Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 27, 2017 | |
Entity Information [Line Items] | ||
Entity Registrant Name | Quad/Graphics, Inc. | |
Entity Central Index Key | 1,481,792 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Trading Symbol | QUAD | |
Common Class A [Member] | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 37,862,077 | |
Common Class B [Member] | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 13,978,357 | |
Common Class C [Member] | ||
Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Net sales | ||||
Products | $ 856.9 | $ 904.2 | $ 2,530.6 | $ 2,688.9 |
Services | 148.5 | 152.2 | 436.6 | 442.3 |
Total net sales | 1,005.4 | 1,056.4 | 2,967.2 | 3,131.2 |
Cost of sales | ||||
Products | 679.1 | 719.1 | 2,024.9 | 2,144.2 |
Services | 105.7 | 105.8 | 306 | 305.2 |
Total cost of sales | 784.8 | 824.9 | 2,330.9 | 2,449.4 |
Operating expenses | ||||
Selling, general and administrative expenses | 104.9 | 109.9 | 302.6 | 341.9 |
Depreciation and amortization | 58.3 | 61.7 | 175.5 | 217.4 |
Restructuring, impairment and transaction-related charges | 8 | 26.1 | 22.5 | 62.4 |
Total operating expenses | 956 | 1,022.6 | 2,831.5 | 3,071.1 |
Operating income | 49.4 | 33.8 | 135.7 | 60.1 |
Interest expense | 17.8 | 19.6 | 53.6 | 58.9 |
Loss (gain) on debt extinguishment | 0 | 0 | 2.6 | (14.1) |
Earnings before income taxes and equity in loss of unconsolidated entity | 31.6 | 14.2 | 79.5 | 15.3 |
Income tax expense | 11.8 | 2.9 | 26.8 | 5.6 |
Earnings before equity in loss of unconsolidated entity | 19.8 | 11.3 | 52.7 | 9.7 |
Equity in loss of unconsolidated entity | 0 | 0 | 0.8 | 2.3 |
Net earnings | $ 19.8 | $ 11.3 | $ 51.9 | $ 7.4 |
Earnings per share | ||||
Basic (in dollars per share) | $ 0.40 | $ 0.24 | $ 1.05 | $ 0.16 |
Diluted (in dollars per share) | 0.38 | 0.22 | 1.01 | 0.15 |
Dividends declared per share (in dollars per share) | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 |
Weighted average number of common shares outstanding | ||||
Basic (in shares) | 49.5 | 47.8 | 49.4 | 47.6 |
Diluted (in shares) | 51.5 | 50.6 | 51.6 | 49.3 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net earnings | $ 19.8 | $ 11.3 | $ 51.9 | $ 7.4 |
Other comprehensive income (loss) | ||||
Translation adjustments | 3.5 | (2.5) | 14.9 | 4.6 |
Interest rate swap adjustments | 0.3 | 0 | (0.4) | 0 |
Pension benefit plan adjustments | 0 | (23.4) | 0 | (23.4) |
Other comprehensive income (loss), before tax | 3.8 | (25.9) | 14.5 | (18.8) |
Income tax benefit (expense) related to items of other comprehensive income (loss) | (0.2) | 9 | 0.1 | 9 |
Other comprehensive income (loss), net of tax | 3.6 | (16.9) | 14.6 | (9.8) |
Comprehensive income (loss) | $ 23.4 | $ (5.6) | $ 66.5 | $ (2.4) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and cash equivalents | $ 15.4 | $ 9 |
Receivables, less allowances for doubtful accounts of $43.8 million at September 30, 2017, and $53.5 million at December 31, 2016 | 542 | 563.6 |
Inventories | 308 | 265.4 |
Prepaid expenses and other current assets | 40.7 | 54.4 |
Restricted cash | 2 | 10.2 |
Total current assets | 908.1 | 902.6 |
Property, plant and equipment—net | 1,427.4 | 1,519.9 |
Intangible assets—net | 47.8 | 59.7 |
Equity method investment in unconsolidated entity | 3 | 3.6 |
Other long-term assets | 91.1 | 84.3 |
Total assets | 2,477.4 | 2,570.1 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Accounts payable | 344.5 | 323.5 |
Amounts owing in satisfaction of bankruptcy claims | 2.1 | 2.3 |
Accrued liabilities | 312.7 | 356.7 |
Short-term debt and current portion of long-term debt | 66.8 | 84.7 |
Current portion of capital lease obligations | 6.2 | 7.4 |
Total current liabilities | 732.3 | 774.6 |
Long-term debt | 966.4 | 1,019.8 |
Unsecured notes to be issued | 0.9 | 5.4 |
Capital lease obligations | 14.8 | 18.9 |
Deferred income taxes | 50.7 | 35.3 |
Other long-term liabilities | 246.3 | 274.6 |
Total liabilities | 2,011.4 | 2,128.6 |
Commitments and contingencies (Note 7) | ||
Shareholders' equity | ||
Preferred stock | 0 | 0 |
Additional paid-in capital | 903.5 | 912.4 |
Treasury stock, at cost | (98.7) | (113.3) |
Accumulated deficit | (202.2) | (206.4) |
Accumulated other comprehensive loss | (138) | (152.6) |
Total shareholders' equity | 466 | 441.5 |
Total liabilities and shareholders' equity | 2,477.4 | 2,570.1 |
Common Class A [Member] | ||
Shareholders' equity | ||
Common stock | 1 | 1 |
Common Class B [Member] | ||
Shareholders' equity | ||
Common stock | 0.4 | 0.4 |
Common Class C [Member] | ||
Shareholders' equity | ||
Common stock | $ 0 | $ 0 |
Condensed Consolidated Balance5
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Allowances for doubtful accounts | $ 43.8 | $ 53.5 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
OPERATING ACTIVITIES | ||
Net earnings | $ 51.9 | $ 7.4 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization | 175.5 | 217.4 |
Impairment charges | 1 | 17.7 |
Amortization of debt issuance costs and original issue discount | 2.7 | 3.2 |
Loss (gain) on debt extinguishment | 2.6 | (14.1) |
Stock-based compensation | 13 | 12 |
Gain from a property insurance claim | (5) | 0 |
Settlement loss on pension benefit plans | 0 | 6.5 |
Gain on sale or disposal of property, plant and equipment | (7.3) | (6) |
Deferred income taxes | 15.5 | (3.8) |
Equity in loss of unconsolidated entity | 0.8 | 2.3 |
Changes in operating assets and liabilities | (71) | 17.4 |
Net cash provided by operating activities | 179.7 | 260 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (61.6) | (57.7) |
Cost investment in unconsolidated entities | 0 | (9.9) |
Proceeds from the sale of property, plant and equipment | 22.9 | 11.4 |
Proceeds from a property insurance claim | 5 | 0 |
Transfers from restricted cash | 8.1 | 0 |
Loan to an unconsolidated entity | (5) | 0 |
Net cash used in investing activities | (30.6) | (56.2) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 375 | 19.7 |
Payments of long-term debt | (424.3) | (170.6) |
Payments of capital lease obligations | (5.9) | (4.6) |
Borrowings on revolving credit facilities | 525.7 | 712 |
Payments on revolving credit facilities | (550.4) | (727.6) |
Payments of debt issuance costs and financing fees | (4.7) | (0.1) |
Bankruptcy claim payments on unsecured notes to be issued | (4.1) | (0.3) |
Purchases of treasury stock | (3.8) | (8.8) |
Sale of stock for options exercised | 2.4 | 22.8 |
Equity awards redeemed to pay employees' tax obligations | (5.9) | (1.4) |
Payment of cash dividends | (46.5) | (44) |
Net cash used in financing activities | (142.5) | (202.9) |
Effect of exchange rates on cash and cash equivalents | (0.2) | (0.2) |
Net increase in cash and cash equivalents | 6.4 | 0.7 |
Cash and cash equivalents at beginning of period | 9 | 10.8 |
Cash and cash equivalents at end of period | $ 15.4 | $ 11.5 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements for Quad/Graphics, Inc. and its subsidiaries (the "Company" or "Quad/Graphics") have been prepared by the Company pursuant to the rules and regulations for interim financial information of the United States Securities and Exchange Commission (" SEC "). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (" GAAP ") have been omitted pursuant to such SEC rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated annual financial statements as of and for the year ended December 31, 2016 , and notes thereto included in the Company's latest Annual Report on Form 10-K filed with the SEC on February 22, 2017 . The Company is subject to seasonality in its quarterly results as net sales and operating income are higher in the third and fourth quarters of the calendar year as compared to the first and second quarters. The fourth quarter is typically the highest seasonal quarter for cash flows from operating activities due to the reduction of working capital requirements that reach peak levels during the third quarter. Seasonality is driven by increased magazine advertising page counts, retail inserts, catalogs and books primarily due to back-to-school and holiday-related advertising and promotions. The Company expects this seasonality impact to continue in future years. The financial information contained herein reflects all adjustments, in the opinion of management, necessary for a fair presentation of the Company's results of operations for the three and nine months ended September 30, 2017 and 2016 . All of these adjustments are of a normal recurring nature, except as otherwise noted. All intercompany transactions have been eliminated in consolidation. These unaudited condensed consolidated financial statements include estimates and assumptions of management that affect the amounts reported in the condensed consolidated financial statements. Actual results could differ from these estimates. |
Restructuring, Impairment and T
Restructuring, Impairment and Transaction-Related Charges | 9 Months Ended |
Sep. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring, Impairment and Transaction-Related Charges | Restructuring, Impairment and Transaction-Related Charges The Company recorded restructuring, impairment and transaction-related charges for the three and nine months ended September 30, 2017 and 2016 , as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Employee termination charges $ 7.3 $ 1.5 $ 13.2 $ 8.1 Impairment charges 0.3 0.9 1.0 17.7 Transaction-related charges 0.6 0.4 1.8 1.9 Integration costs — — — 0.1 Other restructuring charges (income) (0.2 ) 23.3 6.5 34.6 Total $ 8.0 $ 26.1 $ 22.5 $ 62.4 The costs related to these activities have been recorded in the condensed consolidated statements of operations as restructuring, impairment and transaction-related charges. See Note 18 , " Segment Information ," for restructuring, impairment and transaction-related charges by segment. Restructuring Charges The Company began a restructuring program in 2010 related to eliminating excess manufacturing capacity and properly aligning its cost structure. The Company has announced a total of 37 plant closures and has reduced headcount by approximately 11,700 employees since 2010 . The Company recorded the following charges as a result of plant closures and other restructuring programs: • Employee termination charges of $7.3 million and $13.2 million were recorded during the three and nine months ended September 30, 2017 , respectively, and $1.5 million and $8.1 million were recorded during the three and nine months ended September 30, 2016 , respectively. The Company reduced its workforce through facility consolidations and announced separation programs. • There were no integration costs recorded during the three and nine months ended September 30, 2017 , and during the three months ended September 30, 2016 . Integration costs of $0.1 million were recorded during the nine months ended September 30, 2016 , related to costs for the integration of acquired companies. • Other restructuring income of $0.2 million and restructuring charges of $6.5 million were recorded during the three and nine months ended September 30, 2017 , respectively, which consisted of the following: (1) $0.5 million of income primarily related to the lease termination of the Huntington Beach, California plant during the three months ended September 30, 2017 , and $2.9 million of lease exit charges primarily related to the closures of the Huntington Beach, California and Manassas, Virginia plants during the nine months ended September 30, 2017; (2) $0.1 million and $1.7 million , respectively, of equipment and infrastructure removal costs from closed plants; (3) $1.4 million and $3.1 million , respectively, of vacant facility carrying costs, net of a $7.1 million gain on the sale of facilities during the nine months ended September 30, 2017 . The Atglen, Pennsylvania; Dickson, Tennessee; and Lenexa, Kansas plants were sold during the second quarter; and the East Greenville, Pennsylvania and Marengo, Iowa plants were sold during the first quarter. The Company also recorded other restructuring income of $1.2 million during the three and nine months ended September 30, 2017 , primarily related to the Company's Argentina subsidiaries', Anselmo L. Morvillo S.A. and World Color Argentina, S.A. (the "Argentina Subsidiaries") gain from settlements with vendors through bankruptcy proceedings. Other restructuring charges of $23.3 million and $34.6 million were recorded during the three and nine months ended September 30, 2016 , respectively, which consisted of the following: (1) $2.3 million and $9.4 million , respectively, of vacant facility carrying costs; (2) $0.6 million and $4.4 million , respectively, of equipment and infrastructure removal costs from closed plants; and (3) $2.7 million and $3.1 million , respectively, of lease exit charges primarily related to the lease termination of the Pittsburg, California facility. The Company also recorded an $11.2 million adjustment to its multiemployer pension plans withdrawal liability during the three and nine months ended September 30, 2016 , and a $6.5 million non-cash pension settlement charge related to lump-sum pension payments during the three and nine months ended September 30, 2016 , (see Note 13 , " Employee Retirement Plans ," for additional details). The restructuring charges recorded were based on plans that have been committed to by management and were, in part, based upon management's best estimates of future events. Changes to the estimates may require future restructuring charges and adjustments to the restructuring liabilities. The Company expects to incur additional restructuring charges related to these and other initiatives. Impairment Charges The Company recognized impairment charges of $0.3 million and $1.0 million during the three and nine months ended September 30, 2017 , respectively, which consisted of $0.2 million during the three and nine months ended September 30, 2017 , of land and building impairment charges; and $0.1 million and $0.8 million during the three and nine months ended September 30, 2017 , respectively, for machinery and equipment no longer being utilized in production as a result of facility consolidations, as well as other capacity reduction restructuring activities. The Company recognized impairment charges of $0.9 million and $17.7 million during the three and nine months ended September 30, 2016 , respectively, which consisted of the following: (1) $12.1 million during the nine months ended September 30, 2016 , of land and building impairment charges related to the Atglen, Pennsylvania plant closure; and (2) $0.9 million and $5.6 million during the three and nine months ended September 30, 2016 , respectively, of impairment charges primarily for machinery and equipment no longer being utilized in production as a result of facility consolidations, including Atglen, Pennsylvania; Augusta, Georgia; East Greenville, Pennsylvania; and Queretaro, Mexico, as well as other capacity reduction restructuring activities. The fair values of the impaired assets were determined by the Company to be Level 3 under the fair value hierarchy (see Note 11 , " Financial Instruments and Fair Value Measurements ," for the definition of Level 3 inputs) and were estimated based on internal discounted cash flow estimates, quoted market prices where available and independent appraisals, as appropriate. These assets were adjusted to their estimated fair values at the time of impairment. Transaction-Related Charges The Company incurs transaction-related charges primarily consisting of professional service fees related to business acquisition and divestiture activities. Transaction-related charges of $0.6 million and $1.8 million were recorded during the three and nine months ended September 30, 2017 , respectively, and $0.4 million and $1.9 million were recorded during the three and nine months ended September 30, 2016 , respectively. The transaction-related charges were expensed as incurred in accordance with the applicable accounting guidance on business combinations. Restructuring Reserves Activity impacting the Company's restructuring reserves for the nine months ended September 30, 2017 , was as follows: Employee Termination Charges Impairment Charges Transaction-Related Charges Integration Costs Other Restructuring Charges Total Balance at December 31, 2016 $ 7.6 $ — $ 0.1 $ 1.1 $ 10.4 $ 19.2 Expense 13.2 1.0 1.8 — 6.5 22.5 Cash payments (12.7 ) — (1.8 ) (0.1 ) (9.7 ) (24.3 ) Non-cash adjustments/reclassifications 2.1 (1.0 ) — (0.8 ) (0.1 ) 0.2 Balance at September 30, 2017 $ 10.2 $ — $ 0.1 $ 0.2 $ 7.1 $ 17.6 The Company's restructuring reserves at September 30, 2017 , included a short-term and a long-term component. The short-term portion included $13.8 million in accrued liabilities (see Note 12 , " Accrued Liabilities and Other Long-Term Liabilities ") and $0.5 million in accounts payable in the condensed consolidated balance sheets as the Company expects these reserves to be paid within the next twelve months. The long-term portion of $3.3 million is included in other long-term liabilities (see Note 12 , " Accrued Liabilities and Other Long-Term Liabilities ") in the condensed consolidated balance sheets. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets The components of intangible assets at September 30, 2017 , and December 31, 2016 , were as follows: September 30, 2017 December 31, 2016 Weighted Average Amortization Period (Years) Gross Carrying Amount Accumulated Amortization Net Book Value Gross Carrying Amount Accumulated Amortization Net Book Value Finite-lived intangible assets: Trademarks, patents, licenses and agreements 7 $ 23.8 $ (12.6 ) $ 11.2 $ 21.7 $ (9.3 ) $ 12.4 Capitalized software 5 7.0 (6.5 ) 0.5 6.4 (6.2 ) 0.2 Acquired technology 5 6.6 (6.6 ) — 6.1 (6.1 ) — Customer relationships 6 460.6 (424.5 ) 36.1 459.4 (412.3 ) 47.1 Total finite-lived intangible assets $ 498.0 $ (450.2 ) $ 47.8 $ 493.6 $ (433.9 ) $ 59.7 The gross carrying amount and accumulated amortization within intangible assets—net in the condensed consolidated balance sheets at September 30, 2017 , and December 31, 2016 , differs from the value originally recorded at acquisition due to impairment charges recorded in prior years and the effects of currency fluctuations since the purchase date. Intangible assets are evaluated for potential impairment whenever events or circumstances indicate that the carrying value may not be recoverable. There were no impairment charges recorded on intangible assets for the three and nine months ended September 30, 2017 and 2016 . Amortization expense for intangible assets was $4.6 million and $13.7 million for the three and nine months ended September 30, 2017 , respectively, and $4.7 million and $46.1 million for the three and nine months ended September 30, 2016 , respectively. The estimated future amortization expense related to intangible assets as of September 30, 2017 , was as follows: Amortization Expense Remainder of 2017 $ 4.8 2018 17.9 2019 13.2 2020 7.8 2021 2.9 2022 and thereafter 1.2 Total $ 47.8 |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories The components of inventories at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Raw materials and manufacturing supplies $ 151.8 $ 142.4 Work in process 56.7 45.3 Finished goods 99.5 77.7 Total $ 308.0 $ 265.4 |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Sep. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment The components of property, plant and equipment at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Land $ 125.4 $ 126.2 Buildings 936.0 935.4 Machinery and equipment 3,653.5 3,574.4 Other (1) 202.6 191.5 Construction in progress 26.0 59.5 Property, plant and equipment—gross $ 4,943.5 $ 4,887.0 Less: accumulated depreciation (3,516.1 ) (3,367.1 ) Property, plant and equipment—net $ 1,427.4 $ 1,519.9 ______________________________ (1) Other consists of computer equipment, vehicles, furniture and fixtures, leasehold improvements and communication-related equipment. The Company recorded impairment charges of $0.3 million and $1.0 million for the three and nine months ended September 30, 2017 , respectively, and $0.9 million and $17.7 million for the three and nine months ended September 30, 2016 , respectively, to reduce the carrying amounts of certain property, plant and equipment no longer utilized in production to fair value (see Note 2 , " Restructuring, Impairment and Transaction-Related Charges ," for further discussion on impairment charges). The Company recognized depreciation expense of $53.7 million and $161.8 million for the three and nine months ended September 30, 2017 , respectively, and $57.0 million and $171.3 million for the three and nine months ended September 30, 2016 , respectively. Assets Held for Sale The Company considered certain closed facilities for held for sale classification on the condensed consolidated balance sheets. There were no assets held for sale as of September 30, 2017 , and the net book value of assets held for sale was $5.2 million as of December 31, 2016 . These assets were carried at the lesser of original cost or fair value, less the estimated costs to sell. The fair values were determined by the Company to be Level 3 under the fair value hierarchy (see Note 11 , " Financial Instruments and Fair Value Measurements ," for the definition of Level 3 inputs) and were estimated based on internal discounted cash flow estimates, quoted market prices where available and independent appraisals, as appropriate. Assets held for sale are included in prepaid expenses and other current assets in the condensed consolidated balance sheets. |
Equity Method Investment in Unc
Equity Method Investment in Unconsolidated Entity | 9 Months Ended |
Sep. 30, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investment in Unconsolidated Entity | Equity Method Investment in Unconsolidated Entity The Company has a 49% ownership interest in Plural Industria Gráfica Ltda. ("Plural"), a commercial printer based in São Paulo, Brazil. The Company's ownership interest in Plural was accounted for using the equity method of accounting for all periods presented. The Company's equity loss of Plural's operations was recorded in equity in loss of unconsolidated entity in the condensed consolidated statements of operations and was included within the International segment. Plural's condensed statements of operations for the three and nine months ended September 30, 2017 and 2016 , are presented below: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Net sales $ 16.7 $ 19.6 $ 51.8 $ 52.1 Operating (income) loss (0.5 ) (1.2 ) 0.3 1.8 Net loss — — 1.6 4.6 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation The Company is named as a defendant in various lawsuits in which claims are asserted against the Company in the normal course of business. The liabilities, if any, which ultimately result from such lawsuits are not expected by management to have a material impact on the condensed consolidated financial statements of the Company. In April 2016, the Company self-reported to the SEC and the Department of Justice ("DOJ") certain Foreign Corrupt Practices Act ("FCPA") issues, and a resulting internal investigation, related to its operations managed from Peru. These operations had approximate annual sales ranging from $95.0 million to $135.0 million from the date that the Company acquired those operations in July 2010 until the date the issues were discovered. The self-reported issues were identified by the Company's financial internal controls. The Company, under the oversight of its Audit Committee and Board of Directors, proactively initiated an investigation into this matter with the assistance of external legal counsel and external forensic accountants. During the course of its internal investigation, the Company has also identified, and self-reported to the DOJ and SEC, transactions raising similar issues involving certain sales made in its Quad/Tech China operations. For the period 2011 through 2015, the approximate annual sales of these China operations ranged from $2.0 million to $3.0 million . During the course of its internal investigation, the Company has also identified and informed the Office of Foreign Assets Control ("OFAC"), the DOJ and the SEC of certain transactions involving Cuba, and continues to investigate the propriety of such transactions under U.S. trade sanctions. In connection with this investigation, the Company has made and continues to evaluate certain enhancements to its compliance program. The Company is fully cooperating with the OFAC, the SEC and the DOJ. At this time, the Company does not anticipate any material adverse effect on its business or financial condition as a result of this matter. Environmental Reserves The Company is subject to various laws, regulations and government policies relating to health and safety, to the generation, storage, transportation, and disposal of hazardous substances, and to environmental protection in general. The Company provides for expenses associated with environmental remediation obligations when such amounts are probable and can be reasonably estimated. Such reserves are adjusted as new information develops or as circumstances change. The environmental reserves are not discounted. The Company believes it is in compliance with such laws, regulations and government policies in all material respects. Furthermore, the Company does not anticipate that maintaining compliance with such environmental statutes will have a material impact on the Company's condensed consolidated financial position. |
