
Acquisitions (Details) $ in Millions | Sep. 30, 2015USD ($) |
Business Acquisition [Line Items] | |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents | $ 0.1 |
Accounts receivable, net | 13.3 |
Inventories, net | 48.5 |
Business Acquisition Purchase Price Allocation Other Current Assets | 1.1 |
Property, plant and equipment, net | 37.9 |
Goodwill | 69.7 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 63.9 |
Total assets acquired | 234.5 |
Accounts payable, trade | 10.2 |
Business Combination Purchase Price Allocation Current Liabilities Accrued Liabilities | 1.1 |
Other current liabilities | 1.3 |
Business Combination Pension Liability | 2.3 |
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other | 5.9 |
Total liabilities assumed | 20.8 |
Net assets acquired | $ 213.7 |
Acquisitions (Details 1)
Acquisitions (Details 1) $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Business Acquisition Purchase price allocation identifiable intangible assets | |
Intangible Assets, Weighted Average Life | 19 years |
Intangibles | $ 63.9 |
Technology-Based Intangible Assets [Member] | |
Business Acquisition Purchase price allocation identifiable intangible assets | |
Intangible Assets, Weighted Average Life | 20 years |
Intangibles | $ 17.1 |
Computer Software, Intangible Asset [Member] | |
Business Acquisition Purchase price allocation identifiable intangible assets | |
Intangible Assets, Weighted Average Life | 3 years |
Intangibles | $ 1.2 |
Trade name [Member] | |
Business Acquisition Purchase price allocation identifiable intangible assets | |
Intangible Assets, Weighted Average Life | 11 years |
Intangibles | $ 1.7 |
Customer Relationships [Member] | |
Business Acquisition Purchase price allocation identifiable intangible assets | |
Intangible Assets, Weighted Average Life | 20 years |
Intangibles | $ 43.9 |
Acquisitions (Details Textual)
Acquisitions (Details Textual) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2015USD ($)Person | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)Person | Sep. 30, 2014USD ($) | Jun. 30, 2015USD ($) | Sep. 01, 2015USD ($) | |
Business Acquisition [Line Items] | ||||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents | $ 0.1 | $ 0.1 | ||||
Acquisitions (Textual) [Abstract] | ||||||
Net sales | $ 707.4 | $ 788 | $ 2,157.9 | $ 2,314 | ||
Carlstar [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Acquisition Costs, Cumulative | $ 213.7 | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents | 0.1 | |||||
Business Acquisition, Transaction Costs | $ 1 | |||||
Acquisitions (Textual) [Abstract] | ||||||
Business Acquisition Number of Employees Employed | Person | 750 | 750 | ||||
Net sales | $ 140 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Inventories, net: | ||
Manufacturing supplies | $ 25.7 | $ 25 |
Raw materials | 63.5 | 51.3 |
Work in process | 212 | 219.3 |
Finished products | 318.2 | 302.7 |
Subtotal | 619.4 | 598.3 |
Allowance for obsolete and surplus inventory | (24) | (12.8) |
Total Inventories, net | $ 595.4 | $ 585.5 |
Property, Plant and Equipment48
Property, Plant and Equipment (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | ||
Trade Receivables Held-for-sale, Amount | $ 2.5 | |
Property, Plant and Equipment: | ||
Land and buildings | 429.7 | $ 428.8 |
Machinery and equipment | 1,762.9 | 1,735.3 |
Subtotal | 2,192.6 | 2,164.1 |
Accumulated depreciation | (1,409.5) | (1,383.6) |
Property, Plant and Equipment, net | 783.1 | $ 780.5 |
Inventory, Land Held-for-sale | 6.7 | |
Assets Held-for-sale, Not Part of Disposal Group, Current, Other | 0.1 | |
Disposal Group, Including Discontinued Operation, Property, Plant and Equipment, Current | 2 | |
Disposal Group, Including Discontinued Operation, Intangible Assets | 3.6 | |
Assets Held-for-sale, Not Part of Disposal Group | 14.9 | |
Disposal Group, Including Discontinued Operation, Accounts Payable | 0.7 | |
Disposal Group, Including Discontinued Operation, Other Liabilities, Current | 0.8 | |
Disposal Group, Including Discontinued Operation, Liabilities | 1.5 | |
Increase (Decrease) in Assets Held-for-sale | $ 13.4 |
Inventories (Details Textual)
Inventories (Details Textual) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Percentage of LIFO Inventory | 47.00% | ||
Percentage of FIFO Inventory | 53.00% | ||
Inventory Reserve (LIFO) | $ 197.1 | $ 199.7 | |
Increase (decrease) in Inventory Reserve (LIFO) | $ 2.6 | $ 1.7 |
Property, Plant and Equipment50
Property, Plant and Equipment (Details Textual) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Nov. 30, 2013 | Sep. 30, 2015 | Sep. 30, 2014 | Mar. 31, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Property Plant and Equipment (Textual) [Abstract] | |||||||
Depreciation expense | $ 70.8 | $ 90 | |||||
Capitalized Computer Software, Net | $ 45.7 | ||||||
Interest Costs Capitalized | 0 | 7.3 | |||||
Gains (Losses) on Sales of Other Real Estate | $ 0 | $ 0 | 0 | 22.6 | |||
Computer software [Member] | |||||||
Property Plant and Equipment (Textual) [Abstract] | |||||||
Depreciation expense | 8.3 | ||||||
Sao Paulo [Member] | |||||||
Property Plant and Equipment (Textual) [Abstract] | |||||||
Proceeds from Sale of Land Held-for-use | $ 31 | $ 28.9 | |||||
