Document And Entity Information
Document And Entity Information | 6 Months Ended |
Jun. 29, 2019shares | |
Entity Information Line Items [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Jun. 29, 2019 |
Document Transition Report | false |
Entity File Number | 001-01043 |
Entity Registrant Name | Brunswick Corporation |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 36-0848180 |
Entity Address, Address Line One | 26125 N. Riverwoods Blvd., Suite 500 |
Entity Address, City or Town | Mettawa |
Entity Address, State or Province | IL |
Entity Address, Postal Zip Code | 60045-3420 |
City Area Code | 847 |
Local Phone Number | 735-4700 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Central Index Key | 0000014930 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | true |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Entity Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 85,724,337 |
Common Stock [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | |
Entity Information [Line Items] | |
Title of 12(b) Security | Common stock, par value $0.75 per share |
Trading Symbol | BC |
Security Exchange Name | NYSE |
6.500% Senior Notes due 2048 [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | |
Entity Information [Line Items] | |
Title of 12(b) Security | 6.500% Senior Notes due 2048 |
Trading Symbol | BC-A |
Security Exchange Name | NYSE |
6.625% Senior Notes due 2049 [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | |
Entity Information [Line Items] | |
Title of 12(b) Security | 6.625% Senior Notes due 2049 |
Trading Symbol | BC-B |
Security Exchange Name | NYSE |
6.375% Senior Notes due 2049 [Member] | NEW YORK STOCK EXCHANGE, INC. [Member] | |
Entity Information [Line Items] | |
Title of 12(b) Security | 6.375% Senior Notes due 2049 |
Trading Symbol | BC-C |
Security Exchange Name | NYSE |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |||
Income Statement [Abstract] | ||||||
Net Sales | $ 1,163.5 | $ 1,148.7 | $ 2,214.2 | $ 2,115.7 | ||
Cost of Sales | 835.5 | 867.5 | 1,606.7 | 1,591.4 | ||
Selling, General and Administrative Expense | 126.4 | 121.4 | 259.9 | 237.6 | ||
Research and Development Expense | 33.5 | 32.5 | 62.2 | 62.3 | ||
Restructuring, Exit and Impairment Charges | 5.4 | 34.2 | 8.6 | 36.8 | ||
Operating Earnings | 162.7 | 93.1 | 276.8 | 187.6 | ||
Equity Earnings | 1.6 | 1.4 | 3.5 | 2.4 | ||
Other Expense, Net | (0.1) | (2.4) | (1.7) | (2.8) | ||
Earnings Before Interest and Income Taxes | 164.2 | 92.1 | 278.6 | 187.2 | ||
Interest Expense | (20.8) | (8.2) | (40.6) | (14.9) | ||
Interest Income | 0.4 | 0.6 | 0.8 | 1.3 | ||
Earnings Before Income Taxes | 143.8 | 84.5 | 238.8 | 173.6 | ||
Income Tax Provision | 31.7 | 16.4 | 50.5 | 41.7 | ||
Net Earnings from Continuing Operations | 112.1 | 68.1 | 188.3 | 131.9 | ||
Discontinued operations: | ||||||
Earnings (Loss) from Discontinued Operations, Net of Tax | 6.9 | 10.9 | (105.6) | [1] | 20 | |
Loss on Disposal of Discontinued Operations, Net of Tax | (41.5) | [2] | 0 | (41.5) | [2] | 0 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | (34.6) | 10.9 | (147.1) | 20 | ||
Net Earnings | $ 77.5 | $ 79 | $ 41.2 | $ 151.9 | ||
Basic | ||||||
Earnings from Continuing Operations | $ 1.29 | $ 0.78 | $ 2.16 | $ 1.50 | ||
Earnings (Loss) from Discontinued Operations | (0.40) | 0.12 | (1.69) | 0.23 | ||
Net Earnings (Basic, in Dollars per Share) | 0.89 | 0.90 | 0.47 | 1.73 | ||
Diluted | ||||||
Earnings from Continuing Operations | 1.28 | 0.77 | 2.15 | 1.49 | ||
Earnings (Loss) from Discontinued Operations | (0.39) | 0.13 | (1.68) | 0.23 | ||
Net Earnings (Diluted, in Dollars per Share) | $ 0.89 | $ 0.90 | $ 0.47 | $ 1.72 | ||
Weighted Average Shares Used for Computation of [Abstract] | ||||||
Basic Earnings (Loss) Per Common Share (in Shares) | 86.9 | 87.6 | 87.2 | 87.8 | ||
Diluted Earnings (Loss) per Common Share (in Shares) | 87.3 | 88.2 | 87.7 | 88.5 | ||
Comprehensive Income | $ 93.1 | $ 68.6 | $ 57.8 | $ 152.5 | ||
[1] | (B) In the first quarter of 2019, the Company re-evaluated the fair value of the Fitness reporting unit and determined the fair value of the business was less than its carrying value. As a result, Earnings (loss) from discontinued operations, net of tax, includes a $137.2 million ( $103.0 million after tax) goodwill impairment charge for the six months ended June 29, 2019. | |||||
[2] | (A) The Loss on disposal of discontinued operations for the three and six months ended June 29, 2019 includes a pre-tax loss of $47.7 million and a net tax benefit of $6.2 million . |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Millions | Jun. 29, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Current Assets | |||
Cash and Cash Equivalents, at Cost, Which Approximates Fair Value | $ 656.1 | $ 294.4 | $ 435.9 |
Restricted Cash | 11.6 | 9 | 9.4 |
Short-Term Investments in Marketable Securities | 0.8 | 0.8 | 0.8 |
Total Cash and Short-Term Investments in Marketable Securities | 668.5 | 304.2 | 446.1 |
Accounts and Notes Receivable, less Allowances of $8.7, $8.7 and $7.3 | 484.5 | 351.8 | 412.4 |
Inventories | |||
Finished Goods | 528.8 | 490.8 | 371.1 |
Work-In-Process | 98.2 | 94.1 | 106.3 |
Raw Materials | 174.8 | 189.1 | 163.9 |
Net Inventories | 801.8 | 774 | 641.3 |
Prepaid Expenses and Other | 56.6 | 72.9 | 36.8 |
Current Assets Held for Sale | 0 | 377.2 | 354.4 |
Current Assets | 2,011.4 | 1,880.1 | 1,891 |
Property | |||
Land | 17.9 | 16.5 | 17.1 |
Buildings and Improvements | 396.8 | 359.8 | 337.8 |
Equipment | 1,043.9 | 983 | 914.5 |
Total Land, Buildings and Improvements and Equipment | 1,458.6 | 1,359.3 | 1,269.4 |
Accumulated Depreciation | (836.5) | (791.9) | (802.7) |
Net Land, Buildings and Improvements and Equipment | 622.1 | 567.4 | 466.7 |
Unamortized Product Tooling Costs | 124.9 | 127.1 | 128.3 |
Net Property | 747 | 694.5 | 595 |
Other Assets | |||
Goodwill | 410.7 | 377.3 | 33.5 |
Other Intangibles, Net | 599.4 | 585.8 | 58.5 |
Operating Lease Assets | 80.4 | 0 | 0 |
Deferred Income Tax Asset | 144.2 | 97.8 | 176.6 |
Equity Investments | 32.7 | 32.6 | 30 |
Other Long-Term Assets | 15 | 13.1 | 12.5 |
Long-Term Assets Held for Sale | 0 | 610.3 | 639.6 |
Other Assets | 1,282.4 | 1,716.9 | 950.7 |
Total Assets | 4,040.8 | 4,291.5 | 3,436.7 |
Current Liabilities | |||
Short-Term Debt and Current Maturities of Long-Term Debt | 40.3 | 41.3 | 4.7 |
Accounts Payable | 412.9 | 458.2 | 374.6 |
Accrued Expenses | 562.5 | 502.1 | 503.8 |
Current Liabilities Held for Sale | 0 | 255 | 232.1 |
Current Liabilities | 1,015.7 | 1,256.6 | 1,115.2 |
Long-Term Liabilities | |||
Debt | 1,240.1 | 1,179.5 | 429 |
Operating Lease Liabilities | 67.1 | 0 | 0 |
Postretirement Benefits | 69.2 | 71.6 | 180.6 |
Other | 111.4 | 101.6 | 114.4 |
Long-Term Liabilities Held for Sale | 0 | 99.6 | 96.5 |
Long-Term Liabilities | 1,487.8 | 1,452.3 | 820.5 |
Shareholders' equity | |||
Common Stock; Authorized: 200,000,000 Shares, $0.75 Par Value; Issued: 102,538,000 Shares; Outstanding: 85,687,000, 86,757,000 and 86,792,000 Shares | 76.9 | 76.9 | 76.9 |
Additional Paid-In Capital | 363 | 371.1 | 361.8 |
Retained Earnings | 2,140.5 | 2,135.7 | 2,056.9 |
Treasury Stock, at Cost: 16,851,000, 15,781,000 and 15,746,000 Shares | (696.6) | (638) | (635.4) |
Accumulated Other Comprehensive Loss | (346.5) | (363.1) | (359.2) |
Shareholders' Equity | 1,537.3 | 1,582.6 | 1,501 |
Total Liabilities and Shareholders' Equity | $ 4,040.8 | $ 4,291.5 | $ 3,436.7 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Jun. 29, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Current Assets | |||
Accounts and Notes Receivable, Allowances | $ 8.7 | $ 8.7 | $ 7.3 |
Shareholders' equity | |||
Common Stock, Shares Authorized (in Shares) | 200,000,000 | 200,000,000 | 200,000,000 |
Common Stock, Par Value (in Dollars per Share) | $ 0.75 | $ 0.75 | $ 0.75 |
Common Stock, Shares Issued (in Shares) | 102,538,000 | 102,538,000 | 102,538,000 |
Common Stock, Shares Outstanding (in Shares) | 85,687,000 | 86,757,000 | 86,792,000 |
Treasury Stock, Shares (in Shares) | 16,851,000 | 15,781,000 | 15,746,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions | 6 Months Ended | |
Jun. 29, 2019 | Jun. 30, 2018 | |
Cash Flows from Operating Activities | ||
Net Earnings | $ 41.2 | $ 151.9 |
Less: Net Earnings (Loss) from Discontinued Operations, Net of Tax | (147.1) | 20 |
Net Earnings from Continuing Operations | 188.3 | 131.9 |
Stock Compensation Expense | 7 | 6.2 |
Depreciation and Amortization | 66.4 | 49.9 |
Pension Expense, Net of (Funding) | 1.2 | (33.3) |
Asset Impairment Charges | 2.9 | 24.9 |
Deferred Income Taxes | 29.3 | 14 |
Changes in Certain Current Assets and Current Liabilities | (154) | (58.7) |
Long-Term Extended Warranty Contracts and Other Deferred Revenue | 6.1 | 6 |
Income Taxes | 6.4 | 29.9 |
Other, net | (6.2) | (3.8) |
Net Cash Provided by Operating Activities of Continuing Operations | 147.4 | 167 |
Net Cash (Used for) Provided by Operating Activities of Discontinued Operations | (8.1) | 33.9 |
Net Cash Provided by Operating Activities | 139.3 | 200.9 |
Cash Flows from Investing Activities | ||
Capital Expenditures | (135.2) | (81.7) |
Investments | (0.2) | (5.8) |
Acquisition of Businesses, Net of Cash Acquired | (64.4) | 0 |
Proceeds from the Sale of Property, Plant and Equipment | 0 | 0.1 |
Other, net | 0 | (0.2) |
Net Cash Used for Investing Activities of Continuing Operations | (199.8) | (87.6) |
Net Cash Provided by (Used for) Investing Activities of Discontinued Operations | 481.9 | (8.5) |
Net Cash Provided By (Used for) Investing Activities | 282.1 | (96.1) |
Cash Flows from Financing Activities | ||
Proceeds From Issuances of Short-Term Debt | 655 | 0 |
Payments of Short-Term Debt | (655) | 0 |
Net Proceeds from Issuances of Long-Term Debt | 223.1 | 0 |
Payments of Long-Term Debt Including Current Maturities | (168.1) | (0.3) |
Common Stock Repurchases | (69.8) | (70) |
Cash Dividends Paid | (36.4) | (33.1) |
Proceeds from Share-Based Compensation Activity | 0.9 | 1.2 |
Tax Withholding Associated with Shares Issued for Share-Based Compensation | (8) | (12) |
Other, net | (0.2) | 0 |
Net Cash Used for Financing Activities | (58.5) | (114.2) |
Effect of Exchange Rate Changes | 1.4 | (3.5) |
Net Increase (Decrease) in Cash and Cash Equivalents and Restricted Cash | 364.3 | (12.9) |
Cash and Cash Equivalents and Restricted Cash at Beginning of Period | 303.4 | 458.2 |
Cash and Cash Equivalents and Restricted Cash at End of Period | 667.7 | 445.3 |
Less: Restricted Cash | 11.6 | 9.4 |
Cash and Cash Equivalents at End of Period | $ 656.1 | $ 435.9 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders' Equity Condensed Consolidated Statements of Shareholders' Equity - USD ($) $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Balance, at Beginning of the Period at Dec. 31, 2017 | $ 1,482.9 | $ 76.9 | $ 374.4 | $ 1,966.8 | $ (575.4) | $ (359.8) |
Net Earnings (Loss) | 72.9 | 0 | 0 | 72.9 | 0 | 0 |
Other Comprehensive Income (Loss) | 11 | 0 | 0 | 0 | 0 | 11 |
Dividends | (16.6) | 0 | 0 | (16.6) | 0 | 0 |
Compensation Plans and Other | (5.7) | 0 | (17) | 0 | 11.3 | 0 |
Common Stock Repurchases | (35) | 0 | 0 | 0 | (35) | 0 |
Balance, at End of Period at Mar. 31, 2018 | 1,480.8 | 76.9 | 357.4 | 1,994.4 | (599.1) | (348.8) |
Balance, at Beginning of the Period at Dec. 31, 2017 | 1,482.9 | 76.9 | 374.4 | 1,966.8 | (575.4) | (359.8) |
Net Earnings (Loss) | 151.9 | |||||
Other Comprehensive Income (Loss) | 0.6 | |||||
Balance, at End of Period at Jun. 30, 2018 | 1,501 | 76.9 | 361.8 | 2,056.9 | (635.4) | (359.2) |
ASU No. 2014-09 Adoption | (28.7) | 0 | 0 | (28.7) | 0 | 0 |
Balance, at Beginning of the Period at Mar. 31, 2018 | 1,480.8 | 76.9 | 357.4 | 1,994.4 | (599.1) | (348.8) |
Net Earnings (Loss) | 79 | 0 | 0 | 79 | 0 | 0 |
Other Comprehensive Income (Loss) | (10.4) | 0 | 0 | 0 | 0 | (10.4) |
Dividends | (16.5) | 0 | 0 | (16.5) | 0 | 0 |
Compensation Plans and Other | 3.1 | 0 | 4.4 | 0 | (1.3) | 0 |
Common Stock Repurchases | (35) | 0 | 0 | 0 | (35) | 0 |
Balance, at End of Period at Jun. 30, 2018 | 1,501 | 76.9 | 361.8 | 2,056.9 | (635.4) | (359.2) |
Balance, at Beginning of the Period at Dec. 31, 2018 | 1,582.6 | 76.9 | 371.1 | 2,135.7 | (638) | (363.1) |
Net Earnings (Loss) | (36.3) | 0 | 0 | (36.3) | 0 | 0 |
Other Comprehensive Income (Loss) | 1 | 0 | 0 | 0 | 0 | 1 |
Dividends | (18.3) | 0 | 0 | (18.3) | 0 | 0 |
Compensation Plans and Other | (2.1) | 0 | (11.2) | 0 | 9.1 | 0 |
Balance, at End of Period at Mar. 30, 2019 | 1,526.9 | 76.9 | 359.9 | 2,081.1 | (628.9) | (362.1) |
Balance, at Beginning of the Period at Dec. 31, 2018 | 1,582.6 | 76.9 | 371.1 | 2,135.7 | (638) | (363.1) |
Net Earnings (Loss) | 41.2 | |||||
Other Comprehensive Income (Loss) | 16.6 | |||||
Balance, at End of Period at Jun. 29, 2019 | 1,537.3 | 76.9 | 363 | 2,140.5 | (696.6) | (346.5) |
Balance, at Beginning of the Period at Mar. 30, 2019 | 1,526.9 | 76.9 | 359.9 | 2,081.1 | (628.9) | (362.1) |
Net Earnings (Loss) | 77.5 | 0 | 0 | 77.5 | 0 | 0 |
Other Comprehensive Income (Loss) | 15.6 | 0 | 0 | 0 | 0 | 15.6 |
Dividends | (18.1) | 0 | 0 | (18.1) | 0 | 0 |
Compensation Plans and Other | 5.2 | 0 | 3.1 | 0 | 2.1 | 0 |
Common Stock Repurchases | (69.8) | 0 | 0 | 0 | (69.8) | 0 |
Balance, at End of Period at Jun. 29, 2019 | $ 1,537.3 | $ 76.9 | $ 363 | $ 2,140.5 | $ (696.6) | $ (346.5) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Shareholders' Equity Condensed Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 29, 2019 | Mar. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash Dividends Declared Per Common Share (in Dollars per Share) | $ 0.21 | $ 0.21 | $ 0.19 | $ 0.19 |
Significant Accounting Policies
Significant Accounting Policies | 6 Months Ended |
Jun. 29, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Interim Financial Statements. The unaudited interim condensed consolidated financial statements of Brunswick Corporation (Brunswick or the Company) have been prepared pursuant to Securities and Exchange Commission (SEC) rules and regulations. Therefore, certain information and disclosures normally included in financial statements and related notes prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) have been condensed or omitted. These financial statements should be read in conjunction with, and have been prepared in conformity with, the accounting principles reflected in the consolidated financial statements and related notes included in Brunswick’s 2018 Annual Report on Form 10-K for the year ended December 31, 2018 (the 2018 Form 10-K). These results include, in management's opinion, all normal and recurring adjustments necessary to present fairly Brunswick's financial position, results of operations and cash flows. Due to the seasonality of Brunswick’s businesses, the interim results are not necessarily indicative of the results that may be expected for the remainder of the year. The Company maintains its financial records on the basis of a fiscal year ending on December 31, with the fiscal quarters spanning approximately thirteen weeks. The first quarter ends on the Saturday closest to the end of the first thirteen -week period. The second and third quarters are thirteen weeks in duration and the fourth quarter is the remainder of the year. The second quarter of fiscal year 2019 ended on June 29, 2019 and the second quarter of fiscal year 2018 ended on June 30, 2018 . On June 27, 2019, the Company completed the sale of its Fitness business. The Company determined that the sale of its Fitness business represents a strategic shift that has a major effect on the Company's operations and financial results. As a result, the Company classified the assets and liabilities of the Fitness business as held for sale on the Condensed Consolidated Balance Sheets for all prior periods. Additionally, this business, which was previously reported in the Company's Fitness segment, is being reported as discontinued operations in the Condensed Consolidated Statements of Comprehensive Income and Condensed Consolidated Statements of Cash Flows for all periods presented. See Note 3 – Discontinued Operations for further information. Recently Adopted Accounting Standards Recognition of Leases : In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, Leases, (new leasing standard), which amended the Accounting Standards Codification (ASC) to require lessees to recognize assets and liabilities on the balance sheet for all leases with terms greater than twelve months. On January 1, 2019, the Company adopted the new leasing standard and all related amendments. The Company elected the optional transition method provided by the FASB in ASU 2018-11, Leases (Topic 842): Targeted Improvements , and as a result, has not restated its condensed consolidated financial statements for prior periods presented. The Company has elected the practical expedients upon transition to retain the lease classification and initial direct costs for any leases that existed prior to adoption. The Company has also not reassessed whether any contracts entered into prior to adoption are leases. The standard did not have a material impact on the Company's Condensed Consolidated Statements of Comprehensive Income. The cumulative effect of the changes made to the Company's Consolidated Balance Sheet as of January 1, 2019 for the adoption of the new leasing standard was as follows: (in millions) Balance as of December 31, 2018 Adjustments Due to ASC 842 Balance as of January 1, 2019 Assets Operating lease assets $ — $ 80.1 $ 80.1 Long-term assets held for sale 610.3 21.1 631.4 Current liabilities Accrued expenses 502.1 16.4 518.5 Current liabilities held for sale 255.0 2.9 257.9 Long-term liabilities Other 101.6 (3.4 ) 98.2 Operating lease liabilities — 67.1 67.1 Long-term liabilities held for sale 99.6 18.2 117.8 The Company determines if an arrangement is a lease at lease inception. Operating lease assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company's lease contracts do not include an implicit rate, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of future payments. The incremental borrowing rate is estimated to approximate the interest rate on a collateralized basis with similar terms and payments, and in economic environments where the leased asset is located. The operating lease asset also includes any initial direct costs and lease payments made prior to lease commencement, and excludes lease incentives incurred. The Company's lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Operating lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company has certain lease agreements that contain both lease and non-lease components, which it has elected to account for as a single lease component for all asset classes. Measurement of Goodwill Impairment : In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment . The standard simplifies the subsequent measurement of goodwill by eliminating step two from the goodwill impairment test. Instead, goodwill impairment is measured as the difference between the fair value and the carrying value of the reporting unit. The standard also clarifies the treatment of the income tax effect of tax-deductible goodwill when measuring goodwill impairment loss. The Company early adopted this amendment on January 1, 2019. Tax Effects in Other Comprehensive Income : In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (AOCI) , which requires certain new disclosures and permits companies to reclassify the disproportionate income tax effects of the Tax Cuts and Jobs Act of 2017 on items within AOCI to retained earnings. The Company currently records its stranded tax effects in AOCI using the portfolio approach. Upon adoption, the Company elected not to reclassify stranded tax effects in AOCI to retained earnings and there was no impact on its consolidated financial statements. Hedge Accounting : In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, to simplify the application of hedge accounting and to better align an entity's risk management activities with the financial reporting of hedging relationships. The Company adopted this ASC amendment and it did not have a material impact on its consolidated financial statements. |
