Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 28, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | DIEBOLD INC | |
Entity Central Index Key | 28823 | |
Document Type | 10-Q | |
Document Period End Date | 31-Mar-15 | |
Amendment Flag | FALSE | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 64,846,175 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Current assets | ||
Cash and cash equivalents | $227.10 | $322 |
Short-term investments | 114.4 | 136.7 |
Trade receivables, less allowances for doubtful accounts of $23.0 at March 31, 2015 and December 31, 2014 | 514.6 | 477.9 |
Inventories | 422.5 | 405.2 |
Deferred income taxes | 110.6 | 111 |
Prepaid expenses | 24.4 | 22 |
Prepaid income taxes | 19.2 | 11.7 |
Other current assets | 166.5 | 169 |
Total current assets | 1,599.30 | 1,655.50 |
Securities and other investments | 82.5 | 83.6 |
Property, plant and equipment, at cost | 609.2 | 612.9 |
Less accumulated depreciation and amortization | 436.4 | 443.4 |
Property, plant and equipment, net | 172.8 | 169.5 |
Goodwill | 208 | 172 |
Deferred income taxes | 85.7 | 86.5 |
Finance lease receivables | 66.4 | 90.4 |
Other assets | 99.7 | 84.6 |
Total assets | 2,314.40 | 2,342.10 |
Current liabilities | ||
Notes payable | 44.7 | 25.6 |
Accounts payable | 270 | 261.7 |
Deferred revenue | 316.1 | 275.1 |
Payroll and other benefits liabilities | 72.4 | 116.8 |
Other current liabilities | 322 | 348.5 |
Total current liabilities | 1,025.20 | 1,027.70 |
Long-term debt | 534.7 | 479.8 |
Pensions and other benefits | 199.7 | 211 |
Post-retirement and other benefits | 20.6 | 20.8 |
Deferred income taxes | 18.1 | 6.5 |
Other long-term liabilities | 43.3 | 41.4 |
Commitments and contingencies | 0 | 0 |
Diebold, Incorporated shareholders' equity | ||
Preferred shares, no par value, 1,000,000 authorized shares, none issued | 0 | 0 |
Common shares, $1.25 par value, 125,000,000 authorized shares, 79,524,078 and 79,238,759 issued shares, 64,841,120 and 64,632,400 outstanding shares at March 31, 2015 and December 31, 2014, respectively | 99.4 | 99 |
Additional capital | 423 | 418.1 |
Retained earnings | 740.5 | 762.2 |
Treasury shares, at cost (14,682,958 and 14,606,359 shares at March 31, 2015 and December 31, 2014, respectively) | -559.8 | -557.2 |
Accumulated other comprehensive loss | -253.6 | -190.5 |
Total Diebold, Incorporated shareholders' equity | 449.5 | 531.6 |
Noncontrolling interests | 23.3 | 23.3 |
Total equity | 472.8 | 554.9 |
Total liabilities and equity | $2,314.40 | $2,342.10 |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, except Share data, unless otherwise specified | ||
Current assets | ||
Allowances for doubtful accounts | $23 | $23 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $436.40 | $443.40 |
Diebold, Incorporated shareholders' equity | ||
Preferred shares, par value | $0 | $0 |
Preferred shares, shares authorized | 1,000,000 | 1,000,000 |
Preferred shares, shares issued | 0 | 0 |
Common shares, par value | $1.25 | $1.25 |
Common shares, shares authorized | 125,000,000 | 125,000,000 |
Common shares, shares issued | 79,524,078 | 79,238,759 |
Common shares, shares outstanding | 64,841,120 | 64,632,400 |
Treasury shares, at cost, shares | 14,682,958 | 14,606,359 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net sales | ||
Services | $394 | $383.40 |
Products | 261.5 | 304.9 |
Total sales | 655.5 | 688.3 |
Cost of sales | ||
Services | 272.9 | 275.3 |
Products | 207.3 | 248.9 |
Total cost of sales | 480.2 | 524.2 |
Gross profit | 175.3 | 164.1 |
Selling and administrative expense | 129.9 | 120.3 |
Research, development and engineering expense | 22.3 | 20 |
Impairment of assets | 19.4 | 0 |
Loss on sale of assets, net | 0.1 | 0.5 |
Total operating expense | 171.7 | 140.8 |
Operating profit | 3.6 | 23.3 |
Other income (expense) | ||
Investment income | 7.9 | 8.7 |
Interest expense | -8 | -6.9 |
Foreign exchange (loss) gain, net | -9.3 | -12 |
Miscellaneous, net | -1.2 | -1.4 |
(Loss) income before taxes | -7 | 11.7 |
Income tax (benefit) expense | -1.4 | 6.8 |
Net (loss) income | -5.6 | 4.9 |
Net loss attributable to noncontrolling interests | -2.8 | -4.9 |
Net (loss) income attributable to Diebold, Incorporated | ($2.80) | $9.80 |
Basic weighted-average shares outstanding | 64.7 | 64.3 |
Diluted weighted-average shares outstanding | 64.7 | 64.8 |
Common dividends declared and paid per share | $0.29 | $0.29 |
Net (loss) income attributable to Diebold, Incorporated | ||
Basic (loss) earnings per share | ($0.04) | $0.15 |
Diluted (loss) earnings per share | ($0.04) | $0.15 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Comprehensive (Loss) Income (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net (loss) income | ($5.60) | $4.90 |
Other comprehensive (loss) income, net of tax | ||
Other comprehensive (loss) income, net of tax | -62.9 | 7.4 |
Comprehensive (loss) income | -68.5 | 12.3 |
Less: comprehensive income (loss) attributable to noncontrolling interests | -2.6 | -5.5 |
Comprehensive (loss) income attributable to Diebold, Incorporated | -65.9 | 17.8 |
Accumulated Translation Adjustment [Member] | ||
Other comprehensive (loss) income, net of tax | ||
Translation adjustment and foreign currency hedges | -68.4 | 9.5 |
Net Investment Hedging [Member] | ||
Other comprehensive (loss) income, net of tax | ||
Translation adjustment and foreign currency hedges | 4.3 | -1.6 |
Interest Rate Swaps [Member] | ||
Other comprehensive (loss) income, net of tax | ||
Net gain recognized in other comprehensive income (net of tax $(0.1) and $(0.1), respectively) | 0.2 | 0.2 |
Reclassification adjustment for amounts recognized in net income | -0.1 | -0.1 |
Total interest rate hedges | 0.1 | 0.1 |
Pension Plans [Member] | ||
Other comprehensive (loss) income, net of tax | ||
Net actuarial loss amortization (net of tax $0.0 and $(0.3), respectively) | 0.1 | 0.5 |
Net prior service cost (benefit) amortization (net of tax $(0.6) and $0.0, respectively) | 1 | 0 |
Total pension and other post-retirement benefits | 1.1 | 0.5 |
Available-for-sale Securities [Member] | ||
Other comprehensive (loss) income, net of tax | ||
Net loss recognized in other comprehensive income (net of tax $0.0 and $0.6, respectively) | 0 | -1.1 |
Total unrealized loss on securities, net | $0 | ($1.10) |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Loss) Parentheticals (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Net Investment Hedging [Member] | ||
Foreign currency hedges, amount recognized in other comprehensive income, tax | ($2.30) | $0.90 |
Interest Rate Swaps [Member] | ||
Interest rate hedges, net gain recognized in other comprehensive income, tax | -0.1 | -0.1 |
Pension Plans [Member] | ||
Net actuarial loss amortization, tax | 0 | -0.3 |
Net prior service cost (benefit) amortization, amount recognized in other comprehensive income, tax | -0.6 | 0 |
Available-for-sale Securities [Member] | ||
Net loss recognized in other comprehensive income, tax | $0 | $0.60 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Cash flow from operating activities: | ||
Net (loss) income | ($5.60) | $4.90 |
Adjustments to reconcile net (loss) income to cash flow used in operating activities: | ||
Depreciation and amortization | 16.4 | 17.7 |
Share-based compensation | 4.3 | 5 |
Excess tax benefits from share-based compensation | -0.1 | -0.2 |
Devaluation of Venezuelan balance sheet | 7.5 | 12.1 |
Loss on sale of assets, net | 0.1 | 0.5 |
Impairment of assets | 19.4 | 0 |
Cash flow from changes in certain assets and liabilities: | ||
Trade receivables | -56 | -33.7 |
Inventories | -43.2 | -42.5 |
Prepaid expenses | -2.4 | -3.2 |
Prepaid income taxes | -7.5 | 0.7 |
Other current assets | -10.1 | -24.2 |
Accounts payable | 16.5 | 69.2 |
Deferred revenue | 46.6 | 64.8 |
Accrued salaries, wages and commissions | -40.6 | -13 |
Deferred income tax | 3.6 | -17.9 |
Finance lease and notes receivables | 18.6 | -79.4 |
Certain other assets and liabilities | -29.7 | 7.6 |
Net cash used in operating activities | -62.2 | -31.6 |
Cash flow from investing activities: | ||
Payments for acquisitions, net of cash acquired | 59.4 | 0 |
Proceeds from maturities of investments | 46.3 | 210.1 |
Proceeds from sale of investments | 0 | -0.3 |
Payments for purchases of investments | 44.5 | 169.2 |
Proceeds from sale of assets | 0.4 | 0.3 |
Capital expenditures | -10.8 | -7.3 |
Increase in certain other assets | -2.1 | -6.1 |
Net cash (used in) provided by investing activities | -70.1 | 28.1 |
Cash flow from financing activities: | ||
Dividends paid | -18.9 | -18.7 |
Revolving debt borrowings, net | 75 | 4.1 |
Other debt borrowings | 13.9 | 50.5 |
Other debt repayments | -16.3 | -42.7 |
Distributions to noncontrolling interest holders | 0 | -1.5 |
Excess tax benefits from share-based compensation | 0.1 | 0.2 |
Issuance of common shares | 1 | 10.6 |
Repurchase of common shares | -2.6 | -1.3 |
Net cash provided by financing activities | 52.2 | 1.2 |
Effect of exchange rate changes on cash and cash equivalents | -14.8 | -11.2 |
Decrease in cash and cash equivalents | -94.9 | -13.5 |
Cash and cash equivalents at the beginning of the period | 322 | 230.7 |
Cash and cash equivalents at the end of the period | $227.10 | $217.20 |
Consolidated_Financial_Stateme
Consolidated Financial Statements | 3 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
CONSOLIDATED FINANCIAL STATEMENTS | Consolidated Financial Statements |
The accompanying unaudited condensed consolidated financial statements of Diebold, Incorporated and its subsidiaries (collectively, the Company) have been prepared in accordance with the instructions to Form 10-Q and therefore do not include all information and footnotes necessary for a fair presentation of financial position, results of operations and cash flows in conformity with accounting principles generally accepted in the United States (GAAP); however, such information reflects all adjustments (consisting solely of normal recurring adjustments) that are, in the opinion of management, necessary for a fair statement of the results for the interim periods. | |
The condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014. In addition, some of the Company’s statements in this Quarterly Report on Form 10-Q may involve risks and uncertainties that could significantly impact expected future results. The results of operations for the three months ended March 31, 2015 are not necessarily indicative of results to be expected for the full year. | |
The Company has reclassified the presentation of certain prior-year information to conform to the current presentation. | |
In January 2015, the Company announced the realignment of its Brazil and Latin America (LA) businesses to drive greater efficiency and further improve customer service. In the first quarter of 2015, LA and Brazil operations are reported under one single reportable operating segment and comparative periods have been reclassified for consistency. The presentation of comparative periods also reflects the reclassification of certain global expenses from segment operating profit to corporate charges not allocated to segments due to the 2015 realignment activities. | |
On March 13, 2015, the Company acquired all of the equity interests of Phoenix Interactive Design, Inc. (Phoenix) for a total purchase price of approximately $72.9, including $12.6 of deferred cash payment payable over the next three years. Acquiring Phoenix, a world leader in developing innovative software solutions for automated teller machines (ATMs) and a host of other financial self-service (FSS) applications, is a foundational move to accelerate the Company’s growth in the fast-growing managed services and branch automation spaces. The results of operations for Phoenix are included in the North America (NA) reportable operating segment within the Company's condensed consolidated financial statements from the date of the acquisition. Preliminary purchase price allocations are subject to further adjustment until all pertinent information regarding the assets acquired and liabilities assumed are fully evaluated. | |
The Company's Venezuelan operations consist of a fifty-percent owned subsidiary, which is consolidated. Venezuela is measured using the U.S. dollar as its functional currency because its economy is considered highly inflationary. On March 24, 2014, the Venezuelan government announced a currency exchange mechanism, SICAD 2, which yielded an exchange rate significantly higher than the rates established through the other regulated exchange mechanisms. As of March 31, 2014, management determined it was unlikely the Company would be able to convert bolivars under a currency exchange other than SICAD 2 and the Company remeasured its Venezuelan balance sheet using the SICAD 2 rate of 50.86 compared to the previous official government rate of 6.30, resulting in a decrease of $6.1 to the Company’s cash balance and net losses of $12.1 that were recorded within foreign exchange (loss) gain, net in the condensed consolidated statements of operations in the first quarter of 2014. As a result of the currency devaluation, the Company recorded a $4.1 lower of cost or market adjustment related to its service inventory within service cost of sales in the condensed consolidated statements of operations in the first quarter of 2014. On February 10, 2015, the Venezuelan government introduced a new foreign currency exchange platform called the Marginal Currency System, or SIMADI, which replaces the SICAD 2 mechanism, yielding another significant increase in the exchange rate. As of March 31, 2015, management determined it is unlikely that the Company will be able to convert bolivars under a currency exchange other than SIMADI and remeasured its Venezuelan balance sheet using the SIMADI rate of 192.95 compared to the previous SICAD 2 rate of 50.86, which resulted in a loss of $7.5 recorded within foreign exchange (loss) gain, net in the condensed consolidated statements of operations in the first quarter of 2015. | |
As of March 31, 2015, the Company agreed to sell its equity interest in its Venezuela joint venture to its joint venture partner. While this effectively ends our relationship in the joint partnership, the Company will continue to operate in Venezuela on an indirect basis. The Venezuelan assets and liabilities are classified as held for sale on the condensed consolidated balance sheet because the Company agreed to sell its equity interest to its joint venture partner for a nominal value. As a result, the Company recorded charges of $10.3. The charges are located in impairment of assets on the condensed consolidated statement of operations. | |
On April 29, 2015, the Company closed the sale for the estimated fair market value and no additional impairment was required. As a result of the sale, the Company will no longer have a consolidating entity in Venezuela. | |
Recently Issued Accounting Guidance | |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (ASU 2014-09), which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance in GAAP when it becomes effective. The standard is effective for the Company on January 1, 2017. Early application is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-09 will have on its consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. | |