Costs of Real Estate Services and Land Sales | $ 3 | ||||||
Gains (Losses) on Sales of Other Real Estate | $ 22.6 | ||||||
After Tax Gain on Sale of Real Estate | $ 19.5 | ||||||
Full Accrual Minimum Percentage | 25.00% | ||||||
TimkenSteel [Member] | |||||||
Property Plant and Equipment (Textual) [Abstract] | |||||||
Interest Costs Capitalized | $ 5.7 |
Goodwill and Other Intangible51
Goodwill and Other Intangible Assets (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Goodwill [Line Items] | |
Goodwill, Acquired During Period | $ 69.7 |
Change in the carrying amount of Goodwill | |
Goodwill, Beginning Balance | 259.5 |
Goodwill, Other | (2.1) |
Goodwill, Ending Balance | 327.1 |
Mobile Industries [Member] | |
Goodwill [Line Items] | |
Goodwill, Acquired During Period | 7.1 |
Change in the carrying amount of Goodwill | |
Goodwill, Beginning Balance | 89.6 |
Goodwill, Other | (0.5) |
Goodwill, Ending Balance | 96.2 |
Process Industries [Member] | |
Goodwill [Line Items] | |
Goodwill, Acquired During Period | 62.6 |
Change in the carrying amount of Goodwill | |
Goodwill, Beginning Balance | 169.9 |
Goodwill, Other | (1.6) |
Goodwill, Ending Balance | $ 230.9 |
Goodwill and Other Intangible52
Goodwill and Other Intangible Assets (Details 1) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | $ 545.8 | $ 490.8 |
Intangible assets, Accumulated Amortization | 292.4 | 275.5 |
Intangible assets, Net Carrying Amount | 253.4 | 215.3 |
Intangible assets not subject to amortization: | ||
Indefinite Lived Intangible Assets Net | 24.4 | 24.5 |
Total intangible assets, Gross Carrying Amount | 570.2 | 515.3 |
Total intangible assets, Net Carrying Amount | 277.8 | 239.8 |
Customer Relationships [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 198.8 | 160.1 |
Intangible assets, Accumulated Amortization | 66.4 | 59 |
Intangible assets, Net Carrying Amount | 132.4 | 101.1 |
Know-how [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 32.7 | 33.4 |
Intangible assets, Accumulated Amortization | 6.3 | 5.1 |
Intangible assets, Net Carrying Amount | 26.4 | 28.3 |
Industrial license agreements [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 0.1 | 0.1 |
Intangible assets, Accumulated Amortization | 0.1 | 0.1 |
Intangible assets, Net Carrying Amount | 0 | 0 |
Land-use rights [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 8.5 | 8.7 |
Intangible assets, Accumulated Amortization | 4.8 | 4.7 |
Intangible assets, Net Carrying Amount | 3.7 | 4 |
Patents [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 2.1 | 2.3 |
Intangible assets, Accumulated Amortization | 2 | 2 |
Intangible assets, Net Carrying Amount | 0.1 | 0.3 |
Technology use [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 53.7 | 37 |
Intangible assets, Accumulated Amortization | 13.3 | 11.9 |
Intangible assets, Net Carrying Amount | 40.4 | 25.1 |
Trademarks [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 6.5 | 5.4 |
Intangible assets, Accumulated Amortization | 3.1 | 3 |
Intangible assets, Net Carrying Amount | 3.4 | 2.4 |
PMA licenses [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 0 | 5.3 |
Intangible assets, Accumulated Amortization | 0 | 4.5 |
Intangible assets, Net Carrying Amount | 0 | 0.8 |
Non-compete agreements [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 2.7 | 3.5 |
Intangible assets, Accumulated Amortization | 2.5 | 3.2 |
Intangible assets, Net Carrying Amount | 0.2 | 0.3 |
Computer Software, Intangible Asset [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Gross Carrying Amount | 240.7 | 235 |
Intangible assets, Accumulated Amortization | 193.9 | 182 |
Intangible assets, Net Carrying Amount | 46.8 | 53 |
Tradename [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Accumulated Amortization | 0 | 0 |
Intangible assets, Net Carrying Amount | 15.7 | 15.8 |
Intangible assets not subject to amortization: | ||
Trade name | 15.7 | 15.8 |
Air Transportation Equipment [Member] | ||
Intangible assets subject to amortization: | ||
Intangible assets, Accumulated Amortization | 0 | 0 |
Intangible assets not subject to amortization: | ||
FAA air agency certificates | $ 8.7 | $ 8.7 |
Goodwill and Other Intangible53
Goodwill and Other Intangible Assets (Details Textual) - USD ($) $ in Millions | Sep. 01, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Goodwill [Line Items] | |||
Indefinite-lived Intangible Assets, Written off Related to Sale of Business Unit | $ 3.6 | ||
Goodwill, Acquired During Period | 69.7 | ||
Goodwill and Other Intangible Assets (Textual) [Abstract] | |||
Amortization expense for intangible assets | 27 | $ 13.4 | |
Future Amortization Expense Year 2015 | 34.3 | ||
Future Amortization Expense Year 2016 | 30.3 | ||
Future Amortization Expense Year 2017 | 26.6 | ||
Future Amortization Expense Year 2018 | 22.1 | ||
Future Amortization Expense Year 2019 | $ 16.1 | ||
Carlstar [Member] | |||
Goodwill [Line Items] | |||
Goodwill, Acquired During Period | $ 55.8 | ||
Goodwill, Subsequent Recognition of Deferred Tax Asset | $ 13.9 |
Financing Arrangements (Details
Financing Arrangements (Details) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Short-term debt | ||
Short-term debt | $ 83.6 | $ 7.4 |