Revenue Recognition (Notes)
Revenue Recognition (Notes) | 6 Months Ended |
Jun. 29, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | Revenue Recognition The following table presents the Company's revenue into categories that depict how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors: Three Months Ended June 29, 2019 Marine Engine Boat Total Geographic Markets United States $ 610.7 $ 271.2 $ 881.9 Europe 125.7 34.6 160.3 Asia-Pacific 57.4 6.4 63.8 Canada 39.5 47.4 86.9 Rest-of-World 38.2 7.0 45.2 Marine eliminations (74.6 ) — (74.6 ) Total $ 796.9 $ 366.6 $ 1,163.5 Major Product Lines Propulsion $ 404.9 $ — $ 404.9 Parts & Accessories 466.6 — 466.6 Aluminum Freshwater Boats — 160.8 160.8 Recreational Fiberglass Boats — 119.5 119.5 Saltwater Fishing Boats — 82.6 82.6 Business Acceleration — 3.7 3.7 Marine eliminations (74.6 ) — (74.6 ) Total $ 796.9 $ 366.6 $ 1,163.5 Six Months Ended June 29, 2019 Marine Engine Boat Total Geographic Markets United States $ 1,134.9 $ 545.1 $ 1,680.0 Europe 244.9 71.3 316.2 Asia-Pacific 113.5 11.8 125.3 Canada 70.8 97.4 168.2 Rest-of-World 73.4 14.3 87.7 Marine eliminations (163.2 ) — (163.2 ) Total $ 1,474.3 $ 739.9 $ 2,214.2 Major Product Lines Propulsion $ 804.9 $ — $ 804.9 Parts & Accessories 832.6 — 832.6 Aluminum Freshwater Boats — 327.0 327.0 Recreational Fiberglass Boats — 234.5 234.5 Saltwater Fishing Boats — 172.8 172.8 Business Acceleration — 5.6 5.6 Marine eliminations (163.2 ) — (163.2 ) Total $ 1,474.3 $ 739.9 $ 2,214.2 Three Months Ended June 30, 2018 Marine Engine Boat Total Geographic Markets United States $ 594.4 $ 279.9 $ 874.3 Europe 113.2 42.0 155.2 Asia-Pacific 50.5 6.9 57.4 Canada 39.4 58.1 97.5 Rest-of-World 36.8 8.0 44.8 Marine eliminations (80.5 ) — (80.5 ) Total $ 753.8 $ 394.9 $ 1,148.7 Major Product Lines Propulsion $ 426.3 $ — $ 426.3 Parts & Accessories 408.0 — 408.0 Aluminum Freshwater Boats — 169.7 169.7 Recreational Fiberglass Boats — 140.5 140.5 Saltwater Fishing Boats — 84.0 84.0 Business Acceleration — 0.7 0.7 Marine eliminations (80.5 ) — (80.5 ) Total $ 753.8 $ 394.9 $ 1,148.7 Six Months Ended June 30, 2018 Marine Engine Boat Total Geographic Markets United States $ 1,070.9 $ 554.6 $ 1,625.5 Europe 211.0 85.1 296.1 Asia-Pacific 100.9 13.9 114.8 Canada 68.3 104.9 173.2 Rest-of-World 70.3 12.9 83.2 Marine eliminations (177.1 ) — (177.1 ) Total $ 1,344.3 $ 771.4 $ 2,115.7 Major Product Lines Propulsion $ 805.3 $ — $ 805.3 Parts & Accessories 716.1 — 716.1 Aluminum Freshwater Boats — 331.3 331.3 Recreational Fiberglass Boats — 268.2 268.2 Saltwater Fishing Boats — 169.7 169.7 Business Acceleration — 2.2 2.2 Marine eliminations (177.1 ) — (177.1 ) Total $ 1,344.3 $ 771.4 $ 2,115.7 As of January 1, 2019, $74.8 million of contract liabilities associated with extended warranties and customer deposits were reported in Accrued expenses and Other Long-term liabilities and $8.6 million and $16.4 million of this amount was recognized as revenue during the three and six months ended June 29, 2019 , respectively. As of June 29, 2019 , total contract liabilities were $92.5 million . The total amount of the transaction price allocated to unsatisfied performance obligations as of June 29, 2019 was $84.9 million for contracts greater than one year, which primarily relates to extended warranties. The Company expects to recognize approximately $13.9 million of this amount in 2019, $16.7 million in 2020, and $54.3 million thereafter. |
Discontinued Operations (Notes)
Discontinued Operations (Notes) | 6 Months Ended |
Jun. 29, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Discontinued Operations On May 6, 2019, the Company announced that it reached an agreement to sell its Fitness business to KPS Capital Partners, LP. On June 27, 2019, the Company completed the sale. The sale resulted in net proceeds of $473.7 million and an after-tax loss of $41.5 million . In connection with the sale of its Fitness business, the Company has retained assets of $26.4 million primarily related to VAT receivables and has retained liabilities of $45.1 million primarily related to VAT payables, product warranty liabilities and certain employee benefits. In connection with the sale of the Fitness business, the Company entered into a Transition Services Agreement with the purchaser to provide certain support functions for a period of up to twelve months following the sale. The TSA is not material to the Company's condensed consolidated financial statements. The Company does not have or anticipate having any significant continuing net cash flows associated with the Fitness business. The Company determined that the sale of its Fitness business represents a strategic shift that has a major effect on the Company's operations and financial results. The Company will no longer participate in the fitness industry and will solely focus on its global marine portfolio. As a result, the Company classified the assets and liabilities of the Fitness business as held for sale on the Condensed Consolidated Balance Sheets for all prior periods. Additionally, this business, which was previously reported in the Company's Fitness segment, is being reported as discontinued operations in the Condensed Consolidated Statements of Comprehensive Income and Condensed Consolidated Statements of Cash Flows for all periods presented. The following table discloses the results of operations of the business reported as discontinued operations for the three months and six months ended June 29, 2019 and June 30, 2018 , respectively: Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, Net sales $ 223.1 $ 252.2 $ 448.3 $ 496.6 Cost of sales 167.5 183.7 334.6 361.2 Selling, general and administrative expense (C) 52.8 47.5 109.1 94.7 Earnings (loss) from discontinued operations before income taxes (B) (C) $ (3.2 ) $ 13.5 $ (146.0 ) $ 24.5 Income tax provision (benefit) (10.1 ) 2.6 (40.4 ) 4.5 Earnings (loss) from discontinued operations, net of tax (B) (C) 6.9 10.9 (105.6 ) 20.0 Loss on disposal of discontinued operations, net of tax (A) (41.5 ) — (41.5 ) — Net Earnings (loss) from discontinued operations, net of tax $ (34.6 ) $ 10.9 $ (147.1 ) $ 20.0 (A) The Loss on disposal of discontinued operations for the three and six months ended June 29, 2019 includes a pre-tax loss of $47.7 million and a net tax benefit of $6.2 million . (B) In the first quarter of 2019, the Company re-evaluated the fair value of the Fitness reporting unit and determined the fair value of the business was less than its carrying value. As a result, Earnings (loss) from discontinued operations, net of tax, includes a $137.2 million ( $103.0 million after tax) goodwill impairment charge for the six months ended June 29, 2019. (C) The Company recorded $3.1 million and $2.5 million , for the three months ended June 29, 2019 and June 30, 2018, respectively, and recorded $10.9 million and $4.2 million for the six months ended June 29, 2019 and June 30, 2018, respectively, of costs incurred in connection with the Fitness business separation. There were no assets and liabilities held for sale related to discontinued operations as of June 29, 2019 . The following table reflects the summary of assets and liabilities held for sale as of December 31, 2018 and June 30, 2018 primarily related to the Fitness business included in discontinued operations: (in millions) December 31, June 30, Accounts and notes receivable, net $ 198.9 $ 165.7 Net inventory 169.7 174.0 Prepaid expenses and other 8.6 14.7 Current assets held for sale 377.2 354.4 Net property (A) 110.9 121.1 Goodwill 389.8 390.5 Other intangibles, net 60.6 85.6 Other long-term assets 49.0 42.4 Long-term assets held for sale 610.3 639.6 Assets held for sale $ 987.5 $ 994.0 Accounts payable $ 69.7 $ 51.8 Accrued expenses 185.3 180.3 Current liabilities held for sale 255.0 232.1 Other liabilities 99.6 96.5 Long-term liabilities held for sale 99.6 96.5 Liabilities held for sale $ 354.6 $ 328.6 (A) As of December 31, 2018 and June 30, 2018 , the Company had $8.9 million and $6.3 million , respectively, of net long-term assets classified as held for sale that were not related to the business reported as discontinued operations. |
Acquisitions (Notes)
Acquisitions (Notes) | 6 Months Ended |
Jun. 29, 2019 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisitions 2019 Acquisitions On May 21, 2019, the Company acquired 100 percent of Freedom Boat Club, a leading boat club operator based in Florida. The acquisition expands the Company's presence and scale within the emerging and fast-growing boat club market, providing its over 20,000 members access to a fleet of nearly 2,500 boats. Freedom Boat Club is included as part of the Company's Boat segment. The net cash consideration the Company paid to acquire Freedom Boat Club was $64.4 million . The preliminary opening balance sheet included $29.2 million of identifiable intangible assets, including customer relationships, franchise agreements and trade names for $11.1 million , $4.9 million and $13.2 million , respectively, along with $26.0 million of goodwill, most of which is deductible for tax purposes. The amount assigned to Freedom Boat Club's customer relationships and franchise agreements will be amortized over their estimated useful lives of approximately 10 years and 15 years, respectively. These amounts recorded are preliminary and are subject to change within the measurement period as the Company finalizes its fair value estimates. 2018 Acquisitions On August 9, 2018, the Company completed its acquisition of the Global Marine & Mobile business of Power Products Holdings, LLC (Power Products) for $909.6 million in cash, on a cash-free, debt-free basis. Brunswick used proceeds from a combination of 364-day, three-year and five-year term loans (Term Loans) totaling $800.0 million as described in the 2018 Form 10-K along with cash on hand to fund this acquisition. Power Products is a leading provider of electrical products to marine and other recreational and specialty vehicle markets. The acquisition advances Brunswick’s leadership by adding integrated electrical systems solutions to the marine market and an array of other mobile, specialty vehicle and industrial applications. Power Products is managed as part of the Marine Engine segment. The purchase price allocation for certain deferred tax balances and contingency reserves is preliminary and subject to change within the allowed measurement period as the Company finalizes its fair value estimates. The following table is a summary of the assets acquired, liabilities assumed and net cash consideration paid for the Power Products acquisition during 2018: (in millions) Fair Value Useful Life Accounts and notes receivable $ 38.3 Inventory 64.3 Goodwill (A) (B) 351.6 Trade names 111.0 Indefinite Customer relationships 430.0 15 years Property and equipment 10.6 Other assets 5.6 Total assets acquired 1,011.4 Accounts payable (B) 27.3 Accrued expenses (B) 19.8 Deferred tax liabilities 54.7 Total liabilities assumed 101.8 Net cash consideration paid $ 909.6 (A) The goodwill recorded for the acquisition of Power Products is partially deductible for tax purposes. (B) Includes $4.4 million and $3.0 million of purchase accounting adjustments in the first and second quarters of 2019, respectively, primarily related to contingency reserves. Pro Forma Financial Information (Unaudited) The pro forma information has been prepared as if the Power Products acquisition and the related debt financing had occurred on January 1, 2018. These pro forma results are based on estimates and assumptions which the Company believes to be reasonable. They are not the results that would have been realized had the acquisition actually occurred on January 1, 2018 and are not necessarily indicative of Brunswick's consolidated net earnings in future periods. The pro forma results include adjustments primarily related to interest expense on the Term Loans and amortization of intangible assets. Three Months Ended Six Months Ended (in millions) June 29, 2019 June 30, 2018 June 29, 2019 June 30, 2018 Pro forma Net sales $ 1,163.5 $ 1,212.1 $ 2,214.2 $ 2,240.4 Pro forma Operating earnings 162.7 100.5 276.8 183.7 Pro forma Net earnings from continuing operations 112.0 64.9 189.7 118.0 The pro forma results reflect an effective income tax rate of 22.0 percent and 20.3 percent for the three months ended June 29, 2019 and June 30, 2018 , respectively, and 21.1 percent and 21.7 percent for the six months ended June 29, 2019 and June 30, 2018 , respectively. |
Restructuring, Exit and Integra
Restructuring, Exit and Integration Activities | 6 Months Ended |
Jun. 29, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring, Exit and Integration Activities [Text Block] | Restructuring, Exit and Impairment Activities During 2019, the Company recorded restructuring charges within the Boat segment related to consolidating its commercial and government products operations in order to rationalize its product line to better align with customer demand. In addition, the Company announced headcount reductions aimed at streamlining the cost structure of its enterprise-wide general and administrative functions. The Company estimates approximately $6 million of charges, primarily within Corporate, will be incurred related to this action during 2019, with approximately half recognized in the second quarter. In the second quarter of 2018, the Company ended the sale process of its Sea Ray business and, as a result of a change in the plan of sale, recorded an impairment of long-lived assets. Additionally, the Company recorded charges in connection with the wind down of Sport Yacht and Yacht production, mainly relating to inventory write-downs, increased warranty liabilities and employee severance and retention bonuses. The Company also incurred transaction costs during the sale process. These costs were partially offset by the reversal of the valuation allowance for estimated transaction costs which was recorded when the assets and liabilities of Sea Ray were initially reclassified as held for sale. The Company recorded restructuring, exit and impairment charges in the Condensed Consolidated Statements of Comprehensive Income as a result of the activities described above. The following table is a summary of the expense associated with the restructuring, exit and impairment activities discussed above for the three months ended June 29, 2019 and June 30, 2018 : June 29, 2019 June 30, 2018 (in millions) Boat Corporate Marine Engine Total Boat Corporate Total Restructuring and exit activities: Employee termination and other benefits $ 0.2 $ 1.1 $ 0.6 $ 1.9 $ 4.7 $ 0.7 $ 5.4 Current asset write-downs 0.2 — — 0.2 15.5 — 15.5 Professional fees 0.3 1.1 — 1.4 2.9 — 2.9 Other 0.3 — — 0.3 6.0 — 6.0 Asset disposition and impairment actions: Definite-lived and other asset impairments 1.6 — — 1.6 9.4 — 9.4 Valuation allowance reversal — — — — (5.0 ) — (5.0 ) Total restructuring, exit and impairment charges $ 2.6 $ 2.2 $ 0.6 $ 5.4 $ 33.5 $ 0.7 $ 34.2 Total cash payments for restructuring, exit and impairment charges (A) $ 2.7 $ 0.1 $ — $ 2.8 $ 1.0 $ — $ 1.0 Accrued charges at end of the period (B) $ 8.9 $ 4.1 $ 0.6 $ 13.6 $ 16.0 $ 0.9 $ 16.9 (A) Cash payments for the three months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. The following table is a summary of the expense associated with the restructuring, exit and impairment activities discussed above for the six months ended June 29, 2019 and June 30, 2018 : June 29, 2019 June 30, 2018 (in millions) Boat Corporate Marine Engine Total Boat Corporate Total Restructuring and exit activities: Employee termination and other benefits $ 0.6 $ 2.3 $ 0.6 $ 3.5 $ 6.7 $ 0.7 $ 7.4 Current asset write-downs 0.4 — — 0.4 15.5 — 15.5 Professional fees 0.3 1.1 — 1.4 3.5 — 3.5 Other 0.4 — — 0.4 6.0 — 6.0 Asset disposition and impairment actions: Definite-lived and other asset impairments 2.9 — — 2.9 9.4 — 9.4 Valuation allowance reversal — — — — (5.0 ) — (5.0 ) Total restructuring, exit and impairment charges $ 4.6 $ 3.4 $ 0.6 $ 8.6 $ 36.1 $ 0.7 $ 36.8 Total cash payments for restructuring, exit and impairment charges (A) $ 7.7 $ 0.3 $ — $ 8.0 $ 1.2 $ 0.3 $ 1.5 Accrued charges at end of the period (B) $ 8.9 $ 4.1 $ 0.6 $ 13.6 $ 16.0 $ 0.9 $ 16.9 (A) Cash payments for the six months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. |
Financial Instruments
Financial Instruments | 6 Months Ended |