World Color Press Inc. Insolven
World Color Press Inc. Insolvency Proceedings | 9 Months Ended |
Sep. 30, 2017 | |
Reorganizations [Abstract] | |
World Color Press Inc. Insolvency Proceedings | World Color Press Inc. Insolvency Proceedings The Company continues to manage the bankruptcy claim settlement process for the Quebecor World Inc. (" QWI ") bankruptcy proceedings in the United States and Canada (QWI changed its name to World Color Press Inc. (" World Color Press ") upon emerging from bankruptcy on July 21, 2009 ). To the extent claims are allowed, the holders of such claims are entitled to receive recovery, with the nature of such recovery dependent upon the type and classification of such claims. In this regard, with respect to certain types of claims, the holders thereof are entitled to receive cash and/or unsecured notes, while the holders of certain other types of claims are entitled to receive a combination of Quad/Graphics common stock and cash (the "Class 4 Claims"), in accordance with the terms of the World Color Press acquisition agreement. With respect to claims asserted by the holders thereof as being entitled to a priority cash recovery, the Company has estimated that approximately $1.0 million and $1.2 million of such recorded claims have yet to be paid as of September 30, 2017 , and December 31, 2016 , respectively. With respect to claims asserted by the holders thereof as being entitled to Class 4 Claims, during the second quarter of 2016, the Company was provided $1.1 million of restricted cash for the future satisfaction of the cash portion of the remaining Class 4 Claims. The obligations for both the priority cash claims and the Class 4 Claims are classified as amounts owing in satisfaction of bankruptcy claims in the condensed consolidated balance sheets. With respect to unsecured claims held by creditors of the operating subsidiary debtors of Quebecor World (USA) Inc. (the "Class 3 Claims"), each allowed Class 3 Claim will be entitled to receive an unsecured note in an amount equaling 50% of such creditor's allowed Class 3 Claim, provided, however, that the aggregate principal amount of all such unsecured notes cannot exceed $75.0 million . Each allowed Class 3 Claim will also receive accrued interest and a 5% prepayment redemption premium thereon (the total aggregate maximum principal, interest and prepayment redemption premium for all Class 3 Claims is $89.2 million ). In connection with the World Color Press acquisition, the Company was required to deposit the maximum potential payout to the Class 3 Claim creditors with a trustee, and that amount is being used to pay creditors for allowed Class 3 Claims, with excess amounts not required for Class 3 Claim payments reverting to the Company. During the nine months ended September 30, 2017 , $4.1 million of the restricted cash was paid to Class 3 Claim creditors and the Company received refunds of $2.2 million of restricted cash. At September 30, 2017 , a $0.9 million maximum potential payout to the Class 3 Claim creditors remains and is classified as restricted cash in the condensed consolidated balance sheet. Based on the Company's analysis of the outstanding Class 3 Claims, the Company has a liability of $0.9 million at September 30, 2017 , classified as unsecured notes to be issued in the condensed consolidated balance sheets. Activity impacting restricted cash and unsecured notes to be issued for the nine months ended September 30, 2017 , was as follows: Restricted Cash Unsecured Notes to be Issued Balance at December 31, 2016 $ 7.2 $ 5.4 Class 3 Claim payments (4.1 ) (4.1 ) Restricted cash refunded to Quad/Graphics (2.2 ) — Non-cash adjustments — (0.4 ) Balance at September 30, 2017 $ 0.9 $ 0.9 The components of restricted cash at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Defeasance of unsecured notes to be issued $ 0.9 $ 7.2 Restricted cash for Class 4 Claim payments 1.1 1.1 Other — 1.9 Total $ 2.0 $ 10.2 While the liabilities recorded for any bankruptcy matters are based on management's current assessment of the amount likely to be paid, it is not possible to identify the final amount of priority cash claims, Class 4 Claims or Class 3 Claims that will ultimately be allowed by the United States Bankruptcy Court. Therefore, payments for amounts owing in satisfaction of bankruptcy claims could be higher than the amounts accrued on the condensed consolidated balance sheets, which would require additional cash payments to be made and expense to be recorded for the amount exceeding the Company's estimate. Amounts payable related to the unsecured notes could exceed current estimates, which would require additional expense to be recorded. The Company has resolved the majority of claims since acquiring World Color Press in 2010, but the ultimate timing for completion of the bankruptcy process depends on the resolution of the remaining claims. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Debt | Debt The components of long-term debt as of September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Master note and security agreement $ 128.7 $ 152.6 Term loan A—$375.0 million due January 2021 360.9 376.9 Term loan B—$300.0 million due April 2021 288.7 290.6 Revolving credit facility—$725.0 million due January 2021 — 19.0 Senior unsecured notes—$300.0 million due May 2022 243.5 243.5 International term loan—$21.0 million 14.7 16.8 International revolving credit facility—$16.4 million — 5.3 Equipment term loans 6.4 9.5 Other 1.3 1.6 Debt issuance costs (11.0 ) (11.3 ) Total debt $ 1,033.2 $ 1,104.5 Less: short-term debt and current portion of long-term debt (66.8 ) (84.7 ) Long-term debt $ 966.4 $ 1,019.8 Fair Value of Debt Based upon the interest rates available to the Company for borrowings with similar terms and maturities, the fair value of the Company's total debt was approximately $1.0 billion and $1.1 billion at September 30, 2017 , and December 31, 2016 , respectively. The fair value determination of the Company's total debt was categorized as Level 2 in the fair value hierarchy (see Note 11 , " Financial Instruments and Fair Value Measurements ," for the definition of Level 2 inputs). 2017 Senior Secured Credit Facility Amendment The Company completed the second amendment to the Company's April 28, 2014 Senior Secured Credit Facility on February 10, 2017 . This second amendment was completed to reduce the size of the revolving credit facility and Term Loan A and to extend the Company's debt maturity profile while maintaining the Company's current cost of borrowing and covenant structure. The amendment resulted in a loss on debt extinguishment of $2.6 million during the nine months ended September 30, 2017 . The revolving credit facility was lowered to a maximum borrowing amount of $725.0 million with a term of just under four years , maturing on January 4, 2021. The Term Loan A was lowered to an aggregate amount of $375.0 million with a term of just under four years , maturing on January 4, 2021, subject to certain required amortization. Borrowings under the revolving credit facility and Term Loan A loans made under the Senior Secured Credit Facility will initially bear interest at 2.00% in excess of reserve adjusted London Interbank Offered Rate ("LIBOR"), or 1.00% in excess of an alternate base rate. This amendment to the Senior Secured Credit Facility does not have an impact on the quarterly financial covenant requirements the Company is subject to. The Senior Secured Credit Facility remains secured by substantially all of the unencumbered assets of the Company. The Senior Secured Credit Facility also requires the Company to provide additional collateral to the lenders in certain limited circumstances. Debt Issuance Costs Activity impacting the Company's debt issuance costs for the nine months ended September 30, 2017 , was as follows: Debt Issuance Costs Balance at December 31, 2016 $ 11.3 Debt issuance costs from February 10, 2017 debt financing arrangement 3.2 Loss on debt extinguishment from April 28, 2014 debt financing arrangement (1.1 ) Amortization of debt issuance costs (2.4 ) Balance at September 30, 2017 $ 11.0 2017 Loss on Debt Extinguishment The Company incurred $4.7 million in debt issuance costs in conjunction with the second amendment to the Company's Senior Secured Credit Facility. In accordance with the accounting guidance for the treatment of debt issuance costs in a debt extinguishment, of the $4.7 million in new debt issuance costs, $3.2 million is classified as a reduction of long-term debt in the condensed consolidated balance sheets and $1.5 million was expensed and is classified as loss on debt extinguishment in the condensed consolidated statements of operations. The loss on debt extinguishment recorded during the nine months ended September 30, 2017 , was as follows: Loss on Debt Extinguishment Debt issuance costs from April 28, 2014 debt financing arrangement $ 1.1 Debt issuance costs from February 10, 2017 debt financing arrangement 1.5 Total $ 2.6 2016 Gain on Debt Extinguishment The gain on debt extinguishment recorded during the nine months ended September 30, 2016 , was as follows: Master Note and Security Agreement Senior Unsecured Notes Total Principal amount repurchased $ 60.1 $ 56.5 $ 116.6 Repurchase price 61.2 42.5 103.7 Less: accrued interest paid (1.2 ) (1.1 ) (2.3 ) Net repurchase price 60.0 41.4 101.4 Debt financing fees expensed (0.1 ) — (0.1 ) Debt issuance costs expensed (0.2 ) (0.8 ) (1.0 ) Gain (loss) on debt extinguishment $ (0.2 ) $ 14.3 $ 14.1 Master Note and Security Agreement Tender The Company redeemed $60.1 million of its senior notes under the Master Note and Security Agreement, resulting in a net loss on debt extinguishment of $0.2 million during the nine months ended September 30, 2016 . All tendered senior notes under the Master Note and Security Agreement were canceled. The Company used cash flows from operating activities and borrowings under its revolving credit facility to fund the tender. The tender was primarily completed to reallocate debt to the lower interest rate revolving credit facility and thereby reduce interest expense based on current LIBOR rates. Senior Unsecured Note Repurchases The Company repurchased $56.5 million of its $300.0 million aggregate principal amount of unsecured 7.0% senior notes due May 1, 2022 , (the " Senior Unsecured Notes ") in the open market, resulting in a net gain on debt extinguishment of $14.3 million during the nine months ended September 30, 2016 . All repurchased Senior Unsecured Notes were canceled. The Company used cash flows from operating activities and borrowings under its revolving credit facility to fund the repurchases. These repurchases were primarily completed to efficiently reduce debt balances and interest expense based on current LIBOR rates. Covenants and Compliance The Company's various lending arrangements include certain financial covenants (all financial terms, numbers and ratios are as defined in the Company's debt agreements). Among these covenants, the Company was required to maintain the following as of September 30, 2017 : • Total Leverage Ratio. On a rolling twelve-month basis, the total leverage ratio, defined as total consolidated debt to consolidated EBITDA, shall not exceed 3.75 to 1.00 (for the twelve months ended September 30, 2017 , the Company's total leverage ratio was 2.18 to 1.00). • Senior Secured Leverage Ratio. On a rolling twelve-month basis, the senior secured leverage ratio, defined as senior secured debt to consolidated EBITDA, shall not exceed 3.50 to 1.00 (for the twelve months ended September 30, 2017 , the Company's senior secured leverage ratio was 1.68 to 1.00). • Minimum Interest Coverage Ratio. On a rolling twelve-month basis, the minimum interest coverage ratio, defined as consolidated EBITDA to consolidated cash interest expense, shall not be less than 3.50 to 1.00 (for the twelve months ended September 30, 2017 , the Company's minimum interest coverage ratio was 7.19 to 1.00). The indenture underlying the Senior Unsecured Notes contains various covenants, including, but not limited to, covenants that, subject to certain exceptions, limit the Company's and its restricted subsidiaries' ability to incur and/or guarantee additional debt; pay dividends, repurchase stock or make certain other restricted payments; enter into agreements limiting dividends and certain other restricted payments; prepay, redeem or repurchase subordinated debt; grant liens on assets; enter into sale and leaseback transactions; merge, consolidate, transfer or dispose of substantially all of the Company's consolidated assets; sell, transfer or otherwise dispose of property and assets; and engage in transactions with affiliates. In addition to those covenants, the Senior Secured Credit Facility also includes certain limitations on acquisitions, indebtedness, liens, dividends and repurchases of capital stock, including the following: • If the Company's total leverage ratio is greater than 3.00 to 1.00 (as defined in the Senior Secured Credit Facility), the Company is prohibited from making greater than $120.0 million of annual dividend payments, capital stock repurchases and certain other payments. If the total leverage ratio is less than 3.00 to 1.00, there are no such restrictions. • If the Company's senior secured leverage ratio is greater than 3.00 to 1.00 or the Company's total leverage ratio is greater than 3.50 to 1.00 (these ratios as defined in the Senior Secured Credit Facility), the Company is prohibited from voluntarily prepaying any of the Senior Unsecured Notes and from voluntarily prepaying any other unsecured or subordinated indebtedness, with certain exceptions (including any mandatory prepayments on the Senior Unsecured Notes or any other unsecured or subordinated debt). If the senior secured leverage ratio is less than 3.00 to 1.00 and the total leverage ratio is less than 3.50 to 1.00, there are no such restrictions. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company records income tax expense on an interim basis. The estimated annual effective income tax rate is adjusted quarterly, and items discrete to a specific quarter are reflected in tax expense for that interim period. The effective income tax rate for the interim period can differ from the statutory tax rate, as it reflects changes in valuation allowances due to expected current year earnings or loss and other discrete items, such as changes in the liability for unrecognized tax benefits related to establishment and settlement of income tax exposures. The Company's liability for unrecognized tax benefits as of September 30, 2017 , was $30.0 million . The Company anticipates a $10.2 million decrease to its liability for unrecognized tax benefits within the next twelve months due to resolution of income tax audits or statute expirations. |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments and Fair Value Measurements | Financial Instruments and Fair Value Measurements Certain assets and liabilities are required to be recorded at fair value on a recurring basis, while other assets and liabilities are recorded at fair value on a nonrecurring basis, generally as a result of acquisitions or impairment charges. Fair value is determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. GAAP also classifies the inputs used to measure fair value into the following hierarchy: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices in active markets for similar assets or liabilities, 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. There were no Level 3 recurring measurements of assets or liabilities as of September 30, 2017 . Interest Rate Swap The Company entered into a $250.0 million interest rate swap on February 7, 2017. The swap was designated as a cash flow hedge as its purpose is to reduce the variability of cash flows from interest payments related to a portion of Quad/Graphics' variable-rate debt. The swap became effective on February 28, 2017, and effectively converts $250.0 million of the Company's variable-rate debt based on one-month LIBOR to a fixed rate of 3.89% (including a 2.00% spread on underlying debt). The variable interest rate resets monthly and the swap is a five year arrangement, maturing on February 28, 2022. The Company classifies the interest rate swap as Level 2 because the inputs into the valuation model are observable or can be derived or corroborated utilizing observable market data at commonly quoted intervals. The interest rate swap was highly effective as of September 30, 2017 ; therefore, the increase in fair value of $0.3 million and the reduction in fair value of $0.4 million during three and nine months ended September 30, 2017 , respectively, is included in accumulated other comprehensive loss in the condensed consolidated balance sheets and is shown as a change in other comprehensive income in the condensed consolidated statements of comprehensive income (loss). No amount of ineffectiveness has been recorded into earnings related to this cash flow hedge. The fair value of the interest rate swap as of September 30, 2017 , was a liability of $0.4 million and was recorded in other long-term liabilities in the condensed consolidated balance sheets. The net payment of interest under the terms of the interest rate swap totaled an expense of $0.4 million and $1.2 million during the three and nine months ended September 30, 2017 , respectively, and has been recognized as an adjustment to interest expense in the condensed consolidated statements of operations. Foreign Exchange Contracts The Company has operations in countries that have transactions outside their functional currencies and periodically enters into foreign exchange contracts. These contracts are used to hedge the net exposures of changes in foreign currency exchange rates and are designated as either cash flow hedges or fair value hedges. Gains or losses on net foreign currency hedges are intended to offset losses or gains on the underlying net exposures in an effort to reduce the earnings volatility resulting from fluctuating foreign currency exchange rates. There were no open foreign currency exchange contracts as of September 30, 2017 . Natural Gas Forward Contracts The Company periodically enters into natural gas forward purchase contracts to hedge against increases in commodity costs. The Company's commodity contracts qualified for the exception related to normal purchases and sales during the three and nine months ended September 30, 2017 and 2016 , as the Company takes delivery in the normal course of business. Debt The Company measures fair value on its debt instruments using interest rates available to the Company for borrowings with similar terms and maturities and is categorized as Level 2. See Note 9 , “ Debt ,” for the fair value of the Company’s debt as of September 30, 2017 . Nonrecurring Fair Value Measurements In addition to assets and liabilities that are recorded at fair value on a recurring basis, the Company is required to record certain assets and liabilities at fair value on a nonrecurring basis, generally as a result of acquisitions or the remeasurement of assets resulting in impairment charges. See Note 2 , " Restructuring, Impairment and Transaction-Related Charges " and Note 5 , " Property, Plant and Equipment " for further discussion on impairment charges recorded as a result of the remeasurement of certain long-lived assets. Other Estimated Fair Value Measurements The fair value of cash and cash equivalents, receivables, inventories, restricted cash, accounts payable, accrued liabilities and amounts owing in satisfaction of bankruptcy claims approximate their carrying values as of September 30, 2017 , and December 31, 2016 . |
Accrued Liabilities and Other L
Accrued Liabilities and Other Long-Term Liabilities | 9 Months Ended |
Sep. 30, 2017 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities and Other Long-Term Liabilities | Accrued Liabilities and Other Long-Term Liabilities The components of accrued and other long-term liabilities as of September 30, 2017 , and December 31, 2016 , were as follows: September 30, 2017 December 31, 2016 Accrued Liabilities Other Long-Term Liabilities Total Accrued Liabilities Other Long-Term Liabilities Total Employee-related liabilities (1) $ 146.0 $ 61.6 $ 207.6 $ 194.3 $ 61.7 $ 256.0 Single employer pension plan obligations 1.8 103.8 105.6 1.8 112.4 114.2 Multiemployer pension plans – withdrawal liability 9.2 21.8 31.0 10.6 33.4 44.0 Tax-related liabilities 38.5 20.1 58.6 24.6 22.9 47.5 Restructuring liabilities 13.8 3.3 17.1 13.5 4.8 18.3 Interest and rent liabilities 13.3 2.2 15.5 7.6 3.3 10.9 Other 90.1 33.5 123.6 104.3 36.1 140.4 Total $ 312.7 $ 246.3 $ 559.0 $ 356.7 $ 274.6 $ 631.3 ______________________________ (1) Employee-related liabilities consist primarily of payroll, bonus, vacation, health and workers' compensation. |
Employee Retirement Plans
Employee Retirement Plans | 9 Months Ended |
Sep. 30, 2017 | |
Retirement Benefits [Abstract] | |