Line of Credit [Member] | Line of Credit Accounts Receivable Securitization [Member] | ||
Short-term debt | ||
Short-term debt | 78 | 0 |
Line of Credit [Member] | Foreign Subsidiary [Member] | ||
Short-term debt | ||
Short-term debt | 5.6 | $ 7.4 |
Line of Credit Accounts Receivable Securitization [Member] | ||
Short-term debt | ||
Short-term debt | $ 78 |
Financing Arrangements (Detai55
Financing Arrangements (Details 1) - USD ($) $ in Millions | Sep. 30, 2015 | Dec. 31, 2014 |
Long-term debt | ||
Total Long-term debt | $ 641 | $ 522.7 |
Less current maturities | 15.1 | 0.6 |
Long-term debt | 625.9 | 522.1 |
Senior Unsecured Notes - 3.875% [Member] | ||
Long-term debt | ||
Total Long-term debt | 345.1 | 346.4 |
Senior Unsecured Notes - Variable Rate [Member] | ||
Long-term debt | ||
Total Long-term debt | 120.8 | 0 |
Series A Medium Term Note [Member] | ||
Long-term debt | ||
Total Long-term debt | 175 | 175 |
Other Long Term Debt [Member] | ||
Long-term debt | ||
Total Long-term debt | $ 0.1 | $ 1.3 |
Financing Arrangements (Detai56
Financing Arrangements (Details Textual) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | |
Line of Credit Facility [Line Items] | |||
Short-term Debt | $ 83.6 | $ 7.4 | |
Long-term Fixed-rate Debt, Carrying Value | 520.1 | 521.4 | |
Financing Arrangements (Textual) [Abstract] | |||
Line of Credit Facility, Fair Value of Amount Outstanding | 641 | 522.7 | |
Accounts Receivable, less allowances (2015 - $17.2 million; 2014 - $13.7 million | 469.8 | 475.7 | |
Series A Medium Term Note [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Line of Credit Facility, Fair Value of Amount Outstanding | $ 175 | 175 | |
Fixed-rate Medium-Term Notes, Series A, Interest rate, Minimum | 6.74% | ||
Fixed-rate Medium-Term Notes, Series A, Interest rate, Maximum | 7.76% | ||
Debt Instruments, Maturity Date | May 1, 2028 | ||
Senior Unsecured Notes [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Long-term Debt, Weighted Average Interest Rate | 6.00% | ||
Senior Unsecured Notes - 3.875% [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Line of Credit Facility, Fair Value of Amount Outstanding | $ 345.1 | 346.4 | |
Total Long-term debt | $ 350 | ||
Debt Instrument, Interest rate | 3.875% | ||
Debt Instruments, Maturity Date | Sep. 1, 2024 | ||
Long-term Debt, Weighted Average Interest Rate | 3.875% | ||
Senior Unsecured Notes - Variable Rate [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Maximum borrowing capacity under line of credit | $ 500 | ||
Remaining Borrowing Capacity under Line of Credit Facility of Company's foreign subsidiaries | 379.2 | ||
Deferred Finance Costs, Gross | 2 | ||
Line of Credit Facility, Fair Value of Amount Outstanding | $ 120.8 | 0 | |
Debt Instrument, Interest rate | 1.48% | ||
Debt Instruments, Maturity Date | Jun. 30, 2015 | ||
Foreign Subsidiary [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Borrowings guarantees | $ 5.1 | ||
Line of Credit Accounts Receivable Securitization [Member] | |||
Line of Credit Facility [Line Items] | |||
Short-term Debt | 78 | ||
Financing Arrangements (Textual) [Abstract] | |||
Maximum borrowing capacity under line of credit | 100 | ||
Remaining Borrowing Capacity under Line of Credit Facility of Company's foreign subsidiaries | $ 0 | ||
Line of credit expiration date | Nov. 30, 2015 | ||
Line of Credit [Member] | Foreign Subsidiary [Member] | |||
Line of Credit Facility [Line Items] | |||
Short-term Debt | $ 5.6 | $ 7.4 | |
Financing Arrangements (Textual) [Abstract] | |||
Maximum borrowing capacity under line of credit | 222.9 | ||
Remaining Borrowing Capacity under Line of Credit Facility of Company's foreign subsidiaries | $ 212.2 | ||
Variable Rate Lines of Credit [Member] | |||
Financing Arrangements (Textual) [Abstract] | |||
Line of credit stated variable interest rate, Low Range | 0.40% | 0.51% | |
Line of Credit stated variable interest rate, High Range | 9.50% | 5.13% |
Equity (Details)
Equity (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2015 | Jun. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | Jun. 30, 2014 | |
Payments to Acquire Interest in Joint Venture | $ 3.8 | $ 3.7 | |||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | $ 1.2 | $ (0.7) | 0.9 | $ (0.9) | |||
Common Stock, Value, Issued | 53.1 | 53.1 | $ 53.1 | ||||
Noncontrolling Interest, Change in Redemption Value | (0.2) | ||||||
Treasury Stock, Value | 722.8 | 722.8 | 509.2 | ||||
Stockholders' Equity Attributable to Noncontrolling Interest | 17.3 | 17.3 | 12.9 | ||||
Shareholding pattern | |||||||
Beginning Balance | 1,589.1 | ||||||
Net income | 64.5 | (21.2) | (32.6) | 126.4 | |||
Net income attributable to noncontrolling interest | 1.1 | 0.7 | 2.5 | 2.1 | |||
Other Comprehensive Income Foreign Currency Translation Adjustment, net of Tax, net of Spinoff | (52.1) | ||||||
Net (loss) Income attributable to The Timken Company | 63.4 | (21.9) | (35.1) | 124.3 | |||
Pension and postretirement liability adjustment (net of the income tax benefit of $60.3 million) | 13 | 15.4 | 120.5 | 1.9 | |||
Noncontrolling Interest, Change in Redemption Value | (0.2) | ||||||
Dividends - $0.25 per share | (65.7) | ||||||
Excess tax benefit from stock compensation | 1.5 | ||||||