Jun. 29, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | Financial Instruments The Company operates globally with manufacturing and sales facilities around the world. Due to the Company’s global operations, the Company engages in activities involving both financial and market risks. The Company utilizes normal operating and financing activities, along with derivative financial instruments, to minimize these risks. See Note 15 in the Notes to Consolidated Financial Statements in the 2018 Form 10-K for further details regarding the Company's financial instruments and hedging policies. Foreign Currency Derivatives. Forward exchange contracts outstanding at June 29, 2019 , December 31, 2018 and June 30, 2018 had notional contract values of $395.6 million , $308.9 million and $251.1 million , respectively. Option contracts outstanding at June 29, 2019 , December 31, 2018 and June 30, 2018 had notional contract values of $17.8 million , $27.2 million and $18.0 million , respectively. The forward contracts outstanding at June 29, 2019 mature through 2020 and mainly relate to the Euro, Canadian dollar, Australian dollar and Japanese yen. As of June 29, 2019 , the Company estimates that during the next 12 months, it will reclassify approximately $4.3 million of net gains (based on current rates) from Accumulated other comprehensive loss to Cost of sales. Interest Rate Derivatives. The Company enters into fixed-to-floating interest rate swaps to convert a portion of the Company's long-term debt from fixed to floating rate debt. As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the outstanding swaps had notional contract values of $200.0 million , of which $150.0 million corresponds to the Company's 4.625 percent Senior notes due 2021 and $50.0 million corresponds to the Company's 7.375 percent Debentures due 2023. These instruments have been designated as fair value hedges, with the fair value recorded in long-term debt. As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the Company had $2.2 million , $2.5 million and $2.9 million , respectively, of net deferred losses associated with all settled forward-starting interest rate swaps, which were designated as cash flow hedges with gains and losses included in Accumulated other comprehensive loss. As of June 29, 2019 , the Company estimates that during the next 12 months, it will reclassify approximately $0.6 million of net losses resulting from settled forward-starting interest rate swaps from Accumulated other comprehensive loss to Interest expense. As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the fair values of the Company’s derivative instruments were: (in millions) Derivative Assets Derivative Liabilities Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Jun 29, 2019 Dec 31, 2018 Jun 30, 2018 Jun 29, 2019 Dec 31, 2018 Jun 30, 2018 Derivatives Designated as Cash Flow Hedges Foreign exchange contracts Prepaid expenses and other $ 4.6 $ 6.8 $ 4.8 Accrued expenses $ 1.8 $ 0.3 $ 0.7 Derivatives Designated as Fair Value Hedges Interest rate contracts Prepaid expenses and other $ 0.0 $ 0.0 $ 2.1 Accrued expenses $ 0.0 $ 0.1 $ 2.1 Interest rate contracts Other long-term assets 2.2 — — Other long-term liabilities — 1.8 3.1 Total $ 2.2 $ 0.0 $ 2.1 $ 0.0 $ 1.9 $ 5.2 Other Hedging Activity Foreign exchange contracts Prepaid expenses and other $ 0.5 $ 0.8 $ 0.7 Accrued expenses $ 0.4 $ 0.0 $ 0.1 The effect of derivative instruments on the Condensed Consolidated Statements of Comprehensive Income for the three months and six months ended June 29, 2019 and June 30, 2018 was: (in millions) Derivatives Designated as Cash Flow Hedging Instruments Amount of Gain (Loss) on Derivatives Recognized in Accumulated Other Comprehensive Loss Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings Three Months Ended Six Months Ended Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Interest rate contracts $ — $ — $ — $ — Interest expense $ (0.2 ) $ (0.2 ) $ (0.3 ) $ (0.5 ) Foreign exchange contracts (0.3 ) 8.5 1.0 5.3 Cost of sales 2.9 (1.2 ) 5.4 (3.4 ) Total $ (0.3 ) $ 8.5 $ 1.0 $ 5.3 $ 2.7 $ (1.4 ) $ 5.1 $ (3.9 ) Derivatives Designated as Fair Value Hedging Instruments Location of Gain (Loss) on Derivatives Recognized in Earnings Amount of Gain (Loss) on Derivatives Recognized in Earnings Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Interest rate contracts Interest expense $ (0.1 ) $ (0.2 ) $ (0.2 ) $ (0.0 ) Other Hedging Activity Location of Gain (Loss) on Derivatives Recognized in Earnings Amount of Gain (Loss) on Derivatives Recognized in Earnings Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Foreign exchange contracts Cost of sales $ (0.8 ) $ 7.5 $ 0.7 $ 5.7 Foreign exchange contracts Other expense, net 0.6 1.8 0.6 0.7 Total $ (0.2 ) $ 9.3 $ 1.3 $ 6.4 Fair Value of Other Financial Instruments. The carrying values of the Company’s short-term financial instruments, including cash and cash equivalents and accounts and notes receivable approximate their fair values because of the short maturity of these instruments. At June 29, 2019 , December 31, 2018 and June 30, 2018 , the fair value of the Company’s long-term debt was approximately $1,358.1 million , $1,292.9 million and $491.4 million , respectively, and was determined using Level 1 and Level 2 inputs described in Note 8 to the Notes to Consolidated Financial Statements in the 2018 Form 10-K. The carrying value of long-term debt, including current maturities, was $1,301.9 million , $1,226.4 million and $438.8 million as of June 29, 2019 , December 31, 2018 and June 30, 2018 , respectively. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 29, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 29, 2019 : (in millions) Level 1 Level 2 Total Assets: Cash equivalents $ 150.2 $ — $ 150.2 Short-term investments in marketable securities 0.8 — 0.8 Restricted cash 11.6 — 11.6 Derivatives — 7.3 7.3 Total assets $ 162.6 $ 7.3 $ 169.9 Liabilities: Derivatives $ — $ 2.2 $ 2.2 Deferred compensation 2.7 25.7 28.4 Total liabilities at fair value $ 2.7 $ 27.9 $ 30.6 Liabilities measured at net asset value 11.5 Total liabilities $ 42.1 The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 : (in millions) Level 1 Level 2 Total Assets: Short-term investments in marketable securities $ 0.8 $ — $ 0.8 Restricted cash 9.0 — 9.0 Derivatives — 7.6 7.6 Total assets $ 9.8 $ 7.6 $ 17.4 Liabilities: Derivatives $ — $ 2.2 $ 2.2 Deferred compensation 3.5 20.7 24.2 Total liabilities at fair value $ 3.5 $ 22.9 $ 26.4 Liabilities measured at net asset value 10.2 Total liabilities $ 36.6 The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2018 : (in millions) Level 1 Level 2 Total Assets: Short-term investments in marketable securities $ 0.8 $ — $ 0.8 Restricted cash 9.4 — 9.4 Derivatives — 7.6 7.6 Total assets $ 10.2 $ 7.6 $ 17.8 Liabilities: Derivatives $ — $ 6.0 $ 6.0 Deferred compensation 3.9 26.8 30.7 Total liabilities at fair value $ 3.9 $ 32.8 $ 36.7 Liabilities measured at net asset value 10.3 Total liabilities $ 47.0 In addition to the items shown in the tables above, refer to Note 18 in the Notes to Consolidated Financial Statements in the 2018 Form 10-K for further discussion regarding the fair value measurements associated with the Company’s postretirement benefit plans. |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jun. 29, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Share-Based Compensation | Share-Based Compensation Under the Brunswick Corporation 2014 Stock Incentive Plan, the Company may grant stock appreciation rights (SARs), non-vested stock awards and performance awards to executives, other employees and non-employee directors from treasury shares and from authorized, but unissued, shares of common stock initially available for grant, in addition to: (i) the forfeiture of past awards; (ii) shares not issued upon the net settlement of SARs; or (iii) shares delivered to or withheld by the Company to pay the withholding taxes related to awards. As of June 29, 2019 , 5.0 million shares remained available for grant. Share grant amounts, fair values, and fair value assumptions reflect all outstanding awards for both continuing and discontinued operations. Non-Vested Stock Awards The Company grants both stock-settled and cash-settled non-vested stock units and awards to key employees as determined by management and the Human Resources and Compensation Committee of the Board of Directors. The Company granted nominal stock awards during the three months ended June 29, 2019 and June 30, 2018 . The Company granted 0.4 million and 0.2 million of stock awards during the six months ended June 29, 2019 and June 30, 2018 , respectively. The Company recognizes the cost of non-vested stock units and awards on a straight-line basis over the requisite vesting period. Additionally, cash-settled non-vested stock units and awards are recorded as a liability on the balance sheet and adjusted to fair value each reporting period through stock compensation expense. During the three months and six months ended June 29, 2019 , the Company charged $1.6 million and $3.7 million , respectively, and charged $3.0 million and $5.1 million during the three months and six months ended June 30, 2018 , respectively, to compensation expense for non-vested stock awards. As of June 29, 2019 , there was $17.1 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements. The Company expects this cost to be recognized over a weighted average period of 1.8 years . Performance Awards In both February of 2019 and 2018 , the Company granted 0.1 million performance shares to certain senior executives. Performance share awards are based on three performance measures: a cash flow return on investment (CFROI) measure, an operating margin (OM) measure and a total shareholder return (TSR) modifier. Performance shares are earned based on a three-year performance period commencing at the beginning of the calendar year of each grant. The performance shares earned are then subject to a TSR modifier based on the Company's stock returns measured against stock returns of a predefined comparator group over a three-year performance period. Additionally, in February 2019 and 2018 , the Company granted 24,605 and 24,490 performance shares, respectively, to certain officers and certain senior managers based on the respective measures and performance periods described above but excluding the TSR modifier. During the three and six months ended June 29, 2019 , the Company charged $2.6 million and $3.3 million , respectively, and charged $1.7 million and $1.1 million , for the three months and six months ended June 30, 2018 , respectively, to compensation expense based on projections of probable attainment of the performance measures and the projected TSR modifier used to determine the performance awards. The fair values of the senior executives' performance share award grants with a TSR modifier for grants in 2019 and 2018 were $49.64 and $61.59 , respectively, which were estimated using the Monte Carlo valuation model, and incorporated the following assumptions: 2019 2018 Risk-free interest rate 2.9 % 2.4 % Dividend yield 1.7 % 1.3 % Volatility factor 41.0 % 38.9 % Expected life of award 2.9 years 2.9 years The fair value of certain officers' and certain senior managers' performance awards granted based solely on the CFROI and OM performance factors was $47.61 and $57.19 in 2019 and 2018 , respectively, which was equal to the stock price on the date of grant in 2019 and 2018 , respectively, less the present value of expected dividend payments over the vesting period. As of June 29, 2019 , the Company had $6.2 million of total unrecognized compensation cost related to performance awards. The Company expects this cost to be recognized over a weighted average period of 1.2 years. Director Awards The Company issues stock awards to non-employee directors in accordance with the terms and conditions determined by the Nominating and Corporate Governance Committee of the Board of Directors. A portion of each director’s annual fee is paid in Brunswick common stock, the receipt of which may be deferred until a director retires from the Board of Directors. Each director may elect to have the remaining portion paid in cash, in Brunswick common stock distributed at the time of the award, or in deferred Brunswick common stock with a 20 percent premium. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 29, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal On May 31, 2019, the United States Court of Appeals for the Federal Circuit issued its opinion in the matter of Cobalt Boats, LLC vs. Brunswick. That opinion reversed, in its entirety, an October 31, 2017 judgment on a jury verdict against Brunswick of $5.4 million plus attorneys’ fees of $2.5 million and applicable interest which was entered by the US District for the Eastern District of Virginia. The Court of Appeals found Brunswick did not infringe the Cobalt patent and that Brunswick was entitled to judgment of non-infringement as a matter of law. The parties have agreed there would be no further appeals. There were no other material changes during the three and six months ended June 29, 2019 to the financial commitments or the legal and environmental contingencies that were discussed in Note 14 in the Notes to Consolidated Financial Statements in the 2018 Form 10-K. Product Warranties The following activity related to product warranty liabilities was recorded in Accrued expenses during the six months ended June 29, 2019 and June 30, 2018 : (in millions) June 29, June 30, Balance at beginning of period $ 116.8 $ 101.7 Payments made (35.0 ) (27.6 ) Provisions/additions for contracts issued/sold 32.1 32.0 Aggregate changes for preexisting warranties 1.0 6.0 Foreign Currency Translation 0.2 (0.7 ) Warranty liability retained from discontinued operations (A) 7.1 — Other 0.1 0.3 Balance at end of period $ 122.3 $ 111.7 (A) The Company retained a $7.1 million warranty liability from the sale of its Fitness business. The warranty liability pertains to product field campaigns for certain Cybex products designed prior to the Cybex acquisition. Extended Warranties The following activity related to deferred revenue for extended product warranty contracts was recorded in Accrued expenses and Other long-term liabilities during the six months ended June 29, 2019 and June 30, 2018 : (in millions) June 29, June 30, Balance at beginning of period $ 66.4 $ 56.9 Extended warranty contracts sold 13.9 13.0 Revenue recognized on existing extended warranty contracts (7.3 ) (5.8 ) Foreign currency translation 0.2 (0.2 ) Other (0.1 ) (0.1 ) Balance at end of period $ 73.1 $ 63.8 |
Goodwill and Intangibles
Goodwill and Intangibles | 6 Months Ended |
Jun. 29, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles [Text Block] | Goodwill and Other Intangibles Changes in the Company's goodwill during the six months ended June 29, 2019 , by segment, are summarized below: (in millions) December 31, Acquisitions Impairments Adjustments June 29, Marine Engine $ 375.1 $ — $ — $ 7.4 $ 382.5 Boat 2.2 26.0 — — 28.2 Total $ 377.3 $ 26.0 $ — $ 7.4 $ 410.7 Changes in the Company's goodwill during the six months ended June 30, 2018 , by segment, are summarized below: (in millions) December 31, Acquisitions Impairments Adjustments June 30, Marine Engine $ 31.7 $ — $ — $ (0.4 ) $ 31.3 Boat 2.2 — — — 2.2 Total $ 33.9 $ — $ — $ (0.4 ) $ 33.5 Adjustments for the six months ended June 29, 2019 mainly relate to refining purchase accounting related to the Power Products acquisition. See Note 5 – Acquisitions for further details on the Company's acquisitions. Adjustments in both periods include the effect of foreign currency translation on goodwill denominated in currencies other than the U.S. dollar. There was no accumulated impairment loss on Goodwill as of June 29, 2019 , December 31, 2018 and June 30, 2018 . The Company's intangible assets, included within Other intangibles, net on the Condensed Consolidated Balance Sheets as of June 29, 2019 , December 31, 2018 and June 30, 2018 , are summarized by intangible asset type below: June 29, 2019 December 31, 2018 June 30, 2018 (in millions) Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Intangible assets: Customer relationships $ 686.9 $ (258.8 ) $ 675.7 $ (243.3 ) $ 246.0 $ (230.3 ) Trade names 165.8 — 152.5 — 41.7 — Other 18.3 (12.8 ) 13.5 (12.6 ) 13.5 (12.4 ) Total $ 871.0 $ (271.6 ) $ 841.7 $ (255.9 ) $ 301.2 $ (242.7 ) The Company's intangible assets, included within Other intangibles, net on the Condensed Consolidated Balance Sheets as of June 29, 2019 , December 31, 2018 and June 30, 2018 , are summarized by segment below: June 29, 2019 December 31, 2018 June 30, 2018 (in millions) Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Intangible assets: Marine Engine $ 618.5 $ (67.3 ) $ 618.3 $ (52.0 ) $ 77.8 $ (39.3 ) Boat 252.5 (204.3 ) 223.4 (203.9 ) 223.4 (203.4 ) Total $ 871.0 $ (271.6 ) $ 841.7 $ (255.9 ) $ 301.2 $ (242.7 ) Other intangible assets primarily consist of patents and franchise agreements. Gross amounts and related accumulated amortization amounts include adjustments related to the impact of foreign currency translation. Aggregate amortization expense for intangibles was $7.8 million and $15.7 million for the three months and six months ended June 29, 2019 , respectively. Aggregate amortization expense for intangibles was $0.7 million and $1.4 million for the three months and six months ended June 30, 2018 , respectively. |
Segment Data
Segment Data | 6 Months Ended |
Jun. 29, 2019 | |
Segment Reporting [Abstract] | |
Segment Data | Segment Data Reportable Segments The following table sets forth net sales and operating earnings (loss) of each of the Company's reportable segments for the three months and six months ended June 29, 2019 and June 30, 2018 : Net Sales Operating Earnings (Loss) Three Months Ended Six Months Ended Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, June 29, June 30, June 29, June 30, Marine Engine $ 871.5 $ 834.3 $ 1,637.5 $ 1,521.4 $ 164.6 $ 149.1 $ 277.5 $ 244.8 Boat 366.6 394.9 739.9 771.4 20.8 (32.2 ) 42.8 (17.8 ) Marine eliminations (74.6 ) (80.5 ) (163.2 ) (177.1 ) — — — — Total Marine 1,163.5 1,148.7 2,214.2 2,115.7 185.4 116.9 320.3 227.0 Corporate/Other — — — — (22.7 ) (23.8 ) (43.5 ) (39.4 ) Total $ 1,163.5 $ 1,148.7 $ 2,214.2 $ 2,115.7 $ 162.7 $ 93.1 $ 276.8 $ 187.6 The following table sets forth total assets of each of the Company's reportable segments: Total Assets (in millions) June 29, December 31, June 30, Marine Engine $ 2,611.0 $ 2,380.9 $ 1,345.7 Boat (A) 476.8 423.2 408.1 Total Marine 3,087.8 2,804.1 1,753.8 Corporate/Other 953.0 508.8 695.2 Total (B) $ 4,040.8 $ 3,312.9 $ 2,449.0 (A) As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the Company had $3.0 million , $8.9 million and $6.3 million , respectively, of assets classified as held for sale which were not related to discontinued operations. These assets were recorded within Net Property as of June 29, 2019 and recorded within Long term assets held for sale as of December 31, 2018 and June 30, 2018. (B) As of December 31, 2018 and June 30, 2018 , the Company had $978.6 million and $987.7 million , respectively, of assets classified as held for sale in the Condensed Consolidated Balance Sheets relating to discontinued operations. See Note 3 – Discontinued Operations for further details. |
Comprehensive Income
Comprehensive Income | 6 Months Ended |
Jun. 29, 2019 | |
Comprehensive Income [Abstract] | |