Employee Retirement Plans | Employee Retirement Plans Pension Plans The Company sponsors various funded and unfunded pension plans for a portion of its full-time employees in the United States. Benefits are generally based upon years of service and compensation. These plans are frozen and are funded in conformity with the applicable government regulations. The Company funds at least the minimum amount required for all qualified plans using actuarial cost methods and assumptions acceptable under government regulations. The components of net pension income (expense) for the three and nine months ended September 30, 2017 and 2016 , were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Interest cost $ (4.3 ) $ (4.0 ) $ (12.9 ) $ (14.3 ) Expected return on plan assets 6.9 7.3 20.7 23.1 Net periodic pension income 2.6 3.3 7.8 8.8 Settlement charge — (6.5 ) — (6.5 ) Net pension income (expense) $ 2.6 $ (3.2 ) $ 7.8 $ 2.3 On July 1, 2017, the Company provided the option to receive a lump-sum pension payment to a select group of terminated vested participants. Total payments of $18.9 million have been made from January 1, 2017, to October 15, 2017, of which $8.4 million was paid in October 2017 under the lump-sum program. Payments to eligible participants who elected to receive a lump-sum pension payment were funded from existing pension plan assets and constituted a settlement of the Company’s pension liabilities with respect to these participants. The Company expects to record a non-cash settlement charge during the fourth quarter of 2017 in connection with the lump-sum payments. On April 1, 2016, the Company provided the option to receive a lump-sum pension payment to a select group of terminated vested participants. During the nine months ended September 30, 2016, the Company settled $90.1 million of pension liabilities for total lump-sum payments of $71.3 million . Payments to eligible participants who elected to receive a lump-sum pension payment were funded from existing pension plan assets and constituted a settlement of the Company’s pension liabilities with respect to these participants. The Company’s pension assets and liabilities were remeasured as of July 2016. The discount rates and actuarial assumptions used to calculate the payouts were determined in accordance with federal regulations. The Company recorded a non-cash settlement charge of $6.5 million during the third quarter of 2016 in connection with the lump-sum payments. The settlement charge was classified as restructuring, impairment and transaction-related charges in the condensed consolidated statement of operations. These charges resulted from the recognition in earnings of a portion of the actuarial losses recorded in accumulated other comprehensive loss based on the proportion of the obligation settled. The Company made $0.8 million in benefit payments to its non-qualified defined benefit pension plans and made no contributions to its qualified defined benefit pension plans during the nine months ended September 30, 2017 . Multiemployer Pension Plans ("MEPPs") The Company has withdrawn from all significant MEPPs and replaced these union sponsored "promise to pay in the future" defined benefit plans with a Company sponsored "pay as you go" defined contribution plan. The two MEPPs, the Graphic Communications International Union – Employer Retirement Fund ("GCIU") and the Graphic Communications Conference of the International Brotherhood of Teamsters National Pension Fund ("GCC"), are significantly underfunded, and require the Company to pay a withdrawal liability to fund its pro rata share of the underfunding as of the plan year the full withdrawal was completed. As a result of the decision to withdraw, the Company accrued the estimated withdrawal liability based on information provided by each plan's trustee. The Company has received a notice of withdrawal and demand for payment letter from the GCIU, which is in excess of the reserve established by the Company for the GCIU withdrawal. The Company is currently in litigation with the GCIU trustees to determine the amount and duration of the withdrawal payments for the GCIU. Arbitration proceedings with the GCIU have been completed, both sides have appealed the arbitrator's ruling, and litigation in Federal court has commenced. During April 2017, a Federal district court overturned the arbitration decision in one of the pending disputes in this matter. The Company has appealed the district court’s ruling to the Ninth Circuit. During the fourth quarter of 2016, the Company and the GCC reached a settlement agreement for all claims, with scheduled payments until February 2024. The Company made payments totaling $20.4 million and $8.5 million for the nine months ended September 30, 2017 and 2016 , respectively. The payments are required by the Employee Retirement Income Security Act, although such payments to the GCIU do not waive the Company's rights to object to the withdrawal liabilities submitted by the GCIU plan administrator. The Company has reserved $31.0 million as its estimate of the total MEPPs withdrawal liability as of September 30, 2017 , of which $21.8 million was recorded in other long-term liabilities and $9.2 million was recorded in accrued liabilities in the condensed consolidated balance sheets. The withdrawal liability reserved by the Company is within the range of the Company's estimated potential outcomes. This estimate may increase or decrease depending on the final conclusion of the litigation with the GCIU trustees. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Basic earnings per share is computed as net earnings divided by the basic weighted average common shares outstanding of 49.5 million and 49.4 million shares for the three and nine months ended September 30, 2017 , respectively, and 47.8 million and 47.6 million shares for the three and nine months ended September 30, 2016 , respectively. The calculation of diluted earnings per share includes the effect of any dilutive equity incentive instruments. The Company uses the treasury stock method to calculate the effect of outstanding dilutive equity incentive instruments, which requires the Company to compute total proceeds as the sum of the amount the employee must pay upon exercise of the award and the amount of unearned stock-based compensation costs attributable to future services. Equity incentive instruments for which the total employee proceeds from exercise exceed the average fair value of the same equity incentive instrument over the period have an anti-dilutive effect on earnings per share during periods with net earnings, and accordingly, the Company excludes them from the calculation. Anti-dilutive equity instruments excluded from the computation of diluted net earnings per share were 0.7 million and 0.8 million class A common shares for the three and nine months ended September 30, 2017 , respectively, and 0.7 million and 2.3 million class A common shares for the three and nine months ended September 30, 2016 , respectively. Reconciliations of the numerator and the denominator of the basic and diluted per share computations for the Company's common stock, for the three and nine months ended September 30, 2017 and 2016 , are summarized as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator Net earnings $ 19.8 $ 11.3 $ 51.9 $ 7.4 Denominator Basic weighted average number of common shares outstanding for all classes of common shares 49.5 47.8 49.4 47.6 Plus: effect of dilutive equity incentive instruments 2.0 2.8 2.2 1.7 Diluted weighted average number of common shares outstanding for all classes of common shares 51.5 50.6 51.6 49.3 Earnings per share Basic $ 0.40 $ 0.24 $ 1.05 $ 0.16 Diluted $ 0.38 $ 0.22 $ 1.01 $ 0.15 Cash dividends paid per common share for all classes of common shares $ 0.30 $ 0.30 $ 0.90 $ 0.90 |
Equity Incentive Programs
Equity Incentive Programs | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Equity Incentive Programs | Equity Incentive Programs The shareholders of the Company approved the Quad/Graphics, Inc. 2010 Omnibus Incentive Plan ("Omnibus Plan") for two complementary purposes: (1) to attract and retain outstanding individuals to serve as directors, officers and employees; and (2) to increase shareholder value. The Omnibus Plan provides for an aggregate 10,871,652 shares of class A common stock reserved for issuance under the Omnibus Plan. Awards under the Omnibus Plan may consist of incentive awards, stock options, stock appreciation rights, performance shares, performance share units, shares of class A common stock, restricted stock, restricted stock units, deferred stock units or other stock-based awards as determined by the Company's Board of Directors. Each stock option granted has an exercise price of no less than 100% of the fair market value of the class A common stock on the date of grant. As of September 30, 2017 , there were 2,136,442 shares available for issuance under the Omnibus Plan. Authorized unissued shares or treasury shares may be used for issuance under the Company's equity incentive programs. The Company intends to use treasury shares of its class A common stock to meet the stock requirements of its awards in the future. The Company recognizes compensation expense based on estimated grant date fair values for all share-based awards issued to employees and non-employee directors, including stock options, performance shares, performance share units, restricted stock, restricted stock units and deferred stock units. The Company recognizes these compensation costs for only those awards expected to vest, on a straight-line basis over the requisite three to four year service period of the awards, except deferred stock units, which are fully vested and expensed on the grant date. The Company estimated the number of awards expected to vest based, in part, on historical forfeiture rates and also based on management's expectations of employee turnover within the specific employee groups receiving each type of award. Forfeitures are estimated at the time of grant and revised in subsequent periods if actual forfeitures differ from those estimates. Equity Incentive Compensation Expense The total compensation expense recognized related to all equity incentive programs was $3.3 million and $13.0 million for the three and nine months ended September 30, 2017 , respectively, and $3.8 million and $12.0 million for the three and nine months ended September 30, 2016 , respectively, and was recorded in selling, general and administrative expenses in the condensed consolidated statements of operations. Total future compensation expense related to all equity incentive programs granted as of September 30, 2017 , was estimated to be $20.4 million , which consists entirely of expense for restricted stock ("RS") and restricted stock unit ("RSU") awards. Estimated future compensation expense is $3.5 million for the remainder of 2017 , $10.0 million for 2018 , $6.0 million for 2019 and $0.9 million for 2020 . Stock Options Options vest over four years , with no vesting in the first year and one-third vesting upon the second, third and fourth anniversary dates. As defined in the individual grant agreements, acceleration of vesting may occur under a change in control, death, disability or normal retirement of the grantee. Options expire no later than the tenth anniversary of the grant date, 24 months after termination for death, 36 months after termination for normal retirement or disability and 90 days after termination of employment for any other reason. Options are not credited with dividend declarations, except for the November 18, 2011 grants. Stock options are only to be granted to employees. There were no stock options granted, and no compensation expense was recognized related to stock options for the three and nine months ended September 30, 2017 and 2016 . There is no future compensation expense for stock options as of September 30, 2017 . The following table is a summary of the stock option activity for the nine months ended September 30, 2017 : Shares Under Option Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (millions) Outstanding at December 31, 2016 1,702,866 $ 23.00 3.3 $ 12.3 Granted — — Exercised (154,549 ) 16.14 Canceled/forfeited/expired (22,892 ) 23.32 Outstanding and exercisable at September 30, 2017 1,525,425 $ 23.69 2.6 $ 6.7 The intrinsic value of options outstanding and exercisable at September 30, 2017 , and December 31, 2016 , was based on the fair value of the stock price. All outstanding options are vested as of September 30, 2017 . The following table is a summary of the stock option exercises and vesting activity for the three and nine months ended September 30, 2017 and 2016 : Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Total intrinsic value of stock options exercised $ — $ 8.9 $ 1.7 $ 9.7 Cash received from stock option exercises — 21.1 2.4 22.8 Total grant date fair value of stock options vested — — — 0.3 Restricted Stock and Restricted Stock Units Restricted stock and restricted stock unit awards consist of shares or the rights to shares of the Company's class A common stock which are awarded to employees of the Company. The awards are restricted such that they are subject to substantial risk of forfeiture and to restrictions on their sale or other transfer by the employee. RSU awards are typically granted to eligible employees outside of the United States. As defined in the individual grant agreements, acceleration of vesting may occur under a change in control, death, disability or normal retirement of the grantee. Grantees receiving RS grants are able to exercise full voting rights and receive full credit for dividends during the vesting period. All such dividends will be paid to the RS grantee within 45 days of full vesting. Grantees receiving RSUs are not entitled to vote, but do earn dividends. Upon vesting, RSUs will be settled either through cash payment equal to the fair market value of the RSUs on the vesting date or through issuance of the Company's class A common stock. The following table is a summary of RS and RSU award activity for the nine months ended September 30, 2017 : Restricted Stock Restricted Stock Units Shares Weighted- Average Grant Date Fair Value Per Share Weighted- Average Remaining Contractual Term (years) Units Weighted- Average Grant Date Fair Value Per Share Weighted- Average Remaining Contractual Term (years) Nonvested at December 31, 2016 2,485,389 $ 15.89 1.5 235,886 $ 11.04 1.8 Granted 665,517 26.85 71,438 26.88 Vested (612,395 ) 23.44 (10,529 ) 23.45 Forfeited (58,055 ) 16.60 — — Nonvested at September 30, 2017 2,480,456 $ 16.95 1.5 296,795 $ 14.41 1.4 In general, RS and RSU awards will vest on the third anniversary of the grant date, provided the holder of the share is continuously employed by the Company until the vesting date. Compensation expense recognized for RS and RSUs was $3.3 million and $12.1 million for the three and nine months ended September 30, 2017 , and $3.8 million and $11.2 million for the three and nine months ended September 30, 2016 , respectively. Deferred Stock Units Deferred stock units ("DSU") are awards of rights to shares of the Company's class A common stock and are awarded to non-employee directors of the Company. The following table is a summary of DSU award activity for the nine months ended September 30, 2017 : Deferred Stock Units Units Weighted-Average Grant Date Fair Value Per Share Outstanding at December 31, 2016 249,739 $ 16.98 Granted 34,656 26.88 Dividend equivalents granted 8,788 22.46 Settled (99,894 ) 18.65 Outstanding at September 30, 2017 193,289 $ 18.12 Each DSU award entitles the grantee to receive one share of class A common stock upon the earlier of the separation date of the grantee or the second anniversary of the grant date, but could be subject to acceleration for a change in control, death or disability as defined in the individual DSU grant agreement. Grantees of DSU awards may not exercise voting rights, but are credited with dividend equivalents, and those dividend equivalents will be converted into additional DSU awards based on the closing price of the class A common stock. No compensation expense was recorded for DSUs during the three months ended September 30, 2017 and 2016 . There was $0.9 million and $0.8 million of compensation expense recorded for DSUs during the nine months ended September 30, 2017 and 2016 , respectively. As DSU awards are fully vested on the grant date, all compensation expense was recognized at the date of grant. |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity The Company has three classes of common stock as follows (share data in millions): Issued Common Stock Authorized Shares Outstanding Treasury Total Issued Shares Class A stock ($0.025 par value) 80.0 September 30, 2017 37.8 2.2 40.0 December 31, 2016 37.2 2.8 40.0 Class B stock ($0.025 par value) 80.0 September 30, 2017 14.0 1.0 15.0 December 31, 2016 14.2 0.8 15.0 Class C stock ($0.025 par value) 20.0 September 30, 2017 — 0.5 0.5 December 31, 2016 — 0.5 0.5 In accordance with the Articles of Incorporation, each class A common share has one vote per share and each class B and class C common share has ten votes per share on all matters voted upon by the Company's shareholders. Liquidation rights are the same for all three classes of common stock. The Company also has 0.5 million shares of $0.01 par value preferred stock authorized, of which none were issued at September 30, 2017 , and December 31, 2016 . The Company has no present plans to issue any preferred stock. On September 6, 2011 , the Company's Board of Directors authorized a share repurchase program of up to $100.0 million of the Company's outstanding class A common stock. During the three and nine months ended September 30, 2017 , the Company repurchased 200,605 shares of its class A common stock at a weighted average price of $18.89 per share for a total purchase price of $3.8 million . As of September 30, 2017 , there were $79.2 million of authorized repurchases remaining under the program. In accordance with the Articles of Incorporation, dividends are paid equally for all three classes of common shares. The dividend activity related to the then outstanding shares for the nine months ended September 30, 2017 and 2016 , was as follows: Declaration Date Record Date Payment Date Dividend Amount per Share 2017 Q3 Dividend August 1, 2017 August 21, 2017 September 1, 2017 $ 0.30 Q2 Dividend May 1, 2017 May 22, 2017 June 2, 2017 0.30 Q1 Dividend February 17, 2017 February 27, 2017 March 10, 2017 0.30 2016 Q3 Dividend August 1, 2016 August 29, 2016 September 9, 2016 $ 0.30 Q2 Dividend May 3, 2016 June 6, 2016 June 17, 2016 0.30 Q1 Dividend February 19, 2016 March 7, 2016 March 18, 2016 0.30 Activity impacting shareholders' equity for the nine months ended September 30, 2017 , was as follows: Shareholders' Equity Balance at December 31, 2016 $ 441.5 Net earnings 51.9 Translation adjustments 14.9 Interest rate swap adjustments, net of tax (0.3 ) Cash dividends declared (47.7 ) Stock-based compensation 13.0 Purchases of treasury stock (3.8 ) Sale of stock for options exercised 2.4 Equity awards redeemed to pay employees' tax obligations (5.9 ) Balance at September 30, 2017 $ 466.0 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The changes in accumulated other comprehensive loss by component, net of tax, for the nine months ended September 30, 2017 , were as follows: Translation Adjustments Interest Rate Swap Adjustments Pension Benefit Plan Adjustments Total Balance at December 31, 2016 $ (130.8 ) $ — $ (21.8 ) $ (152.6 ) Other comprehensive income (loss) before reclassifications 14.9 (0.3 ) — 14.6 Amounts reclassified from accumulated other comprehensive loss to net earnings — — — — Net other comprehensive income (loss) 14.9 (0.3 ) — 14.6 Balance at September 30, 2017 $ (115.9 ) $ (0.3 ) $ (21.8 ) $ (138.0 ) The changes in accumulated other comprehensive loss by component, net of tax, for the nine months ended September 30, 2016 , were as follows: Translation Adjustments Pension Benefit Plan Adjustments Total Balance at December 31, 2015 $ (126.9 ) $ (25.6 ) $ (152.5 ) Other comprehensive income (loss) before reclassifications 4.6 (18.4 ) (13.8 ) Amounts reclassified from accumulated other comprehensive loss to net earnings — 4.0 4.0 Net other comprehensive income (loss) 4.6 (14.4 ) (9.8 ) Balance at September 30, 2016 $ (122.3 ) $ (40.0 ) $ (162.3 ) The details about the reclassifications from accumulated other comprehensive loss to net earnings for the three and nine months ended September 30, 2016 , were as follows: Details about Accumulated Other Comprehensive Loss Components Three Months Ended September 30, Nine Months Ended September 30, Condensed Consolidated Statements of Operations Presentation 2016 2016 Settlement charge on pension benefit plans (see Note 13) $ 6.5 $ 6.5 Restructuring, impairment and transaction-related charges Income tax benefit (2.5 ) (2.5 ) Income tax expense Settlement charge on pension benefit plans, net of tax 4.0 4.0 Total reclassifications for the period 6.5 6.5 Impact of income taxes (2.5 ) (2.5 ) Total reclassifications for the period, net of tax $ 4.0 $ 4.0 |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company operates primarily in the commercial print portion of the printing industry, with related product and service offerings designed to offer clients complete solutions for communicating their message to target audiences. The Company's operating and reportable segments are aligned with how the chief operating decision maker of the Company currently manages the business. The Company's operating and reportable segments, including their product and service offerings, and a "Corporate" category are as follows: • United States Print and Related Services • International • Corporate United States Print and Related Services The United States Print and Related Services segment is predominantly comprised of the Company's United States printing operations and is managed as one integrated platform. This includes retail inserts, publications, catalogs, special interest publications, journals, direct mail, books, directories, in-store marketing and promotion, packaging, newspapers, custom print products, other commercial and specialty printed products and global paper procurement, together with marketing and other complementary services, including marketing strategy, media planning and placement, data insights, segmentation and response analytics services, creative services, videography, photography, workflow solutions, digital imaging, facilities management services, digital publishing, interactive print solutions including image recognition and near field communication technology, mailing, distribution, logistics, and data optimization and hygiene services. This segment also includes the manufacture of ink. International The International segment consists of the Company's printing operations in Europe and Latin America, including operations in England, France, Germany, Poland, Argentina, Colombia, Mexico and Peru, as well as investments in printing operations in Brazil and India. This segment provides printed products and marketing and other complementary services consistent with the United States Print and Related Services segment. Unrestricted subsidiaries as defined in the Company's Senior Unsecured Notes indenture represent less than 2.0% of total consolidated assets as of September 30, 2017 , and less than 2.0% of total consolidated net sales for the three and nine months ended September 30, 2017 . Corporate Corporate consists of unallocated general and administrative activities and associated expenses including, in part, executive, legal and finance, as well as certain expenses and income from frozen employee retirement plans, such as pension benefit plans. The following is a summary of segment information for the three and nine months ended September 30, 2017 and 2016 : Net Sales Operating Income (Loss) Restructuring, Impairment and Transaction- Related Charges Products Services Three months ended September 30, 2017 United States Print and Related Services $ 762.5 $ 143.8 $ 53.4 $ 7.8 International 94.4 4.7 7.2 (1.0 ) Total operating segments 856.9 148.5 60.6 6.8 Corporate — — (11.2 ) 1.2 Total $ 856.9 $ 148.5 $ 49.4 $ 8.0 Three months ended September 30, 2016 United States Print and Related Services $ 808.6 $ 147.9 $ 58.6 $ 8.8 International 95.6 4.3 5.5 (1.3 ) Total operating segments 904.2 152.2 64.1 7.5 Corporate — — (30.3 ) 18.6 Total $ 904.2 $ 152.2 $ 33.8 $ 26.1 Nine months ended September 30, 2017 United States Print and Related Services $ 2,258.7 $ 422.1 $ 156.6 $ 17.7 International 271.9 14.5 15.3 1.8 Total operating segments 2,530.6 436.6 171.9 19.5 Corporate — — (36.2 ) 3.0 Total $ 2,530.6 $ 436.6 $ 135.7 $ 22.5 Nine months ended September 30, 2016 United States Print and Related Services $ 2,405.1 $ 428.8 $ 114.6 $ 40.4 International 283.8 13.5 7.5 0.7 Total operating segments 2,688.9 442.3 122.1 41.1 Corporate — — (62.0 ) 21.3 Total $ 2,688.9 $ 442.3 $ 60.1 $ 62.4 Restructuring, impairment and transaction-related charges for the three and nine months ended September 30, 2017 and 2016 , are further described in Note 2 , " Restructuring, Impairment and Transaction-Related Charges ," and are included in the operating income (loss) results by segment above. A reconciliation of operating income to earnings before income taxes and equity in loss of unconsolidated entity as reported in the condensed consolidated statements of operations for the three and nine months ended September 30, 2017 and 2016 , was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Operating income $ 49.4 $ 33.8 $ 135.7 $ 60.1 Less: interest expense 17.8 19.6 53.6 58.9 Less: loss (gain) on debt extinguishment — — 2.6 (14.1 ) Earnings before income taxes and equity in loss of unconsolidated entity $ 31.6 $ 14.2 $ 79.5 $ 15.3 |
Separate Financial Information
Separate Financial Information of Subsidiary Guarantors of Indebtedness | 9 Months Ended |
