Cover Page
Cover Page - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Jun. 30, 2023 | |
Cover [Abstract] | ||
Document Type | 10-K | |
Document Annual Report | true | |
Document Period End Date | Dec. 31, 2023 | |
Current Fiscal Year End Date | --12-31 | |
Document Transition Report | false | |
Entity File Number | 1-2376 | |
Entity Registrant Name | FMC CORPORATION | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 94-0479804 | |
Entity Address, Address Line One | 2929 Walnut Street | |
Entity Address, City or Town | Philadelphia | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 19104 | |
City Area Code | 215 | |
Local Phone Number | 299-6000 | |
Title of 12(b) Security | Common Stock, par value $0.10 per share | |
Trading Symbol | FMC | |
Security Exchange Name | NYSE | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
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 | |
ICFR Auditor Attestation Flag | true | |
Entity Shell Company | false | |
Entity Public Float | $ 12,949,980,232 | |
Entity Common Stock, Shares Outstanding | 124,760,760 | |
Documents Incorporated by Reference | DOCUMENT FORM 10-K REFERENCE Portions of Proxy Statement for 2024 Annual Meeting of Stockholders Part III | |
Entity Central Index Key | 0000037785 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | FY | |
Amendment Flag | false | |
Document Financial Statement Error Correction [Flag] | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor name | KPMG LLP |
Auditor location | Philadelphia, PA |
Auditor firm ID | 185 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (LOSS) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Revenue | $ 4,486.8 | $ 5,802.3 | $ 5,045.2 |
Costs and Expenses | |||
Costs of sales and services | 2,655.8 | 3,475.5 | 2,883.9 |
Gross Margin | 1,831 | 2,326.8 | 2,161.3 |
Selling, general and administrative expenses | 734.3 | 775.2 | 714.1 |
Research and development expenses | 328.8 | 314.2 | 304.7 |
Restructuring and other charges (income) | 212.3 | 93.1 | 108 |
Total costs and expenses | 3,931.2 | 4,658 | 4,010.7 |
Income from continuing operations, non-operating pension and postretirement charges (income), interest expense, net and income taxes | 555.6 | 1,144.3 | 1,034.5 |
Non-operating pension and postretirement charges (income) | 18.2 | 8.6 | 5.6 |
Interest expense | 237.2 | 151.8 | 131.1 |
Income (loss) from continuing operations before income taxes | 300.2 | 983.9 | 897.8 |
Provision (benefit) for income taxes | (1,119.3) | 145.2 | 92.5 |
Income (loss) from continuing operations | 1,419.5 | 838.7 | 805.3 |
Restructuring and other charges (income) | (98.5) | (97.2) | (68.2) |
Net income (loss) | 1,321 | 741.5 | 737.1 |
Less: Net income (loss) attributable to noncontrolling interests | (0.5) | 5 | (2.5) |
Net income (loss) attributable to FMC stockholders | 1,321.5 | 736.5 | 739.6 |
Amounts attributable to FMC stockholders: | |||
Continuing operations, net of income taxes | 1,420 | 833.7 | 807.8 |
Discontinued operations, net of income taxes | (98.5) | (97.2) | (68.2) |
Net income (loss) attributable to FMC stockholders | $ 1,321.5 | $ 736.5 | $ 739.6 |
Basic earnings (loss) per common share attributable to FMC stockholders: | |||
Continuing operations (in dollars per share) | $ 11.34 | $ 6.60 | $ 6.29 |
Discontinued operations (in dollars per share) | (0.79) | (0.77) | (0.53) |
Net income (loss) attributable to FMC stockholders (in dollars per share) | 10.55 | 5.83 | 5.76 |
Diluted earnings (loss) per common share attributable to FMC stockholders: | |||
Continuing operations (in dollars per share) | 11.31 | 6.58 | 6.26 |
Discontinued operations (in dollars per share) | (0.78) | (0.77) | (0.53) |
Net income (loss) attributable to FMC stockholders (in dollars per share) | $ 10.53 | $ 5.81 | $ 5.73 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 1,321 | $ 741.5 | $ 737.1 | |
Foreign currency adjustments: | ||||
Foreign currency translation gain (loss) arising during the period | 29.7 | (103.1) | (87) | |
Reclassification of foreign currency translations losses | 0 | 4.2 | 0 | |
Foreign currency translation adjustments | [1] | 29.7 | (98.9) | (87) |
Derivative instruments: | ||||
Unrealized hedging gains (losses) and other, net of tax expense (benefit) of $(29.1) in 2023, $(17.2) in 2022 and $5.4 in 2021 | (72.4) | (65.4) | 44.1 | |
Reclassification of deferred hedging (gains) losses and other, included in net income (loss), net of tax (expense) benefit of $31.7 in 2023, $19.1 in 2022 and $1.7 in 2021 (3) | [2] | 73.9 | 35.9 | 5.5 |
Total derivative instrument impact on comprehensive income, net of tax | 1.5 | (29.5) | 49.6 | |
Pension and other postretirement benefits: | ||||
Unrealized actuarial gains (losses) and prior service (costs) credits, net of tax expense (benefit) of $2.9 in 2023, $(4.3) in 2022 and $(4.5) in 2021 | [3] | 11.4 | (15.7) | (17.4) |
Reclassification of net actuarial and other (gain) loss, amortization of prior service costs and settlement charges, included in net income, net of tax (expense) benefit of $2.9 in 2023, $2.4 in 2022 and $2.5 in 2021 | [2] | 11 | 9.1 | 9.5 |
Total pension and other postretirement benefits, net of tax expense (benefit) of $5.8 in 2023, $(1.9) in 2022 and $(2.0) in 2021 | 22.4 | (6.6) | (7.9) | |
Other comprehensive income (loss), net of tax | 53.6 | (135) | (45.3) | |
Comprehensive income (loss) | 1,374.6 | 606.5 | 691.8 | |
Less: Comprehensive income (loss) attributable to the noncontrolling interest | 0 | 4.1 | (3) | |
Comprehensive income (loss) attributable to FMC stockholders | $ 1,374.6 | $ 602.4 | $ 694.8 | |
[1] Income taxes are not provided for foreign currency translation because the related investments are essentially permanent in duration. For more detail on the components of these reclassifications and the affected line item in the consolidated statements of income (loss), see Note 16 to the consolidated financial statements included within this Form 10-K for further details. At December 31 of each year, we remeasure our pension and postretirement plan obligations at which time we record any actuarial gains (losses) and prior service (costs) credits to other comprehensive income. See Note 14 to the consolidated financial statements included within this Form 10-K for further details. |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Statement of Comprehensive Income [Abstract] | ||||
Unrealized hedging gains (losses) and other, tax | $ (29.1) | $ (17.2) | $ 5.4 | |
Reclassification of deferred hedging (gains) losses and other, included in net income, tax | [1] | 31.7 | 19.1 | 1.7 |
Total derivative instruments, tax | 2.6 | 1.9 | 7.1 | |
Unrealized actuarial gains (losses) and prior service (costs) credits, tax | 2.9 | (4.3) | (4.5) | |
Reclassification of net actuarial and other (gain) loss, amortization of prior service costs and settlement charges, included in net income, tax | [1] | 2.9 | 2.4 | 2.5 |
Total pension and other postretirement benefits, tax | $ 5.8 | $ (1.9) | $ (2) | |
[1] For more detail on the components of these reclassifications and the affected line item in the consolidated statements of income (loss), see Note 16 to the consolidated financial statements included within this Form 10-K for further details. |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 302.4 | $ 572 |
Trade receivables, net of allowance of $29.1 in 2023 and $33.9 in 2022 | 2,703.2 | 2,871.4 |
Inventories | 1,724.6 | 1,651.6 |
Prepaid and other current assets | 398.9 | 343.6 |
Total current assets | 5,129.1 | 5,438.6 |
Investments | 19.8 | 14.5 |
Property, plant and equipment, net | 892.5 | 849.6 |
Goodwill | 1,593.6 | 1,589.3 |
Other intangibles, net | 2,465.1 | 2,508.1 |
Other assets including long-term receivables, net | 489.5 | 560.5 |
Deferred income taxes | 1,336.6 | 210.7 |
Total assets | 11,926.2 | 11,171.3 |
Current liabilities | ||
Short-term debt and current portion of long-term debt | 934 | 540.8 |
Accounts payable, trade and other | 602.4 | 1,252.2 |
Advance payments from customers | 482.1 | 680.5 |
Accrued and other liabilities | 684.8 | 601.8 |
Accrued customer rebates | 480.9 | 465.3 |
Guarantees of vendor financing | 69.6 | 142 |
Accrued pension and other postretirement benefits, current | 6.4 | 2.3 |
Income taxes | 124.4 | 114.7 |
Total current liabilities | 3,384.6 | 3,799.6 |
Long-term debt, less current portion | 3,023.6 | 2,733.2 |
Accrued pension and other postretirement benefits, long-term | 24.4 | 31.6 |
Environmental liabilities, continuing and discontinued | 494.7 | 439.1 |
Deferred income taxes | 158.1 | 321.5 |
Other long-term liabilities | 407.4 | 445.4 |
Commitments and contingent liabilities (Note 20) | ||
Equity | ||
Preferred stock, no par value, authorized 5,000,000 shares; no shares issued in 2023 or 2022 | 0 | 0 |
Common stock, $0.10 par value, authorized 260,000,000 shares in 2023 and 2022; 185,983,792 shares issued in 2023 and 2022 | 18.6 | 18.6 |
Capital in excess of par value of common stock | 935.6 | 909.2 |
Retained earnings | 6,587.1 | 5,555.9 |
Accumulated other comprehensive income (loss) | (406.5) | (459.6) |
Treasury stock, common, at cost - 2023: 61,223,032 shares, 2022: 60,872,988 shares | (2,723.9) | (2,646.2) |
Total FMC stockholders’ equity | 4,410.9 | 3,377.9 |
Noncontrolling interests | 22.5 | 23 |
Total equity | 4,433.4 | 3,400.9 |
Total liabilities and equity | $ 11,926.2 | $ 11,171.3 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for trade receivable | $ 29.1 | $ 33.9 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 260,000,000 | 260,000,000 |
Common stock, shares issued (in shares) | 185,983,792 | 185,983,792 |
Treasury stock, shares, beginning (in shares) | 61,223,032 | 60,872,988 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Cash provided (required) by operating activities of continuing operations: | ||||
Net income (loss) | $ 1,321 | $ 741.5 | $ 737.1 | |
Discontinued operations, net of income taxes | 98.5 | 97.2 | 68.2 | |
Income (loss) from continuing operations | 1,419.5 | 838.7 | 805.3 | |
Adjustments from income (loss) from continuing operations to cash provided (required) by operating activities of continuing operations: | ||||
Depreciation and amortization | 184.3 | 169.4 | 170.9 | |
Restructuring and other charges (income) | 212.3 | 93.1 | 108 | |
Deferred income taxes | (1,292.8) | (52.7) | 10.6 | |
Pension and other postretirement benefits | 20.9 | 12.5 | 10.5 | |
Share-based compensation | 25.9 | 24.2 | 17.8 | |
Changes in operating assets and liabilities, net of effect of acquisitions and divestitures: | ||||
Trade receivables, net | 192.4 | (443.9) | (241.1) | |
Guarantees of vendor financing | (72.4) | (64.2) | 65.6 | |
Advance payments from customers | (199.1) | 52.1 | 283.6 | |
Accrued customer rebates | 16 | 69.6 | 108.7 | |
Inventories | (72.8) | (182.3) | (320.7) | |
Accounts payable, trade and other | (626) | 165.3 | 144.4 | |
Income taxes | (62.8) | 19.1 | (90.3) | |
Pension and other postretirement benefit contributions | (2.4) | (4.5) | (5.3) | |
Environmental spending, continuing, net of recoveries | (34.5) | (26.9) | (63.6) | |
Restructuring and other spending | [1] | (30.3) | (35.2) | (34.7) |
Transaction and integration costs | 0 | (0.5) | (9.5) | |
Change in other operating assets and liabilities, net | [2] | 21.5 | 26.2 | (61.6) |
Cash provided (required) by operating activities of continuing operations | (300.3) | 660 | 898.6 | |
Cash provided (required) by operating activities of discontinued operations: | ||||
Environmental spending, discontinued, net of recoveries | (54.5) | (47) | (57.5) | |
Other discontinued spending | (31.6) | (30.6) | (21) | |
Cash provided (required) by operating activities of discontinued operations | (86.1) | (77.6) | (78.5) | |
Cash provided (required) by investing activities of continuing operations: | ||||
Capital expenditures | (133.9) | (142.3) | (100.1) | |
Investment in Enterprise Resource Planning system | 0 | 0 | (12.7) | |
Acquisitions, including cost and equity method, net | [3] | (16.5) | (198.2) | (5.2) |
Proceeds from land disposition | 5.8 | 50.5 | 0 | |
Other investing activities | [4] | (9.8) | 23.6 | (13.7) |
Cash provided (required) by investing activities of continuing operations | (154.4) | (266.4) | (131.7) | |
Cash provided (required) by investing activities of discontinued operations: | ||||
Proceeds from disposal of property, plant and equipment | 0 | 0 | 19.7 | |
Cash provided (required) by investing activities of discontinued operations | 0 | 0 | 19.7 | |
Cash provided (required) by financing activities of continuing operations: | ||||
Increase (decrease) in short-term debt | 400.7 | 115.2 | 104.9 | |
Proceeds from borrowing of long-term debt | 1,498.6 | 0 | 1,000 | |
Financing fees and interest rate swap settlements | (0.8) | 16.3 | (2.4) | |
Repayments of long-term debt | (1,200) | (1.4) | (1,203.1) | |
Distributions to minority partners | (0.6) | (0.5) | 0 | |
Dividends paid | [5] | (290.5) | (267.5) | (247.2) |
Issuances of common stock, net | 5.3 | 9.4 | 7.9 | |
Repurchases of common stock under publicly announced program | (75) | (100) | (400) | |
Other repurchases of common stock | (6.2) | (8.9) | (8) | |
Cash provided (required) by financing activities of continuing operations | 331.5 | (237.4) | (747.9) | |
Effect of exchange rate changes on cash and cash equivalents | (60.3) | (23.4) | (12.3) | |
Increase (decrease) in cash and cash equivalents | (269.6) | 55.2 | (52.1) | |
Cash and cash equivalents, beginning of period | 572 | 516.8 | 568.9 | |
Cash and cash equivalents, end of period | $ 302.4 | $ 572 | $ 516.8 | |
[1] In addition to cash payments shown in our roll forward of restructuring reserves in Note 8 to our consolidated financial statements included within this Form 10-K, the restructuring and other spending amount above for the years ended December 31, 2023 and 2022 includes spending of $9.7 million and $10.0 million, respectively, related to the Furadan ® asset retirement obligations and $1.1 million and $3.2 million, respectively, for certain historical India indirect tax matters. For additional detail on restructuring and other charges activities, see Note 8 to our consolidated financial statements included within this Form 10-K. The acquisitions, including cost and equity method, net amount in 2023 includes an $11.9 million payment related to the in-process research and development assets acquired. For additional detail on this transaction, see Note 8 to our consolidated financial statements included within this Form 10-K. The 2022 activity includes the purchase price of Biophero of approximately $193 million. For additional detail on this transaction, see Note 4 to our consolidated financial statements included within this Form 10-K. Included in the above is cash spending associated with contract manufacturers was $2.9 million, $6.8 million and $18.8 million for the years ended December 31, 2023, 2022 and 2021, respectively. See Note 16 to the consolidated financial statements included within this Form 10-K regarding our quarterly cash dividend. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Asset retirement obligation | $ 6.4 | $ 16 | |
Restructuring charges (income) | 48.4 | (26.1) | $ 41.1 |
Proceeds from land disposition | 5.8 | 50.5 | 0 |
Other cash payments to contract manufacturers | 2.9 | 6.8 | 18.8 |
Cash paid for interest, net of capitalized interest | 229.6 | 144 | 125.8 |
Income taxes paid, net of refunds | 180.1 | 122 | 139.2 |
Noncash additions to property, plant and equipment | 18.6 | 40.4 | $ 45.5 |
Fair Value, Measurements, Recurring | |||
Other | 47.1 | 41.8 | |
Significant Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | |||
Other | 23.3 | 19.3 | |
Furadan Product Exit [Member] | |||
Asset retirement obligation | 9.7 | 10 | |
BioPhero | |||
IPR&D asset acquisition charges | 11.9 | ||
India | |||
Tax payments, net of refunds | $ 1.1 | $ 3.2 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Common Stock, $0.10 Par Value | Capital In Excess of Par | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Non-controlling Interest | |
Beginning balance at Dec. 31, 2020 | $ 3,084.2 | $ 18.6 | $ 860.2 | $ 4,604.9 | $ (280.7) | $ (2,141.2) | $ 22.4 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 737.1 | 739.6 | (2.5) | |||||
Stock compensation plans | 25.7 | 20.2 | 5.5 | |||||
Shares for benefit plan trust | 1.6 | 1.6 | ||||||
Net pension and other benefit actuarial gains (losses) and prior service cost, net of income tax | (7.9) | (7.9) | ||||||
Net hedging gains (losses) and other, net of income tax | 49.6 | 49.6 | ||||||
Foreign currency translation adjustments | (87) | [1] | (86.5) | (0.5) | ||||
Dividends | (251.6) | (251.6) | ||||||
Repurchases of common stock | (408) | (408) | ||||||
Ending balance at Dec. 31, 2021 | 3,143.7 | 18.6 | 880.4 | 5,092.9 | (325.5) | (2,542.1) | 19.4 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 741.5 | 736.5 | 5 | |||||
Stock compensation plans | 33.5 | 28.8 | 4.7 | |||||
Shares for benefit plan trust | 0.1 | 0.1 | ||||||
Net pension and other benefit actuarial gains (losses) and prior service cost, net of income tax | (6.6) | (6.6) | ||||||
Net hedging gains (losses) and other, net of income tax | (29.5) | (29.5) | ||||||
Foreign currency translation adjustments | (98.9) | [1] | (98) | (0.9) | ||||
Dividends | (273.5) | (273.5) | ||||||
Repurchases of common stock | (108.9) | (108.9) | ||||||
Distributions to noncontrolling interests | (0.5) | (0.5) | ||||||
Ending balance at Dec. 31, 2022 | 3,400.9 | 18.6 | 909.2 | 5,555.9 | (459.6) | (2,646.2) | 23 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income (loss) | 1,321 | 1,321.5 | (0.5) | |||||
Stock compensation plans | 31.6 | 26.4 | 5.2 | |||||
Shares for benefit plan trust | (1.7) | (1.7) | ||||||
Net pension and other benefit actuarial gains (losses) and prior service cost, net of income tax | 22.4 | 22.4 | ||||||
Net hedging gains (losses) and other, net of income tax | 1.5 | 1.5 | ||||||
Foreign currency translation adjustments | 29.7 | [1] | 29.2 | 0.5 | ||||
Dividends | (290.3) | (290.3) | ||||||
Repurchases of common stock | (81.2) | (81.2) | ||||||
Distributions to noncontrolling interests | (0.5) | (0.5) | ||||||
Ending balance at Dec. 31, 2023 | $ 4,433.4 | $ 18.6 | $ 935.6 | $ 6,587.1 | $ (406.5) | $ (2,723.9) | $ 22.5 | |
[1] Income taxes are not provided for foreign currency translation because the related investments are essentially permanent in duration. |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 | $ 0.10 |
Dividends (in dollar per share) | $ 2.32 | $ 2.17 | $ 1.96 |
Principal Accounting Policies a
Principal Accounting Policies and Related Financial Information | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principal Accounting Policies and Related Financial Information | Principal Accounting Policies and Related Financial Information Nature of operations . We are a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. We operate in a single distinct business segment and develop, market and sell all three major classes of crop protection chemicals: insecticides, herbicides and fungicides, as well as biologicals, crop nutrition, and seed treatment products, which we group as plant health, and digital and precision agriculture. These products are used in agriculture to enhance crop yield and quality by controlling a broad spectrum of insects, weeds and disease, as well as in non-agricultural markets for pest control. Basis of consolidation and basis of presentation . The accompanying consolidated financial statements of FMC Corporation and its subsidiaries were prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). Our consolidated financial statements include the accounts of FMC and all entities that we directly or indirectly control. All significant intercompany accounts and transactions are eliminated in consolidation. Estimates and assumptions . In preparing the financial statements in conformity with U.S. GAAP we are required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results are likely to differ from those estimates, but we do not believe such differences will materially affect our financial position, results of operations or cash flows. Cash equivalents . We consider investments in all liquid debt instruments with original maturities of 3 months or less to be cash equivalents. Trade receivables, net of allowance . Trade receivables consist of amounts owed to us from customer sales and are recorded when revenue is recognized. The allowance for trade receivables represents our best estimate of the probable losses associated with potential customer defaults. In developing our allowance for trade receivables, we use a two-stage process which includes calculating a general formula to develop an allowance to appropriately address the uncertainty surrounding collection risk of our entire portfolio and specific allowances for customers where the risk of collection has been reasonably identified either due to liquidity constraints or disputes over contractual terms and conditions. Our methodology considers current economic conditions as well as forward-looking expectations about expected credit loss. Our method of calculating the general formula consists of estimating the recoverability of trade receivables based on historical experience, current collection trends, and external business factors such as economic factors, including regional bankruptcy rates, and political factors. Our analysis of trade receivable collection risk is performed quarterly, and the allowance is adjusted accordingly. We also hold long-term receivables that represent long-term customer receivable balances related to past-due accounts which are not expected to be collected within the current year. Our policy for the review of the allowance for these receivables is consistent with the discussion in the preceding paragraph above on trade receivables. Therefore, on an ongoing basis, we continue to evaluate the credit quality of our long-term receivables utilizing aging of receivables, collection experience and write-offs, as well as existing economic conditions, to determine if an additional allowance is necessary. The allowance for trade receivables was $29.1 million and $33.9 million as of December 31, 2023 and 2022, respectively. The allowance for long-term receivables was $27.1 million and $44.5 million at December 31, 2023 and 2022, respectively. The provision to the allowance for receivables charged against operations was $6.3 million, $(0.5) million and $21.1 million for the years ended December 31, 2023, 2022 and 2021, respectively. See Note 9 to the consolidated financial statements included within this Form 10-K for more information. Investments . Investments in companies in which our ownership interest is 50 percent or less and in which we exercise significant influence over operating and financial policies are accounted for using the equity method. Under the equity method, original investments are recorded at cost and adjusted by our share of undistributed earnings and losses of these investments. Majority owned investments in which our control is restricted are also accounted for using the equity method. As of December 31, 2023 and 2022, we do not own any equity method investments. All other investments are carried at their fair values or at cost, as appropriate and are not material to our consolidated financial statements. FMC Ventures, which was established in 2020, is our venture capital arm targeting strategic investments in start-ups and early-stage companies that are developing and applying emerging technologies in the agricultural industry. The accounting guidance requires these nonmarketable equity securities to be recorded at cost and adjusted to fair value each reporting period. However, the guidance allows for a measurement alternative, which is to record the investment at cost, less impairment, if any, and subsequently adjust for observable price changes. Each reporting period, we review the portfolio for any observable price changes or potential indicators of impairment. At December 31, 2023, our investments made through FMC Ventures individually and in the aggregate are not significant to our financial results. Inventories . Inventories are stated at the lower of cost or net realizable value. Inventory costs include those costs directly attributable to products before sale, including all manufacturing overhead but excluding distribution costs. All inventories are determined on a first-in, first-out ("FIFO") basis. Property, plant and equipment . We record property, plant and equipment, including capitalized interest, at cost. We recognize acquired property, plant and equipment, from acquisitions at its estimated fair value. Depreciation is provided principally on the straight-line basis over the estimated useful lives of the assets (land improvements — 20 years, buildings and building equipment — 15 to 40 years, and machinery and equipment — 3 to 18 years). Gains and losses are reflected in income upon sale or retirement of assets. Expenditures that extend the useful lives of property, plant and equipment or increase productivity are capitalized. Ordinary repairs and maintenance are expensed as incurred through operating expense. Capitalized interest . We capitalized interest costs of $9.3 million, $5.6 million, and $3.4 million in 2023, 2022, and 2021, respectively. These costs were primarily associated with the construction of certain long-lived assets and have been capitalized as part of the cost of those assets. We amortize capitalized interest over the assets’ estimated useful lives. Impairments of long-lived assets . We review the recovery of the net book value of long-lived assets whenever events and circumstances indicate that the net book value of an asset may not be recoverable from the estimated undiscounted future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the net book value, we recognize an impairment loss equal to an amount by which the net book value exceeds the fair value of the asset. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less cost to sell. Asset retirement obligations . We record asset retirement obligations ("AROs") at fair value at the time the liability is incurred if we can reasonably estimate the settlement date. The associated AROs are capitalized as part of the carrying amount of related long-lived assets. In future periods, the liability is accreted to its present value and the capitalized cost is depreciated over the useful life of the related asset. We also adjust the liability for changes resulting from the passage of time and/or revisions to the timing or the amount of the original estimate. Upon retirement of the long-lived asset, we either settle the obligation for its recorded amount or incur a gain or loss. We have obligations at the majority of our manufacturing facilities in the event of permanent plant shutdown. For certain AROs not already accrued, we have calculated the fair value of these AROs and concluded that the present value of these obligations was inconsequential at December 31, 2023 and 2022. The carrying amounts for the AROs for the years ended December 31, 2023 and 2022 are $6.4 million and $16.0 million, respectively. These amounts are included in "Accrued and other liabilities" and "Other long-term liabilities" on the consolidated balance sheet. Restructuring and other charges . We continually perform strategic reviews and assess the return on our business. This sometimes results in a plan to restructure the operations of our business. We record an accrual for severance and other exit costs under the provisions of the relevant accounting guidance. See Note 8 to the consolidated financial statements included within this Form 10-K for more information on Project Focus, the global restructuring program announced in December 2023. Additionally, as part of these restructuring plans, write-downs of long-lived assets may occur. Two types of assets are impacted: assets to be disposed of by sale and assets to be abandoned. Assets to be disposed of by sale are measured at the lower of carrying amount or estimated net proceeds from the sale. Assets to be abandoned with no remaining future service potential are written down to amounts expected to be recovered. The useful life of assets to be abandoned that have a remaining future service potential are adjusted and depreciation is recorded over the adjusted useful life. Capitalized software. We capitalize the costs of internal use software in accordance with accounting literature which generally requires the capitalization of certain costs incurred to develop or obtain internal use software. We assess the recoverability of capitalized software costs on an ongoing basis and record write-downs to fair value as necessary. We amortize capitalized software costs over expected useful lives ranging from 3 to 10 years. See Note 22 to the consolidated financial statements included within this Form 10-K for the net unamortized computer software balances. Goodwill and intangible assets . Goodwill and other indefinite life intangible assets are not subject to amortization. Instead, they are subject to at least an annual assessment for impairment by applying a fair value-based test. We test goodwill and indefinite life intangibles for impairment annually using the criteria prescribed by U.S. GAAP accounting guidance for goodwill and other intangible assets. Based upon our annual impairment assessments conducted in 2023, 2022 and 2021, we did not record any goodwill or intangible asset impairments. Finite-lived intangible assets consist of primarily customer relationships as well as patents, brands, registration rights, industry licenses, and other intangibles and are generally being amortized over periods of approximately 3 to 20 years. See Note 5 to the consolidated financial statements included within this Form 10-K for additional information on goodwill and intangible assets. Revenue recognition . We recognize revenue when (or as) we satisfy our performance obligation which is when the customer obtains control of the good or service. Rebates due to customers are accrued as a reduction of revenue in the same period that the related sales are recorded based on the contract terms. Refer to Note 3 to the consolidated financial statements included within this Form 10-K for further details. We record amounts billed for shipping and handling fees as revenue. Costs incurred for shipping and handling are recorded as costs of sales and services. Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue-producing transactions are presented on a net basis and excluded from sales in the consolidated income statements. We record a liability until remitted to the respective taxing authority. We periodically enter into prepayment arrangements with customers and receive advance payments for product to be delivered in future periods. These advance payments are recorded as deferred revenue and classified as "Advance payments from customers" on the consolidated balance sheet. Revenue associated with advance payments is recognized as shipments are made and transfer of control to the customer takes place. Research and development . Research and development costs are expensed as incurred. In-process research and development acquired as part of asset acquisitions, which include license and development agreements, are expensed as incurred and included as a component of "Restructuring and other charges (income)" on the consolidated statements of income (loss). Income and other taxes . We provide current income taxes on income reported for financial statement purposes adjusted for transactions that do not enter into the computation of income taxes payable. We recognize deferred tax liabilities and assets for the expected future tax consequences of temporary differences between the carrying amounts and the tax basis of assets and liabilities. We have not provided income taxes for other outside basis differences inherent in our investments in subsidiaries because the investments and related unremitted earnings are essentially permanent in duration or we have concluded that no additional tax liability will arise upon disposal or remittance. Foreign currency . We translate the assets and liabilities of our foreign operations at exchange rates in effect at the balance sheet date. For foreign operations where the functional currency is not the U.S. dollar we record translation gains and losses as a component of accumulated other comprehensive income (loss) in equity. The foreign operations' income statements are translated at the monthly exchange rates for the period. We record remeasurement gains and losses on monetary assets and liabilities, such as accounts receivables and payables, which are not in the functional currency of the operation. These remeasurement gains and losses are recorded in income as they occur. We generally enter into foreign currency contracts to mitigate the financial risk associated with these transactions. See "Derivative financial instruments" within this Note and Note 19 to the consolidated financial statements included within this Form 10-K. Derivative financial instruments . We mitigate certain financial exposures, including currency risk, interest rate risk and to a lesser extent commodity price exposures, through a controlled program of risk management that includes the use of derivative financial instruments when applicable. