Tootsie Roll Industries (TR) 10-Q 9 May 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	3 Months Ended
	Mar. 31, 2016shares
Entity Registrant Name	TOOTSIE ROLL INDUSTRIES INC
Entity Central Index Key	98,677
Document Type	10-Q
Document Period End Date	Mar. 31, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Common Stock
Entity Common Stock, Shares Outstanding	38,282,506
Class B Common Stock
Entity Common Stock, Shares Outstanding	24,244,622

CONSOLIDATED STATEMENTS OF Fina

CONSOLIDATED STATEMENTS OF Financial Position - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
CURRENT ASSETS:
Cash & cash equivalents	$ 95,057	$ 126,145	$ 85,430
Restricted cash	414	395
Investments	38,750	42,155	52,530
Trade accounts receivable, less allowances of $2,224, $2,225 & $1,976	40,448	51,010	41,511
Other receivables	2,693	2,772	3,965
Inventories:
Finished goods & work-in-process	39,315	35,032	52,591
Raw material & supplies	29,721	27,231	28,262
Prepaid expenses	5,724	5,935	6,198
Deferred income taxes	3,152	3,131	7,094
Total current assets	255,274	293,806	277,581
PROPERTY, PLANT & EQUIPMENT, at cost:
Land	22,223	22,188	22,251
Buildings	114,581	114,562	113,199
Machinery & equipment	355,611	357,627	350,497
Construction in progress	13,492	5,158	3,645
Property, plant and equipment, gross	505,907	499,535	489,592
Less-accumulated depreciation	317,869	314,949	302,877
Net property, plant and equipment	188,038	184,586	186,715
OTHER ASSETS:
Goodwill	73,237	73,237	73,237
Trademarks	175,024	175,024	175,024
Investments	176,483	152,930	156,053
Split dollar officer life insurance	26,042	26,042	33,632
Prepaid expenses	2,041	3,050	5,889
Restricted cash			1,225
Deferred income taxes	310	308	1,575
Total other assets	453,137	430,591	446,635
Total assets	896,449	908,983	910,931
CURRENT LIABILITIES:
Accounts payable	12,933	11,322	14,432
Bank loan	489	231	179
Dividends payable	144	5,486	130
Accrued liabilities	43,273	50,117	43,551
Postretirement health care benefits	328	448	328
Income taxes payable	1,935	4,436	2,807
Deferred compensation	668	22	14,284
Total current liabilities	59,770	72,062	75,711
NONCURRENT LIABILITIES:
Deferred income taxes	48,240	47,594	51,844
Bank loans	364	383	484
Postretirement health care benefits	11,052	10,952	12,154
Industrial development bonds	7,500	7,500	7,500
Liability for uncertain tax positions	4,983	5,101	8,453
Deferred compensation and other liabilities	67,051	66,843	66,678
Total noncurrent liabilities	139,190	138,373	147,113
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Capital in excess of par value	668,864	622,882	650,724
Retained earnings	2,972	52,349	11,922
Accumulated other comprehensive loss	(16,101)	(17,364)	(15,758)
Treasury stock (at cost)- 83, 80 & 80 shares, respectively	(1,992)	(1,992)	(1,992)
Total Tootsie Roll Industries, Inc. shareholders' equity	697,164	698,183	687,831
Noncontrolling interests	325	365	276
Total equity	697,489	698,548	688,107
Total liabilities and shareholders' equity	896,449	908,983	910,931
Common Stock
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Common stock, $.69-4/9 par value- 120,000 shares authorized; 38,283, 37,382 & 38,257, respectively, issued. Class B common stock, $.69-4/9 par value- 40,000 shares authorized; 24,245, 23,542 & 23,571, respectively, issued	26,585	25,960	26,567
Class B Common Stock
TOOTSIE ROLL INDUSTRIES, INC. SHAREHOLDERS' EQUITY:
Common stock, $.69-4/9 par value- 120,000 shares authorized; 38,283, 37,382 & 38,257, respectively, issued. Class B common stock, $.69-4/9 par value- 40,000 shares authorized; 24,245, 23,542 & 23,571, respectively, issued	$ 16,836	$ 16,348	$ 16,368