Sep. 30, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Separate Financial Information of Subsidiary Guarantors of Indebtedness | Separate Financial Information of Subsidiary Guarantors of Indebtedness On April 28, 2014 , Quad/Graphics completed an offering of the Senior Unsecured Notes . Each of the Company's existing and future domestic subsidiaries that is a borrower or guarantees indebtedness under the Company's Senior Secured Credit Facility or that guarantees certain of the Company's other indebtedness or indebtedness of the Company's restricted subsidiaries (other than intercompany indebtedness) fully and unconditionally guarantee or, in the case of future subsidiaries, will guarantee, on a joint and several basis, the Senior Unsecured Notes (the "Guarantor Subsidiaries"). All of the current Guarantor Subsidiaries are 100% owned by the Company. Guarantor Subsidiaries will be automatically released from these guarantees upon the occurrence of certain events, including the following: • the designation of any of the Guarantor Subsidiaries as an unrestricted subsidiary; • the release or discharge of any guarantee or indebtedness that resulted in the creation of the guarantee of the Senior Unsecured Notes by any of the Guarantor Subsidiaries; or • the sale or disposition, including the sale of substantially all the assets, of any of the Guarantor Subsidiaries. The following condensed consolidating financial information reflects the summarized financial information of Quad/Graphics, the Company's Guarantor Subsidiaries on a combined basis and the Company's non-guarantor subsidiaries on a combined basis. Condensed Consolidating Statement of Operations For the Three Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 413.6 $ 585.5 $ 107.8 $ (101.5 ) $ 1,005.4 Cost of sales 297.1 502.3 84.8 (99.4 ) 784.8 Selling, general and administrative expenses 66.6 30.0 10.4 (2.1 ) 104.9 Depreciation and amortization 26.4 26.2 5.7 — 58.3 Restructuring, impairment and transaction-related charges 7.9 1.1 (1.0 ) — 8.0 Total operating expenses 398.0 559.6 99.9 (101.5 ) 956.0 Operating income (loss) $ 15.6 $ 25.9 $ 7.9 $ — $ 49.4 Interest expense (income) 17.7 (0.7 ) 0.8 — 17.8 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (2.1 ) 26.6 7.1 — 31.6 Income tax expense (benefit) 4.5 6.1 1.2 — 11.8 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (6.6 ) 20.5 5.9 — 19.8 Equity in (earnings) loss of consolidated entities (26.4 ) (1.0 ) — 27.4 — Equity in loss of unconsolidated entity — — — — — Net earnings (loss) $ 19.8 $ 21.5 $ 5.9 $ (27.4 ) $ 19.8 Condensed Consolidating Statement of Comprehensive Income (Loss) For the Three Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 19.8 $ 21.5 $ 5.9 $ (27.4 ) $ 19.8 Other comprehensive income (loss), net of tax 3.6 (0.3 ) 3.4 (3.1 ) 3.6 Total comprehensive income (loss) $ 23.4 $ 21.2 $ 9.3 $ (30.5 ) $ 23.4 Condensed Consolidating Statement of Operations For the Three Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 443.9 $ 617.5 $ 112.4 $ (117.4 ) $ 1,056.4 Cost of sales 336.1 515.4 90.8 (117.4 ) 824.9 Selling, general and administrative expenses 55.1 45.3 9.5 — 109.9 Depreciation and amortization 29.1 25.4 7.2 — 61.7 Restructuring, impairment and transaction-related charges 25.7 1.7 (1.3 ) — 26.1 Total operating expenses 446.0 587.8 106.2 (117.4 ) 1,022.6 Operating income (loss) $ (2.1 ) $ 29.7 $ 6.2 $ — $ 33.8 Interest expense (income) 20.1 (1.4 ) 0.9 — 19.6 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (22.2 ) 31.1 5.3 — 14.2 Income tax expense (benefit) 0.1 2.4 0.4 — 2.9 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (22.3 ) 28.7 4.9 — 11.3 Equity in (earnings) loss of consolidated entities (33.6 ) (1.3 ) — 34.9 — Equity in loss of unconsolidated entity — — — — — Net earnings (loss) $ 11.3 $ 30.0 $ 4.9 $ (34.9 ) $ 11.3 Condensed Consolidating Statement of Comprehensive Income (Loss) For the Three Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 11.3 $ 30.0 $ 4.9 $ (34.9 ) $ 11.3 Other comprehensive income (loss), net of tax (16.9 ) (14.7 ) (2.8 ) 17.5 (16.9 ) Total comprehensive income (loss) $ (5.6 ) $ 15.3 $ 2.1 $ (17.4 ) $ (5.6 ) Condensed Consolidating Statement of Operations For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 1,221.1 $ 1,711.1 $ 310.4 $ (275.4 ) $ 2,967.2 Cost of sales 884.2 1,470.2 246.8 (270.3 ) 2,330.9 Selling, general and administrative expenses 191.4 88.8 27.5 (5.1 ) 302.6 Depreciation and amortization 81.3 77.8 16.4 — 175.5 Restructuring, impairment and transaction-related charges 25.8 (5.0 ) 1.7 — 22.5 Total operating expenses 1,182.7 1,631.8 292.4 (275.4 ) 2,831.5 Operating income (loss) $ 38.4 $ 79.3 $ 18.0 $ — $ 135.7 Interest expense (income) 52.2 (1.3 ) 2.7 — 53.6 Loss (gain) on debt extinguishment 2.6 — — — 2.6 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (16.4 ) 80.6 15.3 — 79.5 Income tax expense (benefit) (2.2 ) 26.3 2.7 — 26.8 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (14.2 ) 54.3 12.6 — 52.7 Equity in (earnings) loss of consolidated entities (66.1 ) (2.2 ) — 68.3 — Equity in loss of unconsolidated entity — — 0.8 — 0.8 Net earnings (loss) $ 51.9 $ 56.5 $ 11.8 $ (68.3 ) $ 51.9 Condensed Consolidating Statement of Comprehensive Income (Loss) For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 51.9 $ 56.5 $ 11.8 $ (68.3 ) $ 51.9 Other comprehensive income (loss), net of tax 14.6 (0.5 ) 14.3 (13.8 ) 14.6 Total comprehensive income (loss) $ 66.5 $ 56.0 $ 26.1 $ (82.1 ) $ 66.5 Condensed Consolidating Statement of Operations For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 1,302.9 $ 1,790.1 $ 336.9 $ (298.7 ) $ 3,131.2 Cost of sales 960.0 1,518.7 269.4 (298.7 ) 2,449.4 Selling, general and administrative expenses 193.9 114.6 33.4 — 341.9 Depreciation and amortization 118.8 75.2 23.4 — 217.4 Restructuring, impairment and transaction-related charges 44.6 17.0 0.8 — 62.4 Total operating expenses 1,317.3 1,725.5 327.0 (298.7 ) 3,071.1 Operating income (loss) $ (14.4 ) $ 64.6 $ 9.9 $ — $ 60.1 Interest expense (income) 59.8 (3.8 ) 2.9 — 58.9 Loss (gain) on debt extinguishment (14.1 ) — — — (14.1 ) Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (60.1 ) 68.4 7.0 — 15.3 Income tax expense (benefit) 5.9 (0.9 ) 0.6 — 5.6 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (66.0 ) 69.3 6.4 — 9.7 Equity in (earnings) loss of consolidated entities (73.4 ) (4.6 ) — 78.0 — Equity in loss of unconsolidated entity — — 2.3 — 2.3 Net earnings (loss) $ 7.4 $ 73.9 $ 4.1 $ (78.0 ) $ 7.4 Condensed Consolidating Statement of Comprehensive Income (Loss) For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 7.4 $ 73.9 $ 4.1 $ (78.0 ) $ 7.4 Other comprehensive income (loss), net of tax (9.8 ) (16.0 ) 2.8 13.2 (9.8 ) Total comprehensive income (loss) $ (2.4 ) $ 57.9 $ 6.9 $ (64.8 ) $ (2.4 ) Condensed Consolidating Balance Sheet As of September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total ASSETS Cash and cash equivalents $ 5.3 $ 0.9 $ 9.2 $ — $ 15.4 Receivables, less allowances for doubtful accounts 399.5 53.7 88.8 — 542.0 Intercompany receivables — 779.6 — (779.6 ) — Inventories 136.9 131.5 39.6 — 308.0 Other current assets 29.5 5.6 7.6 — 42.7 Total current assets 571.2 971.3 145.2 (779.6 ) 908.1 Property, plant and equipment—net 723.2 540.8 163.4 — 1,427.4 Investment in consolidated entities 1,370.4 11.4 — (1,381.8 ) — Intangible assets—net 8.2 28.0 11.6 — 47.8 Intercompany loan receivable 104.8 — — (104.8 ) — Other long-term assets 51.6 10.4 32.1 — 94.1 Total assets $ 2,829.4 $ 1,561.9 $ 352.3 $ (2,266.2 ) $ 2,477.4 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ 204.9 $ 80.4 $ 59.2 $ — $ 344.5 Intercompany accounts payable 769.6 — 10.0 (779.6 ) — Short-term debt and current portion of long-term debt and capital lease obligations 66.8 1.3 4.9 — 73.0 Other current liabilities 213.3 68.7 32.8 — 314.8 Total current liabilities 1,254.6 150.4 106.9 (779.6 ) 732.3 Long-term debt and capital lease obligations 968.2 1.5 11.5 — 981.2 Intercompany loan payable — 40.7 64.1 (104.8 ) — Other long-term liabilities 140.6 143.4 13.9 — 297.9 Total liabilities 2,363.4 336.0 196.4 (884.4 ) 2,011.4 Total shareholders' equity 466.0 1,225.9 155.9 (1,381.8 ) 466.0 Total liabilities and shareholders' equity $ 2,829.4 $ 1,561.9 $ 352.3 $ (2,266.2 ) $ 2,477.4 Condensed Consolidating Balance Sheet As of December 31, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total ASSETS Cash and cash equivalents $ 0.3 $ 1.9 $ 6.8 $ — $ 9.0 Receivables, less allowances for doubtful accounts 439.7 37.7 86.2 — 563.6 Intercompany receivables — 720.5 — (720.5 ) — Inventories 102.2 115.9 47.3 — 265.4 Other current assets 40.6 15.7 8.3 — 64.6 Total current assets 582.8 891.7 148.6 (720.5 ) 902.6 Property, plant and equipment—net 777.3 577.9 164.7 — 1,519.9 Investment in consolidated entities 1,288.9 61.8 — (1,350.7 ) — Intangible assets—net 12.0 20.3 27.4 — 59.7 Intercompany loan receivable 104.2 — — (104.2 ) — Other long-term assets 43.5 10.1 34.3 — 87.9 Total assets $ 2,808.7 $ 1,561.8 $ 375.0 $ (2,175.4 ) $ 2,570.1 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ 159.3 $ 98.5 $ 65.7 $ — $ 323.5 Intercompany accounts payable 711.2 — 9.3 (720.5 ) — Short-term debt and current portion of long-term debt and capital lease obligations 79.5 2.9 9.7 — 92.1 Other current liabilities 253.9 76.2 28.9 — 359.0 Total current liabilities 1,203.9 177.6 113.6 (720.5 ) 774.6 Long-term debt and capital lease obligations 1,022.0 2.4 14.3 — 1,038.7 Intercompany loan payable — 39.9 64.3 (104.2 ) — Other long-term liabilities 141.3 150.0 24.0 — 315.3 Total liabilities 2,367.2 369.9 216.2 (824.7 ) 2,128.6 Total shareholders' equity 441.5 1,191.9 158.8 (1,350.7 ) 441.5 Total liabilities and shareholders' equity $ 2,808.7 $ 1,561.8 $ 375.0 $ (2,175.4 ) $ 2,570.1 Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total OPERATING ACTIVITIES Net cash from operating activities $ 100.4 $ 54.7 $ 24.6 $ — $ 179.7 INVESTING ACTIVITIES Purchases of property, plant and equipment (17.8 ) (36.1 ) (7.7 ) — (61.6 ) Intercompany investing activities (4.3 ) (45.3 ) 0.8 48.8 — Other investing activities (5.0 ) 32.2 3.8 — 31.0 Net cash from (used in) investing activities (27.1 ) (49.2 ) (3.1 ) 48.8 (30.6 ) FINANCING ACTIVITIES Proceeds from issuance of long-term debt 375.0 — — — 375.0 Payments of long-term debt and capital lease obligations (423.5 ) (2.5 ) (4.2 ) — (430.2 ) Borrowings on revolving credit facilities 521.9 — 3.8 — 525.7 Payments on revolving credit facilities (540.9 ) — (9.5 ) — (550.4 ) Purchases of treasury stock (3.8 ) — — — (3.8 ) Payment of cash dividends (46.5 ) — — — (46.5 ) Intercompany financing activities 57.7 0.1 (9.0 ) (48.8 ) — Other financing activities (8.2 ) (4.1 ) — — (12.3 ) Net cash from (used in) financing activities (68.3 ) (6.5 ) (18.9 ) (48.8 ) (142.5 ) Effect of exchange rates on cash and cash equivalents — — (0.2 ) — (0.2 ) Net increase (decrease) in cash and cash equivalents 5.0 (1.0 ) 2.4 — 6.4 Cash and cash equivalents at beginning of period 0.3 1.9 6.8 — 9.0 Cash and cash equivalents at end of period $ 5.3 $ 0.9 $ 9.2 $ — $ 15.4 Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total OPERATING ACTIVITIES Net cash from operating activities $ 116.2 $ 136.4 $ 7.4 $ — $ 260.0 INVESTING ACTIVITIES Purchases of property, plant and equipment (24.0 ) (18.5 ) (15.2 ) — (57.7 ) Acquisition related investing activities (0.9 ) 0.9 — — — Intercompany investing activities 12.1 (121.8 ) 19.1 90.6 — Other investing activities (6.1 ) 5.4 2.2 — 1.5 Net cash from (used in) investing activities (18.9 ) (134.0 ) 6.1 90.6 (56.2 ) FINANCING ACTIVITIES Proceeds from issuance of long-term debt — — 19.7 — 19.7 Payments of long-term debt and capital lease obligations (170.4 ) (2.6 ) (2.2 ) — (175.2 ) Borrowings on revolving credit facilities 648.9 — 63.1 — 712.0 Payments on revolving credit facilities (673.2 ) — (54.4 ) — (727.6 ) Purchases of treasury stock (8.8 ) — — — (8.8 ) Payment of cash dividends (44.0 ) — — — (44.0 ) Intercompany financing activities 128.5 0.1 (38.0 ) (90.6 ) — Other financing activities 21.3 (0.3 ) — — 21.0 Net cash from (used in) financing activities (97.7 ) (2.8 ) (11.8 ) (90.6 ) (202.9 ) Effect of exchange rates on cash and cash equivalents — — (0.2 ) — (0.2 ) Net increase (decrease) in cash and cash equivalents (0.4 ) (0.4 ) 1.5 — 0.7 Cash and cash equivalents at beginning of period 2.3 2.8 5.7 — 10.8 Cash and cash equivalents at end of period $ 1.9 $ 2.4 $ 7.2 $ — $ 11.5 |
New Accounting Pronouncements
New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements In August 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update 2017-12 "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities" ("ASU 2017-12"), which simplifies and reduces the complexity of the hedge accounting requirements and better aligns an entity's financial reporting for hedging relationships with its risk management activities. The guidance is effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. This new guidance will require a modified retrospective adoption approach to existing hedging relationships as of the adoption date. The Company is evaluating the impact of the adoption of ASU 2017-12 on the condensed consolidated financial statements. In May 2017, the FASB issued Accounting Standards Update 2017-09 "Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting" ("ASU 2017-09"), which clarifies the types of changes to terms or conditions for share based payment awards that would require an entity to apply the modification accounting guidance. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a prospective adoption approach. The Company believes the adoption of ASU 2017-09 will not have a material impact on the condensed consolidated financial statements. In March 2017, the FASB issued Accounting Standards Update 2017-07 "Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost" ("ASU 2017-07"), which requires that an employer disaggregate the service cost component from net benefit cost and provides guidance on how to present the service costs and other components of net benefit costs in the statement of operations. Under the new standard, an entity must report the service cost component in the same line item as other compensation costs. The other components of net benefit cost will be required to be presented in the statement of operations separately from the service cost component and outside a subtotal of operating income. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted as of the beginning of an annual period for which financial statements have not been issued or made available for issuance. This new guidance will require a retrospective adoption approach for the classification of components of net periodic benefit cost in the statement of operations. As a result of the adoption of ASU 2017-07, the Company expects to reclassify pension income (expense) of approximately $2.6 million and $7.8 million for the three and nine months ended September 30, 2017 , respectively, and $(3.2) million and $2.3 million for the three and nine months ended September 30, 2016 , respectively, to a line outside the subtotal of operating income, resulting in no impact to net earnings. See Note 13 , " Employee Retirement Plans ," for the components of net pension income (expense). In November 2016, the FASB issued Accounting Standards Update 2016-18 "Statement of Cash Flows (Topic 320): Restricted Cash" ("ASU 2016-18"), which clarifies guidance on the classification and presentation of restricted cash in the statement of cash flows. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a retrospective adoption approach. The Company believes the adoption of ASU 2016-18 will not have a material impact on the condensed consolidated financial statements. In August 2016, the FASB issued Accounting Standards Update 2016-15 "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments" ("ASU 2016-15"), which is intended to reduce diversity in practice, providing guidance on eight specific cash flow classification issues with regards to how the cash receipts and cash payments are presented within the statements of cash flows. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a retrospective adoption approach unless it is impracticable to apply, in which case the guidance should be applied prospectively as of the earliest date practicable. The Company believes the adoption of ASU 2016-15 will not have a material impact on the condensed consolidated financial statements. In June 2016, the FASB issued Accounting Standards Update 2016-13 "Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" ("ASU 2016-13"), which changes the impairment model for most financial assets and certain other instruments. Under the new guidance, entities will be required to measure expected credit losses for financial instruments, including trade receivables, based on historical experience, current conditions and reasonable forecasts. This guidance is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted for interim and annual periods beginning after December 15, 2018. This new guidance will require a modified retrospective transition approach, where the entity will need to apply a cumulative-effect adjustment to retained earnings (accumulated deficit) as of the beginning of the first reporting period in which the guidance is adopted. The Company is evaluating the impact of the adoption of ASU 2016-13 on the condensed consolidated financial statements. In February 2016, the FASB issued Accounting Standards Update 2016-02 "Leases (Topic 842)" ("ASU 2016-02"), which establishes a right-of-use model requiring a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than twelve months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition. The guidance also requires additional disclosures to enable users of financial statements to understand the amount, timing and uncertainty of cash flows arising from leases. This guidance is effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. This new guidance will require a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to elect to use certain transition relief. The modified retrospective transition approach would require the application of the new accounting model for the earliest year presented in the financial statements. The Company is evaluating the impact of the adoption of ASU 2016-02 on the condensed consolidated financial statements. In May 2014, the FASB issued Accounting Standards Update 2014-09 "Revenue from Contracts with Customers (Topic 606)" ("ASU 2014-09"), which provides revised guidance on recognizing revenue from contracts with customers. Under this guidance, an entity will recognize revenue when it transfers promised goods or services to the customer in the amount that reflects what it expects in exchange for the goods or services. This guidance also requires more detailed disclosures to enable users of the financial statements to understand the nature, amount, timing and uncertainty of the revenue and cash flow arising from contracts with customers. This guidance allows the option of either a full retrospective adoption, meaning the guidance is applied to all periods presented, or a modified retrospective adoption, meaning the guidance is applied only to the most current period. As amended, ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The Company plans to adopt the standard in the first quarter of 2018. The Company has established a cross-functional implementation team to evaluate the impact of ASU 2014-09 on the consolidated financial statements. The Company has identified and is in the process of implementing changes to its systems, processes and internal controls to meet the standard's reporting and disclosure requirements. The Company continues to assess all potential impacts of the standard. The Company previously disclosed that it was assessing whether revenue from certain contracts with customers would be recognized over-time versus at a point-in-time. The Company has determined that revenue from such contacts will be recognized at a point-in-time under ASU 2014-09, which is the Company's current accounting policy. As of September 30, 2017 , the Company's final assessment of the impact of revenue recognition guidance within its United States Print and Related Services and International segments is nearing completion. The Company currently anticipates applying the modified retrospective approach when adopting this guidance and remains on schedule for implementation in the first quarter of 2018. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events Declaration of Quarterly Dividend On October 31, 2017 , the Company declared a quarterly dividend of $0.30 per share, which will be paid on December 1, 2017 , to shareholders of record as of November 20, 2017 . |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Fair Value Measurement | Certain assets and liabilities are required to be recorded at fair value on a recurring basis, while other assets and liabilities are recorded at fair value on a nonrecurring basis, generally as a result of acquisitions or impairment charges. Fair value is determined based on the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. GAAP also classifies the inputs used to measure fair value into the following hierarchy: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices in active markets for similar assets or liabilities, 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. There were no Level 3 recurring measurements of assets or liabilities as of September 30, 2017 . |
Earnings Per Share | The calculation of diluted earnings per share includes the effect of any dilutive equity incentive instruments. The Company uses the treasury stock method to calculate the effect of outstanding dilutive equity incentive instruments, which requires the Company to compute total proceeds as the sum of the amount the employee must pay upon exercise of the award and the amount of unearned stock-based compensation costs attributable to future services. Equity incentive instruments for which the total employee proceeds from exercise exceed the average fair value of the same equity incentive instrument over the period have an anti-dilutive effect on earnings per share during periods with net earnings, and accordingly, the Company excludes them from the calculation. |
Share-based Compensation, Option and Incentive Plans | The Company recognizes compensation expense based on estimated grant date fair values for all share-based awards issued to employees and non-employee directors, including stock options, performance shares, performance share units, restricted stock, restricted stock units and deferred stock units. The Company recognizes these compensation costs for only those awards expected to vest, on a straight-line basis over the requisite three to four year service period of the awards, except deferred stock units, which are fully vested and expensed on the grant date. The Company estimated the number of awards expected to vest based, in part, on historical forfeiture rates and also based on management's expectations of employee turnover within the specific employee groups receiving each type of award. Forfeitures are estimated at the time of grant and revised in subsequent periods if actual forfeitures differ from those estimates. |