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We recognize all derivatives on the balance sheet at fair value. On the date the derivative instrument is entered into, we generally designate the derivative as either a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge) or a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge). We record in accumulated other comprehensive income (loss) changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. We record immediately in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. We formally document all relationships between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes relating derivatives that are designated as fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. We also formally assess, both at the inception of the hedge and throughout its term, whether each derivative is highly effective in offsetting changes in fair value or cash flows of the hedged item. If we determine that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, we discontinue hedge accounting with respect to that derivative prospectively. Treasury stock . We record shares of common stock repurchased at cost as treasury stock, resulting in a reduction of stockholders’ equity in the consolidated balance sheets. When the treasury shares are contributed under our employee benefit plans or issued for option exercises, we use a FIFO method for determining cost. The difference between the cost of the shares and the market price at the time of contribution to an employee benefit plan is added to or deducted from the related capital in excess of par value of common stock. Segment information . We operate as a single business segment providing innovative solutions to growers around the world. The business is supported by global corporate staff functions. The determination of a single segment is consistent with the financial information regularly reviewed by the chief executive officer for purposes of evaluating performance, allocating resources, setting incentive compensation targets and both planning and forecasting future periods. Refer to Note 3 to the consolidated financial statements included within this Form 10-K for further information on product and regional revenues. Geographic long-lived assets include goodwill and other intangibles, net, property, plant and equipment, net and other non-current assets. Refer to Note 21 to the consolidated financial statements included within this Form 10-K for further details. Stock compensation plans . We recognize compensation expense in the financial statements for all share options and other equity-based arrangements. Share-based compensation cost is measured at the date of grant, based on the fair value of the award, and is recognized over the employee’s requisite service period. See Note 15 to the consolidated financial statements included within this Form 10-K for further discussion on our share-based compensation. Environmental obligations . We provide for environmental-related obligations when they are probable and amounts can be reasonably estimated. Where the available information is sufficient to estimate the amount of liability, that estimate has been used. Where the information is only sufficient to establish a range of probable liability and no point within the range is more likely than any other, the lower end of the range has been used. Estimated obligations to remediate sites that involve oversight by the United States Environmental Protection Agency ("EPA"), or similar government agencies, are generally accrued no later than when a Record of Decision ("ROD"), or equivalent, is issued, or upon completion of a Remedial Investigation/Feasibility Study ("RI/FS"), or equivalent, that is submitted by us and the appropriate government agency or agencies. Estimates are reviewed quarterly and, if necessary, adjusted as additional information becomes available. The estimates can change substantially as additional information becomes available regarding the nature or extent of site contamination, required remediation methods, and other actions by or against governmental agencies or private parties. Our environmental liabilities for continuing and discontinued operations are principally for costs associated with the remediation and/or study of sites at which we are alleged to have released hazardous substances into the environment. Such costs principally include, among other items, RI/FS, site remediation, costs of operation and maintenance of the remediation plan, management costs, fees to outside law firms and consultants for work related to the environmental effort, and future monitoring costs. Estimated site liabilities are determined based upon existing remediation laws and technologies, specific site consultants’ engineering studies or by extrapolating experience with environmental issues at comparable sites. Included in our environmental liabilities are costs for the operation, maintenance and monitoring ("OM&M") of site remediation plans. Such reserves are based on our best estimates for these OM&M plans. Over time we may incur OM&M costs in excess of these reserves. However, we are unable to reasonably estimate an amount in excess of our recorded reserves because we cannot reasonably estimate the period for which such OM&M plans will need to be in place or the future annual cost of such remediation, as conditions at these environmental sites change over time. Such additional OM&M costs could be significant in total but would be incurred over an extended period of years. Included in the environmental reserve balance, other assets balance and disclosure of reasonably possible loss contingencies are amounts from third-party insurance policies which we believe are probable of recovery. Provisions for environmental costs are reflected in income, net of probable and estimable recoveries from named Potentially Responsible Parties ("PRPs") or other third parties. All of our environmental provisions incorporate inflation and are not discounted to their present value, other than our reserve for our Pocatello Tribal Matter. We remeasure this discounted liability balance according to current interest rates. See Note 11 to the consolidated financial statements included within this Form 10-K for further information. In calculating and evaluating the adequacy of our environmental reserves, we have taken into account the joint and several liability imposed by Comprehensive Environmental Remediation, Compensation and Liability Act ("CERCLA") and the analogous state laws on all PRPs and have considered the identity and financial condition of the other PRPs at each site to the extent possible. We have also considered the identity and financial condition of other third parties from whom recovery is anticipated, as well as the status of our claims against such parties. Although we are unable to forecast the ultimate contributions of PRPs and other third parties with absolute certainty, the degree of uncertainty with respect to each party is taken into account when determining the environmental reserve on a site-by-site basis. Our liability includes our best estimate of the costs expected to be paid before the consideration of any potential recoveries from third parties. We believe that any recorded recoveries related to PRPs are realizable in all material respects. Recoveries are recorded as either an offset in "Environmental liabilities, continuing and discontinued" or as "Other assets including long-term receivables, net" in our consolidated balance sheets in accordance with U.S. accounting literature. Pension and other postretirement benefits. We provide qualified and nonqualified defined benefit and defined contribution pension plans, as well as postretirement health care and life insurance benefit plans to our employees and retirees. The costs (or benefits) and obligations related to these benefits reflect key assumptions related to general economic conditions, including interest (discount) rates, healthcare cost trend rates, expected rates of return on plan assets and the rates of compensation increase for employees. The costs (or benefits) and obligations for these benefit programs are also affected by other assumptions, such as average retirement age, mortality, employee turnover, and plan participation. To the extent our plans’ actual experience, as influenced by changing economic and financial market conditions or by changes to our own plans’ demographics, differs from these assumptions, the costs and obligations for providing these benefits, as well as the plans’ funding requirements, could increase or decrease. When actual results differ from our assumptions, the difference is typically recognized over future periods. In addition, the unrealized gains and losses related to our pension and postretirement benefit obligations may also affect periodic benefit costs (or benefits) in future periods. See Note 14 to the consolidated financial statements included within this Form 10-K for additional information relating to pension and other postretirement benefits. |
Recently Issued and Adopted Acc
Recently Issued and Adopted Accounting Pronouncements and Regulatory Items | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Recently issued and adopted accounting pronouncements and regulatory items | Recently Issued and Adopted Accounting Pronouncements and Regulatory Items New accounting guidance and regulatory items On December 14, 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Changes to the Disclosure Requirements for Income Taxes , to improve the transparency and decision usefulness of income tax disclosures. The standard requires companies to disclose a tabular effective rate reconciliation with certain reconciling items broken out by nature and/or jurisdiction as well as more robust disclosures of income taxes paid, specifically broken out between federal, state and foreign. The standard can be applied prospectively or retrospectively and early adoption is permitted. The ASU is effective for FMC beginning with the Form 10-K for the year ended December 31, 2025. We are currently evaluating the impacts this standard will have on our income tax disclosures. On November 27, 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , to improve the disclosures about a public entity's reportable segments and expenses. The standard requires disclosure of the chief operating decision maker's (the "CODM") title and position as well as multiple measures of segment profit and loss reviewed by the CODM. Companies with multiple reportable segments as well as companies with a single reportable segment are required to adopt the standard and it should be applied retrospectively to all periods presented. The ASU is effective for FMC beginning with the Form 10-K for the year ended December 31, 2024. Early adoption is permitted. As we operate as a single reportable segment, we are currently evaluating the impacts this standard will have on our existing segment disclosures. On December 20, 2021, the Organization for Economic Co-operation and Development (the "OECD") released Pillar Two Model Rules defining the global minimum tax, which calls for the taxation of large corporations at a minimum rate of 15%. The accounting impact of new enacted tax laws based on the Pillar Two rules will occur when they become effective, which will generally be in 2024. Calendar-year public companies will be required to report on the forecasted effects of Pillar Two in their Q1 2024 income tax provision. Unlike many current tax systems, the Pillar Two minimum tax is determined based on consolidated financial reporting results (with certain modifications) and will result in a complex set of calculations that will likely require new processes, controls, and systems. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, to provide optional guidance for a limited period of time to ease the potential burden in accounting for contracts and hedging relationships affected by reference rate reform. This applies to contracts that reference LIBOR or another rate that is expected to be discontinued as a result of rate reform and have modified terms that affect or have the potential to affect the amount and timing of contractual cash flows resulting from the discontinuance of reference rate. In December 2022, the FASB finalized ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848, which defers the sunset date for Topic 848 from December 31, 2022, to December 31, 2024. This standard amends the definition of the SOFR Swap Rate under Topic 815 so that it is not limited to the Overnight Indexed Swap rate based on SOFR and includes other rates based on SOFR. These amendments should be applied prospectively. We are evaluating the impacts this standard will have on accounting for contracts and hedging relationships but do not believe it will have a material impact on our consolidated financial statements. Recently adopted accounting guidance In September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations . This ASU enhances the transparency of supplier finance programs and their effect on working capital, liquidity, and cash flows. The new standard is effective for fiscal years beginning after December 15, 2022 (i.e. a January 1, 2023 effective date), including interim periods within those years. The amendments in the ASU should be applied retrospectively to all periods in which a balance sheet is presented, except for the amendment on roll forward information, which should be applied prospectively on an annual basis. In accordance with the new disclosure requirements, which we have adopted beginning January 1, 2023, we have included information regarding our key program terms and the amount outstanding that remains unpaid at period end as further described below. We work with suppliers to optimize payment terms and conditions on accounts payable to improve working capital and cash flows. We offer to a select group of suppliers a voluntary Supply Chain Finance (“SCF”) program with a global financial institution. The suppliers, at their sole discretion, may sell their receivables to the financial institution based on terms negotiated between them. Our obligations to our suppliers are not impacted by our suppliers’ decisions to sell under these arrangements. Obligations outstanding under this program are recorded within "Accounts payable, trade and other" in our condensed consolidated balance sheets and the associated payments are included in operating activities within our condensed consolidated statements of cash flows. Our payment terms with our suppliers are consistent, regardless of whether a supplier participates in the program. We deem these terms to be commercially reasonable and consistent with the range of industry standards within their respective regions. Under the terms of the agreement, we do not pledge assets as security or make any other forms of guarantees. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition Disaggregation of revenue We disaggregate revenue from contracts with customers by geographical areas and major product categories. We have three major agricultural product categories: insecticides, herbicides, and fungicides. Plant health, which includes biological products, is also included in the table below. The disaggregated revenue tables are shown below for the years ended December 31, 2023, 2022 and 2021. The following table provides information about disaggregated revenue by major geographical region: Year Ended December 31, (in Millions) 2023 2022 2021 North America (1) $ 1,204.8 $ 1,435.8 $ 1,117.2 Latin America (1) 1,401.1 2,088.2 1,633.4 Europe, Middle East & Africa 899.2 1,039.7 1,040.0 Asia 981.7 1,238.6 1,254.6 Total Revenue $ 4,486.8 $ 5,802.3 $ 5,045.2 ____________________ (1) Countries with sales in excess of 10 percent of consolidated revenue consisted of the U.S. and Brazil. Sales for the years ended December 31 2023, 2022, and 2021 for the U.S. totaled $978.1 million, $1,288.8 million and $1,018.1 million, respectively, and for Brazil totaled $1,017.3 million, $1,621.1 million and $1,224.4 million, respectively. The following table provides information about disaggregated revenue by major product category: Year Ended December 31, (in Millions) 2023 2022 2021 Insecticides $ 2,639.4 $ 3,346.6 $ 3,020.0 Herbicides 1,278.4 1,651.6 1,375.3 Fungicides 317.6 383.9 325.5 Plant Health 186.9 234.1 216.8 Other 64.5 186.1 107.6 Total Revenue $ 4,486.8 $ 5,802.3 $ 5,045.2 We earn revenue from the sale of a wide range of products to a diversified base of customers around the world. We develop, market and sell all three major classes of crop protection chemicals (insecticides, herbicides and fungicides) as well as biologicals, crop nutrition, and seed treatment products, which we group as plant health. These products are used in agriculture to enhance crop yield and quality by controlling a broad spectrum of insects, weeds and disease, as well as in non-agricultural markets for pest control. The majority of our product lines consist of insecticides and herbicides, with a smaller portfolio of fungicides mainly used in high value crop segments. We are investing in plant health, which includes our growing biological products. Our insecticides are used to control a wide spectrum of pests, while our herbicide portfolio primarily targets a large variety of difficult-to-control weeds. Products in the other category include various agricultural products such as smaller classes of pesticides, growth promoters, and other miscellaneous revenue sources. Sale of Goods Revenue from product sales is recognized when (or as) we satisfy a performance obligation by transferring the promised goods to a customer, that is, when control of the good transfers to the customer. The customer is then invoiced at the agreed-upon price with payment terms generally ranging from 30 to 90 days, with some regions providing terms longer than 90 days. We do not typically give payment terms that exceed 360 days; however, in certain geographical regions such as Latin America, these terms may be given in limited circumstances. Additionally, a timing difference of over one year can exist between when products are delivered to the customer and when payment is received from the customer in these regions; however, the effect of these sales is not material to the financial statements as a whole. Furthermore, we have assessed the circumstances and arrangements in these regions and determined that the contracts with these customers do not contain a significant financing component. In determining when the control of goods is transferred, we typically assess, among other things, the transfer of risk and title and the shipping terms of the contract. The transfer of title and risk typically occurs either upon shipment to the customer or upon receipt by the customer. As such, we typically recognize revenue when goods are shipped based on the relevant Incoterm for the product order, or in some regions, when delivery to the customer’s requested destination has occurred. When we perform shipping and handling activities after the transfer of control to the customer (e.g., when control transfers prior to delivery), they are considered as fulfillment activities, and accordingly, the costs are accrued for when the related revenue is recognized. For FOB shipping point terms, revenue is recognized at the time of shipment since the customer gains control at this point in time. We record amounts billed for shipping and handling fees as revenue. Costs incurred for shipping and handling are recorded as costs of sales and services. Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue-producing transactions are presented on a net basis and excluded from sales in the consolidated income statements. We record a liability until remitted to the respective taxing authority. Sales Incentives and Other Variable Considerations As a part of our customary business practice, we offer a number of sales incentives to our customers including volume discounts, retailer incentives, and prepayment options. The variable considerations given can differ by products, support levels and other eligibility criteria. For all such contracts that include any variable consideration, we estimate the amount of variable consideration that should be included in the transaction price utilizing either the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in our judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Although determining the transaction price for these considerations requires significant judgment, we have significant historical experience with incentives provided to customers and estimate the expected consideration considering historical patterns of incentive payouts. These estimates are reassessed each reporting period as required. In addition to the variable considerations described above, in certain instances, we may require our customers to meet certain volume thresholds within their contract term. We estimate what amount of variable consideration should be included in the transaction price at contract inception and continually reassess this estimation each reporting period to determine situations when the minimum volume thresholds will not be met. Right of Return We extend an assurance warranty offering customers a right of refund or exchange in case delivered product does not conform to specifications. Additionally, in certain regions and arrangements, we may offer a right of return for a specified period. Both instances are accounted for as a right of return and transaction price is adjusted for an estimate of expected returns. Replacement products are accounted for under the warranty guidance if the customer exchanges one product for another of the same kind, quality, and price. We have significant experience with historical return patterns and use this experience to include returns in the estimate of transaction price. Contract Asset and Contract Liability Balances We satisfy our obligations by transferring goods and services in exchange for consideration from customers. The timing of performance sometimes differs from the timing the associated consideration is received from the customer, thus resulting in the recognition of a contract asset or contract liability. We recognize a contract liability if the customer's payment of consideration is received prior to completion of our related performance obligation. The following table presents the opening and closing balances of our receivables, net of allowances and contract liabilities from contracts with customers: (in Millions) Balance as of December 31, 2022 Balance as of December 31, 2023 Increase (Decrease) Receivables from contracts with customers, net of allowances $ 2,932.2 $ 2,722.7 $ (209.5) Contract liabilities: Advance payments from customers 680.5 482.1 (198.4) The amount of revenue recognized in the year ended December 31, 2023 that was included in the opening contract liability balance was $680.5 million. The balance of receivables from contracts with customers listed in the table above include both current trade receivables and long-term receivables, net of allowance for doubtful accounts. The allowance for receivables represents our best estimate of the probable losses associated with potential customer defaults. We determine the allowance based on historical experience, current collection trends, and external business factors such as economic factors, including regional bankruptcy rates, and political factors. The change in allowance for doubtful accounts for both current trade receivables and long-term receivables for any period is representative of the impairment or the write-off of receivables. Refer to Note 9 to the consolidated financial statements included within this Form 10-K for further information. We periodically enter into prepayment arrangements with customers and receive advance payments for product to be delivered in future periods. Prepayment terms are extended to customers/distributors in order to capitalize on surplus cash with growers. Growers receive bulk payments for their produce, which they leverage to buy our products from distributors through prepayment options. This in turn creates opportunity for distributors to make large prepayments to us for securing the future supply of products to be sold to growers. Prepayments are typically received in the fourth quarter of the fiscal year, and are for the following marketing year indicating that the time difference between prepayment and performance of corresponding performance obligations does not exceed one We recognize these prepayments as a liability under "Advance payments from customers" on the consolidated balance sheets when they are received. Revenue associated with advance payments is recognized as shipments are made and transfer of control to the customer takes place. Advance payments from customers was $482.1 million as of December 31, 2023 and $680.5 million as of December 31, 2022. Performance Obligations At contract inception, we assess the goods and services promised in our contracts with customers and identify a performance obligation for each promise to transfer a good or service (or bundle of goods or services) that is distinct. To identify the performance obligations, we consider all the goods or services promised in the contract, whether explicitly stated or implied based on customary business practices. Based on our evaluation, we have determined that our current contracts do not contain more than one performance obligation. Revenue is recognized when (or as) the performance obligation is satisfied, which is when the customer obtains control of the good or service. Periodically, we may enter into contracts with customers which require them to submit a forecast of non-binding purchase obligations to us. These forecasts are typically provided by the customer to us in good faith, and there are no penalties or obligations if the forecasts are not met. Accordingly, we have determined that these are optional purchases and do not represent material rights and are not considered as unsatisfied (or partially satisfied) performance obligations for the purposes of this disclosure. In separate and less common circumstances, we may have contracts with customers which have binding purchase requirements for just one quarter of their annual forecasts. Additionally, as noted in the Contract Liabilities section above, we periodically enter into agricultural prepayment arrangements with customers, and receive advance payments for product to be delivered in future periods within one year. We have elected not to disclose the aggregate amount of the transaction price allocated to remaining performance obligations for these two types of contracts as they have an expected duration of one year or less and the revenue is expected to be recognized within the next year. Other Arrangements Data Licensing We sometimes grant to third parties a license and right to rely upon pesticide regulatory data filed with government agencies. Such licenses allow a licensee to cite and rely upon our data in connection with the licensee’s application for pesticide registrations as required by law; these licenses can be granted through contract or through a mandatory statutory license, depending on circumstances. In the most common occurrence, when a license is embedded in a contract for supply of pesticide active ingredient from us to the licensee, the license grant is not considered as distinct from other promised goods or services. Accordingly, all promises are treated as a single performance obligation and revenue is recognized at a point when the control of the pesticide products is transferred to the licensee-customer. In the less frequent occurrence, when the license and right to use data is granted without a supply contract, we account for the revenue attributable to the data license as a performance obligation satisfied at a single point in time and recognize revenue on the effective date of such contract. Finally, in those circumstance of mandatory data licensing by statute, such as under U.S. pesticide law, we recognize the data compensation upon the effective date of the data compensation settlement agreement. Payment terms for these arrangements may vary by contract. Service Arrangements In limited cases, we engage in providing certain tolling services, such as filling and packing services using raw and packing materials supplied by the customer. Depending on the nature of the tolling services, we determine the appropriate method of satisfaction of the performance obligation, which may be the input or output method. Compared to other goods and services provided by us, service arrangements do not represent a significant portion of sales each year. Payment terms for service arrangements may vary by contract; however, payment is typically due within 30 days of the invoice date. Practical Expedients and Exemptions We have elected the following practical expedients following the adoption of ASC 606: a. Costs of obtaining a contract: FMC incurs certain costs such as sales commissions which are incremental to obtaining the contract. We have taken the practical expedient of expensing such costs to obtain a contract, as and when they are incurred, as their expected amortization period is one year or less. b. Significant financing component: We elected not to adjust the promised amount of consideration for the effects of a significant financing component if FMC expects, at contract inception, that the period between the transfer of a promised good or service to a customer and when the customer pays for that good or service will be one year or less. c. Remaining performance obligations: We elected not to disclose the aggregate amount of the transaction price allocated to remaining performance obligations for its contracts that are one year or less, as the revenue is expected to be recognized within one year. Additionally, we have elected not to disclose information about variable considerations for remaining, wholly unsatisfied performance obligations for which the criteria in paragraph 606-10-32-40 have been met. d. Shipping and handling costs : We elected to account for shipping and handling activities that occur after the customer has obtained control of a good as fulfillment activities (i.e., an expense) rather than as a promised service. e. Measurement of transaction price: We have elected to exclude from the measurement of transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by us from a customer. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases We lease office space, vehicles and other equipment under non-cancellable leases with initial terms typically ranging from 1 to 20 years, with some leases having terms greater than 20 years. Our lease portfolio includes agreements with renewal options, purchase options and clauses for early termination based on the terms specific to the agreement. At contract inception, we review the facts and circumstances of the arrangement to determine if the contract is a lease. We follow the guidance in ASC 842-10-15 and consider the following: whether the contract has an identified asset; if we have the right to obtain substantially all economic benefits from the asset; and if we have the right to direct the use of the underlying asset. When determining if a contract has an identified asset, we consider both explicit and implicit assets, and whether the supplier has the right to substitute the asset. When determining if we have the right to obtain substantially all economic benefits from the asset, we consider the primary outputs of the identified asset throughout the period of use and determine if we receive greater than 90 percent of those benefits. When determining if we have the right to direct the use of an underlying asset, we consider if we have the right to direct how and for what purpose the asset is used throughout the period of use and if we control the decision-making rights over the asset. All leased assets are classified as operating or finance under ASC 842. The lease term is determined as the non-cancellable period of the lease, together with all of the following: periods covered by an option to extend the lease which are reasonably certain to be exercised, periods covered by an option to terminate the lease if the lessee is reasonably certain not to exercise that option, and periods covered by an option to extend (or not to terminate) the lease in which exercise of the option is controlled by the lessor. At commencement, we assess whether any options included in the lease are reasonably certain to be exercised by considering all relevant economic factors including, contract-based, asset-based, market-based, and company-based factors. To determine the present value of future minimum lease payments, we use the implicit rate when readily determinable or our incremental borrowing rate at the lease commencement date. When determining our incremental borrowing rate, we consider our centralized treasury function and our current credit profile. We then make adjustments to this rate for securitization, the length of the lease term, and leases denominated in foreign currencies. Minimum lease payments are expensed over the term of the lease on a straight-line basis. Some leases may require additional contingent or variable lease payments based on factors specific to the individual agreement. Variable lease payments for which we are typically responsible include payment of vehicle insurance, real estate taxes, and maintenance expenses. Most leases within our portfolio are classified as operating leases under the new standard. Operating leases are included in "Other assets including long-term receivables, net", "Accrued and other liabilities", and "Other long-term liabilities" in our consolidated balance sheet. Operating lease right-of-use ("ROU") assets are subsequently measured throughout the lease term at the carrying amount of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of any lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Operating leases relate to office spaces, IT equipment, transportation equipment, machinery equipment, furniture and fixtures, and plant and facilities under non-cancellable lease agreements. Leases primarily have fixed rental periods, with many of the real estate leases requiring additional payments for property taxes and occupancy-related costs. Leases for real estate typically have initial terms ranging from 1 to 20 years, with some leases having terms greater than 20 years. Leases for non-real estate (transportation, IT) typically have initial terms ranging from 1 to 10 years. We have elected not to record short-term leases on the balance sheet whose term is 12 months or less and does not include a purchase option or extension that is reasonably certain to be exercised. We rent or sublease a small number of assets including equipment and office space to third-party companies. These third-party arrangements include a small number of transition service arrangements from recent acquisitions. Rental income from all subleases is not material to our business. The ROU asset and lease liability balances as of December 31, 2023 and 2022 were as follows: (in Millions) Classification December 31, 2023 December 31, 2022 Assets Operating lease ROU assets Other assets including long-term receivables, net $ 121.8 $ 123.8 Liabilities Operating lease current liabilities Accrued and other liabilities $ 24.4 $ 22.0 Operating lease noncurrent liabilities Other long-term liabilities 123.2 128.6 The components of lease expense for the year ended December 31, 2023, 2022, and 2021 were as follows: (in Millions) Lease Cost Classification 2023 2022 2021 Lease Cost Operating lease cost Costs of sales and services / Selling, general and administrative expenses $ 33.2 $ 32.9 $ 33.9 Variable lease cost Costs of sales and services / Selling, general and administrative expenses 13.3 6.3 4.7 Total lease cost $ 46.5 $ 39.2 $ 38.6 December 31, 2023 Operating Lease Term and Discount Rate Weighted-average remaining lease term (years) 7.3 Weighted-average discount rate 4.4 % (in Millions) Year ended December 31, 2023 Year ended December 31, 2022 Other Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (35.9) $ (33.9) Supplemental non-cash information on lease liabilities arising from obtaining right-of-use assets: Right-of-use assets obtained in exchange for new operating lease liabilities $ 21.4 $ 20.1 The following table represents our future minimum operating lease payments as of, and subsequent to, December 31, 2023 under ASC 842: (in Millions) Operating Leases Total Maturity of Lease Liabilities 2024 $ 29.9 2025 25.8 2026 22.5 2027 20.8 2028 17.7 Thereafter 57.1 Total undiscounted lease payments $ 173.8 Less: Present value adjustment (26.2) Present value of lease liabilities $ 147.6 |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2023 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions On June 29, 2022 we announced a definitive agreement to acquire BioPhero ApS ("BioPhero"), a Denmark-based pheromone research and production company. The acquisition adds state-of-the-art biologically produced pheromone insect control technology to our product portfolio and R&D pipeline, underscoring our role as a leader in delivering innovative and sustainable crop protection solutions. The purchase price of approximately $193 million was primarily paid at closing on July 19, 2022. The acquisition, which was accounted for as a business combination, includes all of BioPhero’s technology, IP, supply agreements, employees and net assets of the business. Purchase Price Allocation The allocation of the purchase price to the assets acquired and liabilities assumed, including the residual amount allocated to goodwill, is considered complete. The allocation was subject to change within the measurement period (up to one year from the acquisition date) if additional information concerning final asset and liability valuations was obtained. There were no adjustments to the initial purchase price allocation during the measurement period. The following table summarizes the consideration paid for the BioPhero acquisition and the amounts of the assets acquired and liabilities assumed. Purchase Price Allocation (in Millions) Fair Value of Assets Acquired Cash $ 10.0 Intangible assets Developed Technology (1) 66.3 In-process research & development 10.5 Goodwill 130.7 Other Assets 3.4 Total Assets $ 220.9 Fair Value of Liabilities Assumed Deferred income tax liabilities $ 16.6 Other Liabilities 1.1 Total Liabilities 17.7 Net Assets $ 203.2 Total Purchase Consideration: Amount Cash purchase price, net of acquired cash $ 193.2 ____________________ (1) Expected life is 15 years and will be amortized based on the pattern of economic benefit |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2022 are presented in the table below: (in Millions) Total Balance, December 31, 2021 $ 1,463.3 Acquisitions (See Note 4) 130.7 Foreign currency and other adjustments (4.7) Balance, December 31, 2022 $ 1,589.3 Foreign currency and other adjustments 4.3 Balance, December 31, 2023 $ 1,593.6 Our fiscal year 2023 annual goodwill and indefinite life impairment test was performed during the third quarter ended September 30, 2023. We determined no goodwill impairment existed and that the fair value was substantially in excess of the carrying value. Additionally, no indefinite-lived asset impairment existed and the estimated fair values also exceeded the carrying value for each of our indefinite-lived intangible assets. Our intangible assets, other than goodwill, consist of the following: December 31, 2023 December 31, 2022 (in Millions) Weighted avg. useful life remaining at December 31, 2023 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Intangible assets subject to amortization (finite life) Customer relationships 13 years $ 1,136.7 $ (414.2) $ 722.5 $ 1,127.9 $ (351.3) $ 776.6 Patents 4 years 1.8 (1.6) 0.2 1.7 (1.4) 0.3 Brands (1) 9 years 49.3 (12.9) 36.4 16.1 (10.6) 5.5 Purchased and licensed technologies 12 years 131.1 (46.2) 84.9 128.4 (42.9) 85.5 Other intangibles 8 years 2.3 (1.8) 0.5 1.8 (1.7) 0.1 $ 1,321.2 $ (476.7) $ 844.5 $ 1,275.9 $ (407.9) $ 868.0 Intangible assets not subject to amortization (indefinite life) Crop Protection Brands (2) $ 1,259.0 $ 1,259.0 $ 1,259.0 $ 1,259.0 Brands (1) 350.3 350.3 370.1 370.1 In-process research and development 11.3 11.3 11.0 11.0 $ 1,620.6 $ 1,620.6 $ 1,640.1 $ 1,640.1 Total intangible assets $ 2,941.8 $ (476.7) $ 2,465.1 $ 2,916.0 $ (407.9) $ 2,508.1 ____________________ (1) Represents trademarks, trade names and know-how. (2) Represents proprietary brand portfolios, consisting of trademarks, trade names and know-how, of our crop protection brands. Year Ended December 31, (in Millions) 2023 2022 2021 Amortization expense $ 64.3 $ 60.6 $ 62.7 The estimated pre-tax amortization expense for each of the five years ending December 31, 2024 to 2028 is $63.7 million, $67.9 million, $69.9 million, $69.5 million, and $69.8 million , respectively. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consisted of the following: December 31, (in Millions) 2023 2022 Finished goods $ 643.8 $ 577.5 Work in process 732.2 807.4 Raw materials, supplies and other 348.6 266.7 Net inventories $ 1,724.6 $ 1,651.6 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment consisted of the following: December 31, (in Millions) 2023 2022 Land and land improvements $ 98.1 $ 103.6 Buildings and building equipment 540.0 522.9 Machinery and equipment 717.2 613.1 Construction in progress 204.5 175.9 Total cost $ 1,559.8 $ 1,415.5 Accumulated depreciation (667.3) (565.9) Property, plant and equipment, net $ 892.5 $ 849.6 ____________________ Depreciation expense was $73.5 million, $71.1 million, and $70.8 million in 2023, 2022 and 2021, respectively. |
Restructuring and Other Charges
Restructuring and Other Charges (Income) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Other Charges (Income) | Restructuring and Other Charges (Income) The following table shows total restructuring and other charges (income) included in the respective line items of the consolidated statements of income (loss): Year Ended December 31, (in Millions) 2023 2022 2021 Restructuring charges (income) $ 48.4 $ (26.1) $ 41.1 Other charges (income), net 163.9 119.2 66.9 Total restructuring and other charges (income) $ 212.3 $ 93.1 $ 108.0 Restructuring charges (income) (in Millions) Severance and Employee Benefits Other Charges (Income) (1) Asset Disposal Charges (2) Total Project Focus $ 40.1 $ 5.4 $ — $ 45.5 DuPont Crop restructuring — (8.1) 2.8 (5.3) Other items 6.9 1.3 — 8.2 Year ended December 31, 2023 $ 47.0 $ (1.4) $ 2.8 $ 48.4 DuPont Crop restructuring $ — $ (49.9) $ 1.2 $ (48.7) Regional realignment 3.8 4.1 — 7.9 Other items 2.1 2.6 10.0 14.7 Year ended December 31, 2022 $ 5.9 $ (43.2) $ 11.2 $ (26.1) DuPont Crop restructuring $ 1.2 $ 4.5 $ 11.0 $ 16.7 Regional realignment 5.5 5.3 0.2 11.0 Other items 6.0 0.5 6.9 13.4 Year ended December 31, 2021 $ 12.7 $ 10.3 $ 18.1 $ 41.1 ____________________ (1) Primarily represents third-party costs associated with miscellaneous restructuring activities, including third-party costs. Other income, if applicable, primarily represents favorable developments on previously recorded exit costs and recoveries associated with restructuring. The years ended December 31, 2023 and 2022 includes the recognition of a gain for land disposition, described below. (2) Primarily represents asset write-offs (recoveries), and accelerated depreciation and impairment charges on long-lived assets, which were or are to be abandoned. To the extent incurred, the acceleration effect of re-estimating settlement dates and revised cost estimates associated with asset retirement obligations due to facility shutdowns, are also included within the asset disposal charges. Project Focus In response to the unprecedented downturn in the global crop protection market that resulted in severe channel destocking, which has materially impacted volumes in 2023, we initiated a global restructuring plan, referred to as "Project Focus." This program is designed to right-size our cost base and optimize our footprint and organizational structure with a focus on driving significant cost improvement and productivity. We expect to fully implement the plan by the end of 2025. We currently expect to incur pre-tax restructuring charges in the range of approximately $180 to $215 million, including but not limited to employee severance and related benefit costs, asset write-off charges, and consulting and other professional service fees. We may incur additional asset write-off charges, inventory and other working capital charges, primarily associated with the liquidation of excess inventory in select markets, relocation charges, and contract termination charges in connection with Project Focus and will provide an estimate of charges when known. For the year ended December 31, 2023, we have incurred $40.1 million in severance charges related to a voluntary separation program in select jurisdictions and workforce reduction actions in our Brazil business as well as $5.4 million of provider costs. The charges incurred during 2023 are included in the total estimated range for Project Focus discussed above. The remaining amounts will be reflected in our consolidated results of operations as they become probable and estimable in accordance with the relevant accounting guidance. DuPont Crop Restructuring On November 1, 2017, we acquired the DuPont Crop Protection Business. We completed the integration of the DuPont Crop Protection Business in 2020 except for the completion of certain in-flight initiatives including restructuring program efforts. For the year ended December 31, 2023, we recognized income of $5.3 million, which primarily relates to the gain recorded for the disposition of land discussed further below. For the year ended December 31, 2022 we recognized income of $48.7 million, which primarily reflects the gain recorded in the fourth quarter on the disposition of a manufacturing site, slightly offset by other restructuring charges. For the year ended December 31, 2021 we incurred restructuring charges of $16.7 million , which primarily represented severance and other employee related costs as well as accelerated depreciation on fixed assets for the planned exit of certain facilities. During December 2022, we finalized a land transfer agreement with the Shanghai Municipal People's Government. Under the terms of the agreement, we relinquished control of a previously shutdown manufacturing facility that was acquired as part of the DuPont Crop Protection Business and that had been operating under a state- owned land use certificate. Previous shutdown charges associated with closing this plant were included in "Restructuring and other charges ("income")". As part of the land transfer, we received cash proceeds of $5.8 million in 2023 and $50.5 million in 2022 for the disposition of land as well as a recognition of a gain in the same amount that was also included in the "Restructuring and other charges ("income")" line item. Restructuring charges associated with the DuPont program are complete and any future charges are not expected to be material. Roll forward of restructuring reserves The following table shows a roll forward of restructuring reserves that will result in cash spending. These amounts exclude asset retirement obligations: (in Millions) Balance at 12/31/21 Change in reserves (5) Cash Other (6) Balance at 12/31/22 (7) Change in reserves (5) Cash Other (6) Balance at 12/31/23 (7) DuPont Crop restructuring (1) $ 8.6 $ 0.6 $ (4.7) $ 0.5 $ 5.0 $ — $ (1.0) $ (0.1) $ 3.9 Regional realignment (2) 4.0 7.9 (9.3) 0.4 3.0 — (2.2) — 0.8 Project Focus (3) — — — — — 45.5 (2.4) — 43.1 Other workforce related and facility shutdowns (4) 2.3 4.7 (4.2) (0.2) 2.6 9.9 (10.3) 0.4 2.6 Total $ 14.9 $ 13.2 $ (18.2) $ 0.7 $ 10.6 $ 55.4 $ (15.9) $ 0.3 $ 50.4 ____________________ (1) Primarily consists of real estate exit costs and severance associated with DuPont Crop restructuring activities. (2) Primarily consists of severance and employee relocation costs as well as other costs associated with the relocation of our European headquarters and the consolidation of our Asia Pacific operations into a single regional headquarters in Singapore. (3) Relates to the global restructuring plan initiated in 2023 and primarily consists of severance charges related to a voluntary separation program in select jurisdictions as well as workforce reduction actions in our Brazil business. (4) Primarily severance costs related to workforce reductions and facility shutdowns. (5) Primarily other miscellaneous exit costs. The accelerated depreciation and impairment charges associated with these restructurings that have impacted our property, plant and equipment or intangible balances are not included in this table. (6) Primarily foreign currency translation adjustments. (7) Included in "Accrued and other liabilities" and "Other long-term liabilities" on the consolidated balance sheets. Other charges (income), net Year Ended December 31, (in Millions) 2023 2022 2021 Environmental charges, net $ 66.9 $ 34.7 $ 27.1 Exit from Russian Operations — 76.8 — Currency related matters 75.2 — — IPR&D asset acquisition charges 13.0 — — Other items, net 8.8 7.7 39.8 Other charges (income), net $ 163.9 $ 119.2 $ 66.9 Environmental charges, net Environmental charges represent the net charges associated with environmental remediation at continuing operating sites. Environmental obligations for continuing operations primarily represent obligations at shut down or abandoned facilities within businesses that do not meet the criteria for presentation as discontinued operations. Exit from Russian Operations As the Russia-Ukraine war continues, our values as a company as well as the sanctions imposed on, and cross-sanctions imposed and announced by, the Russian Federation led us to cease operations and business in Russia. This decision was made in mid-April of 2022 when we concluded that it was not sustainable to continue operations. As a result of this decision, we recorded a charge of approximately $76.8 million during the twelve months ended December 31, 2022. The charge primarily consists of noncash asset write offs, mainly working capital as well as the value of a packaging and formulation facility. This charge included approximately $7 million of cash that was stranded and not accessible to us. Currency related matters During the twelve months ended December 31, 2023, we incurred $101.0 million in currency related charges driven by specific events in Argentina, and to a lesser extent, Pakistan. These charges relate primarily from the recent and substantial actions implemented by the Argentine Government during the fourth quarter of 2023. On December 12th, 2023, Argentina’s Economy Minister announced emergency measures which included an increase in the official exchange rate to an average of 800 Argentine Pesos per USD. The devaluation of the currency by over 50% resulted in $63.4 million in losses related to the remeasurement of our monetary net assets. Additionally, we incurred $4.9 million in remeasurement losses during the third quarter of 2023 following similar devaluation actions taken by the government during that period. The combined $68.3 million in losses have been recorded as part of our Restructuring and Other Charges (Income) line item within on our Consolidated Statements of Income (Loss). Second, in combination with the devaluation actions, the government enacted two new decrees which expanded the scope of certain tax and foreign exchange measures under the Impuesto PAIS tax, “PAIS”. The first decree extends the application of the PAIS tax to include foreign denominated payments related to the imports of goods and services. The second decree substantially increased the rates applicable to these operations. The application of the tax became effective immediately and was applied retrospectively to import activity that will ultimately be settled in a currency other than Argentina Pesos. As a result of the initial period adoption, we recognized a charge of $25.8 million. Due to the nature of the tax, the charge has been recorded as part of Cost of Sales and Services within our Consolidated Statements of Income (Loss). Based on this classification, this activity is excluded from the table above. The twelve months ended December 31, 2023, also includes a $6.9 million remeasurement charge resulting from the significant currency depreciation of the Pakistani Rupee during the first quarter of 2023. On January 25, 2023, the Pakistani Rupee experienced its largest single day drop against the US dollar in over two decades following the removal of the USD-PKR exchange cap in place on the country's currency. This action, combined with the decision by Pakistan's central bank to raise interest rates to record highs during the quarter, resulted in the immediate and significant devaluation of the Pakistani Rupee. These losses have been recorded as part of our Restructuring and Other Charges (Income) line item within our Consolidated Statements of Income (Loss). IPR&D asset acquisition charges During the third quarter of 2023, we finalized a development agreement which will bring to market a new herbicide active ingredient used to control weeds in rice. As part of the agreement, FMC acquired a data set that includes studies and technical research that will be used to support the development of formulations and product registrations. Acquired in-process research and development assets are expensed as incurred and included as a component of "Restructuring and other charges (income)" on the consolidated statements of income (loss). |
Receivables
Receivables | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Receivables | Receivables The following table displays a roll forward of the allowance for doubtful trade receivables. (in Millions) Balance, December 31, 2021 $ 37.4 Additions — charged (credited) to expense 0.7 Transfer from (to) allowance for credit losses (see below) 0.5 Net recoveries, write-offs and other (4.7) Balance, December 31, 2022 $ 33.9 Additions — charged (credited) to expense 4.7 Transfer from (to) allowance for credit losses (see below) (1.5) Net recoveries, write-offs and other (8.0) Balance, December 31, 2023 $ 29.1 We have non-current receivables that represent long-term customer receivable balances related to past due accounts which are not expected to be collected within the current year. The net long-term customer receivables were $19.5 million as of December 31, 2023. These long-term customer receivable balances and the corresponding allowance are included in "Other assets including long-term receivables, net" on the consolidated balance sheets. A portion of these long-term receivables have payment contracts. We have no reason to believe payments will not be made based upon the credit quality of these customers. Additionally, we also hold significant collateral against these customers including rights to property or other assets as a form of credit guarantee. If the customer does not pay or gives indication that they will not pay, these guarantees allow us to start legal action to block the sale of the customer’s harvest. On an ongoing basis, we continue to evaluate the credit quality of our non-current receivables using aging of receivables, collection experience and write-offs, as well as evaluating existing economic conditions, to determine if an additional allowance is necessary. The following table displays a roll forward of the allowance for credit losses related to long-term customer receivables. ( in Millions ) Balance, December 31, 2021 $ 27.7 Additions — charged (credited) to expense (1.2) Transfer from (to) allowance for doubtful accounts (see above) (0.5) Foreign currency adjustments 8.1 Net recoveries, write-offs and other 10.4 Balance, December 31, 2022 $ 44.5 Additions — charged (credited) to expense 1.6 Transfer from (to) allowance for doubtful accounts (see above) 1.5 Foreign currency adjustments 0.8 Net recoveries, write-offs and other (21.3) Balance, December 31, 2023 $ 27.1 Receivables Securitization Facility: FMC entered into a trade receivables securitization program, primarily impacting our Brazilian operations during the third quarter of 2022. On a revolving basis, FMC may sell certain trade receivables into the facility in exchange for cash. A portion of the total receivables sold are deferred as an asset on our consolidated balance sheets representing FMC’s beneficial interest in the securitization fund. In all instances, the transferred financial assets are sold on a non-recourse basis and have met the true sale criteria under ASC Topic 860. FMC has surrendered control of the receivables and as a result they will no longer be recognized on the consolidated balance sheets. FMC may be engaged to serve as a special servicer for any delinquent receivables. In that capacity, we are entitled to market rate compensation for those services. Cash receipts from the sale of trade receivables under the securitization arrangement, received at the time of sale, are classified as cash flows from operating activities. During 2022, approximately $105 million of trade receivables were transferred to the fund. The approximate $11 million charge associated with the transfer of these financial assets is included as a component within selling, general and administrative expense and recognized during the period ended December 31, 2022. There were $148.3 million in receivables sold under the securitization program during the period ended December 31, 2023. A $11.9 million charge associated with the transfer of these financial assets is included as a component within selling, general and administrative expense As part of the initial funding, approximately $19 million of the sale was retained by the investment fund and will be returned to FMC, including interest, at the maturity of the securitization. This asset is recorded within "Other assets including long-term receivables, net" on the consolidated balance sheets. Other Receivable Factoring: In addition to the above, we may sell trade receivables on a non-recourse basis to third-party financial institutions. These sales are normally driven by specific market conditions, including, but not limited to, foreign exchange environments, customer credit management, as well as other factors where the receivables may lay. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations Our discontinued operations in our financial statements include adjustments to retained liabilities from previous discontinued operations. The primary liabilities retained include environmental liabilities, other postretirement benefit liabilities, self-insurance, long-term obligations related to legal proceedings and historical restructuring activities. Our discontinued operations comprised the following: (in Millions) Year Ended December 31, 2023 2022 2021 Adjustment for workers’ compensation, product liability, and other postretirement benefits and other, net of income tax benefit (expense) of $(0.9) in 2023, $(2.5) in 2022 and $(10.2) in 2021 $ (3.0) $ (3.9) $ (8.3) Provision for environmental liabilities, net of recoveries, net of income tax benefit (expense) of $18.0 in 2023, $13.8 in 2022, and $8.2 in 2021 (1)(2) (65.6) (53.8) (29.7) Provision for legal reserves and expenses, net of recoveries, net of income tax benefit (expense) of $7.9 in 2023, $10.5 in 2022, and $12.2 in 2021 (29.9) (39.5) (45.6) Gain on sales of land, net of income tax benefit (expense) of zero in 2023, zero in 2022, and $(4.1) in 2021 (3) — — 15.4 Discontinued operations, net of income taxes $ (98.5) $ (97.2) $ (68.2) ____________________ (1) The provision for the year ended December 31, 2023 includes a $11.7 million charge resulting from a settlement agreement related to one of our foreign environmental remediation sites. The charge recorded adjusts the reserve to the anticipated payment amount. The agreement removes any future remediation obligations for the site. (2) See a roll forward of our environmental reserves as well as discussion on significant environmental issues that occurred during the year in Note 11 to the consolidated financial statements included within this Form 10-K. (3) This represents the gain on sale of land at various discontinued sites. Reserves for Discontinued Operations, other than Environmental at December 31, 2023 and 2022 (in Millions) December 31, 2023 2022 Workers’ compensation, product liability, and indemnification reserves $ 7.3 $ 8.0 Postretirement medical and life insurance benefits reserve, net 4.4 4.7 Reserves for legal proceedings 123.9 114.5 Reserve for discontinued operations (1) $ 135.6 $ 127.2 ____________________ (1) Included in "Other long-term liabilities" on the consolidated balance sheets. See Note 11 to the consolidated financial statements included within this Form 10-K on discontinued environmental reserves. The discontinued postretirement medical and life insurance benefits liability equals the accumulated postretirement benefit obligation. Associated with this liability is a net pre-tax actuarial gain and prior service credit of $2.2 million ($1.0 million after-tax) and $2.9 million ($1.7 million after-tax) at December 31, 2023 and 2022, respectively. Net spending in 2023, 2022 and 2021 was $3.1 million, $2.4 million and $1.6 million, respectively, for workers’ compensation, product liability and other claims; $0.2 million, $0.3 million and $0.4 million, respectively, for other postretirement benefits; and $28.3 million, $27.9 million and $19.0 million, respectively, related to reserves for legal proceedings associated with discontinued operations. |
Environmental Obligations
Environmental Obligations | 12 Months Ended |
Dec. 31, 2023 | |
Environmental Remediation Obligations [Abstract] | |