Stock-based compensation expense | 14.1 | ||||||
Payments for Repurchase of Common Stock | (227.9) | (266.5) | |||||
Stock option exercise activity | 4 | ||||||
Restricted shares surrendered (issued) | 0.2 | ||||||
Shares surrendered for taxes | (3.9) | ||||||
Ending Balance | 1,351.6 | 1,351.6 | |||||
Additional Paid in Capital, Common Stock | 901 | 901 | 899.4 | ||||
Retained Earnings (Accumulated Deficit) | 1,514.6 | 1,514.6 | 1,615.4 | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (411.6) | $ (396) | $ (408.5) | (411.6) | $ (408.5) | $ (482.5) | $ (397.8) |
Stated Capital [Member] | |||||||
Shareholding pattern | |||||||
Ending Balance | 53.1 | 53.1 | |||||
Other Paid-In Capital [Member] | |||||||
Shareholding pattern | |||||||
Excess tax benefit from stock compensation | 1.5 | ||||||
Stock-based compensation expense | 14.1 | ||||||
Stock option exercise activity | (7.4) | ||||||
Restricted shares surrendered (issued) | (6.6) | ||||||
Ending Balance | 901 | 901 | |||||
Earnings Invested in the Business [Member] | |||||||
Shareholding pattern | |||||||
Dividends - $0.25 per share | (65.7) | ||||||
Ending Balance | 1,514.6 | 1,514.6 | |||||
Accumulated Other Comprehensive (Loss) [Member] | |||||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 0.9 | ||||||
Shareholding pattern | |||||||
Other Comprehensive Income Foreign Currency Translation Adjustment, net of Tax, net of Spinoff | (50.5) | ||||||
Pension and postretirement liability adjustment (net of the income tax benefit of $60.3 million) | 120.5 | ||||||
Ending Balance | (411.6) | (411.6) | |||||
Treasury Stock [Member] | |||||||
Shareholding pattern | |||||||
Payments for Repurchase of Common Stock | (227.9) | ||||||
Stock option exercise activity | 11.4 | ||||||
Restricted shares surrendered (issued) | 6.8 | ||||||
Shares surrendered for taxes | (3.9) | ||||||
Ending Balance | (722.8) | (722.8) | |||||
Noncontrolling Interest [Member] | |||||||
Payments to Acquire Interest in Joint Venture | 3.7 | ||||||
Noncontrolling Interest, Change in Redemption Value | (0.2) | ||||||
Shareholding pattern | |||||||
Other Comprehensive Income Foreign Currency Translation Adjustment, net of Tax, net of Spinoff | (1.6) | ||||||
Noncontrolling Interest, Change in Redemption Value | (0.2) | ||||||
Ending Balance | $ 17.3 | $ 17.3 |
Equity (Details Textual)
Equity (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended |
Jun. 30, 2015 | Sep. 30, 2015 | |
Class of Stock [Line Items] | ||
Payments to Acquire Interest in Joint Venture | $ 3.8 | $ 3.7 |
Noncontrolling Interest in Joint Ventures | 51.00% | |
Equity (Textual) [Abstract] | ||
Pension and postretirement liability adjustment, Tax | $ 68.5 | |
Dividend per share | $ 0.77 | |
Holme Service Limited [Member] | ||
Class of Stock [Line Items] | ||
Payments to Acquire Interest in Joint Venture | $ 3.7 | |
Noncontrolling Interest in Joint Ventures | 49.00% | |
Future [Member] | ||
Class of Stock [Line Items] | ||
Payments to Acquire Interest in Joint Venture | $ 16 |
Accumulated Other Comprehensi59
Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Accumulated Other Comprehensive Income Components Reclassification [Line Items] | ||||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | $ 3.5 | $ 0 | $ 221 | $ 0.7 |
Other Comprehensive Income (Loss), before Reclassifications, before Tax | (24.6) | (19.9) | (112.3) | (52) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 13.2 | 13.6 | 250.6 | 53.6 |
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning Balance | (396) | (397.8) | (482.5) | |
Income tax (benefit) expense | (5.3) | (4.9) | (69) | (18.2) |
Net current period other comprehensive (loss) income, net of income taxes | (16.7) | (11.2) | 69.3 | (16.6) |
Other Comprehensive Income (loss), net of tax, prior to distribution of spinoff | (16.7) | (11.2) | 69.3 | (16.6) |
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest | 1.1 | 0.5 | 1.6 | 0.1 |
Accumulated Other Comprehensive Income (Loss) Attributable to Spinoff | (15.6) | 234.1 | ||
Ending Balance | (411.6) | (408.5) | (411.6) | (408.5) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (10.7) | 70.9 | 217.6 | |
Foreign currency translation adjustment [Member] | ||||
Accumulated Other Comprehensive Income Components Reclassification [Line Items] | ||||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | (30.9) | (25.9) | (52.1) | (17.6) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 0 | 0 | 0 | 0 |
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning Balance | (21.4) | 48.5 | ||
Income tax (benefit) expense | 0 | 0 | 0 | 0 |
Net current period other comprehensive (loss) income, net of income taxes | (30.9) | (25.9) | (52.1) | (17.6) |
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest | 1.1 | 0.5 | 1.6 | 0.1 |
Accumulated Other Comprehensive Income (Loss) Attributable to Spinoff | (29.8) | 3.1 | ||
Ending Balance | (51.2) | 23.1 | (51.2) | 23.1 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (25.4) | (50.5) | (14.4) | |
Pension and postretirement liability adjustment [Member] | ||||
Accumulated Other Comprehensive Income Components Reclassification [Line Items] | ||||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | 4.2 | 6.1 | (62.3) | (33.4) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | 13.4 | 13.5 | 251.3 | 52.9 |