In April 2015, the FASB issued ASU 2015-03, Interest-Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs (ASU 2015-03), which requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The standard is effective for the Company on January 1, 2016, with early adoption permitted. The adoption of this update is not expected to have a material impact on the financial statements of the Company. |
Earning_Loss_Per_Share
Earning (Loss) Per Share | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
EARNINGS (LOSS) PER SHARE | Earnings Per Share | ||||||||
Basic (loss) earnings per share is based on the weighted-average number of common shares outstanding. Diluted (loss) earnings per share includes the dilutive effect of potential common shares outstanding. Under the two-class method of computing (loss) earnings per share, non-vested share-based payment awards that contain rights to receive non-forfeitable dividends are considered participating securities. The Company’s participating securities include restricted stock units (RSUs), deferred shares and shares that were vested, but deferred by the employee. The Company calculated basic and diluted (loss) earnings per share under both the treasury stock method and the two-class method. For the three months ended March 31, 2015 and 2014, there was no impact in the per share amounts calculated under the two methods. Accordingly, the treasury stock method is disclosed below. | |||||||||
The following represents amounts used in computing (loss) earnings per share and the effect on the weighted-average number of shares of dilutive potential common shares: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Numerator | |||||||||
Income used in basic and diluted earnings per share | |||||||||
Net (loss) income attributable to Diebold, Incorporated | $ | (2.8 | ) | $ | 9.8 | ||||
Denominator (in millions) | |||||||||
Weighted-average number of common shares used in basic earnings per share | 64.7 | 64.3 | |||||||
Effect of dilutive shares (1) | — | 0.5 | |||||||
Weighted-average number of shares used in diluted earnings per share | $ | 64.7 | $ | 64.8 | |||||
Net income attributable to Diebold, Incorporated | |||||||||
Basic (loss) earnings per share | $ | (0.04 | ) | $ | 0.15 | ||||
Diluted (loss) earnings per share | $ | (0.04 | ) | $ | 0.15 | ||||
Anti-dilutive shares (in millions) | |||||||||
Anti-dilutive shares not used in calculating diluted weighted-average shares | 2.2 | 1.7 | |||||||
-1 | Incremental shares of 0.7 million shares were excluded from the computation of diluted (loss) earnings per share for the three months ended March 31, 2015, because their effect is anti-dilutive due to the net loss attributable to Diebold, Incorporated. |
Equity
Equity | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Equity [Abstract] | |||||||||
EQUITY | Equity | ||||||||
The following table presents changes in shareholders' equity attributable to Diebold, Incorporated and the noncontrolling interests: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Diebold, Incorporated shareholders' equity | |||||||||
Balance at beginning of period | $ | 531.6 | $ | 596.8 | |||||
Comprehensive (loss) income attributable to Diebold, Incorporated | (65.9 | ) | 17.8 | ||||||
Common shares | 0.4 | 0.6 | |||||||
Additional capital | 4.9 | 15.1 | |||||||
Treasury shares | (2.6 | ) | (1.3 | ) | |||||
Dividends paid | (18.9 | ) | (18.7 | ) | |||||
Balance at end of period | $ | 449.5 | $ | 610.3 | |||||
Noncontrolling interests | |||||||||
Balance at beginning of period | $ | 23.3 | $ | 24 | |||||
Comprehensive income (loss) attributable to noncontrolling interests, net (1) | — | (5.5 | ) | ||||||
Distributions to noncontrolling interest holders | — | (1.5 | ) | ||||||
Balance at end of period | $ | 23.3 | $ | 17 | |||||
-1 | Comprehensive income (loss) attributable to noncontrolling interests of $(2.6) is net of a $2.6 Venezuela noncontrolling interest adjustment to reduce the carrying value to the estimated fair market value as of March 31, 2015. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss (Notes) | 3 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||
ACCUMULATED OTHER COMPREHENSIVE LOSS | Accumulated Other Comprehensive Loss | ||||||||||||||||||||||||||||
The following table summarizes the changes in the Company’s accumulated other comprehensive income (AOCI), net of tax, by component for the three months ended March 31, 2015: | |||||||||||||||||||||||||||||
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive (Loss) Income | ||||||||||||||||||||||||
Balance at January 1, 2015 | $ | (74.9 | ) | $ | (1.4 | ) | $ | (0.5 | ) | $ | (114.0 | ) | $ | 0.3 | $ | (190.5 | ) | ||||||||||||
Other comprehensive (loss) income before reclassifications (1) | (68.6 | ) | 4.3 | 0.2 | — | — | (64.1 | ) | |||||||||||||||||||||
Amounts reclassified from AOCI | — | — | (0.1 | ) | 1.1 | — | 1 | ||||||||||||||||||||||
Net current-period other comprehensive (loss) income | (68.6 | ) | 4.3 | 0.1 | 1.1 | — | (63.1 | ) | |||||||||||||||||||||
Balance at March 31, 2015 | $ | (143.5 | ) | $ | 2.9 | $ | (0.4 | ) | $ | (112.9 | ) | $ | 0.3 | $ | (253.6 | ) | |||||||||||||
-1 | Other comprehensive loss before reclassifications within the translation component excludes $2.9 of translation attributable to noncontrolling interests. | ||||||||||||||||||||||||||||
The following table summarizes the changes in the Company’s AOCI, net of tax, by component for the three months ended March 31, 2014: | |||||||||||||||||||||||||||||
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Unrealized Gain on Securities, Net | Other | Accumulated Other Comprehensive (Loss) Income | |||||||||||||||||||||||
Balance at January 1, 2014 | $ | (2.4 | ) | $ | (1.9 | ) | $ | (1.0 | ) | $ | (52.0 | ) | $ | 2.7 | $ | 0.3 | $ | (54.3 | ) | ||||||||||
Other comprehensive income (loss) before reclassifications (1) | 10 | (1.6 | ) | 0.2 | — | (1.1 | ) | — | 7.5 | ||||||||||||||||||||
Amounts reclassified from AOCI | — | — | (0.1 | ) | 0.5 | — | — | 0.4 | |||||||||||||||||||||
Net current-period other comprehensive income (loss) | 10 | (1.6 | ) | 0.1 | 0.5 | (1.1 | ) | — | 7.9 | ||||||||||||||||||||
Balance at March 31, 2014 | $ | 7.6 | $ | (3.5 | ) | $ | (0.9 | ) | $ | (51.5 | ) | $ | 1.6 | $ | 0.3 | $ | (46.4 | ) | |||||||||||
-1 | Other comprehensive income before reclassifications within the translation component excludes $(0.5) of translation attributable to noncontrolling interests. | ||||||||||||||||||||||||||||
The following table summarizes the details about amounts reclassified from AOCI: | |||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||||||
Amount Reclassified from AOCI | Amount Reclassified from AOCI | Affected Line Item in the Statement of Operations | |||||||||||||||||||||||||||
Interest rate hedges | $ | (0.1 | ) | $ | (0.1 | ) | Interest expense | ||||||||||||||||||||||
Pension and post-retirement benefits: | |||||||||||||||||||||||||||||
Net actuarial loss amortization | 0.1 | 0.5 | -1 | ||||||||||||||||||||||||||
Net prior service cost amortization (net of tax of $(0.6) and $0.0, respectively) | 1 | — | -1 | ||||||||||||||||||||||||||
1.1 | 0.5 | ||||||||||||||||||||||||||||
Total reclassifications for the period | $ | 1 | $ | 0.4 | |||||||||||||||||||||||||
-1 | Pension and other post-retirement benefits AOCI components are included in the computation of net periodic benefit cost (refer to note 12 to the condensed consolidated financial statements). |
ShareBased_Compensation
Share-Based Compensation | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||
SHARE-BASED COMPENSATION | Share-Based Compensation | |||||||||||||
The Company’s share-based compensation payments to employees are recognized based on their grant-date fair values during the period in which the employee is required to provide services in exchange for the award. Share-based compensation is recognized as a component of selling and administrative expense. Total share-based compensation expense was $4.3 and $5.0 for the three months ended March 31, 2015 and 2014, respectively. | ||||||||||||||
Options outstanding and exercisable as of March 31, 2015 under the Company’s 1991 Equity and Performance Incentive Plan (as Amended and Restated as of February 12, 2014) (the 1991 Plan) and changes during the three months ended March 31, 2015, were as follows: | ||||||||||||||
Number of | Weighted- | Weighted- | Aggregate | |||||||||||
Shares | Average | Average | Intrinsic | |||||||||||
Exercise | Remaining | Value (1) | ||||||||||||
Price | Contractual | |||||||||||||
Term | ||||||||||||||
(in millions) | (per share) | (in years) | ||||||||||||
Outstanding at January 1, 2015 | 1.6 | $ | 37.11 | |||||||||||
Expired or forfeited | (0.3 | ) | $ | 48.34 | ||||||||||
Granted | 0.5 | $ | 32.33 | |||||||||||
Outstanding at March 31, 2015 | 1.8 | $ | 34.42 | 7 | $ | 4.3 | ||||||||
Options exercisable at March 31, 2015 | 0.9 | $ | 36.06 | 5 | $ | 1.8 | ||||||||
Options vested and expected to vest at March 31, 2015 (2) | 1.8 | $ | 34.48 | 7 | $ | 4.1 | ||||||||
-1 | The aggregate intrinsic value (the difference between the closing price of the Company’s common shares on the last trading day of the first quarter of 2015 and the exercise price, multiplied by the number of “in-the-money” options) that would have been received by the option holders had all option holders exercised their options on March 31, 2015. The amount of aggregate intrinsic value will change based on the fair market value of the Company’s common shares. | |||||||||||||
-2 | The options expected to vest are the result of applying the pre-vesting forfeiture rate assumption to total outstanding non-vested options. | |||||||||||||
The following table summarizes information on non-vested restricted stock units (RSUs) and performance shares relating to employees and non-employee directors for the three months ended March 31, 2015: | ||||||||||||||
Number of | Weighted-Average | |||||||||||||
Shares | Grant-Date Fair | |||||||||||||
Value | ||||||||||||||
(in millions) | (per share) | |||||||||||||
RSUs: | ||||||||||||||
Non-vested at January 1, 2015 | 0.7 | $ | 33.72 | |||||||||||
Vested | (0.1 | ) | $ | 35.52 | ||||||||||
Granted | 0.4 | $ | 31.95 | |||||||||||
Non-vested at March 31, 2015 | 1 | $ | 32.48 | |||||||||||
Performance Shares: | ||||||||||||||
Non-vested at January 1, 2015 | 1.1 | $ | 37.38 | |||||||||||
Forfeited | (0.1 | ) | $ | 38.24 | ||||||||||
Vested | (0.3 | ) | $ | 40.09 | ||||||||||
Granted | 0.4 | $ | 32.35 | |||||||||||
Non-vested at March 31, 2015 | 1.1 | $ | 34.58 | |||||||||||
Performance shares are granted based on certain management objectives, as determined by the Board of Directors each year. Each performance share earned entitles the holder to one common share of the Company. The Company's performance shares include performance objectives that vest and are calculated after a three-year period as well as performance objectives that vest proportionately over a three-year period which are calculated annually. No shares are granted unless certain management threshold objectives are met. | ||||||||||||||
As of March 31, 2015, there were 0.1 million non-employee director deferred shares vested and outstanding. |
Income_Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | Income Taxes |
The effective tax rate was 20.0 percent on the loss for the three months ended March 31, 2015 and 58.1 percent on the income for the three months ended March 31, 2014. The decrease in the tax rate is mainly due to differences in the mix of income, discrete tax items resulting from Venezuela (note 1), and the release of a valuation allowance during the three-month period ended March 31, 2015. Additionally, in the first quarter of 2014, discrete tax expense was recorded on the repatriation of certain foreign earnings. |
Investments
Investments | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||
INVESTMENTS | Investments | ||||||||||||
The Company’s investments, primarily in Brazil, consist of certificates of deposit which are classified as available-for-sale and stated at fair value based upon quoted market prices. Unrealized gains and losses are recorded in AOCI. Realized gains and losses are recognized in investment income and are determined using the specific identification method. Realized gains from the sale of securities and proceeds from the sale of available-for-sale securities were $0.1 and $0.3 during the three months ended March 31, 2014, respectively. There were no realized gains from the sale of securities and proceeds from the sale of available-for-sale securities for the three months ended March 31, 2015. | |||||||||||||
The Company’s investments, excluding cash surrender value of insurance contracts of $72.7 and $73.8 as of March 31, 2015 and December 31, 2014, respectively, consisted of the following: | |||||||||||||
Cost Basis | Unrealized Gain | Fair Value | |||||||||||
As of March 31, 2015 | |||||||||||||
Short-term investments | |||||||||||||
Certificates of deposit | $ | 114.4 | $ | — | $ | 114.4 | |||||||
Long-term investments | |||||||||||||
Assets held in a rabbi trust | $ | 9.1 | $ | 0.7 | $ | 9.8 | |||||||
As of December 31, 2014 | |||||||||||||
Short-term investments | |||||||||||||
Certificates of deposit | $ | 136.7 | $ | — | $ | 136.7 | |||||||
Long-term investments | |||||||||||||
Assets held in a rabbi trust | $ | 9.3 | $ | 0.5 | $ | 9.8 | |||||||
Allowance_for_Credit_Losses
Allowance for Credit Losses | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Receivables [Abstract] | |||||||||||||
ALLOWANCE FOR CREDIT LOSSES | Allowance for Credit Losses | ||||||||||||
The following table summarizes the Company’s allowance for credit losses for the three months ended March 31, 2015 and 2014: | |||||||||||||
Finance | Notes | Total | |||||||||||
Leases | Receivable | ||||||||||||
Allowance for credit losses | |||||||||||||
Balance at January 1, 2015 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
Provision for credit losses | 0.5 | — | 0.5 | ||||||||||
Balance at March 31, 2015 | $ | 0.9 | $ | 4.1 | $ | 5 | |||||||
Balance at January 1, 2014 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
Balance at March 31, 2014 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
There were no significant changes in provision for credit losses, recoveries and write-offs during the three months ended March 31, 2015 and 2014. As of March 31, 2015, finance leases and notes receivable individually evaluated for impairment were $133.1 and $8.5, respectively. As of March 31, 2014, finance leases and notes receivable individually evaluated for impairment were $202.6 and $14.1, respectively. As of March 31, 2015 and December 31, 2014, the Company’s finance lease receivables in LA were $105.0 and $149.9, respectively. The decrease is related to recurring customer payments for financing arrangements, primarily within a Brazilian education ministry. | |||||||||||||
The Company records interest income and any fees or costs related to financing receivables using the effective interest method over the term of the lease or loan. The Company reviews the aging of its financing receivables to determine past due and delinquent accounts. Credit quality is reviewed at inception and is re-evaluated as needed based on customer-specific circumstances. Receivable balances 60 days to 89 days past due are reviewed and may be placed on nonaccrual status based on customer-specific circumstances. Receivable balances are placed on nonaccrual status upon reaching greater than 89 days past due. Upon receipt of payment on nonaccrual financing receivables, interest income is recognized and accrual of interest is resumed once the account has been made current or the specific circumstances have been resolved. | |||||||||||||