Environmental Obligations | Environmental Obligations We are subject to various federal, state, local and foreign environmental laws and regulations that govern emissions of air pollutants, discharges of water pollutants, and the manufacture, storage, handling and disposal of hazardous substances, hazardous wastes and other toxic materials and remediation of contaminated sites. We are also subject to liabilities arising under CERCLA and similar state laws that impose responsibility on persons who arranged for the disposal of hazardous substances, and on current and previous owners and operators of a facility for the clean-up of hazardous substances released from the facility into the environment. We are also subject to liabilities under the Resource Conservation and Recovery Act ("RCRA") and analogous state laws that require owners and operators of facilities that have treated, stored or disposed of hazardous waste pursuant to a RCRA permit to follow certain waste management practices and to clean up releases of hazardous substances into the environment associated with past or present practices. In addition, when deemed appropriate, we enter certain sites with potential liability into voluntary remediation compliance programs, which are also subject to guidelines that require owners and operators, current and previous, to clean up releases of hazardous substances into the environment associated with past or present practices. Environmental liabilities consist of obligations relating to waste handling and the remediation and/or study of sites at which we are alleged to have released or disposed of hazardous substances. These sites include current operations, previously operated sites, and sites associated with discontinued operations. We have provided reserves for potential environmental obligations that we consider probable and for which a reasonable estimate of the obligation can be made. Accordingly, total reserves of $601.8 million and $543.1 million, respectively, before recoveries, existed at December 31, 2023 and 2022. The estimated reasonably possible environmental loss contingencies, net of expected recoveries, exceed amounts accrued by approximately $240 million at December 31, 2023. This reasonably possible estimate is based upon information available as of the date of the filing but the actual future losses may be higher given the uncertainties regarding the status of laws, regulations, enforcement policies, the impact of potentially responsible parties, technology and information related to individual sites. Additionally, although potential environmental remediation expenditures in excess of the reserves and estimated loss contingencies could be significant, the impact on our future consolidated financial results is not subject to reasonable estimation due to numerous uncertainties concerning the nature and scope of possible contamination at many sites, identification of remediation alternatives under constantly changing requirements, selection of new and diverse clean-up technologies to meet compliance standards, the timing of potential expenditures and the allocation of costs among PRPs as well as other third parties. The liabilities arising from potential environmental obligations that have not been reserved for at this time may be material to any one quarter's or year's results of operations in the future. However, we believe any liability arising from such potential environmental obligations is not likely to have a material adverse effect on our liquidity or financial condition as it may be satisfied over many years. The table below is a roll forward of our total environmental reserves, continuing and discontinued, from December 31, 2020 to December 31, 2023. (in Millions) Operating and Discontinued Sites Total Total environmental reserves, net of recoveries at December 31, 2020 $ 564.4 2021 Activity Provision 65.8 Spending, net of recoveries (121.8) Foreign currency translation adjustments (5.2) Net Change $ (61.2) Total environmental reserves, net of recoveries at December 31, 2021 $ 503.2 2022 Activity Provision 104.8 Spending, net of recoveries (74.5) Foreign currency translation adjustments (4.3) Net Change $ 26.0 Total environmental reserves, net of recoveries at December 31, 2022 $ 529.2 2023 Activity Provision 152.3 Spending, net of recoveries (92.6) Foreign currency translation adjustments and other adjustments 3.2 Net Change $ 62.9 Total environmental reserves, net of recoveries at December 31, 2023 $ 592.1 To ensure we are held responsible only for our equitable share of site remediation costs, we have initiated, and will continue to initiate, legal proceedings for contributions from other PRPs. At December 31, 2023 and 2022, we have recorded recoveries representing probable realization of claims against U.S. government agencies, insurance carriers and other third parties. Recoveries are recorded as either an offset to the "Environmental liabilities, continuing and discontinued" or as "Other assets including long-term receivables, net" on the consolidated balance sheets. The table below is a roll forward of our total recorded recoveries from December 31, 2021 to December 31, 2023: (in Millions) December 31, 2021 Increase (Decrease) in Recoveries Cash Received December 31, 2022 Increase (Decrease) in Recoveries Cash Received December 31, 2023 Environmental liabilities, continuing and discontinued $ 11.4 $ 2.5 $ — $ 13.9 $ (3.1) $ (1.1) $ 9.7 Other assets (1) 4.5 2.5 (0.6) 6.4 2.1 (3.6) 4.9 Total $ 15.9 $ 5.0 $ (0.6) $ 20.3 $ (1.0) $ (4.7) $ 14.6 ______________ (1) The amounts are included within "Prepaid and other current assets" and "Other assets including long-term receivables, net" on the consolidated balance sheets. See Note 22 to the consolidated financial statements included within this Form 10-K for more details. The table below provides detail of current and long-term environmental reserves, continuing and discontinued. December 31, (in Millions) 2023 2022 Environmental reserves, current, net of recoveries (1) $ 97.4 $ 90.1 Environmental reserves, long-term continuing and discontinued, net of recoveries (2) 494.7 439.1 Total environmental reserves, net of recoveries $ 592.1 $ 529.2 ______________ (1) These amounts are included within "Accrued and other liabilities" on the consolidated balance sheets. (2) These amounts are included in "Environmental liabilities, continuing and discontinued" on the consolidated balance sheets. Our net environmental provisions relate to costs for the continued remediation of both operating sites and for certain discontinued manufacturing operations from previous years. The net provisions are comprised as follows: Year Ended December 31, (in Millions) 2023 2022 2021 Continuing operations (1) $ 66.9 $ 34.7 $ 27.1 Discontinued operations (2) 83.6 67.6 37.9 Net environmental provision $ 150.5 $ 102.3 $ 65.0 ______________ (1) Recorded as a component of "Restructuring and other charges (income)" on our consolidated statements of income. See Note 8 to the consolidated financial statements included within this Form 10-K. Environmental obligations for continuing operations primarily represent obligations at shut down or abandoned facilities within businesses that do not meet the criteria for presentation as discontinued operations. (2) Recorded as a component of "Discontinued operations, net of income taxes" on our consolidated statements of income (loss). The year ended December 31, 2023 includes a $11.7 million charge resulting from a settlement agreement with the other party involved at one of our foreign environmental remediation sites. See Note 10 to the consolidated financial statements included within this Form 10-K for further details. On our consolidated balance sheets, the net environmental provisions affect assets and liabilities as follows: Year Ended December 31, (in Millions) 2023 2022 2021 Environmental reserves (1) $ 152.3 $ 104.8 $ 65.8 Other assets (2) (1.8) (2.5) (0.8) Net environmental provision $ 150.5 $ 102.3 $ 65.0 ______________ (1) See above roll forward of our total environmental reserves as presented on our consolidated balance sheets. (2) Represents certain environmental recoveries. See Note 22 to the consolidated financial statements included within this Form 10-K for details of "Other assets including long-term receivables, net" as presented on our consolidated balance sheets. Significant Environmental Sites Pocatello From 1949 until 2001, we operated the world's largest elemental phosphorus plant in Power County, Idaho, just outside the city of Pocatello. Since the plant's closure, FMC has worked with the EPA, the State of Idaho, and the Shoshone-Bannock Tribes ("Tribes") to develop a proposed cleanup plan for the property. In September 2012, the EPA issued an Interim Record of Decision ("IROD") that is environmentally protective and that ensures the health and safety of both workers and the general public. Since the plant's closure, we have successfully decommissioned our Pocatello plant, completed closure of the RCRA ponds and formally requested that the EPA acknowledge completion of work under a June 1999 RCRA Consent Decree. Future remediation costs include completion of the IROD that addresses groundwater contamination and existing waste disposal areas on the Pocatello plant portion of the Eastern Michaud Flats Superfund Site. In June 2013, the EPA issued a Unilateral Administrative Order to us under which we will implement the IROD remedy. Our current reserves factor in the estimated costs associated with implementing the IROD. In addition to implementing the IROD, we continue to conduct work pursuant to CERCLA unilateral administrative orders to address air emissions from beneath the cap of several of the closed RCRA ponds. Actions also involve impacts of the Tribal Litigation discussed below. The amount of the reserve for this site was $82.9 million and $75.8 million at December 31, 2023 and 2022, respectively. The reserve includes $31.1 million at December 31, 2023 for the Pocatello Tribal Litigation as described below. Annual Tribal Waste Permit Fee After prolonged litigation with the Tribes concerning an annual $1.5 million waste permit fee, we were ordered to pay this annual fee for the duration of time that waste material remains buried on site. Given that on-site waste burial is the approved remedy, this fee is presumptively without end. Our reserves reflect this annual waste permit fee. In calculating the net present value of these future annual permit fees, we used a discount rate of 4.20%, which represents the appropriate risk-free rate. We believe that the application of this rate produces a result which approximates the amount that would hypothetically satisfy our liability in an arms-length transaction. Estimates for expenditures for 2023 and beyond are $1.5 million in annual fees payable each year thereafter. The expected aggregate undiscounted amount related to this matter is $75.0 million of which $31.1 million, on a discounted basis, has been recognized in environmental liabilities on the balance sheet. Middleport Our Middleport, NY facility is currently a formulation and packaging plant that formerly manufactured arsenic-based and other products. As a result of past manufacturing operations and waste disposal practices at this facility, releases of hazardous substances have occurred at the site that have affected soil, sediment, surface water and groundwater at the facility's property and also in adjacent off-site areas. The impact of our discontinued operations was the subject of an Administrative Order on Consent entered into with the EPA and New York State Department of Environmental Conservation ("NYSDEC", and collectively with EPA, the "Agencies") in 1991, which was replaced by a New Order on Consent and Administrative Settlement with the NYSDEC, effective June 6, 2019 ("2019 Order"). Like the prior order, the 2019 Order requires us to (1) define the nature and extent of contamination caused by our historical plant operations, (2) take interim corrective measures and (3) evaluate Corrective Measure Alternatives ("CMA") for discrete contaminated areas, known as operable units ("OUs") of which there are 11. We have defined the nature and extent of the contamination in certain areas, have constructed an engineered cover, taken certain closure actions regarding RCRA regulated surface water impoundments and are collecting and treating both surface water runoff and ground water. To date, we have evaluated and proposed CMAs for six of the 11 identified operable units. Middleport Reserves Our total reserve for the Middleport site is $130.8 million and $108.2 million at December 31, 2023 and 2022, respectively. FMC is in various stages of evaluating the remaining operable units. The reserve represents the estimated remediation costs for OUs 2,4 and 5 as well as our best estimate for remediation costs associated with the operable unit that comprises the southern portion of the tributary ("OU 6") plus the impact of inflation. In 2023 and 2022, the Middleport site resulted in cash outflows of $12.5 million and $11.7 million respectively. In accordance with the 2019 Order, cash outflows will not exceed an average of $10 million per year until the remediation is complete for activities associated with the 2019 Order. Portland Harbor FMC is listed as a PRP is the Portland Harbor Superfund Site ("Portland Harbor"), that consists of the river sediment and upland area of a 10 mile section of the Lower Willamette River in Portland, Oregon that runs through an industrialized area. Portland Harbor is listed on the federal government’s National Priorities List ("NPL"). FMC formerly owned and operated a manufacturing site adjacent to this section of the river and has since sold its interest in this discontinued business. FMC and several other parties have been sued by the Confederated Bands and Tribes of the Yakama Nation for reimbursement of cleanup costs and the costs of performing a natural damage assessment. Based on the information known to date, we are unable to develop a reasonable estimate of our potential exposure of loss at this time. We intend to defend this matter. In addition, the Portland Harbor Natural Resource Trustee Council ("Trustee Council"), composed of federal, state and tribal trustees, was formed in 2002 to develop and coordinate an assessment of injury to natural resources associated with the Portland Harbor Superfund Site, the restoration of injured natural resources associated with Portland Harbor, and pursue the recovery of natural resources damages associated with Portland Harbor. The Trustee Council has advised the Company that it intends to pursue litigation for the recovery of natural resources damages and of the costs of assessment. To date, no lawsuit has been filed by the Trustee Council against the Company. On January 6, 2017, the EPA issued its ROD for Portland Harbor. On December 30, 2019, FMC and EPA entered into an Administrative Settlement Agreement and Order on Consent to perform the remedial design for the area at and around FMC's former operations. The cost of performing predesign investigation work and preparing the basis of design report is included in our reserves. Based on the current information available in the ROD as well as the large number of responsible parties for Portland Harbor, we are unable to develop a reasonable estimate of our potential exposure of loss for Portland Harbor at this time. Currently, FMC and approximately 100 other parties are involved in a non-judicial allocation process to determine each party’s respective share of the cleanup costs. The allocation process has been ongoing since November 2021 and a final report is expected to be issued in 2025 under the current schedule. We intend to continue defending this matter vigorously. Because of this uncertainty related to the cost of the remedy and the potential share allocable to FMC, we cannot say whether the ultimate resolution of our potential obligations at Portland Harbor will have a material adverse effect on our consolidated financial position, liquidity or results of operations. However, adverse results in the outcome of the allocation could have a material adverse effect on our consolidated financial position, results of operations in any one reporting period, or liquidity. Other Potentially Responsible Party ("PRP") Sites In addition to Portland Harbor, we have been named a PRP at 28 sites on the NPL, at which our potential liability has not yet been settled. We have received notice from the EPA or other regulatory agencies that we may be a PRP, or PRP equivalent, at other sites, including 46 sites at which we have determined that it is probable that we have an environmental liability for which we have recorded an estimate of our potential liability in the consolidated financial statements. At other sites, such as at a former phosphorus facility in Carteret, NJ, we are performing remedial investigation work under state regulatory programs but have not established reserves due to the inability to estimate potential liability at this time. In cooperation with appropriate government agencies, we are currently participating in, or have participated in, an RI/FS, or equivalent, at most of the identified sites, with the status of each investigation varying from site to site. At certain sites, a RI/FS has only recently begun, providing limited information, if any, relating to cost estimates, timing, or the involvement of other PRPs; whereas, at other sites, the studies are complete, remedial action plans have been chosen, or a ROD has been issued. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Domestic and foreign components of income (loss) from continuing operations before income taxes are shown below: Year Ended December 31, (in Millions) 2023 2022 2021 Domestic $ (312.7) $ (89.6) $ (57.5) Foreign 612.9 1,073.5 955.3 Total $ 300.2 $ 983.9 $ 897.8 The provision (benefit) for income taxes attributable to income (loss) from continuing operations consisted of: Year Ended December 31, (in Millions) 2023 2022 2021 Current: Federal $ 58.5 $ 45.7 $ (15.1) Foreign 113.9 152.1 96.6 State 1.1 0.1 0.4 Total current $ 173.5 $ 197.9 $ 81.9 Deferred: Federal $ (82.7) $ (28.6) $ 18.4 Foreign (1,212.0) (27.4) (7.1) State 1.9 3.3 (0.7) Total deferred $ (1,292.8) $ (52.7) $ 10.6 Total $ (1,119.3) $ 145.2 $ 92.5 The effective income tax rate applicable to income from continuing operations before income taxes was different from the statutory U.S. federal income tax rate due to the factors listed in the following table: Year Ended December 31, (in Millions) 2023 2022 2021 U.S. Federal statutory rate $ 63.0 $ 206.6 $ 188.6 Foreign earnings subject to different tax rates (1) (130.7) (152.7) (182.4) State and local income taxes, less federal income tax benefit 2.5 5.5 7.6 Research and development and miscellaneous tax credits (2) (1,154.6) (5.7) (8.6) Tax on dividends, deemed dividends, and GILTI (3) 37.0 24.6 44.5 Changes to unrecognized tax benefits 10.5 10.5 (28.7) Nondeductible expenses 9.3 19.6 11.5 Change in valuation allowance (4) 172.5 71.3 84.7 Exchange gains and losses (5) (18.4) (12.0) (8.6) Other (6) (110.4) (22.5) (16.1) Total Tax Provision $ (1,119.3) $ 145.2 $ 92.5 ____________________ (1) A significant amount of our earnings is generated by our foreign subsidiaries (e.g., Singapore, Hong Kong, and Switzerland), which tax earnings at lower statutory rates than the United States federal statutory rate. Our future effective tax rates may be materially impacted by a future change in the composition of earnings from foreign and domestic tax jurisdictions. (2) The year ended December 31, 2023 is primarily related to ten-year nonrefundable tax credits granted to the Company's Swiss subsidiaries, as discussed further below. (3) The years ended December 31, 2023, 2022, and 2021 includes tax expense of $25.5 million, $17.8 million, and $36.2 million, respectively, associated with the global intangible low-taxed income (GILTI) provisions. (4) The year ended December 31, 2023 is primarily related to the estimated portion of nonrefundable tax credits within our Swiss operations that are not expected to be utilized and net operating losses and other deferred tax assets within our Argentina operations, partially offset by the release of the valuation allowance within our Brazil operations, as described further below. The year ended December 31, 2022 is primarily related to net operating losses and other deferred tax assets within our Brazil and Argentina operations. The year ended December 31, 2021 is primarily related to net operating losses and other deferred tax assets within our Brazil and Luxembourg operations. (5) Includes the impact of transaction gains or losses on net monetary assets for which no corresponding tax expense or benefit is realized and the tax provision for statutory taxable gains or losses in foreign jurisdictions for which there is no corresponding amount in income before taxes. (6) The year ended December 31, 2023 includes a net decrease of approximately $120 million related to adjustments of deferred tax balances in Singapore, Puerto Rico, and Switzerland. The year ended December 31, 2022 included a $39.7 million decrease related to certain deferred tax liabilities as a result of the extension of our incentive tax rate in Puerto Rico. The year ended December 31, 2021 included a $37.1 million decrease related to deferred tax liabilities associated with intercompany investments in foreign subsidiaries. During the three months ended December 31, 2023, the Company’s Swiss subsidiaries were granted ten-year tax incentives effective for 2023 and retroactively for 2021 and 2022. The tax incentives were awarded for the Company’s commitment to invest in additional headcount and transfer significant intellectual property, which is planned for 2024, as well as commitment to establish a new global technology and innovation center in Switzerland. Specifically, the Company was awarded $1,353 million in non-refundable tax credits available for use against Swiss cantonal income taxes. The tax credits are taxable for Swiss federal tax purposes, therefore we have provided a deferred tax liability of approximately $204 million associated with future Swiss federal tax. Net deferred tax benefits of $1,149 million and related valuation allowances of $318 million were recorded during the three months ended December 31, 2023 to reflect the estimated net future reductions in tax of $831 million associated with the incentives. Historically, FMC’s Brazil valuation allowance position was based on long-standing local transfer pricing rules, as well as certain material favorable permanent statutory tax deductions available to FMC Brazil as part of local tax law. During the three months ended June 30, 2023, Brazil passed legislation to conform to Organization for Economic Cooperation and Development ('OECD') transfer pricing rules effective in 2024. Conformity to OECD transfer pricing rules favorably impacts the statutory income level of FMC Brazil. In 2023, the Company continued to monitor its valuation allowance throughout the third and fourth quarters considering this law change. Further, on December 29, 2023, the Brazilian Government enacted new tax law that significantly limits FMC Brazil’s ability to benefit in the future from the material favorable permanent statutory tax deductions previously available as part of local tax law. During the three months ended December 31, 2023, the Company released its FMC Brazil valuation allowance and recorded a tax benefit of approximately $223 million. Significant components of our deferred tax assets and liabilities were attributable to: December 31, (in Millions) 2023 2022 Reserves for discontinued operations, environmental and restructuring $ 144.7 $ 121.4 Accrued pension and other postretirement benefits 9.8 9.6 Capital loss, foreign tax and other credit carryforwards 1,136.0 3.5 Net operating loss carryforwards 411.2 315.2 Deferred expenditures capitalized for tax 94.5 71.3 Other accruals and reserves 234.0 219.3 Deferred tax assets $ 2,030.2 $ 740.3 Valuation allowance, net (588.4) (457.6) Deferred tax assets, net of valuation allowance $ 1,441.8 $ 282.7 Intangibles, Property, plant and equipment, and Investments, net 263.3 393.5 Deferred tax liabilities $ 263.3 $ 393.5 Net deferred tax assets (liabilities) $ 1,178.5 $ (110.8) We evaluate our deferred income taxes quarterly to determine if valuation allowances are required or should be adjusted. GAAP accounting guidance requires companies to assess whether valuation allowances should be established against deferred tax assets based on all available evidence, both positive and negative, using a "more likely than not" standard. In assessing the need for a valuation allowance, appropriate consideration is given to all positive and negative evidence related to the realization of deferred tax assets. This assessment considers, among other matters, the nature and severity of current and cumulative losses, forecasts of future profitability, the duration of statutory carryforward periods, and tax planning alternatives. We operate and derive income across multiple jurisdictions. As our business experiences changes in operating results across its geographic footprint, we may encounter losses in jurisdictions that have been historically profitable, and as a result might require additional valuation allowances to be recorded. We are committed to implementing tax planning actions, when deemed appropriate, in jurisdictions that experience losses in order to realize deferred tax assets prior to their expiration. At December 31, 2023, we had net operating loss and tax credit carryforwards as follows: U.S. state net operating loss carryforwards of $20.3 million (tax-effected) expiring in future tax years through 2042, foreign net operating loss carryforwards of $390.9 million (tax-effected) expiring in various future years, and other tax credit carryforwards of $1,136.0 million expiring in various future years through 2034. During the third quarter of 2021, we changed our indefinite reinvestment assertion in connection with plans to repatriate cash in 2021 and subsequent years, contingent upon earnings from certain foreign subsidiaries, and recorded tax of $1.6 million for the year ended December 31, 2021. Additional income taxes have not been provided for certain other remaining outside basis differences inherent in our investments in foreign subsidiaries because the investments and related unremitted earnings are essentially permanent in duration. Determining the amount of unrecognized deferred tax liability related to indefinitely reinvested earnings of our foreign subsidiaries is not practicable due to the complexity of the multi-jurisdictional tax environment in which we operate. Uncertain Income Tax Positions U.S. GAAP accounting guidance for uncertainty in income taxes prescribes a model for the recognition and measurement of a tax position taken or expected to be taken in a tax return, and provides guidance on derecognition, classification, interest and penalties, disclosure and transition. We file income tax returns in the U.S. federal jurisdiction, and various states and foreign jurisdictions. The income tax returns for FMC entities taxable in the U.S. and significant foreign jurisdictions are open for examination and adjustment. As of December 31, 2023, the U.S. federal and state income tax returns are open for examination and adjustment for the years 2017 - 2023 and 2003 - 2023, respectively. Our significant foreign jurisdictions, which total 13, are open for examination and adjustment during varying periods from 2013 - 2023. As of December 31, 2023, we had total unrecognized tax benefits of $51.2 million, of which $37.1 million would favorably impact the effective tax rate from continuing operations if recognized. As of December 31, 2022, we had total unrecognized tax benefits of $46.1 million, of which $29.5 million would favorably impact the effective tax rate if recognized. Interest and penalties related to unrecognized tax benefits are reported as a component of income tax expense. For the years ended December 31, 2023, 2022 and 2021, we had interest and penalties for a net expense (benefit) of $4.3 million, $2.6 million, and $(4.5) million, respectively, in the consolidated statements of income (loss). As of December 31, 2023 and 2022, we have accrued interest and penalties in the consolidated balance sheets of $16.3 million and $12.0 million, respectively. Due to the potential for resolution of federal, state, or foreign examinations, and the expiration of various jurisdictional statutes of limitation, it is reasonably possible that our liability for unrecognized tax benefits will decrease within the next 12 months by a range of $7.1 million to $27.1 million. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, (in Millions) 2023 2022 2021 Balance at beginning of year $ 46.1 $ 41.9 $ 76.2 Increases related to positions taken in the current year 2.4 4.8 2.4 Increases and decreases related to positions taken in prior years 3.5 2.9 (26.4) Decreases related to lapse of statutes of limitations (0.8) (3.5) (10.3) Settlements during the current year — — — Decreases for tax positions on dispositions — — — Balance at end of year (1) $ 51.2 $ 46.1 $ 41.9 ____________________ (1) |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt maturing within one year: Debt maturing within one year consists of the following: December 31, (in Millions) 2023 2022 Short-term foreign debt (1) $ 98.0 $ 81.8 Commercial paper (2) 739.5 370.5 Total short-term debt $ 837.5 $ 452.3 Current portion of long-term debt 96.5 88.5 Total short-term debt and current portion of long-term debt (3) $ 934.0 $ 540.8 ____________________ (1) At December 31, 2023, the average effective interest rate on the borrowings was 14.2 percent. (2) At December 31, 2023, the average effective interest rate on the borrowings was 6.11 percent. (3) Based on cash generated from operations, our existing liquidity facilities, which includes the revolving credit agreement with the option to increase capacity up to $2.75 billion, and our continued access to debt capital markets, we have adequate liquidity to meet any of the company's debt obligations in the near term. Long-term debt: Long-term debt consists of the following: (in Millions) December 31, 2023 December 31, Interest Rate Percentage Maturity Date 2023 2022 Pollution control and industrial revenue bonds (less unamortized discounts of $0.1 and $0.1, respectively) 6.45% 2032 $ 49.9 $ 49.9 Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) 3.2% - 6.4% 2026 - 2053 2,998.2 1,899.4 2021 Term Loan Facility —% — — 800.0 Revolving Credit Facility (1) 8.0% 2027 — — Foreign debt 14.6% - 17.4% 2024 96.5 88.5 Debt issuance cost (24.5) (16.1) Total long-term debt $ 3,120.1 $ 2,821.7 Less: debt maturing within one year 96.5 88.5 Total long-term debt, less current portion $ 3,023.6 $ 2,733.2 ____________________ (1) Letters of credit outstanding under the Revolving Credit Facility totaled $251.5 million and available funds under this facility were $1,009.0 million at December 31, 2023. Maturities of long-term debt Maturities of long-term debt outstanding, excluding discounts, at December 31, 2023, are $96.5 million in 2024, $0.0 million in 2025, $1,000.0 million in 2026, $0.0 million in 2027, $0.0 million in 2028 and $2,050.0 million thereafter. Senior Notes On May 18, 2023, we issued $500 million aggregate principal amount of 5.150% Senior Notes due 2026, $500 million aggregate principal amount of 5.650% Senior Notes due 2033 and $500 million aggregate principal amount of 6.375% Senior Notes due 2053 (together the "Senior Notes"). The net proceeds from the offering were used to pay down both outstanding commercial paper and the 2021 Term Loan Facility as well as for general corporate purposes. Covenants Among other restrictions, our Revolving Credit Facility contains financial covenants applicable to FMC and its consolidated subsidiaries related to leverage (measured as the ratio of debt to adjusted earnings) and interest coverage (measured as the ratio of adjusted earnings to interest expense). In June 2023, the Company entered into Amendment No. 1 to that certain Fifth Amended and Restated Credit Agreement, dated as of June 17, 2022. In November 2023, the Company further amended its credit agreement to provide additional financial flexibility given current market challenges, which are expected to persist during the covenant relief period. As defined in the amendment, the maximum leverage ratio is increased to 6.50 through the period ending June 30, 2024. The maximum leverage ratio will incrementally step down during the covenant relief period ending at 3.75 for the quarter ended September 30, 2025. The amendment also lowers the minimum interest coverage ratio to 2.50 beginning with the quarter ended December 31, 2023 and then incrementally increases during the covenant relief period. The minimum interest coverage ratio will return to the current level of 3.50 beginning with the quarter ended September 30, 2025. Additionally, the Company shall not repurchase shares during the covenant relief period, with the exception of share repurchases under our equity compensation plans. Our actual leverage for the four consecutive quarters ended December 31, 2023 was 4.17 which is below the maximum leverage of 6.50. Our actual interest coverage for the four consecutive quarters ended December 31, 2023 was 4.13 which is above the minimum interest coverage of 2.50. We were in compliance with all covenants at December 31, 2023. |
Pension and Other Postretiremen