CONSOLIDATED STATEMENTS OF Fin3

CONSOLIDATED STATEMENTS OF Financial Position (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
Trade accounts receivable, allowances	$ 2,224	$ 2,225	$ 1,976
Treasury stock, shares	83,000	80,000	80,000
Common Stock
Common stock, par value (in dollars per share)	$ 0.6944	$ 0.6944	$ 0.6944
Common stock, shares authorized	120,000,000	120,000,000	120,000,000
Common stock, shares issued	38,283,000	37,382,000	38,257,000
Class B Common Stock
Common stock, par value (in dollars per share)	$ 0.6944	$ 0.6944	$ 0.6944
Common stock, shares authorized	40,000,000	40,000,000	40,000,000
Common stock, shares issued	24,245,000	23,542,000	23,571,000

CONSOLIDATED STATEMENTS OF Earn

CONSOLIDATED STATEMENTS OF Earnings and Retained Earnings - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Mar. 31, 2016	Mar. 31, 2015
CONSOLIDATED STATEMENTS OF Earnings and Retained Earnings
Net product sales		$ 103,362	$ 105,477
Rental and royalty revenue		1,033	844
Total revenue		104,395	106,321
Product cost of goods sold		65,824	67,145
Rental and royalty cost		302	228
Total costs		66,126	67,373
Product gross margin		37,538	38,332
Rental and royalty gross margin		731	616
Total gross margin		38,269	38,948
Selling, marketing and administrative expenses		24,053	25,984
Earnings from operations		14,216	12,964
Other income (loss), net		(35)	473
Earnings before income taxes		14,181	13,437
Provision for income taxes		4,325	4,334
Net earnings		9,856	9,103
Less: Net earnings (loss) attributable to noncontrolling interests		(40)	(51)
Net earnings attributable to Tootsie Roll Industries, Inc.		$ 9,896	$ 9,154
Net earnings attributable to Tootsie Roll Industries, Inc. per share (in dollars per share)		$ 0.16	$ 0.14
Dividends per share (in dollars per share)		$ 0.09	$ 0.08
Average number of shares outstanding (in shares)		62,499	63,645
Retained earnings at beginning of period		$ 52,349	$ 64,927
Net earnings attributable to Tootsie Roll Industries, Inc.		9,896	9,154
Cash dividends		(5,457)	(4,800)
Stock dividends	[1]	(53,816)	(57,359)
Retained earnings at end of period		$ 2,972	$ 11,922
[1]	Does not include 3% stock dividend to shareholders of record on 3/8/16 and 3/10/15.

CONSOLIDATED STATEMENTS OF Ear5

CONSOLIDATED STATEMENTS OF Earnings and Retained Earnings (Parenthetical)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
CONSOLIDATED STATEMENTS OF Earnings and Retained Earnings
Stock dividends (as a percent)	3.00%	3.00%

CONSOLIDATED STATEMENTS OF Comp

CONSOLIDATED STATEMENTS OF Comprehensive Earnings - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
CONSOLIDATED STATEMENTS OF Comprehensive Earnings
Net earnings	$ 9,856	$ 9,103
Other comprehensive income (loss), before tax:
Foreign currency translation adjustments	205	(1,159)
Pension and postretirement reclassification adjustment:
Less: reclassification adjustment for (gains) losses to net earnings	(411)	(363)
Unrealized gains (losses) on postretirement and pension benefits	(411)	(363)
Investments:
Unrealized gains (losses) for the period on investments	490	371
Less: reclassification adjustment for (gains) losses to net earnings	4
Unrealized gains (losses) on investments	494	371
Derivatives:
Unrealized gains (losses) for the period on derivatives	961	(3,037)
Less: reclassification adjustment for (gains) losses to net earnings	613	675
Unrealized gains (losses) on derivatives	1,574	(2,362)
Total other comprehensive income (loss), before tax	1,862	(3,513)
Income tax benefit (expense) related to items of other comprehensive income	(599)	853
Total comprehensive earnings	11,119	6,443
Comprehensive earnings (loss) attributable to noncontrolling interests	(40)	(51)
Total comprehensive earnings attributable to Tootsie Roll Industries, Inc.	$ 11,159	$ 6,494

