Document And Entity Information
Document And Entity Information | 9 Months Ended |
Sep. 30, 2019shares | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Amendment Flag | false |
Document Period End Date | Sep. 30, 2019 |
Document Transition Report | false |
Entity File Number | 1-584 |
Entity Incorporation, State or Country Code | OH |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q3 |
Entity Registrant Name | FERRO CORPORATION |
Entity Address, Address Line One | 6060 Parkland Boulevard |
Entity Address, Address Line Two | Suite 250 |
Entity Address, City or Town | Mayfield Heights |
Entity Address, State or Province | OH |
Entity Address, Postal Zip Code | 44124 |
Entity Tax Identification Number | 34-0217820 |
City Area Code | 216 |
Local Phone Number | 875-5600 |
Entity Central Index Key | 0000035214 |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Title of 12(b) Security | Common Stock, par value $1.00 |
Trading Symbol | FOE |
Security Exchange Name | NYSE |
Entity Common Stock, Shares Outstanding | 81,968,492 |
Condensed Consolidated Statemen
Condensed Consolidated Statements Of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Condensed Consolidated Statements Of Operations [Abstract] | ||||
Net sales | $ 365,728 | $ 395,163 | $ 1,147,178 | $ 1,216,934 |
Cost of sales | 265,437 | 289,676 | 836,773 | 866,116 |
Gross profit | 100,291 | 105,487 | 310,405 | 350,818 |
Selling, general and administrative expenses | 67,723 | 64,344 | 211,448 | 207,560 |
Restructuring and impairment charges | 6,226 | 2,561 | 18,613 | 10,435 |
Other expense (income): | ||||
Interest expense | 8,138 | 8,553 | 25,198 | 24,715 |
Interest earned | (93) | (110) | (329) | (497) |
Foreign currency losses, net | 3,497 | 2,554 | 5,615 | 7,054 |
Loss on extinguishment of debt | 3,226 | |||
Miscellaneous expense (income), net | (2,139) | 74 | (1,505) | (523) |
Income before income taxes | 16,939 | 27,511 | 51,365 | 98,848 |
Income tax expense | 3,729 | 11,368 | 13,168 | 29,246 |
Net income | 13,210 | 16,143 | 38,197 | 69,602 |
Less: Net income attributable to noncontrolling interests | 390 | 85 | 902 | 485 |
Net income attributable to Ferro Corporation common shareholders | $ 12,820 | $ 16,058 | $ 37,295 | $ 69,117 |
Earnings per share attributable to Ferro Corporation common shareholders: | ||||
Basic earnings per share | $ 0.16 | $ 0.19 | $ 0.45 | $ 0.82 |
Diluted earnings per share | $ 0.16 | $ 0.19 | $ 0.45 | $ 0.81 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements Of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Condensed Consolidated Statements Of Comprehensive Income (Loss) [Abstract] | ||||
Net income | $ 13,210 | $ 16,143 | $ 38,197 | $ 69,602 |
Other comprehensive income, net of income tax: | ||||
Foreign currency translation loss | (10,966) | (5,380) | (3,585) | (29,908) |
Cash flow hedging instruments, unrealized income (loss) | (1,644) | 3,610 | (13,307) | 3,588 |
Postretirement benefit liabilities income | 17 | |||
Other comprehensive loss, net of income tax | (12,610) | (1,770) | (16,892) | (26,303) |
Total comprehensive income | 600 | 14,373 | 21,305 | 43,299 |
Less: Comprehensive income (loss) attributable to noncontrolling interests | 146 | (115) | 648 | 106 |
Comprehensive income attributable to Ferro Corporation | $ 454 | $ 14,488 | $ 20,657 | $ 43,193 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 51,741 | $ 104,301 |
Accounts receivable, net | 320,359 | 306,882 |
Inventories | 358,301 | 356,998 |
Other receivables | 90,209 | 91,143 |
Other current assets | 23,239 | 23,960 |
Total current assets | 843,849 | 883,284 |
Other assets | ||
Property, plant and equipment, net | 382,842 | 381,341 |
Goodwill | 203,595 | 216,464 |
Intangible assets, net | 169,947 | 184,953 |
Deferred income taxes | 103,648 | 103,488 |
Operating leased assets | 23,206 | |
Other non-current assets | 55,595 | 42,930 |
Total assets | 1,782,682 | 1,812,460 |
Current liabilities | ||
Loans payable and current portion of long-term debt | 18,136 | 10,260 |
Accounts payable | 178,412 | 256,573 |
Accrued payrolls | 34,931 | 39,989 |
Accrued expenses and other current liabilities | 91,185 | 77,995 |
Total current liabilities | 322,664 | 384,817 |
Other liabilities | ||
Long-term debt, less current portion | 827,791 | 811,137 |
Postretirement and pension liabilities | 168,218 | 173,046 |
Operating leased non-current liabilities | 14,905 | |
Other non-current liabilities | 62,306 | 57,611 |
Total liabilities | 1,395,884 | 1,426,611 |
Ferro Corporation shareholders' equity: | ||
Common stock, par value $1 per share; 300.0 million shares authorized; 93.4 million shares issued; 82.0 million and 83.0 million shares outstanding at September 30, 2019, and December 31, 2018, respectively | 93,436 | 93,436 |
Paid-in capital | 293,970 | 298,123 |
Retained earnings | 293,273 | 255,978 |
Accumulated other comprehensive loss | (121,999) | (105,361) |
Common shares in treasury, at cost | (181,094) | (165,545) |
Total Ferro Corporation shareholders' equity | 377,586 | 376,631 |
Noncontrolling interests | 9,212 | 9,218 |
Total equity | 386,798 | 385,849 |
Total liabilities and equity | $ 1,782,682 | $ 1,812,460 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2019 | Dec. 31, 2018 |
Condensed Consolidated Balance Sheets [Abstract] | ||
Common stock, par value | $ 1 | $ 1 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 93,400,000 | 93,400,000 |
Common stock, shares outstanding | 82,000,000 | 83,000,000 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements Of Equity - USD ($) $ in Thousands | Common Shares in Treasury [Member] | Common Stock [Member] | Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss [Member] | Non-Controlling Interests [Member] | Total |
Beginning Balances at Dec. 31, 2017 | $ (147,056) | $ 93,436 | $ 302,158 | $ 171,744 | $ (75,468) | $ 11,866 | $ 356,680 |
Beginning Balances, shares at Dec. 31, 2017 | 9,386,000 | ||||||
Net income | 23,391 | 207 | 23,598 | ||||
Other comprehensive (loss) income | 6,980 | 128 | 7,108 | ||||
Stock-based compensation transactions | $ 8,209 | (6,986) | 1,223 | ||||
Stock-based compensation transactions, shares | (349,000) | ||||||
Change in ownership interest | (2,228) | (1,439) | |||||
Change in ownership interest | 789 | ||||||
Ending Balances at Mar. 31, 2018 | $ (138,847) | 93,436 | 295,961 | 199,276 | (68,488) | 9,973 | 391,311 |
Ending Balances, shares at Mar. 31, 2018 | 9,037,000 | ||||||
Beginning Balances at Dec. 31, 2017 | $ (147,056) | 93,436 | 302,158 | 171,744 | (75,468) | 11,866 | 356,680 |
Beginning Balances, shares at Dec. 31, 2017 | 9,386,000 | ||||||
Net income | 69,602 | ||||||
Purchase of treasury stock | $ (17,000) | ||||||
Purchase of treasury stock, shares | 807,816 | ||||||
Ending Balances at Sep. 30, 2018 | $ (154,086) | 93,436 | 296,069 | 245,002 | (101,392) | 8,972 | $ 388,001 |
Ending Balances, shares at Sep. 30, 2018 | 9,778,000 | ||||||
Adjustment for accounting standards update 2016-16 | 4,141 | 4,141 | |||||
Beginning Balances at Mar. 31, 2018 | $ (138,847) | 93,436 | 295,961 | 199,276 | (68,488) | 9,973 | 391,311 |
Beginning Balances, shares at Mar. 31, 2018 | 9,037,000 | ||||||
Net income | 29,668 | 193 | 29,861 | ||||
Other comprehensive (loss) income | (31,334) | (307) | (31,641) | ||||
Purchase of treasury stock | $ (6,014) | (6,014) | |||||
Purchase of treasury stock, shares | 287,000 | ||||||
Stock-based compensation transactions | $ 689 | 281 | 970 | ||||
Stock-based compensation transactions, shares | (27,000) | ||||||
Distributions to noncontrolling interests | (775) | (775) | |||||
Ending Balances at Jun. 30, 2018 | $ (144,172) | 93,436 | 296,242 | 228,944 | (99,822) | 9,084 | 383,712 |
Ending Balances, shares at Jun. 30, 2018 | 9,297,000 | ||||||
Net income | 16,058 | 85 | 16,143 | ||||
Other comprehensive (loss) income | (1,570) | (200) | (1,770) | ||||
Purchase of treasury stock | $ (10,985) | (10,985) | |||||
Purchase of treasury stock, shares | 520,000 | ||||||
Stock-based compensation transactions | $ 1,071 | (173) | 898 | ||||
Stock-based compensation transactions, shares | (39,000) | ||||||
Distributions to noncontrolling interests | 3 | 3 | |||||
Ending Balances at Sep. 30, 2018 | $ (154,086) | 93,436 | 296,069 | 245,002 | (101,392) | 8,972 | 388,001 |
Ending Balances, shares at Sep. 30, 2018 | 9,778,000 | ||||||
Beginning Balances at Dec. 31, 2018 | $ (165,545) | 93,436 | 298,123 | 255,978 | (105,361) | 9,218 | 385,849 |
Beginning Balances, shares at Dec. 31, 2018 | 10,433,000 | ||||||
Net income | 13,604 | 274 | 13,878 | ||||
Other comprehensive (loss) income | (912) | 106 | (806) | ||||
Purchase of treasury stock | $ (25,000) | (25,000) | |||||
Purchase of treasury stock, shares | 1,441,000 | ||||||
Stock-based compensation transactions | $ 8,422 | (6,446) | 1,976 | ||||
Stock-based compensation transactions, shares | (370,000) | ||||||
Ending Balances at Mar. 31, 2019 | $ (182,123) | 93,436 | 291,677 | 269,582 | (106,273) | 9,598 | 375,897 |
Ending Balances, shares at Mar. 31, 2019 | 11,504,000 | ||||||
Beginning Balances at Dec. 31, 2018 | $ (165,545) | 93,436 | 298,123 | 255,978 | (105,361) | 9,218 | 385,849 |
Beginning Balances, shares at Dec. 31, 2018 | 10,433,000 | ||||||
Net income | 38,197 | ||||||
Purchase of treasury stock | $ (25,000) | ||||||
Purchase of treasury stock, shares | 1,440,678 | ||||||
Ending Balances at Sep. 30, 2019 | $ (181,094) | 93,436 | 293,970 | 293,273 | (121,999) | 9,212 | $ 386,798 |
Ending Balances, shares at Sep. 30, 2019 | 11,467,000 | ||||||
Beginning Balances at Mar. 31, 2019 | $ (182,123) | 93,436 | 291,677 | 269,582 | (106,273) | 9,598 | 375,897 |
Beginning Balances, shares at Mar. 31, 2019 | 11,504,000 | ||||||
Net income | 10,871 | 238 | 11,109 | ||||
Other comprehensive (loss) income | (3,360) | (116) | (3,476) | ||||
Stock-based compensation transactions | $ 37 | 2,181 | 2,218 | ||||
Stock-based compensation transactions, shares | (1,000) | ||||||
Distributions to noncontrolling interests | (654) | (654) | |||||
Ending Balances at Jun. 30, 2019 | $ (182,086) | 93,436 | 293,858 | 280,453 | (109,633) | 9,066 | 385,094 |
Ending Balances, shares at Jun. 30, 2019 | 11,503,000 | ||||||
Net income | 12,820 | 390 | 13,210 | ||||
Other comprehensive (loss) income | (12,366) | (244) | (12,610) | ||||
Stock-based compensation transactions | $ 992 | 112 | 1,104 | ||||
Stock-based compensation transactions, shares | (36,000) | ||||||
Ending Balances at Sep. 30, 2019 | $ (181,094) | $ 93,436 | $ 293,970 | $ 293,273 | $ (121,999) | $ 9,212 | $ 386,798 |
Ending Balances, shares at Sep. 30, 2019 | 11,467,000 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash flows from operating activities | ||
Net cash (used in) provided by operating activities | $ (67,240) | $ 35,686 |
Cash flows from investing activities | ||
Capital expenditures for property, plant and equipment and other long lived assets | (40,820) | (64,154) |
Collections of financing receivables | 60,904 | |
Business acquisitions, net of cash acquired | (251) | (47,802) |
Other investing activities | 1,930 | 37 |
Net cash provided by (used in) investing activities | 21,763 | (111,919) |
Cash flows from financing activities | ||
Net borrowings (payments) under loans payable | 8,220 | (17,182) |
Principal payments on term loan facility - Credit Facility | (304,060) | |
Principal payments on term loan facility - Amended Credit Facility | (6,150) | (4,100) |
Proceeds from revolving credit facility - Credit Facility | 134,950 | |
Principal payments on revolving credit facility - Credit Facility | (212,950) | |
Proceeds from revolving credit facility - Amended Credit Facility | 216,066 | 168,023 |
Principal payments on revolving credit facility - Amended Credit Facility | (193,595) | (56,090) |
Proceeds from term loan facility - Amended Credit Facility | 466,075 | |
Payment of debt issuance costs | (3,466) | |
Acquisition-related contingent consideration payment | (5,200) | (9,464) |
Purchase of treasury stock | (25,000) | (16,999) |
Other financing activities | (757) | (3,516) |
Net cash (used in) provided by financing activities | (6,416) | 141,221 |
Effect of exchange rate changes on cash and cash equivalents | (667) | (2,261) |
(Decrease) Increase in cash and cash equivalents | (52,560) | 62,727 |
Cash and cash equivalents at beginning of period | 104,301 | 63,551 |
Cash and cash equivalents at end of period | 51,741 | 126,278 |
Cash paid during the period for: | ||
Interest | 25,475 | 24,857 |
Income taxes | $ 12,845 | $ 17,577 |
Basis Of Presentation
Basis Of Presentation | 9 Months Ended |
Sep. 30, 2019 | |
Basis Of Presentation [Abstract] | |
Basis Of Presentation | 1. Basis of Presentation The accompanying unaudited condensed consolidated financial statements of Ferro Corporation (“Ferro,” “we,” “us” or “the Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, the instructions to Form 10-Q, and Article 10 of Regulation S-X. These statements reflect all normal and recurring adjustments which are, in the opinion of management, necessary to present fairly the financial position, results of operations and cash flows for the periods presented. The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. These interim condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes included in our Annual Report on Form 10-K for the year ended December 31, 2018. We produce our products primarily in the Europe, Middle East and Africa (“EMEA”) region, the United States (“U.S.”), the Asia Pacific region, and Latin America. Operating results for the three and nine months ended September 30, 2019, are not necessarily indicative of the results expected in subsequent quarters or for the full year ending December 31, 2019. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2019 | |
Recent Accounting Pronouncements [Abstract] | |
Recent Accounting Pronouncements | 2. Recent Accounting Pronouncements Recently Adopted Accounting Standards On January 1, 2019, we adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-02, Leases: (Topic 842), using the new transition method under ASU 2018-11, Targeted Improvements. ASU 2016-02 requires companies to recognize a lease liability and asset on the balance sheet for operating leases with a term greater than one year. ASU 2018-11 provided an additional transition method to adopt the new leasing standard. Under this new transition method, an entity initially applies the new leasing standard using a cumulative-effect adjustment to the opening balance of retained earnings but will continue to report comparative periods under existing guidance in accordance with ASC 840, Leases . We elected the package of practical expedients permitted under the transition guidance, which allowed us to carry forward our historical lease classification, our assessment on whether a contract is or contains a lease, and our initial direct costs for any leases that existed prior to adoption of the new standard. We also elected to combine lease and non-lease components for all asset classes. We elected the short-term lease recognition exemption for all leases that qualify. Consequently, for those leases that qualify, we will not recognize right-of-use assets or lease liabilities on the balance sheet. The impact of adoption resulted in $ 28.6 million recognized as total right-of-use assets and total lease liabilities on our consolidated balance sheet as of January 1, 2019. Other than this impact, the adoption of ASU 2016-02 did not have a material impact on our remaining consolidated financial statements. On January 1, 2019, we adopted FASB ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. ASU 2018-02 allows a reclassification from Accumulated Other Comprehensive Income (Loss) to Retained Earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and requires certain disclosures about stranded tax effects. The Company has elected not to reclassify the stranded tax effects resulting from the Tax Cuts and Jobs Act within Accumulated Other Comprehensive Loss. As such, the adoption of this standard did not impact our consolidated financial statements. On January 1, 2019, we adopted FASB ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 modifies the disclosure requirements on fair value measurements. The Company updated the disclosures for the fair value measurements in accordance with the standard updates. On April 1, 2019, we adopted FASB ASU 2017-04, Intangibles – Goodwill and Other: (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 is intended to simplify the subsequent measurement of goodwill by eliminating Step 2 from the current goodwill impairment test. The Company updated its goodwill impairment test in accordance with the standard updates on a prospective basis. New Accounting Standards Not Yet Adopted In August 2018, the FASB issued ASU 2018-14, Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans. ASU 2018-14 modifies disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. This pronouncement is effective for fiscal years beginning after December 15, 2020. The Company is in the process of assessing the impact that the adoption of this ASU will have on our consolidated financial statements. No other new accounting pronouncements issued had, or are expected to have, a material impact on the Company’s consolidated financial statements. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2019 | |
Revenue [Abstract] | |