Pension and Other Postretirement Benefits | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefits | Pension and Other Postretirement Benefits The funded status of our U.S. qualified and nonqualified defined benefit pension plans, our Germany, France, and Belgium defined benefit pension plans, plus our U.S. other postretirement healthcare and life insurance benefit plans for continuing operations, together with the associated balances and net periodic benefit cost recognized in our consolidated financial statements as of December 31, are shown in the tables below. We are required to recognize in our consolidated balance sheets the overfunded and underfunded status of our defined benefit postretirement plans. The overfunded or underfunded status is defined as the difference between the fair value of plan assets and the projected benefit obligation. We are also required to recognize as a component of other comprehensive income the actuarial gains and losses and the prior service costs and credits that arise during the period. The following table summarizes the weighted-average assumptions used to determine the benefit obligations at December 31 for the U.S. Plans: Pensions and Other Benefits December 31, 2023 2022 Discount rate qualified 4.97 % 5.16 % Discount rate nonqualified plan 4.78 % 4.99 % Discount rate other benefits 4.83 % 5.03 % Rate of compensation increase 3.10 % 3.10 % The following table summarizes the components of our defined benefit postretirement plans and reflect a measurement date of December 31: Pensions Other Benefits (1) December 31, (in Millions) 2023 2022 2023 2022 Change in projected benefit obligation Projected benefit obligation at January 1 $ 1,044.3 $ 1,354.0 $ 11.2 $ 13.7 Service cost 2.6 3.6 — — Interest cost 50.4 29.3 0.5 0.3 Actuarial loss (gain) (2) 19.0 (256.2) (1.4) (1.7) Foreign currency exchange rate changes and other — (0.5) — — Plan participants’ contributions — — 0.3 0.3 Settlements (1.0) (2.2) — — Benefits paid (83.1) (83.7) (1.4) (1.4) Projected benefit obligation at December 31 $ 1,032.2 $ 1,044.3 $ 9.2 $ 11.2 Change in plan assets Fair value of plan assets at January 1 $ 1,044.1 $ 1,372.0 $ (0.1) $ — Actual return on plan assets 79.2 (245.3) — — Foreign currency exchange rate changes 0.3 3.1 — — Company contributions 1.2 3.5 1.2 1.0 Plan participants’ contributions — — 0.3 0.3 Settlements (0.4) (5.5) — — Benefits paid (83.1) (83.7) (1.4) (1.4) Fair value of plan assets at December 31 $ 1,041.3 $ 1,044.1 $ — $ (0.1) Funded Status U.S. plans with assets $ 30.7 $ 22.4 $ — $ — U.S. plans without assets (14.7) (14.6) (9.2) (11.3) Non-U.S. plans with assets (1.6) (1.2) — — All other plans (5.3) (6.8) — — Net funded status of the plan (liability) $ 9.1 $ (0.2) $ (9.2) $ (11.3) Amount recognized in the consolidated balance sheets: Pension asset (3) $ 30.7 $ 22.4 $ — $ — Accrued benefit liability (4) (21.6) (22.6) (9.2) (11.3) Total $ 9.1 $ (0.2) $ (9.2) $ (11.3) ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. (2) The actuarial loss in 2023 and gain in 2022 were primarily driven by the change in discount rate on the U.S. qualified plan. (3) Recorded as "Other assets including long-term receivables, net" on the consolidated balance sheets. (4) Recorded as "Accrued pension and other postretirement benefits, current" and "Accrued pension and other postretirement benefits, long-term" on the consolidated balance sheets. The amounts in accumulated other comprehensive income (loss) that have not yet been recognized as components of net periodic benefit cost are as follows: Pensions Other Benefits (1) December 31, (in Millions) 2023 2022 2023 2022 Prior service (cost) credit $ (0.1) $ (0.3) $ — $ — Net actuarial (loss) gain (309.9) (337.6) 5.3 4.9 Accumulated other comprehensive income (loss) – pretax $ (310.0) $ (337.9) $ 5.3 $ 4.9 Accumulated other comprehensive income (loss) – net of tax (229.9) (252.7) 3.9 3.6 ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. The accumulated benefit obligation for all pension plans was $1,027.0 million and $1,036.7 million at December 31, 2023 and 2022, respectively. The following table presents the information for pension plans with projected benefit obligation and accumulated benefit obligation in excess of plan assets as of December 31, 2023 and 2022. (in Millions) December 31 2023 2022 Projected benefit obligations $ 25.2 $ 26.2 Accumulated benefit obligations 26.1 26.2 Fair value of plan assets 3.6 3.6 Other changes in plan assets and benefit obligations for continuing operations recognized in other comprehensive loss (income) are as follows: Pensions Other Benefits (1) Year Ended December 31, (in Millions) 2023 2022 2023 2022 Current year net actuarial loss (gain) $ (12.2) $ 22.1 $ (1.4) $ (1.7) Amortization of net actuarial (loss) gain (15.5) (12.4) 1.0 0.8 Amortization of prior service (cost) credit (0.1) (0.2) — — Settlement loss (0.1) (0.5) — — Total recognized in other comprehensive (income) loss, before taxes $ (27.9) $ 9.0 $ (0.4) $ (0.9) Total recognized in other comprehensive (income) loss, after taxes (22.8) 7.2 (0.3) (1.1) ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. The following table summarizes the weighted-average assumptions used for and the components of net annual benefit cost (income): Year Ended December 31, Pensions Other Benefits (1) (in Millions, except for percentages) 2023 2022 2021 2023 2022 2021 Discount rate 5.16 % 2.84 % 2.49 % 5.03 % 2.39 % 1.91 % Expected return on plan assets 4.75 % 2.50 % 2.25 % — — — Rate of compensation increase 3.10 % 3.10 % 3.10 % — — — Components of net annual benefit cost: Service cost $ 2.6 $ 3.6 $ 4.7 $ — $ — $ — Interest cost 50.4 29.3 24.5 0.5 0.3 0.3 Expected return on plan assets (47.5) (33.1) (31.9) — — — Amortization of prior service cost 0.1 0.2 0.2 — — — Amortization of net actuarial and other (gain) loss 15.3 12.4 12.5 (0.9) (0.8) (0.8) Recognized (gain) loss due to curtailments (2) 0.4 — — — — — Recognized (gain) loss due to settlement — 0.5 1.0 — — — Net annual benefit cost (income) $ 21.3 $ 12.9 $ 11.0 $ (0.4) $ (0.5) $ (0.5) ___________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. (2) During the year ended December 31, 2023, as a result of restructuring activities planned in connection with Project Focus, we triggered a curtailment of our U.S. pension plans. The associated curtailment expense is recorded within "Non-operating pension and postretirement charges (income)" on the consolidated statements of income (loss). Our U.S. qualified defined benefit pension plan ("U.S. Plan") holds the majority of our pension plan assets. The expected long-term rate of return on these plan assets was 4.75 percent for the year ended December 31, 2023, 2.50 percent for the year ended December 31, 2022, and 2.25 percent for the year ended December 31, 2021. The expected long-term rate of return on these plan assets increased by 2.25 percent in 2023 compared to 2022 primarily due to fluctuating yields on corporate bonds. In developing the assumption for the long-term rate of return on assets for our U.S. Plan, we take into consideration the technical analysis performed by our outside actuaries, including historical market returns, information on the assumption for long-term real returns by asset class, inflation assumptions and expectations for standard deviation related to these best estimates. Given an actively managed investment portfolio, the expected annual rates of return by asset class for our portfolio, assuming an estimated inflation rate of approximately 2.3 percent, is in line with our assumption for the rate of return on assets. The target asset allocation at December 31, 2023 by asset category continues to be 100 percent fixed income investments. Our U.S. Plan is fully funded and, effective July 1, 2007, all newly hired and rehired salaried and nonunion hourly employees are not eligible for the U.S. Plan. As such, the primary investment strategy is a liability hedging approach with an objective of maintaining the funded status of the plan such that the volatility is minimized and the likelihood that we will be required to make significant contributions to the plan is also limited. The portfolio is comprised of 100 percent fixed income securities and cash. Investment performance and related risks are measured and monitored on an ongoing basis through monthly liability measurements, periodic asset liability studies, and quarterly investment portfolio reviews. We use the fair value approach for our liability-hedging asset class. This class of assets is comprised solely of fixed income securities and therefore, provides a natural hedge (liability-hedging assets) against the changes in the recorded amount of net periodic benefit cost. The following tables present our fair value hierarchy for our major categories of pension plan assets by asset class. See Note 19 to the consolidated financial statements included within this Form 10-K for the definition of fair value and the descriptions of Level 1, 2 and 3 in the fair value hierarchy. (in Millions) December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and short-term investments $ 3.0 $ 3.0 $ — $ — Fixed income investments: Investment contracts 114.9 — 114.9 — U.S. Government Securities 204.6 204.6 — — Mutual funds 13.1 13.1 — — Corporate debt instruments 705.7 — 705.7 — Total assets $ 1,041.3 $ 220.7 $ 820.6 $ — (in Millions) December 31, 2022 Quoted Prices Significant Significant Cash and short-term investments $ 22.8 $ 22.8 $ — $ — Fixed income investments: Investment contracts 116.4 — 116.4 — U.S. Government Securities 207.4 207.4 — — Mutual funds 29.3 29.3 — — Corporate debt instruments 668.2 — 668.2 — Total assets $ 1,044.1 $ 259.5 $ 784.6 $ — We made the following contributions to our pension and other postretirement benefit plans: Year Ended December 31, (in Millions) 2023 2022 U.S. qualified pension plan $ — $ — U.S. nonqualified pension plan 1.1 3.4 Non-U.S. plans 0.1 0.1 Other postretirement benefits 1.2 1.0 Total $ 2.4 $ 4.5 The following table reflects the estimated future benefit payments for our pension and other postretirement benefit plans. These estimates take into consideration expected future service, as appropriate: Estimated Net Future Benefit Payments (in Millions) 2024 2025 2026 2027 2028 2029 - 2033 Pension Benefits $ 88.5 $ 85.5 $ 85.3 $ 83.3 $ 81.9 $ 382.4 Other Benefits 1.3 1.2 1.1 1.1 1.0 3.6 FMC Corporation Savings and Investment Plan . The FMC Corporation Savings and Investment Plan is a qualified salary-reduction plan under Section 401(k) of the Internal Revenue Code in which substantially all of our U.S. employees may participate by contributing a portion of their compensation. For eligible employees participating in the Plan, except for those employees covered by certain collective bargaining agreements, the Company makes matching contributions of 80 percent of the portion of those contributions up to 5 percent of the employee’s compensation. Eligible employees participating in the Plan that do not participate in the U.S. qualified pension plan are entitled to receive an employer contribution of 5 percent of the employee’s eligible compensation. Charges against income for all contributions were $19.1 million in 2023, $17.5 million in 2022, and $15.6 million in 2021. |
Share-based Compensation
Share-based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-based Compensation | Share-based Compensation Stock Compensation Plans We have a share-based compensation plan, which has been approved by the stockholders, for certain employees, officers and directors. This plan is described below. FMC Corporation Incentive Compensation and Stock Plan The FMC Corporation 2023 Incentive Stock Plan (the "Plan") was approved on April 27, 2023, and provides for the grant of a variety of cash and equity awards to officers, directors, employees and consultants, including stock options, restricted stock, performance units (including restricted stock units), stock appreciation rights, and multi-year management incentive awards payable partly in cash and partly in common stock. The Compensation and Organization Committee of the Board of Directors (the "Committee"), subject to the provisions of the Plan, approves financial targets, award grants, and the times and conditions for payment of awards to employees. The Plan replaced the FMC Corporation Incentive Compensation and Stock Plan (the "2017 Plan"), as amended and restated on April 25, 2017. The maximum number of shares of our common stock that may be issued under the Plan is based on the sum of: (i) 5.0 million shares, (ii) the number of shares remaining available for grant under the 2017 Plan (1.6 million shares), and (iii) the number of shares underlying the 2017 Plan awards that were outstanding as of April 27, 2023, to the extent those shares are recycled into the Plan (in connection with the forfeiture, termination, cancellation or expiration). Historically, forfeitures of awards have been immaterial and this population is not expected to have a significant impact on the total approved share balance. Approximately 6.6 million shares of common stock are available for future grants of share based awards under the Plan as of December 31, 2023. The FMC Corporation Non-Employee Directors’ Compensation Policy, administered by the Nominating and Corporate Governance Committee of the Board of Directors, sets forth the compensation to be paid to the directors, including stock options, stock appreciation rights, restricted stock, restricted stock units, performance-based restricted stock units, and cash awards to be made to directors under the Plan. Stock options granted under the Plan may be incentive or nonqualified stock options. The exercise price for stock options may not be less than the fair market value of the stock at the date of grant. Awards granted under the Plan vest or become exercisable or payable at the time designated by the Committee, which has generally been three years from the date of grant. Incentive and nonqualified options granted under the Plan expire no later than 10 years from the grant date. Under the Plan, awards of restricted stock and restricted stock units may be made to selected employees. The awards vest over periods designated by the Committee, which has generally been three years, with vesting conditional upon continued employment. Compensation cost is recognized over the vesting periods based on the market value of the stock on the date of the award. Restricted stock units granted to directors under the Plan vest immediately if granted as part of, or in lieu of, the annual retainer; other restricted stock units granted to directors vest at the Annual Meeting of Shareholders in the calendar year following the May 1 annual grant date (but are subject to forfeiture on a pro rata basis if the director does not serve the full year except under certain circumstances). At December 31, 2023 and 2022, there were restricted stock units representing an aggregate of 173,487 shares and 284,201 shares of common stock, respectively, credited to the directors’ accounts. Stock Compensation We recognized the following stock compensation expense: Year Ended December 31, (in Millions) 2023 2022 2021 Stock option expense, net of taxes of $1.5 in 2023, $1.3 in 2022 and $1.0 in 2021 (1) $ 5.9 $ 4.9 $ 3.7 Restricted stock expense, net of taxes of $2.4 in 2023, $2.3 in 2022 and $1.9 in 2021 (2) 9.0 8.5 7.2 Performance based expense, net of taxes of $1.5 in 2023, $1.5 in 2022 and $0.8 in 2021 5.6 5.7 3.2 Total stock compensation expense, net of taxes of $5.4 in 2023, $5.1 in 2022 and $3.7 in 2021 (3) $ 20.5 $ 19.1 $ 14.1 ____________________ (1) We applied an estimated forfeiture rate of 4.0% per stock option grant in the calculation of the expense. (2) We applied an estimated forfeiture rate of 2.0% of outstanding grants in the calculation of the expense. (3) This expense is classified as "Selling, general and administrative expenses" in our consolidated statements of income (loss). We received $5.3 million, $9.4 million and $7.9 million in cash related to stock option exercises for the years ended December 31, 2023, 2022 and 2021, respectively. The shares used for the exercise of stock options occurring during the years ended December 31, 2023, 2022 and 2021 came from treasury shares. Stock Options The grant-date fair values of the stock options we granted in the years ended December 31, 2023, 2022 and 2021 were estimated using the Black-Scholes option valuation model, the key assumptions for which are listed in the table below. The dividend yield assumption reflects anticipated dividends on our common stock. The expected volatility assumption is based on the actual historical experience of our common stock. The expected life represents the period of time that options granted are expected to be outstanding. The risk-free interest rate is based on U.S. Treasury securities with terms equal to the expected timing of stock option exercises as of the grant date. Employee stock options generally vest after a three year period and expire ten years from the date of grant. Black Scholes valuation assumptions for stock option grants: 2023 2022 2021 Expected dividend yield 1.80% 1.85% 1.83% Expected volatility 31.99% 33.18% 32.75% Expected life (in years) 6.5 6.5 6.5 Risk-free interest rate 4.00% 1.91% 0.92% The weighted-average grant-date fair value of options granted during the years ended December 31, 2023, 2022 and 2021 was $42.08, $33.53 and $28.31 per share, respectively. The following summary shows stock option activity for employees under the Plan for the three years ended December 31, 2023: (Shares in Thousands) Number of Options Granted But Not Exercised Weighted-Average Remaining Contractual Life Weighted-Average Exercise Price Per Share Aggregate Intrinsic Value (in Millions) December 31, 2020 (388 shares exercisable and 818 shares expected to vest or be exercised) 1,235 7.0 years $ 70.44 $ 54.9 Granted 235 105.00 Exercised (166) 49.56 9.8 Forfeited (50) 89.18 December 31, 2021 (605 shares exercisable and 622 shares expected to vest or be exercised) 1,254 6.2 years $ 78.95 $ 38.8 Granted 248 114.90 Exercised (166) 62.74 9.6 Forfeited (31) 102.32 December 31, 2022 (672 shares exercisable and 607 shares expected to vest or be exercised) 1,305 6.1 years $ 87.35 $ 48.9 Granted 222 128.92 Exercised (88) 62.42 4.6 Forfeited (43) 114.15 December 31, 2023 (824 shares exercisable and 551 shares expected to vest or be exercised) 1,396 5.6 years $ 94.73 $ 1.6 The number of stock options indicated in the above table as being exercisable as of December 31, 2023, had an intrinsic value of $1.6 million, a weighted-average remaining contractual term of 3.9 years, and a weighted-average exercise price of $79.37. As of December 31, 2023, we had total remaining unrecognized compensation cost related to unvested stock options of $6.7 million which will be amortized over the weighted-average remaining requisite service period of approximately 1.55 years. Restricted and Performance Based Equity Awards The grant-date fair value of restricted stock awards and stock units under the Plan is based on the market price per share of our common stock on the date of grant. The related compensation cost is amortized to expense on a straight-line basis over the vesting period during which the employees perform related services, which is typically three years except for those eligible for retirement prior to the stated vesting period as well as non-employee directors. We grant performance based share awards which represent a target number of shares of common stock to be awarded upon settlement based on the achievement of certain performance metrics. The primary performance metric is based on a total shareholder return ("TSR") relative to peer companies over a three year period. The secondary performance metric is based on a three year cumulative operating cash flow metric The following table shows our employee restricted award activity for the three years ended December 31, 2023: Restricted Equity Performance Based Equity (Number of Awards in Thousands) Number of awards Weighted-Average Grant Date Fair Value Per Share Number of Weighted-Average Grant Date Fair Value Per Share Nonvested at December 31, 2020 298 $ 79.91 202 $ 88.48 Granted 95 102.10 79 103.26 Vested (108) 73.82 (86) 77.44 Forfeited (15) 90.05 — — Nonvested at December 31, 2021 270 $ 89.56 195 $ 96.18 Granted 103 114.50 45 140.32 Vested (102) 77.80 (102) 83.74 Forfeited (14) 102.64 (2) 125.60 Nonvested at December 31, 2022 257 $ 104.54 136 $ 120.47 Granted 118 110.71 81 137.18 Vested (78) 93.32 (58) 108.57 Forfeited (15) 114.88 (6) 136.25 Nonvested at December 31, 2023 282 $ 109.67 153 $ 131.60 As of December 31, 2023, we had total remaining unrecognized compensation cost related to unvested restricted awards of $12.2 million which will be amortized over the weighted-average remaining requisite service period of approximately 1.85 years. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Equity | Equity The following is a summary of our capital stock activity over the past three years: Common Stock Shares Treasury Stock Shares December 31, 2020 185,983,792 56,630,209 Stock options and awards — (300,594) Repurchases of common stock, net — 3,954,698 December 31, 2021 185,983,792 60,284,313 Stock options and awards — (286,805) Repurchases of common stock, net — 875,480 December 31, 2022 185,983,792 60,872,988 Stock options and awards — (301,008) Repurchases of common stock, net — 651,052 December 31, 2023 185,983,792 61,223,032 Accumulated other comprehensive income (loss) Summarized below is the roll forward of accumulated other comprehensive income (loss), net of tax. (in Millions) Foreign currency adjustments Derivative Instruments (1) Pension and other postretirement benefits (2) Total Accumulated other comprehensive income (loss), net of tax at December 31, 2020 $ 24.0 $ (71.8) $ (232.9) $ (280.7) 2021 Activity Other comprehensive income (loss) before reclassifications $ (86.5) $ 44.1 $ (17.4) $ (59.8) Amounts reclassified from accumulated other comprehensive income (loss) — 5.5 9.5 15.0 Accumulated other comprehensive income (loss), net of tax at December 31, 2021 $ (62.5) $ (22.2) $ (240.8) $ (325.5) 2022 Activity Other comprehensive income (loss) before reclassifications $ (102.2) $ (65.4) $ (15.7) $ (183.3) Amounts reclassified from accumulated other comprehensive income (loss) 4.2 35.9 9.1 49.2 Accumulated other comprehensive income (loss), net of tax at December 31, 2022 $ (160.5) $ (51.7) $ (247.4) $ (459.6) 2023 Activity Other comprehensive income (loss) before reclassifications $ 29.2 $ (72.4) $ 11.4 $ (31.8) Amounts reclassified from accumulated other comprehensive income (loss) — 73.9 11.0 84.9 Accumulated other comprehensive income (loss), net of tax at December 31, 2023 $ (131.3) $ (50.2) $ (225.0) $ (406.5) ____________________ (1) See Note 19 to the consolidated financial statements included within this Form 10-K for more information. (2) See Note 14 to the consolidated financial statements included within this Form 10-K for more information. Reclassifications of accumulated other comprehensive income (loss) The table below provides details about the reclassifications from accumulated other comprehensive income (loss) and the affected line items in the consolidated statements of income (loss) for each of the periods presented. Details about Accumulated Other Comprehensive Income (Loss) Components Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) (1) Affected Line Item in the Consolidated Statements of Income (Loss) Year Ended December 31, (in Millions) 2023 2022 2021 Foreign currency translation adjustments: Exit from Russian Operations (2) $ — $ (4.2) $ — Restructuring and other charges (income) Derivative instruments: Gain (loss) on foreign currency contracts $ (110.5) $ (57.5) $ (4.7) Costs of sales and services Gain (loss) on foreign currency contracts 7.3 6.5 1.7 Selling, general and administrative expenses Gain (loss) on interest rate contracts (2.4) (4.0) (4.2) Interest expense, net Total before tax $ (105.6) $ (55.0) $ (7.2) 31.7 19.1 1.7 Provision for income taxes Amount included in net income $ (73.9) $ (35.9) $ (5.5) Pension and other postretirement benefits (3) : Amortization of prior service costs $ (0.1) $ (0.1) $ (0.2) Selling, general and administrative expenses Amortization of unrecognized net actuarial and other gains (losses) (13.8) (10.9) (10.8) Non-operating pension and postretirement charges (income) Recognized loss due to curtailment and settlement — (0.5) (1.0) Non-operating pension and postretirement charges (income); Discontinued operations, net of income taxes Total before tax $ (13.9) $ (11.5) $ (12.0) 2.9 2.4 2.5 Provision for income taxes; Discontinued operations, net of income taxes Amount included in net income $ (11.0) $ (9.1) $ (9.5) Total reclassifications for the period $ (84.9) $ (49.2) $ (15.0) Amount included in net income ____________________ (1) Amounts in parentheses indicate charges to the consolidated statements of income (loss). (2) The reclassification of historical cumulative translation adjustments was the result of the exit from our Russian operations. See Note 8 within these consolidated financial statements for more information. (3) Pension and other postretirement benefits amounts include the impact from both continuing and discontinued operations. For detail on the continuing operations components of pension and other postretirement benefits, see Note 14 to the consolidated financial statements included within this Form 10-K. Dividends and Share Repurchases On January 18, 2024, we paid dividends totaling $72.5 million to our shareholders of record as of December 29, 2023. This amount is included in "Accrued and other liabilities" on the consolidated balance sheets as of December 31, 2023. For the years ended December 31, 2023, 2022 and 2021, we paid $290.5 million, $267.5 million and $247.2 million in dividends, respectively. In February 2022, the Board of Directors authorized the repurchase of up to $1 billion of the Company's common stock. The $1 billion share repurchase program replaced in its entirety the previous authorization. In 2023, 651,052 shares were repurchased under the publicly announced repurchase program. At December 31, 2023, approximately $825 million remained unused under our Board-authorized repurchase program. This repurchase program does not include a specific timetable or price targets and may be suspended or terminated at any time. Shares may be purchased through open market or privately negotiated transactions at the discretion of management based on its evaluation of market conditions and other factors. We also reacquire shares from time to time from employees in connection with the vesting, exercise and forfeiture of awards under our equity compensation plans. Beginning January 1, 2023, share repurchases in excess of issuances are subject to a 1% excise tax imposed by the Inflation Reduction Act. This tax is included as part of the cost basis of the shares acquired and was not material during the year ended December 31, 2023. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Earnings per common share ("EPS") is computed by dividing net income by the weighted average number of common shares outstanding during the period on a basic and diluted basis. Our potentially dilutive securities include potential common shares related to our stock options, restricted stock and restricted stock units. Diluted earnings per share ("Diluted EPS") considers the impact of potentially dilutive securities except in periods in which there is a loss because the inclusion of the potential common shares would have an antidilutive effect. Diluted EPS excludes the impact of potential common shares related to our stock options in periods in which the option exercise price is greater than the average market price of our common stock for the period. For the years ended December 31, 2023, 2022 and 2021 there were 0.7 million, 0.4 million and 0.2 million potential common shares excluded from Diluted EPS, respectively. Our non-vested restricted stock awards contain rights to receive non-forfeitable dividends, and thus, are participating securities requiring the two-class method of computing EPS. The two-class method determines EPS by dividing the sum of distributed earnings to common stockholders and undistributed earnings allocated to common stockholders by the weighted average number of shares of common stock outstanding for the period. In calculating the two-class method, undistributed earnings are allocated to both common shares and participating securities based on the weighted average shares outstanding during the period. Earnings applicable to common stock and common stock shares used in the calculation of basic and diluted earnings per share are as follows: (in Millions, Except Share and Per Share Data) Year Ended December 31, 2023 2022 2021 Earnings (loss) attributable to FMC stockholders: Continuing operations, net of income taxes $ 1,420.0 $ 833.7 $ 807.8 Discontinued operations, net of income taxes (98.5) (97.2) (68.2) Net income (loss) attributable to FMC stockholders $ 1,321.5 $ 736.5 $ 739.6 Less: Distributed and undistributed earnings allocable to restricted award holders (2.7) (1.7) (1.8) Net income (loss) allocable to common stockholders $ 1,318.8 $ 734.8 $ 737.8 Basic earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 11.34 $ 6.60 $ 6.29 Discontinued operations (0.79) (0.77) (0.53) Net income (loss) $ 10.55 $ 5.83 $ 5.76 Diluted earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 11.31 $ 6.58 $ 6.26 Discontinued operations (0.78) (0.77) (0.53) Net income (loss) $ 10.53 $ 5.81 $ 5.73 Shares (in thousands): Weighted average number of shares of common stock outstanding - Basic 125,060 125,975 128,403 Weighted average additional shares assuming conversion of potential common shares 473 732 743 Shares – diluted basis 125,533 126,707 129,146 |
Financial Instruments, Risk Man