CONSOLIDATED STATEMENTS OF Cash

CONSOLIDATED STATEMENTS OF Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:
Net earnings	$ 9,856	$ 9,103
Adjustments to reconcile net earnings to net cash used in operating activities:
Depreciation and amortization	5,152	5,050
Deferred income taxes	671	132
Amortization of marketable security premiums	748	791
Changes in operating assets and liabilities:
Accounts receivable	10,627	1,450
Other receivables	109	(404)
Inventories	(6,706)	(10,847)
Prepaid expenses and other assets	1,353	888
Accounts payable and accrued liabilities	(4,406)	(968)
Income taxes payable	(2,619)	1,909
Postretirement health care benefits	(312)	(192)
Deferred compensation and other liabilities	507	109
Net cash from operating activities	14,980	7,021
CASH FLOWS FROM INVESTING ACTIVITIES:
Restricted cash	1	175
Capital expenditures	(8,376)	(2,418)
Purchases of trading securities	(2,485)	(2,573)
Sales of trading securities	613	501
Purchase of available for sale securities	(23,348)	(9,107)
Sale and maturity of available for sale securities	4,871	6,622
Net cash used in investing activities	(28,724)	(6,800)
CASH FLOWS FROM FINANCING ACTIVITIES:
Shares purchased and retired	(6,576)	(4,544)
Dividends paid in cash	(10,943)	(9,613)
Repayment of bank loans	(612)	(52)
Proceeds from bank loans	809
Net cash used in financing activities	(17,322)	(14,209)
Effect of exchange rate changes on cash	(22)	(690)
Decrease in cash and cash equivalents	(31,088)	(14,678)
Cash and cash equivalents at beginning of year	126,145	100,108
Cash and cash equivalents at end of year	95,057	85,430
Supplemental cash flow information:
Income taxes paid, net	6,352	2,410
Interest paid	1	11
Stock dividend issued	$ 61,671	$ 57,230

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Mar. 31, 2016
Significant Accounting Policies
Significant Accounting Policies	Note 1 — Significant Accounting Policies General Information Foregoing data has been prepared from the unaudited financial records of Tootsie Roll Industries, Inc. (the Company) and in the opinion of management all adjustments, which are of a normal recurring nature, necessary for a fair statement of the results for the interim period have been reflected. Certain amounts previously reported have been reclassified to conform to the current year presentation. These consolidated financial statements should be read in conjunction with the consolidated financial statements and the related notes included in the Company’s 2015 Annual Report on Form 10-K. Results of operations for the period ended March 31, 2016 are not necessarily indicative of results to be expected for the year to end December 31, 2016 because of the seasonal nature of the Company’s operations. Historically, the third quarter has been the Company’s largest sales quarter due to pre-Halloween sales. Accounting Pronouncements In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-09 that introduces a new five-step revenue recognition model in which an entity should recognize revenue to depict the transfer of promised 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. This ASU 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. This standard is effective for fiscal years beginning after December 15, 2017, including interim periods within that reporting period. The Company is currently evaluating the new guidance to determine the impact it may have on the consolidated financial statements. In August 2014, the FASB issued ASU 2014-15 which provides guidance about management's responsibility to evaluate whether there is substantial doubt about an entity's ability to continue as a going concern and to provide related footnote disclosures. This guidance will be effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. The Company does not expect the adoption of this guidance to have a significant impact on the consolidated financial statements. In November 2015, the FASB issued ASU 2015-17 which requires that deferred tax liabilities and assets be classified as noncurrent in a classified statement of financial position. The current requirement that deferred tax liabilities and assets of a tax-paying component of an entity be offset and presented as a single amount is not affected by the amendments in the standard. This standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. Early adoption is permitted and the standard may be applied either retrospectively or on a prospective basis to all deferred tax assets and liabilities. The Company is currently evaluating the new guidance to determine the impact it may have on the consolidated financial statements. In January 2016, the FASB issued ASU 2016-01 which modifies certain aspects of the recognition, measurement, presentation, and disclosure of financial instruments. This standard is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, and early adoption is permitted. The Company is currently evaluating the new guidance to determine the impact it may have on the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02 which amends existing guidance to require lessees to recognize assets and liabilities on the balance sheet for the rights and obligations created by long-term leases and to disclose additional quantitative and qualitative information about leasing arrangements. This ASU also provides clarifications surrounding the presentation of the effects of leases in the income statement and statement of cash flows. This guidance will be effective for the Company on January 1, 2019. The Company is currently evaluating this new guidance to determine the impact it will have on its consolidated financial statements. In April 2016, the FASB issued ASU 2016-10, which contains amendments to the new revenue recognition standard on identifying performance obligations and accounting for licenses of intellectual property. The amendments related to identifying performance obligations clarify when a promised good or service is separately identifiable and allows entities to disregard items that are immaterial in the context of a contract. The licensing implementation amendments clarify how an entity should evaluate the nature of its promise in granting a license of intellectual property, which will determine whether revenue is recognized over time or at a point in time. This new standard has the same effective date and transition requirements as ASU 2014-09. The Company is currently evaluating this new guidance to determine the impact it will have on its consolidated financial statements.