Revenue | 3. Revenue Revenues disaggregated by geography and reportable segment for the three months ended September 30, 2019, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 104,217 $ 8,964 $ 26,184 $ 23,026 $ 162,391 Performance Colors and Glass 50,670 37,694 19,123 5,255 112,742 Color Solutions 33,350 38,759 10,411 8,075 90,595 Total net sales $ 188,237 $ 85,417 $ 55,718 $ 36,356 $ 365,728 Revenues disaggregated by geography and reportable segment for the three months ended September 30, 2018, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 110,261 $ 12,170 $ 27,914 $ 25,594 $ 175,939 Performance Colors and Glass 55,782 43,087 18,564 5,844 123,277 Color Solutions 33,276 43,699 10,136 8,836 95,947 Total net sales $ 199,319 $ 98,956 $ 56,614 $ 40,274 $ 395,163 Revenues disaggregated by geography and reportable segment for the nine months ended September 30, 2019, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 336,631 $ 30,448 $ 74,974 $ 68,917 $ 510,970 Performance Colors and Glass 161,850 119,126 53,288 17,727 351,991 Color Solutions 105,960 125,499 28,248 24,510 284,217 Total net sales $ 604,441 $ 275,073 $ 156,510 $ 111,154 $ 1,147,178 Revenues disaggregated by geography and reportable segment for the nine months ended September 30, 2018, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 355,510 $ 36,704 $ 82,990 $ 78,832 $ 554,036 Performance Colors and Glass 180,801 118,682 53,142 17,184 369,809 Color Solutions 109,985 126,598 30,606 25,900 293,089 Total net sales $ 646,296 $ 281,984 $ 166,738 $ 121,916 $ 1,216,934 |
Aquisitions
Aquisitions | 9 Months Ended |
Sep. 30, 2019 | |
Acquisitions [Abstract] | |
Acquisitions | 4. Acquisitions Quimicer, S.A. On October 1, 2018, the Company acquired 100 % of the equity interests of Quimicer, S.A. (“Quimicer”), for € 32.2 million (approximately $ 37.4 million), including the assumption of debt of € 5.2 million (approximately $ 6.1 million). Its products include frits, varnishes, silk-screen printing pastes, crushed frits, pellets, atomized varnishes, and ceramic colors, as well as pigmented inks for digital printing on ceramic tiles within the Performance Coatings segment. The information included herein has been prepared based on the allocation of the purchase price using fair value and useful lives of the assets acquired and liabilities assumed, which were determined with the assistance of third parties who performed independent valuations using discounted cash flow and comparative market approaches, and estimates made by management. The Company recorded $ 21.5 million of personal and real property, $ 15.9 million of net working capital, $ 3.0 million of goodwill and $ 3.0 million of deferred tax liability on the condensed consolidated balance sheets. During the third quarter of 2019, the Company recorded a goodwill impairment charge of $ 3.0 million as a result of the finalization of purchase accounting. UWiZ Technology Co., Ltd. On September 25, 2018, the Company acquired 100 % of the equity interests of UWiZ Technology Co., Ltd. (“UWiZ”) for NTD 823.4 million (approximately $ 26.9 million) in cash. Its products include a range of slurry-based polishing products for the semiconductor and optoelectronics industry within the Color Solutions segment. The information included herein has been prepared based on the allocation of the purchase price using fair value and useful lives of the assets acquired and liabilities assumed, which were determined with the assistance of third parties who performed independent valuations using discounted cash flow and comparative market approaches, and estimates made by management. The Company recorded $ 12.5 million of net working capital, $ 7.1 million of goodwill, $ 6.6 million of amortizable intangible assets, $ 2.4 million of personal and real property and $ 1.7 million of deferred tax liability on the condensed consolidated balance sheets. Ernst Diegel GmbH On August 31, 2018, the Company acquired 100 % of the equity interests of Ernst Diegel GmbH (“Diegel”), including the real property of a related party, for € 12.1 million (approximately $ 14.0 million) in cash. Its products include decorative coatings for glass and high-performance plastics coatings, primarily in automotive applications within the Performance Colors and Glass segment. The information included herein has been prepared based on the allocation of the purchase price using the fair value and useful lives of the assets acquired and liabilities assumed, which were determined with the assistance of third parties who performed independent valuations using discounted cash flow and comparative market approaches, and estimates made by management. The Company recorded $ 7.0 million of personal and real property, $ 4.8 million of net working capital, $ 2.0 million of amortizable intangible assets, $ 1.7 million of goodwill and $ 1.5 million of deferred tax liability on the condensed consolidated balance sheets. MRA Laboratories, Inc. On July 12, 2018, the Company acquired 100 % of the equity interests of MRA Laboratories, Inc. (“MRA”) for $ 16.0 million in cash. Its products include dielectrics and electronic ink products for passive component applications within the Performance Colors and Glass segment. The information included herein has been prepared based on the allocation of the purchase price using the fair value and useful lives of the assets acquired and liabilities assumed, which were determined with the assistance of third parties who performed independent valuations using discounted cash flow and comparative market approaches, and estimates made by management. The Company recorded $ 7.2 million of goodwill, $ 6.7 million of amortizable intangible assets, $ 3.4 million of net working capital, $ 1.6 million of deferred tax liability and $ 0.3 million of personal and real property on the condensed consolidated balance sheets. PT Ferro Materials Utama On June 29, 2018, the Company acquired the remaining 66 % equity interests of PT Ferro Materials Utama (“FMU”) for $ 2.7 million in cash, in addition to the forgiveness of debt of $ 9.2 million, bringing our total ownership to 100 %. Its products include additives and ceramics color products within the Performance Coatings segment. The Company previously recorded its investment in FMU as an equity method investment, and following this transaction, the Company fully consolidates FMU. Due to the change of control that occurred, the Company recorded a gain on purchase of $ 2.6 million, which is recorded in Miscellaneous expense (income), net, related to the difference between the Company’s carrying value and fair value of the previously held equity method investment during the second quarter of 2018. Gardenia Quimica S.A. On August 3, 2017, the Company acquired a majority interest of Gardenia Quimica S.A. (“Gardenia”) for $ 3.0 million. Its products include mediums, additives, binders, and other auxiliary products for the tile coatings industry within the Performance Coatings segment. The Company previously owned 46 % of Gardenia and recorded it as an equity method investment. Following this transaction, the Company owned 83.5 % and fully consolidates Gardenia. On March 1, 2018, the Company acquired the remaining equity interest in Gardenia for $ 1.4 million. |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2019 | |
Inventories [Abstract] | |
Inventories | 5. Inventories September 30, December 31, 2019 2018 (Dollars in thousands) Raw materials $ 117,080 $ 116,219 Work in process 58,143 55,884 Finished goods 183,078 184,895 Total inventories $ 358,301 $ 356,998 In the production of some of our products, we use precious metals, which we obtain from financial institutions under consignment agreements with terms of one year or less. The financial institutions retain ownership of the precious metals and charge us fees based on the amounts we consign. These fees were $ 0.5 million for the three months ended September 30, 2019 and 2018 and were $ 2.2 million and $ 1.3 million for the nine months ended September 30, 2019, and 2018, respectively. We had on-hand precious metals owned by participants in our precious metals consignment program of $ 65.9 million at September 30, 2019, and $ 55.2 million at December 31, 2018, measured at fair value based on market prices for identical assets. |
Property, Plant And Equipment
Property, Plant And Equipment | 9 Months Ended |
Sep. 30, 2019 | |
Property, Plant And Equipment [Abstract] | |
Property, Plant And Equipment | 6. Property, Plant and Equipment Property, plant and equipment is reported net of accumulated depreciation of $ 537.9 million at September 30, 2019 and $ 523.4 million at December 31, 2018. Unpaid capital expenditure liabilities, which are non-cash investing activities, were $ 4.0 million at September 30, 2019 and $ 7.7 million at September 30, 2018. |
Goodwill And Other Intangible A
Goodwill And Other Intangible Assets | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Other Intangible Assets [Abstract] | |
Goodwill And Other Intangible Assets | 7. Goodwill and Other Intangible Assets Details and activity in the Company’s goodwill by segment follow: Performance Performance Color Colors and Coatings Solutions Glass Total (Dollars in thousands) Goodwill, net at December 31, 2018 $ 44,352 $ 50,545 $ 121,567 $ 216,464 Impairments ( 9,020 ) — — ( 9,020 ) Foreign currency adjustments ( 1,926 ) ( 809 ) ( 1,114 ) ( 3,849 ) Goodwill, net at September 30, 2019 $ 33,406 $ 49,736 $ 120,453 $ 203,595 September 30, December 31, 2019 2018 (Dollars in thousands) Goodwill, gross $ 271,082 $ 274,931 Accumulated impairment ( 67,487 ) ( 58,467 ) Goodwill, net $ 203,595 $ 216,464 For the nine months ended September 30, 2019, the Company recorded a $ 9.0 million goodwill impairment charge within our Tile Coating Systems reporting unit, a component of the Performance Coatings reportable segment, against Restructuring and impairment charges. The goodwill impairment charge recorded was a result of the finalization of purchase accounting of the recent Quimicer, FMU, and Gardenia acquisitions that changed the carrying amount of net assets attributable to the reporting unit that represented an impairment indicator. Amortizable intangible assets consisted of the following: September 30, December 31, 2019 2018 (Dollars in thousands) Gross amortizable intangible assets: Patents $ 5,371 $ 5,462 Land rights 4,663 4,773 Technology/know-how and other 132,038 132,084 Customer relationships 97,268 100,368 Total gross amortizable intangible assets 239,340 242,687 Accumulated amortization: Patents ( 5,351 ) ( 5,440 ) Land rights ( 2,932 ) ( 2,909 ) Technology/know-how and other ( 56,419 ) ( 48,898 ) Customer relationships ( 21,036 ) ( 17,306 ) Total accumulated amortization ( 85,738 ) ( 74,553 ) Amortizable intangible assets, net $ 153,602 $ 168,134 Indefinite-lived intangible assets consisted of the following: September 30, December 31, 2019 2018 (Dollars in thousands) Indefinite-lived intangibles assets: Trade names and trademarks $ 16,345 $ 16,819 |
Debt
Debt | 9 Months Ended |
Sep. 30, 2019 | |
Debt [Abstract] | |
Debt | 8. Debt Loans payable and current portion of long-term debt consisted of the following: September 30, December 31, 2019 2018 (Dollars in thousands) Loans payable $ 8,270 $ 50 Current portion of long-term debt 9,866 10,210 Loans payable and current portion of long-term debt $ 18,136 $ 10,260 Long-term debt consisted of the following: September 30, December 31, 2019 2018 (Dollars in thousands) Term loan facility, net of unamortized issuance costs, maturing 2024 (1) $ 803,579 $ 809,022 Revolving credit facility 22,471 — Capital lease obligations 3,664 3,963 Other notes 7,943 8,362 Total long-term debt 837,657 821,347 Current portion of long-term debt ( 9,866 ) ( 10,210 ) Long-term debt, less current portion $ 827,791 $ 811,137 (1) The carrying value of the term loan facility, maturing 2024, is net of unamortized debt issuance costs of $ 4.1 million at September 30, 2019, and $ 4.8 million at December 31, 2018. Amended Credit Facility On April 25, 2018 , the Company entered into an amendment (the “Amended Credit Facility”) to its existing credit facility (the “Credit Facility”), which Amended Credit Facility (a) provided a new revolving facility (the “2018 Revolving Facility”), which replaced the Company’s existing revolving facility, (b) repriced the (“Tranche B-1 Loans”), and (c) provided new tranches of term loans (“Tranche B-2 Loans” and “Tranche B-3 Loans”) denominated in U.S. dollars. The Amended Credit Facility will be used for ongoing working capital requirements and general corporate purposes. The Tranche B-2 Loans are borrowed by the Company and the Tranche B-3 Loans are borrowed on a joint and several basis by Ferro GmbH and Ferro Europe Holdings LLC. The Amended Credit Facility consists of a $ 500 million secured revolving line of credit with a maturity of February 14, 2023 , a $ 355 million secured term loan facility with a maturity of February 14, 2024 , a $ 235 million secured term loan facility with a maturity of February 14, 2024 and a $ 230 million secured term loan facility with a maturity of February 14, 2024 . The term loans are payable in equal quarterly installments in an amount equal to 0.25 % of the original principal amount of the term loans, with the remaining balance due on the maturity date thereof. In addition, the Company is required, on an annual basis, to make a prepayment in an amount equal to a portion of the Company’s excess cash flow, as calculated pursuant to the Amended Credit Facility, which prepayment will be applied first to the term loans until they are paid in full, and then to the revolving loans. Subject to the satisfaction of certain conditions, the Company can request additional commitments under the revolving line of credit or term loans in the aggregate principal amount of up to $ 250 million to the extent that existing or new lenders agree to provide such additional commitments and/or term loans. The Company can also raise certain additional debt or credit facilities subject to satisfaction of certain covenant levels. Certain of the Company’s U.S. subsidiaries have guaranteed the Company’s obligations under the Amended Credit Facility and such obligations are secured by (a) substantially all of the personal property of the Company and the U.S. subsidiary guarantors and (b) a pledge of 100 % of the stock of certain of the Company’s U.S. subsidiaries and 65 % of the stock of certain of the Company’s direct foreign subsidiaries. The Tranche B-3 Loans are guaranteed by the Company, the U.S. subsidiary guarantors and a cross-guaranty by the borrowers of the Tranche B-3 Loans, and are secured by the collateral securing the revolving loans and the other term loans, in addition to a pledge of the equity interests of Ferro GmbH. Interest Rate – Term Loans: The interest rates applicable to the term loans will be, at the Company’s option, equal to either a base rate or a LIBOR rate plus, in both cases, an applicable margin. The base rate for term loans will be the highest of (i) the federal funds rate plus 0.50 %, (ii) the syndication agent’s prime rate, (iii) the daily LIBOR rate plus 1.00 % or (iv) 0.00%. The applicable margin for base rate loans is 1.25 %. The LIBOR rate for term loans shall not be less than 0.0 % and the applicable margin for LIBOR rate term loans is 2.25 %. For LIBOR rate term loans, the Company may choose to set the duration on individual borrowings for periods of one, two, three or six months, with the interest rate based on the applicable LIBOR rate for the corresponding duration. At September 30, 2019, the Company had borrowed $ 349.7 million under the Tranche B-1 Loans at an interest rate of 4.35 %, $ 231.5 million under the Tranche B-2 Loans at an interest rate of 4.35 %, and $ 226.6 million under the Tranche B-3 Loans at an interest rate of 4.35 %. At September 30, 2019, there were no additional borrowings available under the Tranche B-1 Loans, Tranche B-2 Loans, or Tranche B-3 Loans. In connection with these borrowings, we entered into swap agreements in the second quarter of 2018. At September 30, 2019, the effective interest rate for the Tranche B-1 Loans, Tranche B-2 Loans, and Tranche B-3 Loans, after adjusting for the interest rate swap, was 5.12 %, 3.03 %, and 2.48 %, respectively. Interest Rate – Revolving Credit Line: The interest rates applicable to loans under the 2018 Revolving Credit Facility will be, at the Company’s option, equal to either a base rate or a LIBOR rate plus, in both cases, an applicable variable margin. The variable margin will be based on the ratio of (a) the Company’s total consolidated net debt outstanding (as defined in the Amended Credit Agreement) at such time to (b) the Company’s consolidated EBITDA (as defined in the Amended Credit Agreement) computed for the period of four consecutive fiscal quarters most recently ended. The base rate for revolving loans will be the highest of (i) the federal funds rate plus 0.50 %, (ii) the syndication agent’s prime rate, (iii) the daily LIBOR rate plus 1.00 % or (iv) 0.00%. The applicable margin for base rate loans will vary between 0.50 % to 1.50 %. The LIBOR rate for revolving loans shall not be less than 0 % and the applicable margin for LIBOR rate revolving loans will vary between 1.50 % and 2.50 %. For LIBOR rate