Financial Instruments, Risk Management and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments, Risk Management and Fair Value Measurements | Financial Instruments, Risk Management and Fair Value Measurements Our financial instruments include cash and cash equivalents, trade receivables, other current assets, certain receivables classified as other long-term assets, accounts payable, and amounts included in investments and accruals meeting the definition of financial instruments. The carrying value of these financial instruments approximates their fair value. Our other financial instruments include the following: Financial Instrument Valuation Method Foreign exchange forward contracts Estimated amounts that would be received or paid to terminate the contracts at the reporting date based on current market prices for applicable currencies. Commodity forward and option contracts Estimated amounts that would be received or paid to terminate the contracts at the reporting date based on quoted market prices for applicable commodities. Debt Our estimates and information obtained from independent third parties using market data, such as bid/ask spreads for the last business day of the reporting period. The estimated fair value of the financial instruments in the above table have been determined using standard pricing models which take into account the present value of expected future cash flows discounted to the balance sheet date. These standard pricing models utilize inputs derived from, or corroborated by, observable market data such as interest rate yield curves and currency and commodity spot and forward rates. In addition, we test a subset of our valuations against valuations received from the transaction's counterparty to validate the accuracy of our standard pricing models. Accordingly, the estimates presented may not be indicative of the amounts that we would realize in a market exchange at settlement date and do not represent potential gains or losses on these agreements. The estimated fair values of foreign exchange forward contracts, commodity forward and option contracts, and interest rate contracts are included in the tables within this Note. The estimated fair value of debt is $3,988.2 million and $3,118.6 million and the carrying amount is $3,957.6 million and $3,274.0 million as of December 31, 2023 and 2022, respectively. Use of Derivative Financial Instruments to Manage Risk We mitigate certain financial exposures, including currency risk, commodity purchase exposures and interest rate risk through a program of risk management that includes the use of derivative financial instruments. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We formally document all relationships between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes relating derivatives that are designated as fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. We also assess both at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. If we determine that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, we discontinue hedge accounting with respect to that derivative prospectively. Foreign Currency Exchange Risk Management We conduct business in many foreign countries, exposing earnings, cash flows, and our financial position to foreign currency risks. The majority of these risks arise as a result of foreign currency transactions. Our policy is to minimize exposure to adverse changes in currency exchange rates. This is accomplished through a controlled program of risk management that includes the use of foreign currency debt and forward foreign exchange contracts. We also use forward foreign exchange contracts to hedge firm and highly anticipated foreign currency cash flows, with an objective of balancing currency risk to provide adequate protection from significant fluctuations in the currency markets. The primary currencies for which we have exchange rate exposure are the U.S. dollar versus the Brazilian real, Chinese yuan, Indian rupee, euro, Mexican peso and Argentine peso. Commodity Price Risk We are exposed to risks in energy costs due to fluctuations in energy prices, including natural gas, electricity, and other commodities. We attempt to mitigate our exposure to increasing energy costs by entering into physical and financial derivative contracts to hedge the cost of future deliveries of our commodities. Interest Rate Risk We use various strategies to manage our interest rate exposure, including entering into interest rate swap agreements to achieve a targeted mix of fixed and variable-rate debt. In the agreements we exchange, at specified intervals, the difference between fixed and variable-interest amounts calculated on an agreed-upon notional principal amount. Concentration of Credit Risk Our counterparties to derivative contracts are primarily major financial institutions. We limit the dollar amount of contracts entered into with any one financial institution and monitor counterparties’ credit ratings. We also enter into master netting agreements with each financial institution, where possible, which helps mitigate the credit risk associated with our financial instruments. While we may be exposed to credit losses due to the nonperformance of counterparties, we consider this risk remote. Financial Guarantees and Letter-of-Credit Commitments We enter into various financial instruments with off-balance sheet risk as part of the normal course of business. These off-balance sheet instruments include financial guarantees and contractual commitments to extend financial guarantees under letters of credit and other assistance to customers. See Notes 1 and 20 to the consolidated financial statements included within this Form 10-K for more information. Decisions to extend financial guarantees to customers, and the amount of collateral required under these guarantees, is based on our evaluation of creditworthiness on a case-by-case basis. Accounting for Derivative Instruments and Hedging Activities Cash Flow Hedges We recognize all derivatives on the balance sheet at fair value. On the date we enter into the derivative instrument, we generally designate the derivative as a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge). We record in AOCI changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. In contrast we immediately record in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. As of December 31, 2023, we had open foreign currency forward contracts in AOCI in a net after-tax loss position of $5.3 million designated as cash flow hedges of underlying forecasted sales and purchases. Current open contracts hedge forecasted transactions until December 31, 2024. At December 31, 2023, we had open forward contracts with various expiration dates to buy, sell or exchange foreign currencies with a U.S. dollar equivalent of approximately $841.7 million. At December 31, 2023 we had no interest rate swap contracts. In conjunction with the issuance of the Senior Notes on May 18, 2023, we settled on various interest rate swap agreements, which were entered into to hedge the variability in treasury rates. This settlement resulted in a gain of $29.7 million, which was recorded in other comprehensive income and will be amortized over the various terms of the Senior Notes. Refer to Note 13 for further details on the Senior Notes. Additionally, in prior periods, we settled on various interest rate swap agreements related to several bond issuances to hedge the variability in treasury rates and recorded a loss in other comprehensive income, which is also being amortized over the various terms of those notes. As of December 31, 2023, there was a remaining net after-tax loss of $27.8 million in AOCI related to these settlements. As of December 31, 2023, we had no open commodity contracts in AOCI designated as cash flow hedges of underlying forecasted purchases. At December 31, 2023, we had no mmBTUs (millions of British Thermal Units) in aggregate notional volume of outstanding natural gas commodity forward contracts. Approximately $5.3 million of net after-tax losses, representing open foreign currency exchange contracts will be realized in earnings during the twelve months ending December 31, 2024 if spot rates in the future are consistent with forward rates as of December 31, 2023. The actual effect on earnings will be dependent on the actual spot rates when the forecasted transactions occur. We recognize derivative gains and losses in the "Costs of sales and services" line in the consolidated statements of income (loss). Derivatives Not Designated As Hedging Instruments We hold certain forward contracts that have not been designated as cash flow hedging instruments for accounting purposes. Contracts used to hedge the exposure to foreign currency fluctuations associated with certain monetary assets and liabilities are not designated as cash flow hedging instruments, and changes in the fair value of these items are recorded in earnings. We had open forward contracts not designated as cash flow hedging instruments for accounting purposes with various expiration dates to buy, sell or exchange foreign currencies with a U.S. dollar equivalent of approximately $1,860.7 million at December 31, 2023. Fair Value of Derivative Instruments The following tables provide the gross fair value and net balance sheet presentation of our derivative instruments as of December 31, 2023 and 2022: December 31, 2023 Gross Amount of Derivatives (in Millions) Designated as Cash Flow Hedges Not Designated as Hedging Instruments Total Gross Amounts Gross Amounts Offset in the Consolidated Balance Sheet (3) Net Amounts Derivatives Foreign exchange contracts $ 2.7 $ 3.0 $ 5.7 $ (5.5) $ 0.2 Total derivative assets (1) $ 2.7 $ 3.0 $ 5.7 $ (5.5) $ 0.2 Foreign exchange contracts $ (9.7) $ (7.4) $ (17.1) $ 5.5 $ (11.6) Total derivative liabilities (2) $ (9.7) $ (7.4) $ (17.1) $ 5.5 $ (11.6) Net derivative assets (liabilities) $ (7.0) $ (4.4) $ (11.4) $ — $ (11.4) December 31, 2022 Gross Amount of Derivatives (in Millions) Designated as Cash Flow Hedges Not Designated as Hedging Instruments Total Gross Amounts Gross Amounts Offset in the Consolidated Balance Sheet (3) Net Amounts Derivatives Foreign exchange contracts $ 10.5 $ 6.4 $ 16.9 $ (16.1) $ 0.8 Interest rate contracts 12.4 — 12.4 — 12.4 Total derivative assets (1) $ 22.9 $ 6.4 $ 29.3 $ (16.1) $ 13.2 Foreign exchange contracts $ (25.1) $ (8.8) $ (33.9) $ 16.1 $ (17.8) Total derivative liabilities (2) $ (25.1) $ (8.8) $ (33.9) $ 16.1 $ (17.8) Net derivative assets (liabilities) $ (2.2) $ (2.4) $ (4.6) $ — $ (4.6) ____________________ (1) Net balance is included in "Prepaid and other current assets" in the consolidated balance sheets. (2) Net balance is included in "Accrued and other liabilities" in the consolidated balance sheets. (3) Represents net derivatives positions subject to master netting arrangements. The following tables summarize the gains or losses related to our cash flow hedges and derivatives not designated as hedging instruments: Derivatives in Cash Flow Hedging Relationships Contracts (in Millions) Foreign exchange Interest rate Total Accumulated other comprehensive income (loss), net of tax at December 31, 2020 $ (11.6) $ (60.2) $ (71.8) 2021 Activity Unrealized hedging gains (losses) and other, net of tax $ 40.5 $ 3.6 $ 44.1 Reclassification of deferred hedging (gains) losses, net of tax (1) 2.2 3.3 5.5 Total derivative instrument impact on comprehensive income, net of tax $ 42.7 $ 6.9 $ 49.6 Accumulated other comprehensive income (loss), net of tax at December 31, 2021 $ 31.1 $ (53.3) $ (22.2) 2022 Activity Unrealized hedging gains (losses) and other, net of tax $ (86.3) $ 20.9 $ (65.4) Reclassification of deferred hedging (gains) losses, net of tax (1) 32.8 3.1 35.9 Total derivative instrument impact on comprehensive income, net of tax $ (53.5) $ 24.0 $ (29.5) Accumulated other comprehensive income (loss), net of tax at December 31, 2022 $ (22.4) $ (29.3) $ (51.7) 2023 Activity Unrealized hedging gains (losses) and other, net of tax $ (72.0) $ (0.4) $ (72.4) Reclassification of deferred hedging (gains) losses, net of tax (1) 72.0 1.9 73.9 Total derivative instrument impact on comprehensive income, net of tax $ — $ 1.5 $ 1.5 Accumulated other comprehensive income (loss), net of tax at December 31, 2023 $ (22.4) $ (27.8) $ (50.2) ____________________ (1) Amounts are included in "Costs of sales and services", "Selling, general and administrative expenses", and "Interest expense" on the consolidated statements of income (loss). Derivatives Not Designated as Hedging Instruments Amount of Pre-tax Gain (Loss) Recognized in Income on Derivatives (1) Year Ended December 31, (in Millions) 2023 2022 2021 Foreign exchange contracts $ (33.7) $ (37.2) $ (47.7) Total $ (33.7) $ (37.2) $ (47.7) ____________________ (1) Amounts in the columns represent the gain or loss on the derivative instrument offset by the gain or loss on the hedged item. These amounts are included in "Costs of sales and services" and to a lesser extent "Selling, general, and administrative expenses" on the consolidated statements of income (loss). Fair Value Measurements Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Market participants are defined as buyers or sellers in the principle or most advantageous market for the asset or liability that are independent of the reporting entity, knowledgeable and able and willing to transact for the asset or liability. Fair Value Hierarchy We have categorized our assets and liabilities that are recorded at fair value, based on the priority of the inputs to the valuation technique, into a three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure the assets and liabilities fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument. Recurring Fair Value Measurements The following tables present our fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis in our consolidated balance sheets: (in Millions) December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Derivatives – Foreign exchange (1) $ 0.2 $ — $ 0.2 $ — Derivatives - Interest Rate (1) — — — — Other (2) (3) 47.1 23.8 — 23.3 Total Assets $ 47.3 $ 23.8 $ 0.2 $ 23.3 Liabilities Derivatives – Foreign exchange (1) $ 11.6 $ — $ 11.6 $ — Derivatives - Interest Rate (1) — — — — Other (2) 24.4 24.4 — — Total Liabilities $ 36.0 $ 24.4 $ 11.6 $ — (in Millions) December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Derivatives – Foreign exchange (1) $ 0.8 $ — $ 0.8 $ — Derivatives - Interest Rate (1) 12.4 — 12.4 — Other (2) (3) 41.8 22.5 — 19.3 Total Assets $ 55.0 $ 22.5 $ 13.2 $ 19.3 Liabilities Derivatives – Foreign exchange (1) $ 17.8 $ — $ 17.8 $ — Derivatives - Interest Rate (1) — — — — Other (2) 23.5 23.5 — — Total Liabilities $ 41.3 $ 23.5 $ 17.8 $ — ____________________ (1) See the Fair Value of Derivative Instruments table within this Note for classifications on our consolidated balance sheets. (2) Includes a deferred compensation arrangement, through which we hold various investment securities, recognized on our balance sheet. Both the asset and liability are recorded at fair value. Asset amounts included in "Other assets including long-term receivables, net" in the consolidated balance sheets. Liability amounts are included in "Other long-term liabilities" in the consolidated balance sheets. (3) FMC maintains a beneficial interest in a trade receivables securitization fund. The fair value of the beneficial interest is determined by calculating the expected amount of cash to be received on the fund’s outstanding credit notes. As part of this evaluation, we rely on unobservable inputs, including estimating the anticipated credit losses. We consider historical information, current conditions and other reasonable factors as part of this assessment. Asset amounts are included in "Other assets including long-term receivables, net" in the consolidated balance sheets. Nonrecurring Fair Value Measurements There were no non-recurring fair value measurements in the consolidated balance sheets during the periods presented. |
Guarantees, Commitments and Con
Guarantees, Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Guarantees, Commitments, and Contingencies | Guarantees, Commitments and Contingencies We continue to monitor the conditions that are subject to guarantees and indemnifications to identify whether a liability must be recognized in our financial statements. The following table provides the estimated undiscounted amount of potential future payments for each major group of guarantees at December 31, 2023. These guarantees arise during the ordinary course of business from relationships with customers and nonconsolidated affiliates. Non-performance by the guaranteed party triggers the obligation requiring us to make payments to the beneficiary of the guarantee. Based on our experience these types of guarantees have not had a material effect on our consolidated financial position or on our liquidity. Our expectation is that future payment or performance related to the non-performance of others is considered unlikely. (in Millions) Guarantees: Guarantees of vendor financing - short term (1) $ 69.6 Other debt guarantees (2) 67.9 Total $ 137.5 ____________________ (1) Represents guarantees to financial institutions on behalf of certain customers for their seasonal borrowing. The short-term amount is recorded as "Guarantees of vendor financing" on the consolidated balance sheets. (2) These guarantees represent the outstanding commitment provided to third-party banks for credit extended to various direct and indirect customers and nonconsolidated affiliates. The liability for the guarantees is recorded at an amount that approximates fair value (i.e. representing the stand-ready obligation) based on our historical collection experience and a current assessment of credit exposure. Historically, the fair value of these guarantees has been and continues to be in the current reporting period, immaterial and the majority of these guarantees have had an expiration date of less than one year. Excluded from the chart above are parent-company guarantees we provide to lending institutions that extend credit to our foreign subsidiaries. Since these guarantees are provided for consolidated subsidiaries, the consolidated financial position is not affected by the issuance of these guarantees. Also excluded from the chart, in connection with our property and asset sales and divestitures, we have agreed to indemnify the buyer for certain liabilities, including environmental contamination and taxes that occurred prior to the date of sale or provided guarantees to third parties relating to certain contracts assumed by the buyer. Our indemnification or guarantee obligations with respect to certain liabilities may be indefinite as to duration and may or may not be subject to a deductible, minimum claim amount or cap. As such, it is not possible for us to predict the likelihood that a claim will be made or to make a reasonable estimate of the maximum potential loss or range of loss. If triggered, we may be able to recover some of the indemnity payments from third parties. Therefore, we have not recorded any specific liabilities for these guarantees. For certain obligations related to our divestitures for which we can make a reasonable estimate of the maximum potential loss or range of loss and is probable, a liability in those instances has been recorded. Commitments Purchase Obligations Our minimum commitments under our take-or-pay purchase obligations associated with the sourcing of materials and energy total approximately $325.4 million as of December 31, 2023. Since the majority of our minimum obligations under these contracts are over the life of the contract on a year-by-year basis, we are unable to determine the periods in which these obligations could be payable under these contracts. However, we intend to fulfill the obligations associated with these contracts through our purchases associated with the normal course of business. Contingencies Securities Litigation. On November 9, 2023, a purported FMC shareholder filed a putative class action complaint ( Heeg v. FMC Corporation, et al. ) in the U.S. District Court for the Eastern District of Pennsylvania (“EDPA”) and named as defendants FMC and certain of its current executives (the “Defendants”). The complaint alleges, generally, that FMC made misrepresentations regarding business, operations, and prospects, including allegations that the Defendants failed to disclose: (1) the diminishment of patent protection for flagship products in certain markets, including India, China, and Brazil; and (2) the status of proceedings related to FMC’s patent protection efforts. The complaint alleges violations of Section 10(b) of the Securities Exchange Act of 1934 (“Exchange Act”) and Rule 10b-5 promulgated thereunder, as well as Section 20(a) of the Exchange Act. The complaint seeks unspecified damages and other relief on behalf of all persons and entities who purchased or otherwise acquired FMC stock during the period November 2, 2022 to October 20, 2023. On November 14, 2023, a purported FMC shareholder filed Employer-Teamsters Local v. FMC Corporation, et al. , a putative class action complaint in the EDPA, asserting similar claims against the same defendants, based on similar substantive allegations as Heeg . The complaint seeks unspecified damages and other relief on behalf of all persons and entities who purchased or otherwise acquired FMC stock during the period November 2, 2022 to October 20, 2023. On December 7, 2023, a purported FMC shareholder filed Oklahoma Firefighters Pension v. FMC Corporation, et al. , a putative class action complaint in the EDPA, asserting similar claims against the same defendants, based on similar substantive allegations as Heeg . The complaint seeks unspecified damages and other relief on behalf of all persons and entities who purchased or otherwise acquired FMC stock during the period February 9, 2022 to October 20, 2023. In January 2024, certain shareholders filed motions to consolidate the various putative cases and to appoint them as lead plaintiff. The district court has not yet ruled on the motions. By stipulation of the parties, the Defendants have no obligation to respond to the complaints until after a lead plaintiff is appointed and an operative complaint is identified or a consolidated amended complaint is filed. FMC believes the Defendants have meritorious defenses and intends to defend itself and the Defendants vigorously. Asbestos claims . Like hundreds of other industrial companies, we have been named as one of many defendants in asbestos-related personal injury litigation. Most of these cases allege personal injury or death resulting from exposure to asbestos in premises of FMC or to asbestos-containing components installed in machinery or equipment manufactured or sold by discontinued operations. We intend to continue managing these asbestos-related cases in accordance with our historical experience. We have established a reserve for this litigation within our discontinued operations and believe that any exposure of a loss in excess of the established reserve cannot be reasonably estimated. Our experience has been that the overall trends in asbestos litigation have changed over time. Over the last several years, we have seen changes in the jurisdictions where claims against FMC are being filed and changes in the mix of products named in the various claims. Because these claim trends have yet to form a predictable pattern, we are presently unable to reasonably estimate our asbestos liability with respect to claims that may be filed in the future. Paraquat cases. Along with Chevron USA Inc. and Syngenta AG, FMC has been named in approximately 500 cases pending in the Philadelphia Court of Common Pleas Mass Tort Program; these cases are in a preliminary pleading phase under review by the presiding judge. In general, plaintiffs allege they were exposed to paraquat, and as a result of this exposure, they developed disease or other health conditions. Chevron and Syngenta (or their predecessors) were registrants of paraquat products in the United States. FMC is not aware of ever having registered any paraquat products in the United States. FMC believes the Company has meritorious defenses and intends to defend itself vigorously. Other contingent liabilities . In addition to the matters disclosed above, we have certain other contingent liabilities arising from litigation, claims, products we have sold, guarantees or warranties we have made, contracts we have entered into, indemnities we have provided, and other commitments or obligations incident to the ordinary course of business. In Brazil, we are subject to claims from various governmental agencies regarding alleged additional indirect (non-income) taxes or duties as well as product liability matters and labor cases related to our operations. These disputes take many years to resolve as the matters move through administrative or judicial courts. We have provided reserves for such Brazilian matters that we consider probable and for which a reasonable estimate of the obligation can be made in the amount of $5.8 million and $6.2 million as of December 31, 2023 and 2022, respectively. The aggregate estimated reasonably possible loss contingencies related to such Brazilian matters exceed amounts accrued by approximately $92 million at December 31, 2023. We defend these cases vigorously through to final judgment at the final level of adjudication. This reasonably possible estimate is based upon information available as of the date of the filing and the actual future losses may be higher given the uncertainties regarding the ultimate decision by administrative or judicial authorities in Brazil. In India, we are subject to audits or other proceedings by tax authorities regarding certain alleged additional indirect taxes related to our operations. Indian tax authorities have recently begun auditing or investigating many companies, including our FMC subsidiary in India, on the goods and service tax ("GST") indirect tax law which came into force in 2017. Such proceedings and potential future litigations, in which the tax authorities are challenging the technical tax position taken by the Company, take many years to resolve as the matters are heard and decided upon by tax authorities or courts. We have provided reserves for such historical Indian tax matters that we consider probable and a reasonable estimate of the obligation as of December 31, 2021 was approximately $33.5 million. As of December 31, 2023, the majority of these matters have been settled and the remaining obligation is immaterial. The timing and amount of the remaining obligations will vary based on final negotiations and the reserve will be reduced as these payments are made. Regarding other contingencies arising from operations, some of these contingencies are known - for example pending product liability litigation or claims - but are so preliminary that the merits cannot be determined, or if more advanced, are not deemed material based on current knowledge. Some contingencies are unknown - for example, claims with respect to which we have no notice or claims which may arise in the future, resulting from products we have sold, guarantees or warranties we have made, or indemnities we have provided. Therefore, we are unable to develop a reasonable estimate of our potential exposure of loss for these contingencies, either individually or in the aggregate, at this time. Based on information currently available and established reserves, we have no reason to believe that the ultimate resolution of our known contingencies, including the matters described in this Note, will have a material adverse effect on our consolidated financial position, liquidity or results of operations. However, there can be no assurance that the outcome of these contingencies will be favorable, and adverse results in certain of these contingencies could have a material adverse effect on our consolidated financial position, results of operations in any one reporting period, or liquidity. See Note 11 to the consolidated financial statements included within this Form 10-K for the Portland Harbor site for legal proceedings associated with our environmental contingencies. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information As discussed in Note 1 to the consolidated financial statements included within this Form 10-K, we operate as a single business segment providing innovative solutions to growers around the world with a robust product portfolio fueled by a market-driven discovery and development pipeline in crop protection, plant health, and professional pest and turf management. For revenue by major geographical region, refer to Note 3 to the consolidated financial statements included within this Form 10-K. The following table provides our long-lived assets by major geographical region: (in Millions) December 31, 2023 2022 Long-lived assets (1) North America (2) $ 1,063.4 $ 1,060.7 Latin America 714.8 759.0 Europe, Middle East, and Africa (2) 1,718.2 1,684.1 Asia (2) 1,964.1 2,018.2 Total $ 5,460.5 $ 5,522.0 ____________________ (1) Geographic long-lived assets exclude long-term deferred income taxes. (2) The countries with long-lived assets in excess of 10 percent of consolidated long-lived assets at December 31, 2023 and 2022 are Singapore, which totaled $1,699.6 million and $1,745.0 million, the U.S., which totaled $1,036.7 million and $1,047.4 million and Denmark, which totaled $1,334.0 million and $1,075.7 million, respectively. |
Supplemental Information
Supplemental Information | 12 Months Ended |
Dec. 31, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Supplemental Information | Supplemental Information The following tables present details of prepaid and other current assets, other assets including long-term receivables, net, accrued and other liabilities and other long-term liabilities as presented on the consolidated balance sheets: (in Millions) December 31, 2023 2022 Prepaid and other current assets Prepaid insurance $ 15.3 $ 12.6 Tax related items including value added tax receivables 241.9 172.4 Refund asset (1) 59.5 36.8 Environmental obligation recoveries (Note 11) 1.5 3.2 Derivative assets (Note 19) 0.2 13.2 Other prepaid and current assets 80.5 105.4 Total $ 398.9 $ 343.6 (in Millions) December 31, 2023 2022 Other assets including long-term receivables, net Non-current receivables (Note 9) $ 19.5 $ 60.8 Advance to contract manufacturers 97.1 119.4 Capitalized software, net 123.3 133.0 Environmental obligation recoveries (Note 11) 3.4 3.2 Beneficial interest in trade receivables securitization (Note 19) 23.3 19.3 Income taxes indirect benefits 19.7 21.2 Operating lease ROU asset (Note 17) 121.8 123.8 Deferred compensation arrangements (Note 19) 23.8 22.5 Pension and other postretirement benefits (Note 14) 30.7 22.4 Other long-term assets 26.9 34.9 Total $ 489.5 $ 560.5 (1) In accordance with revenue standard requirements, a sales return liability is recognized for the consideration paid by a customer to which FMC does not expect to be entitled, together with a corresponding refund asset to recover the product from the customer. See (1) below. (in Millions) December 31, 2023 2022 Accrued and other liabilities Restructuring reserves (Note 8) $ 47.4 $ 7.6 Dividend payable (Note 16) 72.5 72.7 Accrued payroll 55.5 99.8 Environmental reserves, current, net of recoveries (Note 11) 97.4 90.1 Derivative liabilities (Note 19) 11.6 17.8 Furadan ® product exit asset retirement obligations (Note 1) 5.0 10.0 Operating lease current liabilities (Note 17) 24.4 22.0 Other accrued and other liabilities (1) 371.0 281.8 Total $ 684.8 $ 601.8 (in Millions) December 31, 2023 2022 Other long-term liabilities Restructuring reserves (Note 8) $ 3.0 $ 3.0 Asset retirement obligations, long-term (Note 1) 1.4 6.0 Transition tax related to Tax Cuts and Jobs Act (2) 23.3 62.6 Contingencies related to uncertain tax positions (Note 12) 62.4 52.4 Deferred compensation arrangements (Note 19) 24.4 23.5 Self-insurance reserves (primarily workers' compensation) 2.3 3.4 Lease obligations (Note 17) 123.2 128.6 Reserve for discontinued operations (Note 10) 135.6 127.2 Unfavorable contracts 5.6 10.1 Other long-term liabilities 26.2 28.6 Total $ 407.4 $ 445.4 ____________________ (1) Other accrued and other liabilities includes our estimated liability for sales returns. (2) Represents noncurrent portion of overall transition tax to be paid over the next two years. |
SCHEDULE II_Valuation and Quali
SCHEDULE II—Valuation and Qualifying Accounts and Reserves | 12 Months Ended |
Dec. 31, 2023 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II - Valuation and Qualifying Accounts and Reserves | SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES Provision (Benefit) (in Millions) Balance, Beginning of Year Charged to Costs and Expenses Charged to Other Comprehensive Income Net recoveries, write-offs and other (1) Balance, End of Year December 31, 2023 Reserve for doubtful accounts (2) $ 78.4 6.3 — (28.5) $ 56.2 Deferred tax valuation allowance 457.6 130.5 0.3 — 588.4 December 31, 2022 Reserve for doubtful accounts (2) $ 65.1 (0.5) — 13.8 $ 78.4 Deferred tax valuation allowance 398.7 61.5 (2.6) — 457.6 December 31, 2021 Reserve for doubtful accounts (2) $ 52.6 21.1 — (8.6) $ 65.1 Deferred tax valuation allowance 335.6 61.4 1.7 — 398.7 ____________________ (1) Write-offs are net of recoveries. (2) Includes short-term and long-term portion. |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly financial information (unaudited) | Quarterly Financial Information (Unaudited) (in Millions, Except Share and Per Share Data) 2023 2022 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Revenue $ 1,344.3 $ 1,014.5 $ 981.9 $ 1,146.1 $ 1,350.8 $ 1,452.3 $ 1,377.2 $ 1,622.0 Gross margin 581.3 432.8 381.2 435.7 572.7 591.0 477.5 685.6 Income (loss) from continuing operations before equity in (earnings) loss of affiliates, non-operating pension and postretirement charges (income), interest expense, net and income taxes 304.5 132.2 100.8 18.1 303.3 235.9 210.6 394.5 Income (loss) from continuing operations 207.4 53.9 4.6 1,153.6 226.8 142.0 134.5 335.4 Discontinued operations, net of income taxes (11.5) (21.5) (8.3) (57.2) (15.2) (10.8) (16.2) (55.0) Net income (loss) $ 195.9 $ 32.4 $ (3.7) $ 1,096.4 $ 211.6 $ 131.2 $ 118.3 $ 280.4 Less: Net income (loss) attributable to noncontrolling interests (0.1) 1.9 (0.2) (2.1) 4.2 (3.0) (2.7) 6.5 Net income (loss) attributable to FMC stockholders $ 196.0 $ 30.5 $ (3.5) $ 1,098.5 $ 207.4 $ 134.2 $ 121.0 $ 273.9 Amounts attributable to FMC stockholders: Continuing operations, net of income taxes $ 207.5 $ 52.0 $ 4.8 $ 1,155.7 $ 222.6 $ 145.0 $ 137.2 $ 328.9 Discontinued operations, net of income taxes (11.5) (21.5) (8.3) (57.2) (15.2) (10.8) (16.2) (55.0) Net income (loss) $ 196.0 $ 30.5 $ (3.5) $ 1,098.5 $ 207.4 $ 134.2 $ 121.0 $ 273.9 Basic earnings (loss) per common share attributable to FMC stockholders (1) : Continuing operations $ 1.65 $ 0.41 $ 0.04 $ 9.23 $ 1.77 $ 1.15 $ 1.09 $ 2.61 Discontinued operations (0.09) (0.17) (0.07) (0.46) (0.12) (0.09) (0.13) (0.44) Basic net income (loss) per common share $ 1.56 $ 0.24 $ (0.03) $ 8.77 $ 1.65 $ 1.06 $ 0.96 $ 2.17 Diluted earnings (loss) per common share attributable to FMC stockholders (1) : Continuing operations $ 1.64 $ 0.41 $ 0.04 $ 9.23 $ 1.76 $ 1.15 $ 1.08 $ 2.61 Discontinued operations (0.09) (0.17) (0.07) (0.46) (0.12) (0.09) (0.13) (0.44) Diluted net income (loss) per common share $ 1.55 $ 0.24 $ (0.03) $ 8.77 $ 1.64 $ 1.06 $ 0.95 $ 2.17 Weighted average shares outstanding: Basic 125.3 125.1 124.9 124.9 126.1 126.2 126.2 125.6 Diluted 126.1 125.7 125.3 125.2 126.8 126.9 126.9 126.4 ____________________ (1) The sum of quarterly earnings per common share may differ from the full-year amount. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||||||||||
Net income (loss) attributable to FMC stockholders | $ 1,098.5 | $ (3.5) | $ 30.5 | $ 196 | $ 273.9 | $ 121 | $ 134.2 | $ 207.4 | $ 1,321.5 | $ 736.5 | $ 739.6 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Principal Accounting Policies_2