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning Balance | (373.5) | (445.7) | ||
Income tax (benefit) expense | (4.6) | (4.2) | (68.5) | (17.6) |
Net current period other comprehensive (loss) income, net of income taxes | 13 | 15.4 | 120.5 | 1.9 |
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest | 0 | 0 | 0 | 0 |
Accumulated Other Comprehensive Income (Loss) Attributable to Spinoff | 13 | 231 | ||
Ending Balance | (360.5) | (430.3) | (360.5) | (430.3) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 15.4 | 120.5 | 232.9 | |
Derivative financial instruments fair value adjustment [Member] | ||||
Accumulated Other Comprehensive Income Components Reclassification [Line Items] | ||||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | 2.1 | (0.1) | 2.1 | (1) |
Reclassification from Accumulated Other Comprehensive Income, Current Period, before Tax | (0.2) | 0.1 | (0.7) | 0.7 |
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning Balance | (1.1) | (0.6) | ||
Income tax (benefit) expense | (0.7) | (0.7) | (0.5) | (0.6) |
Net current period other comprehensive (loss) income, net of income taxes | 1.2 | (0.7) | 0.9 | (0.9) |
Other Comprehensive (Income) Loss, Net of Tax, Portion Attributable to Noncontrolling Interest | 0 | 0 | 0 | 0 |
Accumulated Other Comprehensive Income (Loss) Attributable to Spinoff | 1.2 | 0 | ||
Ending Balance | $ 0.1 | (1.3) | 0.1 | (1.3) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | $ (0.7) | $ 0.9 | $ (0.9) |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Numerator: | ||||
Income (Loss) from Continuing Operations Attributable to Parent | $ 63.4 | $ (10.9) | $ (35.1) | $ 105.6 |
Less Undistributed Earnings (Loss) Allocated to Nonvested Stock | 0 | 0 | 0 | |
Net income available to common shareholders for basic earnings per share and diluted earnings per share | $ 63.4 | $ (10.9) | $ (35.1) | $ 105.6 |
Denominator: | ||||
Weighted Average Number of Shares Outstanding, Basic | 83,671,931 | 89,683,436 | 85,578,800 | 90,889,871 |
Effect of dilutive securities: | ||||
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements | 473,820 | 0 | 0 | 820,157 |
Weighted average number of shares outstanding, assuming dilution of stock options and awards | 84,145,751 | 89,683,436 | 85,578,800 | 91,710,028 |
Income (Loss) from Continuing Operations, Per Basic Share | $ 0.76 | $ (0.12) | $ (0.41) | $ 1.16 |
Income (Loss) from Continuing Operations, Per Diluted Share | $ 0.75 | $ (0.12) | $ (0.41) | $ 1.15 |
Earnings Per Share (Details Tex
Earnings Per Share (Details Textual) - shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings Per Share (Textual) [Abstract] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 2,761,824 | 697,670 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||
Assets | $ 2,946.6 | $ 2,946.6 | $ 3,001.4 | ||
Net sales to external customers: | |||||
Net sales | 707.4 | $ 788 | 2,157.9 | $ 2,314 | |
Segment EBIT: | |||||
Total EBIT for reportable segments | 86.1 | 11 | 259.4 | 230.6 | |
Unallocated corporate expenses | (16.6) | (15.3) | (44.8) | (52.2) | |
Defined Benefit Plan, Settlements, Plan Assets | 3.6 | 0 | 223.2 | 0 | |
Interest expense | (8.6) | (9.1) | (25) | (20.4) | |
Investment Income, Interest | 0.6 | 1 | 2 | 3.1 | |
Income From Continuing Operations Before Income Taxes | 57.9 | (12.4) | (31.6) | 161.1 | |
Mobile Industries [Member] | |||||
Net sales to external customers: | |||||
Net sales | 396.4 | 427 | 1,178 | 1,295.9 | |
Segment EBIT: | |||||
Total EBIT for reportable segments | 43 | (63.4) | 114.4 | 43.2 | |
Process Industries [Member] | |||||
Net sales to external customers: | |||||
Net sales | 311 | 361 | 979.9 | 1,018.1 | |
Segment EBIT: | |||||
Total EBIT for reportable segments | $ 43.1 | $ 74.4 | $ 145 | $ 187.4 |
Impairment and Restructuring 63
Impairment and Restructuring Charges (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Restructuring and Related Cost [Line Items] | |||||
Tangible Asset Impairment Charges | $ 98 | $ 3.3 | $ 98.8 | ||
Impairment and Restructuring Charges for the Mobile Segment | |||||
Severance Costs | $ 4.3 | 1.3 | 5 | 6.4 | |
Exit costs | 0.1 | 0.1 | 3.7 | 2.8 | |
Total | 4.4 | 99.4 | 12 | 108 | |
Mobile Industries [Member] | |||||
Restructuring and Related Cost [Line Items] | |||||
Tangible Asset Impairment Charges | 97.4 | 0.1 | 98.2 | ||
Impairment and Restructuring Charges for the Mobile Segment | |||||
Severance Costs | 2 | 1 | 2.7 | 4.7 | |
Exit costs | 0.1 | 0 | 0.7 | 1.4 | |
Total | 2.1 | 98.4 | 3.5 | 104.3 | |
Process Industries [Member] | |||||
Restructuring and Related Cost [Line Items] | |||||
Tangible Asset Impairment Charges | 0.2 | 3.2 | 0.2 | ||
Impairment and Restructuring Charges for the Mobile Segment | |||||
Severance Costs | 1.7 | 0.3 | 1.7 | 1.7 | |
Exit costs | 0 | 0.1 | 3 | 1.4 | |
Total | 1.7 | 0.6 | 7.9 | 3.3 | |
Corporate, Non-Segment [Member] | |||||
Restructuring and Related Cost [Line Items] | |||||
Tangible Asset Impairment Charges | 0.4 | 0 | 0.4 | ||
Impairment and Restructuring Charges for the Mobile Segment | |||||
Severance Costs | 0.6 | 0 | 0.6 | 0 | |
Exit costs | 0 | 0 | 0 | $ 0 | |
Total | $ 0.6 | $ 0.4 | $ 0.6 | $ 0.4 |