revolving loans, the Company may choose to set the duration on individual borrowings for periods of one, two, three or six months, with the interest rate based on the applicable LIBOR rate for the corresponding duration. At September 30, 2019, there were $ 22.5 million borrowings under the 2018 Revolving Credit Facility at an interest rate of 4.27 %. After reductions for outstanding letters of credit secured by these facilities, we had $ 472.9 million of additional borrowings available under the revolving credit facilities at September 30, 2019. The Amended Credit Facility contains customary restrictive covenants including, but not limited to, limitations on use of loan proceeds, limitations on the Company’s ability to pay dividends and repurchase stock, limitations on acquisitions and dispositions, and limitations on certain types of investments. The Amended Credit Facility also contains standard provisions relating to conditions of borrowing and customary events of default, including the non-payment of obligations by the Company and the bankruptcy of the Company. Specific to the 2018 Revolving Facility, the Company is subject to a financial covenant regarding the Company’s maximum leverage ratio. If an event of default occurs, all amounts outstanding under the Amended Credit Facility agreement may be accelerated and become immediately due and payable. At September 30, 2019, we were in compliance with the covenants of the Amended Credit Facility. Credit Facility On February 14, 2017 , the Company entered into the Credit Facility with a group of lenders to refinance its then outstanding credit facility debt and to provide liquidity for ongoing working capital requirements and general corporate purposes. The Credit Facility consisted of a $ 400 million secured revolving line of credit with a term of five year s, a $ 357.5 million secured term loan facility with a term of seven year s and a € 250 million secured Euro term loan facility with a term of seven year s. For further discussion of the Company’s Credit Facility, refer to Note 9 in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. In conjunction with the refinancing of the Credit Facility, we recorded a charge of $ 3.2 million in connection with the write-off of unamortized issuance costs, which is recorded within Loss on extinguishment of debt in our condensed consolidated statement of operations for the nine months ended September 30, 2018. International Receivable Sales Programs We have several international programs to sell without recourse trade accounts receivable to financial institutions. These transactions are treated as a sale and are accounted for as a reduction in accounts receivable because the agreements transfer effective control over and risk related to the receivables to the buyers. The Company continues to service the receivables sold in exchange for a fee. The servicing fee for the three and nine months ended September 30, 2019, was immaterial. The program, whose maximum capacity is € 100 million, is scheduled to expire in December 31, 2023 . Generally, at the transfer date, the Company receives cash equal to approximately 65 % of the value of the sold receivable. Cash proceeds at the transfer date from these arrangements are reflected in operating activities in our consolidated statement of cash flows. The proceeds from the deferred purchase price are reflected in investing activities. The outstanding principal amount of receivables sold under this program was $ 61.4 million at September 30, 2019 and $ 71.3 million at December 31, 2018. The carrying amount of deferred purchase price was $ 22.5 million at September 30, 2019 and $ 23.0 million at December 31, 2018, and is recorded in Other receivables. Trade accounts receivable collected to be remitted were $ 14.3 million at September 30, 2019 and $ 11.6 million at December 31, 2018, and is recorded in Accrued expenses and other current liabilities. Activity from these programs for the nine months ended September 30, 2019 is detailed below: September 30, 2019 (Dollars in thousands) Trade accounts receivable sold to financial institutions $ 58,861 Cash proceeds from financial institutions 39,364 Other Financing Arrangements We maintain other lines of credit to provide global flexibility for our short-term liquidity requirements. These facilities are uncommitted lines for our international operations and totaled $ 33.9 million and $ 41.4 million at September 30, 2019, and December 31, 2018, respectively. The unused portions of these lines provided additional liquidity of $ 20.1 million at September 30, 2019, and $ 30.3 million at December 31, 2018. |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2019 | |
Financial Instruments [Abstract] | |
Financial Instruments | 9. Financial Instruments The following financial instrument assets (liabilities) are presented at their respective carrying amount, fair value and classification within the fair value hierarchy: September 30, 2019 Carrying Fair Value Amount Total Level 1 Level 2 Level 3 (Dollars in thousands) Cash and cash equivalents $ 51,741 $ 51,741 $ 51,741 $ — $ — Loans payable ( 8,270 ) ( 8,270 ) — ( 8,270 ) — Term loan facility - Amended Credit Facility (1) ( 803,579 ) ( 801,424 ) — ( 801,424 ) — Revolving credit facility ( 22,471 ) ( 22,757 ) — ( 22,757 ) — Other long-term notes payable ( 7,943 ) ( 5,441 ) — ( 5,441 ) — Cross currency swaps 28,662 28,662 — 28,662 — Interest rate swaps ( 17,577 ) ( 17,577 ) — ( 17,577 ) — Foreign currency forward contracts, net ( 265 ) ( 265 ) — ( 265 ) — December 31, 2018 Carrying Fair Value Amount Total Level 1 Level 2 Level 3 (Dollars in thousands) Cash and cash equivalents $ 104,301 $ 104,301 $ 104,301 $ — $ — Loans payable ( 50 ) ( 50 ) — ( 50 ) — Term loan facility - Amended Credit Facility (1) ( 809,022 ) ( 796,796 ) — ( 796,796 ) — Other long-term notes payable ( 8,362 ) ( 5,258 ) — ( 5,258 ) — Cross currency swaps 17,104 17,104 — 17,104 — Interest rate swaps ( 5,244 ) ( 5,244 ) — ( 5,244 ) — Foreign currency forward contracts, net ( 270 ) ( 270 ) — ( 270 ) — (1) The carrying value of the term loan facility is net of unamortized debt issuance costs of $ 4.1 million and $ 4.8 million for the period ended September 30, 2019, and December 31, 2018, respectively. The fair values of cash and cash equivalents are based on the fair values of identical assets. The fair values of loans payable are based on the present value of expected future cash flows and approximate their carrying amounts due to the short periods to maturity. The fair value of the term loan facility is based on market price information and is measured using the last available bid price of the instrument on a secondary market. The revolving credit facility and other long-term notes payable are based on the present value of expected future cash flows and interest rates that would be currently available to the Company for issuance of similar types of debt instruments with similar terms and remaining maturities adjusted for the Company's performance risk. The fair values of our interest rate swaps and cross currency swaps are determined based on inputs that are readily available in public markets or can be derived from information available in publicly quoted markets. The fair values of the foreign currency forward contracts are based on market prices for comparable contracts. Derivative Instruments The Company may use derivative instruments to partially offset its business exposure to foreign currency and interest rate risk on expected future cash flows, on net investments in certain foreign subsidiaries and on certain existing assets and liabilities. However, the Company may choose not to hedge in countries where it is not economically feasible to enter into hedging arrangements or where hedging inefficiencies exist, such as timing of transactions. Derivatives Designated as Hedging Instruments Cash Flow Hedges. For derivative instruments that are designated and qualify as cash flow hedges, the gain or loss on the derivative is recorded as a component of Accumulated other comprehensive loss (“AOCL”) and reclassified into earnings in the same period during which the hedged transaction affects earnings. The Company utilizes interest rate swaps to limit exposure to market fluctuations on floating-rate debt. During the second quarter of 2017, the Company entered into interest rate swap agreements that converted $ 150 million and € 90 million of our term loans from variable interest rates to fixed interest rates. These swaps qualified for, and were designated as, cash flow hedges. These interest rate swap agreements were terminated in the second quarter of 2018 in connection with the refinancing of the Credit Facility. During the second quarter of 2018, the Company entered into variable to fixed interest rate swaps with a maturity date of February 14, 2024 . The notional amount is $ 315.2 million at September 30, 2019. These swaps are hedging risk associated with the Tranche B-1 Loans. These interest rate swaps are designated as cash flow hedges. As of September 30, 2019, the Company expects it will reclassify net losses of approximately $ 3.6 million, currently recorded in AOCL, into interest expense in earnings within the next twelve months. However, the actual amount reclassified could vary due to future changes in the fair value of these derivatives. The Company has converted a U.S. dollar denominated, variable rate debt obligation into a Euro fixed rate obligation using receive-float, pay-fixed cross currency swaps in the second quarter of 2018. These swaps are hedging currency and interest rate risk associated with the Tranche B-3 Loans. These cross currency swaps are designated as cash flow hedges. The notional amount is $ 226.6 million at September 30, 2019, with a maturity date of February 14, 2024 . As of September 30, 2019, the Company expects it will reclassify net gains of approximately $ 4.3 million, currently recorded in AOCL, into interest expense in earnings within the next twelve months. However, the actual amount reclassified could vary due to future changes in the fair value of these derivatives. The amount of (loss) gain recognized in AOCL and the amount of (loss) gain reclassified into earnings for the three months ended September 30, 2019 and 2018, follow: Amount of (Loss) Gain Amount of (Loss) Gain Reclassified from Location of (Loss) Gain Recognized in AOCL AOCL into Income Reclassified from 2019 2018 2019 2018 AOCL into Income (Dollars in thousands) Interest rate swaps $ ( 2,328 ) $ 2,135 $ ( 363 ) $ ( 186 ) Interest expense Cross currency swaps 10,750 3,237 1,419 1,327 Interest expense $ 1,056 $ 1,141 Total Interest expense Cross currency swaps 9,497 1,549 Foreign currency losses, net $ 9,497 $ 1,549 Total Foreign currency losses, net The amount of (loss) gain recognized in AOCL and the amount of (loss) gain reclassified into earnings for the nine months ended September 30, 2019 and 2018, follow: Amount of (Loss) Gain Amount of (Loss) Gain Reclassified from Location of (Loss) Gain Recognized in AOCL AOCL into Income Reclassified from 2019 2018 2019 2018 AOCL into Income (Dollars in thousands) Interest rate swaps $ ( 13,248 ) $ 1,761 $ ( 149 ) $ ( 197 ) Interest expense Cross currency swaps 11,122 12,666 4,579 2,215 Interest expense $ 4,430 $ 2,018 Total Interest expense Cross currency swap 11,275 11,864 Foreign currency losses, net $ 11,275 $ 11,864 Total Foreign currency losses, net The total amounts of expense and the respective line items in which the effect of cash flow hedges is presented in the condensed consolidated statement of operations for the three months ended September 30, 2019 and 2018, are as follows: September 30, September 30, 2019 2018 (Dollars in thousands) Interest expense $ 8,138 $ 8,553 Foreign currency losses, net 3,497 2,554 The total amounts of expense and the respective line items in which the effect of cash flow hedges is presented in the condensed consolidated statement of operations for the nine months ended September 30, 2019 and 2018, are as follows: September 30, September 30, 2019 2018 (Dollars in thousands) Interest expense $ 25,198 $ 24,715 Foreign currency losses, net 5,615 7,054 Net Investment Hedges. For derivatives that are designated and qualify as net investment hedges, the gain or loss on the derivative is reported as a component of the currency translation adjustment in AOCL. These cross currency swaps are designated as hedges of our net investment in European operations. Time value is excluded from the assessment of effectiveness and the amount of interest paid or received on the swaps will be recognized as an adjustment to interest expense in earnings over the life of the swaps. In the second quarter of 2017, the Company designated a portion of its Euro denominated debt as a net investment hedge for accounting purposes. This net investment hedge was terminated in the second quarter of 2018. In the second quarter of 2018, the Company entered into cross currency swap agreements under which we pay variable rate interest in Euros and receive variable rate interest in U.S. dollars. The notional amount is € 96.5 million at September 30, 2019, with a maturity date of February 14, 2024 . These swaps are hedging risk associated with the net investment in Euro denominated operations due to fluctuating exchange rates and are designated as net investment hedges. The changes in the fair value of these designated cross-currency swaps will be recognized in AOCL. The amount of gain on net investment hedges recognized in AOCL, the amount reclassified into earnings and the amount of gain recognized in income on derivative (amount excluded from effectiveness testing) for the three months ended September 30, 2019 and 2018, follow: Amount of Gain Amount of Gain Recognized in Amount of Gain Reclassified from Income on Derivative (Amount Recognized in AOCL AOCL into Income Excluded from Effectiveness Testing) Location of Gain 2019 2018 2019 2018 2019 2018 in Earnings (Dollars in thousands) Cross currency swaps $ 5,977 $ 1,272 $ — $ — $ 897 $ 858 Interest expense The amount of gain on net investment hedges recognized in AOCL, the amount reclassified into earnings and the amount of gain recognized in income on derivative (amount excluded from effectiveness testing) for the nine months ended September 30, 2019 and 2018, follow: Amount of Gain Amount of Gain Recognized in Amount of Gain Reclassified from Income on Derivative (Amount Recognized in AOCL AOCL into Income Excluded from Effectiveness Testing) Location of Gain 2019 2018 2019 2018 2019 2018 in Earnings (Dollars in thousands) Cross currency swaps $ 8,454 $ 4,046 $ — $ — $ 2,847 $ 1,353 Interest expense Derivatives Not Designated as Hedging Instruments Foreign Currency Forward Contracts. We manage foreign currency risks principally by entering into forward contracts to mitigate the impact of currency fluctuations on transactions. These forward contracts are not formally designated as hedges. Gains and losses on these foreign currency forward contracts are netted with gains and losses from currency fluctuations on transactions arising from international trade and reported as Foreign currency losses, net in the condensed consolidated statements of operations. We recognized net losses of $ 1.6 million in the three and nine months ended September 30, 2019 and net gains of $ 1.3 million and $ 2.7 million in the three and nine months ended September 30, 2018, respectively, arising from the change in fair value of our financial instruments, which partially offset the related net gains and losses on international trade transactions. The notional amount of foreign currency forward contracts was $ 606.1 million at September 30, 2019 and $ 387.2 million at December 31, 2018. The following table presents the effect on our condensed consolidated statements of operations for the three and nine months ended September 30, 2019 and 2018, respectively, of our foreign currency forward contracts: Amount of (Loss) Gain Recognized in Earnings Three Months Ended September 30, 2019 2018 Location of (Loss) Gain in Earnings (Dollars in thousands) Foreign currency forward contracts $ ( 1,642 ) $ 1,339 Foreign currency losses, net Amount of (Loss) Gain Recognized in Earnings Nine Months Ended September 30, 2019 2018 Location of (Loss) Gain in Earnings (Dollars in thousands) Foreign currency forward contracts $ ( 1,615 ) $ 2,728 Foreign currency losses, net Location and Fair Value Amount of Derivative Instruments The following table presents the fair values of our derivative instruments on our condensed consolidated balance sheets. All derivatives are reported on a gross basis. September 30, December 31, 2019 2018 Balance Sheet Location (Dollars in thousands) Asset derivatives: Cross currency swaps $ 7,298 $ 9,606 Other current assets Cross currency swaps 21,364 7,498 Other non-current assets Foreign currency forward contracts 2,025 626 Other current assets Liability derivatives: Interest rate swaps ( 3,556 ) ( 755 ) Accrued expenses and other current liabilities Interest rate swaps ( 14,021 ) ( 4,489 ) Other non-current liabilities Foreign currency forward contracts $ ( 2,290 ) $ ( 896 ) Accrued expenses and other current liabilities |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | 10. Income Taxes Income tax expense for the nine months ended September 30, 2019 was $ 13.2 million, or 25.6 % of pre-tax income. Income tax expense for the nine months ended September 30, 2018 was $ 29.2 million, or 29.6 % of pre-tax income. The tax expense during the nine months ended September 30, 2019, as a percentage of pre-tax income, is higher than the U.S. federal statutory income tax rate of 21 % primarily as a result of foreign statutory rate differences. The tax expense for the nine months ended September 30, 2018, as a percentage of pre-tax income, is higher than the U.S. federal statutory income tax rate of 21 % primarily as a result of foreign statutory rate differences and discrete items recorded in the third quarter. The discrete items recorded in the third quarter of 2018 primarily include a reduction to the tax expense related to provision to return adjustments and an increase from the impact of resolving a foreign tax audit. |