Comprehensive Income | Comprehensive Income Accumulated other comprehensive loss in the Condensed Consolidated Balance Sheets includes foreign currency cumulative translation adjustments; prior service costs and credits and net actuarial gains and losses for defined benefit plans; and unrealized derivative gains and losses, all net of tax. Changes in the components of Accumulated other comprehensive loss, all net of tax, for the three months ended June 29, 2019 and June 30, 2018 were as follows: Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, Net earnings $ 77.5 $ 79.0 $ 41.2 $ 151.9 Other comprehensive income (loss): Foreign currency cumulative translation adjustment 15.1 (19.6 ) 15.2 (9.7 ) Net change in unamortized prior service credits (0.2 ) (0.1 ) (0.3 ) (0.2 ) Net change in unamortized actuarial losses 2.8 2.3 4.7 4.2 Net change in unrealized derivative losses (2.1 ) 7.0 (3.0 ) 6.3 Total other comprehensive income (loss) 15.6 (10.4 ) 16.6 0.6 Comprehensive income $ 93.1 $ 68.6 $ 57.8 $ 152.5 The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the three months ended June 29, 2019 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (48.8 ) $ (6.2 ) $ (304.3 ) $ (2.8 ) $ (362.1 ) Other comprehensive income (loss) before reclassifications (A) 1.3 — 0.9 (0.1 ) 2.1 Amounts reclassified from Accumulated other comprehensive loss (B) 13.8 (0.2 ) 1.9 (2.0 ) 13.5 Net other comprehensive income (loss) 15.1 (0.2 ) 2.8 (2.1 ) 15.6 Ending balance $ (33.7 ) $ (6.4 ) $ (301.5 ) $ (4.9 ) $ (346.5 ) (A) The tax effects for the three months ended June 29, 2019 were $(1.0) million for foreign currency translation, $0.9 million for net actuarial losses arising during the period and $0.3 million for derivatives. (B) See the table below for the tax effects for the three months ended June 29, 2019 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the six months ended June 29, 2019 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (48.9 ) $ (6.1 ) $ (306.2 ) $ (1.9 ) $ (363.1 ) Other comprehensive income (loss) before reclassifications (A) 1.4 0.0 0.9 0.6 2.9 Amounts reclassified from Accumulated other comprehensive loss (B) 13.8 (0.3 ) 3.8 (3.6 ) 13.7 Net other comprehensive income (loss) 15.2 (0.3 ) 4.7 (3.0 ) 16.6 Ending balance $ (33.7 ) $ (6.4 ) $ (301.5 ) $ (4.9 ) $ (346.5 ) (A) The tax effects for the six months ended June 29, 2019 were $(0.8) million for foreign currency translation, $0.9 million for net actuarial losses arising during the period and $(0.3) million for derivatives. (B) See the table below for the tax effects for the six months ended June 29, 2019 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the three months ended June 30, 2018 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (21.7 ) $ (5.7 ) $ (308.9 ) $ (12.5 ) $ (348.8 ) Other comprehensive income (loss) before reclassifications (A) (19.6 ) — 0.5 5.5 (13.6 ) Amounts reclassified from Accumulated other comprehensive loss (B) — (0.1 ) 1.8 1.5 3.2 Net other comprehensive income (loss) (19.6 ) (0.1 ) 2.3 7.0 (10.4 ) Ending balance $ (41.3 ) $ (5.8 ) $ (306.6 ) $ (5.5 ) $ (359.2 ) (A) The tax effects for the three months ended June 30, 2018 were $2.1 million for foreign currency translation, $(0.2) million for net actuarial losses arising during the period and $(2.3) million for derivatives. (B) See the table below for the tax effects for the three months ended June 30, 2018 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the six months ended June 30, 2018 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (31.6 ) $ (5.6 ) $ (310.8 ) $ (11.8 ) $ (359.8 ) Other comprehensive income (loss) before reclassifications (A) (9.7 ) — 0.4 2.7 (6.6 ) Amounts reclassified from Accumulated other comprehensive loss (B) — (0.2 ) 3.8 3.6 7.2 Net other comprehensive income (loss) (9.7 ) (0.2 ) 4.2 6.3 0.6 Ending balance $ (41.3 ) $ (5.8 ) $ (306.6 ) $ (5.5 ) $ (359.2 ) (A) The tax effects for the six months ended June 30, 2018 were $2.3 million for foreign currency translation, $(0.1) million for net actuarial losses arising during the period and $(1.5) million for derivatives. (B) See the table below for the tax effects for the six months ended June 30, 2018 . The following table presents reclassification adjustments out of Accumulated other comprehensive loss during the three months and six months ended June 29, 2019 and June 30, 2018 : Three Months Ended Six Months Ended Details about Accumulated other comprehensive income (loss) components (in millions) June 29, June 30, June 29, June 30, Affected line item in the statement where net income is presented Amount of loss reclassified into earnings on foreign currency: Foreign currency cumulative translation adjustment (13.9 ) — (13.9 ) — Net (loss) earnings from discontinued operations, net of tax (13.9 ) — (13.9 ) — Net (loss) earnings from discontinued operations, net of tax 0.1 — 0.1 — Net (loss) earnings from discontinued operations, net of tax $ (13.8 ) $ — $ (13.8 ) $ — Net (loss) earnings from discontinued operations, net of tax Amortization of defined benefit items: Prior service credits $ 0.2 $ 0.1 $ 0.4 $ 0.3 Other expense, net Net actuarial losses (2.6 ) (2.6 ) (5.1 ) (5.1 ) Other expense, net (2.4 ) (2.5 ) (4.7 ) (4.8 ) Earnings before income taxes 0.7 0.8 1.2 1.2 Income tax provision $ (1.7 ) $ (1.7 ) $ (3.5 ) $ (3.6 ) Net earnings from continuing operations Amount of gain (loss) reclassified into earnings on derivative contracts: Interest rate contracts $ (0.1 ) $ (0.2 ) $ (0.3 ) $ (0.5 ) Interest expense Foreign exchange contracts 2.9 (1.9 ) 5.4 (4.5 ) Cost of sales 2.8 (2.1 ) 5.1 (5.0 ) Earnings before income taxes (0.8 ) 0.6 (1.5 ) 1.4 Income tax provision $ 2.0 $ (1.5 ) $ 3.6 $ (3.6 ) Net earnings from continuing operations |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 29, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recognized an income tax provision for the three months and six months ended June 29, 2019 of $31.7 million and $50.5 million , respectively, which included a net charge of $1.8 million and $0.1 million , respectively. The net charge of $1.8 million related primarily to an increase in the valuation allowance and the net charge of $0.1 million was related to the aforementioned valuation allowance increase and other various special tax items. The Company recognized an income tax provision for the three months and six months ended June 30, 2018 of $16.4 million and $41.7 million , respectively, which included a net tax benefit of $1.1 million and a net tax charge of $5.6 million , respectively. The net tax benefit of $1.1 million was primarily related to a decrease in the valuation allowance and the net charge of $5.6 million was due primarily to updates related to 2017 tax reform. The effective tax rate, which is calculated as the income tax provision as a percentage of earnings before income taxes, for the three months and six months ended June 29, 2019 was 22.0 percent and 21.1 percent , respectively. The effective tax rate for the three months and six months ended June 30, 2018 was 19.4 percent and 24.0 percent , respectively. No deferred income taxes have been provided as of June 29, 2019 , December 31, 2018 or June 30, 2018 on the applicable undistributed earnings of the non-U.S. subsidiaries where the indefinite reinvestment assertion has been applied. If at some future date these earnings cease to be indefinitely reinvested and are repatriated, the Company may be subject to additional U.S. income taxes and foreign withholding taxes on such amounts. The Company continues to provide deferred taxes, as required, on the undistributed net earnings of foreign subsidiaries and unconsolidated affiliates that are not deemed to be indefinitely reinvested in operations outside the United States. As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the Company had $2.2 million , $2.3 million and $2.8 million of gross unrecognized tax benefits, including interest, respectively. The Company believes it is reasonably possible that the total amount of gross unrecognized tax benefits as of June 29, 2019 could decrease by approximately $0.3 million in the next 12 months due to settlements with taxing authorities or lapses in the applicable statute of limitations. Due to the various jurisdictions in which the Company files tax returns and the uncertainty regarding the timing of the settlement of tax audits, it is possible that there could be significant changes in the amount of unrecognized tax benefits in 2019 , but the amount cannot be estimated at this time. The Company is regularly audited by federal, state and foreign tax authorities. The Internal Revenue Service (IRS) has completed its field examination and has issued its Revenue Agents Report through the 2014 tax year and all open issues have been resolved. The Company is currently open to tax examinations by the IRS for the 2015 through 2017 tax years. Primarily as a result of filing amended returns, which were generated by the closing of federal income tax audits, the Company is still open to state and local tax audits in major tax jurisdictions dating back to the 2012 taxable year. The Company is no longer subject to income tax examinations by any major foreign tax jurisdiction for years prior to 2013. |
Postretirement Benefits
Postretirement Benefits | 6 Months Ended |
Jun. 29, 2019 | |
Defined Benefit Plan [Abstract] | |
Pension and Other Postretirement Benefits | Postretirement Benefits The Company has defined contribution plans, qualified and nonqualified defined benefit pension plans and other postretirement benefit plans covering substantially all of its employees. The Company's contributions to its defined contribution plans include matching and annual discretionary contributions which are based on various percentages of compensation, and in some instances are based on the amount of the employees' contributions to the plans. See Note 18 in the Notes to Consolidated Financial Statements in the 2018 Form 10-K for further details regarding these plans. Pension and other postretirement benefit costs included the following components for the three months and six months ended June 29, 2019 and June 30, 2018 : Pension Benefits Other Postretirement Benefits Three Months Ended Six Months Ended Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, June 29, June 30, June 29, June 30, Interest cost $ 2.6 $ 5.7 $ 5.2 $ 11.4 $ 0.3 $ 0.2 $ 0.6 $ 0.5 Expected return on plan assets (3.4 ) (6.4 ) (6.7 ) (12.7 ) — — — — Amortization of prior service credits — — — — (0.2 ) (0.1 ) (0.4 ) (0.3 ) Amortization of net actuarial losses 2.6 2.6 5.1 5.1 — — — — Net pension and other benefit costs $ 1.8 $ 1.9 $ 3.6 $ 3.8 $ 0.1 $ 0.1 $ 0.2 $ 0.2 Employer Contributions and Benefit Payments. There were no contributions to the Company's qualified pension plans during the six months ended June 29, 2019 . For the six months ended June 30, 2018 , the company contributed $35.0 million . Company contributions are subject to change based on funding regulations and Company discretion. During the six months ended June 29, 2019 and June 30, 2018 , the Company contributed $2.4 million and $2.1 million |
Debt
Debt | 6 Months Ended |
Jun. 29, 2019 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Debt In March 2019, the Company issued an aggregate principal amount of $230.0 million of its 6.375% Senior Notes (2049 Notes) due April 2049 in a public offering, which resulted in aggregate net proceeds to the Company of $222.0 million . Net proceeds from the offering of the 2049 Notes were used to prepay all of the $150.0 million , 3-year tranche loan due 2021 and for general corporate purposes. Interest on the 2049 Notes is due quarterly, commencing on April 15, 2019. The Company may, at its option, redeem the 2049 Notes on or after (but not prior to) April 15, 2024, either in whole or in part, at a redemption price equal to 100 percent of the principal amount plus any accrued and unpaid interest. Additionally, in the event of a change in control, the Company may be required to repurchase some or all of its 2049 Notes at a price equal to 101 percent of the principal amount plus any accrued and unpaid interest. The 2049 Notes are unsecured and do not contain subsidiary guarantees. Scheduled maturities, net: (in millions) Remainder of 2019 $ 21.7 2020 41.6 2021 190.9 2022 37.1 2023 305.3 Thereafter 683.8 Total debt $ 1,280.4 The Company maintains an Amended and Restated Credit Agreement (Credit Facility) providing for $400.0 million of borrowing capacity in effect through September 2023. The Credit Facility includes provisions to add up to $100.0 million of additional borrowing capacity and extend the facility for two additional one-year terms, subject to lender approval. During the first six months of 2019, borrowings under the Credit Facility totaled $655.0 million , all of which were repaid during the first six months of 2019. No borrowings were outstanding as of June 29, 2019 , and available borrowing capacity totaled $396.4 million , net of $3.6 million of letters of credit outstanding under the Credit Facility. The maximum amount utilized under the Credit Facility during the six months ended June 29, 2019 , including letters of credit outstanding, was $258.6 million . See Note 17 in the Notes to Consolidated Financial Statements in the 2018 Form 10-K for details regarding the Company's Credit Facility. As of June 29, 2019 , the Company was in compliance with the financial covenants associated with the Company's debt. |
Leases (Notes)
Leases (Notes) | 6 Months Ended |
Jun. 29, 2019 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Leases The Company has operating lease agreements for offices, branches, factories, distribution and service facilities and certain personal property. Leases with an initial lease term of 12 months or less are not recorded on the balance sheet. Finance leases are not material to the Company's condensed consolidated financial statements. Several leases include one or more options to renew, with renewal terms that can extend the lease term from one to five years or more. The exercise of lease renewal options is at our sole discretion. Certain of our lease agreements include rental payments that vary based on changes in volume activity, storage activity, or changes in the Consumer Price Index (CPI) or other indices. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. A summary of the Company's lease assets and lease liabilities as of June 29, 2019 is as follows: (in millions) Classification June 29, 2019 Lease Assets Operating lease assets Operating lease assets $ 80.4 Lease Liabilities Current operating lease liabilities Accrued expenses 18.2 Non-current operating lease liabilities Operating lease liabilities 67.1 Total lease liabilities $ 85.3 A summary of the Company's total lease cost for the three months and six months ended June 29, 2019 is as follows: (in millions) Classification Three Months Ended Six Months Ended Operating lease cost Selling, general, and administrative expense $ 1.5 $ 3.1 Cost of sales 7.7 12.6 Variable lease cost Selling, general, and administrative expense 0.1 0.3 Cost of sales 1.0 2.0 Total lease cost (A) $ 10.3 $ 18.0 (A) Includes total short-term lease cost which is immaterial. The Company's maturity analysis of its operating lease liabilities as of June 29, 2019 is as follows: (in millions) 2019 $ 11.7 2020 19.9 2021 17.1 2022 15.3 2023 12.9 Thereafter 21.0 Total lease payments 97.9 Less: Interest (12.6 ) Present value of lease liabilities $ 85.3 The total weighted-average discount rate and remaining lease term for the Company's operating leases was 4.96 percent and 5.6 years, respectively, as of June 29, 2019 . Total operating lease payments reflected in operating cash flows were $6.1 million and $11.5 million for the three months and six months ended June 29, 2019 , respectively. The following represents the Company's future minimum rental payments at December 31, 2018 for agreements classified as operating leases under ASC 840 with non-cancelable terms in excess of one year: (in millions) 2019 $ 31.4 2020 24.5 2021 21.0 2022 14.7 2023 11.4 Thereafter 20.1 Total (not reduced by minimum sublease income of $0.1) $ 123.1 |
Subsequent Events (Notes)
Subsequent Events (Notes) | 6 Months Ended |
Jun. 29, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Subsequent Events On July 3, 2019, the Company called $150.0 million of its 4.625% senior notes due 2021. The bonds will be retired on August 2, 2019 at par plus accrued interest, in accordance with the call provisions of the notes, and the associated interest rate swaps have been terminated. On July 16, 2019 the Company's Board of Directors approved a $150 million increase to the $450 million share repurchase authorization approved in May 2019, bringing the total increase in authorization approved in 2019 to $600 million . The total remaining authorization was $565 million as of July 16, 2019. On July 18, 2019, settlement payments totaling $595.8 million were made from the Brunswick Pension Plan for Hourly Bargaining Unit Employees and the Brunswick Pension Plan For Salaried Employees in connection with the previously announced terminations of these plans. The plan terminations included the aforementioned settlement payments for the group annuity contracts to cover future benefit payments as well as $77.1 million of lump-sum benefit payments to certain participants. The Company expects to incur approximately $280 million to $300 million of pre-tax and after-tax charges in connection with this action, including the recognition of actuarial losses as well as certain income tax consequences. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 29, 2019 | |
Accounting Policies [Abstract] | |
Basis of Accounting | Interim Financial Statements. The unaudited interim condensed consolidated financial statements of Brunswick Corporation (Brunswick or the Company) have been prepared pursuant to Securities and Exchange Commission (SEC) rules and regulations. Therefore, certain information and disclosures normally included in financial statements and related notes prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) have been condensed or omitted. |
Fiscal Period Policy | The Company maintains its financial records on the basis of a fiscal year ending on December 31, with the fiscal quarters spanning approximately thirteen weeks. The first quarter ends on the Saturday closest to the end of the first thirteen -week period. The second and third quarters are thirteen weeks in duration and the fourth quarter is the remainder of the year. The second quarter of fiscal year 2019 ended on June 29, 2019 and the second quarter of fiscal year 2018 ended on June 30, 2018 . |