Principal Accounting Policies and Related Financial Information (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of consolidation and basis of presentation | Basis of consolidation and basis of presentation . The accompanying consolidated financial statements of FMC Corporation and its subsidiaries were prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). Our consolidated financial statements include the accounts of FMC and all entities that we directly or indirectly control. All significant intercompany accounts and transactions are eliminated in consolidation. |
Estimates and assumptions | Estimates and assumptions . In preparing the financial statements in conformity with U.S. GAAP we are required to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results are likely to differ from those estimates, but we do not believe such differences will materially affect our financial position, results of operations or cash flows. |
Cash equivalents | Cash equivalents . We consider investments in all liquid debt instruments with original maturities of 3 months or less to be cash equivalents. |
Trade receivables, net of allowance | Trade receivables, net of allowance . Trade receivables consist of amounts owed to us from customer sales and are recorded when revenue is recognized. The allowance for trade receivables represents our best estimate of the probable losses associated with potential customer defaults. In developing our allowance for trade receivables, we use a two-stage process which includes calculating a general formula to develop an allowance to appropriately address the uncertainty surrounding collection risk of our entire portfolio and specific allowances for customers where the risk of collection has been reasonably identified either due to liquidity constraints or disputes over contractual terms and conditions. Our methodology considers current economic conditions as well as forward-looking expectations about expected credit loss. Our method of calculating the general formula consists of estimating the recoverability of trade receivables based on historical experience, current collection trends, and external business factors such as economic factors, including regional bankruptcy rates, and political factors. Our analysis of trade receivable collection risk is performed quarterly, and the allowance is adjusted accordingly. We also hold long-term receivables that represent long-term customer receivable balances related to past-due accounts which are not expected to be collected within the current year. Our policy for the review of the allowance for these receivables is consistent with the discussion in the preceding paragraph above on trade receivables. Therefore, on an ongoing basis, we continue to evaluate the credit quality of our long-term receivables utilizing aging of receivables, collection experience and write-offs, as well as existing economic conditions, to determine if an additional allowance is necessary. |
Investments | Investments |
Inventories | Inventories |
Property, plant and equipment | Property, plant and equipment . We record property, plant and equipment, including capitalized interest, at cost. We recognize acquired property, plant and equipment, from acquisitions at its estimated fair value. Depreciation is provided principally on the straight-line basis over the estimated useful lives of the assets (land improvements — 20 years, buildings and building equipment — 15 to 40 years, and machinery and equipment — 3 to 18 years). Gains and losses are reflected in income upon sale or retirement of assets. Expenditures that extend the useful lives of property, plant and equipment or increase productivity are capitalized. Ordinary repairs and maintenance are expensed as incurred through operating expense. |
Capitalized interest | Capitalized interest . We capitalized interest costs of $9.3 million, $5.6 million, and $3.4 million in 2023, 2022, and 2021, respectively. These costs were primarily associated with the construction of certain long-lived assets and have been capitalized as part of the cost of those assets. We amortize capitalized interest over the assets’ estimated useful lives. |
Impairments of long-lived assets | Impairments of long-lived assets . We review the recovery of the net book value of long-lived assets whenever events and circumstances indicate that the net book value of an asset may not be recoverable from the estimated undiscounted future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the net book value, we recognize an impairment loss equal to an amount by which the net book value exceeds the fair value of the asset. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less cost to sell. |
Asset retirement obligations | Asset retirement obligations . We record asset retirement obligations ("AROs") at fair value at the time the liability is incurred if we can reasonably estimate the settlement date. The associated AROs are capitalized as part of the carrying amount of related long-lived assets. In future periods, the liability is accreted to its present value and the capitalized cost is depreciated over the useful life of the related asset. We also adjust the liability for changes resulting from the passage of time and/or revisions to the timing or the amount of the original estimate. Upon retirement of the long-lived asset, we either settle the obligation for its recorded amount or incur a gain or loss. We have obligations at the majority of our manufacturing facilities in the event of permanent plant shutdown. For certain AROs not already accrued, we have calculated the fair value of these AROs and concluded that the present value of these obligations was inconsequential at December 31, 2023 and 2022. |
Restructuring and other charges | Restructuring and other charges . We continually perform strategic reviews and assess the return on our business. This sometimes results in a plan to restructure the operations of our business. We record an accrual for severance and other exit costs under the provisions of the relevant accounting guidance. See Note 8 to the consolidated financial statements included within this Form 10-K for more information on Project Focus, the global restructuring program announced in December 2023. Additionally, as part of these restructuring plans, write-downs of long-lived assets may occur. Two types of assets are impacted: assets to be disposed of by sale and assets to be abandoned. Assets to be disposed of by sale are measured at the lower of carrying amount or estimated net proceeds from the sale. Assets to be abandoned with no remaining future service potential are written down to amounts expected to be recovered. The useful life of assets to be abandoned that have a remaining future service potential are adjusted and depreciation is recorded over the adjusted useful life. |
Capitalized software | Capitalized software. |
Goodwill and intangible assets | Goodwill and intangible assets . Goodwill and other indefinite life intangible assets are not subject to amortization. Instead, they are subject to at least an annual assessment for impairment by applying a fair value-based test. We test goodwill and indefinite life intangibles for impairment annually using the criteria prescribed by U.S. GAAP accounting guidance for goodwill and other intangible assets. Based upon our annual impairment assessments conducted in 2023, 2022 and 2021, we did not record any goodwill or intangible asset impairments. |
Revenue recognition | Revenue recognition . We recognize revenue when (or as) we satisfy our performance obligation which is when the customer obtains control of the good or service. Rebates due to customers are accrued as a reduction of revenue in the same period that the related sales are recorded based on the contract terms. Refer to Note 3 to the consolidated financial statements included within this Form 10-K for further details. We record amounts billed for shipping and handling fees as revenue. Costs incurred for shipping and handling are recorded as costs of sales and services. Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue-producing transactions are presented on a net basis and excluded from sales in the consolidated income statements. We record a liability until remitted to the respective taxing authority. We periodically enter into prepayment arrangements with customers and receive advance payments for product to be delivered in future periods. These advance payments are recorded as deferred revenue and classified as "Advance payments from customers" on the consolidated balance sheet. Revenue associated with advance payments is recognized as shipments are made and transfer of control to the customer takes place. We earn revenue from the sale of a wide range of products to a diversified base of customers around the world. We develop, market and sell all three major classes of crop protection chemicals (insecticides, herbicides and fungicides) as well as biologicals, crop nutrition, and seed treatment products, which we group as plant health. These products are used in agriculture to enhance crop yield and quality by controlling a broad spectrum of insects, weeds and disease, as well as in non-agricultural markets for pest control. The majority of our product lines consist of insecticides and herbicides, with a smaller portfolio of fungicides mainly used in high value crop segments. We are investing in plant health, which includes our growing biological products. Our insecticides are used to control a wide spectrum of pests, while our herbicide portfolio primarily targets a large variety of difficult-to-control weeds. Products in the other category include various agricultural products such as smaller classes of pesticides, growth promoters, and other miscellaneous revenue sources. Sale of Goods Revenue from product sales is recognized when (or as) we satisfy a performance obligation by transferring the promised goods to a customer, that is, when control of the good transfers to the customer. The customer is then invoiced at the agreed-upon price with payment terms generally ranging from 30 to 90 days, with some regions providing terms longer than 90 days. We do not typically give payment terms that exceed 360 days; however, in certain geographical regions such as Latin America, these terms may be given in limited circumstances. Additionally, a timing difference of over one year can exist between when products are delivered to the customer and when payment is received from the customer in these regions; however, the effect of these sales is not material to the financial statements as a whole. Furthermore, we have assessed the circumstances and arrangements in these regions and determined that the contracts with these customers do not contain a significant financing component. In determining when the control of goods is transferred, we typically assess, among other things, the transfer of risk and title and the shipping terms of the contract. The transfer of title and risk typically occurs either upon shipment to the customer or upon receipt by the customer. As such, we typically recognize revenue when goods are shipped based on the relevant Incoterm for the product order, or in some regions, when delivery to the customer’s requested destination has occurred. When we perform shipping and handling activities after the transfer of control to the customer (e.g., when control transfers prior to delivery), they are considered as fulfillment activities, and accordingly, the costs are accrued for when the related revenue is recognized. For FOB shipping point terms, revenue is recognized at the time of shipment since the customer gains control at this point in time. We record amounts billed for shipping and handling fees as revenue. Costs incurred for shipping and handling are recorded as costs of sales and services. Amounts billed for sales and use taxes, value-added taxes, and certain excise and other specific transactional taxes imposed on revenue-producing transactions are presented on a net basis and excluded from sales in the consolidated income statements. We record a liability until remitted to the respective taxing authority. Sales Incentives and Other Variable Considerations As a part of our customary business practice, we offer a number of sales incentives to our customers including volume discounts, retailer incentives, and prepayment options. The variable considerations given can differ by products, support levels and other eligibility criteria. For all such contracts that include any variable consideration, we estimate the amount of variable consideration that should be included in the transaction price utilizing either the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in our judgment, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Although determining the transaction price for these considerations requires significant judgment, we have significant historical experience with incentives provided to customers and estimate the expected consideration considering historical patterns of incentive payouts. These estimates are reassessed each reporting period as required. In addition to the variable considerations described above, in certain instances, we may require our customers to meet certain volume thresholds within their contract term. We estimate what amount of variable consideration should be included in the transaction price at contract inception and continually reassess this estimation each reporting period to determine situations when the minimum volume thresholds will not be met. Right of Return We extend an assurance warranty offering customers a right of refund or exchange in case delivered product does not conform to specifications. Additionally, in certain regions and arrangements, we may offer a right of return for a specified period. Both instances are accounted for as a right of return and transaction price is adjusted for an estimate of expected returns. Replacement products are accounted for under the warranty guidance if the customer exchanges one product for another of the same kind, quality, and price. We have significant experience with historical return patterns and use this experience to include returns in the estimate of transaction price. Contract Asset and Contract Liability Balances We satisfy our obligations by transferring goods and services in exchange for consideration from customers. The timing of performance sometimes differs from the timing the associated consideration is received from the customer, thus resulting in the recognition of a contract asset or contract liability. We recognize a contract liability if the customer's payment of consideration is received prior to completion of our related performance obligation. The balance of receivables from contracts with customers listed in the table above include both current trade receivables and long-term receivables, net of allowance for doubtful accounts. The allowance for receivables represents our best estimate of the probable losses associated with potential customer defaults. We determine the allowance based on historical experience, current collection trends, and external business factors such as economic factors, including regional bankruptcy rates, and political factors. The change in allowance for doubtful accounts for both current trade receivables and long-term receivables for any period is representative of the impairment or the write-off of receivables. Refer to Note 9 to the consolidated financial statements included within this Form 10-K for further information. We periodically enter into prepayment arrangements with customers and receive advance payments for product to be delivered in future periods. Prepayment terms are extended to customers/distributors in order to capitalize on surplus cash with growers. Growers receive bulk payments for their produce, which they leverage to buy our products from distributors through prepayment options. This in turn creates opportunity for distributors to make large prepayments to us for securing the future supply of products to be sold to growers. Prepayments are typically received in the fourth quarter of the fiscal year, and are for the following marketing year indicating that the time difference between prepayment and performance of corresponding performance obligations does not exceed one We recognize these prepayments as a liability under "Advance payments from customers" on the consolidated balance sheets when they are received. Revenue associated with advance payments is recognized as shipments are made and transfer of control to the customer takes place. Advance payments from customers was $482.1 million as of December 31, 2023 and $680.5 million as of December 31, 2022. Performance Obligations At contract inception, we assess the goods and services promised in our contracts with customers and identify a performance obligation for each promise to transfer a good or service (or bundle of goods or services) that is distinct. To identify the performance obligations, we consider all the goods or services promised in the contract, whether explicitly stated or implied based on customary business practices. Based on our evaluation, we have determined that our current contracts do not contain more than one performance obligation. Revenue is recognized when (or as) the performance obligation is satisfied, which is when the customer obtains control of the good or service. Periodically, we may enter into contracts with customers which require them to submit a forecast of non-binding purchase obligations to us. These forecasts are typically provided by the customer to us in good faith, and there are no penalties or obligations if the forecasts are not met. Accordingly, we have determined that these are optional purchases and do not represent material rights and are not considered as unsatisfied (or partially satisfied) performance obligations for the purposes of this disclosure. In separate and less common circumstances, we may have contracts with customers which have binding purchase requirements for just one quarter of their annual forecasts. Additionally, as noted in the Contract Liabilities section above, we periodically enter into agricultural prepayment arrangements with customers, and receive advance payments for product to be delivered in future periods within one year. We have elected not to disclose the aggregate amount of the transaction price allocated to remaining performance obligations for these two types of contracts as they have an expected duration of one year or less and the revenue is expected to be recognized within the next year. Other Arrangements Data Licensing We sometimes grant to third parties a license and right to rely upon pesticide regulatory data filed with government agencies. Such licenses allow a licensee to cite and rely upon our data in connection with the licensee’s application for pesticide registrations as required by law; these licenses can be granted through contract or through a mandatory statutory license, depending on circumstances. In the most common occurrence, when a license is embedded in a contract for supply of pesticide active ingredient from us to the licensee, the license grant is not considered as distinct from other promised goods or services. Accordingly, all promises are treated as a single performance obligation and revenue is recognized at a point when the control of the pesticide products is transferred to the licensee-customer. In the less frequent occurrence, when the license and right to use data is granted without a supply contract, we account for the revenue attributable to the data license as a performance obligation satisfied at a single point in time and recognize revenue on the effective date of such contract. Finally, in those circumstance of mandatory data licensing by statute, such as under U.S. pesticide law, we recognize the data compensation upon the effective date of the data compensation settlement agreement. Payment terms for these arrangements may vary by contract. Service Arrangements In limited cases, we engage in providing certain tolling services, such as filling and packing services using raw and packing materials supplied by the customer. Depending on the nature of the tolling services, we determine the appropriate method of satisfaction of the performance obligation, which may be the input or output method. Compared to other goods and services provided by us, service arrangements do not represent a significant portion of sales each year. Payment terms for service arrangements may vary by contract; however, payment is typically due within 30 days of the invoice date. Practical Expedients and Exemptions We have elected the following practical expedients following the adoption of ASC 606: a. Costs of obtaining a contract: FMC incurs certain costs such as sales commissions which are incremental to obtaining the contract. We have taken the practical expedient of expensing such costs to obtain a contract, as and when they are incurred, as their expected amortization period is one year or less. b. Significant financing component: We elected not to adjust the promised amount of consideration for the effects of a significant financing component if FMC expects, at contract inception, that the period between the transfer of a promised good or service to a customer and when the customer pays for that good or service will be one year or less. c. Remaining performance obligations: We elected not to disclose the aggregate amount of the transaction price allocated to remaining performance obligations for its contracts that are one year or less, as the revenue is expected to be recognized within one year. Additionally, we have elected not to disclose information about variable considerations for remaining, wholly unsatisfied performance obligations for which the criteria in paragraph 606-10-32-40 have been met. d. Shipping and handling costs : We elected to account for shipping and handling activities that occur after the customer has obtained control of a good as fulfillment activities (i.e., an expense) rather than as a promised service. e. Measurement of transaction price: We have elected to exclude from the measurement of transaction price all taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction and collected by us from a customer. |
Research and development | Research and development . Research and development costs are expensed as incurred. In-process research and development acquired as part of asset acquisitions, which include license and development agreements, are expensed as incurred and included as a component of "Restructuring and other charges (income)" on the consolidated statements of income (loss). |
Income and other taxes | Income and other taxes . We provide current income taxes on income reported for financial statement purposes adjusted for transactions that do not enter into the computation of income taxes payable. We recognize deferred tax liabilities and assets for the expected future tax consequences of temporary differences between the carrying amounts and the tax basis of assets and liabilities. We have not provided income taxes for other outside basis differences inherent in our investments in subsidiaries because the investments and related unremitted earnings are essentially permanent in duration or we have concluded that no additional tax liability will arise upon disposal or remittance. |
Foreign currency | Foreign currency . We translate the assets and liabilities of our foreign operations at exchange rates in effect at the balance sheet date. For foreign operations where the functional currency is not the U.S. dollar we record translation gains and losses as a component of accumulated other comprehensive income (loss) in equity. The foreign operations' income statements are translated at the monthly exchange rates for the period. |
Derivative financial instruments | Derivative financial instruments . We mitigate certain financial exposures, including currency risk, interest rate risk and to a lesser extent commodity price exposures, through a controlled program of risk management that includes the use of derivative financial instruments when applicable. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We recognize all derivatives on the balance sheet at fair value. On the date the derivative instrument is entered into, we generally designate the derivative as either a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge) or a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge). We record in accumulated other comprehensive income (loss) changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. We record immediately in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. Use of Derivative Financial Instruments to Manage Risk We mitigate certain financial exposures, including currency risk, commodity purchase exposures and interest rate risk through a program of risk management that includes the use of derivative financial instruments. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We formally document all relationships between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes relating derivatives that are designated as fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. We also assess both at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. If we determine that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, we discontinue hedge accounting with respect to that derivative prospectively. Foreign Currency Exchange Risk Management We conduct business in many foreign countries, exposing earnings, cash flows, and our financial position to foreign currency risks. The majority of these risks arise as a result of foreign currency transactions. Our policy is to minimize exposure to adverse changes in currency exchange rates. This is accomplished through a controlled program of risk management that includes the use of foreign currency debt and forward foreign exchange contracts. We also use forward foreign exchange contracts to hedge firm and highly anticipated foreign currency cash flows, with an objective of balancing currency risk to provide adequate protection from significant fluctuations in the currency markets. The primary currencies for which we have exchange rate exposure are the U.S. dollar versus the Brazilian real, Chinese yuan, Indian rupee, euro, Mexican peso and Argentine peso. Commodity Price Risk We are exposed to risks in energy costs due to fluctuations in energy prices, including natural gas, electricity, and other commodities. We attempt to mitigate our exposure to increasing energy costs by entering into physical and financial derivative contracts to hedge the cost of future deliveries of our commodities. Interest Rate Risk We use various strategies to manage our interest rate exposure, including entering into interest rate swap agreements to achieve a targeted mix of fixed and variable-rate debt. In the agreements we exchange, at specified intervals, the difference between fixed and variable-interest amounts calculated on an agreed-upon notional principal amount. Concentration of Credit Risk Our counterparties to derivative contracts are primarily major financial institutions. We limit the dollar amount of contracts entered into with any one financial institution and monitor counterparties’ credit ratings. We also enter into master netting agreements with each financial institution, where possible, which helps mitigate the credit risk associated with our financial instruments. While we may be exposed to credit losses due to the nonperformance of counterparties, we consider this risk remote. Financial Guarantees and Letter-of-Credit Commitments We enter into various financial instruments with off-balance sheet risk as part of the normal course of business. These off-balance sheet instruments include financial guarantees and contractual commitments to extend financial guarantees under letters of credit and other assistance to customers. See Notes 1 and 20 to the consolidated financial statements included within this Form 10-K for more information. Decisions to extend financial guarantees to customers, and the amount of collateral required under these guarantees, is based on our evaluation of creditworthiness on a case-by-case basis. Accounting for Derivative Instruments and Hedging Activities Cash Flow Hedges We recognize all derivatives on the balance sheet at fair value. On the date we enter into the derivative instrument, we generally designate the derivative as a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge). We record in AOCI changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. In contrast we immediately record in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. |
Treasury stock | Treasury stock . We record shares of common stock repurchased at cost as treasury stock, resulting in a reduction of stockholders’ equity in the consolidated balance sheets. When the treasury shares are contributed under our employee benefit plans or issued for option exercises, we use a FIFO method for determining cost. The difference between the cost of the shares and the market price at the time of contribution to an employee benefit plan is added to or deducted from the related capital in excess of par value of common stock. |
Segment information | Segment information . We operate as a single business segment providing innovative solutions to growers around the world. The business is supported by global corporate staff functions. The determination of a single segment is consistent with the financial information regularly reviewed by the chief executive officer for purposes of evaluating performance, allocating resources, setting incentive compensation targets and both planning and forecasting future periods. Refer to Note 3 to the consolidated financial statements included within this Form 10-K for further information on product and regional revenues. |
Stock compensation plans | Stock compensation plans |
Environmental obligations | Environmental obligations . We provide for environmental-related obligations when they are probable and amounts can be reasonably estimated. Where the available information is sufficient to estimate the amount of liability, that estimate has been used. Where the information is only sufficient to establish a range of probable liability and no point within the range is more likely than any other, the lower end of the range has been used. Estimated obligations to remediate sites that involve oversight by the United States Environmental Protection Agency ("EPA"), or similar government agencies, are generally accrued no later than when a Record of Decision ("ROD"), or equivalent, is issued, or upon completion of a Remedial Investigation/Feasibility Study ("RI/FS"), or equivalent, that is submitted by us and the appropriate government agency or agencies. Estimates are reviewed quarterly and, if necessary, adjusted as additional information becomes available. The estimates can change substantially as additional information becomes available regarding the nature or extent of site contamination, required remediation methods, and other actions by or against governmental agencies or private parties. Our environmental liabilities for continuing and discontinued operations are principally for costs associated with the remediation and/or study of sites at which we are alleged to have released hazardous substances into the environment. Such costs principally include, among other items, RI/FS, site remediation, costs of operation and maintenance of the remediation plan, management costs, fees to outside law firms and consultants for work related to the environmental effort, and future monitoring costs. Estimated site liabilities are determined based upon existing remediation laws and technologies, specific site consultants’ engineering studies or by extrapolating experience with environmental issues at comparable sites. Included in our environmental liabilities are costs for the operation, maintenance and monitoring ("OM&M") of site remediation plans. Such reserves are based on our best estimates for these OM&M plans. Over time we may incur OM&M costs in excess of these reserves. However, we are unable to reasonably estimate an amount in excess of our recorded reserves because we cannot reasonably estimate the period for which such OM&M plans will need to be in place or the future annual cost of such remediation, as conditions at these environmental sites change over time. Such additional OM&M costs could be significant in total but would be incurred over an extended period of years. Included in the environmental reserve balance, other assets balance and disclosure of reasonably possible loss contingencies are amounts from third-party insurance policies which we believe are probable of recovery. Provisions for environmental costs are reflected in income, net of probable and estimable recoveries from named Potentially Responsible Parties ("PRPs") or other third parties. All of our environmental provisions incorporate inflation and are not discounted to their present value, other than our reserve for our Pocatello Tribal Matter. We remeasure this discounted liability balance according to current interest rates. See Note 11 to the consolidated financial statements included within this Form 10-K for further information. In calculating and evaluating the adequacy of our environmental reserves, we have taken into account the joint and several liability imposed by Comprehensive Environmental Remediation, Compensation and Liability Act ("CERCLA") and the analogous state laws on all PRPs and have considered the identity and financial condition of the other PRPs at each site to the extent possible. We have also considered the identity and financial condition of other third parties from whom recovery is anticipated, as well as the status of our claims against such parties. Although we are unable to forecast the ultimate contributions of PRPs and other third parties with absolute certainty, the degree of uncertainty with respect to each party is taken into account when determining the environmental reserve on a site-by-site basis. Our liability includes our best estimate of the costs expected to be paid before the consideration of any potential recoveries from third parties. We believe that any recorded recoveries related to PRPs are realizable in all material respects. Recoveries are recorded as either an offset in "Environmental liabilities, continuing and discontinued" or as "Other assets including long-term receivables, net" in our consolidated balance sheets in accordance with U.S. accounting literature. |