Impairment and Restructuring 64
Impairment and Restructuring Charges (Details 1) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Tangible Asset Impairment Charges | $ 98 | $ 3.3 | $ 98.8 | ||
Severance Costs | $ 4.3 | 1.3 | 5 | 6.4 | |
Business Exit Costs | 0.1 | 0.1 | 3.7 | 2.8 | |
Restructuring, Settlement and Impairment Provisions | 4.4 | 99.4 | 12 | 108 | |
Roll Forward consolidated restructuring accrual | |||||
Beginning Balance | 9.5 | 10.8 | $ 10.8 | ||
Expense | 8.7 | 14.5 | |||
Payments | (4.4) | (15.8) | |||
Ending Balance | 13.8 | 13.8 | $ 9.5 | ||
Mobile Industries [Member] | |||||
Tangible Asset Impairment Charges | 97.4 | 0.1 | 98.2 | ||
Severance Costs | 2 | 1 | 2.7 | 4.7 | |
Business Exit Costs | 0.1 | 0 | 0.7 | 1.4 | |
Restructuring, Settlement and Impairment Provisions | 2.1 | 98.4 | 3.5 | 104.3 | |
Process Industries [Member] | |||||
Tangible Asset Impairment Charges | 0.2 | 3.2 | 0.2 | ||
Severance Costs | 1.7 | 0.3 | 1.7 | 1.7 | |
Business Exit Costs | 0 | 0.1 | 3 | 1.4 | |
Restructuring, Settlement and Impairment Provisions | $ 1.7 | $ 0.6 | $ 7.9 | $ 3.3 |
Impairment and Restructuring 65
Impairment and Restructuring Charges (Details Textual) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Sep. 30, 2015USD ($)Positions | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($)Positions | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Restructuring and Related Cost [Line Items] | ||||||
Exit costs | $ 0.1 | $ 0.1 | $ 3.7 | $ 2.8 | ||
Restructuring accrual | 13.8 | 13.8 | $ 9.5 | $ 10.8 | ||
Severance Costs | 4.3 | 1.3 | 5 | 6.4 | ||
Tangible Asset Impairment Charges | 98 | 3.3 | 98.8 | |||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | $ 3.5 | 0 | 221 | $ 0.7 | ||
WorkforceReduction [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Restructuring and Related Cost, Number of Positions Eliminated | Positions | 65 | 30 | ||||
Severance Costs | $ 4 | $ 2.8 | ||||
South America [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Exit costs | 3 | |||||
Mobile Industries [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Goodwill, Impairment Loss | 86.3 | |||||
Impairment of Intangible Assets (Excluding Goodwill) | 9.9 | |||||
Exit costs | 0.1 | 0 | 0.7 | 1.4 | ||
Severance Costs | 2 | 1 | 2.7 | 4.7 | ||
Tangible Asset Impairment Charges | 97.4 | 0.1 | 98.2 | |||
Mobile Industries [Member] | WorkforceReduction [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Severance Costs | 1.8 | 1.6 | ||||
Mobile Industries [Member] | Europe [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Severance Costs | 1.2 | 2.3 | ||||
Aerospace Overhaul [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Goodwill, Impairment Loss | 1.2 | |||||
Severance Costs | 0.3 | |||||
Process Industries [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Exit costs | 0 | 0.1 | 3 | 1.4 | ||
Severance Costs | 1.7 | 0.3 | 1.7 | 1.7 | ||
Tangible Asset Impairment Charges | 0.2 | 3.2 | 0.2 | |||
Process Industries [Member] | WorkforceReduction [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Severance Costs | 1.6 | 1.2 | ||||
Corporate, Non-Segment [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Exit costs | 0 | 0 | 0 | $ 0 | ||
Severance Costs | 0.6 | 0 | 0.6 | 0 | ||
Tangible Asset Impairment Charges | 0.4 | 0 | 0.4 | |||
Corporate, Non-Segment [Member] | WorkforceReduction [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Severance Costs | 0.6 | |||||
Foreign Pension Plan, Defined Benefit [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | $ 0 | $ 0 | 1.1 | $ 0.7 | ||
Repair Business [Member] | ||||||
Restructuring and Related Cost [Line Items] | ||||||
Tangible Asset Impairment Charges | $ 3 |
Retirement Benefit Plans (Detai
Retirement Benefit Plans (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||||||
Pension obligations transferred | $ 575 | ||||||
Defined Benefit Plan, Assets Transferred to (from) Plan | 635 | ||||||
Lump Sum Distributions Paid | $ 29.5 | ||||||
Components of net periodic benefit cost: | |||||||
Service cost | $ 4.3 | $ 4.2 | $ 13.3 | $ 19.7 | |||
Interest cost | 14.4 | 22.3 | 44.8 | 94.3 | |||
Expected return on plan assets | (19.7) | (34.1) | (61.5) | (141.6) | |||
Amortization of prior service cost | 0.7 | 0.8 | 2.1 | 2.7 | |||
Amortization of net actuarial loss | 9 | 12.6 | 28 | 48.7 | |||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | 3.5 | 0 | 221 | 0.7 | |||
Net periodic benefit cost from discontinued operations | 0 | (7.6) | |||||
Net periodic benefit cost | 12.2 | 5.8 | 247.7 | 16.9 | |||
Professional Fees | 2.2 | ||||||
Percent Inactive in US Pension Plan | 95.00% | ||||||
Updated Amortization Period of Actuarial Gain on U.S. Pension Plan | 15.5 | ||||||
Amortization Period of Actuarial Gain in U.S. Pension Plan | 10.1 | ||||||
Pension Expense | $ 3.1 | ||||||
Pension Expense Net of Tax | $ 1.9 | ||||||
Per Share Effect of Lower Pension Expense, net of Tax | $ 0.02 | ||||||
Other Postretirement Benefit Plan [Member] | |||||||
Components of net periodic benefit cost: | |||||||
Service cost | 0.1 | 0.2 | 0.3 | 1.2 | |||
Interest cost | 2.7 | 2.9 | 8.1 | 13.8 | |||
Expected return on plan assets | (1.7) | (1.4) | (5.3) | (7.1) | |||
Amortization of prior service cost | 0.2 | 0.1 | 0.6 | 0.8 | |||