Recent Accounting Pronouncements | Recently Adopted Accounting Standards Recognition of Leases : In February 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2016-02, Leases, (new leasing standard), which amended the Accounting Standards Codification (ASC) to require lessees to recognize assets and liabilities on the balance sheet for all leases with terms greater than twelve months. On January 1, 2019, the Company adopted the new leasing standard and all related amendments. The Company elected the optional transition method provided by the FASB in ASU 2018-11, Leases (Topic 842): Targeted Improvements , and as a result, has not restated its condensed consolidated financial statements for prior periods presented. The Company has elected the practical expedients upon transition to retain the lease classification and initial direct costs for any leases that existed prior to adoption. The Company has also not reassessed whether any contracts entered into prior to adoption are leases. The standard did not have a material impact on the Company's Condensed Consolidated Statements of Comprehensive Income. The cumulative effect of the changes made to the Company's Consolidated Balance Sheet as of January 1, 2019 for the adoption of the new leasing standard was as follows: (in millions) Balance as of December 31, 2018 Adjustments Due to ASC 842 Balance as of January 1, 2019 Assets Operating lease assets $ — $ 80.1 $ 80.1 Long-term assets held for sale 610.3 21.1 631.4 Current liabilities Accrued expenses 502.1 16.4 518.5 Current liabilities held for sale 255.0 2.9 257.9 Long-term liabilities Other 101.6 (3.4 ) 98.2 Operating lease liabilities — 67.1 67.1 Long-term liabilities held for sale 99.6 18.2 117.8 The Company determines if an arrangement is a lease at lease inception. Operating lease assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the Company's lease contracts do not include an implicit rate, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of future payments. The incremental borrowing rate is estimated to approximate the interest rate on a collateralized basis with similar terms and payments, and in economic environments where the leased asset is located. The operating lease asset also includes any initial direct costs and lease payments made prior to lease commencement, and excludes lease incentives incurred. The Company's lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. Operating lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company has certain lease agreements that contain both lease and non-lease components, which it has elected to account for as a single lease component for all asset classes. Measurement of Goodwill Impairment : In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment . The standard simplifies the subsequent measurement of goodwill by eliminating step two from the goodwill impairment test. Instead, goodwill impairment is measured as the difference between the fair value and the carrying value of the reporting unit. The standard also clarifies the treatment of the income tax effect of tax-deductible goodwill when measuring goodwill impairment loss. The Company early adopted this amendment on January 1, 2019. Tax Effects in Other Comprehensive Income : In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (AOCI) , which requires certain new disclosures and permits companies to reclassify the disproportionate income tax effects of the Tax Cuts and Jobs Act of 2017 on items within AOCI to retained earnings. The Company currently records its stranded tax effects in AOCI using the portfolio approach. Upon adoption, the Company elected not to reclassify stranded tax effects in AOCI to retained earnings and there was no impact on its consolidated financial statements. Hedge Accounting : In August 2017, the FASB issued ASU 2017-12, Targeted Improvements to Accounting for Hedging Activities, to simplify the application of hedge accounting and to better align an entity's risk management activities with the financial reporting of hedging relationships. The Company adopted this ASC amendment and it did not have a material impact on its consolidated financial statements. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block] | The cumulative effect of the changes made to the Company's Consolidated Balance Sheet as of January 1, 2019 for the adoption of the new leasing standard was as follows: (in millions) Balance as of December 31, 2018 Adjustments Due to ASC 842 Balance as of January 1, 2019 Assets Operating lease assets $ — $ 80.1 $ 80.1 Long-term assets held for sale 610.3 21.1 631.4 Current liabilities Accrued expenses 502.1 16.4 518.5 Current liabilities held for sale 255.0 2.9 257.9 Long-term liabilities Other 101.6 (3.4 ) 98.2 Operating lease liabilities — 67.1 67.1 Long-term liabilities held for sale 99.6 18.2 117.8 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following table presents the Company's revenue into categories that depict how the nature, amount, timing, and uncertainty of revenue and cash flows are affected by economic factors: Three Months Ended June 29, 2019 Marine Engine Boat Total Geographic Markets United States $ 610.7 $ 271.2 $ 881.9 Europe 125.7 34.6 160.3 Asia-Pacific 57.4 6.4 63.8 Canada 39.5 47.4 86.9 Rest-of-World 38.2 7.0 45.2 Marine eliminations (74.6 ) — (74.6 ) Total $ 796.9 $ 366.6 $ 1,163.5 Major Product Lines Propulsion $ 404.9 $ — $ 404.9 Parts & Accessories 466.6 — 466.6 Aluminum Freshwater Boats — 160.8 160.8 Recreational Fiberglass Boats — 119.5 119.5 Saltwater Fishing Boats — 82.6 82.6 Business Acceleration — 3.7 3.7 Marine eliminations (74.6 ) — (74.6 ) Total $ 796.9 $ 366.6 $ 1,163.5 Six Months Ended June 29, 2019 Marine Engine Boat Total Geographic Markets United States $ 1,134.9 $ 545.1 $ 1,680.0 Europe 244.9 71.3 316.2 Asia-Pacific 113.5 11.8 125.3 Canada 70.8 97.4 168.2 Rest-of-World 73.4 14.3 87.7 Marine eliminations (163.2 ) — (163.2 ) Total $ 1,474.3 $ 739.9 $ 2,214.2 Major Product Lines Propulsion $ 804.9 $ — $ 804.9 Parts & Accessories 832.6 — 832.6 Aluminum Freshwater Boats — 327.0 327.0 Recreational Fiberglass Boats — 234.5 234.5 Saltwater Fishing Boats — 172.8 172.8 Business Acceleration — 5.6 5.6 Marine eliminations (163.2 ) — (163.2 ) Total $ 1,474.3 $ 739.9 $ 2,214.2 Three Months Ended June 30, 2018 Marine Engine Boat Total Geographic Markets United States $ 594.4 $ 279.9 $ 874.3 Europe 113.2 42.0 155.2 Asia-Pacific 50.5 6.9 57.4 Canada 39.4 58.1 97.5 Rest-of-World 36.8 8.0 44.8 Marine eliminations (80.5 ) — (80.5 ) Total $ 753.8 $ 394.9 $ 1,148.7 Major Product Lines Propulsion $ 426.3 $ — $ 426.3 Parts & Accessories 408.0 — 408.0 Aluminum Freshwater Boats — 169.7 169.7 Recreational Fiberglass Boats — 140.5 140.5 Saltwater Fishing Boats — 84.0 84.0 Business Acceleration — 0.7 0.7 Marine eliminations (80.5 ) — (80.5 ) Total $ 753.8 $ 394.9 $ 1,148.7 Six Months Ended June 30, 2018 Marine Engine Boat Total Geographic Markets United States $ 1,070.9 $ 554.6 $ 1,625.5 Europe 211.0 85.1 296.1 Asia-Pacific 100.9 13.9 114.8 Canada 68.3 104.9 173.2 Rest-of-World 70.3 12.9 83.2 Marine eliminations (177.1 ) — (177.1 ) Total $ 1,344.3 $ 771.4 $ 2,115.7 Major Product Lines Propulsion $ 805.3 $ — $ 805.3 Parts & Accessories 716.1 — 716.1 Aluminum Freshwater Boats — 331.3 331.3 Recreational Fiberglass Boats — 268.2 268.2 Saltwater Fishing Boats — 169.7 169.7 Business Acceleration — 2.2 2.2 Marine eliminations (177.1 ) — (177.1 ) Total $ 1,344.3 $ 771.4 $ 2,115.7 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | The following table discloses the results of operations of the business reported as discontinued operations for the three months and six months ended June 29, 2019 and June 30, 2018 , respectively: Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, Net sales $ 223.1 $ 252.2 $ 448.3 $ 496.6 Cost of sales 167.5 183.7 334.6 361.2 Selling, general and administrative expense (C) 52.8 47.5 109.1 94.7 Earnings (loss) from discontinued operations before income taxes (B) (C) $ (3.2 ) $ 13.5 $ (146.0 ) $ 24.5 Income tax provision (benefit) (10.1 ) 2.6 (40.4 ) 4.5 Earnings (loss) from discontinued operations, net of tax (B) (C) 6.9 10.9 (105.6 ) 20.0 Loss on disposal of discontinued operations, net of tax (A) (41.5 ) — (41.5 ) — Net Earnings (loss) from discontinued operations, net of tax $ (34.6 ) $ 10.9 $ (147.1 ) $ 20.0 (A) The Loss on disposal of discontinued operations for the three and six months ended June 29, 2019 includes a pre-tax loss of $47.7 million and a net tax benefit of $6.2 million . (B) In the first quarter of 2019, the Company re-evaluated the fair value of the Fitness reporting unit and determined the fair value of the business was less than its carrying value. As a result, Earnings (loss) from discontinued operations, net of tax, includes a $137.2 million ( $103.0 million after tax) goodwill impairment charge for the six months ended June 29, 2019. (C) The Company recorded $3.1 million and $2.5 million , for the three months ended June 29, 2019 and June 30, 2018, respectively, and recorded $10.9 million and $4.2 million for the six months ended June 29, 2019 and June 30, 2018, respectively, of costs incurred in connection with the Fitness business separation. There were no assets and liabilities held for sale related to discontinued operations as of June 29, 2019 . The following table reflects the summary of assets and liabilities held for sale as of December 31, 2018 and June 30, 2018 primarily related to the Fitness business included in discontinued operations: (in millions) December 31, June 30, Accounts and notes receivable, net $ 198.9 $ 165.7 Net inventory 169.7 174.0 Prepaid expenses and other 8.6 14.7 Current assets held for sale 377.2 354.4 Net property (A) 110.9 121.1 Goodwill 389.8 390.5 Other intangibles, net 60.6 85.6 Other long-term assets 49.0 42.4 Long-term assets held for sale 610.3 639.6 Assets held for sale $ 987.5 $ 994.0 Accounts payable $ 69.7 $ 51.8 Accrued expenses 185.3 180.3 Current liabilities held for sale 255.0 232.1 Other liabilities 99.6 96.5 Long-term liabilities held for sale 99.6 96.5 Liabilities held for sale $ 354.6 $ 328.6 (A) As of December 31, 2018 and June 30, 2018 , the Company had $8.9 million and $6.3 million , respectively, of net long-term assets classified as held for sale that were not related to the business reported as discontinued operations. |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table is a summary of the assets acquired, liabilities assumed and net cash consideration paid for the Power Products acquisition during 2018: (in millions) Fair Value Useful Life Accounts and notes receivable $ 38.3 Inventory 64.3 Goodwill (A) (B) 351.6 Trade names 111.0 Indefinite Customer relationships 430.0 15 years Property and equipment 10.6 Other assets 5.6 Total assets acquired 1,011.4 Accounts payable (B) 27.3 Accrued expenses (B) 19.8 Deferred tax liabilities 54.7 Total liabilities assumed 101.8 Net cash consideration paid $ 909.6 (A) The goodwill recorded for the acquisition of Power Products is partially deductible for tax purposes. (B) Includes $4.4 million and $3.0 million of purchase accounting adjustments in the first and second quarters of 2019, respectively, primarily related to contingency reserves. |
Business Acquisition, Pro Forma Information [Table Text Block] | The pro forma results include adjustments primarily related to interest expense on the Term Loans and amortization of intangible assets. Three Months Ended Six Months Ended (in millions) June 29, 2019 June 30, 2018 June 29, 2019 June 30, 2018 Pro forma Net sales $ 1,163.5 $ 1,212.1 $ 2,214.2 $ 2,240.4 Pro forma Operating earnings 162.7 100.5 276.8 183.7 Pro forma Net earnings from continuing operations 112.0 64.9 189.7 118.0 |
Restructuring, Exit and Integ_2
Restructuring, Exit and Integration Activities (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs [Table Text Block] | The following table is a summary of the expense associated with the restructuring, exit and impairment activities discussed above for the three months ended June 29, 2019 and June 30, 2018 : June 29, 2019 June 30, 2018 (in millions) Boat Corporate Marine Engine Total Boat Corporate Total Restructuring and exit activities: Employee termination and other benefits $ 0.2 $ 1.1 $ 0.6 $ 1.9 $ 4.7 $ 0.7 $ 5.4 Current asset write-downs 0.2 — — 0.2 15.5 — 15.5 Professional fees 0.3 1.1 — 1.4 2.9 — 2.9 Other 0.3 — — 0.3 6.0 — 6.0 Asset disposition and impairment actions: Definite-lived and other asset impairments 1.6 — — 1.6 9.4 — 9.4 Valuation allowance reversal — — — — (5.0 ) — (5.0 ) Total restructuring, exit and impairment charges $ 2.6 $ 2.2 $ 0.6 $ 5.4 $ 33.5 $ 0.7 $ 34.2 Total cash payments for restructuring, exit and impairment charges (A) $ 2.7 $ 0.1 $ — $ 2.8 $ 1.0 $ — $ 1.0 Accrued charges at end of the period (B) $ 8.9 $ 4.1 $ 0.6 $ 13.6 $ 16.0 $ 0.9 $ 16.9 (A) Cash payments for the three months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. The following table is a summary of the expense associated with the restructuring, exit and impairment activities discussed above for the six months ended June 29, 2019 and June 30, 2018 : June 29, 2019 June 30, 2018 (in millions) Boat Corporate Marine Engine Total Boat Corporate Total Restructuring and exit activities: Employee termination and other benefits $ 0.6 $ 2.3 $ 0.6 $ 3.5 $ 6.7 $ 0.7 $ 7.4 Current asset write-downs 0.4 — — 0.4 15.5 — 15.5 Professional fees 0.3 1.1 — 1.4 3.5 — 3.5 Other 0.4 — — 0.4 6.0 — 6.0 Asset disposition and impairment actions: Definite-lived and other asset impairments 2.9 — — 2.9 9.4 — 9.4 Valuation allowance reversal — — — — (5.0 ) — (5.0 ) Total restructuring, exit and impairment charges $ 4.6 $ 3.4 $ 0.6 $ 8.6 $ 36.1 $ 0.7 $ 36.8 Total cash payments for restructuring, exit and impairment charges (A) $ 7.7 $ 0.3 $ — $ 8.0 $ 1.2 $ 0.3 $ 1.5 Accrued charges at end of the period (B) $ 8.9 $ 4.1 $ 0.6 $ 13.6 $ 16.0 $ 0.9 $ 16.9 (A) Cash payments for the six months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. |
Financial Instruments Financial
Financial Instruments Financial Instruments (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Values of Derivative Instruments | As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the fair values of the Company’s derivative instruments were: (in millions) Derivative Assets Derivative Liabilities Instrument Balance Sheet Location Fair Value Balance Sheet Location Fair Value Jun 29, 2019 Dec 31, 2018 Jun 30, 2018 Jun 29, 2019 Dec 31, 2018 Jun 30, 2018 Derivatives Designated as Cash Flow Hedges Foreign exchange contracts Prepaid expenses and other $ 4.6 $ 6.8 $ 4.8 Accrued expenses $ 1.8 $ 0.3 $ 0.7 Derivatives Designated as Fair Value Hedges Interest rate contracts Prepaid expenses and other $ 0.0 $ 0.0 $ 2.1 Accrued expenses $ 0.0 $ 0.1 $ 2.1 Interest rate contracts Other long-term assets 2.2 — — Other long-term liabilities — 1.8 3.1 Total $ 2.2 $ 0.0 $ 2.1 $ 0.0 $ 1.9 $ 5.2 Other Hedging Activity Foreign exchange contracts Prepaid expenses and other $ 0.5 $ 0.8 $ 0.7 Accrued expenses $ 0.4 $ 0.0 $ 0.1 |
Effect of Derivative Instruments on the Condensed Consolidated Statements of Comprehensive Income | The effect of derivative instruments on the Condensed Consolidated Statements of Comprehensive Income for the three months and six months ended June 29, 2019 and June 30, 2018 was: (in millions) Derivatives Designated as Cash Flow Hedging Instruments Amount of Gain (Loss) on Derivatives Recognized in Accumulated Other Comprehensive Loss Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings Three Months Ended Six Months Ended Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Interest rate contracts $ — $ — $ — $ — Interest expense $ (0.2 ) $ (0.2 ) $ (0.3 ) $ (0.5 ) Foreign exchange contracts (0.3 ) 8.5 1.0 5.3 Cost of sales 2.9 (1.2 ) 5.4 (3.4 ) Total $ (0.3 ) $ 8.5 $ 1.0 $ 5.3 $ 2.7 $ (1.4 ) $ 5.1 $ (3.9 ) Derivatives Designated as Fair Value Hedging Instruments Location of Gain (Loss) on Derivatives Recognized in Earnings Amount of Gain (Loss) on Derivatives Recognized in Earnings Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Interest rate contracts Interest expense $ (0.1 ) $ (0.2 ) $ (0.2 ) $ (0.0 ) Other Hedging Activity Location of Gain (Loss) on Derivatives Recognized in Earnings Amount of Gain (Loss) on Derivatives Recognized in Earnings Three Months Ended Six Months Ended Jun 29, 2019 Jun 30, 2018 Jun 29, 2019 Jun 30, 2018 Foreign exchange contracts Cost of sales $ (0.8 ) $ 7.5 $ 0.7 $ 5.7 Foreign exchange contracts Other expense, net 0.6 1.8 0.6 0.7 Total $ (0.2 ) $ 9.3 $ 1.3 $ 6.4 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis | The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 29, 2019 : (in millions) Level 1 Level 2 Total Assets: Cash equivalents $ 150.2 $ — $ 150.2 Short-term investments in marketable securities 0.8 — 0.8 Restricted cash 11.6 — 11.6 Derivatives — 7.3 7.3 Total assets $ 162.6 $ 7.3 $ 169.9 Liabilities: Derivatives $ — $ 2.2 $ 2.2 Deferred compensation 2.7 25.7 28.4 Total liabilities at fair value $ 2.7 $ 27.9 $ 30.6 Liabilities measured at net asset value 11.5 Total liabilities $ 42.1 The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 : (in millions) Level 1 Level 2 Total Assets: Short-term investments in marketable securities $ 0.8 $ — $ 0.8 Restricted cash 9.0 — 9.0 Derivatives — 7.6 7.6 Total assets $ 9.8 $ 7.6 $ 17.4 Liabilities: Derivatives $ — $ 2.2 $ 2.2 Deferred compensation 3.5 20.7 24.2 Total liabilities at fair value $ 3.5 $ 22.9 $ 26.4 Liabilities measured at net asset value 10.2 Total liabilities $ 36.6 The following table summarizes the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2018 : (in millions) Level 1 Level 2 Total Assets: Short-term investments in marketable securities $ 0.8 $ — $ 0.8 Restricted cash 9.4 — 9.4 Derivatives — 7.6 7.6 Total assets $ 10.2 $ 7.6 $ 17.8 Liabilities: Derivatives $ — $ 6.0 $ 6.0 Deferred compensation 3.9 26.8 30.7 Total liabilities at fair value $ 3.9 $ 32.8 $ 36.7 Liabilities measured at net asset value 10.3 Total liabilities $ 47.0 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Fair Value Assumptions for Performance Awards | The fair values of the senior executives' performance share award grants with a TSR modifier for grants in 2019 and 2018 were $49.64 and $61.59 , respectively, which were estimated using the Monte Carlo valuation model, and incorporated the following assumptions: 2019 2018 Risk-free interest rate 2.9 % 2.4 % Dividend yield 1.7 % 1.3 % Volatility factor 41.0 % 38.9 % Expected life of award 2.9 years 2.9 years |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Product Warranty Liabilities | The following activity related to product warranty liabilities was recorded in Accrued expenses during the six months ended June 29, 2019 and June 30, 2018 : (in millions) June 29, June 30, Balance at beginning of period $ 116.8 $ 101.7 Payments made (35.0 ) (27.6 ) Provisions/additions for contracts issued/sold 32.1 32.0 Aggregate changes for preexisting warranties 1.0 6.0 Foreign Currency Translation 0.2 (0.7 ) Warranty liability retained from discontinued operations (A) 7.1 — Other 0.1 0.3 Balance at end of period $ 122.3 $ 111.7 (A) The Company retained a $7.1 million warranty liability from the sale of its Fitness business. The warranty liability pertains to product field campaigns for certain Cybex products designed prior to the Cybex acquisition. |
Extended Product Warranty Liabilities | The following activity related to deferred revenue for extended product warranty contracts was recorded in Accrued expenses and Other long-term liabilities during the six months ended June 29, 2019 and June 30, 2018 : (in millions) June 29, June 30, Balance at beginning of period $ 66.4 $ 56.9 Extended warranty contracts sold 13.9 13.0 Revenue recognized on existing extended warranty contracts (7.3 ) (5.8 ) Foreign currency translation 0.2 (0.2 ) Other (0.1 ) (0.1 ) Balance at end of period $ 73.1 $ 63.8 |
Goodwill and Intangibles (Table
Goodwill and Intangibles (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Changes in the Company's goodwill during the six months ended June 29, 2019 , by segment, are summarized below: (in millions) December 31, Acquisitions Impairments Adjustments June 29, Marine Engine $ 375.1 $ — $ — $ 7.4 $ 382.5 Boat 2.2 26.0 — — 28.2 Total $ 377.3 $ 26.0 $ — $ 7.4 $ 410.7 Changes in the Company's goodwill during the six months ended June 30, 2018 , by segment, are summarized below: (in millions) December 31, Acquisitions Impairments Adjustments June 30, Marine Engine $ 31.7 $ — $ — $ (0.4 ) $ 31.3 Boat 2.2 — — — 2.2 Total $ 33.9 $ — $ — $ (0.4 ) $ 33.5 |
Schedule of Other Intangible Assets [Table Text Block] | The Company's intangible assets, included within Other intangibles, net on the Condensed Consolidated Balance Sheets as of June 29, 2019 , December 31, 2018 and June 30, 2018 , are summarized by intangible asset type below: June 29, 2019 December 31, 2018 June 30, 2018 (in millions) Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Intangible assets: Customer relationships $ 686.9 $ (258.8 ) $ 675.7 $ (243.3 ) $ 246.0 $ (230.3 ) Trade names 165.8 — 152.5 — 41.7 — Other 18.3 (12.8 ) 13.5 (12.6 ) 13.5 (12.4 ) Total $ 871.0 $ (271.6 ) $ 841.7 $ (255.9 ) $ 301.2 $ (242.7 ) The Company's intangible assets, included within Other intangibles, net on the Condensed Consolidated Balance Sheets as of June 29, 2019 , December 31, 2018 and June 30, 2018 , are summarized by segment below: June 29, 2019 December 31, 2018 June 30, 2018 (in millions) Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Gross Amount Accumulated Amortization Intangible assets: Marine Engine $ 618.5 $ (67.3 ) $ 618.3 $ (52.0 ) $ 77.8 $ (39.3 ) Boat 252.5 (204.3 ) 223.4 (203.9 ) 223.4 (203.4 ) Total $ 871.0 $ (271.6 ) $ 841.7 $ (255.9 ) $ 301.2 $ (242.7 ) |
Segment Data (Tables)
Segment Data (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Segment Reporting [Abstract] | |