As of March 31, 2015 and December 31, 2014, the recorded investment in past-due financing receivables on nonaccrual status was $1.1 and $2.2, respectively, and there were no recorded investments in finance receivables past due 90 days or more and still accruing interest. The recorded investment in impaired notes receivable was $4.1 as of March 31, 2015 and December 31, 2014 and was fully reserved. | |||||||||||||
The following table summarizes the Company’s aging of past-due notes receivable balances: | |||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||
30-59 days past due | $ | — | $ | 0.1 | |||||||||
60-89 days past due | — | — | |||||||||||
> 89 days past due (1) | 2.3 | 1.5 | |||||||||||
Total past due | $ | 2.3 | $ | 1.6 | |||||||||
-1 | Past-due notes receivable balances greater than 89 days are fully reserved. |
Inventories
Inventories | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
INVENTORIES | Inventories | ||||||||
Major classes of inventories are summarized as follows: | |||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
Finished goods | $ | 196.8 | $ | 197.4 | |||||
Service parts | 135.2 | 125.6 | |||||||
Raw materials and work in process | 90.5 | 82.2 | |||||||
Total inventories | $ | 422.5 | $ | 405.2 | |||||
Goodwill_and_Other_Assets
Goodwill and Other Assets | 3 Months Ended |
Mar. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER ASSETS | Goodwill and Other Assets |
Goodwill In the fourth quarter of 2014, goodwill was reviewed for impairment based on a two-step test, which resulted in no impairment in any of the Company's reporting units. Management determined that the Asia Pacific (AP) reporting unit had excess fair value of approximately $114.2, or 39 percent, when compared to its carrying amount. The Domestic and Canada and LA reporting units had excess fair value greater than 100 percent when compared to their carrying amounts. The Brazil reporting unit, which is included in the LA reportable operating segment in the first quarter of 2015, had excess fair value of approximately $61.0 or 17 percent. During 2014, NA had a reduction to goodwill of $1.6 relating to the sale of Diebold Eras, Inc. There have been no impairment indicators identified during the three months ended March 31, 2015. | |
In March 2015, the Company acquired Phoenix, a world leader in developing innovative software solutions for ATMs and a host of other FSS applications. Preliminary goodwill and other intangible assets resulting from the acquisition were $42.3 and $32.7, respectively, and are included in the NA reportable operating segment. The purchase price allocations are preliminary and subject to further adjustment until all pertinent information regarding the assets acquired and liabilities assumed are fully evaluated. The goodwill associated with the transaction is not deductible for income tax purposes. | |
Other Assets Included in other assets are net capitalized software development costs of $27.7 and $36.3 as of March 31, 2015 and December 31, 2014, respectively. Amortization expense on capitalized software included in product cost of sales was $3.5 and $4.6 for the three months ended March 31, 2015 and 2014, respectively. Other long-term assets also consist of patents, trademarks and other intangible assets. Where applicable, other assets are stated at cost and, if applicable, are amortized ratably over the relevant contract period or the estimated life of the assets. Fees to renew or extend the term of the Company’s intangible assets are expensed when incurred. | |
Impairment of long-lived assets is recognized when events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. If the expected future undiscounted cash flows are less than the carrying amount of the asset group, an impairment loss may be recognized at that time to reduce the asset to the lower of its fair value or its net book value. During the first quarter of 2015, the Company recorded an impairment of certain capitalized software of $9.1 related to redundant legacy Diebold software as a result of the acquisition of Phoenix. |
Debt
Debt | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
DEBT | Debt | ||||||||
Outstanding debt balances were as follows: | |||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
Notes payable | |||||||||
Uncommitted lines of credit | $ | 44 | $ | 24.8 | |||||
Other | 0.7 | 0.8 | |||||||
$ | 44.7 | $ | 25.6 | ||||||
Long-term debt | |||||||||
Credit facility | $ | 295 | $ | 240 | |||||
Senior notes | 225 | 225 | |||||||
Industrial development revenue bonds | 11.9 | 11.9 | |||||||
Other | 2.8 | 2.9 | |||||||
$ | 534.7 | $ | 479.8 | ||||||
As of March 31, 2015, the Company had various international short-term uncommitted lines of credit with borrowing limits of $122.3. The weighted-average interest rate on outstanding borrowings on the short-term uncommitted lines of credit as of March 31, 2015 and December 31, 2014 was 3.02 percent and 2.96 percent, respectively. The increase in the weighted-average interest rate is attributable to the change in mix of borrowings in foreign entities. Short-term uncommitted lines mature in less than one year. The amount available under the short-term uncommitted lines at March 31, 2015 was $78.3. | |||||||||
In August 2014, the Company amended and extended its credit facility, including an increase to its borrowing limits under the new credit facility from $500.0 to $520.0. The amended and extended credit facility expires in August 2019 and did not change any of the covenants related to the previous agreement. Under the terms of the amended and extended credit facility, the Company has the ability, subject to various approvals, to increase the borrowing limits by $250.0. Up to $50.0 of the revolving credit facility is available under a swing line sub-facility. The weighted-average interest rate on outstanding credit facility borrowings as of March 31, 2015 and December 31, 2014 was 1.69 percent, respectively, which is variable based on the London Interbank Offered Rate (LIBOR). The amount available under the credit facility as of March 31, 2015 was $225.0. | |||||||||
In March 2006, the Company issued senior notes in an aggregate principal amount of $300.0 with a weighted-average fixed interest rate of 5.50 percent. The Company entered into a derivative transaction to hedge interest rate risk on $200.0 of the senior notes, which was treated as a cash flow hedge. This reduced the effective interest rate from 5.50 percent to 5.36 percent. The Company funded the repayment of $75.0 of the senior notes at maturity in March 2013 using borrowings under its revolving credit facility. The maturity dates of the remaining senior notes are staggered, with $175.0 and $50.0 due in March 2016 and 2018, respectively. For the $175.0 of the Company's senior notes maturing in March 2016, management intends to secure the repayment through additional financing. | |||||||||
In 1997, industrial development revenue bonds were issued on behalf of the Company. The proceeds from the bond issuances were used to construct new manufacturing facilities in the United States. The Company guaranteed the payments of principal and interest on the bonds by obtaining letters of credit. The bonds were issued with a 20-year original term and are scheduled to mature in 2017. Each industrial development revenue bond carries a variable interest rate, which is reset weekly by the remarketing agents. The weighted-average interest rate on the bonds was 0.21 percent and 0.27 percent as of March 31, 2015 and December 31, 2014, respectively. | |||||||||
The Company’s financing agreements contain various restrictive financial covenants, including net debt to capitalization and net interest coverage ratios. As of March 31, 2015, the Company was in compliance with the financial and other covenants in its debt agreements. |
Benefit_Plans
Benefit Plans | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||
BENEFIT PLANS | Benefit Plans | ||||||||||||||||
The Company has qualified pension plans covering certain U.S. employees that have been closed to new participants since 2003. Plans that cover salaried employees provide pension benefits based on the employee’s compensation during the ten years before retirement. The Company’s funding policy for salaried plans is to contribute annually based on actuarial projections and applicable regulations. Plans covering hourly employees and union members generally provide benefits of stated amounts for each year of service. The Company’s funding policy for hourly plans is to make at least the minimum annual contributions required by applicable regulations. Employees of the Company’s operations in countries outside of the United States participate to varying degrees in local pension plans, which in the aggregate are not significant. | |||||||||||||||||
The Company has non-qualified pension plans to provide supplemental retirement benefits to certain officers. Benefits are payable at retirement based upon a percentage of the participant’s compensation, as defined. In addition to providing pension benefits, the Company provides post-retirement healthcare and life insurance benefits (referred to as other benefits) for certain retired employees. Eligible employees may be entitled to these benefits based upon years of service with the Company, age at retirement and collective bargaining agreements. Currently, the Company has made no commitments to increase these benefits for existing retirees or for employees who may become eligible for these benefits in the future. Currently there are no plan assets and the Company funds the benefits as the claims are paid. | |||||||||||||||||
The following table sets forth the net periodic benefit cost for the Company’s defined benefit pension plans and other benefits for the three months ended March 31: | |||||||||||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Components of net periodic benefit cost | |||||||||||||||||
Service cost | $ | 0.9 | $ | 0.7 | $ | — | $ | — | |||||||||
Interest cost | 5.9 | 5.7 | 0.1 | 0.2 | |||||||||||||
Expected return on plan assets | (6.7 | ) | (6.4 | ) | — | — | |||||||||||
Amortization of prior service benefit | — | — | — | (0.1 | ) | ||||||||||||
Recognized net actuarial loss | 1.7 | 0.8 | 0.1 | 0.1 | |||||||||||||
Net periodic pension benefit cost | $ | 1.8 | $ | 0.8 | $ | 0.2 | $ | 0.2 | |||||||||
Contributions | |||||||||||||||||
There have been no changes to the expected 2015 plan year contribution amounts previously disclosed. In the first quarter of 2015, the Company made a voluntary contribution to its qualified pension plan of $10.0. For the three months ended March 31, 2015 and 2014, contributions of $11.1 and $1.9, respectively, were made to the qualified and non-qualified pension plans. |
Guarantees_and_Product_Warrant
Guarantees and Product Warranties | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
GUARANTEES AND PRODUCT WARRANTIES | Guarantees and Product Warranties | ||||||||
In 1997, industrial development revenue bonds were issued on behalf of the Company. The Company guaranteed the payments of principal and interest on the bonds (refer to note 11) by obtaining letters of credit. The carrying value of the bonds was $11.9 as of March 31, 2015 and December 31, 2014. | |||||||||
The Company provides its global operations guarantees and standby letters of credit through various financial institutions for suppliers, customers, regulatory agencies and insurance providers. If the Company is not able to make payment or fulfill contractual obligations, the suppliers, customers, regulatory agencies and insurance providers may draw on the pertinent bank. At March 31, 2015, the maximum future payment obligations related to these various guarantees totaled $106.9, of which $28.0 represented standby letters of credit to insurance providers, and no associated liability was recorded. At December 31, 2014, the maximum future payment obligations relative to these various guarantees totaled $111.1, of which $28.0 represented standby letters of credit to insurance providers, and no associated liability was recorded. | |||||||||
The Company provides its customers a manufacturer’s warranty and records, at the time of the sale, a corresponding estimated liability for potential warranty costs. Estimated future obligations due to warranty claims are based upon historical factors such as labor rates, average repair time, travel time, number of service calls per machine and cost of replacement parts. As of March 31, 2015 and 2014, the Company’s warranty liability balances were $97.1 and $82.8, respectively. The increase in warranty is largely attributable to sales to a Brazilian education ministry in LA during 2014. | |||||||||
Changes in the Company’s warranty liability balance are illustrated in the following table: | |||||||||
2015 | 2014 | ||||||||
Balance at January 1 | $ | 113.3 | $ | 83.2 | |||||
Current period accruals (1) | (3.5 | ) | 11.9 | ||||||
Current period settlements | (12.7 | ) | (12.3 | ) | |||||
Balance at March 31 | $ | 97.1 | $ | 82.8 | |||||
-1 | Includes the impact of foreign exchange rate fluctuations. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | Commitments and Contingencies |
Contractual Obligation | |
At March 31, 2015, the Company had purchase commitments due within one year totaling $9.5 for materials through contract manufacturing agreements at negotiated prices. | |
Indirect Tax Contingencies | |
The Company accrues non-income-tax liabilities for indirect tax matters when management believes that a loss is probable and the amounts can be reasonably estimated, while contingent gains are recognized only when realized. In the event any losses are sustained in excess of accruals, they are charged against income. In evaluating indirect tax matters, management takes into consideration factors such as historical experience with matters of similar nature, specific facts and circumstances, and the likelihood of prevailing. Management evaluates and updates accruals as matters progress over time. It is reasonably possible that some of the matters for which accruals have not been established could be decided unfavorably to the Company and could require recognizing future expenditures. Also, statutes of limitations could expire without the Company paying the taxes for matters for which accruals have been established, which could result in the recognition of future gains upon reversal of these accruals at that time. | |
At March 31, 2015, the Company was a party to several routine indirect tax claims from various taxing authorities globally that were incurred in the normal course of business, which neither individually nor in the aggregate are considered material by management in relation to the Company’s financial position or results of operations. In management’s opinion, the consolidated financial statements would not be materially affected by the outcome of these indirect tax claims and/or proceedings or asserted claims. | |
In addition to these routine indirect tax matters, the Company was a party to the proceedings described below: | |