Average Shares Outstanding

Average Shares Outstanding	3 Months Ended
	Mar. 31, 2016
Average Shares Outstanding
Average Shares Outstanding	Note 2 — Average Shares Outstanding The average number of shares outstanding for year to date ended March 31, 2016 reflect stock purchases of 214 shares for $6,576 and a 3% stock dividend distributed on April 8, 2016. The average number of shares outstanding for year to date ended March 31, 2015 reflect stock purchases of 143 shares for $4,544 and a 3% stock dividend distributed on April 10, 2015.

Income Taxes

Income Taxes	3 Months Ended
	Mar. 31, 2016
Income Taxes
Income Taxes	Note 3 — Income Taxes The Company is subject to taxation in the U.S. and various state and foreign jurisdictions. The Company remains subject to examination by U.S. federal and state and foreign tax authorities for the years 2013 through 2014. With few exceptions, the Company is no longer subject to examination by tax authorities for the year 2012 and prior. The consolidated effective tax rates were 30.5% and 32.3% in first quarter 2016 and 2015, respectively. The lower effective tax rate in first quarter 2016 compared to first quarter 2015 reflects the effective settlement of certain income tax audits during first quarter 2016.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2016
Fair Value Measurements
Fair Value Measurements	Note 4 — Fair Value Measurements Current accounting guidance defines fair value as the price that would be received on the sale of an asset, or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Guidance requires disclosure of the extent to which fair value is used to measure financial assets and liabilities, the inputs utilized in calculating valuation measurements, and the effect of the measurement of significant unobservable inputs on earnings, or changes in net assets, as of the measurement date. Guidance establishes a three-level valuation hierarchy based upon the transparency of inputs utilized in the measurement and valuation of financial assets or liabilities as of the measurement date. Level 1 inputs include quoted prices for identical instruments and are the most observable. Level 2 inputs include quoted prices for similar assets and observable inputs such as interest rates, foreign currency exchange rates, commodity rates and yield curves. Level 3 inputs are not observable in the market and include management’s own judgments about the assumptions market participants would use in pricing the asset or liability. The use of observable and unobservable inputs is reflected in the hierarchy assessment disclosed in the table below. As of March 31, 2016, December 31, 2015 and March 31, 2015, the Company held certain financial assets that are required to be measured at fair value on a recurring basis. These included derivative hedging instruments related to the purchase of certain raw materials and foreign currencies, investments in trading securities and available for sale securities. The Company’s available for sale and trading securities principally consist of corporate and municipal bonds that are publicly traded. The following table presents information about the Company’s financial assets and liabilities measured at fair value as of March 31, 2016, December 31, 2015 and March 31, 2015 and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value: Estimated Fair Value March 31, 2016 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts - - Trading securities - - Total assets measured at fair value $ $ $ $ - Estimated Fair Value December 31, 2015 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts, net - - Trading securities - - Total assets measured at fair value $ $ $ $ - Estimated Fair Value March 31, 2015 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts - - Trading securities - - Total assets measured at fair value $ $ $ $ - The fair value of the Company’s industrial revenue development bonds at March 31, 2016, December 31, 2015 and March 31, 2015 were valued using Level 2 inputs which approximates the carrying value of $7,500 for the respective periods. Interest rates on these bonds are reset weekly based on current market conditions.