Operating Segments | The following table sets forth net sales and operating earnings (loss) of each of the Company's reportable segments for the three months and six months ended June 29, 2019 and June 30, 2018 : Net Sales Operating Earnings (Loss) Three Months Ended Six Months Ended Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, June 29, June 30, June 29, June 30, Marine Engine $ 871.5 $ 834.3 $ 1,637.5 $ 1,521.4 $ 164.6 $ 149.1 $ 277.5 $ 244.8 Boat 366.6 394.9 739.9 771.4 20.8 (32.2 ) 42.8 (17.8 ) Marine eliminations (74.6 ) (80.5 ) (163.2 ) (177.1 ) — — — — Total Marine 1,163.5 1,148.7 2,214.2 2,115.7 185.4 116.9 320.3 227.0 Corporate/Other — — — — (22.7 ) (23.8 ) (43.5 ) (39.4 ) Total $ 1,163.5 $ 1,148.7 $ 2,214.2 $ 2,115.7 $ 162.7 $ 93.1 $ 276.8 $ 187.6 The following table sets forth total assets of each of the Company's reportable segments: Total Assets (in millions) June 29, December 31, June 30, Marine Engine $ 2,611.0 $ 2,380.9 $ 1,345.7 Boat (A) 476.8 423.2 408.1 Total Marine 3,087.8 2,804.1 1,753.8 Corporate/Other 953.0 508.8 695.2 Total (B) $ 4,040.8 $ 3,312.9 $ 2,449.0 (A) As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the Company had $3.0 million , $8.9 million and $6.3 million , respectively, of assets classified as held for sale which were not related to discontinued operations. These assets were recorded within Net Property as of June 29, 2019 and recorded within Long term assets held for sale as of December 31, 2018 and June 30, 2018. (B) As of December 31, 2018 and June 30, 2018 , the Company had $978.6 million and $987.7 million , respectively, of assets classified as held for sale in the Condensed Consolidated Balance Sheets relating to discontinued operations. See Note 3 – Discontinued Operations for further details. |
Comprehensive Income (Tables)
Comprehensive Income (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Comprehensive Income [Abstract] | |
Changes in the Components in Accumulated Other Comprehensive Income (Loss) | Changes in the components of Accumulated other comprehensive loss, all net of tax, for the three months ended June 29, 2019 and June 30, 2018 were as follows: Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, Net earnings $ 77.5 $ 79.0 $ 41.2 $ 151.9 Other comprehensive income (loss): Foreign currency cumulative translation adjustment 15.1 (19.6 ) 15.2 (9.7 ) Net change in unamortized prior service credits (0.2 ) (0.1 ) (0.3 ) (0.2 ) Net change in unamortized actuarial losses 2.8 2.3 4.7 4.2 Net change in unrealized derivative losses (2.1 ) 7.0 (3.0 ) 6.3 Total other comprehensive income (loss) 15.6 (10.4 ) 16.6 0.6 Comprehensive income $ 93.1 $ 68.6 $ 57.8 $ 152.5 The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the three months ended June 29, 2019 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (48.8 ) $ (6.2 ) $ (304.3 ) $ (2.8 ) $ (362.1 ) Other comprehensive income (loss) before reclassifications (A) 1.3 — 0.9 (0.1 ) 2.1 Amounts reclassified from Accumulated other comprehensive loss (B) 13.8 (0.2 ) 1.9 (2.0 ) 13.5 Net other comprehensive income (loss) 15.1 (0.2 ) 2.8 (2.1 ) 15.6 Ending balance $ (33.7 ) $ (6.4 ) $ (301.5 ) $ (4.9 ) $ (346.5 ) (A) The tax effects for the three months ended June 29, 2019 were $(1.0) million for foreign currency translation, $0.9 million for net actuarial losses arising during the period and $0.3 million for derivatives. (B) See the table below for the tax effects for the three months ended June 29, 2019 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the six months ended June 29, 2019 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (48.9 ) $ (6.1 ) $ (306.2 ) $ (1.9 ) $ (363.1 ) Other comprehensive income (loss) before reclassifications (A) 1.4 0.0 0.9 0.6 2.9 Amounts reclassified from Accumulated other comprehensive loss (B) 13.8 (0.3 ) 3.8 (3.6 ) 13.7 Net other comprehensive income (loss) 15.2 (0.3 ) 4.7 (3.0 ) 16.6 Ending balance $ (33.7 ) $ (6.4 ) $ (301.5 ) $ (4.9 ) $ (346.5 ) (A) The tax effects for the six months ended June 29, 2019 were $(0.8) million for foreign currency translation, $0.9 million for net actuarial losses arising during the period and $(0.3) million for derivatives. (B) See the table below for the tax effects for the six months ended June 29, 2019 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the three months ended June 30, 2018 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (21.7 ) $ (5.7 ) $ (308.9 ) $ (12.5 ) $ (348.8 ) Other comprehensive income (loss) before reclassifications (A) (19.6 ) — 0.5 5.5 (13.6 ) Amounts reclassified from Accumulated other comprehensive loss (B) — (0.1 ) 1.8 1.5 3.2 Net other comprehensive income (loss) (19.6 ) (0.1 ) 2.3 7.0 (10.4 ) Ending balance $ (41.3 ) $ (5.8 ) $ (306.6 ) $ (5.5 ) $ (359.2 ) (A) The tax effects for the three months ended June 30, 2018 were $2.1 million for foreign currency translation, $(0.2) million for net actuarial losses arising during the period and $(2.3) million for derivatives. (B) See the table below for the tax effects for the three months ended June 30, 2018 . The following table presents the changes in Accumulated other comprehensive loss by component, all net of tax, for the six months ended June 30, 2018 : (in millions) Foreign currency translation Prior service credits Net actuarial losses Net derivative losses Total Beginning balance $ (31.6 ) $ (5.6 ) $ (310.8 ) $ (11.8 ) $ (359.8 ) Other comprehensive income (loss) before reclassifications (A) (9.7 ) — 0.4 2.7 (6.6 ) Amounts reclassified from Accumulated other comprehensive loss (B) — (0.2 ) 3.8 3.6 7.2 Net other comprehensive income (loss) (9.7 ) (0.2 ) 4.2 6.3 0.6 Ending balance $ (41.3 ) $ (5.8 ) $ (306.6 ) $ (5.5 ) $ (359.2 ) (A) The tax effects for the six months ended June 30, 2018 were $2.3 million for foreign currency translation, $(0.1) million for net actuarial losses arising during the period and $(1.5) million for derivatives. (B) See the table below for the tax effects for the six months ended June 30, 2018 . |
Reclassification out of Accumulated Other Comprehensive Income (Loss) | The following table presents reclassification adjustments out of Accumulated other comprehensive loss during the three months and six months ended June 29, 2019 and June 30, 2018 : Three Months Ended Six Months Ended Details about Accumulated other comprehensive income (loss) components (in millions) June 29, June 30, June 29, June 30, Affected line item in the statement where net income is presented Amount of loss reclassified into earnings on foreign currency: Foreign currency cumulative translation adjustment (13.9 ) — (13.9 ) — Net (loss) earnings from discontinued operations, net of tax (13.9 ) — (13.9 ) — Net (loss) earnings from discontinued operations, net of tax 0.1 — 0.1 — Net (loss) earnings from discontinued operations, net of tax $ (13.8 ) $ — $ (13.8 ) $ — Net (loss) earnings from discontinued operations, net of tax Amortization of defined benefit items: Prior service credits $ 0.2 $ 0.1 $ 0.4 $ 0.3 Other expense, net Net actuarial losses (2.6 ) (2.6 ) (5.1 ) (5.1 ) Other expense, net (2.4 ) (2.5 ) (4.7 ) (4.8 ) Earnings before income taxes 0.7 0.8 1.2 1.2 Income tax provision $ (1.7 ) $ (1.7 ) $ (3.5 ) $ (3.6 ) Net earnings from continuing operations Amount of gain (loss) reclassified into earnings on derivative contracts: Interest rate contracts $ (0.1 ) $ (0.2 ) $ (0.3 ) $ (0.5 ) Interest expense Foreign exchange contracts 2.9 (1.9 ) 5.4 (4.5 ) Cost of sales 2.8 (2.1 ) 5.1 (5.0 ) Earnings before income taxes (0.8 ) 0.6 (1.5 ) 1.4 Income tax provision $ 2.0 $ (1.5 ) $ 3.6 $ (3.6 ) Net earnings from continuing operations |
Postretirement Benefits (Tables
Postretirement Benefits (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Defined Benefit Plan [Abstract] | |
Schedule of Net Pension and Other Benefit Costs | Pension and other postretirement benefit costs included the following components for the three months and six months ended June 29, 2019 and June 30, 2018 : Pension Benefits Other Postretirement Benefits Three Months Ended Six Months Ended Three Months Ended Six Months Ended (in millions) June 29, June 30, June 29, June 30, June 29, June 30, June 29, June 30, Interest cost $ 2.6 $ 5.7 $ 5.2 $ 11.4 $ 0.3 $ 0.2 $ 0.6 $ 0.5 Expected return on plan assets (3.4 ) (6.4 ) (6.7 ) (12.7 ) — — — — Amortization of prior service credits — — — — (0.2 ) (0.1 ) (0.4 ) (0.3 ) Amortization of net actuarial losses 2.6 2.6 5.1 5.1 — — — — Net pension and other benefit costs $ 1.8 $ 1.9 $ 3.6 $ 3.8 $ 0.1 $ 0.1 $ 0.2 $ 0.2 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | Scheduled maturities, net: (in millions) Remainder of 2019 $ 21.7 2020 41.6 2021 190.9 2022 37.1 2023 305.3 Thereafter 683.8 Total debt $ 1,280.4 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 29, 2019 | |
Leases [Abstract] | |
Lease Assets and Lease Liabilities [Table Text Block] | A summary of the Company's lease assets and lease liabilities as of June 29, 2019 is as follows: (in millions) Classification June 29, 2019 Lease Assets Operating lease assets Operating lease assets $ 80.4 Lease Liabilities Current operating lease liabilities Accrued expenses 18.2 Non-current operating lease liabilities Operating lease liabilities 67.1 Total lease liabilities $ 85.3 |
Lease Cost [Table Text Block] | A summary of the Company's total lease cost for the three months and six months ended June 29, 2019 is as follows: (in millions) Classification Three Months Ended Six Months Ended Operating lease cost Selling, general, and administrative expense $ 1.5 $ 3.1 Cost of sales 7.7 12.6 Variable lease cost Selling, general, and administrative expense 0.1 0.3 Cost of sales 1.0 2.0 Total lease cost (A) $ 10.3 $ 18.0 (A) Includes total short-term lease cost which is immaterial. |
Operating Lease Liability, Maturity Analysis [Table Text Block] | The Company's maturity analysis of its operating lease liabilities as of June 29, 2019 is as follows: (in millions) 2019 $ 11.7 2020 19.9 2021 17.1 2022 15.3 2023 12.9 Thereafter 21.0 Total lease payments 97.9 Less: Interest (12.6 ) Present value of lease liabilities $ 85.3 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | The following represents the Company's future minimum rental payments at December 31, 2018 for agreements classified as operating leases under ASC 840 with non-cancelable terms in excess of one year: (in millions) 2019 $ 31.4 2020 24.5 2021 21.0 2022 14.7 2023 11.4 Thereafter 20.1 Total (not reduced by minimum sublease income of $0.1) $ 123.1 |
Significant Accounting Polici_4
Significant Accounting Policies Leases (Details) - USD ($) $ in Millions | Jun. 29, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating Lease Assets | $ 80.4 | $ 80.1 | $ 0 | $ 0 |
Long-Term Assets Held for Sale | 0 | 631.4 | 610.3 | 639.6 |
Accrued Expenses | 562.5 | 518.5 | 502.1 | 503.8 |
Current Liabilities Held for Sale | 0 | 257.9 | 255 | 232.1 |
Other | 111.4 | 98.2 | 101.6 | 114.4 |
Operating Lease Liabilities | 67.1 | 67.1 | 0 | 0 |
Long-Term Liabilities Held for Sale | $ 0 | 117.8 | $ 99.6 | $ 96.5 |
Accounting Standards Update 2016-02 [Member] | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating Lease Assets | 80.1 | |||
Long-Term Assets Held for Sale | 21.1 | |||
Accrued Expenses | 16.4 | |||
Current Liabilities Held for Sale | 2.9 | |||
Other | (3.4) | |||
Operating Lease Liabilities | 67.1 | |||
Long-Term Liabilities Held for Sale | $ 18.2 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 1,163.5 | $ 1,148.7 | $ 2,214.2 | $ 2,115.7 |
Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 796.9 | 753.8 | 1,474.3 | 1,344.3 |
Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 366.6 | 394.9 | 739.9 | 771.4 |
Propulsion [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 404.9 | 426.3 | 804.9 | 805.3 |
Propulsion [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 404.9 | 426.3 | 804.9 | 805.3 |
Propulsion [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Parts and Accessories [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 466.6 | 408 | 832.6 | 716.1 |
Parts and Accessories [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 466.6 | 408 | 832.6 | 716.1 |
Parts and Accessories [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Aluminum Freshwater Boats [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 160.8 | 169.7 | 327 | 331.3 |
Aluminum Freshwater Boats [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Aluminum Freshwater Boats [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 160.8 | 169.7 | 327 | 331.3 |
Recreational Fiberglass Boats [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 119.5 | 140.5 | 234.5 | 268.2 |
Recreational Fiberglass Boats [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Recreational Fiberglass Boats [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 119.5 | 140.5 | 234.5 | 268.2 |
Saltwater Fishing Boats [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 82.6 | 84 | 172.8 | 169.7 |
Saltwater Fishing Boats [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Saltwater Fishing Boats [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 82.6 | 84 | 172.8 | 169.7 |
Business Acceleration [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3.7 | 0.7 | 5.6 | 2.2 |
Business Acceleration [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
Business Acceleration [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 3.7 | 0.7 | 5.6 | 2.2 |
Marine Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | (74.6) | (80.5) | (163.2) | (177.1) |
Marine Eliminations [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | (74.6) | (80.5) | (163.2) | (177.1) |
Marine Eliminations [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | 0 | 0 |
United States [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 881.9 | 874.3 | 1,680 | 1,625.5 |
United States [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 610.7 | 594.4 | 1,134.9 | 1,070.9 |
United States [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 271.2 | 279.9 | 545.1 | 554.6 |
Europe [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 160.3 | 155.2 | 316.2 | 296.1 |
Europe [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 125.7 | 113.2 | 244.9 | 211 |
Europe [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 34.6 | 42 | 71.3 | 85.1 |
Asia-Pacific [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 63.8 | 57.4 | 125.3 | 114.8 |
Asia-Pacific [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 57.4 | 50.5 | 113.5 | 100.9 |
Asia-Pacific [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 6.4 | 6.9 | 11.8 | 13.9 |
Canada [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 86.9 | 97.5 | 168.2 | 173.2 |
Canada [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 39.5 | 39.4 | 70.8 | 68.3 |
Canada [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 47.4 | 58.1 | 97.4 | 104.9 |
Rest-of-World [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 45.2 | 44.8 | 87.7 | 83.2 |
Rest-of-World [Member] | Marine Engine [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 38.2 | 36.8 | 73.4 | 70.3 |
Rest-of-World [Member] | Boat [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 7 | $ 8 | $ 14.3 | $ 12.9 |
Revenue Recognition - Contracts
Revenue Recognition - Contracts with Customer (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 29, 2019 | Jun. 29, 2019 | Jan. 01, 2019 | |
Revenue from Contract with Customer [Abstract] | |||
Contract with Customer, Liability | $ 92.5 | $ 92.5 | $ 74.8 |
Contract with Customer, Liability, Revenue Recognized | $ 8.6 | $ 16.4 |
Revenue Recognition - Performan
Revenue Recognition - Performance Obligations (Details) $ in Millions | Jun. 29, 2019USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-06-29 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 84.9 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-12-31 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 16.7 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-12-31 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | 54.3 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: (nil) | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Amount | $ 13.9 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) $ in Millions | May 06, 2019 | Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Jan. 01, 2019 | Dec. 31, 2018 | |||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest [Abstract] | ||||||||||
Net Sales | $ 223.1 | $ 252.2 | $ 448.3 | $ 496.6 | ||||||
Cost of Sales | 167.5 | 183.7 | 334.6 | 361.2 | ||||||
Selling, General and Administrative Expense | [1],[2],[3] | 52.8 | 47.5 | 109.1 | 94.7 | |||||
Earnings (Loss) from Discontinued Operations Before Income Taxes | [3] | (3.2) | 13.5 | (146) | [2] | 24.5 | ||||
Income Tax Provision (Benefit) | (10.1) | 2.6 | (40.4) | 4.5 | ||||||
Earnings (Loss) from Discontinued Operations, Net of Tax | 6.9 | 10.9 | (105.6) | [2] | 20 | |||||
Loss on Disposal of Discontinued Operations, Net of Tax | (41.5) | [1] | 0 | (41.5) | [1] | 0 | ||||
Net Earnings (Loss) from Discontinued Operations, Net of Tax | (34.6) | 10.9 | (147.1) | 20 | ||||||
Pre-Tax Loss on Disposal of Discontinued Operations | 47.7 | 47.7 | ||||||||
Tax Benefit of Loss from Disposal of Discontinued Operation | 6.2 | 6.2 | ||||||||
Goodwill, Impairment Loss | 0 | 0 | ||||||||
Disposal Group, Including Discontinued Operation, Classified Balance Sheet Disclosures [Abstract] | ||||||||||
Current Assets Held for Sale | 0 | 354.4 | 0 | 354.4 | $ 377.2 | |||||
Long-Term Assets Held for Sale | 0 | 639.6 | 0 | 639.6 | $ 631.4 | 610.3 | ||||
Assets Held for Sale | 987.7 | 987.7 | 978.6 | |||||||
Current Liabilities Held for Sale | 0 | 232.1 | 0 | 232.1 | 257.9 | 255 | ||||
Long-Term Liabilities Held for Sale | 0 | 96.5 | 0 | 96.5 | $ 117.8 | 99.6 | ||||
Assets Held-for-sale, Not Part of Disposal Group | 3 | 6.3 | 3 | 6.3 | 8.9 | |||||
Fitness [Member] | ||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||||||
Net Cash Proceeds | $ 473.7 | |||||||||
Retained Assets | 26.4 | 26.4 | ||||||||
Retained Liabilities | 45.1 | 45.1 | ||||||||
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest [Abstract] | ||||||||||
Loss on Disposal of Discontinued Operations, Net of Tax | $ 41.5 | |||||||||
Goodwill, Impairment Loss | 137.2 | |||||||||
Goodwill, Impairment Loss, Net of Tax | 103 | |||||||||
Business Exit Costs | 3.1 | 2.5 | 10.9 | 4.2 | ||||||
Disposal Group, Including Discontinued Operation, Classified Balance Sheet Disclosures [Abstract] | ||||||||||
Accounts and Notes Receivable, Net | 165.7 | 165.7 | 198.9 | |||||||
Net inventory | 174 | 174 | 169.7 | |||||||
Prepaid Expenses and Other | 14.7 | 14.7 | 8.6 | |||||||
Current Assets Held for Sale | 354.4 | 354.4 | 377.2 | |||||||
Net Property | [4] | 121.1 | 121.1 | 110.9 | ||||||
Goodwill | 390.5 | 390.5 | 389.8 | |||||||
Other Intangibles, Net | 85.6 | 85.6 | 60.6 | |||||||
Other Long-Term Assets | 42.4 | 42.4 | 49 | |||||||
Long-Term Assets Held for Sale | 639.6 | 639.6 | 610.3 | |||||||
Assets Held for Sale | 0 | 994 | 0 | 994 | 987.5 | |||||
Accounts Payable | 51.8 | 51.8 | 69.7 | |||||||
Accrued Expenses | 180.3 | 180.3 | 185.3 | |||||||
Current Liabilities Held for Sale | 232.1 | 232.1 | 255 | |||||||
Other Liabilities | 96.5 | 96.5 | 99.6 | |||||||
Long-Term Liabilities Held for Sale | 96.5 | 96.5 | 99.6 | |||||||