In August 2012, one of the Company's Brazilian subsidiaries was notified of a tax assessment of approximately R$270.0, including penalties and interest, regarding certain Brazilian federal indirect taxes (Industrialized Products Tax, Import Tax, Programa de Integração Social and Contribution to Social Security Financing) for 2008 and 2009. The assessment alleges improper importation of certain components into Brazil's free trade zone that would nullify certain indirect tax incentives. On September 10, 2012, the Company filed its administrative defenses with the tax authorities. | |
In response to an order by the administrative court, the tax inspector provided further analysis with respect to the initial assessment in December 2013 that indicates a potential exposure that is significantly lower than the initial tax assessment received in August 2012. This revised analysis has been accepted by the initial administrative court; however, this matter remains subject to ongoing administrative proceedings and appeals. Accordingly, the Company cannot provide any assurance that its exposure pursuant to the initial assessment will be lowered significantly or at all. In addition, this matter could negatively impact Brazilian federal indirect taxes in other years that remain open under statute. It is reasonably possible that the Company could be required to pay taxes, penalties and interest related to this matter, which could be material to the Company's consolidated financial statements. The Company continues to defend itself in this matter. | |
At March 31, 2015 and December 31, 2014, the Company had an accrual related to the Brazilian indirect tax matter disclosed above of approximately $10.4 and $12.5, respectively. The movement between periods relates to the currency fluctuation in Brazilian real. | |
In addition, the Company is challenging customs rulings in Thailand seeking to retroactively collect customs duties on previous imports of ATMs. Management believes that the customs authority’s attempt to retroactively assess customs duties is in contravention of World Trade Organization agreements and, accordingly, is challenging the rulings. The matters are currently in the appeals process and management continues to believe that the Company has a valid legal position in these appeals. Accordingly, the Company has not accrued any amount for this contingency; however, the Company cannot provide any assurance that it will not ultimately be subject to retroactive assessments. | |
A loss contingency is reasonably possible if it has a more than remote but less than probable chance of occurring. Although management believes the Company has valid defenses with respect to its indirect tax positions, it is reasonably possible that a loss could occur in excess of the estimated accrual. The Company estimated the aggregate risk at March 31, 2015 to be up to approximately $196.4 for its material indirect tax matters, of which approximately $164.4 and $26.0, respectively, relates to the Brazilian indirect tax matter and Thailand customs matter disclosed above. The aggregate risk related to indirect taxes is adjusted as the applicable statutes of limitations expire. | |
Legal Contingencies | |
At March 31, 2015, the Company was a party to several lawsuits that were incurred in the normal course of business, which neither individually nor in the aggregate are considered material by management in relation to the Company’s financial position or results of operations. In addition, the Company has indemnification obligations with certain former employees, and costs associated with these indemnifications are expensed as incurred. In management’s opinion, the Company's condensed consolidated financial statements would not be materially affected by the outcome of these legal proceedings, commitments or asserted claims. |
Derivative_Instruments_and_Hed
Derivative Instruments and Hedging Activities | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | Derivative Instruments and Hedging Activities | ||||||||
The Company uses derivatives to mitigate the economic consequences associated with fluctuations in currencies and interest rates. | |||||||||
Foreign Exchange | |||||||||
Net Investment Hedges The Company has international subsidiaries with net balance sheet positions that generate cumulative translation adjustments within AOCI. The Company uses derivatives to manage potential changes in value of its net investments in LA. The Company uses the forward-to-forward method for its quarterly retrospective and prospective assessments of hedge effectiveness. No ineffectiveness results if the notional amount of the derivative matches the portion of the net investment designated as being hedged because the Company uses derivative instruments with underlying exchange rates consistent with its functional currency and the functional currency of the hedged net investment. Changes in value that are deemed effective are accumulated in AOCI where they will remain until they are reclassified to income together with the gain or loss on the entire investment upon substantial liquidation of the subsidiary. The fair value of the Company’s net investment hedge contracts was $1.1 as of March 31, 2015 and December 31, 2014. The net gain (loss) recognized in AOCI on net investment hedge derivative instruments was $6.6 and $(2.5) in the three months ended March 31, 2015 and 2014, respectively. | |||||||||
Non-Designated Hedges A substantial portion of the Company’s operations and revenues are international. As a result, changes in foreign exchange rates can create substantial foreign exchange gains and losses from the revaluation of non-functional currency monetary assets and liabilities. The Company’s policy allows the use of foreign exchange forward contracts with maturities of up to 24 months to mitigate the impact of currency fluctuations on those foreign currency asset and liability balances. The Company elected not to apply hedge accounting to its foreign exchange forward contracts. Thus, spot-based gains/losses offset revaluation gains/losses within foreign exchange gain (loss), net and forward-based gains/losses represent interest expense. The fair value of the Company’s non-designated foreign exchange forward contracts was $0.9 and $0.8 as of March 31, 2015 and December 31, 2014, respectively. | |||||||||
The following table summarizes the gain (loss) recognized on non-designated foreign-exchange derivative instruments for the three months ended March 31: | |||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Interest expense | $ | (1.3 | ) | $ | (1.4 | ) | |||
Foreign exchange gain (loss), net | 5.5 | 1.2 | |||||||
$ | 4.2 | $ | (0.2 | ) | |||||
Interest Rate | |||||||||
Cash Flow Hedges The Company has variable rate debt that is subject to fluctuations in interest related cash flows due to changes in market interest rates. The Company’s policy allows derivative instruments designated as cash flow hedges that fix a portion of future variable-rate interest expense. As of March 31, 2015, the Company had two pay-fixed receive-variable interest rate swaps, with a total notional amount of $50.0, to hedge against changes in the LIBOR benchmark interest rate on a portion of the Company’s LIBOR-based borrowings. Changes in value that are deemed effective are accumulated in AOCI and reclassified to interest expense when the hedged interest is accrued. To the extent that it becomes probable that the Company’s variable rate borrowings will not occur, the gains or losses on the related cash flow hedges will be reclassified from AOCI to interest expense. The fair value of the Company’s interest rate contracts was $(0.9) and $(1.2) as of March 31, 2015 and December 31, 2014, respectively. | |||||||||
In December 2005 and January 2006, the Company executed cash flow hedges by entering into receive-variable and pay-fixed interest rate swaps, with a total notional amount of $200.0, related to the senior notes issuance in March 2006. Amounts previously recorded in AOCI related to the pre-issuance cash flow hedges will continue to be reclassified on a straight-line basis through February 2016. | |||||||||
The gain recognized on designated cash flow hedge derivative instruments was $0.3 for the three months ended March 31, 2015 and 2014. Gains and losses related to interest rate contracts that are reclassified from AOCI are recorded in interest expense on the statements of operations. The Company anticipates reclassifying $0.6 from AOCI to interest expense within the next 12 months. |
Restructuring_and_Other_Charge
Restructuring and Other Charges | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
RESTRUCTURING AND OTHER CHARGES | Restructuring and Other Charges | |||||||||||
Restructuring Charges | ||||||||||||
The following table summarizes the impact of the Company’s restructuring charges on the condensed consolidated statements of operations for the three months ended March 31: | ||||||||||||
2015 | 2014 | |||||||||||
Cost of sales – services | $ | — | $ | 0.7 | ||||||||
Selling and administrative expense | 2.5 | 4.4 | ||||||||||
Research, development and engineering expense | 0.6 | — | ||||||||||
Total | $ | 3.1 | $ | 5.1 | ||||||||
The following table summarizes the Company’s restructuring charges by reporting segment for the three months ended March 31: | ||||||||||||
2015 | 2014 | |||||||||||
Severance | ||||||||||||
North America (NA) | $ | 1.5 | $ | 2.1 | ||||||||
Asia Pacific (AP) | — | 0.3 | ||||||||||
Europe, Middle East and Africa (EMEA) | 0.9 | 0.6 | ||||||||||
Latin America (LA) | 0.7 | 2.1 | ||||||||||
Total Severance | $ | 3.1 | $ | 5.1 | ||||||||
During the first quarter of 2013, the Company announced a multi-year transformation plan. Certain aspects of this plan were previously disclosed under the Company's global realignment plan and global shared services plan. This multi-year transformation focuses on globalizing the Company's service organization and creating a unified center-led global organization for research and development, as well as transforming the Company's general and administrative cost structure. Restructuring charges of $3.1 and $5.1 for the three months ended March 31, 2015 and 2014, respectively, related to the Company's multi-year transformation plan. Restructuring charges for the three months ended March 31, 2015 primarily related to a business process outsourcing initiative. As of March 31, 2015, the Company anticipates additional restructuring costs of $2.2 to $4.3 to be incurred through the end of 2015, primarily within NA and EMEA, along with the realignment of LA and Brazil which was announced in January 2015. Further details of the alignment appear in note 1 in the notes to the condensed consolidated financial statements. The Company anticipates additional cost in the multi-year transformation plan through at least 2015. As management finalizes certain aspects of the transformation plan, the anticipated future costs related to this plan are subject to change. | ||||||||||||
The following table summarizes the Company's cumulative total restructuring costs for the multi-year transformation plan as of March 31, 2015: | ||||||||||||
Severance | Other | Total | ||||||||||
Cumulative total restructuring costs for the multi-year transformation plan | ||||||||||||
NA | $ | 63.3 | $ | 2 | $ | 65.3 | ||||||
AP | 2.7 | 0.6 | 3.3 | |||||||||
EMEA | 2.7 | 0.9 | 3.6 | |||||||||
LA | 15.1 | — | 15.1 | |||||||||
Total | $ | 83.8 | $ | 3.5 | $ | 87.3 | ||||||
The following table summarizes the Company’s restructuring accrual balances and related activity for the three months ended March 31: | ||||||||||||
2015 | 2014 | |||||||||||
Balance at January 1 | $ | 7.8 | $ | 35.3 | ||||||||
Liabilities incurred | 3.1 | 5.1 | ||||||||||
Liabilities paid/settled | (5.4 | ) | (23.4 | ) | ||||||||
Balance at March 31 | $ | 5.5 | $ | 17 | ||||||||
Impairment and Other Charges | ||||||||||||
During the first quarter of 2015, the Company recorded an impairment of capitalized software of $9.1 related to redundant legacy Diebold software as a result of the acquisition of Phoenix. | ||||||||||||
Other charges consist of items that the Company has determined are non-routine in nature and are not expected to recur in future operations. Net non-routine expenses of $4.6 and $1.1 impacted the three months ended March 31, 2015 and 2014, respectively. |
Fair_Value_of_Assets_and_Liabi
Fair Value of Assets and Liabilities | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
FAIR VALUE OF ASSETS AND LIABILITIES | Fair Value of Assets and Liabilities | ||||||||||||||||||||||||
Assets and Liabilities Recorded at Fair Value | |||||||||||||||||||||||||
Assets and liabilities subject to fair value measurement are as follows: | |||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | ||||||||||||||||||||||||
Fair Value | Level 1 | Level 2 | Fair Value | Level 1 | Level 2 | ||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
Certificates of deposit | $ | 114.4 | $ | 114.4 | $ | — | $ | 136.7 | $ | 136.7 | $ | — | |||||||||||||
Assets held in rabbi trusts | 9.8 | 9.8 | — | 9.8 | 9.8 | — | |||||||||||||||||||
Foreign exchange forward contracts | 2 | — | 2 | 2.9 | — | 2.9 | |||||||||||||||||||
Total | $ | 126.2 | $ | 124.2 | $ | 2 | $ | 149.4 | $ | 146.5 | $ | 2.9 | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Deferred compensation | $ | 9.8 | $ | 9.8 | $ | — | $ | 9.8 | $ | 9.8 | $ | — | |||||||||||||
Foreign exchange forward contracts | 0.5 | — | 0.5 | 1 | — | 1 | |||||||||||||||||||
Interest rate swaps | 0.9 | — | 0.9 | 1.2 | — | 1.2 | |||||||||||||||||||
Total | $ | 11.2 | $ | 9.8 | $ | 1.4 | $ | 12 | $ | 9.8 | $ | 2.2 | |||||||||||||
The Company uses the end of period when determining the timing of transfers between levels. During the three months ended March 31, 2015, there were no transfers between levels. | |||||||||||||||||||||||||
The fair value and carrying value of the Company’s debt instruments are summarized as follows: | |||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
Fair Value | Carrying | Fair Value | Carrying | ||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||
Notes payable | $ | 44.7 | $ | 44.7 | $ | 25.6 | $ | 25.6 | |||||||||||||||||
Long-term debt | 538.3 | 534.7 | 483.6 | 479.8 | |||||||||||||||||||||
Total debt instruments | $ | 583 | $ | 579.4 | $ | 509.2 | $ | 505.4 | |||||||||||||||||
Segment_Information
Segment Information | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Segment Reporting Disclosure [Text Block] | Segment Information | ||||||||
The Company considers its operating structure and the information subject to regular review by its President and Chief Executive Officer, who is the Chief Operating Decision Maker (CODM), to identify reportable operating segments. The CODM makes decisions, allocates resources and assesses performance by the following regions, which are also the Company’s four reportable operating segments: NA, AP, EMEA and LA. The four geographic segments sell and service financial self-service and security systems around the globe, as well as elections, lottery and information technology solutions in Brazil other, through wholly-owned subsidiaries, majority-owned joint ventures and independent distributors in most major countries. In the first quarter of 2015, LA and Brazil operations are reported under one single reportable operating segment and comparative periods have been reclassified for consistency. The presentation of comparative periods also reflects the reclassification of certain global expenses from segment operating profit to corporate charges not allocated to segments due to the 2015 realignment activities. | |||||||||