Derivative Instruments and Hedg

Derivative Instruments and Hedging Activities	3 Months Ended
	Mar. 31, 2016
Derivative Instruments and Hedging Activities
Derivative Instruments and Hedging Activities	Note 5 — Derivative Instruments and Hedging Activities The Company uses derivative instruments, including foreign currency forward contracts, commodity futures contracts and commodity option contracts, to manage its exposures to foreign exchange and commodity prices. Commodity futures contracts and most commodity option contracts are intended and effective as hedges of market price risks associated with the anticipated purchase of certain raw materials (primarily sugar). Foreign currency forward contracts are intended and effective as hedges of the Company’s exposure to the variability of cash flows, primarily related to the foreign exchange rate changes of products manufactured in Canada and sold in the United States. The Company does not engage in trading or other speculative use of derivative instruments. The Company recognizes all derivative instruments as either assets or liabilities at fair value in the Condensed Consolidated Statement of Financial Position. Derivative assets are recorded in other receivables and derivative liabilities are recorded in accrued liabilities. The Company uses either hedge accounting or mark-to-market accounting for its derivative instruments. Derivatives that qualify for hedge accounting are designated as cash flow hedges by formally documenting the hedge relationships, including identification of the hedging instruments, the hedged items and other critical terms, as well as the Company’s risk management objectives and strategies for undertaking the hedge transaction. Changes in the fair value of the Company’s cash flow hedges are recorded in accumulated other comprehensive loss, net of tax, and are reclassified to earnings in the periods in which earnings are affected by the hedged item. Substantially all amounts reported in accumulated other comprehensive loss for commodity derivatives are expected to be reclassified to cost of goods sold. Substantially all amounts reported in accumulated other comprehensive loss for foreign currency derivatives are expected to be reclassified to other income, net. The following table summarizes the Company’s outstanding derivative contracts and their effects on its Condensed Consolidated Statements of Financial Position at March 31, 2016, December 31, 2015 and March 31, 2015: March 31, 2016 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $ December 31, 2015 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $ March 31, 2015 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $ The effects of derivative instruments on the Company’s Condensed Consolidated Statements of Earnings and Retained Earnings and the Condensed Consolidated Statements of Comprehensive Earnings for periods ended March 31, 2016 and March 31, 2015 are as follows: For Quarter Ended March 31, 2016 Gain (Loss) Gain (Loss) on Amount Excluded Gain(Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency forward contracts $ $ $ - Commodity futures contracts - Total $ $ $ - For Quarter Ended March 31, 2015 Gain (Loss) Gain (Loss) on Amount Excluded Gain(Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency forward contracts $ $ $ - Commodity futures contracts - Total $ $ $ -

Pension Plans

Pension Plans	3 Months Ended
	Mar. 31, 2016
Pension Plans
Pension Plans	Note 6 — Pension Plans During 2015 and 2016, the Company received updated notices that the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union Pension Plan (Plan), a multi-employer defined benefit pension plan for certain Company union employees, is in “critical and declining status”, as defined by the Pension Protection Act (PPA) and the Pension Benefit Guaranty Corporation (PBGC), and that the Plan is projected to become insolvent in 14 years. The Company has been advised that its withdrawal liability would have been $61,000 if it had withdrawn from the Plan during 2015. Should the Company actually withdraw from the Plan at a future date, a withdrawal liability, which could be higher than the above discussed amounts, could be payable to the Plan. The Company is currently unable to determine the ultimate outcome of the above discussed matter and therefore is unable to determine the effects on its consolidated financial statements, but the ultimate outcome or the effects of any modifications to the current rehabilitation plan could be material to its consolidated results of operations or cash flows in one or more future periods. See also the Company’s Condensed Consolidated Financial Statements and related notes and Management’s Discussion and Analysis of Financial Condition and Results of Operations incorporated into the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Earnings (Loss)	3 Months Ended
	Mar. 31, 2016
Accumulated Other Comprehensive Earnings (Loss)
Accumulated Other Comprehensive Earnings (Loss)	Note 7 — Accumulated Other Comprehensive Earnings (Loss) Accumulated Other Comprehensive Earnings (Loss) consists of the following components: Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at December 31, 2015 $ $ $ $ $ $ Other comprehensive earnings (loss) before reclassifications - Reclassifications from accumulated other comprehensive loss - Other comprehensive earnings (loss) net of tax Balance at March 31, 2016 $ $ $ $ $ $ Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at December 31, 2014 $ $ $ $ $ $ Other comprehensive earnings (loss) before reclassifications - Reclassifications from accumulated other comprehensive loss - - Other comprehensive earnings (loss) net of tax Balance at March 31, 2015 $ $ $ $ $ $ The amounts reclassified from accumulated other comprehensive income (loss) consisted of the following: Details about Accumulated Other Quarter Ended Comprehensive Income Components March 31, 2016 March 31, 2015 Location of (Gain) Loss Recognized in Earnings Investments $ $ - Other income, net Foreign currency derivatives Other income, net Commodity derivatives Product cost of goods sold Postretirement and pension benefits Selling, marketing and administrative expenses Postretirement and pension benefits Product cost of goods sold Total before tax Tax (expense) benefit Net of tax $ $