New Accounting Pronouncements | In August 2017, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update 2017-12 "Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities" ("ASU 2017-12"), which simplifies and reduces the complexity of the hedge accounting requirements and better aligns an entity's financial reporting for hedging relationships with its risk management activities. The guidance is effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. This new guidance will require a modified retrospective adoption approach to existing hedging relationships as of the adoption date. The Company is evaluating the impact of the adoption of ASU 2017-12 on the condensed consolidated financial statements. In May 2017, the FASB issued Accounting Standards Update 2017-09 "Compensation—Stock Compensation (Topic 718): Scope of Modification Accounting" ("ASU 2017-09"), which clarifies the types of changes to terms or conditions for share based payment awards that would require an entity to apply the modification accounting guidance. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a prospective adoption approach. The Company believes the adoption of ASU 2017-09 will not have a material impact on the condensed consolidated financial statements. In March 2017, the FASB issued Accounting Standards Update 2017-07 "Compensation—Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost" ("ASU 2017-07"), which requires that an employer disaggregate the service cost component from net benefit cost and provides guidance on how to present the service costs and other components of net benefit costs in the statement of operations. Under the new standard, an entity must report the service cost component in the same line item as other compensation costs. The other components of net benefit cost will be required to be presented in the statement of operations separately from the service cost component and outside a subtotal of operating income. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted as of the beginning of an annual period for which financial statements have not been issued or made available for issuance. This new guidance will require a retrospective adoption approach for the classification of components of net periodic benefit cost in the statement of operations. As a result of the adoption of ASU 2017-07, the Company expects to reclassify pension income (expense) of approximately $2.6 million and $7.8 million for the three and nine months ended September 30, 2017 , respectively, and $(3.2) million and $2.3 million for the three and nine months ended September 30, 2016 , respectively, to a line outside the subtotal of operating income, resulting in no impact to net earnings. See Note 13 , " Employee Retirement Plans ," for the components of net pension income (expense). In November 2016, the FASB issued Accounting Standards Update 2016-18 "Statement of Cash Flows (Topic 320): Restricted Cash" ("ASU 2016-18"), which clarifies guidance on the classification and presentation of restricted cash in the statement of cash flows. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a retrospective adoption approach. The Company believes the adoption of ASU 2016-18 will not have a material impact on the condensed consolidated financial statements. In August 2016, the FASB issued Accounting Standards Update 2016-15 "Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments" ("ASU 2016-15"), which is intended to reduce diversity in practice, providing guidance on eight specific cash flow classification issues with regards to how the cash receipts and cash payments are presented within the statements of cash flows. The guidance is effective for interim and annual periods beginning after December 15, 2017, with early adoption permitted. This new guidance will require a retrospective adoption approach unless it is impracticable to apply, in which case the guidance should be applied prospectively as of the earliest date practicable. The Company believes the adoption of ASU 2016-15 will not have a material impact on the condensed consolidated financial statements. In June 2016, the FASB issued Accounting Standards Update 2016-13 "Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" ("ASU 2016-13"), which changes the impairment model for most financial assets and certain other instruments. Under the new guidance, entities will be required to measure expected credit losses for financial instruments, including trade receivables, based on historical experience, current conditions and reasonable forecasts. This guidance is effective for interim and annual periods beginning after December 15, 2019, with early adoption permitted for interim and annual periods beginning after December 15, 2018. This new guidance will require a modified retrospective transition approach, where the entity will need to apply a cumulative-effect adjustment to retained earnings (accumulated deficit) as of the beginning of the first reporting period in which the guidance is adopted. The Company is evaluating the impact of the adoption of ASU 2016-13 on the condensed consolidated financial statements. In February 2016, the FASB issued Accounting Standards Update 2016-02 "Leases (Topic 842)" ("ASU 2016-02"), which establishes a right-of-use model requiring a lessee to record a right-of-use asset and a lease liability on the balance sheet for all leases with terms longer than twelve months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition. The guidance also requires additional disclosures to enable users of financial statements to understand the amount, timing and uncertainty of cash flows arising from leases. This guidance is effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. This new guidance will require a modified retrospective transition approach for all leases existing at, or entered into after, the date of initial application, with an option to elect to use certain transition relief. The modified retrospective transition approach would require the application of the new accounting model for the earliest year presented in the financial statements. The Company is evaluating the impact of the adoption of ASU 2016-02 on the condensed consolidated financial statements. In May 2014, the FASB issued Accounting Standards Update 2014-09 "Revenue from Contracts with Customers (Topic 606)" ("ASU 2014-09"), which provides revised guidance on recognizing revenue from contracts with customers. Under this guidance, an entity will recognize revenue when it transfers promised goods or services to the customer in the amount that reflects what it expects in exchange for the goods or services. This guidance also requires more detailed disclosures to enable users of the financial statements to understand the nature, amount, timing and uncertainty of the revenue and cash flow arising from contracts with customers. This guidance allows the option of either a full retrospective adoption, meaning the guidance is applied to all periods presented, or a modified retrospective adoption, meaning the guidance is applied only to the most current period. As amended, ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2017. The Company plans to adopt the standard in the first quarter of 2018. The Company has established a cross-functional implementation team to evaluate the impact of ASU 2014-09 on the consolidated financial statements. The Company has identified and is in the process of implementing changes to its systems, processes and internal controls to meet the standard's reporting and disclosure requirements. The Company continues to assess all potential impacts of the standard. The Company previously disclosed that it was assessing whether revenue from certain contracts with customers would be recognized over-time versus at a point-in-time. The Company has determined that revenue from such contacts will be recognized at a point-in-time under ASU 2014-09, which is the Company's current accounting policy. As of September 30, 2017 , the Company's final assessment of the impact of revenue recognition guidance within its United States Print and Related Services and International segments is nearing completion. The Company currently anticipates applying the modified retrospective approach when adopting this guidance and remains on schedule for implementation in the first quarter of 2018. |
Restructuring, Impairment and29
Restructuring, Impairment and Transaction-Related Charges (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring, Impairment and Transaction-Related Charges | The Company recorded restructuring, impairment and transaction-related charges for the three and nine months ended September 30, 2017 and 2016 , as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Employee termination charges $ 7.3 $ 1.5 $ 13.2 $ 8.1 Impairment charges 0.3 0.9 1.0 17.7 Transaction-related charges 0.6 0.4 1.8 1.9 Integration costs — — — 0.1 Other restructuring charges (income) (0.2 ) 23.3 6.5 34.6 Total $ 8.0 $ 26.1 $ 22.5 $ 62.4 |
Activity Impacting Reserves for Restructuring, Impairment and Transaction-Related Charges | Activity impacting the Company's restructuring reserves for the nine months ended September 30, 2017 , was as follows: Employee Termination Charges Impairment Charges Transaction-Related Charges Integration Costs Other Restructuring Charges Total Balance at December 31, 2016 $ 7.6 $ — $ 0.1 $ 1.1 $ 10.4 $ 19.2 Expense 13.2 1.0 1.8 — 6.5 22.5 Cash payments (12.7 ) — (1.8 ) (0.1 ) (9.7 ) (24.3 ) Non-cash adjustments/reclassifications 2.1 (1.0 ) — (0.8 ) (0.1 ) 0.2 Balance at September 30, 2017 $ 10.2 $ — $ 0.1 $ 0.2 $ 7.1 $ 17.6 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | The components of intangible assets at September 30, 2017 , and December 31, 2016 , were as follows: September 30, 2017 December 31, 2016 Weighted Average Amortization Period (Years) Gross Carrying Amount Accumulated Amortization Net Book Value Gross Carrying Amount Accumulated Amortization Net Book Value Finite-lived intangible assets: Trademarks, patents, licenses and agreements 7 $ 23.8 $ (12.6 ) $ 11.2 $ 21.7 $ (9.3 ) $ 12.4 Capitalized software 5 7.0 (6.5 ) 0.5 6.4 (6.2 ) 0.2 Acquired technology 5 6.6 (6.6 ) — 6.1 (6.1 ) — Customer relationships 6 460.6 (424.5 ) 36.1 459.4 (412.3 ) 47.1 Total finite-lived intangible assets $ 498.0 $ (450.2 ) $ 47.8 $ 493.6 $ (433.9 ) $ 59.7 |
Schedule of Estimated Future Amortization Expense Related to Intangible Assets | The estimated future amortization expense related to intangible assets as of September 30, 2017 , was as follows: Amortization Expense Remainder of 2017 $ 4.8 2018 17.9 2019 13.2 2020 7.8 2021 2.9 2022 and thereafter 1.2 Total $ 47.8 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Schedule of Components of Inventory | The components of inventories at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Raw materials and manufacturing supplies $ 151.8 $ 142.4 Work in process 56.7 45.3 Finished goods 99.5 77.7 Total $ 308.0 $ 265.4 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Components of Property, Plant and Equipment | The components of property, plant and equipment at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Land $ 125.4 $ 126.2 Buildings 936.0 935.4 Machinery and equipment 3,653.5 3,574.4 Other (1) 202.6 191.5 Construction in progress 26.0 59.5 Property, plant and equipment—gross $ 4,943.5 $ 4,887.0 Less: accumulated depreciation (3,516.1 ) (3,367.1 ) Property, plant and equipment—net $ 1,427.4 $ 1,519.9 ______________________________ (1) Other consists of computer equipment, vehicles, furniture and fixtures, leasehold improvements and communication-related equipment. |
Equity Method Investment in U33
Equity Method Investment in Unconsolidated Entity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Schedule of Equity Method Investments | Plural's condensed statements of operations for the three and nine months ended September 30, 2017 and 2016 , are presented below: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Net sales $ 16.7 $ 19.6 $ 51.8 $ 52.1 Operating (income) loss (0.5 ) (1.2 ) 0.3 1.8 Net loss — — 1.6 4.6 |
World Color Press Inc. Insolv34
World Color Press Inc. Insolvency Proceedings (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Reorganizations [Abstract] | |
Activity Impacting Restricted Cash and Unsecured Notes to be Issued | Activity impacting restricted cash and unsecured notes to be issued for the nine months ended September 30, 2017 , was as follows: Restricted Cash Unsecured Notes to be Issued Balance at December 31, 2016 $ 7.2 $ 5.4 Class 3 Claim payments (4.1 ) (4.1 ) Restricted cash refunded to Quad/Graphics (2.2 ) — Non-cash adjustments — (0.4 ) Balance at September 30, 2017 $ 0.9 $ 0.9 |
Schedule of Restricted Cash | The components of restricted cash at September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Defeasance of unsecured notes to be issued $ 0.9 $ 7.2 Restricted cash for Class 4 Claim payments 1.1 1.1 Other — 1.9 Total $ 2.0 $ 10.2 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule Components of Long-Term Debt | The components of long-term debt as of September 30, 2017 , and December 31, 2016 , were as follows: September 30, December 31, Master note and security agreement $ 128.7 $ 152.6 Term loan A—$375.0 million due January 2021 360.9 376.9 Term loan B—$300.0 million due April 2021 288.7 290.6 Revolving credit facility—$725.0 million due January 2021 — 19.0 Senior unsecured notes—$300.0 million due May 2022 243.5 243.5 International term loan—$21.0 million 14.7 16.8 International revolving credit facility—$16.4 million — 5.3 Equipment term loans 6.4 9.5 Other 1.3 1.6 Debt issuance costs (11.0 ) (11.3 ) Total debt $ 1,033.2 $ 1,104.5 Less: short-term debt and current portion of long-term debt (66.8 ) (84.7 ) Long-term debt $ 966.4 $ 1,019.8 |
Schedule of Debt Issuance Costs | Activity impacting the Company's debt issuance costs for the nine months ended September 30, 2017 , was as follows: Debt Issuance Costs Balance at December 31, 2016 $ 11.3 Debt issuance costs from February 10, 2017 debt financing arrangement 3.2 Loss on debt extinguishment from April 28, 2014 debt financing arrangement (1.1 ) Amortization of debt issuance costs (2.4 ) Balance at September 30, 2017 $ 11.0 |
Schedule of Loss on Debt Extinguishment | The gain on debt extinguishment recorded during the nine months ended September 30, 2016 , was as follows: Master Note and Security Agreement Senior Unsecured Notes Total Principal amount repurchased $ 60.1 $ 56.5 $ 116.6 Repurchase price 61.2 42.5 103.7 Less: accrued interest paid (1.2 ) (1.1 ) (2.3 ) Net repurchase price 60.0 41.4 101.4 Debt financing fees expensed (0.1 ) — (0.1 ) Debt issuance costs expensed (0.2 ) (0.8 ) (1.0 ) Gain (loss) on debt extinguishment $ (0.2 ) $ 14.3 $ 14.1 The loss on debt extinguishment recorded during the nine months ended September 30, 2017 , was as follows: Loss on Debt Extinguishment Debt issuance costs from April 28, 2014 debt financing arrangement $ 1.1 Debt issuance costs from February 10, 2017 debt financing arrangement 1.5 Total $ 2.6 |
Schedule of Gain on Debt Extinguishment | The gain on debt extinguishment recorded during the nine months ended September 30, 2016 , was as follows: Master Note and Security Agreement Senior Unsecured Notes Total Principal amount repurchased $ 60.1 $ 56.5 $ 116.6 Repurchase price 61.2 42.5 103.7 Less: accrued interest paid (1.2 ) (1.1 ) (2.3 ) Net repurchase price 60.0 41.4 101.4 Debt financing fees expensed (0.1 ) — (0.1 ) Debt issuance costs expensed (0.2 ) (0.8 ) (1.0 ) Gain (loss) on debt extinguishment $ (0.2 ) $ 14.3 $ 14.1 The loss on debt extinguishment recorded during the nine months ended September 30, 2017 , was as follows: Loss on Debt Extinguishment Debt issuance costs from April 28, 2014 debt financing arrangement $ 1.1 Debt issuance costs from February 10, 2017 debt financing arrangement 1.5 Total $ 2.6 |
Accrued Liabilities and Other36
Accrued Liabilities and Other Long-Term Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Payables and Accruals [Abstract] | |
Schedule of Components of Other Long-Term Liabilities | The components of accrued and other long-term liabilities as of September 30, 2017 , and December 31, 2016 , were as follows: September 30, 2017 December 31, 2016 Accrued Liabilities Other Long-Term Liabilities Total Accrued Liabilities Other Long-Term Liabilities Total Employee-related liabilities (1) $ 146.0 $ 61.6 $ 207.6 $ 194.3 $ 61.7 $ 256.0 Single employer pension plan obligations 1.8 103.8 105.6 1.8 112.4 114.2 Multiemployer pension plans – withdrawal liability 9.2 21.8 31.0 10.6 33.4 44.0 Tax-related liabilities 38.5 20.1 58.6 24.6 22.9 47.5 Restructuring liabilities 13.8 3.3 17.1 13.5 4.8 18.3 Interest and rent liabilities 13.3 2.2 15.5 7.6 3.3 10.9 Other 90.1 33.5 123.6 104.3 36.1 140.4 Total $ 312.7 $ 246.3 $ 559.0 $ 356.7 $ 274.6 $ 631.3 ______________________________ (1) Employee-related liabilities consist primarily of payroll, bonus, vacation, health and workers' compensation. |
Employee Retirement Plans (Tabl
Employee Retirement Plans (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Pension Income | The components of net pension income (expense) for the three and nine months ended September 30, 2017 and 2016 , were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Interest cost $ (4.3 ) $ (4.0 ) $ (12.9 ) $ (14.3 ) Expected return on plan assets 6.9 7.3 20.7 23.1 Net periodic pension income 2.6 3.3 7.8 8.8 Settlement charge — (6.5 ) — (6.5 ) Net pension income (expense) $ 2.6 $ (3.2 ) $ 7.8 $ 2.3 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | Reconciliations of the numerator and the denominator of the basic and diluted per share computations for the Company's common stock, for the three and nine months ended September 30, 2017 and 2016 , are summarized as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Numerator Net earnings $ 19.8 $ 11.3 $ 51.9 $ 7.4 Denominator Basic weighted average number of common shares outstanding for all classes of common shares 49.5 47.8 49.4 47.6 Plus: effect of dilutive equity incentive instruments 2.0 2.8 2.2 1.7 Diluted weighted average number of common shares outstanding for all classes of common shares 51.5 50.6 51.6 49.3 Earnings per share Basic $ 0.40 $ 0.24 $ 1.05 $ 0.16 Diluted $ 0.38 $ 0.22 $ 1.01 $ 0.15 Cash dividends paid per common share for all classes of common shares $ 0.30 $ 0.30 $ 0.90 $ 0.90 |
Equity Incentive Programs (Tabl
Equity Incentive Programs (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Stock Option Activity | The following table is a summary of the stock option activity for the nine months ended September 30, 2017 : Shares Under Option Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (millions) Outstanding at December 31, 2016 1,702,866 $ 23.00 3.3 $ 12.3 Granted — — Exercised (154,549 ) 16.14 Canceled/forfeited/expired (22,892 ) 23.32 Outstanding and exercisable at September 30, 2017 1,525,425 $ 23.69 2.6 $ 6.7 |
Summary of Stock Option Exercises and Vesting Activity | The following table is a summary of the stock option exercises and vesting activity for the three and nine months ended September 30, 2017 and 2016 : Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Total intrinsic value of stock options exercised $ — $ 8.9 $ 1.7 $ 9.7 Cash received from stock option exercises — 21.1 2.4 22.8 Total grant date fair value of stock options vested — — — 0.3 |
Summary of RS and RSU Award Activity | The following table is a summary of RS and RSU award activity for the nine months ended September 30, 2017 : Restricted Stock Restricted Stock Units Shares Weighted- Average Grant Date Fair Value Per Share Weighted- Average Remaining Contractual Term (years) Units Weighted- Average Grant Date Fair Value Per Share Weighted- Average Remaining Contractual Term (years) Nonvested at December 31, 2016 2,485,389 $ 15.89 1.5 235,886 $ 11.04 1.8 Granted 665,517 26.85 71,438 26.88 Vested (612,395 ) 23.44 (10,529 ) 23.45 Forfeited (58,055 ) 16.60 — — Nonvested at September 30, 2017 2,480,456 $ 16.95 1.5 296,795 $ 14.41 1.4 |
Summary of DSU Award Activity | The following table is a summary of DSU award activity for the nine months ended September 30, 2017 : Deferred Stock Units Units Weighted-Average Grant Date Fair Value Per Share Outstanding at December 31, 2016 249,739 $ 16.98 Granted 34,656 26.88 Dividend equivalents granted 8,788 22.46 Settled (99,894 ) 18.65 Outstanding at September 30, 2017 193,289 $ 18.12 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Schedule of Stock by Class | The Company has three classes of common stock as follows (share data in millions): Issued Common Stock Authorized Shares Outstanding Treasury Total Issued Shares Class A stock ($0.025 par value) 80.0 September 30, 2017 37.8 2.2 40.0 December 31, 2016 37.2 2.8 40.0 Class B stock ($0.025 par value) 80.0 September 30, 2017 14.0 1.0 15.0 December 31, 2016 14.2 0.8 15.0 Class C stock ($0.025 par value) 20.0 September 30, 2017 — 0.5 0.5 December 31, 2016 — 0.5 0.5 |
Schedule of Dividend Activity Related to the Outstanding Shares | The dividend activity related to the then outstanding shares for the nine months ended September 30, 2017 and 2016 , was as follows: Declaration Date Record Date Payment Date Dividend Amount per Share 2017 Q3 Dividend August 1, 2017 August 21, 2017 September 1, 2017 $ 0.30 Q2 Dividend May 1, 2017 May 22, 2017 June 2, 2017 0.30 Q1 Dividend February 17, 2017 February 27, 2017 March 10, 2017 0.30 2016 Q3 Dividend August 1, 2016 August 29, 2016 September 9, 2016 $ 0.30 Q2 Dividend May 3, 2016 June 6, 2016 June 17, 2016 0.30 Q1 Dividend February 19, 2016 March 7, 2016 March 18, 2016 0.30 |
Activity Impacting Shareholders' Equity | Activity impacting shareholders' equity for the nine months ended September 30, 2017 , was as follows: Shareholders' Equity Balance at December 31, 2016 $ 441.5 Net earnings 51.9 Translation adjustments 14.9 Interest rate swap adjustments, net of tax (0.3 ) Cash dividends declared (47.7 ) Stock-based compensation 13.0 Purchases of treasury stock (3.8 ) Sale of stock for options exercised 2.4 Equity awards redeemed to pay employees' tax obligations (5.9 ) Balance at September 30, 2017 $ 466.0 |
Accumulated Other Comprehensi41
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Loss By Component, Net of Tax | The changes in accumulated other comprehensive loss by component, net of tax, for the nine months ended September 30, 2017 , were as follows: Translation Adjustments Interest Rate Swap Adjustments Pension Benefit Plan Adjustments Total Balance at December 31, 2016 $ (130.8 ) $ — $ (21.8 ) $ (152.6 ) Other comprehensive income (loss) before reclassifications 14.9 (0.3 ) — 14.6 Amounts reclassified from accumulated other comprehensive loss to net earnings — — — — Net other comprehensive income (loss) 14.9 (0.3 ) — 14.6 Balance at September 30, 2017 $ (115.9 ) $ (0.3 ) $ (21.8 ) $ (138.0 ) The changes in accumulated other comprehensive loss by component, net of tax, for the nine months ended September 30, 2016 , were as follows: Translation Adjustments Pension Benefit Plan Adjustments Total Balance at December 31, 2015 $ (126.9 ) $ (25.6 ) $ (152.5 ) Other comprehensive income (loss) before reclassifications 4.6 (18.4 ) (13.8 ) Amounts reclassified from accumulated other comprehensive loss to net earnings — 4.0 4.0 Net other comprehensive income (loss) 4.6 (14.4 ) (9.8 ) Balance at September 30, 2016 $ (122.3 ) $ (40.0 ) $ (162.3 ) |
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | The details about the reclassifications from accumulated other comprehensive loss to net earnings for the three and nine months ended September 30, 2016 , were as follows: Details about Accumulated Other Comprehensive Loss Components Three Months Ended September 30, Nine Months Ended September 30, Condensed Consolidated Statements of Operations Presentation 2016 2016 Settlement charge on pension benefit plans (see Note 13) $ 6.5 $ 6.5 Restructuring, impairment and transaction-related charges Income tax benefit (2.5 ) (2.5 ) Income tax expense Settlement charge on pension benefit plans, net of tax 4.0 4.0 Total reclassifications for the period 6.5 6.5 Impact of income taxes (2.5 ) (2.5 ) Total reclassifications for the period, net of tax $ 4.0 $ 4.0 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Summary of Segment Information | The following is a summary of segment information for the three and nine months ended September 30, 2017 and 2016 : Net Sales Operating Income (Loss) Restructuring, Impairment and Transaction- Related Charges Products Services Three months ended September 30, 2017 United States Print and Related Services $ 762.5 $ 143.8 $ 53.4 $ 7.8 International 94.4 4.7 7.2 (1.0 ) Total operating segments 856.9 148.5 60.6 6.8 Corporate — — (11.2 ) 1.2 Total $ 856.9 $ 148.5 $ 49.4 $ 8.0 Three months ended September 30, 2016 United States Print and Related Services $ 808.6 $ 147.9 $ 58.6 $ 8.8 International 95.6 4.3 5.5 (1.3 ) Total operating segments 904.2 152.2 64.1 7.5 Corporate — — (30.3 ) 18.6 Total $ 904.2 $ 152.2 $ 33.8 $ 26.1 Nine months ended September 30, 2017 United States Print and Related Services $ 2,258.7 $ 422.1 $ 156.6 $ 17.7 International 271.9 14.5 15.3 1.8 Total operating segments 2,530.6 436.6 171.9 19.5 Corporate — — (36.2 ) 3.0 Total $ 2,530.6 $ 436.6 $ 135.7 $ 22.5 Nine months ended September 30, 2016 United States Print and Related Services $ 2,405.1 $ 428.8 $ 114.6 $ 40.4 International 283.8 13.5 7.5 0.7 Total operating segments 2,688.9 442.3 122.1 41.1 Corporate — — (62.0 ) 21.3 Total $ 2,688.9 $ 442.3 $ 60.1 $ 62.4 |
Reconciliation of Operating Income (Loss) to Earnings (Loss) Before Income Taxes and Equity in Loss of Unconsolidated Entities | A reconciliation of operating income to earnings before income taxes and equity in loss of unconsolidated entity as reported in the condensed consolidated statements of operations for the three and nine months ended September 30, 2017 and 2016 , was as follows: Three Months Ended September 30, Nine Months Ended September 30, 2017 2016 2017 2016 Operating income $ 49.4 $ 33.8 $ 135.7 $ 60.1 Less: interest expense 17.8 19.6 53.6 58.9 Less: loss (gain) on debt extinguishment — — 2.6 (14.1 ) Earnings before income taxes and equity in loss of unconsolidated entity $ 31.6 $ 14.2 $ 79.5 $ 15.3 |