Contingent Liabilities
Contingent Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Contingent Liabilities [Abstract] | |
Contingent Liabilities | 11. Contingent Liabilities We have recorded environmental liabilities of $ 6.0 million at September 30, 2019 and $ 8.5 million at December 31, 2018, for costs associated with the environmental remediation of certain of our current or former properties within and outside the United States. These costs include, but are not limited to, legal and consulting fees, site studies, the design and implementation of remediation plans, post-remediation monitoring, and related activities. The ultimate liability could be affected by numerous uncertainties, including the extent of contamination found, the required period of monitoring, the ultimate cost of required remediation, and other circumstances. In November 2017, Suffolk County Water Authority filed a complaint, Suffolk County Water Authority v. The Dow Chemical Company et al., against the Company and a number of other companies in the U.S. Federal Court for the Eastern District of New York with regard to the product 1,4 dioxane. The plaintiff alleges, among other things, that the Suffolk County water supply is contaminated with 1,4 dioxane and that the defendants are liable for unspecified costs of cleanup and remediation of the water supply, among other damages. The Company has not manufactured 1,4 dioxane since 2008, denies the allegations related to the liability for the plaintiff’s claims, and is vigorously defending this proceeding. Since December 2018, additional complaints have been filed in the same court by 25 other New York water suppliers and in New York State Supreme Court by one water supplier against the Company and others making substantially similar allegations regarding the contamination of their respective water supplies with 1,4 dioxane. The Company is likewise vigorously defending these additional actions. The Company currently does not expect the outcome of these proceedings to have a material adverse impact on its consolidated financial condition, results of operations, or cash flows, net of any insurance coverage. However, it is not possible to predict the ultimate outcome of these proceedings due to the unpredictable nature of litigation. In addition to the proceedings described above, the Company and its consolidated subsidiaries are subject from time to time to various claims, lawsuits, investigations, and proceedings related to products, services, contracts, environmental, health and safety, employment, intellectual property, and other matters, including with respect to divested businesses. The outcome of such matters is unpredictable, our assessment of them may change, and resolution of them could have a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows. We do not currently expect the resolution of such matters to materially affect the consolidated financial position, results of operations, or cash flows of the Company. |
Retirement Benefits
Retirement Benefits | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
Retirement Benefits | 12. Retirement Benefits Net periodic benefit (credit) cost of our U.S. pension plans (including our unfunded nonqualified plans), non-U.S. pension plans, and postretirement health care and life insurance benefit plans for the three months ended September 30, 2019 and 2018, respectively, follow: U.S. Pension Plans Non-U.S. Pension Plans Other Benefit Plans Three Months Ended September 30, 2019 2018 2019 2018 2019 2018 (Dollars in thousands) Service cost $ 3 $ 3 $ 445 $ 436 $ 1 $ 1 Interest cost 2,963 2,788 682 653 175 183 Expected return on plan assets ( 3,153 ) ( 3,995 ) ( 204 ) ( 222 ) — — Amortization of prior service cost — — 9 10 — — Net periodic benefit (credit) cost $ ( 187 ) $ ( 1,204 ) $ 932 $ 877 $ 176 $ 184 Net periodic benefit (credit) cost for the nine months ended September 30, 2019 and 2018, respectively, follow: U.S. Pension Plans Non-U.S. Pension Plans Other Benefit Plans Nine Months Ended September 30, 2019 2018 2019 2018 2019 2018 (Dollars in thousands) Service cost $ 8 $ 9 $ 1,337 $ 1,344 $ 2 $ 2 Interest cost 8,889 8,363 2,091 2,009 526 549 Expected return on plan assets ( 9,458 ) ( 11,984 ) ( 626 ) ( 681 ) — — Amortization of prior service cost — — 39 32 — — Net periodic benefit (credit) cost $ ( 561 ) $ ( 3,612 ) $ 2,841 $ 2,704 $ 528 $ 551 Interest cost, expected return on plan assets and amortization of prior service cost are recorded in Miscellaneous expense (income), net on the condensed consolidated statement of operations. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | 13. Stock-Based Compensation On May 3, 2018, our shareholders approved the 2018 Omnibus Incentive Plan (the “Plan”), which was adopted by the Board of Directors on February 22, 2018. The Plan’s purpose is to promote the Company’s long-term financial interests and growth by attracting, retaining and motivating high-quality key employees and directors, motivating such employees and directors to achieve the Company’s short- and long-range performance goals and objectives, and thereby align their interests with those of the Company’s shareholders. The Plan reserves 4,500,000 shares of common stock to be issued for grants of several different types of long-term incentives including stock options, stock appreciation rights, restricted awards, performance awards, other common stock-based awards, and dividend equivalent rights. The Plan replaced the 2013 Omnibus Incentive Plan (the “Previous Plan”), and no future grants may be made under the Previous Plan. However, any outstanding awards or grants made under the Previous Plan will continue until the end of their specified terms. In the first nine months of 2019, our Board of Directors granted 0.3 million stock options, 0.2 million performance share units, and 0.2 million restricted stock units under the Plan. We estimate the fair value of each stock option on the date of grant using the Black-Scholes option pricing model. The following table details the weighted-average grant-date fair values and the assumptions used for estimating the fair values of stock option grants made during the nine months ended September 30, 2019: Stock Options Weighted-average grant-date fair value $ 6.47 Expected life, in years 5.6 Risk-free interest rate 2.5 % Expected volatility 33.9 % The weighted average grant date fair value of our performance share units granted in the nine months ended September 30, 2019, was $ 17.61 . We measure the fair value of performance share units based on the closing market price of our common stock on the date of the grant. These shares are evaluated each reporting period for respective attainment rates against the performance criteria. The weighted-average grant date fair value of our restricted share units granted in the nine months ended September 30, 2019, was $ 17.18 . We measure the fair value of restricted share units based on the closing market price of our common stock on the date of the grant. The restricted share units vest over three year s. We recognized stock-based compensation expense of $ 0.3 million and $ 5.9 million for the three and nine months ended September 30, 2019, respectively, and $ 1.4 million and $ 5.2 million for the three and nine months ended September 30, 2018 respectively. At September 30, 2019, unearned compensation cost related to the unvested portion of all stock-based compensation awards was approximately $ 8.8 million and is expected to be recognized over the remaining vesting period of the respective grants, through the first quarter of 2022. |
Restructuring And Optimization
Restructuring And Optimization Programs | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring And Optimization Programs [Abstract] | |
Restructuring And Optimization Programs | 14. Restructuring and Optimization Programs Total restructuring and impairment charges were $ 6.2 million and $ 18.6 million for the three and nine months ended September 30, 2019 and $ 2.6 million and $ 10.4 million for the three and nine months ended September 30, 2018, respectively. In the second quarter of 2019, we developed and initiated a program across the organization with the objective of realigning the business and lowering our cost structure. The program involves our global operations and certain functions and initiatives to increase operational efficiencies, some of which is associated with integration of our recent acquisitions. As a result of the actions, the Company expects to incur total charges of approximately $ 7.0 million, substantially all of which will be for severance costs. Charges associated with these programs were $ 2.0 million and $ 5.5 million for the three and nine months ended September 30, 2019. The charges associated with the program are further summarized below. Employee Other Severance Costs Total (Dollars in thousands) Balances at December 31, 2018 $ 1,151 $ 1,288 $ 2,439 Restructuring charges 6,782 2,811 9,593 Cash payments ( 6,998 ) ( 1,772 ) ( 8,770 ) Non-cash items ( 40 ) ( 1,453 ) ( 1,493 ) Balances at September 30, 2019 $ 895 $ 874 $ 1,769 We expect to make cash payments to settle the remaining liability for employee severance benefits and other costs over the next twelve months , except where legal or contractual obligations would require it to extend beyond that period. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases | 15. Leases The Company determines if a contract is a lease at inception. The Company has leases for equipment, office space, plant sites and distribution centers. Certain of these leases include options to extend the lease and some include options to terminate the lease early. Leases with an initial term of 12 months or less are not recorded on the balance sheet and the related lease expense is recognized on a straight-line basis over the lease term. The right-of-use asset represents the right to use an underlying asset for the lease term and the lease liabilities represent the Company’s obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized as of the commencement date based on the present value of the lease payments over the lease term. The lease term may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise the applicable option. The Company’s lease payments consist of both fixed and variable lease payments. Residual value guarantees are not common within the Company’s lease agreements nor are restrictions or covenants imposed by leases. The Company has elected the practical expedient to combine lease and non-lease components. The Company determined the discount rate to be used in measuring lease liabilities at a portfolio level using a collateralized rate. Specifically, we segregated our lease portfolio into different populations based on (1) lease currency, (2) lease term, and (3) creditworthiness of the lessee and security structure. There are no leases that have not yet commenced that create significant rights and obligations for the Company. The components of lease cost are shown below: Three Months Ended Nine Months Ended September 30, September 30, 2019 2019 Income Statement Location (Dollars in thousands) Lease Cost Operating lease cost (1) $ 1,628 $ 5,069 Selling, general and administrative expenses Operating lease cost (2) 2,497 7,718 Cost of sales Finance lease cost Amortization of right-of-use assets 233 716 Cost of sales Interest of lease liabilities 12 38 Interest expense Net lease cost $ 4,370 $ 13,541 (1) Included in operating lease cost is $ 0.2 million and $ 0.8 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.1 million and $ 0.3 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. (2) Included in operating lease cost is $ 0.8 million and $ 2.3 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.2 million and $ 0.9 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. Supplemental balance sheet information related to leases are shown below: September 30, 2019 Balance Sheet Location (Dollars in thousands) Assets Operating leased assets $ 23,206 Operating leased assets Finance leased assets (3) 1,943 Property, plant and equipment, net Total leased assets $ 25,149 Liabilities Current Operating $ 8,264 Accrued expenses and other current liabilities Finance 692 Loans payable and current portion of long-term debt Noncurrent Operating 14,905 Operating lease non-current liabilities Finance 2,972 Long-term debt, less current portion Total lease liabilities $ 26,833 (3) Finance leases are net of accumulated depreciation of $ 6.1 million for September 30, 2019. Supplemental cash flow information related to leases are shown below: Three Months Ended Nine Months Ended September 30, September 30, 2019 2019 (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from finance leases $ 12 $ 38 Operating cash flows from operating leases 2,779 8,541 Financing cash flows from finance leases 202 615 Leased assets obtained in exchange for new finance lease liabilities 127 345 Leased assets obtained in exchange for new operating lease liabilities 805 31,128 September 30, 2019 Weighted-average remaining lease term (years) Operating leases 3.8 Finance leases 4.8 Weighted-average discount rate Operating leases 3.9 % Finance leases 4.3 % Maturities of lease liabilities are shown below as of September 30, 2019: Finance Operating Leases Leases (Dollars in thousands) Remaining in 2019 $ 275 $ 2,704 2020 860 8,098 2021 593 6,123 2022 1,363 3,684 2023 368 2,163 2024 298 945 Thereafter 697 1,586 Net minimum lease payments $ 4,454 $ 25,303 Less: interest 790 2,134 Present value of lease liabilities $ 3,664 $ 23,169 Maturities of lease liabilities under ASC 840 are shown below as of December 31, 2018: Capital Operating Leases Leases (Dollars in thousands) 2019 $ 1,048 $ 11,419 2020 755 7,314 2021 477 5,302 2022 1,287 3,301 2023 279 1,971 Thereafter 992 2,401 Net minimum lease payments $ 4,838 $ 31,708 Less: interest 875 Present value of lease liabilities $ 3,963 Less: current portion 679 Long-term obligations $ 3,284 |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 16. Earnings Per Share Details of the calculation of basic and diluted earnings per share are shown below: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands, except per share amounts) Basic earnings per share computation: Net income attributable to Ferro Corporation common shareholders $ 12,820 $ 16,058 $ 37,295 $ 69,117 Weighted-average common shares outstanding 81,942 83,893 82,118 84,154 Basic earnings per share attributable to Ferro Corporation common shareholders $ 0.16 $ 0.19 $ 0.45 $ 0.82 Diluted earnings per share computation: Net income attributable to Ferro Corporation common shareholders $ 12,820 $ 16,058 $ 37,295 $ 69,117 Weighted-average common shares outstanding 81,942 83,893 82,118 84,154 Assumed exercise of stock options 319 788 470 811 Assumed satisfaction of restricted stock unit conditions 143 289 232 281 Assumed satisfaction of performance share unit conditions 91 192 136 182 Weighted-average diluted shares outstanding 82,495 85,162 82,956 85,428 Diluted earnings per share attributable to Ferro Corporation common shareholders $ 0.16 $ 0.19 $ 0.45 $ 0.81 The number of anti-dilutive shares were 2.5 million and 2.2 million for the three and nine months ended September 30, 2019, respectively, and 1.7 million for the three and nine months ended September 30, 2018. These shares are excluded from the calculation of diluted earnings per share due to their anti-dilutive impact. |
Share Repurchase Program
Share Repurchase Program | 9 Months Ended |
Sep. 30, 2019 | |
Share Repurchase Program [Abstract] | |