Restricted Cash

Restricted Cash	3 Months Ended
	Mar. 31, 2016
Restricted Cash
Restricted Cash	Note 8 — Restricted Cash Restricted cash comprises certain cash deposits of the Company’s majority-owned Spanish companies with international banks that are pledged as collateral for letters of credit and bank borrowings.

Bank Loans

Bank Loans	3 Months Ended
	Mar. 31, 2016
Bank Loans
Bank Loans	Note 9 — Bank Loans Long term bank loans comprise borrowings by the Company’s majority-owned Spanish companies which are held by international banks. The average weighted interest rate at March 31, 2016 and March 31, 2015 was 2.2 % and 2.5% , respectively, and maturity dates range from 2 to 3 years for both periods. Short term bank loans also relate to the Company’s majority-owned Spanish companies.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2016
Fair Value Measurements
Schedule of financial assets and liabilities measured at fair value	Estimated Fair Value March 31, 2016 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts - - Trading securities - - Total assets measured at fair value $ $ $ $ - Estimated Fair Value December 31, 2015 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts, net - - Trading securities - - Total assets measured at fair value $ $ $ $ - Estimated Fair Value March 31, 2015 Total Input Levels Used Fair Value Level 1 Level 2 Level 3 Cash and cash equivalents $ $ $ - $ - Available for sale securities - Foreign currency forward contracts - - Commodity futures contracts - - Trading securities - - Total assets measured at fair value $ $ $ $ -

Derivative Instruments and He18

Derivative Instruments and Hedging Activities (Tables)	3 Months Ended
	Mar. 31, 2016
Derivative Instruments and Hedging Activities
Summary of the Company's outstanding derivative contracts and their effects on the Condensed Consolidated Statements of Financial Position	March 31, 2016 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $ December 31, 2015 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $ March 31, 2015 Notional Amounts Assets Liabilities Derivatives designated as hedging instruments: Foreign currency forward contracts $ $ - $ Commodity futures contracts Total derivatives $ $
Effects of derivative instruments on the Condensed Consolidated Statement of Earnings and Retained Earnings, and the Condensed Consolidated Statement of Comprehensive Earnings	For Quarter Ended March 31, 2016 Gain (Loss) Gain (Loss) on Amount Excluded Gain(Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency forward contracts $ $ $ - Commodity futures contracts - Total $ $ $ - For Quarter Ended March 31, 2015 Gain (Loss) Gain (Loss) on Amount Excluded Gain(Loss) Reclassified from from Effectiveness Recognized Accumulated OCI Testing Recognized in OCI into Earnings in Earnings Foreign currency forward contracts $ $ $ - Commodity futures contracts - Total $ $ $ -