Separate Financial Informatio43
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Statement of Operations | Condensed Consolidating Statement of Operations For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 1,302.9 $ 1,790.1 $ 336.9 $ (298.7 ) $ 3,131.2 Cost of sales 960.0 1,518.7 269.4 (298.7 ) 2,449.4 Selling, general and administrative expenses 193.9 114.6 33.4 — 341.9 Depreciation and amortization 118.8 75.2 23.4 — 217.4 Restructuring, impairment and transaction-related charges 44.6 17.0 0.8 — 62.4 Total operating expenses 1,317.3 1,725.5 327.0 (298.7 ) 3,071.1 Operating income (loss) $ (14.4 ) $ 64.6 $ 9.9 $ — $ 60.1 Interest expense (income) 59.8 (3.8 ) 2.9 — 58.9 Loss (gain) on debt extinguishment (14.1 ) — — — (14.1 ) Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (60.1 ) 68.4 7.0 — 15.3 Income tax expense (benefit) 5.9 (0.9 ) 0.6 — 5.6 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (66.0 ) 69.3 6.4 — 9.7 Equity in (earnings) loss of consolidated entities (73.4 ) (4.6 ) — 78.0 — Equity in loss of unconsolidated entity — — 2.3 — 2.3 Net earnings (loss) $ 7.4 $ 73.9 $ 4.1 $ (78.0 ) $ 7.4 Condensed Consolidating Statement of Operations For the Three Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 443.9 $ 617.5 $ 112.4 $ (117.4 ) $ 1,056.4 Cost of sales 336.1 515.4 90.8 (117.4 ) 824.9 Selling, general and administrative expenses 55.1 45.3 9.5 — 109.9 Depreciation and amortization 29.1 25.4 7.2 — 61.7 Restructuring, impairment and transaction-related charges 25.7 1.7 (1.3 ) — 26.1 Total operating expenses 446.0 587.8 106.2 (117.4 ) 1,022.6 Operating income (loss) $ (2.1 ) $ 29.7 $ 6.2 $ — $ 33.8 Interest expense (income) 20.1 (1.4 ) 0.9 — 19.6 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (22.2 ) 31.1 5.3 — 14.2 Income tax expense (benefit) 0.1 2.4 0.4 — 2.9 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (22.3 ) 28.7 4.9 — 11.3 Equity in (earnings) loss of consolidated entities (33.6 ) (1.3 ) — 34.9 — Equity in loss of unconsolidated entity — — — — — Net earnings (loss) $ 11.3 $ 30.0 $ 4.9 $ (34.9 ) $ 11.3 The following condensed consolidating financial information reflects the summarized financial information of Quad/Graphics, the Company's Guarantor Subsidiaries on a combined basis and the Company's non-guarantor subsidiaries on a combined basis. Condensed Consolidating Statement of Operations For the Three Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 413.6 $ 585.5 $ 107.8 $ (101.5 ) $ 1,005.4 Cost of sales 297.1 502.3 84.8 (99.4 ) 784.8 Selling, general and administrative expenses 66.6 30.0 10.4 (2.1 ) 104.9 Depreciation and amortization 26.4 26.2 5.7 — 58.3 Restructuring, impairment and transaction-related charges 7.9 1.1 (1.0 ) — 8.0 Total operating expenses 398.0 559.6 99.9 (101.5 ) 956.0 Operating income (loss) $ 15.6 $ 25.9 $ 7.9 $ — $ 49.4 Interest expense (income) 17.7 (0.7 ) 0.8 — 17.8 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (2.1 ) 26.6 7.1 — 31.6 Income tax expense (benefit) 4.5 6.1 1.2 — 11.8 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (6.6 ) 20.5 5.9 — 19.8 Equity in (earnings) loss of consolidated entities (26.4 ) (1.0 ) — 27.4 — Equity in loss of unconsolidated entity — — — — — Net earnings (loss) $ 19.8 $ 21.5 $ 5.9 $ (27.4 ) $ 19.8 Condensed Consolidating Statement of Operations For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net sales $ 1,221.1 $ 1,711.1 $ 310.4 $ (275.4 ) $ 2,967.2 Cost of sales 884.2 1,470.2 246.8 (270.3 ) 2,330.9 Selling, general and administrative expenses 191.4 88.8 27.5 (5.1 ) 302.6 Depreciation and amortization 81.3 77.8 16.4 — 175.5 Restructuring, impairment and transaction-related charges 25.8 (5.0 ) 1.7 — 22.5 Total operating expenses 1,182.7 1,631.8 292.4 (275.4 ) 2,831.5 Operating income (loss) $ 38.4 $ 79.3 $ 18.0 $ — $ 135.7 Interest expense (income) 52.2 (1.3 ) 2.7 — 53.6 Loss (gain) on debt extinguishment 2.6 — — — 2.6 Earnings (loss) before income taxes and equity in (earnings) loss of consolidated and unconsolidated entities (16.4 ) 80.6 15.3 — 79.5 Income tax expense (benefit) (2.2 ) 26.3 2.7 — 26.8 Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities (14.2 ) 54.3 12.6 — 52.7 Equity in (earnings) loss of consolidated entities (66.1 ) (2.2 ) — 68.3 — Equity in loss of unconsolidated entity — — 0.8 — 0.8 Net earnings (loss) $ 51.9 $ 56.5 $ 11.8 $ (68.3 ) $ 51.9 |
Condensed Consolidating Statement of Comprehensive Income (Loss) | Condensed Consolidating Statement of Comprehensive Income (Loss) For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 7.4 $ 73.9 $ 4.1 $ (78.0 ) $ 7.4 Other comprehensive income (loss), net of tax (9.8 ) (16.0 ) 2.8 13.2 (9.8 ) Total comprehensive income (loss) $ (2.4 ) $ 57.9 $ 6.9 $ (64.8 ) $ (2.4 ) Condensed Consolidating Statement of Comprehensive Income (Loss) For the Three Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 11.3 $ 30.0 $ 4.9 $ (34.9 ) $ 11.3 Other comprehensive income (loss), net of tax (16.9 ) (14.7 ) (2.8 ) 17.5 (16.9 ) Total comprehensive income (loss) $ (5.6 ) $ 15.3 $ 2.1 $ (17.4 ) $ (5.6 ) Condensed Consolidating Statement of Comprehensive Income (Loss) For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 51.9 $ 56.5 $ 11.8 $ (68.3 ) $ 51.9 Other comprehensive income (loss), net of tax 14.6 (0.5 ) 14.3 (13.8 ) 14.6 Total comprehensive income (loss) $ 66.5 $ 56.0 $ 26.1 $ (82.1 ) $ 66.5 Condensed Consolidating Statement of Comprehensive Income (Loss) For the Three Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net earnings (loss) $ 19.8 $ 21.5 $ 5.9 $ (27.4 ) $ 19.8 Other comprehensive income (loss), net of tax 3.6 (0.3 ) 3.4 (3.1 ) 3.6 Total comprehensive income (loss) $ 23.4 $ 21.2 $ 9.3 $ (30.5 ) $ 23.4 |
Condensed Consolidating Balance Sheet | Condensed Consolidating Balance Sheet As of September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total ASSETS Cash and cash equivalents $ 5.3 $ 0.9 $ 9.2 $ — $ 15.4 Receivables, less allowances for doubtful accounts 399.5 53.7 88.8 — 542.0 Intercompany receivables — 779.6 — (779.6 ) — Inventories 136.9 131.5 39.6 — 308.0 Other current assets 29.5 5.6 7.6 — 42.7 Total current assets 571.2 971.3 145.2 (779.6 ) 908.1 Property, plant and equipment—net 723.2 540.8 163.4 — 1,427.4 Investment in consolidated entities 1,370.4 11.4 — (1,381.8 ) — Intangible assets—net 8.2 28.0 11.6 — 47.8 Intercompany loan receivable 104.8 — — (104.8 ) — Other long-term assets 51.6 10.4 32.1 — 94.1 Total assets $ 2,829.4 $ 1,561.9 $ 352.3 $ (2,266.2 ) $ 2,477.4 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ 204.9 $ 80.4 $ 59.2 $ — $ 344.5 Intercompany accounts payable 769.6 — 10.0 (779.6 ) — Short-term debt and current portion of long-term debt and capital lease obligations 66.8 1.3 4.9 — 73.0 Other current liabilities 213.3 68.7 32.8 — 314.8 Total current liabilities 1,254.6 150.4 106.9 (779.6 ) 732.3 Long-term debt and capital lease obligations 968.2 1.5 11.5 — 981.2 Intercompany loan payable — 40.7 64.1 (104.8 ) — Other long-term liabilities 140.6 143.4 13.9 — 297.9 Total liabilities 2,363.4 336.0 196.4 (884.4 ) 2,011.4 Total shareholders' equity 466.0 1,225.9 155.9 (1,381.8 ) 466.0 Total liabilities and shareholders' equity $ 2,829.4 $ 1,561.9 $ 352.3 $ (2,266.2 ) $ 2,477.4 Condensed Consolidating Balance Sheet As of December 31, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total ASSETS Cash and cash equivalents $ 0.3 $ 1.9 $ 6.8 $ — $ 9.0 Receivables, less allowances for doubtful accounts 439.7 37.7 86.2 — 563.6 Intercompany receivables — 720.5 — (720.5 ) — Inventories 102.2 115.9 47.3 — 265.4 Other current assets 40.6 15.7 8.3 — 64.6 Total current assets 582.8 891.7 148.6 (720.5 ) 902.6 Property, plant and equipment—net 777.3 577.9 164.7 — 1,519.9 Investment in consolidated entities 1,288.9 61.8 — (1,350.7 ) — Intangible assets—net 12.0 20.3 27.4 — 59.7 Intercompany loan receivable 104.2 — — (104.2 ) — Other long-term assets 43.5 10.1 34.3 — 87.9 Total assets $ 2,808.7 $ 1,561.8 $ 375.0 $ (2,175.4 ) $ 2,570.1 LIABILITIES AND SHAREHOLDERS' EQUITY Accounts payable $ 159.3 $ 98.5 $ 65.7 $ — $ 323.5 Intercompany accounts payable 711.2 — 9.3 (720.5 ) — Short-term debt and current portion of long-term debt and capital lease obligations 79.5 2.9 9.7 — 92.1 Other current liabilities 253.9 76.2 28.9 — 359.0 Total current liabilities 1,203.9 177.6 113.6 (720.5 ) 774.6 Long-term debt and capital lease obligations 1,022.0 2.4 14.3 — 1,038.7 Intercompany loan payable — 39.9 64.3 (104.2 ) — Other long-term liabilities 141.3 150.0 24.0 — 315.3 Total liabilities 2,367.2 369.9 216.2 (824.7 ) 2,128.6 Total shareholders' equity 441.5 1,191.9 158.8 (1,350.7 ) 441.5 Total liabilities and shareholders' equity $ 2,808.7 $ 1,561.8 $ 375.0 $ (2,175.4 ) $ 2,570.1 |
Condensed Consolidating Statement of Cash Flows | Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2017 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total OPERATING ACTIVITIES Net cash from operating activities $ 100.4 $ 54.7 $ 24.6 $ — $ 179.7 INVESTING ACTIVITIES Purchases of property, plant and equipment (17.8 ) (36.1 ) (7.7 ) — (61.6 ) Intercompany investing activities (4.3 ) (45.3 ) 0.8 48.8 — Other investing activities (5.0 ) 32.2 3.8 — 31.0 Net cash from (used in) investing activities (27.1 ) (49.2 ) (3.1 ) 48.8 (30.6 ) FINANCING ACTIVITIES Proceeds from issuance of long-term debt 375.0 — — — 375.0 Payments of long-term debt and capital lease obligations (423.5 ) (2.5 ) (4.2 ) — (430.2 ) Borrowings on revolving credit facilities 521.9 — 3.8 — 525.7 Payments on revolving credit facilities (540.9 ) — (9.5 ) — (550.4 ) Purchases of treasury stock (3.8 ) — — — (3.8 ) Payment of cash dividends (46.5 ) — — — (46.5 ) Intercompany financing activities 57.7 0.1 (9.0 ) (48.8 ) — Other financing activities (8.2 ) (4.1 ) — — (12.3 ) Net cash from (used in) financing activities (68.3 ) (6.5 ) (18.9 ) (48.8 ) (142.5 ) Effect of exchange rates on cash and cash equivalents — — (0.2 ) — (0.2 ) Net increase (decrease) in cash and cash equivalents 5.0 (1.0 ) 2.4 — 6.4 Cash and cash equivalents at beginning of period 0.3 1.9 6.8 — 9.0 Cash and cash equivalents at end of period $ 5.3 $ 0.9 $ 9.2 $ — $ 15.4 Condensed Consolidating Statement of Cash Flows For the Nine Months Ended September 30, 2016 Quad/Graphics, Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total OPERATING ACTIVITIES Net cash from operating activities $ 116.2 $ 136.4 $ 7.4 $ — $ 260.0 INVESTING ACTIVITIES Purchases of property, plant and equipment (24.0 ) (18.5 ) (15.2 ) — (57.7 ) Acquisition related investing activities (0.9 ) 0.9 — — — Intercompany investing activities 12.1 (121.8 ) 19.1 90.6 — Other investing activities (6.1 ) 5.4 2.2 — 1.5 Net cash from (used in) investing activities (18.9 ) (134.0 ) 6.1 90.6 (56.2 ) FINANCING ACTIVITIES Proceeds from issuance of long-term debt — — 19.7 — 19.7 Payments of long-term debt and capital lease obligations (170.4 ) (2.6 ) (2.2 ) — (175.2 ) Borrowings on revolving credit facilities 648.9 — 63.1 — 712.0 Payments on revolving credit facilities (673.2 ) — (54.4 ) — (727.6 ) Purchases of treasury stock (8.8 ) — — — (8.8 ) Payment of cash dividends (44.0 ) — — — (44.0 ) Intercompany financing activities 128.5 0.1 (38.0 ) (90.6 ) — Other financing activities 21.3 (0.3 ) — — 21.0 Net cash from (used in) financing activities (97.7 ) (2.8 ) (11.8 ) (90.6 ) (202.9 ) Effect of exchange rates on cash and cash equivalents — — (0.2 ) — (0.2 ) Net increase (decrease) in cash and cash equivalents (0.4 ) (0.4 ) 1.5 — 0.7 Cash and cash equivalents at beginning of period 2.3 2.8 5.7 — 10.8 Cash and cash equivalents at end of period $ 1.9 $ 2.4 $ 7.2 $ — $ 11.5 |
Restructuring, Impairment and44
Restructuring, Impairment and Transaction-Related Charges (Schedule of Restructuring, Impairment and Transaction-Related Charges) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Restructuring and Related Activities [Abstract] | ||||
Employee termination charges | $ 7,300,000 | $ 1,500,000 | $ 13,200,000 | $ 8,100,000 |
Impairment charges | 300,000 | 900,000 | 1,000,000 | 17,700,000 |
Transaction-related charges | 600,000 | 400,000 | 1,800,000 | 1,900,000 |
Integration costs | 0 | 0 | 0 | 100,000 |
Other restructuring charges (income) | (200,000) | 23,300,000 | 6,500,000 | 34,600,000 |
Total | $ 8,000,000 | $ 26,100,000 | $ 22,500,000 | $ 62,400,000 |
Restructuring, Impairment and45
Restructuring, Impairment and Transaction-Related Charges (Restructuring, Impairment and Transaction-Related Charges) (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017USD ($)plantemployee | Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)plantemployee | Sep. 30, 2016USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||
Employee termination charges | $ 7,300,000 | $ 1,500,000 | $ 13,200,000 | $ 8,100,000 |
Integration costs | 0 | 0 | 0 | 100,000 |
Other restructuring charges (income) | (200,000) | 23,300,000 | 6,500,000 | 34,600,000 |
Impairment charges | 300,000 | 900,000 | 1,000,000 | 17,700,000 |
Land and building impairments | 200,000 | 200,000 | 12,100,000 | |
Machinery and equipment impairments | 100,000 | 900,000 | 800,000 | 5,600,000 |
Transaction-related charges | 600,000 | 400,000 | 1,800,000 | 1,900,000 |
Contract Termination [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | (500,000) | 2,700,000 | 2,900,000 | 3,100,000 |
Equipment and Infrastructure Removal Charges [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | 100,000 | 600,000 | 1,700,000 | 4,400,000 |
Facilities Idled [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | 1,400,000 | 2,300,000 | 3,100,000 | 9,400,000 |
Gain from sale of properties | 7,100,000 | |||
Gain from settlements with vendors [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | $ (1,200,000) | $ (1,200,000) | ||
Multiemployer pension plan withdrawal liability adjustment [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | 11,200,000 | 11,200,000 | ||
Non-cash pension settlement charge [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Other restructuring charges (income) | $ 6,500,000 | $ 6,500,000 | ||
2010 Restructuring Program [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Number of plant closures | plant | 37 | 37 | ||
Number of positions eliminated | employee | 11,700 | 11,700 |
Restructuring, Impairment and46
Restructuring, Impairment and Transaction-Related Charges (Schedule of Restructuring Reserves) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | $ 19.2 |
Expense | 22.5 |
Cash payments | (24.3) |
Non-cash adjustments/reclassifications | 0.2 |
Balance, end of period | 17.6 |
Accrued Liabilities [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 13.5 |
Balance, end of period | 13.8 |
Short-term restructuring reserve | 13.8 |
Accounts Payable [Member] | |
Restructuring Reserve [Roll Forward] | |
Short-term restructuring reserve | 0.5 |
Other Long-Term Liabilities [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 4.8 |
Balance, end of period | 3.3 |
Long-term restructuring reserve | 3.3 |
Employee Terminations Charges [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 7.6 |
Expense | 13.2 |
Cash payments | (12.7) |
Non-cash adjustments/reclassifications | 2.1 |
Balance, end of period | 10.2 |
Impairment Charges [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 0 |
Expense | 1 |
Cash payments | 0 |
Non-cash adjustments/reclassifications | (1) |
Balance, end of period | 0 |
Transaction-Related Charges [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 0.1 |
Expense | 1.8 |
Cash payments | (1.8) |
Non-cash adjustments/reclassifications | 0 |
Balance, end of period | 0.1 |
Integration Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 1.1 |
Expense | 0 |
Cash payments | (0.1) |
Non-cash adjustments/reclassifications | (0.8) |
Balance, end of period | 0.2 |
Other Restructuring Charges [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of period | 10.4 |
Expense | 6.5 |
Cash payments | (9.7) |
Non-cash adjustments/reclassifications | (0.1) |
Balance, end of period | $ 7.1 |
Intangible Assets (Schedule of
Intangible Assets (Schedule of Intangible Assets, Excluding Goodwill) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 498 | $ 493.6 |
Accumulated Amortization | (450.2) | (433.9) |
Net Book Value | $ 47.8 | $ 59.7 |
Trademarks, patents, licenses and agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Amortization Period (Years) | 7 years | 7 years |
Gross Carrying Amount | $ 23.8 | $ 21.7 |
Accumulated Amortization | (12.6) | (9.3) |
Net Book Value | $ 11.2 | $ 12.4 |
Capitalized software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Amortization Period (Years) | 5 years | 5 years |
Gross Carrying Amount | $ 7 | $ 6.4 |
Accumulated Amortization | (6.5) | (6.2) |
Net Book Value | $ 0.5 | $ 0.2 |
Acquired technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Amortization Period (Years) | 5 years | 5 years |
Gross Carrying Amount | $ 6.6 | $ 6.1 |
Accumulated Amortization | (6.6) | (6.1) |
Net Book Value | $ 0 | $ 0 |
Customer relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Amortization Period (Years) | 6 years | 6 years |
Gross Carrying Amount | $ 460.6 | $ 459.4 |
Accumulated Amortization | (424.5) | (412.3) |
Net Book Value | $ 36.1 | $ 47.1 |
Intangible Assets (Narrative) (
Intangible Assets (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Impairment of intangible assets | $ 0 | $ 0 | $ 0 | $ 0 |
Amortization expense of intangible assets | $ 4,600,000 | $ 4,700,000 | $ 13,700,000 | $ 46,100,000 |
Intangible Assets (Schedule o49
Intangible Assets (Schedule of Finite-Lived Intangible Assets, Future Amortization Expense) (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2017 | $ 4.8 | |
2,018 | 17.9 | |
2,019 | 13.2 | |
2,020 | 7.8 | |
2,021 | 2.9 | |
2022 and thereafter | 1.2 | |
Net Book Value | $ 47.8 | $ 59.7 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials and manufacturing supplies | $ 151.8 | $ 142.4 |
Work in process | 56.7 | 45.3 |
Finished goods | 99.5 | 77.7 |
Total | $ 308 | $ 265.4 |
Property, Plant and Equipment51
Property, Plant and Equipment (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | $ 4,943,500,000 | $ 4,943,500,000 | $ 4,887,000,000 | ||
Less: accumulated depreciation | (3,516,100,000) | (3,516,100,000) | (3,367,100,000) | ||
Property, plant and equipment—net | 1,427,400,000 | 1,427,400,000 | 1,519,900,000 | ||
Tangible asset impairment charges | 300,000 | $ 900,000 | 1,000,000 | $ 17,700,000 | |
Depreciation expense | 53,700,000 | $ 57,000,000 | 161,800,000 | $ 171,300,000 | |
Net book value of assets held for sale | 0 | 0 | 5,200,000 | ||
Land [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | 125,400,000 | 125,400,000 | 126,200,000 | ||
Buildings [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | 936,000,000 | 936,000,000 | 935,400,000 | ||
Machinery and equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | 3,653,500,000 | 3,653,500,000 | 3,574,400,000 | ||
Other [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | 202,600,000 | 202,600,000 | 191,500,000 | ||
Construction in progress [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Property, plant and equipment, gross | $ 26,000,000 | $ 26,000,000 | $ 59,500,000 |
Equity Method Investment in U52
Equity Method Investment in Unconsolidated Entity (Details) - Plural [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 49.00% | 49.00% | ||
Net sales | $ 16.7 | $ 19.6 | $ 51.8 | $ 52.1 |
Operating (income) loss | (0.5) | (1.2) | 0.3 | 1.8 |
Net loss | $ 0 | $ 0 | $ 1.6 | $ 4.6 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 60 Months Ended | 69 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2015 | Apr. 30, 2016 | |
Loss Contingencies [Line Items] | ||||||
Annual sales | $ 1,005.4 | $ 1,056.4 | $ 2,967.2 | $ 3,131.2 | ||
PERU | Minimum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Annual sales | $ 95 | |||||
PERU | Maximum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Annual sales | $ 135 | |||||
CHINA | Minimum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Annual sales | $ 2 | |||||
CHINA | Maximum [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Annual sales | $ 3 |
World Color Press Inc. Insolv54
World Color Press Inc. Insolvency Proceedings (Activity Impacting Restricted Cash and Unsecured Notes To Be Issued) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Increase (Decrease) in Restricted Cash [Roll Forward] | ||
Restricted cash, beginning of period | $ 10.2 | |
Restricted cash, Class 3 Claim payments | 8.1 | $ 0 |
Restricted cash refunded to Quad/Graphics | (2.2) | |
Restricted cash, Non-cash adjustments | 0 | |
Restricted cash, end of period | 2 | |
Increase (Decrease) in Unsecured Note [Roll Forward] | ||
Unsecured notes to be issued, beginning of period | 5.4 | |
Unsecured notes to be issued, restricted cash refunded to Quad/Graphics | 0 | |
Unsecured notes to be issued, non-cash adjustments | (0.4) | |
Unsecured notes to be issued, end of period | 0.9 | |
Defeasance of Unsecured Notes to be Issued [Member] | ||
Increase (Decrease) in Restricted Cash [Roll Forward] | ||
Restricted cash, beginning of period | 7.2 | |
Restricted cash, end of period | 0.9 | |
Class 3 Claims Unsecured Note Recovery [Member] | ||
Increase (Decrease) in Restricted Cash [Roll Forward] | ||
Restricted cash, Class 3 Claim payments | (4.1) | |
Increase (Decrease) in Unsecured Note [Roll Forward] | ||
Unsecured notes to be issued, Class 3 Claim payments | $ (4.1) |
World Color Press Inc. Insolv55
World Color Press Inc. Insolvency Proceedings (Components of Restricted Cash) (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 2 | $ 10.2 |
Defeasance of Unsecured Notes to be Issued [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 0.9 | 7.2 |
Restricted cash for Class 4 Claim payments [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 1.1 | 1.1 |
Other [Member] | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 0 | $ 1.9 |
World Color Press Inc. Insolv56
World Color Press Inc. Insolvency Proceedings (Additional Information) (Details) - USD ($) | 9 Months Ended | |||
Sep. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Jul. 02, 2010 | |
Bankruptcy Claims [Line Items] | ||||
Amounts owing in satisfaction of bankruptcy claims | $ 2,100,000 | $ 2,300,000 | ||
Restricted cash returned to Quad/Graphics | 2,200,000 | |||
Unsecured notes to be issued | 900,000 | 5,400,000 | ||
Priority Cash Recovery [Member] | ||||
Bankruptcy Claims [Line Items] | ||||
Amounts owing in satisfaction of bankruptcy claims | 1,000,000 | $ 1,200,000 | ||
Class 4 Claims [Member] | ||||
Bankruptcy Claims [Line Items] | ||||
Amounts owing in satisfaction of bankruptcy claims | $ 1,100,000 | |||
Class 3 Claims Unsecured Note Recovery [Member] | ||||
Bankruptcy Claims [Line Items] | ||||
Percentage of unsecured note of allowed | 50.00% | |||
Amount of principal of unsecured notes threshold | $ 75,000,000 | |||
Prepayment redemption premium on unsecured notes | 5.00% | |||
Amount of unsecured notes issued to settle claims | 4,100,000 | |||
Class 3 Claims Unsecured Note Recovery [Member] | Defeasance of Unsecured Notes to be Issued [Member] | ||||
Bankruptcy Claims [Line Items] | ||||
Bankruptcy claims, maximum potential payout | $ 89,200,000 | |||
Restricted cash [Member] | Class 3 Claims Unsecured Note Recovery [Member] | ||||
Bankruptcy Claims [Line Items] | ||||
Bankruptcy claims, maximum potential payout | $ 900,000 |
Debt (Schedule of Long-term Deb
Debt (Schedule of Long-term Debt) (Details) - USD ($) | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Debt Instrument [Line Items] | |||
Total debt | $ 1,033,200,000 | $ 1,104,500,000 | |
Debt issuance costs | (11,000,000) | (11,300,000) | |
Less: short-term debt and current portion of long-term debt | (66,800,000) | (84,700,000) | |
Long-term debt | 966,400,000 | 1,019,800,000 | |
Master note and security agreement [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 128,700,000 | 152,600,000 | |
Term loan A—$375.0 million due January 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 360,900,000 | 376,900,000 | |
Face amount | 375,000,000 | ||
Term Loan B—$300.0 million due April 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 288,700,000 | 290,600,000 | |
Face amount | 300,000,000 | ||
Revolving credit facility—$725.0 million due January 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 0 | 19,000,000 | |
Face amount | 725,000,000 | ||
Senior unsecured notes—$300.0 million due May 2022 [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 243,500,000 | 243,500,000 | |