Share Repurchase Program | 17. Share Repurchase Program The Company’s Board of Directors has approved a share repurchase program under which the Company is authorized to repurchase up to $ 150 million of the Company’s outstanding shares of common stock on the open market, including through a Rule 10b5-1 plan, or in privately negotiated transactions. The timing and amount of shares to be repurchased will be determined by the Company, based on evaluation of market and business conditions, share price, and other factors. The share repurchase program does not obligate the Company to repurchase any dollar amount or number of common shares, and may be suspended or discontinued at any time. For the nine months ended September 30, 2019, the Company repurchased 1,440,678 shares of common stock at an average price of $ 17.35 per share for a total cost of $ 25.0 million. For the nine months ended September 30, 2018, the Company repurchased 807,816 shares of common stock at an average price of $ 21.04 per share for a total cost of $ 17.0 million. As of September 30, 2019, $ 46.2 million remains authorized under the program for the repurchase of common stock. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2019 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Accumulated Other Comprehensive Loss | 18. Accumulated Other Comprehensive Loss Changes in accumulated other comprehensive loss by component, net of tax, were as follows: Three Months Ended September 30, Postretirement Foreign Net Gain Benefit Liability Currency on Cash Adjustments Items Flow Hedges Total (Dollars in thousands) Balances at June 30, 2018 $ 1,182 $ ( 101,927 ) $ 923 $ ( 99,822 ) Other comprehensive (loss) income before reclassifications, before tax — ( 5,086 ) 6,644 1,558 Reclassification to earnings: Cash flow hedge loss, before tax — — ( 3,548 ) ( 3,548 ) Current period other comprehensive income (loss), before tax — ( 5,086 ) 3,096 ( 1,990 ) Tax effect — 94 ( 514 ) ( 420 ) Current period other comprehensive income (loss), net of tax — ( 5,180 ) 3,610 ( 1,570 ) Balances at September 30, 2018 $ 1,182 $ ( 107,107 ) $ 4,533 $ ( 101,392 ) Balances at June 30, 2019 $ 1,126 $ ( 95,799 ) $ ( 14,960 ) $ ( 109,633 ) Other comprehensive income (loss) before reclassifications, before tax — ( 9,547 ) 8,422 ( 1,125 ) Reclassification to earnings: Cash flow hedge loss, before tax — — ( 10,553 ) ( 10,553 ) Current period other comprehensive loss, before tax — ( 9,547 ) ( 2,131 ) ( 11,678 ) Tax effect — 1,175 ( 487 ) 688 Current period other comprehensive loss, net of tax — ( 10,722 ) ( 1,644 ) ( 12,366 ) Balances at September 30, 2019 $ 1,126 $ ( 106,521 ) $ ( 16,604 ) $ ( 121,999 ) Nine Months Ended September 30, Postretirement Foreign Net Gain Benefit Liability Currency on Cash Adjustments Items Flow Hedges Total (Dollars in thousands) Balances at December 31, 2017 $ 1,165 $ ( 77,578 ) $ 945 $ ( 75,468 ) Other comprehensive (loss) income before reclassifications, before tax — ( 29,107 ) 18,473 ( 10,634 ) Reclassification to earnings: Postretirement benefit liabilities income, before tax 22 — — 22 Cash flow hedge loss, before tax — — ( 15,235 ) ( 15,235 ) Current period other comprehensive income (loss), before tax 22 ( 29,107 ) 3,238 ( 25,847 ) Tax effect 5 422 ( 350 ) 77 Current period other comprehensive income (loss), net of tax 17 ( 29,529 ) 3,588 ( 25,924 ) Balances at September 30, 2018 $ 1,182 $ ( 107,107 ) $ 4,533 $ ( 101,392 ) Balances at December 31, 2018 $ 1,126 $ ( 103,190 ) $ ( 3,297 ) $ ( 105,361 ) Other comprehensive loss before reclassifications, before tax — ( 2,033 ) ( 2,126 ) ( 4,159 ) Reclassification to earnings: Cash flow hedge loss, before tax — — ( 15,705 ) ( 15,705 ) Current period other comprehensive loss, before tax — ( 2,033 ) ( 17,831 ) ( 19,864 ) Tax effect — 1,298 ( 4,524 ) ( 3,226 ) Current period other comprehensive loss, net of tax — ( 3,331 ) ( 13,307 ) ( 16,638 ) Balances at September 30, 2019 $ 1,126 $ ( 106,521 ) $ ( 16,604 ) $ ( 121,999 ) |
Reporting For Segments
Reporting For Segments | 9 Months Ended |
Sep. 30, 2019 | |
Reporting For Segments [Abstract] | |
Reporting For Segments | 19. Reporting for Segments Net sales to external customers by segment are presented in the table below. Sales between segments were not material. Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands) Performance Coatings $ 162,391 $ 175,939 $ 510,970 $ 554,036 Performance Colors and Glass 112,742 123,277 351,991 369,809 Color Solutions 90,595 95,947 284,217 293,089 Total net sales $ 365,728 $ 395,163 $ 1,147,178 $ 1,216,934 Each segment’s gross profit and reconciliation to income before income taxes are presented in the table below: Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands) Performance Coatings $ 35,436 $ 36,257 $ 108,903 $ 130,319 Performance Colors and Glass 36,829 40,095 115,672 128,785 Color Solutions 29,122 30,174 87,220 93,864 Other cost of sales ( 1,096 ) ( 1,039 ) ( 1,390 ) ( 2,150 ) Total gross profit 100,291 105,487 310,405 350,818 Selling, general and administrative expenses 67,723 64,344 211,448 207,560 Restructuring and impairment charges 6,226 2,561 18,613 10,435 Other expense, net 9,403 11,071 28,979 33,975 Income before income taxes $ 16,939 $ 27,511 $ 51,365 $ 98,848 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policy) | 9 Months Ended |
Sep. 30, 2019 | |
Recent Accounting Pronouncements [Abstract] | |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards On January 1, 2019, we adopted the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2016-02, Leases: (Topic 842), using the new transition method under ASU 2018-11, Targeted Improvements. ASU 2016-02 requires companies to recognize a lease liability and asset on the balance sheet for operating leases with a term greater than one year. ASU 2018-11 provided an additional transition method to adopt the new leasing standard. Under this new transition method, an entity initially applies the new leasing standard using a cumulative-effect adjustment to the opening balance of retained earnings but will continue to report comparative periods under existing guidance in accordance with ASC 840, Leases . We elected the package of practical expedients permitted under the transition guidance, which allowed us to carry forward our historical lease classification, our assessment on whether a contract is or contains a lease, and our initial direct costs for any leases that existed prior to adoption of the new standard. We also elected to combine lease and non-lease components for all asset classes. We elected the short-term lease recognition exemption for all leases that qualify. Consequently, for those leases that qualify, we will not recognize right-of-use assets or lease liabilities on the balance sheet. The impact of adoption resulted in $ 28.6 million recognized as total right-of-use assets and total lease liabilities on our consolidated balance sheet as of January 1, 2019. Other than this impact, the adoption of ASU 2016-02 did not have a material impact on our remaining consolidated financial statements. On January 1, 2019, we adopted FASB ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. ASU 2018-02 allows a reclassification from Accumulated Other Comprehensive Income (Loss) to Retained Earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act and requires certain disclosures about stranded tax effects. The Company has elected not to reclassify the stranded tax effects resulting from the Tax Cuts and Jobs Act within Accumulated Other Comprehensive Loss. As such, the adoption of this standard did not impact our consolidated financial statements. On January 1, 2019, we adopted FASB ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement. ASU 2018-13 modifies the disclosure requirements on fair value measurements. The Company updated the disclosures for the fair value measurements in accordance with the standard updates. On April 1, 2019, we adopted FASB ASU 2017-04, Intangibles – Goodwill and Other: (Topic 350): Simplifying the Test for Goodwill Impairment. ASU 2017-04 is intended to simplify the subsequent measurement of goodwill by eliminating Step 2 from the current goodwill impairment test. The Company updated its goodwill impairment test in accordance with the standard updates on a prospective basis. |
New Accounting Standards Not Yet Adopted | New Accounting Standards Not Yet Adopted In August 2018, the FASB issued ASU 2018-14, Compensation-Retirement Benefits-Defined Benefit Plans-General (Subtopic 715-20): Disclosure Framework-Changes to the Disclosure Requirements for Defined Benefit Plans. ASU 2018-14 modifies disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. This pronouncement is effective for fiscal years beginning after December 15, 2020. The Company is in the process of assessing the impact that the adoption of this ASU will have on our consolidated financial statements. No other new accounting pronouncements issued had, or are expected to have, a material impact on the Company’s consolidated financial statements. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue [Abstract] | |
Summary Of Revenues Disaggregated By Geography And Reportable Segment | Revenues disaggregated by geography and reportable segment for the three months ended September 30, 2019, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 104,217 $ 8,964 $ 26,184 $ 23,026 $ 162,391 Performance Colors and Glass 50,670 37,694 19,123 5,255 112,742 Color Solutions 33,350 38,759 10,411 8,075 90,595 Total net sales $ 188,237 $ 85,417 $ 55,718 $ 36,356 $ 365,728 Revenues disaggregated by geography and reportable segment for the three months ended September 30, 2018, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 110,261 $ 12,170 $ 27,914 $ 25,594 $ 175,939 Performance Colors and Glass 55,782 43,087 18,564 5,844 123,277 Color Solutions 33,276 43,699 10,136 8,836 95,947 Total net sales $ 199,319 $ 98,956 $ 56,614 $ 40,274 $ 395,163 Revenues disaggregated by geography and reportable segment for the nine months ended September 30, 2019, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 336,631 $ 30,448 $ 74,974 $ 68,917 $ 510,970 Performance Colors and Glass 161,850 119,126 53,288 17,727 351,991 Color Solutions 105,960 125,499 28,248 24,510 284,217 Total net sales $ 604,441 $ 275,073 $ 156,510 $ 111,154 $ 1,147,178 Revenues disaggregated by geography and reportable segment for the nine months ended September 30, 2018, follow: EMEA United States Asia Pacific Latin America Total (Dollars in thousands) Performance Coatings $ 355,510 $ 36,704 $ 82,990 $ 78,832 $ 554,036 Performance Colors and Glass 180,801 118,682 53,142 17,184 369,809 Color Solutions 109,985 126,598 30,606 25,900 293,089 Total net sales $ 646,296 $ 281,984 $ 166,738 $ 121,916 $ 1,216,934 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Inventories [Abstract] | |
Inventories | September 30, December 31, 2019 2018 (Dollars in thousands) Raw materials $ 117,080 $ 116,219 Work in process 58,143 55,884 Finished goods 183,078 184,895 Total inventories $ 358,301 $ 356,998 |
Goodwill And Other Intangible_2
Goodwill And Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill And Other Intangible Assets [Abstract] | |
Details And Activity Of Goodwill By Segment | Performance Performance Color Colors and Coatings Solutions Glass Total (Dollars in thousands) Goodwill, net at December 31, 2018 $ 44,352 $ 50,545 $ 121,567 $ 216,464 Impairments ( 9,020 ) — — ( 9,020 ) Foreign currency adjustments ( 1,926 ) ( 809 ) ( 1,114 ) ( 3,849 ) Goodwill, net at September 30, 2019 $ 33,406 $ 49,736 $ 120,453 $ 203,595 |
Summary Of Impairment Of Goodwill | September 30, December 31, 2019 2018 (Dollars in thousands) Goodwill, gross $ 271,082 $ 274,931 Accumulated impairment ( 67,487 ) ( 58,467 ) Goodwill, net $ 203,595 $ 216,464 |
Details Of Amortizable Intangible Assets | September 30, December 31, 2019 2018 (Dollars in thousands) Gross amortizable intangible assets: Patents $ 5,371 $ 5,462 Land rights 4,663 4,773 Technology/know-how and other 132,038 132,084 Customer relationships 97,268 100,368 Total gross amortizable intangible assets 239,340 242,687 Accumulated amortization: Patents ( 5,351 ) ( 5,440 ) Land rights ( 2,932 ) ( 2,909 ) Technology/know-how and other ( 56,419 ) ( 48,898 ) Customer relationships ( 21,036 ) ( 17,306 ) Total accumulated amortization ( 85,738 ) ( 74,553 ) Amortizable intangible assets, net $ 153,602 $ 168,134 |
Schedule Of Indefinite-Lived Intangible Assets | September 30, December 31, 2019 2018 (Dollars in thousands) Indefinite-lived intangibles assets: Trade names and trademarks $ 16,345 $ 16,819 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt [Abstract] | |
Loans Payable And Current Portion Of Long-Term Debt | September 30, December 31, 2019 2018 (Dollars in thousands) Loans payable $ 8,270 $ 50 Current portion of long-term debt 9,866 10,210 Loans payable and current portion of long-term debt $ 18,136 $ 10,260 |
Summary Of Long-Term Debt | September 30, December 31, 2019 2018 (Dollars in thousands) Term loan facility, net of unamortized issuance costs, maturing 2024 (1) $ 803,579 $ 809,022 Revolving credit facility 22,471 — Capital lease obligations 3,664 3,963 Other notes 7,943 8,362 Total long-term debt 837,657 821,347 Current portion of long-term debt ( 9,866 ) ( 10,210 ) Long-term debt, less current portion $ 827,791 $ 811,137 (1) The carrying value of the term loan facility, maturing 2024, is net of unamortized debt issuance costs of $ 4.1 million at September 30, 2019, and $ 4.8 million at December 31, 2018. |
Schedule Of Trade Accounts Receivable In International Receivable Sales Programs | September 30, 2019 (Dollars in thousands) Trade accounts receivable sold to financial institutions $ 58,861 Cash proceeds from financial institutions 39,364 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Financial Instruments [Abstract] | |
Financial Instruments Assets (Liabilities) Measured At Fair Value | September 30, 2019 Carrying Fair Value Amount Total Level 1 Level 2 Level 3 (Dollars in thousands) Cash and cash equivalents $ 51,741 $ 51,741 $ 51,741 $ — $ — Loans payable ( 8,270 ) ( 8,270 ) — ( 8,270 ) — Term loan facility - Amended Credit Facility (1) ( 803,579 ) ( 801,424 ) — ( 801,424 ) — Revolving credit facility ( 22,471 ) ( 22,757 ) — ( 22,757 ) — Other long-term notes payable ( 7,943 ) ( 5,441 ) — ( 5,441 ) — Cross currency swaps 28,662 28,662 — 28,662 — Interest rate swaps ( 17,577 ) ( 17,577 ) — ( 17,577 ) — Foreign currency forward contracts, net ( 265 ) ( 265 ) — ( 265 ) — December 31, 2018 Carrying Fair Value Amount Total Level 1 Level 2 Level 3 (Dollars in thousands) Cash and cash equivalents $ 104,301 $ 104,301 $ 104,301 $ — $ — Loans payable ( 50 ) ( 50 ) — ( 50 ) — Term loan facility - Amended Credit Facility (1) ( 809,022 ) ( 796,796 ) — ( 796,796 ) — Other long-term notes payable ( 8,362 ) ( 5,258 ) — ( 5,258 ) — Cross currency swaps 17,104 17,104 — 17,104 — Interest rate swaps ( 5,244 ) ( 5,244 ) — ( 5,244 ) — Foreign currency forward contracts, net ( 270 ) ( 270 ) — ( 270 ) — (1) The carrying value of the term loan facility is net of unamortized debt issuance costs of $ 4.1 million and $ 4.8 million for the period ended September 30, 2019, and December 31, 2018, respectively. |
Schedule Of Cash Flow Hedges Amount Of Loss Recognized In AOCL And The Amount Of Loss Reclassified Into Earnings | The amount of (loss) gain recognized in AOCL and the amount of (loss) gain reclassified into earnings for the three months ended September 30, 2019 and 2018, follow: Amount of (Loss) Gain Amount of (Loss) Gain Reclassified from Location of (Loss) Gain Recognized in AOCL AOCL into Income Reclassified from 2019 2018 2019 2018 AOCL into Income (Dollars in thousands) Interest rate swaps $ ( 2,328 ) $ 2,135 $ ( 363 ) $ ( 186 ) Interest expense Cross currency swaps 10,750 3,237 1,419 1,327 Interest expense $ 1,056 $ 1,141 Total Interest expense Cross currency swaps 9,497 1,549 Foreign currency losses, net $ 9,497 $ 1,549 Total Foreign currency losses, net The amount of (loss) gain recognized in AOCL and the amount of (loss) gain reclassified into earnings for the nine months ended September 30, 2019 and 2018, follow: Amount of (Loss) Gain Amount of (Loss) Gain Reclassified from Location of (Loss) Gain Recognized in AOCL AOCL into Income Reclassified from 2019 2018 2019 2018 AOCL into Income (Dollars in thousands) Interest rate swaps $ ( 13,248 ) $ 1,761 $ ( 149 ) $ ( 197 ) Interest expense Cross currency swaps 11,122 12,666 4,579 2,215 Interest expense $ 4,430 $ 2,018 Total Interest expense Cross currency swap 11,275 11,864 Foreign currency losses, net $ 11,275 $ 11,864 Total Foreign currency losses, net |
Schedule Of Expenses In Condensed Consolidated Statement Of Operations Effect Of Cash Flow Hedges | The total amounts of expense and the respective line items in which the effect of cash flow hedges is presented in the condensed consolidated statement of operations for the three months ended September 30, 2019 and 2018, are as follows: September 30, September 30, 2019 2018 (Dollars in thousands) Interest expense $ 8,138 $ 8,553 Foreign currency losses, net 3,497 2,554 The total amounts of expense and the respective line items in which the effect of cash flow hedges is presented in the condensed consolidated statement of operations for the nine months ended September 30, 2019 and 2018, are as follows: September 30, September 30, 2019 2018 (Dollars in thousands) Interest expense $ 25,198 $ 24,715 Foreign currency losses, net 5,615 7,054 |
Summary Of Gain Recognized In AOCL, Amount Reclassified Into Earnings And Amount Of Gain Recognized In Income On Derivative (Amount Excluded From Effectiveness Testing) | The amount of gain on net investment hedges recognized in AOCL, the amount reclassified into earnings and the amount of gain recognized in income on derivative (amount excluded from effectiveness testing) for the three months ended September 30, 2019 and 2018, follow: Amount of Gain Amount of Gain Recognized in Amount of Gain Reclassified from Income on Derivative (Amount Recognized in AOCL AOCL into Income Excluded from Effectiveness Testing) Location of Gain 2019 2018 2019 2018 2019 2018 in Earnings (Dollars in thousands) Cross currency swaps $ 5,977 $ 1,272 $ — $ — $ 897 $ 858 Interest expense The amount of gain on net investment hedges recognized in AOCL, the amount reclassified into earnings and the amount of gain recognized in income on derivative (amount excluded from effectiveness testing) for the nine months ended September 30, 2019 and 2018, follow: Amount of Gain Amount of Gain Recognized in Amount of Gain Reclassified from Income on Derivative (Amount Recognized in AOCL AOCL into Income Excluded from Effectiveness Testing) Location of Gain 2019 2018 2019 2018 2019 2018 in Earnings (Dollars in thousands) Cross currency swaps $ 8,454 $ 4,046 $ — $ — $ 2,847 $ 1,353 Interest expense |