Accumulated Other Comprehensi19

Accumulated Other Comprehensive Earnings (Loss) (Tables)	3 Months Ended
	Mar. 31, 2016
Accumulated Other Comprehensive Earnings (Loss)
Schedule of accumulated other comprehensive earnings (loss):	Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at December 31, 2015 $ $ $ $ $ $ Other comprehensive earnings (loss) before reclassifications - Reclassifications from accumulated other comprehensive loss - Other comprehensive earnings (loss) net of tax Balance at March 31, 2016 $ $ $ $ $ $ Accumulated Foreign Foreign Postretirement Other Currency Currency Commodity and Pension Comprehensive Translation Investments Derivatives Derivatives Benefits Earnings (Loss) Balance at December 31, 2014 $ $ $ $ $ $ Other comprehensive earnings (loss) before reclassifications - Reclassifications from accumulated other comprehensive loss - - Other comprehensive earnings (loss) net of tax Balance at March 31, 2015 $ $ $ $ $ $
Amount reclassified from accumulated other comprehensive income	Details about Accumulated Other Quarter Ended Comprehensive Income Components March 31, 2016 March 31, 2015 Location of (Gain) Loss Recognized in Earnings Investments $ $ - Other income, net Foreign currency derivatives Other income, net Commodity derivatives Product cost of goods sold Postretirement and pension benefits Selling, marketing and administrative expenses Postretirement and pension benefits Product cost of goods sold Total before tax Tax (expense) benefit Net of tax $ $

Average Shares Outstanding (Det

Average Shares Outstanding (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Average Shares Outstanding
Stock purchases (in shares)	214	143
Purchase of common shares	$ 6,576	$ 4,544
Stock dividends (as a percent)	3.00%	3.00%

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Effective income tax rate differs from the statutory rate
Effective income tax rate (as a percent)	30.50%	32.30%

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Fair value measured on a recurring basis - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
Fair value measurements
Cash and cash equivalents	$ 95,057	$ 126,145	$ 85,430
Available for sale securities	152,724	134,501	133,412
Trading securities	62,509	60,584	75,171
Total assets measured at fair value	309,509	318,875	288,976
Foreign currency forward contracts
Fair value measurements
Derivative instruments, net	(1,350)	(2,626)	(3,328)
Commodity futures contracts
Fair value measurements
Derivative instruments, net	569	271	(1,709)
Level 1
Fair value measurements
Cash and cash equivalents	95,057	126,145	85,430
Available for sale securities	2,441	2,430	2,461
Trading securities	62,509	60,584	75,171
Total assets measured at fair value	160,576	189,430	161,353
Level 1 | Commodity futures contracts
Fair value measurements
Derivative instruments, net	569	271	(1,709)
Level 2
Fair value measurements
Available for sale securities	150,283	132,071	130,951
Total assets measured at fair value	148,933	129,445	127,623
Level 2 | Foreign currency forward contracts
Fair value measurements
Derivative instruments, net	$ (1,350)	$ (2,626)	$ (3,328)

Fair Value Measurements - Recur

Fair Value Measurements - Recurring Basis (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
Fair value on a recurring basis
Industrial revenue development bonds, carrying amount, approximates fair value	$ 7,500	$ 7,500	$ 7,500
Cost Basis | Level 2
Fair value on a recurring basis
Industrial revenue development bonds, carrying amount, approximates fair value	7,500	7,500	7,500
Estimated Fair Value | Level 2
Fair value on a recurring basis
Industrial revenue development bonds, carrying amount, approximates fair value	$ 7,500	$ 7,500	$ 7,500

Derivative Instruments and He24

Derivative Instruments and Hedging Activities (Details) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015	Mar. 31, 2015
Derivative contracts
Assets	$ 648	$ 484	$ 31
Liabilities	(1,429)	(2,839)	(5,068)
Derivatives designated as hedging instruments: | Foreign currency forward contracts
Derivative contracts
Notional Amounts	12,339	15,668	23,443
Liabilities	(1,350)	(2,626)	(3,328)
Derivatives designated as hedging instruments: | Commodity futures contracts
Derivative contracts
Notional Amounts	12,029	13,202	15,966
Assets	648	484	31
Liabilities	$ (79)	$ (213)	$ (1,740)