Certain information not routinely used in the management of the segments, information not allocated back to the segments or information that is impractical to report is not shown. Segment operating profit is defined as revenues less expenses identifiable to the those segments. Segment operating income reconciles to consolidated income before income taxes by deducting corporate costs and other income or expense items that are not attributed to the segments. Further details regarding the Company's net non-routine expense appear in note 16 in the notes to the condensed consolidated financial statements. Total assets are not allocated to segments and are not included in the assessment of segment performance and therefore are excluded from the segment information disclosed below. | |||||||||
The following tables represent information regarding the Company’s segment information and provides a reconciliation between segment operating profit and the consolidated income before income taxes for the three months ended March 31: | |||||||||
2015 | 2014 | ||||||||
Revenue summary by segment | |||||||||
NA | $ | 339.9 | $ | 317.5 | |||||
AP | 110.5 | 107.1 | |||||||
EMEA | 86.8 | 84.1 | |||||||
LA | 118.3 | 179.6 | |||||||
Total customer revenues | $ | 655.5 | $ | 688.3 | |||||
Intersegment revenues | |||||||||
NA | $ | 21.1 | $ | 15.9 | |||||
AP | 19.4 | 23.9 | |||||||
EMEA | 11.1 | 7 | |||||||
LA | 0.1 | 0.1 | |||||||
Total intersegment revenues | $ | 51.7 | $ | 46.9 | |||||
Segment operating profit | |||||||||
NA | $ | 67.7 | $ | 59.4 | |||||
AP | 18.2 | 16.8 | |||||||
EMEA | 12.4 | 11.2 | |||||||
LA | 3.1 | 11.5 | |||||||
Total segment operating profit | $ | 101.4 | $ | 98.9 | |||||
Corporate charges not allocated to segments (1) | (70.7 | ) | (69.4 | ) | |||||
Asset impairment charges | (19.4 | ) | — | ||||||
Restructuring charges | (3.1 | ) | (5.1 | ) | |||||
Net non-routine expense | (4.6 | ) | (1.1 | ) | |||||
(97.8 | ) | (75.6 | ) | ||||||
Operating profit | $ | 3.6 | $ | 23.3 | |||||
Other expense | (10.6 | ) | (11.6 | ) | |||||
(Loss) income before taxes | $ | (7.0 | ) | $ | 11.7 | ||||
-1 | Corporate charges not allocated to segments include headquarter-based costs associated with manufacturing administration, procurement, human resources, finance and accounting, global development/engineering, global strategy/mergers and acquisitions, global information technology, tax, treasury and legal. | ||||||||
2015 | 2014 | ||||||||
Segment depreciation and amortization expense | |||||||||
NA | $ | 2 | $ | 2.4 | |||||
AP | 1.6 | 1.9 | |||||||
EMEA | 0.8 | 1.2 | |||||||
LA | 2.9 | 2 | |||||||
Total segment depreciation and amortization expense | 7.3 | 7.5 | |||||||
Corporate depreciation and amortization expense | 9.1 | 10.2 | |||||||
Total depreciation and amortization expense | $ | 16.4 | $ | 17.7 | |||||
31-Mar-15 | 31-Dec-14 | ||||||||
Segment property, plant and equipment, at cost | |||||||||
NA | $ | 130.5 | $ | 128.8 | |||||
AP | 48.8 | 46.9 | |||||||
EMEA | 34.9 | 38.2 | |||||||
LA | 61.2 | 78.7 | |||||||
Total segment property, plant and equipment, at cost | 275.4 | 292.6 | |||||||
Corporate property plant and equipment, at cost, not allocated to segments | 333.8 | 320.3 | |||||||
Total property, plant and equipment, at cost | $ | 609.2 | $ | 612.9 | |||||
The following table presents information regarding the Company’s revenue by service and product solution for the three months ended March 31: | |||||||||
Revenue summary by service and product solution | 2015 | 2014 | |||||||
Financial self-service | |||||||||
Services | $ | 291.4 | $ | 285 | |||||
Products | 203.8 | 181.5 | |||||||
Total financial self-service | 495.2 | 466.5 | |||||||
Security | |||||||||
Services | 102.6 | 98.4 | |||||||
Products | 47.4 | 44 | |||||||
Total security | 150 | 142.4 | |||||||
Total financial self-service & security | 645.2 | 608.9 | |||||||
Brazil other | 10.3 | 79.4 | |||||||
$ | 655.5 | $ | 688.3 | ||||||
Allowance_for_Credit_Losses_Po
Allowance for Credit Losses (Policies) | 3 Months Ended |
Mar. 31, 2015 | |
Receivables [Abstract] | |
Loans and leases receivable | The Company records interest income and any fees or costs related to financing receivables using the effective interest method over the term of the lease or loan. The Company reviews the aging of its financing receivables to determine past due and delinquent accounts. Credit quality is reviewed at inception and is re-evaluated as needed based on customer-specific circumstances. Receivable balances 60 days to 89 days past due are reviewed and may be placed on nonaccrual status based on customer-specific circumstances. Receivable balances are placed on nonaccrual status upon reaching greater than 89 days past due. Upon receipt of payment on nonaccrual financing receivables, interest income is recognized and accrual of interest is resumed once the account has been made current or the specific circumstances have been resolved. |
Earnings_Loss_Per_Share_Tables
Earnings (Loss) Per Share (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Earnings Per Share [Abstract] | |||||||||
Computation of earnings per share under the treasury stock method and the effect on the weighted-average number of shares of dilutive potential common stock: | The following represents amounts used in computing (loss) earnings per share and the effect on the weighted-average number of shares of dilutive potential common shares: | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Numerator | |||||||||
Income used in basic and diluted earnings per share | |||||||||
Net (loss) income attributable to Diebold, Incorporated | $ | (2.8 | ) | $ | 9.8 | ||||
Denominator (in millions) | |||||||||
Weighted-average number of common shares used in basic earnings per share | 64.7 | 64.3 | |||||||
Effect of dilutive shares (1) | — | 0.5 | |||||||
Weighted-average number of shares used in diluted earnings per share | $ | 64.7 | $ | 64.8 | |||||
Net income attributable to Diebold, Incorporated | |||||||||
Basic (loss) earnings per share | $ | (0.04 | ) | $ | 0.15 | ||||
Diluted (loss) earnings per share | $ | (0.04 | ) | $ | 0.15 | ||||
Anti-dilutive shares (in millions) | |||||||||
Anti-dilutive shares not used in calculating diluted weighted-average shares | 2.2 | 1.7 | |||||||
-1 | Incremental shares of 0.7 million shares were excluded from the computation of diluted (loss) earnings per share for the three months ended March 31, 2015, because their effect is anti-dilutive due to the net loss attributable to Diebold, Incorporated. |
Equity_Tables
Equity (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Equity [Abstract] | |||||||||
Changes in shareholders' equity attributable to Diebold, Incorporated and the noncontrolling interests | The following table presents changes in shareholders' equity attributable to Diebold, Incorporated and the noncontrolling interests: | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Diebold, Incorporated shareholders' equity | |||||||||
Balance at beginning of period | $ | 531.6 | $ | 596.8 | |||||
Comprehensive (loss) income attributable to Diebold, Incorporated | (65.9 | ) | 17.8 | ||||||
Common shares | 0.4 | 0.6 | |||||||
Additional capital | 4.9 | 15.1 | |||||||
Treasury shares | (2.6 | ) | (1.3 | ) | |||||
Dividends paid | (18.9 | ) | (18.7 | ) | |||||
Balance at end of period | $ | 449.5 | $ | 610.3 | |||||
Noncontrolling interests | |||||||||
Balance at beginning of period | $ | 23.3 | $ | 24 | |||||
Comprehensive income (loss) attributable to noncontrolling interests, net (1) | — | (5.5 | ) | ||||||
Distributions to noncontrolling interest holders | — | (1.5 | ) | ||||||
Balance at end of period | $ | 23.3 | $ | 17 | |||||
-1 | Comprehensive income (loss) attributable to noncontrolling interests of $(2.6) is net of a $2.6 Venezuela noncontrolling interest adjustment to reduce the carrying value to the estimated fair market value as of March 31, 2015. |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the changes in the Company’s accumulated other comprehensive income (AOCI), net of tax, by component for the three months ended March 31, 2015: | ||||||||||||||||||||||||||||
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive (Loss) Income | ||||||||||||||||||||||||
Balance at January 1, 2015 | $ | (74.9 | ) | $ | (1.4 | ) | $ | (0.5 | ) | $ | (114.0 | ) | $ | 0.3 | $ | (190.5 | ) | ||||||||||||
Other comprehensive (loss) income before reclassifications (1) | (68.6 | ) | 4.3 | 0.2 | — | — | (64.1 | ) | |||||||||||||||||||||
Amounts reclassified from AOCI | — | — | (0.1 | ) | 1.1 | — | 1 | ||||||||||||||||||||||
Net current-period other comprehensive (loss) income | (68.6 | ) | 4.3 | 0.1 | 1.1 | — | (63.1 | ) | |||||||||||||||||||||
Balance at March 31, 2015 | $ | (143.5 | ) | $ | 2.9 | $ | (0.4 | ) | $ | (112.9 | ) | $ | 0.3 | $ | (253.6 | ) | |||||||||||||
-1 | Other comprehensive loss before reclassifications within the translation component excludes $2.9 of translation attributable to noncontrolling interests. | ||||||||||||||||||||||||||||
The following table summarizes the changes in the Company’s AOCI, net of tax, by component for the three months ended March 31, 2014: | |||||||||||||||||||||||||||||
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Unrealized Gain on Securities, Net | Other | Accumulated Other Comprehensive (Loss) Income | |||||||||||||||||||||||
Balance at January 1, 2014 | $ | (2.4 | ) | $ | (1.9 | ) | $ | (1.0 | ) | $ | (52.0 | ) | $ | 2.7 | $ | 0.3 | $ | (54.3 | ) | ||||||||||
Other comprehensive income (loss) before reclassifications (1) | 10 | (1.6 | ) | 0.2 | — | (1.1 | ) | — | 7.5 | ||||||||||||||||||||
Amounts reclassified from AOCI | — | — | (0.1 | ) | 0.5 | — | — | 0.4 | |||||||||||||||||||||
Net current-period other comprehensive income (loss) | 10 | (1.6 | ) | 0.1 | 0.5 | (1.1 | ) | — | 7.9 | ||||||||||||||||||||
Balance at March 31, 2014 | $ | 7.6 | $ | (3.5 | ) | $ | (0.9 | ) | $ | (51.5 | ) | $ | 1.6 | $ | 0.3 | $ | (46.4 | ) | |||||||||||
-1 | Other comprehensive income before reclassifications within the translation component excludes $(0.5) of translation attributable to noncontrolling interests. | ||||||||||||||||||||||||||||
Reclassification out of Accumulated Other Comprehensive Income | The following table summarizes the details about amounts reclassified from AOCI: | ||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||
2015 | 2014 | ||||||||||||||||||||||||||||
Amount Reclassified from AOCI | Amount Reclassified from AOCI | Affected Line Item in the Statement of Operations | |||||||||||||||||||||||||||
Interest rate hedges | $ | (0.1 | ) | $ | (0.1 | ) | Interest expense | ||||||||||||||||||||||
Pension and post-retirement benefits: | |||||||||||||||||||||||||||||
Net actuarial loss amortization | 0.1 | 0.5 | -1 | ||||||||||||||||||||||||||
Net prior service cost amortization (net of tax of $(0.6) and $0.0, respectively) | 1 | — | -1 | ||||||||||||||||||||||||||
1.1 | 0.5 | ||||||||||||||||||||||||||||
Total reclassifications for the period | $ | 1 | $ | 0.4 | |||||||||||||||||||||||||
-1 | Pension and other post-retirement benefits AOCI components are included in the computation of net periodic benefit cost (refer to note 12 to the condensed consolidated financial statements). |
ShareBased_Compensation_Tables
Share-Based Compensation (Tables) | 3 Months Ended | |||||||||||||
Mar. 31, 2015 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||
Options outstanding and exercisable under the Company's 1991 Equity and Performance Incentive Plan | Options outstanding and exercisable as of March 31, 2015 under the Company’s 1991 Equity and Performance Incentive Plan (as Amended and Restated as of February 12, 2014) (the 1991 Plan) and changes during the three months ended March 31, 2015, were as follows: | |||||||||||||
Number of | Weighted- | Weighted- | Aggregate | |||||||||||
Shares | Average | Average | Intrinsic | |||||||||||
Exercise | Remaining | Value (1) | ||||||||||||
Price | Contractual | |||||||||||||
Term | ||||||||||||||
(in millions) | (per share) | (in years) | ||||||||||||
Outstanding at January 1, 2015 | 1.6 | $ | 37.11 | |||||||||||
Expired or forfeited | (0.3 | ) | $ | 48.34 | ||||||||||
Granted | 0.5 | $ | 32.33 | |||||||||||
Outstanding at March 31, 2015 | 1.8 | $ | 34.42 | 7 | $ | 4.3 | ||||||||
Options exercisable at March 31, 2015 | 0.9 | $ | 36.06 | 5 | $ | 1.8 | ||||||||
Options vested and expected to vest at March 31, 2015 (2) | 1.8 | $ | 34.48 | 7 | $ | 4.1 | ||||||||
-1 | The aggregate intrinsic value (the difference between the closing price of the Company’s common shares on the last trading day of the first quarter of 2015 and the exercise price, multiplied by the number of “in-the-money” options) that would have been received by the option holders had all option holders exercised their options on March 31, 2015. The amount of aggregate intrinsic value will change based on the fair market value of the Company’s common shares. | |||||||||||||
-2 | The options expected to vest are the result of applying the pre-vesting forfeiture rate assumption to total outstanding non-vested options. | |||||||||||||
Summarized information on unvested restricted stock units (RSUs), performance shares and deferred shares | The following table summarizes information on non-vested restricted stock units (RSUs) and performance shares relating to employees and non-employee directors for the three months ended March 31, 2015: | |||||||||||||
Number of | Weighted-Average | |||||||||||||
Shares | Grant-Date Fair | |||||||||||||
Value | ||||||||||||||
(in millions) | (per share) | |||||||||||||
RSUs: | ||||||||||||||
Non-vested at January 1, 2015 | 0.7 | $ | 33.72 | |||||||||||
Vested | (0.1 | ) | $ | 35.52 | ||||||||||
Granted | 0.4 | $ | 31.95 | |||||||||||
Non-vested at March 31, 2015 | 1 | $ | 32.48 | |||||||||||
Performance Shares: | ||||||||||||||
Non-vested at January 1, 2015 | 1.1 | $ | 37.38 | |||||||||||
Forfeited | (0.1 | ) | $ | 38.24 | ||||||||||
Vested | (0.3 | ) | $ | 40.09 | ||||||||||
Granted | 0.4 | $ | 32.35 | |||||||||||
Non-vested at March 31, 2015 | 1.1 | $ | 34.58 | |||||||||||
Investments_Tables
Investments (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||
Investments | The Company’s investments, excluding cash surrender value of insurance contracts of $72.7 and $73.8 as of March 31, 2015 and December 31, 2014, respectively, consisted of the following: | ||||||||||||
Cost Basis | Unrealized Gain | Fair Value | |||||||||||
As of March 31, 2015 | |||||||||||||
Short-term investments | |||||||||||||
Certificates of deposit | $ | 114.4 | $ | — | $ | 114.4 | |||||||
Long-term investments | |||||||||||||
Assets held in a rabbi trust | $ | 9.1 | $ | 0.7 | $ | 9.8 | |||||||
As of December 31, 2014 | |||||||||||||
Short-term investments | |||||||||||||
Certificates of deposit | $ | 136.7 | $ | — | $ | 136.7 | |||||||
Long-term investments | |||||||||||||
Assets held in a rabbi trust | $ | 9.3 | $ | 0.5 | $ | 9.8 | |||||||
Allowance_for_Credit_Losses_Ta
Allowance for Credit Losses (Tables) | 3 Months Ended | ||||||||||||
Mar. 31, 2015 | |||||||||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||||||||
Allowance for credit losses | The following table summarizes the Company’s allowance for credit losses for the three months ended March 31, 2015 and 2014: | ||||||||||||
Finance | Notes | Total | |||||||||||
Leases | Receivable | ||||||||||||
Allowance for credit losses | |||||||||||||
Balance at January 1, 2015 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
Provision for credit losses | 0.5 | — | 0.5 | ||||||||||