Defined Benefit Plan, Amortization of Gains (Losses) | 0 | 0 | (0.1) | 0 | |||
Net periodic benefit cost from discontinued operations | 0 | 0 | 0 | (3.1) | |||
Net periodic benefit cost | 1.3 | 1.8 | 3.8 | 5.6 | |||
Pension Plan, Defined Benefit [Member] | |||||||
Components of net periodic benefit cost: | |||||||
Service cost | 3.8 | 3.6 | 11.4 | 17.9 | |||
Interest cost | 11.4 | 18.1 | 35.6 | 80.1 | |||
Expected return on plan assets | (15.7) | (28.7) | (49.1) | (123.1) | |||
Amortization of prior service cost | 0.7 | 0.8 | 2.1 | 2.7 | |||
Amortization of net actuarial loss | 7.8 | 11.3 | 24.1 | 44.3 | |||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | 3.5 | 0 | 219.9 | 0 | |||
Net periodic benefit cost from discontinued operations | 0 | (8) | |||||
Net periodic benefit cost | 11.5 | 5.1 | 244 | 13.9 | |||
Foreign Pension Plan, Defined Benefit [Member] | |||||||
Components of net periodic benefit cost: | |||||||
Service cost | 0.5 | 0.6 | 1.9 | 1.8 | |||
Interest cost | 3 | 4.2 | 9.2 | 14.2 | |||
Expected return on plan assets | (4) | (5.4) | (12.4) | (18.5) | |||
Amortization of prior service cost | 0 | 0 | 0 | 0 | |||
Amortization of net actuarial loss | 1.2 | 1.3 | 3.9 | 4.4 | |||
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | 0 | 0 | 1.1 | 0.7 | |||
Net periodic benefit cost from discontinued operations | 0 | 0.4 | |||||
Net periodic benefit cost | $ 0.7 | $ 0.7 | $ 3.7 | $ 3 |
Postretirement Benefit Plans (D
Postretirement Benefit Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Components of net periodic benefit cost: | ||||
Service cost | $ 4.3 | $ 4.2 | $ 13.3 | $ 19.7 |
Interest cost | 14.4 | 22.3 | 44.8 | 94.3 |
Expected return on plan assets | (19.7) | (34.1) | (61.5) | (141.6) |
Amortization of prior service credit | 0.7 | 0.8 | 2.1 | 2.7 |
Net periodic benefit cost from discontinued operations | 0 | (7.6) | ||
Net periodic benefit cost | 12.2 | 5.8 | 247.7 | 16.9 |
Defined Benefit Plan, Future Amortization of Gain (Loss) | (9) | (12.6) | (28) | (48.7) |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | (3.5) | 0 | (221) | (0.7) |
Pension Plan, Defined Benefit [Member] | ||||
Components of net periodic benefit cost: | ||||
Service cost | 3.8 | 3.6 | 11.4 | 17.9 |
Interest cost | 11.4 | 18.1 | 35.6 | 80.1 |
Expected return on plan assets | (15.7) | (28.7) | (49.1) | (123.1) |
Amortization of prior service credit | 0.7 | 0.8 | 2.1 | 2.7 |
Net periodic benefit cost from discontinued operations | 0 | (8) | ||
Net periodic benefit cost | 11.5 | 5.1 | 244 | 13.9 |
Defined Benefit Plan, Future Amortization of Gain (Loss) | (7.8) | (11.3) | (24.1) | (44.3) |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | (3.5) | 0 | (219.9) | 0 |
Foreign Pension Plan, Defined Benefit [Member] | ||||
Components of net periodic benefit cost: | ||||
Service cost | 0.5 | 0.6 | 1.9 | 1.8 |
Interest cost | 3 | 4.2 | 9.2 | 14.2 |
Expected return on plan assets | (4) | (5.4) | (12.4) | (18.5) |
Amortization of prior service credit | 0 | 0 | 0 | 0 |
Net periodic benefit cost from discontinued operations | 0 | 0.4 | ||
Net periodic benefit cost | 0.7 | 0.7 | 3.7 | 3 |
Defined Benefit Plan, Future Amortization of Gain (Loss) | (1.2) | (1.3) | (3.9) | (4.4) |
Defined Benefit Plan, Recognized Net Gain (Loss) Due to Settlements and Curtailments | 0 | 0 | (1.1) | (0.7) |
Postretirement Benefit Plans [Member] | ||||
Components of net periodic benefit cost: | ||||
Service cost | 0.1 | 0.2 | 0.3 | 1.2 |
Interest cost | 2.7 | 2.9 | 8.1 | 13.8 |
Expected return on plan assets | (1.7) | (1.4) | (5.3) | (7.1) |
Amortization of prior service credit | 0.2 | 0.1 | 0.6 | 0.8 |
Defined Benefit Plan, Amortization of Gains (Losses) | 0 | 0 | 0.1 | 0 |
Net periodic benefit cost from discontinued operations | 0 | 0 | 0 | (3.1) |
Net periodic benefit cost | $ 1.3 | $ 1.8 | $ 3.8 | $ 5.6 |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes | $ (6.6) | $ (2.2) | $ 1 | $ 53.4 |
Effective tax rate | (11.40%) | 17.70% | (3.20%) | 33.10% |
Income Taxes (Details Textual)
Income Taxes (Details Textual) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Effective Income Tax Rate Reconciliation, Percent | 11.40% | (17.70%) | 3.20% | (33.10%) |
Income Tax Expense (Benefit) | $ 6.6 | $ 2.2 | $ (1) | $ (53.4) |
Income From Continuing Operations Before Income Taxes | $ (57.9) | $ 12.4 | $ 31.6 | $ (161.1) |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.00% | 35.00% |
Fair Value (Details)
Fair Value (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets Held For Sale Carrying Value - Fair Value Disclosure | $ 5.8 | |
Assets and Liabilities Measured at fair value on a recurring basis | ||
Restricted cash | 14.8 | $ 15.3 |
Foreign currency hedges | 5.5 | 12.4 |
Foreign currency hedges | 2 | 0.3 |
Assets Held For Sale Fair Value Adjustment - Fair Value Disclosure | (3) | |
Long Lived Fixed Assets Held and Used at Carrying Value - Fair Value Disclosure | 0.8 | |
Long Lived Assets Held and Used Fair Value Adjustment - Fair Value Disclosure | (0.3) | |
Long Lived Fixed Assets Held and Used at Fair Value - Fair Value Disclosure | 0.5 | |
Fair Value, Measurements, Recurring [Member] | ||
Assets and Liabilities Measured at fair value on a recurring basis | ||