Face amount | 300,000,000 | $ 300,000,000 | |
International term loan—$21.0 million [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 14,700,000 | 16,800,000 | |
Face amount | 21,000,000 | ||
International revolving credit facility—$16.4 million [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 0 | 5,300,000 | |
Face amount | 16,400,000 | ||
Equipment term loans [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | 6,400,000 | 9,500,000 | |
Other [Member] | |||
Debt Instrument [Line Items] | |||
Total debt | $ 1,300,000 | $ 1,600,000 |
Debt (Debt Transactions Narrati
Debt (Debt Transactions Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||||
Fair value of company debt | $ 1,000,000,000 | $ 1,000,000,000 | $ 1,100,000,000 | ||
Gain (loss) on debt extinguishment | 0 | $ 0 | (2,600,000) | $ 14,100,000 | |
Principal amount repurchased | 116,600,000 | 116,600,000 | |||
Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | 725,000,000 | $ 725,000,000 | |||
Term of debt instrument | 4 years | ||||
Debt instrument | 725,000,000 | $ 725,000,000 | |||
Master Note and Security Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Gain (loss) on debt extinguishment | (200,000) | ||||
Principal amount repurchased | 60,100,000 | 60,100,000 | |||
Senior Unsecured Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Gain (loss) on debt extinguishment | 14,300,000 | ||||
Principal amount repurchased | 56,500,000 | 56,500,000 | |||
Debt instrument | 300,000,000 | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | |
Interest rate, percentage | 7.00% | 7.00% | |||
Term Loan A [Member] | |||||
Debt Instrument [Line Items] | |||||
Term of debt instrument | 4 years | ||||
Debt instrument | $ 375,000,000 | $ 375,000,000 | |||
Financing Agreement Senior Secured Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 2.00% | ||||
Financing Agreement Senior Secured Credit Facility [Member] | Base Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 1.00% |
Debt (Schedule of Debt Issuance
Debt (Schedule of Debt Issuance Costs) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Debt Issuance Costs [Roll Forward] | ||||
Balance at December 31, 2016 | $ 11.3 | |||
Debt issuance costs from February 10, 2017 debt financing arrangement | 4.7 | $ 0.1 | ||
Loss on debt extinguishment from April 28, 2014 debt financing arrangement | $ 0 | $ 0 | (2.6) | $ 14.1 |
Amortization of debt issuance costs | (2.4) | |||
Balance at September 30, 2017 | $ 11 | 11 | ||
Financing Arrangement, February 2017 [Member] | ||||
Debt Issuance Costs [Roll Forward] | ||||
Debt issuance costs from February 10, 2017 debt financing arrangement | 3.2 | |||
Financing Agreement, April 2014 [Member] | ||||
Debt Issuance Costs [Roll Forward] | ||||
Loss on debt extinguishment from April 28, 2014 debt financing arrangement | $ (1.1) |
Debt (Schedule of Loss on Debt
Debt (Schedule of Loss on Debt Extinguishment) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Feb. 10, 2017 | |
Extinguishment of Debt [Line Items] | |||||
Loss on debt extinguishment | $ 0 | $ 0 | $ 2.6 | $ (14.1) | |
Financing Agreement, April 2014 [Member] | |||||
Extinguishment of Debt [Line Items] | |||||
Loss on debt extinguishment | 1.1 | ||||
Financing Arrangement, February 2017 [Member] | |||||
Extinguishment of Debt [Line Items] | |||||
Debt issuance costs | $ 4.7 | ||||
Loss on debt extinguishment | $ 1.5 | ||||
Long-term Debt [Member] | Financing Arrangement, February 2017 [Member] | |||||
Extinguishment of Debt [Line Items] | |||||
Debt issuance costs | 3.2 | ||||
Discharge of Debt [Member] | Financing Arrangement, February 2017 [Member] | |||||
Extinguishment of Debt [Line Items] | |||||
Debt issuance costs | $ 1.5 |
Debt (Schedule of Gain on Debt
Debt (Schedule of Gain on Debt Extinguishment) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Extinguishment of Debt [Line Items] | ||||
Principal amount repurchased | $ 116.6 | $ 116.6 | ||
Repurchase price | 103.7 | 103.7 | ||
Less: accrued interest paid | (2.3) | (2.3) | ||
Net repurchase price | 101.4 | 101.4 | ||
Debt financing fees expensed | (0.1) | |||
Debt issuance costs expensed | (1) | |||
Gain (loss) on debt extinguishment | $ 0 | 0 | $ (2.6) | 14.1 |
Master Note and Security Agreement [Member] | ||||
Extinguishment of Debt [Line Items] | ||||
Principal amount repurchased | 60.1 | 60.1 | ||
Repurchase price | 61.2 | 61.2 | ||
Less: accrued interest paid | (1.2) | (1.2) | ||
Net repurchase price | 60 | 60 | ||
Debt financing fees expensed | (0.1) | |||
Debt issuance costs expensed | (0.2) | |||
Gain (loss) on debt extinguishment | (0.2) | |||
Senior Unsecured Notes [Member] | ||||
Extinguishment of Debt [Line Items] | ||||
Principal amount repurchased | 56.5 | 56.5 | ||
Repurchase price | 42.5 | 42.5 | ||
Less: accrued interest paid | (1.1) | (1.1) | ||
Net repurchase price | $ 41.4 | 41.4 | ||
Debt financing fees expensed | 0 | |||
Debt issuance costs expensed | (0.8) | |||
Gain (loss) on debt extinguishment | $ 14.3 |
Debt (Debt Covenants and Compli
Debt (Debt Covenants and Compliance) (Details) | 9 Months Ended |
Sep. 30, 2017USD ($) | |
Debt Instrument [Line Items] | |
Total leverage ratio, covenant compliance | 2.18 |
Senior secured leverage ratio to consolidated EBITDA | 1.68 |
Ratio of interest coverage | 7.19 |
Minimum [Member] | |
Debt Instrument [Line Items] | |
Ratio of interest coverage, covenant compliance | 3.50 |
Maximum [Member] | |
Debt Instrument [Line Items] | |
Total leverage ratio, covenant compliance | 3.75 |
Senior secured leverage ratio to consolidated EBITDA | 3.50 |
Financing Agreement Senior Secured Credit Facility [Member] | |
Debt Instrument [Line Items] | |
Maximum annual dividend payment | $ 120,000,000 |
Financing Agreement Senior Secured Credit Facility [Member] | Maximum [Member] | |
Debt Instrument [Line Items] | |
Total leverage ratio | 3 |
Senior secured leverage ratio | 3 |
Total leverage ratio on unsecured debt | 3.50 |
Income Taxes (Details)
Income Taxes (Details) $ in Millions | Sep. 30, 2017USD ($) |
Income Tax Disclosure [Abstract] | |
Liability for unrecognized tax benefits | $ 30 |
Anticipated decrease in unrecognized tax benefits within the next twelve months | $ 10.2 |
Financial Instruments and Fai64
Financial Instruments and Fair Value Measurements (Details) | Feb. 28, 2017 | Sep. 30, 2017USD ($)contract | Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($)contract | Sep. 30, 2016USD ($) | Feb. 07, 2017USD ($) |
Derivatives, Fair Value [Line Items] | ||||||
Change in fair value of interest rate swap | $ 300,000 | $ 0 | $ (400,000) | $ 0 | ||
Interest expense | 17,800,000 | $ 19,600,000 | 53,600,000 | $ 58,900,000 | ||
Interest Rate Swap [Member] | ||||||
Derivatives, Fair Value [Line Items] | ||||||
Notional amount | $ 250,000,000 | |||||
Fixed interest rate | 3.89% | |||||
Spread on underlying rate | 2.00% | |||||
Term of contract | 5 years | |||||
Cash flow hedge ineffectiveness recorded in earnings | $ 0 | $ 0 | ||||
Foreign Exchange Contract [Member] | ||||||
Derivatives, Fair Value [Line Items] | ||||||
Foreign currency exchange contracts | contract | 0 | 0 | ||||
Other Long-Term Liabilities [Member] | Interest Rate Swap [Member] | ||||||
Derivatives, Fair Value [Line Items] | ||||||
Fair value of interest rate swap | $ (400,000) | $ (400,000) | ||||
Other Comprehensive Income (Loss) [Member] | Interest Rate Swap [Member] | ||||||
Derivatives, Fair Value [Line Items] | ||||||
Change in fair value of interest rate swap | 300,000 | (400,000) | ||||
Interest Expense [Member] | Interest Rate Swap [Member] | ||||||
Derivatives, Fair Value [Line Items] | ||||||
Interest expense | $ 400,000 | $ 1,200,000 |
Accrued Liabilities and Other65
Accrued Liabilities and Other Long-Term Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 |
Schedule of Accrued Liabilities and Other Long-Term Liabilities [Line Items] | ||
Multiemployer pension plans – withdrawal liability | $ 31 | |
Restructuring liabilities | 17.6 | $ 19.2 |
Accrued Liabilities [Member] | ||
Schedule of Accrued Liabilities and Other Long-Term Liabilities [Line Items] | ||
Employee-related liabilities | 146 | 194.3 |
Single employer pension plan obligations | 1.8 | 1.8 |
Multiemployer pension plans – withdrawal liability | 9.2 | 10.6 |
Tax-related liabilities | 38.5 | 24.6 |
Restructuring liabilities | 13.8 | 13.5 |
Interest and rent liabilities | 13.3 | 7.6 |
Other | 90.1 | 104.3 |
Total | 312.7 | 356.7 |
Other Long-Term Liabilities [Member] | ||
Schedule of Accrued Liabilities and Other Long-Term Liabilities [Line Items] | ||
Employee-related liabilities | 61.6 | 61.7 |
Single employer pension plan obligations | 103.8 | 112.4 |
Multiemployer pension plans – withdrawal liability | 21.8 | 33.4 |
Tax-related liabilities | 20.1 | 22.9 |
Restructuring liabilities | 3.3 | 4.8 |
Interest and rent liabilities | 2.2 | 3.3 |
Other | 33.5 | 36.1 |
Total | 246.3 | 274.6 |
Accrued Liabilities and Other Noncurrent Liabilities [Member] | ||
Schedule of Accrued Liabilities and Other Long-Term Liabilities [Line Items] | ||
Employee-related liabilities | 207.6 | 256 |
Single employer pension plan obligations | 105.6 | 114.2 |
Multiemployer pension plans – withdrawal liability | 31 | 44 |
Tax-related liabilities | 58.6 | 47.5 |
Restructuring liabilities | 17.1 | 18.3 |
Interest and rent liabilities | 15.5 | 10.9 |
Other | 123.6 | 140.4 |
Total | $ 559 | $ 631.3 |
Employee Retirement Plans (Net
Employee Retirement Plans (Net Pension Income) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Settlement charge | $ 0 | $ (6.5) | ||
Pension income [Member] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Interest cost | $ (4.3) | $ (4) | (12.9) | (14.3) |
Expected return on plan assets | 6.9 | 7.3 | 20.7 | 23.1 |
Net periodic pension income | 2.6 | 3.3 | 7.8 | 8.8 |
Settlement charge | 0 | (6.5) | 0 | (6.5) |
Net pension income (expense) | $ 2.6 | $ (3.2) | $ 7.8 | $ 2.3 |
Employee Retirement Plans (Cont
Employee Retirement Plans (Contributions and Benefit Payments) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Oct. 31, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | Oct. 15, 2017 | Sep. 30, 2017 | Sep. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined benefit plan, lump-sum payments | $ 71,300,000 | |||||
Defined benefit plan, pension liabilities settled | 90,100,000 | |||||
Settlement loss on pension benefit plans | $ 0 | 6,500,000 | ||||
Pension Plans, Defined Benefit [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Settlement loss on pension benefit plans | $ 0 | $ 6,500,000 | 0 | $ 6,500,000 | ||
Pension Plans, Defined Benefit [Member] | Non-qualified [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Benefit payments on non-qualified pension plans | 800,000 | |||||
Pension Plans, Defined Benefit [Member] | Qualified [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Contributions on qualified pension plans | $ 0 | |||||
Subsequent Event [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Defined benefit plan, lump-sum payments | $ 8,400,000 | $ 18,900,000 |
Employee Retirement Plans (Mult
Employee Retirement Plans (Multiemployer Pension Plans) (Details) $ in Millions | 9 Months Ended | ||
Sep. 30, 2017USD ($)plan | Sep. 30, 2016USD ($) | Dec. 31, 2016USD ($) | |
Multiemployer Plans [Line Items] | |||
Number of underfunded plans | plan | 2 | ||
Multiemployer plan contributions | $ 20.4 | $ 8.5 | |
Withdrawal obligation | 31 | ||
Other Long-Term Liabilities [Member] | |||
Multiemployer Plans [Line Items] | |||
Withdrawal obligation | 21.8 | $ 33.4 | |
Accrued Liabilities [Member] | |||
Multiemployer Plans [Line Items] | |||
Withdrawal obligation | $ 9.2 | $ 10.6 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Earnings Per Share [Abstract] | ||||
Basic weighted average number of common shares outstanding for all classes of common shares (in shares) | 49.5 | 47.8 | 49.4 | 47.6 |
Antidilutive securities excluded from computation of diluted net earnings per share (in shares) | 0.7 | 0.7 | 0.8 | 2.3 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Numerator | ||||
Net earnings | $ 19.8 | $ 11.3 | $ 51.9 | $ 7.4 |
Denominator | ||||
Basic weighted average number of common shares outstanding for all classes of common shares (in shares) | 49.5 | 47.8 | 49.4 | 47.6 |
Plus: effect of dilutive equity incentive instruments (in shares) | 2 | 2.8 | 2.2 | 1.7 |
Diluted weighted average number of common shares outstanding for all classes of common shares (in shares) | 51.5 | 50.6 | 51.6 | 49.3 |
Earnings per share | ||||
Basic (in dollars per share) | $ 0.40 | $ 0.24 | $ 1.05 | $ 0.16 |
Diluted (in dollars per share) | 0.38 | 0.22 | 1.01 | 0.15 |
Cash dividends paid per common share for all classes of common shares (in dollars per share) | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 |
Equity Incentive Programs (Equi
Equity Incentive Programs (Equity Incentive Programs and Compensation Expense) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate shares of common stock reserved (in shares) | 10,871,652 | 10,871,652 | ||
Stock option exercise price floor of fair market value of class A common stock (percent) | 100.00% | |||
Shares available for issuance (in shares) | 2,136,442 | 2,136,442 | ||
Stock-based compensation | $ 3.3 | $ 3.8 | $ 13 | $ 12 |
Estimated future compensation expense | 20.4 | $ 20.4 | ||
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 3 years | |||
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 4 years | |||
Estimated Future Expense in 2017 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 3.5 | $ 3.5 | ||
Estimated Future Expense in 2018 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 10 | 10 | ||
Estimated Future Expense in 2019 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 6 | 6 | ||
Estimated Future Expense in 2020 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 0.9 | $ 0.9 | ||
Restricted Stock and Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 3 years | |||
Estimated future compensation expense | 20.4 | $ 20.4 | ||
Restricted Stock and Restricted Stock Units (RSUs) [Member] | Estimated Future Expense in 2017 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 3.5 | 3.5 | ||
Restricted Stock and Restricted Stock Units (RSUs) [Member] | Estimated Future Expense in 2018 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 10 | 10 | ||
Restricted Stock and Restricted Stock Units (RSUs) [Member] | Estimated Future Expense in 2019 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | 6 | 6 | ||
Restricted Stock and Restricted Stock Units (RSUs) [Member] | Estimated Future Expense in 2020 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | $ 0.9 | $ 0.9 |
Equity Incentive Programs (Stoc
Equity Incentive Programs (Stock Options Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Estimated future compensation expense | $ 20,400,000 | $ 20,400,000 | ||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award vesting period | 4 years | |||
Options granted (in shares) | 0 | 0 | 0 | 0 |
Compensation expense | $ 0 | $ 0 | $ 0 | $ 0 |
Estimated future compensation expense | $ 0 | $ 0 | ||
Annual Anniversary Grant Date of Award [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Earliest expiration period of award after event | 10 years | |||
Termination for Death [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Earliest expiration period of award after event | 24 months | |||
Termination for Retirement or Disability [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Earliest expiration period of award after event | 36 months | |||
Employment Terminated, Any Other Reason [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Earliest expiration period of award after event | 90 days | |||
Vested in the first year [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of options vested | 0.00% | |||
Vested in the second year [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of options vested | 33.33% | |||
Vested in third year [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of options vested | 33.33% | |||
Vested in fourth year [Member] | Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of options vested | 33.33% |
Equity Incentive Programs (Sche
Equity Incentive Programs (Schedule of Stock Option Activity Roll Forward) (Details) - Stock Options [Member] - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Shares Under Option | |||||
Outstanding at beginning of period (in shares) | 1,702,866 | ||||
Granted (in shares) | 0 | 0 | 0 | 0 | |
Exercised (in shares) | (154,549) | ||||
Canceled/forfeited/expired (in shares) | (22,892) | ||||
Outstanding at end of period (in shares) | 1,525,425 | 1,525,425 | 1,702,866 | ||
Exercisable (in shares) | 1,525,425 | 1,525,425 | |||
Weighted Average Exercise Price | |||||
Outstanding at beginning of period (in dollars per share) | $ 23 | ||||
Granted (in dollars per share) | 0 | ||||
Exercised (in dollars per share) | 16.14 | ||||
Canceled/forfeited/expired (in dollars per share) | 23.32 | ||||
Outstanding at end of period (in dollars per share) | $ 23.69 | 23.69 | $ 23 | ||
Exercisable (in dollars per share) | $ 23.69 | $ 23.69 | |||
Weighted Average Remaining Contractual Term (years) | |||||
Outstanding at beginning of period (in years) | 2 years 7 months | 3 years 4 months | |||
Outstanding at end of period (in years) | 2 years 7 months | 3 years 4 months | |||
Exercisable (in years) | 2 years 7 months | ||||
Aggregate Intrinsic Value (millions) | |||||
Outstanding at beginning of period | $ 12.3 | ||||
Outstanding at end of period | $ 6.7 | 6.7 | $ 12.3 | ||
Exercisable | $ 6.7 | $ 6.7 |
Equity Incentive Programs (Sc74
Equity Incentive Programs (Schedule of Stock Option Exercises and Vesting Activity) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Cash received from stock option exercises | $ 2.4 | $ 22.8 | ||
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total intrinsic value of stock options exercised | $ 0 | $ 8.9 | 1.7 | 9.7 |
Cash received from stock option exercises | 0 | 21.1 | 2.4 | 22.8 |
Total grant date fair value of stock options vested | $ 0 | $ 0 | $ 0 | $ 0.3 |
Equity Incentive Programs (Rest
Equity Incentive Programs (Restricted Stock and Restricted Stock Unit Activity Narrative) (Details) - Restricted Stock and Restricted Stock Units (RSUs) [Member] - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of days dividends will be paid after vesting, maximum | 45 days | |||
Award vesting period | 3 years | |||
Compensation expense | $ 3.3 | $ 3.8 | $ 12.1 | $ 11.2 |
Equity Incentive Programs (Sc76
Equity Incentive Programs (Schedule of Restricted Stock and Restricted Stock Unit Award Activity) (Details) - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2017 | Dec. 31, 2016 | |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Nonvested at beginning of period (in shares) | 2,485,389 | |
Granted (in shares) | 665,517 | |
Vested (in shares) | (612,395) | |
Forfeited (in shares) | (58,055) | |
Nonvested at end of period (in shares) | 2,480,456 | 2,485,389 |
Weighted- Average Grant Date Fair Value Per Share | ||
Nonvested at beginning of period (in dollars per share) | $ 15.89 | |
Granted (in dollars per share) | 26.85 | |
Vested (in dollars per share) | 23.44 | |
Forfeited (in dollars per share) | 16.60 | |
Nonvested at end of period (in dollars per share) | $ 16.95 | $ 15.89 |
Weighted- Average Remaining Contractual Term (years) | ||
Nonvested at beginning of period | 1 year 6 months | 1 year 6 months |
Nonvested at end of period | 1 year 6 months | 1 year 6 months |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Nonvested at beginning of period (in shares) | 235,886 | |
Granted (in shares) | 71,438 | |
Vested (in shares) | (10,529) | |
Forfeited (in shares) | 0 | |
Nonvested at end of period (in shares) | 296,795 | 235,886 |
Weighted- Average Grant Date Fair Value Per Share | ||
Nonvested at beginning of period (in dollars per share) | $ 11.04 | |
Granted (in dollars per share) | 26.88 | |
Vested (in dollars per share) | 23.45 | |
Forfeited (in dollars per share) | 0 | |
Nonvested at end of period (in dollars per share) | $ 14.41 | $ 11.04 |
Weighted- Average Remaining Contractual Term (years) | ||
Nonvested at beginning of period | 1 year 5 months | 1 year 9 months |
Nonvested at end of period | 1 year 5 months | 1 year 9 months |
Equity Incentive Programs (Defe
Equity Incentive Programs (Deferred Stock Unit Activity) (Details) - Deferred Stock Units (DSUs) [Member] - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Units | ||||
Outstanding at beginning of period (in shares) | 249,739 | |||
Granted (in shares) | 34,656 | |||
Dividend equivalents granted (in shares) | 8,788 | |||
Settled (in shares) | (99,894) | |||
Outstanding at end of period (in shares) | 193,289 | 193,289 | ||
Weighted-Average Grant Date Fair Value Per Share | ||||
Outstanding at beginning of period (in dollars per share) | $ 16.98 | |||
Granted (in dollars per share) | 26.88 | |||
Dividend equivalents granted (in dollars per share) | 22.46 | |||
Settled (in dollars per share) | 18.65 | |||
Outstanding at end of period (in dollars per share) | $ 18.12 | $ 18.12 | ||
Number of DSU to class A common share conversion (in shares) | 1 | 1 | ||
Compensation expense | $ 0 | $ 0 | $ 900,000 | $ 800,000 |
Shareholders' Equity (Schedule
Shareholders' Equity (Schedule of Stock by Class) (Details) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 |
Class A stock [Member] | ||
Class of Stock [Line Items] | ||
Common stock, par value (in dollars per share) | $ 0.025 | $ 0.025 |
Authorized Shares | 80,000,000 | 80,000,000 |
Outstanding | 37,800,000 | 37,200,000 |
Treasury | 2,200,000 | 2,800,000 |
Total Issued Shares | 40,000,000 | 40,000,000 |
Class B stock [Member] | ||
Class of Stock [Line Items] | ||
Common stock, par value (in dollars per share) | $ 0.025 | $ 0.025 |
Authorized Shares | 80,000,000 | 80,000,000 |
Outstanding | 14,000,000 | 14,200,000 |
Treasury | 1,000,000 | 800,000 |
Total Issued Shares | 15,000,000 | 15,000,000 |
Class C stock [Member] | ||
Class of Stock [Line Items] | ||
Common stock, par value (in dollars per share) | $ 0.025 | $ 0.025 |
Authorized Shares | 20,000,000 | 20,000,000 |
Outstanding | 0 | 0 |
Treasury | 500,000 | 500,000 |
Total Issued Shares | 500,000 | 500,000 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2017USD ($)votestock_class$ / sharesshares | Jun. 30, 2017$ / shares | Mar. 31, 2017$ / shares | Sep. 30, 2016$ / shares | Jun. 30, 2016$ / shares | Mar. 31, 2016$ / shares | Sep. 30, 2017USD ($)votestock_class$ / sharesshares | Sep. 30, 2016$ / shares | Dec. 31, 2016vote$ / sharesshares | Sep. 06, 2011USD ($) | |
Share Repurchases [Line Items] | ||||||||||
Number of classes of common stock | stock_class | 3 | 3 | ||||||||
Preferred stock, authorized shares | shares | 500,000 | 500,000 | 500,000 | |||||||
Preferred stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | $ 0.01 | |||||||
Preferred stock, issued shares | shares | 0 | 0 | 0 | |||||||
Dividends declared per share (in dollars per share) | $ / shares | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 | ||
Common Class A [Member] | ||||||||||
Share Repurchases [Line Items] | ||||||||||
Number of votes | vote | 1 | 1 | 1 | |||||||
Share repurchase program, authorized amount | $ | $ 100,000,000 | |||||||||
Number of shares repurchased | shares | 200,605 | 200,605 | ||||||||
Shares repurchased, average price per share (in dollars per share) | $ / shares | $ 18.89 | $ 18.89 | ||||||||
Shares repurchased, total purchase price | $ | $ 3,800,000 | $ 3,800,000 | ||||||||
Remaining authorized repurchases | $ | $ 79,200,000 | $ 79,200,000 | ||||||||
Common Class B [Member] | ||||||||||
Share Repurchases [Line Items] | ||||||||||
Number of votes | vote | 10 | 10 | 10 | |||||||
Common Class C [Member] | ||||||||||
Share Repurchases [Line Items] | ||||||||||
Number of votes | vote | 10 | 10 | 10 |
Shareholders' Equity (Schedul80
Shareholders' Equity (Schedule of Shareholders' Equity) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Shareholders' Equity Activity [Roll Forward] | ||||
Shareholders' equity, beginning balance | $ 441.5 | |||
Net earnings | $ 19.8 | $ 11.3 | 51.9 | $ 7.4 |
Translation adjustments | 14.9 | |||
Interest rate swap adjustments, net of tax | (0.3) | |||
Cash dividends declared | (47.7) | |||
Stock-based compensation | 13 | |||
Purchases of treasury stock | (3.8) | $ (8.8) | ||
Sale of stock for options exercised | 2.4 | |||