Balance at March 31, 2015 | $ | 0.9 | $ | 4.1 | $ | 5 | |||||||
Balance at January 1, 2014 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
Balance at March 31, 2014 | $ | 0.4 | $ | 4.1 | $ | 4.5 | |||||||
Aging of past-due notes receivable | The following table summarizes the Company’s aging of past-due notes receivable balances: | ||||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||||
30-59 days past due | $ | — | $ | 0.1 | |||||||||
60-89 days past due | — | — | |||||||||||
> 89 days past due (1) | 2.3 | 1.5 | |||||||||||
Total past due | $ | 2.3 | $ | 1.6 | |||||||||
-1 | Past-due notes receivable balances greater than 89 days are fully reserved. |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Major classes of inventories | Major classes of inventories are summarized as follows: | ||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
Finished goods | $ | 196.8 | $ | 197.4 | |||||
Service parts | 135.2 | 125.6 | |||||||
Raw materials and work in process | 90.5 | 82.2 | |||||||
Total inventories | $ | 422.5 | $ | 405.2 | |||||
Debt_Tables
Debt (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Outstanding Debt Balances | Outstanding debt balances were as follows: | ||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
Notes payable | |||||||||
Uncommitted lines of credit | $ | 44 | $ | 24.8 | |||||
Other | 0.7 | 0.8 | |||||||
$ | 44.7 | $ | 25.6 | ||||||
Long-term debt | |||||||||
Credit facility | $ | 295 | $ | 240 | |||||
Senior notes | 225 | 225 | |||||||
Industrial development revenue bonds | 11.9 | 11.9 | |||||||
Other | 2.8 | 2.9 | |||||||
$ | 534.7 | $ | 479.8 | ||||||
Benefit_Plans_Tables
Benefit Plans (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | |||||||||||||||||
Components of Net Periodic Benefit Cost | The following table sets forth the net periodic benefit cost for the Company’s defined benefit pension plans and other benefits for the three months ended March 31: | ||||||||||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
2015 | 2014 | 2015 | 2014 | ||||||||||||||
Components of net periodic benefit cost | |||||||||||||||||
Service cost | $ | 0.9 | $ | 0.7 | $ | — | $ | — | |||||||||
Interest cost | 5.9 | 5.7 | 0.1 | 0.2 | |||||||||||||
Expected return on plan assets | (6.7 | ) | (6.4 | ) | — | — | |||||||||||
Amortization of prior service benefit | — | — | — | (0.1 | ) | ||||||||||||
Recognized net actuarial loss | 1.7 | 0.8 | 0.1 | 0.1 | |||||||||||||
Net periodic pension benefit cost | $ | 1.8 | $ | 0.8 | $ | 0.2 | $ | 0.2 | |||||||||
Guarantees_and_Product_Warrant1
Guarantees and Product Warranties (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||
Changes in warranty liability balance | Changes in the Company’s warranty liability balance are illustrated in the following table: | ||||||||
2015 | 2014 | ||||||||
Balance at January 1 | $ | 113.3 | $ | 83.2 | |||||
Current period accruals (1) | (3.5 | ) | 11.9 | ||||||
Current period settlements | (12.7 | ) | (12.3 | ) | |||||
Balance at March 31 | $ | 97.1 | $ | 82.8 | |||||
-1 | Includes the impact of foreign exchange rate fluctuations. |
Derivative_Instruments_and_Hed1
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |||||||||
Gain (loss) recognized on non-designated derivative instruments | The following table summarizes the gain (loss) recognized on non-designated foreign-exchange derivative instruments for the three months ended March 31: | ||||||||
Three Months Ended | |||||||||
March 31, | |||||||||
2015 | 2014 | ||||||||
Interest expense | $ | (1.3 | ) | $ | (1.4 | ) | |||
Foreign exchange gain (loss), net | 5.5 | 1.2 | |||||||
$ | 4.2 | $ | (0.2 | ) | |||||
Restructuring_and_Other_Charge1
Restructuring and Other Charges (Tables) | 3 Months Ended | |||||||||||
Mar. 31, 2015 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
Schedule of Restructuring and Related Costs | The following table summarizes the impact of the Company’s restructuring charges on the condensed consolidated statements of operations for the three months ended March 31: | |||||||||||
2015 | 2014 | |||||||||||
Cost of sales – services | $ | — | $ | 0.7 | ||||||||
Selling and administrative expense | 2.5 | 4.4 | ||||||||||
Research, development and engineering expense | 0.6 | — | ||||||||||
Total | $ | 3.1 | $ | 5.1 | ||||||||
Restructuring charges (accrual adjustments) within continuing operations by reporting segments | The following table summarizes the Company’s restructuring charges by reporting segment for the three months ended March 31: | |||||||||||
2015 | 2014 | |||||||||||
Severance | ||||||||||||
North America (NA) | $ | 1.5 | $ | 2.1 | ||||||||
Asia Pacific (AP) | — | 0.3 | ||||||||||
Europe, Middle East and Africa (EMEA) | 0.9 | 0.6 | ||||||||||
Latin America (LA) | 0.7 | 2.1 | ||||||||||
Total Severance | $ | 3.1 | $ | 5.1 | ||||||||
Cumulative total restructuring costs [Table Text Block] | The following table summarizes the Company's cumulative total restructuring costs for the multi-year transformation plan as of March 31, 2015: | |||||||||||
Severance | Other | Total | ||||||||||
Cumulative total restructuring costs for the multi-year transformation plan | ||||||||||||
NA | $ | 63.3 | $ | 2 | $ | 65.3 | ||||||
AP | 2.7 | 0.6 | 3.3 | |||||||||
EMEA | 2.7 | 0.9 | 3.6 | |||||||||
LA | 15.1 | — | 15.1 | |||||||||
Total | $ | 83.8 | $ | 3.5 | $ | 87.3 | ||||||
Restructuring accrual balances and related activity | The following table summarizes the Company’s restructuring accrual balances and related activity for the three months ended March 31: | |||||||||||
2015 | 2014 | |||||||||||
Balance at January 1 | $ | 7.8 | $ | 35.3 | ||||||||
Liabilities incurred | 3.1 | 5.1 | ||||||||||
Liabilities paid/settled | (5.4 | ) | (23.4 | ) | ||||||||
Balance at March 31 | $ | 5.5 | $ | 17 | ||||||||
Fair_Value_of_Assets_and_Liabi1
Fair Value of Assets and Liabilities (Tables) | 3 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||
Summary of Assets and Liabilities Recorded at Fair Market Value | Assets and liabilities subject to fair value measurement are as follows: | ||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | ||||||||||||||||||||||||
Fair Value | Level 1 | Level 2 | Fair Value | Level 1 | Level 2 | ||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Short-term investments: | |||||||||||||||||||||||||
Certificates of deposit | $ | 114.4 | $ | 114.4 | $ | — | $ | 136.7 | $ | 136.7 | $ | — | |||||||||||||
Assets held in rabbi trusts | 9.8 | 9.8 | — | 9.8 | 9.8 | — | |||||||||||||||||||
Foreign exchange forward contracts | 2 | — | 2 | 2.9 | — | 2.9 | |||||||||||||||||||
Total | $ | 126.2 | $ | 124.2 | $ | 2 | $ | 149.4 | $ | 146.5 | $ | 2.9 | |||||||||||||
Liabilities | |||||||||||||||||||||||||
Deferred compensation | $ | 9.8 | $ | 9.8 | $ | — | $ | 9.8 | $ | 9.8 | $ | — | |||||||||||||
Foreign exchange forward contracts | 0.5 | — | 0.5 | 1 | — | 1 | |||||||||||||||||||
Interest rate swaps | 0.9 | — | 0.9 | 1.2 | — | 1.2 | |||||||||||||||||||
Total | $ | 11.2 | $ | 9.8 | $ | 1.4 | $ | 12 | $ | 9.8 | $ | 2.2 | |||||||||||||
Fair value and carrying value of the Company's debt instruments | The fair value and carrying value of the Company’s debt instruments are summarized as follows: | ||||||||||||||||||||||||
March 31, 2015 | December 31, 2014 | ||||||||||||||||||||||||
Fair Value | Carrying | Fair Value | Carrying | ||||||||||||||||||||||
Value | Value | ||||||||||||||||||||||||
Notes payable | $ | 44.7 | $ | 44.7 | $ | 25.6 | $ | 25.6 | |||||||||||||||||
Long-term debt | 538.3 | 534.7 | 483.6 | 479.8 | |||||||||||||||||||||
Total debt instruments | $ | 583 | $ | 579.4 | $ | 509.2 | $ | 505.4 | |||||||||||||||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Summary of Segment Information | The following tables represent information regarding the Company’s segment information and provides a reconciliation between segment operating profit and the consolidated income before income taxes for the three months ended March 31: | ||||||||
2015 | 2014 | ||||||||
Revenue summary by segment | |||||||||
NA | $ | 339.9 | $ | 317.5 | |||||
AP | 110.5 | 107.1 | |||||||
EMEA | 86.8 | 84.1 | |||||||
LA | 118.3 | 179.6 | |||||||
Total customer revenues | $ | 655.5 | $ | 688.3 | |||||
Intersegment revenues | |||||||||
NA | $ | 21.1 | $ | 15.9 | |||||
AP | 19.4 | 23.9 | |||||||
EMEA | 11.1 | 7 | |||||||
LA | 0.1 | 0.1 | |||||||
Total intersegment revenues | $ | 51.7 | $ | 46.9 | |||||
Segment operating profit | |||||||||
NA | $ | 67.7 | $ | 59.4 | |||||
AP | 18.2 | 16.8 | |||||||
EMEA | 12.4 | 11.2 | |||||||
LA | 3.1 | 11.5 | |||||||
Total segment operating profit | $ | 101.4 | $ | 98.9 | |||||
Corporate charges not allocated to segments (1) | (70.7 | ) | (69.4 | ) | |||||
Asset impairment charges | (19.4 | ) | — | ||||||
Restructuring charges | (3.1 | ) | (5.1 | ) | |||||
Net non-routine expense | (4.6 | ) | (1.1 | ) | |||||
(97.8 | ) | (75.6 | ) | ||||||
Operating profit | $ | 3.6 | $ | 23.3 | |||||
Other expense | (10.6 | ) | (11.6 | ) | |||||
(Loss) income before taxes | $ | (7.0 | ) | $ | 11.7 | ||||
-1 | Corporate charges not allocated to segments include headquarter-based costs associated with manufacturing administration, procurement, human resources, finance and accounting, global development/engineering, global strategy/mergers and acquisitions, global information technology, tax, treasury and legal. | ||||||||
2015 | 2014 | ||||||||
Segment depreciation and amortization expense | |||||||||
NA | $ | 2 | $ | 2.4 | |||||
AP | 1.6 | 1.9 | |||||||
EMEA | 0.8 | 1.2 | |||||||
LA | 2.9 | 2 | |||||||
Total segment depreciation and amortization expense | 7.3 | 7.5 | |||||||
Corporate depreciation and amortization expense | 9.1 | 10.2 | |||||||
Total depreciation and amortization expense | $ | 16.4 | $ | 17.7 | |||||
31-Mar-15 | 31-Dec-14 | ||||||||
Segment property, plant and equipment, at cost | |||||||||
NA | $ | 130.5 | $ | 128.8 | |||||
AP | 48.8 | 46.9 | |||||||
EMEA | 34.9 | 38.2 | |||||||
LA | 61.2 | 78.7 | |||||||
Total segment property, plant and equipment, at cost | 275.4 | 292.6 | |||||||
Corporate property plant and equipment, at cost, not allocated to segments | 333.8 | 320.3 | |||||||
Total property, plant and equipment, at cost | $ | 609.2 | $ | 612.9 | |||||
Schedule Of Revenue From External Customers By Geographic Area, Product, And Service Solution | The following table presents information regarding the Company’s revenue by service and product solution for the three months ended March 31: | ||||||||
Revenue summary by service and product solution | 2015 | 2014 | |||||||
Financial self-service | |||||||||
Services | $ | 291.4 | $ | 285 | |||||
Products | 203.8 | 181.5 | |||||||
Total financial self-service | 495.2 | 466.5 | |||||||
Security | |||||||||
Services | 102.6 | 98.4 | |||||||
Products | 47.4 | 44 | |||||||
Total security | 150 | 142.4 | |||||||
Total financial self-service & security | 645.2 | 608.9 | |||||||
Brazil other | 10.3 | 79.4 | |||||||
$ | 655.5 | $ | 688.3 | ||||||
Consolidated_Financial_Stateme1
Consolidated Financial Statements Consolidated Financial Statement (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Payments to Acquire Businesses, Gross | $72.90 | |
Amount of deferred payments related to acquisition | 12.6 | |
Effect of Exchange Rate on Cash and Cash Equivalents | 14.8 | 11.2 |
Devaluation of Venezuelan balance sheet | 7.5 | 12.1 |
Impairment of assets | 19.4 | 0 |
Cost of sales b services | ||
Inventory Write-down | 4.1 | |
VENEZUELA | ||
Effect of Exchange Rate on Cash and Cash Equivalents | 6.1 | |
Impairment of assets | $10.30 | |
SIMADI [Member] | ||
Foreign Currency Exchange Rate | 192.95 | |
VENEZUELA GOVERNMENT [Member] | ||
Foreign Currency Exchange Rate | 6.3 | |
SICAD [Member] | ||
Foreign Currency Exchange Rate | 50.86 |
Earnings_Loss_Per_Share_Detail
Earnings (Loss) Per Share (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Income (loss) used in basic and diluted earnings per share: | ||
Net (loss) income attributable to Diebold, Incorporated | ($2.80) | $9.80 |
Denominator (in millions): | ||
Weighted-average number of common shares used in basic earnings per share | 64.7 | 64.3 |
Effect of dilutive shares (1) | 0 | 0.5 |
Weighted-average number of shares used in diluted earnings per share | 64.7 | 64.8 |
Net income attributable to Diebold, Incorporated | ||
Basic (loss) earnings per share | ($0.04) | $0.15 |
Diluted (loss) earnings per share | ($0.04) | $0.15 |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 2.2 | 1.7 |
Incremental Shares, Excluded From Dilutive Calculation, Due To Resulting in Operating Loss | 0.7 |
Equity_Details
Equity (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | |
Diebold, Incorporated shareholders' equity | |||
Balance at beginning of period | $531.60 | $596.80 | |
Comprehensive (loss) income attributable to Diebold, Incorporated | -65.9 | 17.8 | |
Common shares | 0.4 | 0.6 | |
Additional capital | 4.9 | 15.1 | |
Treasury shares | -2.6 | -1.3 | |
Dividends paid | -18.9 | -18.7 | |
Balance at end of period | 449.5 | 610.3 | |
Noncontrolling interests | |||
Balance at beginning of period | 23.3 | 24 | |
Comprehensive income (loss) attributable to noncontrolling interests, net (1) | 2.6 | 5.5 | |
Comprehensive income (loss) attributable to noncontrolling interests, net | 0 | [1] | -5.5 |
Distributions to noncontrolling interest holders | 0 | -1.5 | |
Noncontrolling Interest, Decrease from Deconsolidation | 2.6 | ||
Balance at end of period | $23.30 | $17 | |
[1] | Comprehensive income (loss) attributable to noncontrolling interests of $(2.6) is net of a $2.6 Venezuela noncontrolling interest adjustment to reduce the carrying value to the estimated fair market value as of March 31, 2015. |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Loss (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | |
Beginning Balance | ($190.50) | ($54.30) | |
Other comprehensive (loss) income before reclassifications (1) | -64.1 | 7.5 | |
Amounts reclassified from AOCI | 1 | 0.4 | |
Net current-period other comprehensive (loss) income | -63.1 | 7.9 | |
Balance at March 31, 2015 | -253.6 | -46.4 | |
Translation | |||
Beginning Balance | -74.9 | -2.4 | |
Other comprehensive (loss) income before reclassifications (1) | -68.6 | 10 | [1] |
Amounts reclassified from AOCI | 0 | 0 | |
Net current-period other comprehensive (loss) income | -68.6 | 10 | |
Balance at March 31, 2015 | -143.5 | 7.6 | |
Other comprehensive (loss) income, translation adjustment, net of tax, attributable to noncontrolling interests | 2.9 | -0.5 | |
Foreign Currency Hedges | |||
Beginning Balance | -1.4 | -1.9 | |
Other comprehensive (loss) income before reclassifications (1) | 4.3 | -1.6 | |
Amounts reclassified from AOCI | 0 | 0 | |
Net current-period other comprehensive (loss) income | 4.3 | -1.6 | |
Balance at March 31, 2015 | 2.9 | -3.5 | |
Interest Rate Hedges | |||
Beginning Balance | -0.5 | -1 | |
Other comprehensive (loss) income before reclassifications (1) | 0.2 | 0.2 | |
Amounts reclassified from AOCI | -0.1 | -0.1 | |
Net current-period other comprehensive (loss) income | 0.1 | 0.1 | |
Balance at March 31, 2015 | -0.4 | -0.9 | |
Pension and Other Post-retirement Benefits | |||
Beginning Balance | -114 | -52 | |
Other comprehensive (loss) income before reclassifications (1) | 0 | 0 | |
Amounts reclassified from AOCI | 1.1 | 0.5 | |
Net current-period other comprehensive (loss) income | 1.1 | 0.5 | |
Balance at March 31, 2015 | -112.9 | -51.5 | |
Unrealized Gain on Securities, Net | |||
Beginning Balance | 2.7 | ||