Liabilities Held for Sale | $ 0 | $ 328.6 | $ 0 | $ 328.6 | $ 354.6 | |||||
[1] | (A) The Loss on disposal of discontinued operations for the three and six months ended June 29, 2019 includes a pre-tax loss of $47.7 million and a net tax benefit of $6.2 million . | |||||||||
[2] | (B) In the first quarter of 2019, the Company re-evaluated the fair value of the Fitness reporting unit and determined the fair value of the business was less than its carrying value. As a result, Earnings (loss) from discontinued operations, net of tax, includes a $137.2 million ( $103.0 million after tax) goodwill impairment charge for the six months ended June 29, 2019. | |||||||||
[3] | (C) The Company recorded $3.1 million and $2.5 million , for the three months ended June 29, 2019 and June 30, 2018, respectively, and recorded $10.9 million and $4.2 million for the six months ended June 29, 2019 and June 30, 2018, respectively, of costs incurred in connection with the Fitness business separation. | |||||||||
[4] | (A) As of December 31, 2018 and June 30, 2018 , the Company had $8.9 million and $6.3 million , respectively, of net long-term assets classified as held for sale that were not related to the business reported as discontinued operations. |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ in Millions | May 21, 2019 | Aug. 09, 2018 | Jun. 29, 2019 | Mar. 30, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | ||||||||||
Business Combination, Consideration Transferred | $ 64.4 | |||||||||
Debt Instrument, Face Amount | $ 800 | |||||||||
Goodwill | $ 410.7 | $ 33.5 | $ 410.7 | $ 33.5 | $ 377.3 | $ 33.9 | ||||
Freedom Boat Club [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | |||||||||
Business Combination, Recognized Identifiable Intangible Assets Acquired, Other than Goodwill | $ 29.2 | |||||||||
Goodwill | 26 | |||||||||
Freedom Boat Club [Member] | Trade Names [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Trade Names | 13.2 | |||||||||
Freedom Boat Club [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Customer Relationships | $ 11.1 | |||||||||
Useful Life | 10 years | |||||||||
Freedom Boat Club [Member] | Franchise Agreements [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Customer Relationships | $ 4.9 | |||||||||
Useful Life | 15 years | |||||||||
Power Products [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Business Combination, Consideration Transferred | 909.6 | |||||||||
Accounts and Notes Receivable | 38.3 | |||||||||
Inventory | 64.3 | |||||||||
Goodwill | [1],[2] | 351.6 | ||||||||
Property and Equipment | 10.6 | |||||||||
Other Assets | 5.6 | |||||||||
Total Assets Acquired | 1,011.4 | |||||||||
Accounts Payable | [2] | 27.3 | ||||||||
Accrued Expenses | [2] | 19.8 | ||||||||
Deferred Tax Liabilities | 54.7 | |||||||||
Total Liabilities Assumed | 101.8 | |||||||||
Net Cash Consideration Paid | 909.6 | |||||||||
Purchase Accounting Adjustment | 3 | $ 4.4 | ||||||||
Pro Forma Net Sales | 1,163.5 | 1,212.1 | 2,214.2 | 2,240.4 | ||||||
Pro Forma Operating Earnings (Loss) | 162.7 | 100.5 | 276.8 | 183.7 | ||||||
Pro Forma Net Earnings (Loss) | $ 112 | $ 64.9 | $ 189.7 | $ 118 | ||||||
Pro Forma Effective Income Tax Rate | 22.00% | 20.30% | 21.10% | 21.70% | ||||||
Power Products [Member] | Trade Names [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Trade Names | 111 | |||||||||
Power Products [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Customer Relationships | $ 430 | |||||||||
Useful Life | 15 years | |||||||||
[1] | (A) The goodwill recorded for the acquisition of Power Products is partially deductible for tax purposes. | |||||||||
[2] | (B) Includes $4.4 million and $3.0 million of purchase accounting adjustments in the first and second quarters of 2019, respectively, primarily related to contingency reserves. |
Restructuring, Exit and Integ_3
Restructuring, Exit and Integration Activities (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||||||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | ||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Restructuring and Related Cost, Expected Cost | $ 6 | $ 6 | |||||||
Total Restructuring, Exit and Impairment Charges | 5.4 | $ 34.2 | 8.6 | $ 36.8 | |||||
Restructuring Reserve [Abstract] | |||||||||
Total Cash Payments for Restructuring, Exit, Integration and Impairment Charges | 2.8 | [1] | 1 | [1] | 8 | [2] | 1.5 | [2] | |
Accrued Charges at End of the Period | [3],[4] | 13.6 | 16.9 | 13.6 | 16.9 | ||||
Restructuring and Exit Activities [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Employee Termination and Other Benefits | 1.9 | 5.4 | 3.5 | 7.4 | |||||
Current Asset Write-Downs (Gains on Disposal) | 0.2 | 15.5 | 0.4 | 15.5 | |||||
Professional Fees | 1.4 | 2.9 | 1.4 | 3.5 | |||||
Other | 0.3 | 6 | 0.4 | 6 | |||||
Asset disposition and impairment actions [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Definite-Lived and Other Asset Impairments | 1.6 | 9.4 | 2.9 | 9.4 | |||||
Valuation Allowance Reversal | 0 | (5) | 0 | (5) | |||||
Boat [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Total Restructuring, Exit and Impairment Charges | 2.6 | 33.5 | 4.6 | 36.1 | |||||
Restructuring Reserve [Abstract] | |||||||||
Total Cash Payments for Restructuring, Exit, Integration and Impairment Charges | 2.7 | [1] | 1 | [1] | 7.7 | [2] | 1.2 | [2] | |
Accrued Charges at End of the Period | [3],[4] | 8.9 | 16 | 8.9 | 16 | ||||
Boat [Member] | Restructuring and Exit Activities [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Employee Termination and Other Benefits | 0.2 | 4.7 | 0.6 | 6.7 | |||||
Current Asset Write-Downs (Gains on Disposal) | 0.2 | 15.5 | 0.4 | 15.5 | |||||
Professional Fees | 0.3 | 2.9 | 0.3 | 3.5 | |||||
Other | 0.3 | 6 | 0.4 | 6 | |||||
Boat [Member] | Asset disposition and impairment actions [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Definite-Lived and Other Asset Impairments | 1.6 | 9.4 | 2.9 | 9.4 | |||||
Valuation Allowance Reversal | 0 | (5) | 0 | (5) | |||||
Corporate Segment [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Total Restructuring, Exit and Impairment Charges | 2.2 | 0.7 | 3.4 | 0.7 | |||||
Restructuring Reserve [Abstract] | |||||||||
Total Cash Payments for Restructuring, Exit, Integration and Impairment Charges | 0.1 | [1] | 0 | [1] | 0.3 | [2] | 0.3 | [2] | |
Accrued Charges at End of the Period | [3],[4] | 4.1 | 0.9 | 4.1 | 0.9 | ||||
Corporate Segment [Member] | Restructuring and Exit Activities [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Employee Termination and Other Benefits | 1.1 | 0.7 | 2.3 | 0.7 | |||||
Current Asset Write-Downs (Gains on Disposal) | 0 | 0 | 0 | 0 | |||||
Professional Fees | 1.1 | 0 | 1.1 | 0 | |||||
Other | 0 | 0 | 0 | 0 | |||||
Corporate Segment [Member] | Asset disposition and impairment actions [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Definite-Lived and Other Asset Impairments | 0 | 0 | 0 | 0 | |||||
Valuation Allowance Reversal | 0 | $ 0 | 0 | $ 0 | |||||
Marine Engine [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Total Restructuring, Exit and Impairment Charges | 0.6 | 0.6 | |||||||
Restructuring Reserve [Abstract] | |||||||||
Total Cash Payments for Restructuring, Exit, Integration and Impairment Charges | 0 | [1] | 0 | [2] | |||||
Accrued Charges at End of the Period | [3],[4] | 0.6 | 0.6 | ||||||
Marine Engine [Member] | Restructuring and Exit Activities [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Employee Termination and Other Benefits | 0.6 | 0.6 | |||||||
Current Asset Write-Downs (Gains on Disposal) | 0 | 0 | |||||||
Professional Fees | 0 | 0 | |||||||
Other | 0 | 0 | |||||||
Marine Engine [Member] | Asset disposition and impairment actions [Member] | |||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||
Definite-Lived and Other Asset Impairments | 0 | 0 | |||||||
Valuation Allowance Reversal | $ 0 | $ 0 | |||||||
[1] | (A) Cash payments for the three months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. | ||||||||
[2] | (A) Cash payments for the six months ended June 29, 2019 and June 30, 2018 may include payments related to prior period charges. | ||||||||
[3] | (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. | ||||||||
[4] | (B) Restructuring, exit and impairment charges accrued as of June 29, 2019 are expected to be paid during 2019 and 2020. |
Financial Instruments Financi_2
Financial Instruments Financial Instruments (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Senior Notes Due 2021 [Member] | |||
Derivative [Line Items] | |||
Interest Rate | 4.625% | 4.625% | 4.625% |
Debentures Due 2023 [Member] | |||
Derivative [Line Items] | |||
Interest Rate | 7.375% | 7.375% | 7.375% |
Foreign Exchange Forward [Member] | |||
Derivative [Line Items] | |||
Notional Values | $ 395,600,000 | $ 251,100,000 | $ 308,900,000 |
Foreign Exchange Option [Member] | |||
Derivative [Line Items] | |||
Notional Values | 17,800,000 | 18,000,000 | 27,200,000 |
Foreign Exchange Contracts [Member] | |||
Derivative [Line Items] | |||
Cash Flow Hedge Gain (Loss) to be Reclassified Within Twelve Months | 4,300,000 | ||
Interest Rate Swap [Member] | |||
Derivative [Line Items] | |||
Notional Values | 200,000,000 | 200,000,000 | 200,000,000 |
Interest Rate Swap [Member] | Senior Notes Due 2021 [Member] | |||
Derivative [Line Items] | |||
Notional Values | 150,000,000 | 150,000,000 | 150,000,000 |
Interest Rate Swap [Member] | Debentures Due 2023 [Member] | |||
Derivative [Line Items] | |||
Notional Values | 50,000,000 | 50,000,000 | 50,000,000 |
Forward-Starting Interest Rate Swap [Member] | |||
Derivative [Line Items] | |||
Cash Flow Hedge Gain (Loss) to be Reclassified Within Twelve Months | (600,000) | ||
Amount of Gain (Loss) Estimated to be Reclassified from Accumulated Other Comprehensive Loss to Cost of Sales or Interest Expense | $ (2,200,000) | $ (2,900,000) | $ (2,500,000) |
Financial Instruments, Fair Val
Financial Instruments, Fair Values of Derivative Instruments (Details) - USD ($) $ in Millions | Jun. 29, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Foreign Exchange Contracts [Member] | Prepaid Expenses and Other [Member] | Other Hedging Activity [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Assets | $ 0.5 | $ 0.8 | $ 0.7 |
Foreign Exchange Contracts [Member] | Accrued Expenses [Member] | Other Hedging Activity [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Liabilities | 0.4 | 0 | 0.1 |
Cash Flow Hedging [Member] | Foreign Exchange Contracts [Member] | Prepaid Expenses and Other [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Assets | 4.6 | 6.8 | 4.8 |
Cash Flow Hedging [Member] | Foreign Exchange Contracts [Member] | Accrued Expenses [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Liabilities | 1.8 | 0.3 | 0.7 |
Fair Value Hedging [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Assets | 2.2 | 0 | 2.1 |
Total Derivative Liabilities | 0 | 1.9 | 5.2 |
Fair Value Hedging [Member] | Interest Rate Contracts [Member] | Prepaid Expenses and Other [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Assets | 0 | 0 | 2.1 |
Fair Value Hedging [Member] | Interest Rate Contracts [Member] | Accrued Expenses [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Liabilities | 0 | 0.1 | 2.1 |
Fair Value Hedging [Member] | Interest Rate Contracts [Member] | Other Long-Term Assets [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Assets | 2.2 | 0 | 0 |
Fair Value Hedging [Member] | Interest Rate Contracts [Member] | Other Long-Term Liabilities [Member] | Derivatives Designated as Hedging Instruments [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total Derivative Liabilities | $ 0 | $ 1.8 | $ 3.1 |
Financial Instruments, Condense
Financial Instruments, Condensed Consolidated Statements of Comprehensive Income, Effect of Derivative Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |
Other Hedging Activity [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Earnings | $ (0.2) | $ 9.3 | $ 1.3 | $ 6.4 |
Foreign Exchange Contracts [Member] | Cost of Sales [Member] | Other Hedging Activity [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Earnings | (0.8) | 7.5 | 0.7 | 5.7 |
Foreign Exchange Contracts [Member] | Other Income (Expense), Net | Other Hedging Activity [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Earnings | 0.6 | 1.8 | 0.6 | 0.7 |
Cash Flow Hedging [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Accumulated Other Comprehensive Loss (Effective Portion) | (0.3) | 8.5 | 1 | 5.3 |
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings (Effective Portion) | 2.7 | (1.4) | 5.1 | (3.9) |
Cash Flow Hedging [Member] | Interest Rate Contracts [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Accumulated Other Comprehensive Loss (Effective Portion) | 0 | 0 | 0 | 0 |
Cash Flow Hedging [Member] | Interest Rate Contracts [Member] | Interest Expense [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings (Effective Portion) | (0.2) | (0.2) | (0.3) | (0.5) |
Cash Flow Hedging [Member] | Foreign Exchange Contracts [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Accumulated Other Comprehensive Loss (Effective Portion) | (0.3) | 8.5 | 1 | 5.3 |
Cash Flow Hedging [Member] | Foreign Exchange Contracts [Member] | Cost of Sales [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Earnings (Effective Portion) | 2.9 | (1.2) | 5.4 | (3.4) |
Fair Value Hedging [Member] | Interest Rate Contracts [Member] | Interest Expense [Member] | Derivatives Designated as Hedging Instruments [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) on Derivatives Recognized in Earnings | $ (0.1) | $ (0.2) | $ (0.2) | $ 0 |
Financial Instruments, Fair V_2
Financial Instruments, Fair Value of Other Financial Instruments (Details) - USD ($) $ in Millions | Jun. 29, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||
Fair Value of the Company's Long-Term Debt Including Current Maturities | $ 1,358.1 | $ 1,292.9 | $ 491.4 |
Long-Term Debt | $ 1,301.9 | $ 1,226.4 | $ 438.8 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Fair Value, Recurring [Member] - USD ($) $ in Millions | Jun. 29, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Assets: | |||
Cash Equivalents | $ 150.2 | ||
Short-Term Investments in Marketable Securities | 0.8 | $ 0.8 | $ 0.8 |
Restricted Cash | 11.6 | 9 | 9.4 |
Derivatives | 7.3 | 7.6 | 7.6 |
Total Assets | 169.9 | 17.4 | 17.8 |
Liabilities: | |||
Derivatives | 2.2 | 2.2 | 6 |
Deferred Compensation | 28.4 | 24.2 | 30.7 |
Total Liabilities at Fair Value | 30.6 | 26.4 | 36.7 |
Liabilities Measured at Net Asset Value | 11.5 | 10.2 | 10.3 |
Total Liabilities | 42.1 | 36.6 | 47 |
Level 1 [Member] | |||
Assets: | |||
Cash Equivalents | 150.2 | ||
Short-Term Investments in Marketable Securities | 0.8 | 0.8 | 0.8 |
Restricted Cash | 11.6 | 9 | 9.4 |
Derivatives | 0 | 0 | 0 |
Total Assets | 162.6 | 9.8 | 10.2 |
Liabilities: | |||
Derivatives | 0 | 0 | 0 |
Deferred Compensation | 2.7 | 3.5 | 3.9 |
Total Liabilities at Fair Value | 2.7 | 3.5 | 3.9 |
Level 2 [Member] | |||
Assets: | |||
Cash Equivalents | 0 | ||
Short-Term Investments in Marketable Securities | 0 | 0 | 0 |
Restricted Cash | 0 | 0 | 0 |
Derivatives | 7.3 | 7.6 | 7.6 |
Total Assets | 7.3 | 7.6 | 7.6 |
Liabilities: | |||
Derivatives | 2.2 | 2.2 | 6 |
Deferred Compensation | 25.7 | 20.7 | 26.8 |
Total Liabilities at Fair Value | $ 27.9 | $ 22.9 | $ 32.8 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Shares Available for Grant (in Shares) | 5,000,000 | 5,000,000 | ||
Percentage of Premium Paid Out in Deferred Company Common Stock | 20.00% | |||
Non-Vested Stock Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Performance Shares Granted (in Shares) | 0 | 0 | 400,000 | 200,000 |
Share-Based Compensation Expense | $ 1.6 | $ 3 | $ 3.7 | $ 5.1 |
Unrecognized Compensation Cost | 17.1 | $ 17.1 | ||
Unrecognized Compensation Cost, Period for Recognition | 1 year 9 months 18 days | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-Based Compensation Expense | 2.6 | $ 1.7 | $ 3.3 | $ 1.1 |
Unrecognized Compensation Cost | $ 6.2 | $ 6.2 | ||
Unrecognized Compensation Cost, Period for Recognition | 1 year 2 months 12 days | |||
Certain Senior Executives [Member] | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Performance Shares Granted (in Shares) | 100,000 | 100,000 | ||
Weighted Average Price at Grant Date (in Dollars per Share) | $ 49.64 | $ 61.59 | $ 49.64 | $ 61.59 |
Risk-Free Interest Rate | 2.90% | 2.40% | ||
Dividend Yield | 1.70% | 1.30% | ||
Volatility Factor | 41.00% | 38.90% | ||
Expected Life of Award | 2 years 10 months 24 days | 2 years 10 months 24 days | ||
Certain Officers and Certain Senior Managers [Member] | Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Performance Shares Granted (in Shares) | 24,605 | 24,490 | ||
Weighted Average Price at Grant Date (in Dollars per Share) | $ 47.61 | $ 57.19 | $ 47.61 | $ 57.19 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Millions | May 31, 2019 | Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2017 | ||
Loss Contingencies [Line Items] | ||||||
Warranty Liability Retained from Discontinued Operations | $ 7.1 | [1] | $ 0 | |||
Activity Related to Product Warranty Liabilities [Roll Forward] | ||||||
Balance at Beginning of Period | 116.8 | 101.7 | ||||
Payments Made | (35) | (27.6) | ||||
Provisions/Additions for Contracts Issued/Sold | 32.1 | 32 | ||||
Aggregate Changes for Preexisting Warranties | 1 | 6 | ||||
Foreign Currency Translation | 0.2 | (0.7) | ||||
Other | 0.1 | 0.3 | ||||
Warranty Liability Retained from Discontinued Operations | 7.1 | [1] | 0 | |||
Balance at End of Period | 122.3 | 111.7 | $ 101.7 | |||
Activity Related to Extended Product Warranty Accrual [Roll Forward] | ||||||
Balance at Beginning of Period | 66.4 | 56.9 | ||||
Extended Warranty Contracts Sold | 13.9 | 13 | ||||
Revenue Recognized on Existing Extended Warranty Contracts | (7.3) | (5.8) | ||||
Foreign Currency Translation | 0.2 | (0.2) | ||||
Other | (0.1) | (0.1) | ||||
Balance at End of Period | 73.1 | $ 63.8 | 56.9 | |||
Cobalt Boats, LLC [Member] | Judicial Ruling [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Litigation Settlement, Amount Awarded from Other Party | $ 5.4 | |||||
Litigation Settlement, Expense | $ 2.5 | |||||
Fitness [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Warranty Liability Retained from Discontinued Operations | [1] | 7.1 | ||||
Activity Related to Product Warranty Liabilities [Roll Forward] | ||||||
Warranty Liability Retained from Discontinued Operations | [1] | $ 7.1 | ||||
[1] | (A) The Company retained a $7.1 million warranty liability from the sale of its Fitness business. The warranty liability pertains to product field campaigns for certain Cybex products designed prior to the Cybex acquisition. |
Goodwill and Intangibles Goodwi
Goodwill and Intangibles Goodwill (Details) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | $ 377.3 | $ 33.9 | |
Acquisitions | 26 | 0 | |
Impairments | 0 | 0 | |
Adjustments | 7.4 | (0.4) | |
Goodwill, Ending Balance | 410.7 | 33.5 | |
Goodwill, Impaired, Accumulated Impairment Loss | 0 | 0 | $ 0 |
Marine Engine [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | 375.1 | 31.7 | |
Acquisitions | 0 | 0 | |
Impairments | 0 | 0 | |
Adjustments | 7.4 | (0.4) | |
Goodwill, Ending Balance | 382.5 | 31.3 | |
Boat [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | 2.2 | 2.2 | |