Derivative Instruments and He25

Derivative Instruments and Hedging Activities - OCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Effect of derivative instruments on earnings
Gain (Loss) Recognized in OCI	$ 961	$ (3,037)
Gain (Loss) Reclassified from Accumulated OCI into Earnings	9,896	9,154
Reclassified from Accumulated OCI into Earnings
Effect of derivative instruments on earnings
Gain (Loss) Reclassified from Accumulated OCI into Earnings	(613)	(675)
Foreign currency forward contracts
Effect of derivative instruments on earnings
Gain (Loss) Recognized in OCI	670	(1,903)
Foreign currency forward contracts | Reclassified from Accumulated OCI into Earnings
Effect of derivative instruments on earnings
Gain (Loss) Reclassified from Accumulated OCI into Earnings	(606)	(513)
Commodity futures contracts
Effect of derivative instruments on earnings
Gain (Loss) Recognized in OCI	291	(1,134)
Commodity futures contracts | Reclassified from Accumulated OCI into Earnings
Effect of derivative instruments on earnings
Gain (Loss) Reclassified from Accumulated OCI into Earnings	$ (7)	$ (162)

Pension Plans (Details)

Pension Plans (Details) - Multi-employer defined benefit pension plan	3 Months Ended
	Mar. 31, 2016USD ($)
Pension Plans
Estimated liability upon withdrawal from plan	$ 61,000
Insolvent period	14 years

Accumulated Other Comprehensi27

Accumulated Other Comprehensive Earnings (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	$ 698,183
Balance at the end of the period	697,164	$ 687,831
AOCI from Derivatives | Foreign currency forward contracts
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(1,675)	(1,236)
Other comprehensive earnings (loss) before reclassifications	427	(1,214)
Reclassifications from accumulated other comprehensive loss	387	327
Other comprehensive earnings (loss) net of tax	814	(887)
Balance at the end of the period	(861)	(2,123)
AOCI from Derivatives | Commodity futures contracts
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	173	(470)
Other comprehensive earnings (loss) before reclassifications	187	(722)
Reclassifications from accumulated other comprehensive loss	4	103
Other comprehensive earnings (loss) net of tax	191	(619)
Balance at the end of the period	364	(1,089)
Investments
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(605)	(332)
Other comprehensive earnings (loss) before reclassifications	312	237
Reclassifications from accumulated other comprehensive loss	3
Other comprehensive earnings (loss) net of tax	315	237
Balance at the end of the period	(290)	(95)
Postretirement and Pension Benefits
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	6,387	6,439
Reclassifications from accumulated other comprehensive loss	(262)	(232)
Other comprehensive earnings (loss) net of tax	(262)	(232)
Balance at the end of the period	6,125	6,207
Foreign Currency Translation
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(21,644)	(17,499)
Other comprehensive earnings (loss) before reclassifications	205	(1,159)
Other comprehensive earnings (loss) net of tax	205	(1,159)
Balance at the end of the period	(21,439)	(18,658)
Accumulated Other Comprehensive Earnings ( Loss )
Accumulated other comprehensive earnings (loss), net of tax
Balance at the beginning of the period	(17,364)	(13,098)
Other comprehensive earnings (loss) before reclassifications	1,131	(2,858)
Reclassifications from accumulated other comprehensive loss	132	198
Other comprehensive earnings (loss) net of tax	1,263	(2,660)
Balance at the end of the period	$ (16,101)	$ (15,758)

Accumulated Other Comprehensi28

Accumulated Other Comprehensive Earnings (Loss) - Reclassification from AOCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	$ 35	$ (473)
Product cost of goods sold	65,824	67,145
Selling, marketing and administrative expenses	24,053	25,984
Tax expense (benefit)	4,325	4,334
Net earnings	(9,856)	(9,103)
Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Total before tax	206	312
Tax expense (benefit)	(74)	(114)
Net earnings	132	198
AOCI from Derivatives | Foreign currency forward contracts | Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	606	513
AOCI from Derivatives | Commodity futures contracts | Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Product cost of goods sold	7	162
Investments | Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Other income, net	4
Postretirement and Pension Benefits | Reclassified from Accumulated OCI into Earnings
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Product cost of goods sold	(201)	(178)
Selling, marketing and administrative expenses	$ (210)	$ (185)

Bank Loans (Details)

Bank Loans (Details)	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Minimum
Bank Loans
Maturity period	2 years	2 years
Maximum
Bank Loans
Maturity period	3 years	3 years
Spanish Companies
Bank Loans
Average weighted interest rate (as a percent)	2.20%	2.50%