Other comprehensive (loss) income before reclassifications (1) | -1.1 | ||
Amounts reclassified from AOCI | 0 | ||
Net current-period other comprehensive (loss) income | -1.1 | ||
Balance at March 31, 2015 | 1.6 | ||
Other | |||
Beginning Balance | 0.3 | 0.3 | |
Other comprehensive (loss) income before reclassifications (1) | 0 | 0 | |
Amounts reclassified from AOCI | 0 | 0 | |
Net current-period other comprehensive (loss) income | 0 | 0 | |
Balance at March 31, 2015 | $0.30 | $0.30 | |
[1] | Other comprehensive income before reclassifications within the translation component excludes $(0.5) of translation attributable to noncontrolling interests. |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Loss Reclassification Adjustments (Details) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | ||
Interest Expense | $8 | $6.90 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Total reclassifications for the period | 1 | 0.4 | ||
Accumulated Net Gain (Loss) from Interest Rate Hedge [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Interest Expense | -0.1 | -0.1 | ||
Accumulated Defined Benefit Plans Adjustment [Member] | ||||
Net actuarial loss amortization, tax | 0 | 0 | ||
Accumulated Defined Benefit Plans Adjustment [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Net actuarial loss amortization | 0.1 | [1] | 0.5 | [1] |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Prior Service Costs Arising During Period, Tax | 0 | -0.6 | ||
Net prior service cost amortization (net of tax of $(0.6) and $0.0, respectively) | 1 | [1] | 0 | [1] |
Amounts reclassified from AOCI | $1.10 | $0.50 | ||
[1] | Pension and other post-retirement benefits AOCI components are included in the computation of net periodic benefit cost (refer to note 12 to the condensed consolidated financial statements). |
ShareBased_Compensation_Stock_
Share-Based Compensation - Stock Options (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | |
Options outstanding and exercisable under the Company's 1991 Equity and Performance Incentive Plan | ||
Outstanding, Shares, Beginning balance | 1.6 | |
Outstanding, Weighted average exercise price, Beginning balance | $37.11 | |
Expired or forfeited, Shares | -0.3 | |
Expired or forfeited, Weighted average exercise price | $48.34 | |
Granted, Shares | 0.5 | |
Granted, Weighted average exercise price | $32.33 | |
Outstanding, Shares, Ending balance | 1.8 | |
Outstanding, Weighted average exercise price, Ending balance | $34.42 | |
Outstanding, Weighted Average Remaining Contractual Term | 7 years | |
Outstanding, Aggregate Intrinsic Value | $4.30 | [1] |
Options exercisable, Shares | 0.9 | |
Options exercisable, Weighted average exercise price | $36.06 | |
Option exercisable, Weighted average remaining contractual term | 5 years | |
Option exercisable, Aggregate Intrinsic Value | 1.8 | [1] |
Options vested and expected to vest, Shares | 1.8 | [2] |
Options vested and expected to vest, Weighted average exercise price | $34.48 | [2] |
Options vested and expected to vest, Weighted average remaining contractual term | 7 years | [2] |
Options vested and expected to vest, aggregate intrinsic value | $4.10 | [1],[2] |
[1] | The aggregate intrinsic value (the difference between the closing price of the Companybs common shares on the last trading day of the first quarter of 2015 and the exercise price, multiplied by the number of bin-the-moneyb options) that would have been received by the option holders had all option holders exercised their options on MarchB 31, 2015. The amount of aggregate intrinsic value will change based on the fair market value of the Companybs common shares. | |
[2] | The options expected to vest are the result of applying the pre-vesting forfeiture rate assumption to total outstanding non-vested options. |
ShareBased_Compensation_Compen
Share-Based Compensation - Compensation Expense and Information on Non-Vested Shares (Details) (USD $) | 3 Months Ended | |
In Millions, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Allocated Share-based Compensation Expense | $4.30 | $5 |
Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Unvested, Shares, Beginning balance | 0.7 | |
Unvested, Weighted-average grant-date fair value, Beginning balance | $33.72 | |
Vested, Shares | -0.1 | |
Vested, Weighted-average grant-date fair value | $35.52 | |
Granted, Shares | 0.4 | |
Granted, Weighted-average grant-date fair value | $31.95 | |
Unvested, Shares, Ending balance | 1 | |
Unvested, Weighted-average grant-date fair value, Ending balance | $32.48 | |
Performance Shares [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Unvested, Shares, Beginning balance | 1.1 | |
Unvested, Weighted-average grant-date fair value, Beginning balance | $37.38 | |
Forfeited, Shares | -0.1 | |
Forfeited, Weighted-average grant-date fair value | $38.24 | |
Vested, Shares | -0.3 | |
Vested, Weighted-average grant-date fair value | $40.09 | |
Granted, Shares | 0.4 | |
Granted, Weighted-average grant-date fair value | $32.35 | |
Unvested, Shares, Ending balance | 1.1 | |
Unvested, Weighted-average grant-date fair value, Ending balance | $34.58 | |
Deferred Compensation, Share-based Payments [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Vested, Shares, Ending Balance | 0.1 | |
One year vest [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | |
Three year graded vest [Member] | Performance Shares [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years |
Income_Taxes_Details
Income Taxes (Details) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate on income (loss) before taxes | 20.00% | 58.10% |
Investments_Details
Investments (Details) (USD $) | 3 Months Ended | 12 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Short-term investments: | ||
Short-term investments | $114.40 | $136.70 |
Certificates of deposit | ||
Short-term investments: | ||
Investments, Cost Basis | 114.4 | 136.7 |
Available-for-sale Securities, Accumulated Gross Unrealized Gain (Loss), before Tax | 0 | 0 |
Short-term investments | 114.4 | 136.7 |
Assets held in rabbi trusts [Member] | ||
Long-term investments: | ||
Long-term investments, Cost Basis | 9.1 | 9.3 |
Long-term investments, Unrealized (Loss) Gain | -0.7 | -0.5 |
Fair Value, Measurements, Recurring [Member] | Assets held in rabbi trusts [Member] | ||
Long-term investments: | ||
Fair Value Of Assets Held Under Trust | 9.8 | 9.8 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | Assets held in rabbi trusts [Member] | ||
Long-term investments: | ||
Fair Value Of Assets Held Under Trust | 9.8 | 9.8 |
Certificates of deposit | Fair Value, Measurements, Recurring [Member] | ||
Long-term investments: | ||
Investments, Fair Value Disclosure | 114.4 | 136.7 |
Certificates of deposit | Fair Value, Inputs, Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Long-term investments: | ||
Investments, Fair Value Disclosure | $114.40 |
Investments_Details_Textuals
Investments (Details Textuals) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Investments (Textuals) | |||
Realized (losses) gains from sale of securities | $0.10 | ||
Proceeds from sale of available-for-sale securities | 0 | 0.3 | |
Cash surrender value of insurance contracts | $72.70 | $73.80 |
Allowance_for_Credit_Losses_Su
Allowance for Credit Losses - Summary of Allowance for Credit Losses (Details) (USD $) | 3 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2013 |
Allowance for credit losses and recorded investment in financing receivables | |||
January Balance | $4.50 | $4.50 | $4.50 |
Provision for credit losses | 0.5 | ||
March Balance | 5 | 4.5 | 4.5 |
Finance Leases Financing Receivable [Member] | |||
Allowance for credit losses and recorded investment in financing receivables | |||
January Balance | 0.4 | 0.4 | 0.4 |
Provision for credit losses | 0.5 | ||
March Balance | 0.9 | 0.4 | 0.4 |
Notes Receivable [Member] | |||
Allowance for credit losses and recorded investment in financing receivables | |||
January Balance | 4.1 | 4.1 | 4.1 |
Provision for credit losses | 0 | ||
March Balance | $4.10 | $4.10 | $4.10 |
Allowance_for_Credit_Losses_Ag
Allowance for Credit Losses - Aging of Past-Due Receivables (Details) (Notes Receivable [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 | ||
In Millions, unless otherwise specified | ||||
Notes Receivable [Member] | ||||
Summarizes the Company's aging of past-due notes receivable | ||||
30-59 days past due | $0 | $0.10 | ||
60-89 days past due | 0 | 0 | ||
89 days past due (1) | 2.3 | [1] | 1.5 | [1] |
Total past due | $2.30 | $1.60 | ||
[1] | Past-due notes receivable balances greater than 89 days are fully reserved. |
Allowance_for_Credit_Losses_De
Allowance for Credit Losses (Details Textuals) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2013 |
Allowance for credit losses (Textuals) | ||||
Financing Receivable, Allowance for Credit Losses | 5 | $4.50 | $4.50 | $4.50 |
The recorded investment in past-due finance lease receivables on nonaccrual status | 1.1 | 2.2 | ||
Recorded investments in finance receivables past due 90 days or more and still accruing interest | 0 | 0 | ||
The recorded investment in impaired notes receivable | 4.1 | 4.1 | ||
The recorded investment in impaired notes related allowance | 4.1 | 4.1 | ||
Minimum [Member] | ||||
Allowance for credit losses (Textuals) | ||||
Period required for considering financing receivable as non accrual status | 60 days | |||
Period for placing financing receivables on non-accrual status | 89 days | |||
Past Due Period Of Financing Receivable Accruing Interest | 90 days | |||
Maximum [Member] | ||||
Allowance for credit losses (Textuals) | ||||
Period required for considering financing receivable as non accrual status | 89 days | |||
Brazil | ||||
Allowance for credit losses (Textuals) | ||||
Financing Receivable, Recorded Investment, Current | 105 | 149.9 | ||
Finance Leases Financing Receivable [Member] | ||||
Allowance for credit losses (Textuals) | ||||
Financing Receivable, Allowance for Credit Losses | 0.9 | 0.4 | 0.4 | 0.4 |
Financing Receivable, Individually Evaluated for Impairment | 133.1 | 202.6 | ||
Notes Receivable [Member] | ||||
Allowance for credit losses (Textuals) | ||||
Financing Receivable, Allowance for Credit Losses | 4.1 | 4.1 | 4.1 | 4.1 |
Financing Receivable, Individually Evaluated for Impairment | 8.5 | $14.10 |
Inventories_Details
Inventories (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Major classes of inventories | ||
Finished goods | $196.80 | $197.40 |
Service parts | 135.2 | 125.6 |
Raw materials and work in process | 90.5 | 82.2 |
Total inventories | $422.50 | $405.20 |
Goodwill_and_Other_AssetsDetai
Goodwill and Other Assets(Details Textuals) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2014 | Dec. 31, 2014 |
Goodwill, Acquired During Period | $42.30 | |||
Finite-lived Intangible Assets Acquired | 32.7 | |||
Goodwill, Impairment Loss | 0 | |||
Goodwill | 208 | 172 | 172 | |
Capitalized Computer Software, Net | 27.7 | 36.3 | 36.3 | |
Capitalized Computer Software, Amortization | 3.5 | 4.6 | ||
Capitalized Computer Software, Impairments | 9.1 | |||
North America Segment [Member] | ||||
Goodwill, Written off Related to Sale of Business Unit | 1.6 | |||
Canada Reporting Unit [Member] | North America Segment [Member] | ||||
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount | 100.00% | 100.00% | ||
Asia Pacific Reporting Unit [Member] | Asia Pacific Segment [Member] | ||||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | 114.2 | 114.2 | ||
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount | 39.00% | 39.00% | ||
Domestic Reporting Unit [Member] | North America Segment [Member] | ||||
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount | 100.00% | 100.00% | ||
Brazil Reporting Unit [Member] | Latin America Segment [Member] | ||||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | $61 | $61 | ||
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount | 17.00% | 17.00% | ||
Latin America Reporting Unit [Member] | Latin America Segment [Member] | ||||
Reporting Unit, Percentage of Fair Value in Excess of Carrying Amount | 100.00% | 100.00% |
Debt_Details
Debt (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Notes payable | ||
Uncommitted lines of credit | $44 | $24.80 |
Other | 0.7 | 0.8 |
Short-term Debt | 44.7 | 25.6 |
Long-term debt | ||
Credit facility | 295 | 240 |
Senior notes | 225 | 225 |
Industrial development revenue bonds | 11.9 | 11.9 |
Other | 2.8 | 2.9 |
Long-term debt | $534.70 | $479.80 |
Debt_Details_Textuals
Debt (Details Textuals) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2013 | Mar. 31, 2006 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||||
Discussion Of Senior Notes Interest Rate Cash Flow Hedge Effective Rate | This reduced the effective interest rate from 5.50 percent to 5.36B percent. | |||
Debt (Textuals) | ||||
Repayments of Long-term Debt | $75 | |||
Debt Instrument, Covenant Compliance | As of March 31, 2015 the Company was in compliance with the financial covenants in its debt agreements. | |||
Senior Notes [Member] | ||||
Debt (Textuals) | ||||
Issuance of Senior Notes, Principal amount | 300 | |||
Notional Amount Of Senior Notes Interest Rate Cash Flow Hedge Derivatives | 200 | |||
Debt, Weighted Average Interest Rate | 5.50% | |||
Effective interest rate before cash flow hedge | 5.50% | |||
Effective interest rate after cash flow hedge | 5.36% | |||
Senior Notes Due 2016 [Member] | ||||
Debt (Textuals) | ||||
Senior Notes Maturity Schedule | 175 | |||
Senior Notes Due 2018 [Member] | ||||
Debt (Textuals) | ||||
Senior Notes Maturity Schedule | 50 | |||
Industrial development revenue bonds [Member] | ||||
Debt (Textuals) | ||||
Debt, Weighted Average Interest Rate | 0.21% | 0.27% | ||
Maturity of bonds issued | 1-Jun-17 | |||
Bond maturity period | 20 years | |||
Revolving Credit Facility [Member] | ||||
Debt (Textuals) | ||||
Line of Credit Facility, Current Borrowing Capacity | 520 | 500 | ||
Increase in borrowing limits under credit facility agreement | 250 | |||
Weighted average interest rate on credit facility borrowings outstanding | 1.69% | 1.69% | ||
Line of credit facility description of variable rate basis | LIBOR | |||
Amount available under credit facility | 225 | |||
Swing Line Sub-Facility [Member] | ||||
Debt (Textuals) | ||||
Increase in borrowing limits under credit facility agreement | 50 | |||
Uncommitted Line of Credit [Member] | ||||
Debt (Textuals) | ||||
Borrowing limit of short term uncommitted line of credit | 122.3 | |||
Weighted average interest rate on outstanding borrowings | 3.02% | 2.96% | ||
Maturity time of short term uncommitted lines | less than one year | |||
Amount available under credit facility | 78.3 |
Benefit_Plans_Details
Benefit Plans (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Components of net periodic benefit cost | ||
Contributions to qualified and non qualified pension plans | $11 | $1.90 |
Qualified Pension Plan [Member] | ||
Components of net periodic benefit cost | ||
Contributions to qualified and non qualified pension plans | 10 | |
Pension Plan [Member] | ||
Components of net periodic benefit cost | ||
Service cost | 0.9 | 0.7 |
Interest cost | 5.9 | 5.7 |
Expected return on plan assets | -6.7 | -6.4 |
Amortization of prior service benefit | 0 | 0 |
Recognized net actuarial loss | 1.7 | 0.8 |
Net periodic pension benefit cost | 1.8 | 0.8 |
Other Benefits [Member] | ||
Components of net periodic benefit cost | ||
Service cost | 0 | 0 |