Effect On Derivative Instruments On Consolidated Statements Of Operations | Amount of (Loss) Gain Recognized in Earnings Three Months Ended September 30, 2019 2018 Location of (Loss) Gain in Earnings (Dollars in thousands) Foreign currency forward contracts $ ( 1,642 ) $ 1,339 Foreign currency losses, net Amount of (Loss) Gain Recognized in Earnings Nine Months Ended September 30, 2019 2018 Location of (Loss) Gain in Earnings (Dollars in thousands) Foreign currency forward contracts $ ( 1,615 ) $ 2,728 Foreign currency losses, net |
Fair Value Of Derivative Instruments On Consolidated Balance Sheets | September 30, December 31, 2019 2018 Balance Sheet Location (Dollars in thousands) Asset derivatives: Cross currency swaps $ 7,298 $ 9,606 Other current assets Cross currency swaps 21,364 7,498 Other non-current assets Foreign currency forward contracts 2,025 626 Other current assets Liability derivatives: Interest rate swaps ( 3,556 ) ( 755 ) Accrued expenses and other current liabilities Interest rate swaps ( 14,021 ) ( 4,489 ) Other non-current liabilities Foreign currency forward contracts $ ( 2,290 ) $ ( 896 ) Accrued expenses and other current liabilities |
Retirement Benefits (Tables)
Retirement Benefits (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Retirement Benefits [Abstract] | |
Net Periodic Benefit (Credit) Cost | Net periodic benefit (credit) cost of our U.S. pension plans (including our unfunded nonqualified plans), non-U.S. pension plans, and postretirement health care and life insurance benefit plans for the three months ended September 30, 2019 and 2018, respectively, follow: U.S. Pension Plans Non-U.S. Pension Plans Other Benefit Plans Three Months Ended September 30, 2019 2018 2019 2018 2019 2018 (Dollars in thousands) Service cost $ 3 $ 3 $ 445 $ 436 $ 1 $ 1 Interest cost 2,963 2,788 682 653 175 183 Expected return on plan assets ( 3,153 ) ( 3,995 ) ( 204 ) ( 222 ) — — Amortization of prior service cost — — 9 10 — — Net periodic benefit (credit) cost $ ( 187 ) $ ( 1,204 ) $ 932 $ 877 $ 176 $ 184 Net periodic benefit (credit) cost for the nine months ended September 30, 2019 and 2018, respectively, follow: U.S. Pension Plans Non-U.S. Pension Plans Other Benefit Plans Nine Months Ended September 30, 2019 2018 2019 2018 2019 2018 (Dollars in thousands) Service cost $ 8 $ 9 $ 1,337 $ 1,344 $ 2 $ 2 Interest cost 8,889 8,363 2,091 2,009 526 549 Expected return on plan assets ( 9,458 ) ( 11,984 ) ( 626 ) ( 681 ) — — Amortization of prior service cost — — 39 32 — — Net periodic benefit (credit) cost $ ( 561 ) $ ( 3,612 ) $ 2,841 $ 2,704 $ 528 $ 551 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Stock-Based Compensation [Abstract] | |
Details Of Weighted-Average Grant-Date Fair Values And Assumptions Used For Estimating Fair Values | Stock Options Weighted-average grant-date fair value $ 6.47 Expected life, in years 5.6 Risk-free interest rate 2.5 % Expected volatility 33.9 % |
Restructuring And Optimizatio_2
Restructuring And Optimization Programs (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring And Optimization Programs [Abstract] | |
Summary Of Accruals Related To Restructuring And Optimization Programs | Employee Other Severance Costs Total (Dollars in thousands) Balances at December 31, 2018 $ 1,151 $ 1,288 $ 2,439 Restructuring charges 6,782 2,811 9,593 Cash payments ( 6,998 ) ( 1,772 ) ( 8,770 ) Non-cash items ( 40 ) ( 1,453 ) ( 1,493 ) Balances at September 30, 2019 $ 895 $ 874 $ 1,769 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Components Of Lease Cost | Three Months Ended Nine Months Ended September 30, September 30, 2019 2019 Income Statement Location (Dollars in thousands) Lease Cost Operating lease cost (1) $ 1,628 $ 5,069 Selling, general and administrative expenses Operating lease cost (2) 2,497 7,718 Cost of sales Finance lease cost Amortization of right-of-use assets 233 716 Cost of sales Interest of lease liabilities 12 38 Interest expense Net lease cost $ 4,370 $ 13,541 (1) Included in operating lease cost is $ 0.2 million and $ 0.8 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.1 million and $ 0.3 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. (2) Included in operating lease cost is $ 0.8 million and $ 2.3 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.2 million and $ 0.9 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. |
Supplemental Balance Sheet Information Related To Leases | September 30, 2019 Balance Sheet Location (Dollars in thousands) Assets Operating leased assets $ 23,206 Operating leased assets Finance leased assets (3) 1,943 Property, plant and equipment, net Total leased assets $ 25,149 Liabilities Current Operating $ 8,264 Accrued expenses and other current liabilities Finance 692 Loans payable and current portion of long-term debt Noncurrent Operating 14,905 Operating lease non-current liabilities Finance 2,972 Long-term debt, less current portion Total lease liabilities $ 26,833 (3) Finance leases are net of accumulated depreciation of $ 6.1 million for September 30, 2019. |
Supplemental Cash Flow Information Related To Leases | Three Months Ended Nine Months Ended September 30, September 30, 2019 2019 (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from finance leases $ 12 $ 38 Operating cash flows from operating leases 2,779 8,541 Financing cash flows from finance leases 202 615 Leased assets obtained in exchange for new finance lease liabilities 127 345 Leased assets obtained in exchange for new operating lease liabilities 805 31,128 |
Weighted-Average Remaining Lease Term And Discount Rate | September 30, 2019 Weighted-average remaining lease term (years) Operating leases 3.8 Finance leases 4.8 Weighted-average discount rate Operating leases 3.9 % Finance leases 4.3 % |
Maturities Of Lease Liabilities | Finance Operating Leases Leases (Dollars in thousands) Remaining in 2019 $ 275 $ 2,704 2020 860 8,098 2021 593 6,123 2022 1,363 3,684 2023 368 2,163 2024 298 945 Thereafter 697 1,586 Net minimum lease payments $ 4,454 $ 25,303 Less: interest 790 2,134 Present value of lease liabilities $ 3,664 $ 23,169 |
Maturities Of Lease Liabilities Under ASC 840 | Capital Operating Leases Leases (Dollars in thousands) 2019 $ 1,048 $ 11,419 2020 755 7,314 2021 477 5,302 2022 1,287 3,301 2023 279 1,971 Thereafter 992 2,401 Net minimum lease payments $ 4,838 $ 31,708 Less: interest 875 Present value of lease liabilities $ 3,963 Less: current portion 679 Long-term obligations $ 3,284 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Calculations Of Basic And Diluted Earnings Per Share | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands, except per share amounts) Basic earnings per share computation: Net income attributable to Ferro Corporation common shareholders $ 12,820 $ 16,058 $ 37,295 $ 69,117 Weighted-average common shares outstanding 81,942 83,893 82,118 84,154 Basic earnings per share attributable to Ferro Corporation common shareholders $ 0.16 $ 0.19 $ 0.45 $ 0.82 Diluted earnings per share computation: Net income attributable to Ferro Corporation common shareholders $ 12,820 $ 16,058 $ 37,295 $ 69,117 Weighted-average common shares outstanding 81,942 83,893 82,118 84,154 Assumed exercise of stock options 319 788 470 811 Assumed satisfaction of restricted stock unit conditions 143 289 232 281 Assumed satisfaction of performance share unit conditions 91 192 136 182 Weighted-average diluted shares outstanding 82,495 85,162 82,956 85,428 Diluted earnings per share attributable to Ferro Corporation common shareholders $ 0.16 $ 0.19 $ 0.45 $ 0.81 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Accumulated Other Comprehensive Loss [Abstract] | |
Changes In Accumulated Other Comprehensive Income (Loss) By Component, Net Of Tax | Three Months Ended September 30, Postretirement Foreign Net Gain Benefit Liability Currency on Cash Adjustments Items Flow Hedges Total (Dollars in thousands) Balances at June 30, 2018 $ 1,182 $ ( 101,927 ) $ 923 $ ( 99,822 ) Other comprehensive (loss) income before reclassifications, before tax — ( 5,086 ) 6,644 1,558 Reclassification to earnings: Cash flow hedge loss, before tax — — ( 3,548 ) ( 3,548 ) Current period other comprehensive income (loss), before tax — ( 5,086 ) 3,096 ( 1,990 ) Tax effect — 94 ( 514 ) ( 420 ) Current period other comprehensive income (loss), net of tax — ( 5,180 ) 3,610 ( 1,570 ) Balances at September 30, 2018 $ 1,182 $ ( 107,107 ) $ 4,533 $ ( 101,392 ) Balances at June 30, 2019 $ 1,126 $ ( 95,799 ) $ ( 14,960 ) $ ( 109,633 ) Other comprehensive income (loss) before reclassifications, before tax — ( 9,547 ) 8,422 ( 1,125 ) Reclassification to earnings: Cash flow hedge loss, before tax — — ( 10,553 ) ( 10,553 ) Current period other comprehensive loss, before tax — ( 9,547 ) ( 2,131 ) ( 11,678 ) Tax effect — 1,175 ( 487 ) 688 Current period other comprehensive loss, net of tax — ( 10,722 ) ( 1,644 ) ( 12,366 ) Balances at September 30, 2019 $ 1,126 $ ( 106,521 ) $ ( 16,604 ) $ ( 121,999 ) Nine Months Ended September 30, Postretirement Foreign Net Gain Benefit Liability Currency on Cash Adjustments Items Flow Hedges Total (Dollars in thousands) Balances at December 31, 2017 $ 1,165 $ ( 77,578 ) $ 945 $ ( 75,468 ) Other comprehensive (loss) income before reclassifications, before tax — ( 29,107 ) 18,473 ( 10,634 ) Reclassification to earnings: Postretirement benefit liabilities income, before tax 22 — — 22 Cash flow hedge loss, before tax — — ( 15,235 ) ( 15,235 ) Current period other comprehensive income (loss), before tax 22 ( 29,107 ) 3,238 ( 25,847 ) Tax effect 5 422 ( 350 ) 77 Current period other comprehensive income (loss), net of tax 17 ( 29,529 ) 3,588 ( 25,924 ) Balances at September 30, 2018 $ 1,182 $ ( 107,107 ) $ 4,533 $ ( 101,392 ) Balances at December 31, 2018 $ 1,126 $ ( 103,190 ) $ ( 3,297 ) $ ( 105,361 ) Other comprehensive loss before reclassifications, before tax — ( 2,033 ) ( 2,126 ) ( 4,159 ) Reclassification to earnings: Cash flow hedge loss, before tax — — ( 15,705 ) ( 15,705 ) Current period other comprehensive loss, before tax — ( 2,033 ) ( 17,831 ) ( 19,864 ) Tax effect — 1,298 ( 4,524 ) ( 3,226 ) Current period other comprehensive loss, net of tax — ( 3,331 ) ( 13,307 ) ( 16,638 ) Balances at September 30, 2019 $ 1,126 $ ( 106,521 ) $ ( 16,604 ) $ ( 121,999 ) |
Reporting For Segments (Tables)
Reporting For Segments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Reporting For Segments [Abstract] | |
Net Sales To External Customers By Segment | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands) Performance Coatings $ 162,391 $ 175,939 $ 510,970 $ 554,036 Performance Colors and Glass 112,742 123,277 351,991 369,809 Color Solutions 90,595 95,947 284,217 293,089 Total net sales $ 365,728 $ 395,163 $ 1,147,178 $ 1,216,934 |
Segment's Gross Profit And Reconciliations To Income Before Income Taxes | Three Months Ended Nine Months Ended September 30, September 30, 2019 2018 2019 2018 (Dollars in thousands) Performance Coatings $ 35,436 $ 36,257 $ 108,903 $ 130,319 Performance Colors and Glass 36,829 40,095 115,672 128,785 Color Solutions 29,122 30,174 87,220 93,864 Other cost of sales ( 1,096 ) ( 1,039 ) ( 1,390 ) ( 2,150 ) Total gross profit 100,291 105,487 310,405 350,818 Selling, general and administrative expenses 67,723 64,344 211,448 207,560 Restructuring and impairment charges 6,226 2,561 18,613 10,435 Other expense, net 9,403 11,071 28,979 33,975 Income before income taxes $ 16,939 $ 27,511 $ 51,365 $ 98,848 |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements (Narrative) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 |
Right-of-use assets | $ 23,206 | |
Lease liabilities | $ 23,169 | |
Accounting Standards Update 2016-02 [Member] | ||
Right-of-use assets | $ 28,600 | |
Lease liabilities | $ 28,600 |
Revenue (Summary Of Revenues Di
Revenue (Summary Of Revenues Disaggregated By Geography And Reportable Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Total net sales | $ 365,728 | $ 395,163 | $ 1,147,178 | $ 1,216,934 |
EMEA [Member] | ||||
Total net sales | 188,237 | 199,319 | 604,441 | 646,296 |
United States [Member] | ||||
Total net sales | 85,417 | 98,956 | 275,073 | 281,984 |
Asia Pacific [Member] | ||||
Total net sales | 55,718 | 56,614 | 156,510 | 166,738 |
Latin America [Member] | ||||
Total net sales | 36,356 | 40,274 | 111,154 | 121,916 |
Performance Coatings [Member] | ||||
Total net sales | 162,391 | 175,939 | 510,970 | 554,036 |
Performance Coatings [Member] | EMEA [Member] | ||||
Total net sales | 104,217 | 110,261 | 336,631 | 355,510 |
Performance Coatings [Member] | United States [Member] | ||||
Total net sales | 8,964 | 12,170 | 30,448 | 36,704 |
Performance Coatings [Member] | Asia Pacific [Member] | ||||
Total net sales | 26,184 | 27,914 | 74,974 | 82,990 |
Performance Coatings [Member] | Latin America [Member] | ||||
Total net sales | 23,026 | 25,594 | 68,917 | 78,832 |
Performance Colors And Glass [Member] | ||||
Total net sales | 112,742 | 123,277 | 351,991 | 369,809 |
Performance Colors And Glass [Member] | EMEA [Member] | ||||
Total net sales | 50,670 | 55,782 | 161,850 | 180,801 |
Performance Colors And Glass [Member] | United States [Member] | ||||
Total net sales | 37,694 | 43,087 | 119,126 | 118,682 |
Performance Colors And Glass [Member] | Asia Pacific [Member] | ||||
Total net sales | 19,123 | 18,564 | 53,288 | 53,142 |
Performance Colors And Glass [Member] | Latin America [Member] | ||||
Total net sales | 5,255 | 5,844 | 17,727 | 17,184 |
Color Solutions [Member] | ||||
Total net sales | 90,595 | 95,947 | 284,217 | 293,089 |
Color Solutions [Member] | EMEA [Member] | ||||
Total net sales | 33,350 | 33,276 | 105,960 | 109,985 |
Color Solutions [Member] | United States [Member] | ||||
Total net sales | 38,759 | 43,699 | 125,499 | 126,598 |
Color Solutions [Member] | Asia Pacific [Member] | ||||
Total net sales | 10,411 | 10,136 | 28,248 | 30,606 |
Color Solutions [Member] | Latin America [Member] | ||||
Total net sales | $ 8,075 | $ 8,836 | $ 24,510 | $ 25,900 |
Aquisitions (Narrative) (Detail
Aquisitions (Narrative) (Details) $ in Thousands, € in Millions, $ in Millions | Oct. 01, 2018EUR (€) | Oct. 01, 2018USD ($) | Sep. 25, 2018TWD ($) | Sep. 25, 2018USD ($) | Aug. 31, 2018EUR (€) | Aug. 31, 2018USD ($) | Jul. 12, 2018USD ($) | Jun. 29, 2018USD ($) | Mar. 01, 2018USD ($) | Aug. 03, 2017USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Oct. 01, 2018USD ($) |
Business Acquisition [Line Items] | |||||||||||||||
Goodwill | $ 203,595 | $ 203,595 | $ 216,464 | ||||||||||||
Goodwill impairment charge | $ 9,020 | ||||||||||||||
Quimicer, S.A. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business acquisition, percentage of voting interests acquired | 100.00% | 100.00% | |||||||||||||
Business acquisition | € 32.2 | $ 37,400 | |||||||||||||
Assumption of debt | € 5.2 | $ 6,100 | |||||||||||||
Goodwill | 3,000 | ||||||||||||||
Personal and real property | 21,500 | ||||||||||||||
Deferred tax liability | 3,000 | ||||||||||||||
Goodwill impairment charge | $ 3,000 | ||||||||||||||
Net working capital | $ 15,900 | ||||||||||||||
UWiZ Technology Co., Ltd. (“UWiZ”) [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business acquisition, percentage of voting interests acquired | 100.00% | ||||||||||||||
Cash payments to acquire businesses | $ 823.4 | $ 26,900 | |||||||||||||
Amortizable intangible assets | 6,600 | ||||||||||||||
Goodwill | 7,100 | ||||||||||||||
Personal and real property | 2,400 | ||||||||||||||
Deferred tax liability | 1,700 | ||||||||||||||
Net working capital | $ 12,500 | ||||||||||||||
Ernst Diegel GmbH (“Diegel”) [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business acquisition, percentage of voting interests acquired | 100.00% | ||||||||||||||
Cash payments to acquire businesses | € 12.1 | $ 14,000 | |||||||||||||
Amortizable intangible assets | 2,000 | ||||||||||||||
Goodwill | 1,700 | ||||||||||||||
Personal and real property | 7,000 | ||||||||||||||
Deferred tax liability | 1,500 | ||||||||||||||
Net working capital | $ 4,800 | ||||||||||||||
MRA Laboratories, Inc. (“MRA”) [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business acquisition, percentage of voting interests acquired | 100.00% | ||||||||||||||
Cash payments to acquire businesses | $ 16,000 | ||||||||||||||
Amortizable intangible assets | 6,700 | ||||||||||||||
Goodwill | 7,200 | ||||||||||||||
Personal and real property | 300 | ||||||||||||||
Deferred tax liability | 1,600 | ||||||||||||||
Net working capital | $ 3,400 | ||||||||||||||
PT Ferro Materials Utama (“FMU”) [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business acquisition, percentage of voting interests acquired | 66.00% | ||||||||||||||