Acquisitions | 26 | 0 | |
Impairments | 0 | 0 | |
Adjustments | 0 | 0 | |
Goodwill, Ending Balance | $ 28.2 | $ 2.2 |
Goodwill and Intangibles Finite
Goodwill and Intangibles Finite-Lived Intangibles (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | $ 871 | $ 301.2 | $ 871 | $ 301.2 | $ 841.7 |
Accumulated Amortization | (271.6) | (242.7) | (271.6) | (242.7) | (255.9) |
Amortization Expense for Intangibles | 7.8 | 0.7 | 15.7 | 1.4 | |
Trade Names [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | 165.8 | 41.7 | 165.8 | 41.7 | 152.5 |
Accumulated Amortization | 0 | 0 | 0 | 0 | 0 |
Customer Relationships [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | 686.9 | 246 | 686.9 | 246 | 675.7 |
Accumulated Amortization | (258.8) | (230.3) | (258.8) | (230.3) | (243.3) |
Other [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | 18.3 | 13.5 | 18.3 | 13.5 | 13.5 |
Accumulated Amortization | (12.8) | (12.4) | (12.8) | (12.4) | (12.6) |
Marine Engine [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | 618.5 | 77.8 | 618.5 | 77.8 | 618.3 |
Accumulated Amortization | (67.3) | (39.3) | (67.3) | (39.3) | (52) |
Boat [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross Amount | 252.5 | 223.4 | 252.5 | 223.4 | 223.4 |
Accumulated Amortization | $ (204.3) | $ (203.4) | $ (204.3) | $ (203.4) | $ (203.9) |
Segment Data (Details)
Segment Data (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||||||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | $ 1,163.5 | $ 1,148.7 | $ 2,214.2 | $ 2,115.7 | |||||
Operating Income (Loss) | 162.7 | 93.1 | 276.8 | 187.6 | |||||
Total Assets | 4,040.8 | 3,436.7 | 4,040.8 | 3,436.7 | $ 4,291.5 | ||||
Assets Held-For-Sale | 3 | 6.3 | 3 | 6.3 | 8.9 | ||||
Disposal Group, Including Discontinued Operation, Assets | 987.7 | 987.7 | 978.6 | ||||||
Marine Eliminations [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | (74.6) | (80.5) | (163.2) | (177.1) | |||||
Operating Income (Loss) | 0 | 0 | 0 | 0 | |||||
Marine Engine [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | 871.5 | 834.3 | 1,637.5 | 1,521.4 | |||||
Operating Income (Loss) | 164.6 | 149.1 | 277.5 | 244.8 | |||||
Total Assets | 2,611 | 1,345.7 | 2,611 | 1,345.7 | 2,380.9 | ||||
Boat [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | 366.6 | 394.9 | 739.9 | 771.4 | |||||
Operating Income (Loss) | 20.8 | (32.2) | 42.8 | (17.8) | |||||
Total Assets | [1] | 476.8 | 408.1 | 476.8 | 408.1 | 423.2 | |||
Total Marine [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | 1,163.5 | 1,148.7 | 2,214.2 | 2,115.7 | |||||
Operating Income (Loss) | 185.4 | 116.9 | 320.3 | 227 | |||||
Total Assets | 3,087.8 | 1,753.8 | 3,087.8 | 1,753.8 | 2,804.1 | ||||
Corporate/Other [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | 0 | 0 | 0 | 0 | |||||
Operating Income (Loss) | (22.7) | (23.8) | (43.5) | (39.4) | |||||
Total Assets | 953 | 695.2 | 953 | 695.2 | 508.8 | ||||
Total - Segment [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Net Sales | 1,163.5 | 1,148.7 | 2,214.2 | 2,115.7 | |||||
Operating Income (Loss) | 162.7 | 93.1 | 276.8 | 187.6 | |||||
Total Assets | $ 4,040.8 | $ 2,449 | [2] | $ 4,040.8 | $ 2,449 | [2] | $ 3,312.9 | [2] | |
[1] | (A) As of June 29, 2019 , December 31, 2018 and June 30, 2018 , the Company had $3.0 million , $8.9 million and $6.3 million , respectively, of assets classified as held for sale which were not related to discontinued operations. These assets were recorded within Net Property as of June 29, 2019 and recorded within Long term assets held for sale as of December 31, 2018 and June 30, 2018. | ||||||||
[2] | (B) As of December 31, 2018 and June 30, 2018 , the Company had $978.6 million and $987.7 million , respectively, of assets classified as held for sale in the Condensed Consolidated Balance Sheets relating to discontinued operations. See Note 3 – Discontinued Operations for further details. |
Comprehensive Income (Details)
Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||||
Jun. 29, 2019 | Mar. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |||||
Comprehensive Income [Abstract] | ||||||||||
Net Earnings | $ 77.5 | $ (36.3) | $ 79 | $ 72.9 | $ 41.2 | $ 151.9 | ||||
Foreign Currency Cumulative Translation Adjustment | 15.1 | (19.6) | 15.2 | (9.7) | ||||||
Net Change in Unamortized Prior Service Credits | (0.2) | (0.1) | (0.3) | (0.2) | ||||||
Net Change in Unamortized Actuarial Losses | 2.8 | 2.3 | 4.7 | 4.2 | ||||||
Net Change in Unrealized Derivative Losses | (2.1) | 7 | (3) | 6.3 | ||||||
Total Other Comprehensive Income | 15.6 | (10.4) | 16.6 | 0.6 | ||||||
Comprehensive Income | 93.1 | 68.6 | 57.8 | 152.5 | ||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||
Accumulated Other Comprehensive Loss, Net of Tax, Beginning Balance | (362.1) | (363.1) | (348.8) | (359.8) | (363.1) | (359.8) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||
Other Comprehensive Income (Loss) Before Reclassifications | 2.1 | [1] | (13.6) | [2] | 2.9 | [1] | (6.6) | [1] | ||
Amounts Reclassified from Accumulated Other Comprehensive Loss | 13.5 | [3] | 3.2 | [4] | 13.7 | [3] | 7.2 | [3] | ||
Net Other Comprehensive Income (Loss) | 15.6 | 1 | (10.4) | 11 | 16.6 | 0.6 | ||||
Accumulated Other Comprehensive Loss, Net of Tax, Ending Balance | (346.5) | (362.1) | (359.2) | (348.8) | (346.5) | (359.2) | ||||
Other Comprehensive Income (Loss), Tax, Portion Attributable to Parent [Abstract] | ||||||||||
Foreign Currency Translation Adjustments Arising During Period, Tax Effect | (1) | 2.1 | (0.8) | 2.3 | ||||||
Net Actuarial Gains (Losses) Arising During Period, Tax Effect | 0.9 | (0.2) | 0.9 | (0.1) | ||||||
Gains (Losses) on Derivatives Arising During Period, Tax Effect | 0.3 | (2.3) | (0.3) | (1.5) | ||||||
Foreign Currency Translation | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||
Accumulated Other Comprehensive Loss, Net of Tax, Beginning Balance | (48.8) | (48.9) | (21.7) | (31.6) | (48.9) | (31.6) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||
Other Comprehensive Income (Loss) Before Reclassifications | 1.3 | [1] | (19.6) | [2] | 1.4 | [1] | (9.7) | [1] | ||
Amounts Reclassified from Accumulated Other Comprehensive Loss | 13.8 | [3] | 0 | [4] | 13.8 | [3] | 0 | [3] | ||
Net Other Comprehensive Income (Loss) | 15.1 | (19.6) | 15.2 | (9.7) | ||||||
Accumulated Other Comprehensive Loss, Net of Tax, Ending Balance | (33.7) | (48.8) | (41.3) | (21.7) | (33.7) | (41.3) | ||||
Prior Service Credits | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||
Accumulated Other Comprehensive Loss, Net of Tax, Beginning Balance | (6.2) | (6.1) | (5.7) | (5.6) | (6.1) | (5.6) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||
Other Comprehensive Income (Loss) Before Reclassifications | 0 | [1] | 0 | [2] | 0 | [1] | 0 | [1] | ||
Amounts Reclassified from Accumulated Other Comprehensive Loss | (0.2) | [3] | (0.1) | [4] | (0.3) | [3] | (0.2) | [3] | ||
Net Other Comprehensive Income (Loss) | (0.2) | (0.1) | (0.3) | (0.2) | ||||||
Accumulated Other Comprehensive Loss, Net of Tax, Ending Balance | (6.4) | (6.2) | (5.8) | (5.7) | (6.4) | (5.8) | ||||
Net Actuarial Losses | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||
Accumulated Other Comprehensive Loss, Net of Tax, Beginning Balance | (304.3) | (306.2) | (308.9) | (310.8) | (306.2) | (310.8) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||
Other Comprehensive Income (Loss) Before Reclassifications | 0.9 | [1] | 0.5 | [2] | 0.9 | [1] | 0.4 | [1] | ||
Amounts Reclassified from Accumulated Other Comprehensive Loss | 1.9 | [3] | 1.8 | [4] | 3.8 | [3] | 3.8 | [3] | ||
Net Other Comprehensive Income (Loss) | 2.8 | 2.3 | 4.7 | 4.2 | ||||||
Accumulated Other Comprehensive Loss, Net of Tax, Ending Balance | (301.5) | (304.3) | (306.6) | (308.9) | (301.5) | (306.6) | ||||
Net Derivative Losses | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||
Accumulated Other Comprehensive Loss, Net of Tax, Beginning Balance | (2.8) | (1.9) | (12.5) | (11.8) | (1.9) | (11.8) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||
Other Comprehensive Income (Loss) Before Reclassifications | (0.1) | [1] | 5.5 | [2] | 0.6 | [1] | 2.7 | [1] | ||
Amounts Reclassified from Accumulated Other Comprehensive Loss | (2) | [3] | 1.5 | [4] | (3.6) | [3] | 3.6 | [3] | ||
Net Other Comprehensive Income (Loss) | (2.1) | 7 | (3) | 6.3 | ||||||
Accumulated Other Comprehensive Loss, Net of Tax, Ending Balance | $ (4.9) | $ (2.8) | $ (5.5) | $ (12.5) | $ (4.9) | $ (5.5) | ||||
[1] | (A) The tax effects for the three months ended June 29, 2019 were $(1.0) million for foreign currency translation, $0.9 million for net actuarial losses arising during the period and $0.3 million for derivatives. | |||||||||
[2] | (A) The tax effects for the three months ended June 30, 2018 were $2.1 million for foreign currency translation, $(0.2) million for net actuarial losses arising during the period and $(2.3) million for derivatives. | |||||||||
[3] | (B) See the table below for the tax effects for the three months ended June 29, 2019 . | |||||||||
[4] | (B) See the table below for the tax effects for the three months ended June 30, 2018 . |
Comprehensive Income, Reclassif
Comprehensive Income, Reclassification out of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||||||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Mar. 30, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Loss on Disposal of Discontinued Operations, Net of Tax | $ (41.5) | [1] | $ 0 | $ (41.5) | [1] | $ 0 | ||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 143.8 | 84.5 | 238.8 | 173.6 | ||||||
Income Tax Expense (Benefit) | (31.7) | (16.4) | (50.5) | (41.7) | ||||||
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 112.1 | 68.1 | 188.3 | 131.9 | ||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (346.5) | (359.2) | (346.5) | (359.2) | $ (362.1) | $ (363.1) | $ (348.8) | $ (359.8) | ||
Prior Service Credits | 0.2 | 0.1 | 0.4 | 0.3 | ||||||
Net Actuarial Losses | (2.6) | (2.6) | (5.1) | (5.1) | ||||||
Defined Benefit Items, Earnings Before Income Taxes | (2.4) | (2.5) | (4.7) | (4.8) | ||||||
Defined Benefit Items, Income Tax Provision | 0.7 | 0.8 | 1.2 | 1.2 | ||||||
Defined Benefit Items, Net Earnings From Continuing Operations | (1.7) | (1.7) | (3.5) | (3.6) | ||||||
Derivatives, Earnings Before Income Taxes | 2.8 | (2.1) | 5.1 | (5) | ||||||
Derivatives, Income Tax Provision | (0.8) | 0.6 | (1.5) | 1.4 | ||||||
Derivatives, Net Earnings From Continuing Operations | 2 | (1.5) | 3.6 | (3.6) | ||||||
Interest Expense [Member] | Interest Rate Contract [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Derivatives, Earnings Before Income Taxes | (0.1) | (0.2) | (0.3) | (0.5) | ||||||
Cost of Sales [Member] | Foreign Exchange Contracts [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Derivatives, Earnings Before Income Taxes | 2.9 | (1.9) | 5.4 | (4.5) | ||||||
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (33.7) | (41.3) | (33.7) | (41.3) | (48.8) | (48.9) | (21.7) | (31.6) | ||
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (6.4) | (5.8) | (6.4) | (5.8) | (6.2) | (6.1) | (5.7) | (5.6) | ||
Accumulated Defined Benefit Plans Adjustment, Net Gain (Loss) Attributable to Parent [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (301.5) | (306.6) | (301.5) | (306.6) | (304.3) | (306.2) | (308.9) | (310.8) | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax | (4.9) | (5.5) | (4.9) | (5.5) | $ (2.8) | $ (1.9) | $ (12.5) | $ (11.8) | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||
Loss on Disposal of Discontinued Operations, Net of Tax | (13.9) | 0 | (13.9) | 0 | ||||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (13.9) | 0 | (13.9) | 0 | ||||||
Income Tax Expense (Benefit) | 0.1 | 0 | 0.1 | 0 | ||||||
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | $ (13.8) | $ 0 | $ (13.8) | $ 0 | ||||||
[1] | (A) The Loss on disposal of discontinued operations for the three and six months ended June 29, 2019 includes a pre-tax loss of $47.7 million and a net tax benefit of $6.2 million . |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||||
Income Tax Provision From Continuing Operations | $ 31.7 | $ 16.4 | $ 50.5 | $ 41.7 | |
Effective Income Tax Rate Reconciliation, Other Reconciling Items, Amount | $ 1.8 | $ (1.1) | $ 0.1 | $ 5.6 | |
Effective Tax Rate From Continuing Operations | 22.00% | 19.40% | 21.10% | 24.00% | |
Deferred Tax Liability Not Recognized, Amount of Unrecognized Deferred Tax Liability, Undistributed Earnings of Foreign Subsidiaries | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
Gross Unrecognized Tax Benefits, Including Interest | 2.2 | $ 2.8 | 2.2 | $ 2.8 | $ 2.3 |
Possible Decrease in Unrecognized Tax Benefits in the Next 12 Months | $ 0.3 | $ 0.3 |
Postretirement Benefits (Detail
Postretirement Benefits (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 29, 2019 | Jun. 30, 2018 | Jun. 29, 2019 | Jun. 30, 2018 | |
Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest Cost | $ 2.6 | $ 5.7 | $ 5.2 | $ 11.4 |
Expected Return on Plan Assets | (3.4) | (6.4) | (6.7) | (12.7) |
Amortization of Prior Service Credits | 0 | 0 | 0 | 0 |
Amortization of Net Actuarial Losses | 2.6 | 2.6 | 5.1 | 5.1 |
Net Pension and Other Benefit Costs | 1.8 | 1.9 | 3.6 | 3.8 |
Other Postretirement Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest Cost | 0.3 | 0.2 | 0.6 | 0.5 |
Expected Return on Plan Assets | 0 | 0 | 0 | 0 |
Amortization of Prior Service Credits | (0.2) | (0.1) | (0.4) | (0.3) |
Amortization of Net Actuarial Losses | 0 | 0 | 0 | 0 |
Net Pension and Other Benefit Costs | $ 0.1 | $ 0.1 | 0.2 | 0.2 |
Nonqualified Plan [Member] | Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Company Contributions | 2.4 | 2.1 | ||
Qualified Plan [Member] | Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Company Contributions | $ 0 | $ 35 |
Debt (Details)
Debt (Details) - USD ($) $ in Millions | Mar. 04, 2019 | Jun. 29, 2019 | Aug. 09, 2018 |
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 800 | ||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 21.7 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 41.6 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 190.9 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 37.1 | ||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 305.3 | ||
Long-term Debt, Maturities, Repayments of Principal after Year Five | 683.8 | ||
Long-term Debt | 1,280.4 | ||
Line of Credit Facility, Maximum Borrowing Capacity | 400 | ||
Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Increase (Decrease), Other, Net | 100 | ||
Proceeds from Lines of Credit | 655 | ||
Repayments of Lines of Credit | 655 | ||
Line of Credit Facility, Fair Value of Amount Outstanding | 0 | ||
Line of Credit Facility, Remaining Borrowing Capacity | 396.4 | ||
Letters of Credit Outstanding, Amount | 3.6 | ||
Line of Credit Facility, Maximum Amount Utilized | $ 258.6 | ||
Unsecured Debt [Member] | Senior Notes Due 2049 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 230 | ||
Interest Rate | 6.375% | ||
Debt Instrument, Maturity Date | Apr. 15, 2049 | ||
Proceeds from Issuance of Debt | $ 222 | ||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||
Debt Instrument, Redemption Price, Triggering Event | 101.00% | ||
Unsecured Debt [Member] | Term Loan Due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 150 |
Leases Lease Assets and Lease L
Leases Lease Assets and Lease Liabilities (Details) - USD ($) $ in Millions | Jun. 29, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Assets and Liabilities, Lessee [Abstract] | ||||
Operating Lease Assets | $ 80.4 | $ 80.1 | $ 0 | $ 0 |
Current Operating Lease Liabilities | 18.2 | |||
Non-Current Operating Lease Liabilities | 67.1 | $ 67.1 | $ 0 | $ 0 |
Total Lease Liabilities | $ 85.3 |
Leases Lease Cost (Details)
Leases Lease Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 29, 2019 | Jun. 29, 2019 | ||
Lessee, Lease, Description [Line Items] | |||
Lease, Cost | [1] | $ 10.3 | $ 18 |
Selling, General and Administrative Expenses [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating Lease, Cost | 1.5 | 3.1 | |
Variable Lease, Cost | 0.1 | 0.3 | |
Cost of Sales [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Operating Lease, Cost | 7.7 | 12.6 | |
Variable Lease, Cost | $ 1 | $ 2 | |
[1] | (A) Includes total short-term lease cost which is immaterial. |
Leases Operating Lease Liabilit
Leases Operating Lease Liability, Maturity Analysis (Details) $ in Millions | 6 Months Ended |
Jun. 29, 2019USD ($) | |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2019 | $ 11.7 |
2020 | 19.9 |
2021 | 17.1 |
2022 | 15.3 |
2023 | 12.9 |
Thereafter | 21 |
Total Lease Payments | 97.9 |
Less: Interest | 12.6 |
Present Value of Lease Liabilities | $ 85.3 |
Leases Other Lease Disclosures
Leases Other Lease Disclosures (Details) $ in Millions | 3 Months Ended | 6 Months Ended |
Jun. 29, 2019USD ($) | Jun. 29, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | ||
Operating Lease, Weighted Average Discount Rate, Percent | 4.96% | 4.96% |
Operating Lease, Weighted Average Remaining Lease Term | 5 years 7 months 6 days | 5 years 7 months 6 days |
Operating Cash Flows From Operating Leases | $ 6.1 | $ 11.5 |
Minimum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Renewal Term | 1 year | 1 year |
Maximum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Renewal Term | 5 years | 5 years |
Leases Future Minimum Lease Pay
Leases Future Minimum Lease Payments (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 29, 2019 | Dec. 31, 2018 | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ||
2019 | $ 31.4 | |
2020 | 24.5 | |
2021 | 21 | |
2022 | 14.7 | |
2023 | 11.4 | |
Thereafter | 20.1 | |
Total (Not Reduced by Minimum Sublease Income of $0.1) | $ 123.1 | |
Sublease Income | $ 0.1 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Millions | Jul. 18, 2019 | Jun. 29, 2019 | Jul. 16, 2019 | Jul. 03, 2019 | May 08, 2019 |
Subsequent Event [Line Items] | |||||
Stock Repurchase Program, Authorized Amount | $ 450 | ||||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Stock Repurchase Program, Authorized Amount | $ 150 | ||||
Stock Repurchase Program, Total Authorized Amount | 600 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 565 | ||||
Subsequent Event [Member] | Brunswick Pension Plan For Hourly Bargaining Unit Employees and Brunswick Pension Plan For Salaried Employees [Member] | |||||
Subsequent Event [Line Items] | |||||
Settlement Payments | $ 595.8 | ||||
Lump Sum Payments | 77.1 | ||||
Senior Notes Due 2021 [Member] | |||||
Subsequent Event [Line Items] | |||||
Debt Date of Retirement | Aug. 2, 2019 | ||||
Senior Notes Due 2021 [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Senior Notes | $ 150 | ||||
Interest Rate | 4.625% | ||||
Minimum [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated Charges in Connection with Settlement of Pension Plan, After-Tax | 280 | ||||
Minimum [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated Charges in Connection with Settlement of Pension Plan, Pre-Tax | 280 | ||||
Maximum [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated Charges in Connection with Settlement of Pension Plan, After-Tax | 300 | ||||
Maximum [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Estimated Charges in Connection with Settlement of Pension Plan, Pre-Tax | $ 300 |