Interest cost | 0.1 | 0.2 |
Expected return on plan assets | 0 | 0 |
Amortization of prior service benefit | 0 | -0.1 |
Recognized net actuarial loss | 0.1 | 0.1 |
Net periodic pension benefit cost | $0.20 | $0.20 |
Guarantees_and_Product_Warrant2
Guarantees and Product Warranties (Details) (USD $) | 3 Months Ended | ||||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | ||
Guarantees and Product Warranties (Textuals) | |||||
Carrying value of the bonds | $11.90 | $11.90 | |||
Maximum future payment obligations | 106.9 | 111.1 | |||
Standby letters of credit | 28 | 28 | |||
Changes in warranty liability balance | |||||
Beginning Balance | 113.3 | 83.2 | |||
Current period accruals (1) | -3.5 | [1] | 11.9 | [1] | |
Current period settlements | -12.7 | -12.3 | |||
Ending Balance | $97.10 | $82.80 | |||
[1] | Includes the impact of foreign exchange rate fluctuations. |
Commitments_and_Contingencies_
Commitments and Contingencies Commitments and Contingencies (Details) | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Mar. 31, 2015 |
In Millions, unless otherwise specified | USD ($) | Indirect Tax Liability [Member] | Brazilian Federal Indirect Tax Assessment [Member] | Brazilian Federal Indirect Tax Assessment [Member] | Brazilian Federal Indirect Tax Assessment [Member] | Thailand Customs Matter [Member] |
USD ($) | BRL | USD ($) | USD ($) | USD ($) | ||
Loss Contingencies [Line Items] | ||||||
Unrecorded Unconditional Purchase Obligation, Due in Next Twelve Months | $9.50 | |||||
Loss Contingency, Damages Sought, Value | 270 | |||||
Loss Contingency Accrual, at Carrying Value | 10.4 | 12.5 | ||||
Loss Contingency, Range of Possible Loss, Portion Not Accrued | $196.40 | $164.40 | $26 |
Derivative_Instruments_and_Hed2
Derivative Instruments and Hedging Activities (Details) (Foreign Exchange Contract [Member], USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Gain (loss) recognized on non-designated derivative instruments: | ||
Gain (loss) recognized on non-designated derivative instruments, total | $4.20 | ($0.20) |
Interest expense [Member] | ||
Gain (loss) recognized on non-designated derivative instruments: | ||
Gain (loss) recognized on non-designated derivative instruments, total | -1.3 | -1.4 |
Foreign exchange gain (loss), net [Member] | ||
Gain (loss) recognized on non-designated derivative instruments: | ||
Gain (loss) recognized on non-designated derivative instruments, total | $5.50 | $1.20 |
Derivative_Instruments_and_Hed3
Derivative Instruments and Hedging Activities (Details Textuals) (USD $) | 3 Months Ended | |||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | Mar. 31, 2006 |
Derivative Instruments and Hedging Activities (Textuals) | ||||
Fair value of investment hedge contracts | $1.10 | $1.10 | ||
(Loss) gain on investment hedge derivative | 6.6 | -2.5 | ||
Fair value of non-designated foreign exchange forward contracts | 0.9 | 0.8 | ||
Maximum maturities of Foreign exchange forward contracts | 24 months | |||
Fair value of interest rate contracts | -0.9 | -1.2 | ||
Notional amount of pay-fixed receive-variable interest rate swap | 200 | |||
Gain recognized on designated cash flow hedges | 0.3 | 0.3 | ||
Anticipated reclassification from other comprehensive income to interest expense within the next 12 months | 0.6 | |||
Interest rate swaps | ||||
Derivative Instruments and Hedging Activities (Textuals) | ||||
Notional amount of pay-fixed receive-variable interest rate swap | $50 |
Restructuring_Impairment_and_O
Restructuring, Impairment and Other Charges - Restructuring Charges By Statement of Income Account (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule of restructuring and related costs | ||
Restructuring Charges | $3.10 | $5.10 |
Cost of sales b services | ||
Schedule of restructuring and related costs | ||
Restructuring Charges | 0 | 0.7 |
Selling and administrative expense | ||
Schedule of restructuring and related costs | ||
Restructuring Charges | 2.5 | 4.4 |
Research, development and engineering expense | ||
Schedule of restructuring and related costs | ||
Restructuring Charges | $0.60 | $0 |
Restructuring_Impairment_and_O1
Restructuring, Impairment and Other Charges - Restructuring Charges By Segment (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | $3.10 | $5.10 |
Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 3.1 | 5.1 |
North America Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 1.5 | 2.1 |
Asia Pacific Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 0 | 0.3 |
EMEA Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 0.9 | 0.6 |
Latin America Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 0.7 | 2.1 |
Multi-Year Transformation Plan [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 87.3 | |
Restructuring Charges | 3.1 | 5.1 |
Multi-Year Transformation Plan [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 83.8 | |
Multi-Year Transformation Plan [Member] | Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 3.5 | |
Multi-Year Transformation Plan [Member] | North America Segment [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 65.3 | |
Multi-Year Transformation Plan [Member] | North America Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 63.3 | |
Multi-Year Transformation Plan [Member] | North America Segment [Member] | Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 2 | |
Multi-Year Transformation Plan [Member] | Asia Pacific Segment [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 3.3 | |
Multi-Year Transformation Plan [Member] | Asia Pacific Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 2.7 | |
Multi-Year Transformation Plan [Member] | Asia Pacific Segment [Member] | Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 0.6 | |
Multi-Year Transformation Plan [Member] | EMEA Segment [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 3.6 | |
Multi-Year Transformation Plan [Member] | EMEA Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 2.7 | |
Multi-Year Transformation Plan [Member] | EMEA Segment [Member] | Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 0.9 | |
Multi-Year Transformation Plan [Member] | Latin America Segment [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 15.1 | |
Multi-Year Transformation Plan [Member] | Latin America Segment [Member] | Severance | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | 15.1 | |
Multi-Year Transformation Plan [Member] | Latin America Segment [Member] | Other | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring and Related Cost, Cost Incurred to Date | $0 |
Restructuring_and_Other_Charge2
Restructuring and Other Charges - Restructuring Reserve Activity (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Restructuring and Related Activities [Abstract] | ||
Restructuring Reserve, beginning of period | $7.80 | $35.30 |
Liabilities incurred | 3.1 | 5.1 |
Liabilities paid/settled | -5.4 | -23.4 |
Restructuring Reserve, end of period | $5.50 | $17 |
Restructuring_Impairment_and_O2
Restructuring, Impairment and Other Charges (Details Textuals) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Unusual or Infrequent Item [Line Items] | ||
Restructuring Charges | $3.10 | $5.10 |
Non routine expenses net | 4.6 | 1.1 |
Multi-Year Transformation Plan [Member] | ||
Unusual or Infrequent Item [Line Items] | ||
Restructuring Charges | 3.1 | 5.1 |
Minimum [Member] | Expected Future Costs to Be Recognized [Member] | ||
Unusual or Infrequent Item [Line Items] | ||
Restructuring and Related Cost, Expected Cost | 2.2 | |
Maximum [Member] | Expected Future Costs to Be Recognized [Member] | ||
Unusual or Infrequent Item [Line Items] | ||
Restructuring and Related Cost, Expected Cost | $4.30 |
Fair_Value_of_Assets_and_Liabi2
Fair Value of Assets and Liabilities - Fair Value Measurements (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value Transfers Between Levels Amount | $0 | |
Fair value assets measured on recurring basis | ||
Short-term investments | 114.4 | 136.7 |
Fair Value, Measurements, Recurring [Member] | ||
Fair value assets measured on recurring basis | ||
Total | 126.2 | 149.4 |
Fair value liabilities measured on recurring basis | ||
Total | 11.2 | 12 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value assets measured on recurring basis | ||
Total | 124.2 | 146.5 |
Fair value liabilities measured on recurring basis | ||
Total | 9.8 | 9.8 |
Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair value assets measured on recurring basis | ||
Total | 2 | 2.9 |
Fair value liabilities measured on recurring basis | ||
Total | 1.4 | 2.2 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring [Member] | ||
Fair value assets measured on recurring basis | ||
Foreign exchange forward contracts | 2 | 2.9 |
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0.5 | 1 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value assets measured on recurring basis | ||
Foreign exchange forward contracts | 0 | 0 |
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0 | 0 |
Foreign exchange forward contracts | Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair value assets measured on recurring basis | ||
Foreign exchange forward contracts | 2 | 2.9 |
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0.5 | 1 |
Interest rate swaps | Fair Value, Measurements, Recurring [Member] | ||
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0.9 | 1.2 |
Interest rate swaps | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0 | 0 |
Interest rate swaps | Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair value liabilities measured on recurring basis | ||
Derivative Liability | 0.9 | 1.2 |
Certificates of deposit | Fair Value, Measurements, Recurring [Member] | ||
Fair value assets measured on recurring basis | ||
Investments, Fair Value Disclosure | 114.4 | 136.7 |
Certificates of deposit | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value assets measured on recurring basis | ||
Investments, Fair Value Disclosure | 114.4 | |
Certificates of deposit | Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair value assets measured on recurring basis | ||
Investments, Fair Value Disclosure | 0 | 0 |
Assets held in rabbi trusts [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair value assets measured on recurring basis | ||
Assets held in rabbi trusts | 9.8 | 9.8 |
Fair value liabilities measured on recurring basis | ||
Deferred compensation | 9.8 | 9.8 |
Assets held in rabbi trusts [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair value assets measured on recurring basis | ||
Assets held in rabbi trusts | 9.8 | 9.8 |
Assets held in rabbi trusts [Member] | Fair Value, Measurements, Recurring [Member] | Level 2 [Member] | ||
Fair value assets measured on recurring basis | ||
Assets held in rabbi trusts | 0 | 0 |
Fair value liabilities measured on recurring basis | ||
Deferred compensation | $0 | $0 |
Fair_Value_of_Assets_and_Liabi3
Fair Value of Assets and Liabilities - Summary of Liabilities Recorded at Carrying Value (Details) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Fair value and carrying value of the Company's debt instruments | ||
Current notes payable - Fair value | $44.70 | $25.60 |
Notes payable - Carrying value | 44.7 | 25.6 |
Long-term debt - Fair Value | 538.3 | 483.6 |
Long-term debt - Carrying value | 534.7 | 479.8 |
Total debt instruments - Fair value | 583 | 509.2 |
Total debt instruments - Carrying value | $579.40 | $505.40 |
Segment_Information_Details
Segment Information - (Details) (USD $) | 3 Months Ended | ||||
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 | ||
Summary of Segment Information | |||||
Revenue, Net | $655.50 | $688.30 | |||
Operating profit | 3.6 | 23.3 | |||
Asset Impairment Charges | -19.4 | 0 | |||
Restructuring charges | -3.1 | -5.1 | |||
Net non-routine expense | 4.6 | 1.1 | |||
Other expense | -10.6 | -11.6 | |||
Income before taxes | -7 | 11.7 | |||
Depreciation and amortization expense | 16.4 | 17.7 | |||
Property, plant and equipment, at cost | 609.2 | 612.9 | |||
Operating Segments [Member] | |||||
Summary of Segment Information | |||||
Intersegment revenue | 51.7 | 46.9 | |||
Operating profit | 101.4 | 98.9 | |||
Depreciation and amortization expense | 7.3 | 7.5 | |||
Property, plant and equipment, at cost | 275.4 | 292.6 | |||
Operating Segments [Member] | North America Segment [Member] | |||||
Summary of Segment Information | |||||
Revenue, Net | 339.9 | 317.5 | |||
Intersegment revenue | 21.1 | 15.9 | |||
Operating profit | 67.7 | 59.4 | |||
Depreciation and amortization expense | 2 | 2.4 | |||
Property, plant and equipment, at cost | 130.5 | 128.8 | |||
Operating Segments [Member] | Asia Pacific (AP) | |||||
Summary of Segment Information | |||||
Revenue, Net | 110.5 | 107.1 | |||
Intersegment revenue | 19.4 | 23.9 | |||
Operating profit | 18.2 | 16.8 | |||
Depreciation and amortization expense | 1.6 | 1.9 | |||
Property, plant and equipment, at cost | 48.8 | 46.9 | |||
Operating Segments [Member] | EMEA Segment [Member] | |||||
Summary of Segment Information | |||||
Revenue, Net | 86.8 | 84.1 | |||
Intersegment revenue | 11.1 | 7 | |||
Operating profit | 12.4 | 11.2 | |||
Depreciation and amortization expense | 0.8 | 1.2 | |||
Property, plant and equipment, at cost | 34.9 | 38.2 | |||
Operating Segments [Member] | Latin America Segment [Member] | |||||
Summary of Segment Information | |||||
Revenue, Net | 118.3 | 179.6 | |||
Intersegment revenue | 0.1 | 0.1 | |||
Operating profit | 3.1 | 11.5 | |||
Depreciation and amortization expense | 2.9 | 2 | |||
Property, plant and equipment, at cost | 61.2 | 78.7 | |||
Corporate and Reconciling Items [Member] | |||||
Summary of Segment Information | |||||
Operating profit | -97.8 | -75.6 | |||
Corporate, Non-Segment [Member] | |||||
Summary of Segment Information | |||||
Operating profit | -70.7 | [1] | -69.4 | [1] | |
Depreciation and amortization expense | 9.1 | 10.2 | |||
Property, plant and equipment, at cost | 333.8 | 320.3 | |||
Segment Reconciling Items [Member] | |||||
Summary of Segment Information | |||||
Asset Impairment Charges | -19.4 | 0 | |||
Restructuring charges | -3.1 | -5.1 | |||
Net non-routine expense | ($4.60) | ($1.10) | |||
[1] | (1) Corporate charges not allocated to segments include headquarter-based costs associated with manufacturing administration, procurement, human resources, finance and accounting, global development/engineering, global strategy/mergers and acquisitions, global information technology, tax, treasury and legal. |
Segment_Information_Segment_In
Segment Information Segment Information - Revenue by Service/Product Solution (Details) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenue from External Customer [Line Items] | ||
Services | $394 | $383.40 |
Products | 261.5 | 304.9 |
Revenue, Net | 655.5 | 688.3 |
Financial Self Service And Security [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenue, Net | 645.2 | 608.9 |
Financial Self-Service [Member] | ||
Revenue from External Customer [Line Items] | ||
Services | 291.4 | 285 |
Products | 203.8 | 181.5 |
Revenue, Net | 495.2 | 466.5 |
Security [Member] | ||
Revenue from External Customer [Line Items] | ||
Services | 102.6 | 98.4 |
Products | 47.4 | 44 |
Revenue, Net | 150 | 142.4 |
Brazil Other [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenue, Net | $10.30 | $79.40 |
Segment_Information_Details_Te
Segment Information (Details Textuals) | 3 Months Ended |
Mar. 31, 2015 | |
segments | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 4 |