Ownership, percentage | 100.00% | ||||||||||||||
Gain on change of control | $ 2,600 | ||||||||||||||
Cash payments to acquire businesses | $ 2,700 | ||||||||||||||
Forgiveness of debt | $ 9,200 | ||||||||||||||
Gardenia Quimica S.A. (“Gardenia”) [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Equity method investment, ownership percentage | 46.00% | 83.50% | 83.50% | ||||||||||||
Business acquisition | $ 1,400 | $ 3,000 |
Inventories (Narrative) (Detail
Inventories (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Inventories [Abstract] | |||||
Terms of precious metals consignment agreements, maximum | 1 year | ||||
Fees under precious metals consignment agreements | $ 0.5 | $ 0.5 | $ 2.2 | $ 1.3 | |
Fair value of precious metals on hand under consignment agreements | $ 65.9 | $ 65.9 | $ 55.2 |
Inventories (Inventories) (Deta
Inventories (Inventories) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||
Raw materials | $ 117,080 | $ 116,219 |
Work in process | 58,143 | 55,884 |
Finished goods | 183,078 | 184,895 |
Total inventories | $ 358,301 | $ 356,998 |
Property, Plant And Equipment (
Property, Plant And Equipment (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Property, Plant And Equipment [Abstract] | |||
Total accumulated depreciation | $ 537.9 | $ 523.4 | |
Unpaid capital expenditure liabilities | $ 4 | $ 7.7 |
Goodwill And Other Intangible_3
Goodwill And Other Intangible Assets (Narrative) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Goodwill And Other Intangible Asset [Line Items] | |
Goodwill impairment charge | $ 9,020 |
Performance Coatings [Member] | |
Goodwill And Other Intangible Asset [Line Items] | |
Goodwill impairment charge | $ 9,020 |
Goodwill And Other Intangible_4
Goodwill And Other Intangible Assets (Details And Activity Of Goodwill By Segment) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Goodwill, net, beginning balance | $ 216,464 |
Impairments | (9,020) |
Foreign currency adjustments | (3,849) |
Goodwill, net, ending balance | 203,595 |
Performance Coatings [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Goodwill, net, beginning balance | 44,352 |
Impairments | (9,020) |
Foreign currency adjustments | (1,926) |
Goodwill, net, ending balance | 33,406 |
Color Solutions [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Goodwill, net, beginning balance | 50,545 |
Impairments | |
Foreign currency adjustments | (809) |
Goodwill, net, ending balance | 49,736 |
Performance Colors And Glass [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Goodwill, net, beginning balance | 121,567 |
Impairments | |
Foreign currency adjustments | (1,114) |
Goodwill, net, ending balance | $ 120,453 |
Goodwill And Other Intangible_5
Goodwill And Other Intangible Assets (Summary Of Impairment Of Goodwill) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Goodwill And Other Intangible Assets [Abstract] | ||
Goodwill, gross | $ 271,082 | $ 274,931 |
Accumulated impairment | (67,487) | (58,467) |
Goodwill, net | $ 203,595 | $ 216,464 |
Goodwill And Other Intangible_6
Goodwill And Other Intangible Assets (Details Of Amortizable Intangible Assets) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Amortization Of Intangible Assets [Line Items] | ||
Total gross amortizable intangible assets | $ 239,340 | $ 242,687 |
Total accumulated amortization | (85,738) | (74,553) |
Amortizable intangible assets, net | 153,602 | 168,134 |
Patents [Member] | ||
Amortization Of Intangible Assets [Line Items] | ||
Total gross amortizable intangible assets | 5,371 | 5,462 |
Total accumulated amortization | (5,351) | (5,440) |
Land Rights [Member] | ||
Amortization Of Intangible Assets [Line Items] | ||
Total gross amortizable intangible assets | 4,663 | 4,773 |
Total accumulated amortization | (2,932) | (2,909) |
Technology/Know-how And Other [Member] | ||
Amortization Of Intangible Assets [Line Items] | ||
Total gross amortizable intangible assets | 132,038 | 132,084 |
Total accumulated amortization | (56,419) | (48,898) |
Customer Relationships [Member] | ||
Amortization Of Intangible Assets [Line Items] | ||
Total gross amortizable intangible assets | 97,268 | 100,368 |
Total accumulated amortization | $ (21,036) | $ (17,306) |
Goodwill And Other Intangible_7
Goodwill And Other Intangible Assets (Schedule Of Indefinite-Lived Intangible Assets) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2019 | Dec. 31, 2018 | |
Trade Names and Trademarks [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 16,345 | $ 16,819 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) | 9 Months Ended | ||||||
Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019EUR (€) | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Feb. 14, 2017EUR (€) | Feb. 14, 2017USD ($) | |
Debt Instrument [Line Items] | |||||||
Accrued expense and other current liabilities | $ 14,300,000 | $ 11,600,000 | |||||
Additional commitments under the revolving line of credit or term loans | $ 250,000,000 | ||||||
Loss on extinguishment of debt | $ 3,226,000 | ||||||
Long-term debt | 837,657,000 | 821,347,000 | |||||
International Receivable Sales Programs [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount issued | € | € 100,000,000 | ||||||
Maturity date | Dec. 31, 2023 | ||||||
Pecentage of cash receivable of sold receivable | 65.00% | ||||||
Outstanding principal amount | 61,400,000 | 71,300,000 | |||||
Other receivables | 22,500,000 | 23,000,000 | |||||
Other Financing Arrangements [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt facility amount | 33,900,000 | 41,400,000 | |||||
Additional availability under program | 20,100,000 | $ 30,300,000 | |||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term debt | $ 22,471,000 | ||||||
Revolving Credit Facility [Member] | Federal Funds Effective Swap Rate [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Applicable margin percentage | 2.50% | 2.50% | |||||
Revolving Credit Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.00% | ||||||
Applicable margin percentage | 1.50% | 1.50% | |||||
Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Applicable margin percentage | 1.50% | 1.50% | |||||
Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Applicable margin percentage | 0.50% | 0.50% | |||||
Amended Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 4.27% | 4.27% | |||||
Borrowings under revolving line of credit | $ 22,500,000 | ||||||
Additional availability under program | $ 472,900,000 | ||||||
Secured Debt [Member] | Secured Term Loan Facility $375.5 Million [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Term of debt instrument/credit facility | 7 years | ||||||
Debt amount issued | $ 357,500,000 | ||||||
Secured Debt [Member] | Secured Euro Term Loan Facility €250 Million [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Term of debt instrument/credit facility | 7 years | ||||||
Debt amount issued | € | € 250,000,000 | ||||||
Secured Debt [Member] | Tranche B-1 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 4.35% | 4.35% | |||||
Long-term debt | $ 349,700,000 | ||||||
Secured Debt [Member] | Tranche B-2 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 4.35% | 4.35% | |||||
Long-term debt | $ 231,500,000 | ||||||
Secured Debt [Member] | Tranche B-3 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 4.35% | 4.35% | |||||
Long-term debt | $ 226,600,000 | ||||||
Secured Debt [Member] | Tranche B-1, Tranche B-2, and Tranche B-3 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Additional borrowings available under the term loan facility | $ 0 | ||||||
Secured Debt [Member] | Federal Funds Effective Swap Rate [Member] | Secured Term Loan Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.50% | ||||||
Secured Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | Secured Term Loan Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||
Applicable margin percentage | 2.25% | 2.25% | |||||
Secured Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | Secured Term Loan Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt instrument, basis spread on variable rate | 0.00% | ||||||
Secured Debt [Member] | Base Rate [Member] | Secured Term Loan Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Applicable margin percentage | 1.25% | 1.25% | |||||
Secured Debt [Member] | Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Issuance date | Feb. 14, 2017 | ||||||
Debt facility amount | $ 400,000,000 | ||||||
Term of debt instrument/credit facility | 5 years | ||||||
Secured Debt [Member] | Amended Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Issuance date | Apr. 25, 2018 | ||||||
Debt facility amount | $ 500,000,000 | ||||||
Maturity date | Feb. 14, 2023 | ||||||
Equal quarterly installments in an amount equal to percentage of the original principal amount of the term loans | 0.25% | ||||||
Secured Debt [Member] | Amended Credit Facility [Member] | Secured Term Loan Facility $355 Million [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount issued | 355,000,000 | ||||||
Maturity date | Feb. 14, 2024 | ||||||
Secured Debt [Member] | Amended Credit Facility [Member] | Secured Term Loan Facility $235 Million [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount issued | 235,000,000 | ||||||
Maturity date | Feb. 14, 2024 | ||||||
Secured Debt [Member] | Amended Credit Facility [Member] | Secured Term Loan Facility $230 Million [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount issued | $ 230,000,000 | ||||||
Maturity date | Feb. 14, 2024 | ||||||
Secured Debt [Member] | Amended Credit Facility [Member] | Interest Rate Swaps [Member] | Tranche B-1 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 5.12% | 5.12% | |||||
Secured Debt [Member] | Amended Credit Facility [Member] | Interest Rate Swaps [Member] | Tranche B-2 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 3.03% | 3.03% | |||||
Secured Debt [Member] | Amended Credit Facility [Member] | Interest Rate Swaps [Member] | Tranche B-3 Loans [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt stated interest rate | 2.48% | 2.48% | |||||
U.S. Subsidiaries [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stock pledged as collateral, percentage | 100.00% | ||||||
Foreign Subsidiaries [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stock pledged as collateral, percentage | 65.00% |
Debt (Loans Payable And Current
Debt (Loans Payable And Current Portion Of Long-Term Debt) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Short-term Debt [Line Items] | ||
Loans payable and current portion of long-term debt | $ 18,136 | $ 10,260 |
Loans Payable [Member] | ||
Short-term Debt [Line Items] | ||
Loans payable and current portion of long-term debt | 8,270 | 50 |
Current Portion Of Long-Term Debt [Member] | ||
Short-term Debt [Line Items] | ||
Loans payable and current portion of long-term debt | $ 9,866 | $ 10,210 |
Debt (Summary Of Long Term Debt
Debt (Summary Of Long Term Debt) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | |||
Total long-term debt | $ 837,657 | $ 821,347 | |
Current portion of long-term debt | (9,866) | (10,210) | |
Long-term debt, less current portion | 827,791 | 811,137 | |
Term Loan Facility, Net Of Unamortized Issuance Costs, Maturing 2024 [Member] | |||
Debt Instrument [Line Items] | |||
Total long-term debt | [1] | 803,579 | 809,022 |
Unamortized debt issuance costs | 4,100 | 4,800 | |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Total long-term debt | 22,471 | ||
Capital Lease Obligations [Member] | |||
Debt Instrument [Line Items] | |||
Total long-term debt | 3,664 | 3,963 | |
Other Notes [Member] | |||
Debt Instrument [Line Items] | |||
Total long-term debt | $ 7,943 | $ 8,362 | |
[1] | The carrying value of the term loan facility, maturing 2024, is net of unamortized debt issuance costs of $ 4.1 million at September 30, 2019, and $ 4.8 million at December 31, 2018. |
Debt (Schedule Of Trade Account
Debt (Schedule Of Trade Accounts Receivable In International Receivable Sales Programs) (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Debt [Abstract] | |
Trade accounts receivable sold to financial institutions | $ 58,861 |
Cash proceeds from financial institutions | $ 39,364 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019EUR (€) | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Jun. 30, 2017EUR (€) | Jun. 30, 2017USD ($) | |
Gain (loss) from the change in fair value of financial instruments | $ (1,600,000) | $ 1,300,000 | $ (1,600,000) | $ 2,700,000 | |||||
Notional amount | $ 606,100,000 | $ 387,200,000 | |||||||
Interest Rate Swaps [Member] | Cash Flow Hedging [Member] | |||||||||
Notional amount | 315,200,000 | ||||||||
Maturity date | Feb. 14, 2024 | ||||||||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | 3,600,000 | ||||||||
Cross Currency Swaps [Member] | Cash Flow Hedging [Member] | |||||||||
Notional amount | 226,600,000 | ||||||||
Maturity date | Feb. 14, 2024 | ||||||||
Foreign Currency Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months | $ 4,300,000 | ||||||||
Cross Currency Swaps [Member] | Net Investment Hedging [Member] | |||||||||
Notional amount | € | € 96,500,000 | ||||||||
Maturity date | Feb. 14, 2024 | ||||||||
Secured Debt [Member] | Interest Rate Swaps [Member] | Cash Flow Hedging [Member] | |||||||||
Debt amount issued | € 90,000,000 | $ 150,000,000 |
Financial Instruments (Financia
Financial Instruments (Financial Instruments Assets (Liabilities) Measured At Fair Value) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | $ 51,741 | $ 104,301 | |
Loans payable | (8,270) | (50) | |
Other long-term notes payable | (5,441) | (5,258) | |
Foreign currency forward contracts, net | (265) | (270) | |
Cross Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative asset | 28,662 | 17,104 | |
Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liability | (17,577) | (5,244) | |
Revolving Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | (22,757) | ||
Term Loan Facility - Amended Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | [1] | (801,424) | (796,796) |
Term Loan Facility, Net Of Unamortized Issuance Costs, Maturing 2024 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Unamortized debt issuance costs | 4,100 | 4,800 | |
Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 51,741 | 104,301 | |
Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans payable | (8,270) | (50) | |
Other long-term notes payable | (5,441) | (5,258) | |
Foreign currency forward contracts, net | (265) | (270) | |
Level 2 [Member] | Cross Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative asset | 28,662 | 17,104 | |
Level 2 [Member] | Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liability | (17,577) | (5,244) | |
Level 2 [Member] | Revolving Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | (22,757) | ||
Level 2 [Member] | Term Loan Facility - Amended Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | [1] | (801,424) | (796,796) |
Carrying Amount [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 51,741 | 104,301 | |
Loans payable | (8,270) | (50) | |
Other long-term notes payable | (7,943) | (8,362) | |
Foreign currency forward contracts, net | (265) | (270) | |
Carrying Amount [Member] | Cross Currency Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative asset | 28,662 | 17,104 | |
Carrying Amount [Member] | Interest Rate Swaps [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative liability | (17,577) | (5,244) | |
Carrying Amount [Member] | Revolving Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | (22,471) | ||
Carrying Amount [Member] | Term Loan Facility - Amended Credit Facility [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Line of credit facility | [1] | $ (803,579) | $ (809,022) |
[1] | The carrying value of the term loan facility is net of unamortized debt issuance costs of $ 4.1 million and $ 4.8 million for the period ended September 30, 2019, and December 31, 2018, respectively. |
Financial Instruments (Schedule
Financial Instruments (Schedule Of Cash Flow Hedges Amount Of Loss Recognized In AOCL And The Amount Of Loss Reclassified Into Earnings) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Interest Expense [Member] | Cash Flow Hedging [Member] | ||||
Amount of Gain Reclassified from AOCL into Income | $ 1,056 | $ 1,141 | $ 4,430 | $ 2,018 |
Interest Expense [Member] | Interest Rate Swaps [Member] | Cash Flow Hedging [Member] | ||||
Amount of Gain Recognized in AOCL | (2,328) | 2,135 | (13,248) | 1,761 |
Amount of Gain Reclassified from AOCL into Income | (363) | (186) | (149) | (197) |
Interest Expense [Member] | Cross Currency Swaps [Member] | ||||
Amount of Gain Recognized in AOCL | 5,977 | 1,272 | 8,454 | 4,046 |
Interest Expense [Member] | Cross Currency Swaps [Member] | Cash Flow Hedging [Member] | ||||
Amount of Gain Recognized in AOCL | 10,750 | 3,237 | 11,122 | 12,666 |
Amount of Gain Reclassified from AOCL into Income | 1,419 | 1,327 | 4,579 | 2,215 |
Foreign Currency Losses, Net [Member] | Cash Flow Hedging [Member] | ||||
Amount of Gain Reclassified from AOCL into Income | 9,497 | 1,549 | 11,275 | 11,864 |
Foreign Currency Losses, Net [Member] | Cross Currency Swaps [Member] | Cash Flow Hedging [Member] | ||||
Amount of Gain Reclassified from AOCL into Income | $ 9,497 | $ 1,549 | $ 11,275 | $ 11,864 |
Financial Instruments (Schedu_2