Equity awards redeemed to pay employees' tax obligations | (5.9) | |||
Shareholders' equity, ending balance | $ 466 | $ 466 |
Accumulated Other Comprehensi81
Accumulated Other Comprehensive Loss (By Component) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Accumulated other comprehensive income (loss), net of tax, beginning of period | $ (152.6) | $ (152.5) | ||
Other comprehensive income (loss) before reclassifications | 14.6 | (13.8) | ||
Amounts reclassified from accumulated other comprehensive loss to net earnings (loss) | $ 4 | 0 | 4 | |
Other comprehensive income (loss), net of tax | $ 3.6 | (16.9) | 14.6 | (9.8) |
Accumulated other comprehensive income (loss), net of tax, end of period | (138) | (162.3) | (138) | (162.3) |
Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Accumulated other comprehensive income (loss), net of tax, beginning of period | (130.8) | (126.9) | ||
Other comprehensive income (loss) before reclassifications | 14.9 | 4.6 | ||
Amounts reclassified from accumulated other comprehensive loss to net earnings (loss) | 0 | 0 | ||
Other comprehensive income (loss), net of tax | 14.9 | 4.6 | ||
Accumulated other comprehensive income (loss), net of tax, end of period | (115.9) | (122.3) | (115.9) | (122.3) |
Interest Rate Swap Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Accumulated other comprehensive income (loss), net of tax, beginning of period | 0 | |||
Other comprehensive income (loss) before reclassifications | (0.3) | |||
Amounts reclassified from accumulated other comprehensive loss to net earnings (loss) | 0 | |||
Other comprehensive income (loss), net of tax | (0.3) | |||
Accumulated other comprehensive income (loss), net of tax, end of period | (0.3) | (0.3) | ||
Pension Benefit Plan Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||||
Accumulated other comprehensive income (loss), net of tax, beginning of period | (21.8) | (25.6) | ||
Other comprehensive income (loss) before reclassifications | 0 | (18.4) | ||
Amounts reclassified from accumulated other comprehensive loss to net earnings (loss) | 0 | 4 | ||
Other comprehensive income (loss), net of tax | 0 | (14.4) | ||
Accumulated other comprehensive income (loss), net of tax, end of period | $ (21.8) | $ (40) | $ (21.8) | $ (40) |
Accumulated Other Comprehensi82
Accumulated Other Comprehensive Loss Reclassifications from Accumulated Other Comprehensive Loss to Net Earnings (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Settlement charge on pension benefit plans, net of tax | $ 4 | $ 4 | |
Total reclassifications for the period | 6.5 | 6.5 | |
Impact of income taxes | (2.5) | (2.5) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 4 | $ 0 | 4 |
Restructuring Charges [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Settlement charge on pension benefit plans (see Note 13) | 6.5 | 6.5 | |
Income Tax Expense (Benefit) [Member] | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income tax benefit | $ (2.5) | $ (2.5) |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Segment Reporting Information [Line Items] | ||||
Unrestricted subsidiaries under the Senior Unsecured Notes indenture as percentage of total consolidated assets (less than) | 2.00% | 2.00% | ||
Unrestricted subsidiaries under the Senior Unsecured Notes indenture as a percentage of total consolidated net sales (less than) | 2.00% | 2.00% | ||
Products | $ 856.9 | $ 904.2 | $ 2,530.6 | $ 2,688.9 |
Services | 148.5 | 152.2 | 436.6 | 442.3 |
Operating Income (Loss) | 49.4 | 33.8 | 135.7 | 60.1 |
Restructuring, Impairment and Transaction- Related Charges | 8 | 26.1 | 22.5 | 62.4 |
United States Print and Related Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Products | 762.5 | 808.6 | 2,258.7 | 2,405.1 |
Services | 143.8 | 147.9 | 422.1 | 428.8 |
Operating Income (Loss) | 53.4 | 58.6 | 156.6 | 114.6 |
Restructuring, Impairment and Transaction- Related Charges | 7.8 | 8.8 | 17.7 | 40.4 |
International [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Products | 94.4 | 95.6 | 271.9 | 283.8 |
Services | 4.7 | 4.3 | 14.5 | 13.5 |
Operating Income (Loss) | 7.2 | 5.5 | 15.3 | 7.5 |
Restructuring, Impairment and Transaction- Related Charges | (1) | (1.3) | 1.8 | 0.7 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Products | 856.9 | 904.2 | 2,530.6 | 2,688.9 |
Services | 148.5 | 152.2 | 436.6 | 442.3 |
Operating Income (Loss) | 60.6 | 64.1 | 171.9 | 122.1 |
Restructuring, Impairment and Transaction- Related Charges | 6.8 | 7.5 | 19.5 | 41.1 |
Corporate [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Products | 0 | 0 | 0 | 0 |
Services | 0 | 0 | 0 | 0 |
Operating Income (Loss) | (11.2) | (30.3) | (36.2) | (62) |
Restructuring, Impairment and Transaction- Related Charges | $ 1.2 | $ 18.6 | $ 3 | $ 21.3 |
Segment Information (Reconcilia
Segment Information (Reconciliation of Operating Profit from Segment to Consolidated) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Segment Reporting [Abstract] | ||||
Operating income | $ 49.4 | $ 33.8 | $ 135.7 | $ 60.1 |
Less: interest expense | 17.8 | 19.6 | 53.6 | 58.9 |
Less: loss (gain) on debt extinguishment | 0 | 0 | 2.6 | (14.1) |
Earnings before income taxes and equity in loss of unconsolidated entity | $ 31.6 | $ 14.2 | $ 79.5 | $ 15.3 |
Separate Financial Informatio85
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Narrative) (Details) | Sep. 30, 2017 |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Ownership percentage | 100.00% |
Separate Financial Informatio86
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Condensed Consolidating Statement of Operations) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Income Statement [Abstract] | ||||
Net sales | $ 1,005.4 | $ 1,056.4 | $ 2,967.2 | $ 3,131.2 |
Cost of sales | 784.8 | 824.9 | 2,330.9 | 2,449.4 |
Selling, general and administrative expenses | 104.9 | 109.9 | 302.6 | 341.9 |
Depreciation and amortization | 58.3 | 61.7 | 175.5 | 217.4 |
Restructuring, impairment and transaction-related charges | 8 | 26.1 | 22.5 | 62.4 |
Total operating expenses | 956 | 1,022.6 | 2,831.5 | 3,071.1 |
Operating income | 49.4 | 33.8 | 135.7 | 60.1 |
Interest expense | 17.8 | 19.6 | 53.6 | 58.9 |
Loss (gain) on debt extinguishment | 0 | 0 | 2.6 | (14.1) |
Earnings before income taxes and equity in loss of unconsolidated entity | 31.6 | 14.2 | 79.5 | 15.3 |
Income tax expense (benefit) | 11.8 | 2.9 | 26.8 | 5.6 |
Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities | 19.8 | 11.3 | 52.7 | 9.7 |
Equity in (earnings) loss of consolidated entities | 0 | 0 | 0 | 0 |
Equity in loss of unconsolidated entity | 0 | 0 | 0.8 | 2.3 |
Net earnings | 19.8 | 11.3 | 51.9 | 7.4 |
Eliminations [Member] | ||||
Income Statement [Abstract] | ||||
Net sales | (101.5) | (117.4) | (275.4) | (298.7) |
Cost of sales | (99.4) | (117.4) | (270.3) | (298.7) |
Selling, general and administrative expenses | (2.1) | 0 | (5.1) | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Restructuring, impairment and transaction-related charges | 0 | 0 | 0 | 0 |
Total operating expenses | (101.5) | (117.4) | (275.4) | (298.7) |
Operating income | 0 | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 | 0 |
Loss (gain) on debt extinguishment | 0 | 0 | ||
Earnings before income taxes and equity in loss of unconsolidated entity | 0 | 0 | 0 | 0 |
Income tax expense (benefit) | 0 | 0 | 0 | 0 |
Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities | 0 | 0 | 0 | 0 |
Equity in (earnings) loss of consolidated entities | 27.4 | 34.9 | 68.3 | 78 |
Equity in loss of unconsolidated entity | 0 | 0 | 0 | 0 |
Net earnings | (27.4) | (34.9) | (68.3) | (78) |
Quad/Graphics, Inc. [Member] | ||||
Income Statement [Abstract] | ||||
Net sales | 413.6 | 443.9 | 1,221.1 | 1,302.9 |
Cost of sales | 297.1 | 336.1 | 884.2 | 960 |
Selling, general and administrative expenses | 66.6 | 55.1 | 191.4 | 193.9 |
Depreciation and amortization | 26.4 | 29.1 | 81.3 | 118.8 |
Restructuring, impairment and transaction-related charges | 7.9 | 25.7 | 25.8 | 44.6 |
Total operating expenses | 398 | 446 | 1,182.7 | 1,317.3 |
Operating income | 15.6 | (2.1) | 38.4 | (14.4) |
Interest expense | 17.7 | 20.1 | 52.2 | 59.8 |
Loss (gain) on debt extinguishment | 2.6 | (14.1) | ||
Earnings before income taxes and equity in loss of unconsolidated entity | (2.1) | (22.2) | (16.4) | (60.1) |
Income tax expense (benefit) | 4.5 | 0.1 | (2.2) | 5.9 |
Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities | (6.6) | (22.3) | (14.2) | (66) |
Equity in (earnings) loss of consolidated entities | (26.4) | (33.6) | (66.1) | (73.4) |
Equity in loss of unconsolidated entity | 0 | 0 | 0 | 0 |
Net earnings | 19.8 | 11.3 | 51.9 | 7.4 |
Guarantor Subsidiaries [Member] | ||||
Income Statement [Abstract] | ||||
Net sales | 585.5 | 617.5 | 1,711.1 | 1,790.1 |
Cost of sales | 502.3 | 515.4 | 1,470.2 | 1,518.7 |
Selling, general and administrative expenses | 30 | 45.3 | 88.8 | 114.6 |
Depreciation and amortization | 26.2 | 25.4 | 77.8 | 75.2 |
Restructuring, impairment and transaction-related charges | 1.1 | 1.7 | (5) | 17 |
Total operating expenses | 559.6 | 587.8 | 1,631.8 | 1,725.5 |
Operating income | 25.9 | 29.7 | 79.3 | 64.6 |
Interest expense | (0.7) | (1.4) | (1.3) | (3.8) |
Loss (gain) on debt extinguishment | 0 | 0 | ||
Earnings before income taxes and equity in loss of unconsolidated entity | 26.6 | 31.1 | 80.6 | 68.4 |
Income tax expense (benefit) | 6.1 | 2.4 | 26.3 | (0.9) |
Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities | 20.5 | 28.7 | 54.3 | 69.3 |
Equity in (earnings) loss of consolidated entities | (1) | (1.3) | (2.2) | (4.6) |
Equity in loss of unconsolidated entity | 0 | 0 | 0 | 0 |
Net earnings | 21.5 | 30 | 56.5 | 73.9 |
Non-Guarantor Subsidiaries [Member] | ||||
Income Statement [Abstract] | ||||
Net sales | 107.8 | 112.4 | 310.4 | 336.9 |
Cost of sales | 84.8 | 90.8 | 246.8 | 269.4 |
Selling, general and administrative expenses | 10.4 | 9.5 | 27.5 | 33.4 |
Depreciation and amortization | 5.7 | 7.2 | 16.4 | 23.4 |
Restructuring, impairment and transaction-related charges | (1) | (1.3) | 1.7 | 0.8 |
Total operating expenses | 99.9 | 106.2 | 292.4 | 327 |
Operating income | 7.9 | 6.2 | 18 | 9.9 |
Interest expense | 0.8 | 0.9 | 2.7 | 2.9 |
Loss (gain) on debt extinguishment | 0 | 0 | ||
Earnings before income taxes and equity in loss of unconsolidated entity | 7.1 | 5.3 | 15.3 | 7 |
Income tax expense (benefit) | 1.2 | 0.4 | 2.7 | 0.6 |
Earnings (loss) before equity in (earnings) loss of consolidated and unconsolidated entities | 5.9 | 4.9 | 12.6 | 6.4 |
Equity in (earnings) loss of consolidated entities | 0 | 0 | 0 | 0 |
Equity in loss of unconsolidated entity | 0 | 0 | 0.8 | 2.3 |
Net earnings | $ 5.9 | $ 4.9 | $ 11.8 | $ 4.1 |
Separate Financial Informatio87
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Condensed Consolidating Statement of Comprehensive Income (Loss)) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Net earnings | $ 19.8 | $ 11.3 | $ 51.9 | $ 7.4 |
Other comprehensive income (loss), net of tax | 3.6 | (16.9) | 14.6 | (9.8) |
Comprehensive income (loss) | 23.4 | (5.6) | 66.5 | (2.4) |
Eliminations [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net earnings | (27.4) | (34.9) | (68.3) | (78) |
Other comprehensive income (loss), net of tax | (3.1) | 17.5 | (13.8) | 13.2 |
Comprehensive income (loss) | (30.5) | (17.4) | (82.1) | (64.8) |
Quad/Graphics, Inc. [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net earnings | 19.8 | 11.3 | 51.9 | 7.4 |
Other comprehensive income (loss), net of tax | 3.6 | (16.9) | 14.6 | (9.8) |
Comprehensive income (loss) | 23.4 | (5.6) | 66.5 | (2.4) |
Guarantor Subsidiaries [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net earnings | 21.5 | 30 | 56.5 | 73.9 |
Other comprehensive income (loss), net of tax | (0.3) | (14.7) | (0.5) | (16) |
Comprehensive income (loss) | 21.2 | 15.3 | 56 | 57.9 |
Non-Guarantor Subsidiaries [Member] | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net earnings | 5.9 | 4.9 | 11.8 | 4.1 |
Other comprehensive income (loss), net of tax | 3.4 | (2.8) | 14.3 | 2.8 |
Comprehensive income (loss) | $ 9.3 | $ 2.1 | $ 26.1 | $ 6.9 |
Separate Financial Informatio88
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Condensed Consolidating Balance Sheet) (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 |
ASSETS | ||||
Cash and cash equivalents | $ 15.4 | $ 9 | $ 11.5 | $ 10.8 |
Receivables, less allowances for doubtful accounts | 542 | 563.6 | ||
Intercompany receivables | 0 | 0 | ||
Inventories | 308 | 265.4 | ||
Other current assets | 42.7 | 64.6 | ||
Total current assets | 908.1 | 902.6 | ||
Property, plant and equipment—net | 1,427.4 | 1,519.9 | ||
Investment in consolidated entities | 0 | 0 | ||
Intangible assets—net | 47.8 | 59.7 | ||
Intercompany loan receivable | 0 | 0 | ||
Other long-term assets | 94.1 | 87.9 | ||
Total assets | 2,477.4 | 2,570.1 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 344.5 | 323.5 | ||
Intercompany accounts payable | 0 | 0 | ||
Short-term debt and current portion of long-term debt and capital lease obligations | 73 | 92.1 | ||
Other current liabilities | 314.8 | 359 | ||
Total current liabilities | 732.3 | 774.6 | ||
Long-term debt and capital lease obligations | 981.2 | 1,038.7 | ||
Intercompany loan payable | 0 | 0 | ||
Other long-term liabilities | 297.9 | 315.3 | ||
Total liabilities | 2,011.4 | 2,128.6 | ||
Total shareholders' equity | 466 | 441.5 | ||
Total liabilities and shareholders' equity | 2,477.4 | 2,570.1 | ||
Eliminations [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Receivables, less allowances for doubtful accounts | 0 | 0 | ||
Intercompany receivables | (779.6) | (720.5) | ||
Inventories | 0 | 0 | ||
Other current assets | 0 | 0 | ||
Total current assets | (779.6) | (720.5) | ||
Property, plant and equipment—net | 0 | 0 | ||
Investment in consolidated entities | (1,381.8) | (1,350.7) | ||
Intangible assets—net | 0 | 0 | ||
Intercompany loan receivable | (104.8) | (104.2) | ||
Other long-term assets | 0 | 0 | ||
Total assets | (2,266.2) | (2,175.4) | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 0 | 0 | ||
Intercompany accounts payable | (779.6) | (720.5) | ||
Short-term debt and current portion of long-term debt and capital lease obligations | 0 | 0 | ||
Other current liabilities | 0 | 0 | ||
Total current liabilities | (779.6) | (720.5) | ||
Long-term debt and capital lease obligations | 0 | 0 | ||
Intercompany loan payable | (104.8) | (104.2) | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | (884.4) | (824.7) | ||
Total shareholders' equity | (1,381.8) | (1,350.7) | ||
Total liabilities and shareholders' equity | (2,266.2) | (2,175.4) | ||
Quad/Graphics, Inc. [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 5.3 | 0.3 | 1.9 | 2.3 |
Receivables, less allowances for doubtful accounts | 399.5 | 439.7 | ||
Intercompany receivables | 0 | 0 | ||
Inventories | 136.9 | 102.2 | ||
Other current assets | 29.5 | 40.6 | ||
Total current assets | 571.2 | 582.8 | ||
Property, plant and equipment—net | 723.2 | 777.3 | ||
Investment in consolidated entities | 1,370.4 | 1,288.9 | ||
Intangible assets—net | 8.2 | 12 | ||
Intercompany loan receivable | 104.8 | 104.2 | ||
Other long-term assets | 51.6 | 43.5 | ||
Total assets | 2,829.4 | 2,808.7 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 204.9 | 159.3 | ||
Intercompany accounts payable | 769.6 | 711.2 | ||
Short-term debt and current portion of long-term debt and capital lease obligations | 66.8 | 79.5 | ||
Other current liabilities | 213.3 | 253.9 | ||
Total current liabilities | 1,254.6 | 1,203.9 | ||
Long-term debt and capital lease obligations | 968.2 | 1,022 | ||
Intercompany loan payable | 0 | 0 | ||
Other long-term liabilities | 140.6 | 141.3 | ||
Total liabilities | 2,363.4 | 2,367.2 | ||
Total shareholders' equity | 466 | 441.5 | ||
Total liabilities and shareholders' equity | 2,829.4 | 2,808.7 | ||
Guarantor Subsidiaries [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 0.9 | 1.9 | 2.4 | 2.8 |
Receivables, less allowances for doubtful accounts | 53.7 | 37.7 | ||
Intercompany receivables | 779.6 | 720.5 | ||
Inventories | 131.5 | 115.9 | ||
Other current assets | 5.6 | 15.7 | ||
Total current assets | 971.3 | 891.7 | ||
Property, plant and equipment—net | 540.8 | 577.9 | ||
Investment in consolidated entities | 11.4 | 61.8 | ||
Intangible assets—net | 28 | 20.3 | ||
Intercompany loan receivable | 0 | 0 | ||
Other long-term assets | 10.4 | 10.1 | ||
Total assets | 1,561.9 | 1,561.8 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 80.4 | 98.5 | ||
Intercompany accounts payable | 0 | 0 | ||
Short-term debt and current portion of long-term debt and capital lease obligations | 1.3 | 2.9 | ||
Other current liabilities | 68.7 | 76.2 | ||
Total current liabilities | 150.4 | 177.6 | ||
Long-term debt and capital lease obligations | 1.5 | 2.4 | ||
Intercompany loan payable | 40.7 | 39.9 | ||
Other long-term liabilities | 143.4 | 150 | ||
Total liabilities | 336 | 369.9 | ||
Total shareholders' equity | 1,225.9 | 1,191.9 | ||
Total liabilities and shareholders' equity | 1,561.9 | 1,561.8 | ||
Non-Guarantor Subsidiaries [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 9.2 | 6.8 | $ 7.2 | $ 5.7 |
Receivables, less allowances for doubtful accounts | 88.8 | 86.2 | ||
Intercompany receivables | 0 | 0 | ||
Inventories | 39.6 | 47.3 | ||
Other current assets | 7.6 | 8.3 | ||
Total current assets | 145.2 | 148.6 | ||
Property, plant and equipment—net | 163.4 | 164.7 | ||
Investment in consolidated entities | 0 | 0 | ||
Intangible assets—net | 11.6 | 27.4 | ||
Intercompany loan receivable | 0 | 0 | ||
Other long-term assets | 32.1 | 34.3 | ||
Total assets | 352.3 | 375 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Accounts payable | 59.2 | 65.7 | ||
Intercompany accounts payable | 10 | 9.3 | ||
Short-term debt and current portion of long-term debt and capital lease obligations | 4.9 | 9.7 | ||
Other current liabilities | 32.8 | 28.9 | ||
Total current liabilities | 106.9 | 113.6 | ||
Long-term debt and capital lease obligations | 11.5 | 14.3 | ||
Intercompany loan payable | 64.1 | 64.3 | ||
Other long-term liabilities | 13.9 | 24 | ||
Total liabilities | 196.4 | 216.2 | ||
Total shareholders' equity | 155.9 | 158.8 | ||
Total liabilities and shareholders' equity | $ 352.3 | $ 375 |
Separate Financial Informatio89
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Condensed Consolidating Statement of Cash Flows) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
OPERATING ACTIVITIES | ||
Net cash from operating activities | $ 179.7 | $ 260 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (61.6) | (57.7) |
Acquisition related investing activities | 0 | |
Intercompany investing activities | 0 | 0 |
Other investing activities | 31 | 1.5 |
Net cash used in investing activities | (30.6) | (56.2) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 375 | 19.7 |
Payments of long-term debt and capital lease obligations | (430.2) | (175.2) |
Borrowings on revolving credit facilities | 525.7 | 712 |
Payments on revolving credit facilities | (550.4) | (727.6) |
Purchases of treasury stock | (3.8) | (8.8) |
Payment of cash dividends | (46.5) | (44) |
Intercompany financing activities | 0 | 0 |
Other financing activities | (12.3) | 21 |
Net cash used in financing activities | (142.5) | (202.9) |
Effect of exchange rates on cash and cash equivalents | (0.2) | (0.2) |
Net increase in cash and cash equivalents | 6.4 | 0.7 |
Cash and cash equivalents at beginning of period | 9 | 10.8 |
Cash and cash equivalents at end of period | 15.4 | 11.5 |
Eliminations [Member] | ||
OPERATING ACTIVITIES | ||
Net cash from operating activities | 0 | 0 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | 0 | 0 |
Acquisition related investing activities | 0 | |
Intercompany investing activities | 48.8 | 90.6 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | 48.8 | 90.6 |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 0 | 0 |
Payments of long-term debt and capital lease obligations | 0 | 0 |
Borrowings on revolving credit facilities | 0 | 0 |
Payments on revolving credit facilities | 0 | 0 |
Purchases of treasury stock | 0 | 0 |
Payment of cash dividends | 0 | 0 |
Intercompany financing activities | (48.8) | (90.6) |
Other financing activities | 0 | 0 |
Net cash used in financing activities | (48.8) | (90.6) |
Effect of exchange rates on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
Quad/Graphics, Inc. [Member] | ||
OPERATING ACTIVITIES | ||
Net cash from operating activities | 100.4 | 116.2 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (17.8) | (24) |
Acquisition related investing activities | (0.9) | |
Intercompany investing activities | (4.3) | 12.1 |
Other investing activities | (5) | (6.1) |
Net cash used in investing activities | (27.1) | (18.9) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 375 | 0 |
Payments of long-term debt and capital lease obligations | (423.5) | (170.4) |
Borrowings on revolving credit facilities | 521.9 | 648.9 |
Payments on revolving credit facilities | (540.9) | (673.2) |
Purchases of treasury stock | (3.8) | (8.8) |
Payment of cash dividends | (46.5) | (44) |
Intercompany financing activities | 57.7 | 128.5 |
Other financing activities | (8.2) | 21.3 |
Net cash used in financing activities | (68.3) | (97.7) |
Effect of exchange rates on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | 5 | (0.4) |
Cash and cash equivalents at beginning of period | 0.3 | 2.3 |
Cash and cash equivalents at end of period | 5.3 | 1.9 |
Guarantor Subsidiaries [Member] | ||
OPERATING ACTIVITIES | ||
Net cash from operating activities | 54.7 | 136.4 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (36.1) | (18.5) |
Acquisition related investing activities | 0.9 | |
Intercompany investing activities | (45.3) | (121.8) |
Other investing activities | 32.2 | 5.4 |
Net cash used in investing activities | (49.2) | (134) |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 0 | 0 |
Payments of long-term debt and capital lease obligations | (2.5) | (2.6) |
Borrowings on revolving credit facilities | 0 | 0 |
Payments on revolving credit facilities | 0 | 0 |
Purchases of treasury stock | 0 | 0 |
Payment of cash dividends | 0 | 0 |
Intercompany financing activities | 0.1 | 0.1 |
Other financing activities | (4.1) | (0.3) |
Net cash used in financing activities | (6.5) | (2.8) |
Effect of exchange rates on cash and cash equivalents | 0 | 0 |
Net increase in cash and cash equivalents | (1) | (0.4) |
Cash and cash equivalents at beginning of period | 1.9 | 2.8 |
Cash and cash equivalents at end of period | 0.9 | 2.4 |
Non-Guarantor Subsidiaries [Member] | ||
OPERATING ACTIVITIES | ||
Net cash from operating activities | 24.6 | 7.4 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (7.7) | (15.2) |
Acquisition related investing activities | 0 | |
Intercompany investing activities | 0.8 | 19.1 |
Other investing activities | 3.8 | 2.2 |
Net cash used in investing activities | (3.1) | 6.1 |
FINANCING ACTIVITIES | ||
Proceeds from issuance of long-term debt | 0 | 19.7 |
Payments of long-term debt and capital lease obligations | (4.2) | (2.2) |
Borrowings on revolving credit facilities | 3.8 | 63.1 |
Payments on revolving credit facilities | (9.5) | (54.4) |
Purchases of treasury stock | 0 | 0 |
Payment of cash dividends | 0 | 0 |
Intercompany financing activities | (9) | (38) |
Other financing activities | 0 | 0 |
Net cash used in financing activities | (18.9) | (11.8) |
Effect of exchange rates on cash and cash equivalents | (0.2) | (0.2) |
Net increase in cash and cash equivalents | 2.4 | 1.5 |
Cash and cash equivalents at beginning of period | 6.8 | 5.7 |
Cash and cash equivalents at end of period | $ 9.2 | $ 7.2 |
New Accounting Pronouncements (
New Accounting Pronouncements (New Accounting Pronouncements Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Accounting Standards Update 2017-07 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Reclassification of pension income (expense) | $ 2.6 | $ (3.2) | $ 7.8 | $ 2.3 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | Oct. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Sep. 30, 2017 | Sep. 30, 2016 |
Subsequent Event [Line Items] | |||||||||
Dividends declared per share (in dollars per share) | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.90 | $ 0.90 | |
Subsequent Event [Member] | |||||||||
Subsequent Event [Line Items] | |||||||||
Dividends declared per share (in dollars per share) | $ 0.30 |