Cash and cash equivalents | 155 | 278.8 |
Restricted cash | 14.8 | 15.3 |
Short-term investments | 8.7 | 8.4 |
Foreign currency hedges | 5.5 | 12.4 |
Total Assets | 184 | 314.9 |
Foreign currency hedges | 2 | 0.3 |
Total Liabilities | 2 | 0.3 |
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Assets and Liabilities Measured at fair value on a recurring basis | ||
Cash and cash equivalents | 120.3 | 155.6 |
Restricted cash | 0 | 0 |
Short-term investments | 0 | 0 |
Foreign currency hedges | 0 | 0 |
Total Assets | 120.3 | 155.6 |
Foreign currency hedges | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 2 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Assets and Liabilities Measured at fair value on a recurring basis | ||
Cash and cash equivalents | 34.7 | 123.2 |
Restricted cash | 14.8 | 15.3 |
Short-term investments | 8.7 | 8.4 |
Foreign currency hedges | 5.5 | 12.4 |
Total Assets | 63.7 | 159.3 |
Foreign currency hedges | 2 | 0.3 |
Total Liabilities | 2 | 0.3 |
Level 3 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Assets and Liabilities Measured at fair value on a recurring basis | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Short-term investments | 0 | 0 |
Foreign currency hedges | 0 | 0 |
Total Assets | 0 | 0 |
Foreign currency hedges | 0 | 0 |
Total Liabilities | 0 | $ 0 |
Repair Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets Held For Sale Carrying Value - Fair Value Disclosure | 5.8 | |
Assets and Liabilities Measured at fair value on a recurring basis | ||
Assets Held For Sale Fair Value Adjustment - Fair Value Disclosure | $ (3) |
Fair Value (Details Textual)
Fair Value (Details Textual) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets Held For Sale Carrying Value - Fair Value Disclosure | $ 5.8 | |
Long Lived Assets Held and Used Fair Value Adjustment - Fair Value Disclosure | (0.3) | |
Long Lived Fixed Assets Held and Used at Carrying Value - Fair Value Disclosure | 0.8 | |
Long-term Debt, Fair Value | 538.8 | $ 558.6 |
Assets Held-for-sale, Long Lived, Fair Value Disclosure | 2.8 | |
Long Lived Fixed Assets Held and Used at Fair Value - Fair Value Disclosure | 0.5 | |
Assets Held For Sale Fair Value Adjustment - Fair Value Disclosure | (3) | |
Long-term Fixed-rate Debt, Carrying Value | 520.1 | $ 521.4 |
Repair Business [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets Held For Sale Carrying Value - Fair Value Disclosure | 5.8 | |
Assets Held-for-sale, Long Lived, Fair Value Disclosure | 2.8 | |
Assets Held For Sale Fair Value Adjustment - Fair Value Disclosure | (3) | |
Property, Plant and Equipment [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long Lived Assets Held and Used Fair Value Adjustment - Fair Value Disclosure | (0.3) | |
Long Lived Fixed Assets Held and Used at Carrying Value - Fair Value Disclosure | 0.8 | |
Long Lived Fixed Assets Held and Used at Fair Value - Fair Value Disclosure | $ 0.5 |
Derivatives and Hedging Activ72
Derivatives and Hedging Activities (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Forward Currency Forward Contracts [Abstract] | |||||
Unrealized Gain on Foreign Currency Derivatives, before Tax | $ 2,100,000 | $ 1,400,000 | $ 2,100,000 | $ 1,000,000 | |
Unrealized Gain (Loss) on Interest Rate Cash Flow Hedges, Pretax, Accumulated Other Comprehensive Income (Loss) | 0 | (1,600,000) | 0 | (2,100,000) | |
Unrealized Gain (Loss) on Price Risk Cash Flow Derivatives, before Tax | 2,100,000 | (200,000) | 2,100,000 | (1,100,000) | |
Foreign Currency Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | 300,000 | (100,000) | 1,000,000 | (600,000) | |
Foreign Currency Fair Value Hedge Asset at Fair Value | 2,300,000 | 2,300,000 | $ 600,000 | ||
Derivative, Notional Amount | 263,400,000 | 263,400,000 | 194,100,000 | ||
Gain (Loss) on Foreign Currency Derivative Instruments Not Designated as Hedging Instruments | (16,300,000) | 9,500,000 | 9,800,000 | 13,900,000 | |
Foreign Currency Fair Value Hedge Liability at Fair Value | 500,000 | 500,000 | 0 | ||
Derivative Instruments in Hedges, Assets, at Fair Value | 2,300,000 | 2,300,000 | 600,000 | ||
Derivative Instruments in Hedges, Liabilities, at Fair Value | 500,000 | 500,000 | 0 | ||
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Asset at Fair Value | 3,200,000 | 3,200,000 | 11,800,000 | ||
Foreign Currency Derivative Instruments Not Designated as Hedging Instruments, Liability at Fair Value | 1,500,000 | 1,500,000 | 300,000 | ||
Derivative Asset | 5,500,000 | 5,500,000 | 12,400,000 | ||
Derivative Liability | 2,000,000 | 2,000,000 | $ 300,000 | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 200,000 | (100,000) | 700,000 | (600,000) | |
Derivative Instruments Not Designated as Hedging Instruments, Gain | (16,300,000) | 9,500,000 | 9,800,000 | 13,900,000 | |
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | $ (100,000) | $ 0 | $ (300,000) | $ 0 |
Schedule Of Subsequent Events73
Schedule Of Subsequent Events (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | |
Subsequent Event [Line Items] | |||||
Sales Revenue, Goods, Net | $ 707.4 | $ 788 | $ 2,157.9 | $ 2,314 | |
Alcor [Member] | |||||
Subsequent Event [Line Items] | |||||
Sales Revenue, Goods, Net | $ 20.6 |