Financial Instruments (Schedule Of Expenses In Condensed Consolidated Statement Of Operations Effect Of Cash Flow Hedges) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Financial Instruments [Abstract] | ||||
Interest expense | $ 8,138 | $ 8,553 | $ 25,198 | $ 24,715 |
Foreign currency losses, net | $ 3,497 | $ 2,554 | $ 5,615 | $ 7,054 |
Financial Instruments (Summary
Financial Instruments (Summary Of Gain Recognized In AOCL, Amount Reclassified Into Earnings And Amount Of Gain Recognized In Income On Derivative (Amount Excluded From Effectiveness Testing)) (Details) - Cross Currency Swaps [Member] - Interest Expense [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Derivative Instruments Gain Loss [Line Items] | ||||
Amount of Gain Recognized in AOCL | $ 5,977 | $ 1,272 | $ 8,454 | $ 4,046 |
Amount of Gain Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | $ 897 | $ 858 | $ 2,847 | $ 1,353 |
Financial Instruments (Effect O
Financial Instruments (Effect On Derivative Instruments On Consolidated Statements Of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Foreign Currency Forward Contracts [Member] | Foreign Currency Losses, Net [Member] | Not Designated As Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of (Loss) Gain Recognized in Earnings | $ (1,642) | $ 1,339 | $ (1,615) | $ 2,728 |
Financial Instruments (Fair Val
Financial Instruments (Fair Value Of Derivative Instruments On Consolidated Balance Sheets) (Details) - Not Designated As Hedging Instrument [Member] - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Other Non-current Assets [Member] | Cross Currency Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | $ 21,364 | $ 7,498 |
Other Current Assets [Member] | Cross Currency Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 7,298 | 9,606 |
Other Current Assets [Member] | Foreign Currency Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset derivatives | 2,025 | 626 |
Accrued Expenses And Other Current Liabilities [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives | (3,556) | (755) |
Accrued Expenses And Other Current Liabilities [Member] | Foreign Currency Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives | (2,290) | (896) |
Other Non-current Liabilities [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Liability derivatives | $ (14,021) | $ (4,489) |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Taxes [Abstract] | ||||
Income tax expense | $ 3,729 | $ 11,368 | $ 13,168 | $ 29,246 |
Percentage of pre-tax income | 25.60% | 29.60% | ||
U.S. federal statutory income tax rate | 21.00% | 21.00% |
Contingent Liabilities (Details
Contingent Liabilities (Details) $ in Millions | Sep. 30, 2019USD ($) | Dec. 31, 2018USD ($)item |
Contingent Liabilities [Abstract] | ||
Undiscounted remediation liability associated with environmentally contaminated acquired subsidiaries | $ | $ 6 | $ 8.5 |
Number of additional complaints filed | item | 25 |
Retirement Benefits (Net Period
Retirement Benefits (Net Periodic Benefit (Credit) Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
United States [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 3 | $ 3 | $ 8 | $ 9 |
Interest cost | 2,963 | 2,788 | 8,889 | 8,363 |
Expected return on plan assets | (3,153) | (3,995) | (9,458) | (11,984) |
Net periodic benefit (credit) cost | (187) | (1,204) | (561) | (3,612) |
Non-U.S. Pension Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 445 | 436 | 1,337 | 1,344 |
Interest cost | 682 | 653 | 2,091 | 2,009 |
Expected return on plan assets | (204) | (222) | (626) | (681) |
Amortization of prior service cost | 9 | 10 | 39 | 32 |
Net periodic benefit (credit) cost | 932 | 877 | 2,841 | 2,704 |
Other Benefit Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 1 | 1 | 2 | 2 |
Interest cost | 175 | 183 | 526 | 549 |
Net periodic benefit (credit) cost | $ 176 | $ 184 | $ 528 | $ 551 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | May 03, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock reserved under plan | 4,500,000 | ||||
Recognized stock-based compensation expense | $ 0.3 | $ 1.4 | $ 5.9 | $ 5.2 | |
Unearned compensation cost related to the unvested portion of all stock-based awards | $ 8.8 | $ 8.8 | |||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of share based compensation units granted | 300,000 | ||||
Weighted average grant date fair value | $ 6.47 | ||||
Performance Share Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of share based compensation units granted | 200,000 | ||||
Weighted average grant date fair value | $ 17.61 | ||||
Restricted Stock Units [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of share based compensation units granted | 200,000 | ||||
Restricted stock unit vesting period | 3 years | ||||
Weighted-average grant date fair value | $ 17.18 | $ 17.18 |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details Of Weighted-Average Grant-Date Fair Values And Assumptions Used For Estimating Fair Values) (Details) - Stock Options [Member] | 9 Months Ended |
Sep. 30, 2019$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Weighted-average grant-date fair value | $ 6.47 |
Expected life, in years | 5 years 7 months 6 days |
Risk-free interest rate | 2.50% |
Expected volatility | 33.90% |
Restructuring And Optimizatio_3
Restructuring And Optimization Programs (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restructuring And Optimization Programs [Abstract] | ||||
Total expects incur charges related to restructuring and optimization program | $ 7,000 | $ 7,000 | ||
Charges associated with these programs | 2,000 | 5,500 | ||
Restructuring and impairment charges | $ 6,226 | $ 2,561 | $ 18,613 | $ 10,435 |
Period expected for cash payments for employee benefits and other costs | over the next twelve months |
Restructuring And Optimizatio_4
Restructuring And Optimization Programs (Summary Of Accruals Related To Restructuring And Optimization Programs) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | $ 2,439 |
Restructuring charges | 9,593 |
Cash payments | (8,770) |
Non-cash items | (1,493) |
Ending balance | 1,769 |
Employee Severance [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | 1,151 |
Restructuring charges | 6,782 |
Cash payments | (6,998) |
Non-cash items | (40) |
Ending balance | 895 |
Other Costs [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | 1,288 |
Restructuring charges | 2,811 |
Cash payments | (1,772) |
Non-cash items | (1,453) |
Ending balance | $ 874 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Leases [Abstract] | |
Operating lease, not yet commenced | There are no leases that have not yet commenced that create significant rights and obligations for the Company. |
Finance leases, net of accumulated depreciation | $ 6.1 |
Leases (Components Of Lease Cos
Leases (Components Of Lease Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | ||
Lease Cost | |||
Net lease cost | $ 4,370 | $ 13,541 | |
Selling, General And Administrative Expenses [Member] | |||
Lease Cost | |||
Operating lease cost | [1] | 1,628 | 5,069 |
Short-term lease cost | 200 | 800 | |
Variable lease cost | 100 | 300 | |
Cost Of Sales [Member] | |||
Lease Cost | |||
Operating lease cost | [2] | 2,497 | 7,718 |
Finance lease cost, Amortization of right-of-use assets | 233 | 716 | |
Short-term lease cost | 800 | 2,300 | |
Variable lease cost | 200 | 900 | |
Interest Expense [Member] | |||
Lease Cost | |||
Finance lease cost, Interest of lease liabilities | $ 12 | $ 38 | |
[1] | Included in operating lease cost is $ 0.2 million and $ 0.8 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.1 million and $ 0.3 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. | ||
[2] | Included in operating lease cost is $ 0.8 million and $ 2.3 million of short-term lease costs for the three and nine months ended September 30, 2019, respectively, and $ 0.2 million and $ 0.9 million of variable lease costs for the three and nine months ended September 30, 2019, respectively. |
Leases (Supplemental Balance Sh
Leases (Supplemental Balance Sheet Information Related To Leases) (Details) $ in Thousands | Sep. 30, 2019USD ($) | |
Leases [Abstract] | ||
Operating leased assets | $ 23,206 | |
Finance leased assets | 1,943 | [1] |
Total leased assets | 25,149 | |
Current, Operating lease liabilities | 8,264 | |
Current, Finance lease liabilities | 692 | |
Noncurrent, Operating lease liabilities | 14,905 | |
Noncurrent, Finance lease liabilities | 2,972 | |
Total lease liabilities | $ 26,833 | |
[1] | Finance leases are net of accumulated depreciation of $ 6.1 million for September 30, 2019. |
Leases (Supplemental Cash Flow
Leases (Supplemental Cash Flow Information Related To Leases) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flows from finance leases | $ 12 | $ 38 |
Operating cash flows from operating leases | 2,779 | 8,541 |
Financing cash flows from finance leases | 202 | 615 |
Leased assets obtained in exchange for new finance lease liabilities | 127 | 345 |
Leased assets obtained in exchange for new operating lease liabilities | $ 805 | $ 31,128 |
Leases (Weighted-Average Remain
Leases (Weighted-Average Remaining Lease Term And Discount Rate) (Details) | Sep. 30, 2019 |
Weighted-average remaining lease term (years) | |
Operating leases | 3 years 9 months 18 days |
Finance leases | 4 years 9 months 18 days |
Weighted-average discount rate | |
Operating leases | 3.90% |
Finance leases | 4.30% |
Leases (Maturities Of Lease Lia
Leases (Maturities Of Lease Liabilities) (Details) $ in Thousands | Sep. 30, 2019USD ($) |
Leases [Abstract] | |
Finance Leases, Remaining in 2019 | $ 275 |
Finance Leases, 2020 | 860 |
Finance Leases, 2021 | 593 |
Finance Leases, 2022 | 1,363 |
Finance Leases, 2023 | 368 |
Finance Leases, 2024 | 298 |
Finance Leases, Thereafter | 697 |
Finance Leases, Net minimum lease payments | 4,454 |
Finance Leases, Less: interest | 790 |
Finance Leases, Present value of lease liabilities | 3,664 |
Operating Leases, Remaining in 2019 | 2,704 |
Operating Leases, 2020 | 8,098 |
Operating Leases, 2021 | 6,123 |
Operating Leases, 2022 | 3,684 |
Operating Leases, 2023 | 2,163 |
Operating Leases, 2024 | 945 |
Operating Leases, Thereafter | 1,586 |
Operating Leases, Net minimum lease payments | 25,303 |
Operating Leases, Less: interest | 2,134 |
Operating Leases, Present value of lease liabilities | $ 23,169 |
Leases (Maturities Of Lease L_2
Leases (Maturities Of Lease Liabilities Under ASC 840) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
Capital Leases, 2019 | $ 1,048 |
Capital Leases, 2020 | 755 |
Capital Leases, 2021 | 477 |
Capital Leases, 2022 | 1,287 |
Capital Leases, 2023 | 279 |
Capital Leases, Thereafter | 992 |
Capital Leases, Net minimum lease payments | 4,838 |
Capital Leases, Less: interest | 875 |
Capital Leases, Present value of lease liabilities | 3,963 |
Capital Leases, Less: current portion | 679 |
Capital Leases, Long-term obligations | 3,284 |
Operating Leases, 2019 | 11,419 |
Operating Leases, 2020 | 7,314 |
Operating Leases, 2021 | 5,302 |
Operating Leases, 2022 | 3,301 |
Operating Leases, 2023 | 1,971 |
Operating Leases, Thereafter | 2,401 |
Operating Leases, Net minimum lease payments | $ 31,708 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Details) - shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Number of anti-dilutive shares | 2.5 | 1.7 | 2.2 | 1.7 |
Earnings Per Share (Calculation
Earnings Per Share (Calculations Of Basic And Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Basic earnings per share computation: | ||||
Net income attributable to Ferro Corporation common shareholders | $ 12,820 | $ 16,058 | $ 37,295 | $ 69,117 |
Weighted-average common shares outstanding | 81,942 | 83,893 | 82,118 | 84,154 |
Basic earnings per share attributable to Ferro Corporation common shareholders | $ 0.16 | $ 0.19 | $ 0.45 | $ 0.82 |
Diluted earnings per share computation: | ||||
Net income attributable to Ferro Corporation common shareholders | $ 12,820 | $ 16,058 | $ 37,295 | $ 69,117 |
Weighted-average common shares outstanding | 81,942 | 83,893 | 82,118 | 84,154 |
Assumed exercise of stock options | 319 | 788 | 470 | 811 |
Assumed satisfaction of restricted stock unit conditions | 143 | 289 | 232 | 281 |
Assumed satisfaction of performance share unit conditions | 91 | 192 | 136 | 182 |
Weighted-average diluted shares outstanding | 82,495 | 85,162 | 82,956 | 85,428 |
Diluted earnings per share attributable to Ferro Corporation common shareholders | $ 0.16 | $ 0.19 | $ 0.45 | $ 0.81 |
Share Repurchase Program (Detai
Share Repurchase Program (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2019 | Sep. 30, 2018 | Jun. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share Repurchase Program [Abstract] | |||||
Share Repurchase Program, authorized amount | $ 150,000 | ||||
Share Repurchase Program, shares | 1,440,678 | 807,816 | |||
Share Repurchase Program, average cost per share | $ 17.35 | $ 21.04 | |||
Share Repurchase Program, total cost | $ 25,000 | $ 10,985 | $ 6,014 | $ 25,000 | $ 17,000 |
Share Repurchase Program, amount remain authorized under the program | $ 46,200 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Changes In Accumulated Other Comprehensive Income (Loss) By Component, Net Of Tax) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balances | $ 376,631 | |||
Ending Balances | $ 377,586 | 377,586 | ||
Accumulated Other Comprehensive Loss [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balances | (109,633) | $ (99,822) | (105,361) | $ (75,468) |
Other comprehensive income (loss) before reclassifications, before tax | (1,125) | 1,558 | (4,159) | (10,634) |
Postretirement benefit liabilities income, before tax | 22 | |||
Cash flow hedge loss, before tax | (10,553) | (3,548) | (15,705) | (15,235) |
Current period other comprehensive income (loss), before tax | (11,678) | (1,990) | (19,864) | (25,847) |
Tax effect | 688 | (420) | (3,226) | 77 |
Current period other comprehensive income (loss), net of tax | (12,366) | (1,570) | (16,638) | (25,924) |
Ending Balances | (121,999) | (101,392) | (121,999) | (101,392) |
Postretirement Benefit Liability Adjustments [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balances | 1,126 | 1,182 | 1,126 | 1,165 |
Other comprehensive income (loss) before reclassifications, before tax | ||||
Postretirement benefit liabilities income, before tax | 22 | |||
Cash flow hedge loss, before tax | ||||
Current period other comprehensive income (loss), before tax | 22 | |||
Tax effect | 5 | |||
Current period other comprehensive income (loss), net of tax | 17 | |||
Ending Balances | 1,126 | 1,182 | 1,126 | 1,182 |
Foreign Currency Items [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balances | (95,799) | (101,927) | (103,190) | (77,578) |
Other comprehensive income (loss) before reclassifications, before tax | (9,547) | (5,086) | (2,033) | (29,107) |
Postretirement benefit liabilities income, before tax | ||||
Cash flow hedge loss, before tax | ||||
Current period other comprehensive income (loss), before tax | (9,547) | (5,086) | (2,033) | (29,107) |
Tax effect | 1,175 | 94 | 1,298 | 422 |
Current period other comprehensive income (loss), net of tax | (10,722) | (5,180) | (3,331) | (29,529) |
Ending Balances | (106,521) | (107,107) | (106,521) | (107,107) |
Net Gain On Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Loss [Line Items] | ||||
Beginning Balances | (14,960) | 923 | (3,297) | 945 |
Other comprehensive income (loss) before reclassifications, before tax | 8,422 | 6,644 | (2,126) | 18,473 |
Postretirement benefit liabilities income, before tax | ||||
Cash flow hedge loss, before tax | (10,553) | (3,548) | (15,705) | (15,235) |
Current period other comprehensive income (loss), before tax | (2,131) | 3,096 | (17,831) | 3,238 |
Tax effect | (487) | (514) | (4,524) | (350) |
Current period other comprehensive income (loss), net of tax | (1,644) | 3,610 | (13,307) | 3,588 |
Ending Balances | $ (16,604) | $ 4,533 | $ (16,604) | $ 4,533 |
Reporting For Segments (Net Sal
Reporting For Segments (Net Sales To External Customers By Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Net sales | $ 365,728 | $ 395,163 | $ 1,147,178 | $ 1,216,934 |
Performance Coatings [Member] | ||||
Net sales | 162,391 | 175,939 | 510,970 | 554,036 |
Performance Colors And Glass [Member] | ||||
Net sales | 112,742 | 123,277 | 351,991 | 369,809 |
Color Solutions [Member] | ||||
Net sales | $ 90,595 | $ 95,947 | $ 284,217 | $ 293,089 |
Reporting For Segments (Segment
Reporting For Segments (Segment's Gross Profit And Reconciliations To Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Other cost of sales | $ (1,096) | $ (1,039) | $ (1,390) | $ (2,150) |
Total gross profit | 100,291 | 105,487 | 310,405 | 350,818 |
Selling, general and administrative expenses | 67,723 | 64,344 | 211,448 | 207,560 |
Restructuring and impairment charges | 6,226 | 2,561 | 18,613 | 10,435 |
Other expense, net | 9,403 | 11,071 | 28,979 | 33,975 |
Income before income taxes | 16,939 | 27,511 | 51,365 | 98,848 |
Performance Coatings [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Total gross profit | 35,436 | 36,257 | 108,903 | 130,319 |
Performance Colors And Glass [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Total gross profit | 36,829 | 40,095 | 115,672 | 128,785 |
Color Solutions [Member] | ||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||
Total gross profit | $ 29,122 | $ 30,174 | $ 87,220 | $ 93,864 |