Pension and other postretirement benefits | Pension and other postretirement benefits. We provide qualified and nonqualified defined benefit and defined contribution pension plans, as well as postretirement health care and life insurance benefit plans to our employees and retirees. The costs (or benefits) and obligations related to these benefits reflect key assumptions related to general economic conditions, including interest (discount) rates, healthcare cost trend rates, expected rates of return on plan assets and the rates of compensation increase for employees. The costs (or benefits) and obligations for these benefit programs are also affected by other assumptions, such as average retirement age, mortality, employee turnover, and plan participation. To the extent our plans’ actual experience, as influenced by changing economic and financial market conditions or by changes to our own plans’ demographics, differs from these assumptions, the costs and obligations for providing these benefits, as well as the plans’ funding requirements, could increase or decrease. When actual results differ from our assumptions, the difference is typically recognized over future periods. In addition, the unrealized gains and losses related to our pension and postretirement benefit obligations may also affect periodic benefit costs (or benefits) in future periods. See Note 14 to the consolidated financial statements included within this Form 10-K for additional information relating to pension and other postretirement benefits. |
New accounting guidance and regulatory items | New accounting guidance and regulatory items On December 14, 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Changes to the Disclosure Requirements for Income Taxes , to improve the transparency and decision usefulness of income tax disclosures. The standard requires companies to disclose a tabular effective rate reconciliation with certain reconciling items broken out by nature and/or jurisdiction as well as more robust disclosures of income taxes paid, specifically broken out between federal, state and foreign. The standard can be applied prospectively or retrospectively and early adoption is permitted. The ASU is effective for FMC beginning with the Form 10-K for the year ended December 31, 2025. We are currently evaluating the impacts this standard will have on our income tax disclosures. On November 27, 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures , to improve the disclosures about a public entity's reportable segments and expenses. The standard requires disclosure of the chief operating decision maker's (the "CODM") title and position as well as multiple measures of segment profit and loss reviewed by the CODM. Companies with multiple reportable segments as well as companies with a single reportable segment are required to adopt the standard and it should be applied retrospectively to all periods presented. The ASU is effective for FMC beginning with the Form 10-K for the year ended December 31, 2024. Early adoption is permitted. As we operate as a single reportable segment, we are currently evaluating the impacts this standard will have on our existing segment disclosures. On December 20, 2021, the Organization for Economic Co-operation and Development (the "OECD") released Pillar Two Model Rules defining the global minimum tax, which calls for the taxation of large corporations at a minimum rate of 15%. The accounting impact of new enacted tax laws based on the Pillar Two rules will occur when they become effective, which will generally be in 2024. Calendar-year public companies will be required to report on the forecasted effects of Pillar Two in their Q1 2024 income tax provision. Unlike many current tax systems, the Pillar Two minimum tax is determined based on consolidated financial reporting results (with certain modifications) and will result in a complex set of calculations that will likely require new processes, controls, and systems. In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, to provide optional guidance for a limited period of time to ease the potential burden in accounting for contracts and hedging relationships affected by reference rate reform. This applies to contracts that reference LIBOR or another rate that is expected to be discontinued as a result of rate reform and have modified terms that affect or have the potential to affect the amount and timing of contractual cash flows resulting from the discontinuance of reference rate. In December 2022, the FASB finalized ASU 2022-06, Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848, which defers the sunset date for Topic 848 from December 31, 2022, to December 31, 2024. This standard amends the definition of the SOFR Swap Rate under Topic 815 so that it is not limited to the Overnight Indexed Swap rate based on SOFR and includes other rates based on SOFR. These amendments should be applied prospectively. We are evaluating the impacts this standard will have on accounting for contracts and hedging relationships but do not believe it will have a material impact on our consolidated financial statements. Recently adopted accounting guidance In September 2022, the FASB issued ASU No. 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations . This ASU enhances the transparency of supplier finance programs and their effect on working capital, liquidity, and cash flows. The new standard is effective for fiscal years beginning after December 15, 2022 (i.e. a January 1, 2023 effective date), including interim periods within those years. The amendments in the ASU should be applied retrospectively to all periods in which a balance sheet is presented, except for the amendment on roll forward information, which should be applied prospectively on an annual basis. In accordance with the new disclosure requirements, which we have adopted beginning January 1, 2023, we have included information regarding our key program terms and the amount outstanding that remains unpaid at period end as further described below. We work with suppliers to optimize payment terms and conditions on accounts payable to improve working capital and cash flows. We offer to a select group of suppliers a voluntary Supply Chain Finance (“SCF”) program with a global financial institution. The suppliers, at their sole discretion, may sell their receivables to the financial institution based on terms negotiated between them. Our obligations to our suppliers are not impacted by our suppliers’ decisions to sell under these arrangements. Obligations outstanding under this program are recorded within "Accounts payable, trade and other" in our condensed consolidated balance sheets and the associated payments are included in operating activities within our condensed consolidated statements of cash flows. Our payment terms with our suppliers are consistent, regardless of whether a supplier participates in the program. We deem these terms to be commercially reasonable and consistent with the range of industry standards within their respective regions. Under the terms of the agreement, we do not pledge assets as security or make any other forms of guarantees. |
Financial Instruments, Risk M_2
Financial Instruments, Risk Management and Fair Value Measurements (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Derivative financial instruments | Derivative financial instruments . We mitigate certain financial exposures, including currency risk, interest rate risk and to a lesser extent commodity price exposures, through a controlled program of risk management that includes the use of derivative financial instruments when applicable. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We recognize all derivatives on the balance sheet at fair value. On the date the derivative instrument is entered into, we generally designate the derivative as either a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge) or a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (fair value hedge). We record in accumulated other comprehensive income (loss) changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. We record immediately in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. Use of Derivative Financial Instruments to Manage Risk We mitigate certain financial exposures, including currency risk, commodity purchase exposures and interest rate risk through a program of risk management that includes the use of derivative financial instruments. We enter into foreign exchange contracts, including forward and purchased option contracts, to reduce the effects of fluctuating foreign currency exchange rates. We formally document all relationships between hedging instruments and hedged items, as well as the risk management objective and strategy for undertaking various hedge transactions. This process includes relating derivatives that are designated as fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. We also assess both at the inception of the hedge and on an ongoing basis, whether each derivative is highly effective in offsetting changes in fair values or cash flows of the hedged item. If we determine that a derivative is not highly effective as a hedge, or if a derivative ceases to be a highly effective hedge, we discontinue hedge accounting with respect to that derivative prospectively. Foreign Currency Exchange Risk Management We conduct business in many foreign countries, exposing earnings, cash flows, and our financial position to foreign currency risks. The majority of these risks arise as a result of foreign currency transactions. Our policy is to minimize exposure to adverse changes in currency exchange rates. This is accomplished through a controlled program of risk management that includes the use of foreign currency debt and forward foreign exchange contracts. We also use forward foreign exchange contracts to hedge firm and highly anticipated foreign currency cash flows, with an objective of balancing currency risk to provide adequate protection from significant fluctuations in the currency markets. The primary currencies for which we have exchange rate exposure are the U.S. dollar versus the Brazilian real, Chinese yuan, Indian rupee, euro, Mexican peso and Argentine peso. Commodity Price Risk We are exposed to risks in energy costs due to fluctuations in energy prices, including natural gas, electricity, and other commodities. We attempt to mitigate our exposure to increasing energy costs by entering into physical and financial derivative contracts to hedge the cost of future deliveries of our commodities. Interest Rate Risk We use various strategies to manage our interest rate exposure, including entering into interest rate swap agreements to achieve a targeted mix of fixed and variable-rate debt. In the agreements we exchange, at specified intervals, the difference between fixed and variable-interest amounts calculated on an agreed-upon notional principal amount. Concentration of Credit Risk Our counterparties to derivative contracts are primarily major financial institutions. We limit the dollar amount of contracts entered into with any one financial institution and monitor counterparties’ credit ratings. We also enter into master netting agreements with each financial institution, where possible, which helps mitigate the credit risk associated with our financial instruments. While we may be exposed to credit losses due to the nonperformance of counterparties, we consider this risk remote. Financial Guarantees and Letter-of-Credit Commitments We enter into various financial instruments with off-balance sheet risk as part of the normal course of business. These off-balance sheet instruments include financial guarantees and contractual commitments to extend financial guarantees under letters of credit and other assistance to customers. See Notes 1 and 20 to the consolidated financial statements included within this Form 10-K for more information. Decisions to extend financial guarantees to customers, and the amount of collateral required under these guarantees, is based on our evaluation of creditworthiness on a case-by-case basis. Accounting for Derivative Instruments and Hedging Activities Cash Flow Hedges We recognize all derivatives on the balance sheet at fair value. On the date we enter into the derivative instrument, we generally designate the derivative as a hedge of the variability of cash flows to be received or paid related to a forecasted transaction (cash flow hedge). We record in AOCI changes in the fair value of derivatives that are designated as, and meet all the required criteria for, a cash flow hedge. We then reclassify these amounts into earnings as the underlying hedged item affects earnings. In contrast we immediately record in earnings changes in the fair value of derivatives that are not designated as cash flow hedges. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The disaggregated revenue tables are shown below for the years ended December 31, 2023, 2022 and 2021. The following table provides information about disaggregated revenue by major geographical region: Year Ended December 31, (in Millions) 2023 2022 2021 North America (1) $ 1,204.8 $ 1,435.8 $ 1,117.2 Latin America (1) 1,401.1 2,088.2 1,633.4 Europe, Middle East & Africa 899.2 1,039.7 1,040.0 Asia 981.7 1,238.6 1,254.6 Total Revenue $ 4,486.8 $ 5,802.3 $ 5,045.2 ____________________ (1) Countries with sales in excess of 10 percent of consolidated revenue consisted of the U.S. and Brazil. Sales for the years ended December 31 2023, 2022, and 2021 for the U.S. totaled $978.1 million, $1,288.8 million and $1,018.1 million, respectively, and for Brazil totaled $1,017.3 million, $1,621.1 million and $1,224.4 million, respectively. The following table provides information about disaggregated revenue by major product category: Year Ended December 31, (in Millions) 2023 2022 2021 Insecticides $ 2,639.4 $ 3,346.6 $ 3,020.0 Herbicides 1,278.4 1,651.6 1,375.3 Fungicides 317.6 383.9 325.5 Plant Health 186.9 234.1 216.8 Other 64.5 186.1 107.6 Total Revenue $ 4,486.8 $ 5,802.3 $ 5,045.2 |
Receivables and Contract Liabilities | The following table presents the opening and closing balances of our receivables, net of allowances and contract liabilities from contracts with customers: (in Millions) Balance as of December 31, 2022 Balance as of December 31, 2023 Increase (Decrease) Receivables from contracts with customers, net of allowances $ 2,932.2 $ 2,722.7 $ (209.5) Contract liabilities: Advance payments from customers 680.5 482.1 (198.4) |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Schedule of Asset and Lease Liability | The ROU asset and lease liability balances as of December 31, 2023 and 2022 were as follows: (in Millions) Classification December 31, 2023 December 31, 2022 Assets Operating lease ROU assets Other assets including long-term receivables, net $ 121.8 $ 123.8 Liabilities Operating lease current liabilities Accrued and other liabilities $ 24.4 $ 22.0 Operating lease noncurrent liabilities Other long-term liabilities 123.2 128.6 |
Components of Lease Expense, Lease Term and Discount Rate | The components of lease expense for the year ended December 31, 2023, 2022, and 2021 were as follows: (in Millions) Lease Cost Classification 2023 2022 2021 Lease Cost Operating lease cost Costs of sales and services / Selling, general and administrative expenses $ 33.2 $ 32.9 $ 33.9 Variable lease cost Costs of sales and services / Selling, general and administrative expenses 13.3 6.3 4.7 Total lease cost $ 46.5 $ 39.2 $ 38.6 December 31, 2023 Operating Lease Term and Discount Rate Weighted-average remaining lease term (years) 7.3 Weighted-average discount rate 4.4 % (in Millions) Year ended December 31, 2023 Year ended December 31, 2022 Other Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ (35.9) $ (33.9) Supplemental non-cash information on lease liabilities arising from obtaining right-of-use assets: Right-of-use assets obtained in exchange for new operating lease liabilities $ 21.4 $ 20.1 |
Summary of Future Minimum Lease Payments | The following table represents our future minimum operating lease payments as of, and subsequent to, December 31, 2023 under ASC 842: (in Millions) Operating Leases Total Maturity of Lease Liabilities 2024 $ 29.9 2025 25.8 2026 22.5 2027 20.8 2028 17.7 Thereafter 57.1 Total undiscounted lease payments $ 173.8 Less: Present value adjustment (26.2) Present value of lease liabilities $ 147.6 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Business Combinations [Abstract] | |
Schedule of acquisition costs | Purchase Price Allocation (in Millions) Fair Value of Assets Acquired Cash $ 10.0 Intangible assets Developed Technology (1) 66.3 In-process research & development 10.5 Goodwill 130.7 Other Assets 3.4 Total Assets $ 220.9 Fair Value of Liabilities Assumed Deferred income tax liabilities $ 16.6 Other Liabilities 1.1 Total Liabilities 17.7 Net Assets $ 203.2 Total Purchase Consideration: Amount Cash purchase price, net of acquired cash $ 193.2 ____________________ (1) Expected life is 15 years and will be amortized based on the pattern of economic benefit |
Summary of consideration paid and assets acquired and liabilities assumed |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | The changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2022 are presented in the table below: (in Millions) Total Balance, December 31, 2021 $ 1,463.3 Acquisitions (See Note 4) 130.7 Foreign currency and other adjustments (4.7) Balance, December 31, 2022 $ 1,589.3 Foreign currency and other adjustments 4.3 Balance, December 31, 2023 $ 1,593.6 |
Schedule of finite-lived intangible assets | Our intangible assets, other than goodwill, consist of the following: December 31, 2023 December 31, 2022 (in Millions) Weighted avg. useful life remaining at December 31, 2023 Gross Accumulated Amortization Net Gross Accumulated Amortization Net Intangible assets subject to amortization (finite life) Customer relationships 13 years $ 1,136.7 $ (414.2) $ 722.5 $ 1,127.9 $ (351.3) $ 776.6 Patents 4 years 1.8 (1.6) 0.2 1.7 (1.4) 0.3 Brands (1) 9 years 49.3 (12.9) 36.4 16.1 (10.6) 5.5 Purchased and licensed technologies 12 years 131.1 (46.2) 84.9 128.4 (42.9) 85.5 Other intangibles 8 years 2.3 (1.8) 0.5 1.8 (1.7) 0.1 $ 1,321.2 $ (476.7) $ 844.5 $ 1,275.9 $ (407.9) $ 868.0 Intangible assets not subject to amortization (indefinite life) Crop Protection Brands (2) $ 1,259.0 $ 1,259.0 $ 1,259.0 $ 1,259.0 Brands (1) 350.3 350.3 370.1 370.1 In-process research and development 11.3 11.3 11.0 11.0 $ 1,620.6 $ 1,620.6 $ 1,640.1 $ 1,640.1 Total intangible assets $ 2,941.8 $ (476.7) $ 2,465.1 $ 2,916.0 $ (407.9) $ 2,508.1 ____________________ (1) Represents trademarks, trade names and know-how. (2) Represents proprietary brand portfolios, consisting of trademarks, trade names and know-how, of our crop protection brands. |
Schedule of indefinite-lived intangible assets | Intangible assets not subject to amortization (indefinite life) Crop Protection Brands (2) $ 1,259.0 $ 1,259.0 $ 1,259.0 $ 1,259.0 Brands (1) 350.3 350.3 370.1 370.1 In-process research and development 11.3 11.3 11.0 11.0 $ 1,620.6 $ 1,620.6 $ 1,640.1 $ 1,640.1 Total intangible assets $ 2,941.8 $ (476.7) $ 2,465.1 $ 2,916.0 $ (407.9) $ 2,508.1 ____________________ (1) Represents trademarks, trade names and know-how. (2) Represents proprietary brand portfolios, consisting of trademarks, trade names and know-how, of our crop protection brands. |
Schedule of amortization expense | Year Ended December 31, (in Millions) 2023 2022 2021 Amortization expense $ 64.3 $ 60.6 $ 62.7 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | Inventories consisted of the following: December 31, (in Millions) 2023 2022 Finished goods $ 643.8 $ 577.5 Work in process 732.2 807.4 Raw materials, supplies and other 348.6 266.7 Net inventories $ 1,724.6 $ 1,651.6 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | Property, plant and equipment consisted of the following: December 31, (in Millions) 2023 2022 Land and land improvements $ 98.1 $ 103.6 Buildings and building equipment 540.0 522.9 Machinery and equipment 717.2 613.1 Construction in progress 204.5 175.9 Total cost $ 1,559.8 $ 1,415.5 Accumulated depreciation (667.3) (565.9) Property, plant and equipment, net $ 892.5 $ 849.6 ____________________ |
Restructuring and Other Charg_2
Restructuring and Other Charges (Income) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Restructuring and Related Activities [Abstract] | |
Schedule of restructuring and other charges (income) | The following table shows total restructuring and other charges (income) included in the respective line items of the consolidated statements of income (loss): Year Ended December 31, (in Millions) 2023 2022 2021 Restructuring charges (income) $ 48.4 $ (26.1) $ 41.1 Other charges (income), net 163.9 119.2 66.9 Total restructuring and other charges (income) $ 212.3 $ 93.1 $ 108.0 |
Schedule of restructuring charges and asset disposals | Restructuring charges (income) (in Millions) Severance and Employee Benefits Other Charges (Income) (1) Asset Disposal Charges (2) Total Project Focus $ 40.1 $ 5.4 $ — $ 45.5 DuPont Crop restructuring — (8.1) 2.8 (5.3) Other items 6.9 1.3 — 8.2 Year ended December 31, 2023 $ 47.0 $ (1.4) $ 2.8 $ 48.4 DuPont Crop restructuring $ — $ (49.9) $ 1.2 $ (48.7) Regional realignment 3.8 4.1 — 7.9 Other items 2.1 2.6 10.0 14.7 Year ended December 31, 2022 $ 5.9 $ (43.2) $ 11.2 $ (26.1) DuPont Crop restructuring $ 1.2 $ 4.5 $ 11.0 $ 16.7 Regional realignment 5.5 5.3 0.2 11.0 Other items 6.0 0.5 6.9 13.4 Year ended December 31, 2021 $ 12.7 $ 10.3 $ 18.1 $ 41.1 ____________________ (1) Primarily represents third-party costs associated with miscellaneous restructuring activities, including third-party costs. Other income, if applicable, primarily represents favorable developments on previously recorded exit costs and recoveries associated with restructuring. The years ended December 31, 2023 and 2022 includes the recognition of a gain for land disposition, described below. (2) |
Restructuring reserve roll forward | The following table shows a roll forward of restructuring reserves that will result in cash spending. These amounts exclude asset retirement obligations: (in Millions) Balance at 12/31/21 Change in reserves (5) Cash Other (6) Balance at 12/31/22 (7) Change in reserves (5) Cash Other (6) Balance at 12/31/23 (7) DuPont Crop restructuring (1) $ 8.6 $ 0.6 $ (4.7) $ 0.5 $ 5.0 $ — $ (1.0) $ (0.1) $ 3.9 Regional realignment (2) 4.0 7.9 (9.3) 0.4 3.0 — (2.2) — 0.8 Project Focus (3) — — — — — 45.5 (2.4) — 43.1 Other workforce related and facility shutdowns (4) 2.3 4.7 (4.2) (0.2) 2.6 9.9 (10.3) 0.4 2.6 Total $ 14.9 $ 13.2 $ (18.2) $ 0.7 $ 10.6 $ 55.4 $ (15.9) $ 0.3 $ 50.4 ____________________ (1) Primarily consists of real estate exit costs and severance associated with DuPont Crop restructuring activities. (2) Primarily consists of severance and employee relocation costs as well as other costs associated with the relocation of our European headquarters and the consolidation of our Asia Pacific operations into a single regional headquarters in Singapore. (3) Relates to the global restructuring plan initiated in 2023 and primarily consists of severance charges related to a voluntary separation program in select jurisdictions as well as workforce reduction actions in our Brazil business. (4) Primarily severance costs related to workforce reductions and facility shutdowns. (5) Primarily other miscellaneous exit costs. The accelerated depreciation and impairment charges associated with these restructurings that have impacted our property, plant and equipment or intangible balances are not included in this table. (6) Primarily foreign currency translation adjustments. (7) Included in "Accrued and other liabilities" and "Other long-term liabilities" on the consolidated balance sheets. |
Schedule of other charges included within restructuring and other charges income | Other charges (income), net Year Ended December 31, (in Millions) 2023 2022 2021 Environmental charges, net $ 66.9 $ 34.7 $ 27.1 Exit from Russian Operations — 76.8 — Currency related matters 75.2 — — IPR&D asset acquisition charges 13.0 — — Other items, net 8.8 7.7 39.8 Other charges (income), net $ 163.9 $ 119.2 $ 66.9 |
Receivables (Tables)
Receivables (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Receivables [Abstract] | |
Allowance for doubtful accounts | The following table displays a roll forward of the allowance for doubtful trade receivables. (in Millions) Balance, December 31, 2021 $ 37.4 Additions — charged (credited) to expense 0.7 Transfer from (to) allowance for credit losses (see below) 0.5 Net recoveries, write-offs and other (4.7) Balance, December 31, 2022 $ 33.9 Additions — charged (credited) to expense 4.7 Transfer from (to) allowance for credit losses (see below) (1.5) Net recoveries, write-offs and other (8.0) Balance, December 31, 2023 $ 29.1 |
Schedule of allowance of credit losses rollforward | The following table displays a roll forward of the allowance for credit losses related to long-term customer receivables. ( in Millions ) Balance, December 31, 2021 $ 27.7 Additions — charged (credited) to expense (1.2) Transfer from (to) allowance for doubtful accounts (see above) (0.5) Foreign currency adjustments 8.1 Net recoveries, write-offs and other 10.4 Balance, December 31, 2022 $ 44.5 Additions — charged (credited) to expense 1.6 Transfer from (to) allowance for doubtful accounts (see above) 1.5 Foreign currency adjustments 0.8 Net recoveries, write-offs and other (21.3) Balance, December 31, 2023 $ 27.1 Receivables Securitization Facility: FMC entered into a trade receivables securitization program, primarily impacting our Brazilian operations during the third quarter of 2022. On a revolving basis, FMC may sell certain trade receivables into the facility in exchange for cash. A portion of the total receivables sold are deferred as an asset on our consolidated balance sheets representing FMC’s beneficial interest in the securitization fund. In all instances, the transferred financial assets are sold on a non-recourse basis and have met the true sale criteria under ASC Topic 860. FMC has surrendered control of the receivables and as a result they will no longer be recognized on the consolidated balance sheets. FMC may be engaged to serve as a special servicer for any delinquent receivables. In that capacity, we are entitled to market rate compensation for those services. Cash receipts from the sale of trade receivables under the securitization arrangement, received at the time of sale, are classified as cash flows from operating activities. During 2022, approximately $105 million of trade receivables were transferred to the fund. The approximate $11 million charge associated with the transfer of these financial assets is included as a component within selling, general and administrative expense and recognized during the period ended December 31, 2022. There were $148.3 million in receivables sold under the securitization program during the period ended December 31, 2023. A $11.9 million charge associated with the transfer of these financial assets is included as a component within selling, general and administrative expense As part of the initial funding, approximately $19 million of the sale was retained by the investment fund and will be returned to FMC, including interest, at the maturity of the securitization. This asset is recorded within "Other assets including long-term receivables, net" on the consolidated balance sheets. Other Receivable Factoring: In addition to the above, we may sell trade receivables on a non-recourse basis to third-party financial institutions. These sales are normally driven by specific market conditions, including, but not limited to, foreign exchange environments, customer credit management, as well as other factors where the receivables may lay. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of discontinued operations | Our discontinued operations comprised the following: (in Millions) Year Ended December 31, 2023 2022 2021 Adjustment for workers’ compensation, product liability, and other postretirement benefits and other, net of income tax benefit (expense) of $(0.9) in 2023, $(2.5) in 2022 and $(10.2) in 2021 $ (3.0) $ (3.9) $ (8.3) Provision for environmental liabilities, net of recoveries, net of income tax benefit (expense) of $18.0 in 2023, $13.8 in 2022, and $8.2 in 2021 (1)(2) (65.6) (53.8) (29.7) Provision for legal reserves and expenses, net of recoveries, net of income tax benefit (expense) of $7.9 in 2023, $10.5 in 2022, and $12.2 in 2021 (29.9) (39.5) (45.6) Gain on sales of land, net of income tax benefit (expense) of zero in 2023, zero in 2022, and $(4.1) in 2021 (3) — — 15.4 Discontinued operations, net of income taxes $ (98.5) $ (97.2) $ (68.2) ____________________ (1) The provision for the year ended December 31, 2023 includes a $11.7 million charge resulting from a settlement agreement related to one of our foreign environmental remediation sites. The charge recorded adjusts the reserve to the anticipated payment amount. The agreement removes any future remediation obligations for the site. (2) See a roll forward of our environmental reserves as well as discussion on significant environmental issues that occurred during the year in Note 11 to the consolidated financial statements included within this Form 10-K. (3) |
Discontinued reserve balance table | Reserves for Discontinued Operations, other than Environmental at December 31, 2023 and 2022 (in Millions) December 31, 2023 2022 Workers’ compensation, product liability, and indemnification reserves $ 7.3 $ 8.0 Postretirement medical and life insurance benefits reserve, net 4.4 4.7 Reserves for legal proceedings 123.9 114.5 Reserve for discontinued operations (1) $ 135.6 $ 127.2 ____________________ (1) |
Environmental Obligations (Tabl
Environmental Obligations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of environmental liability rollforward | The table below is a roll forward of our total environmental reserves, continuing and discontinued, from December 31, 2020 to December 31, 2023. (in Millions) Operating and Discontinued Sites Total Total environmental reserves, net of recoveries at December 31, 2020 $ 564.4 2021 Activity Provision 65.8 Spending, net of recoveries (121.8) Foreign currency translation adjustments (5.2) Net Change $ (61.2) Total environmental reserves, net of recoveries at December 31, 2021 $ 503.2 2022 Activity Provision 104.8 Spending, net of recoveries (74.5) Foreign currency translation adjustments (4.3) Net Change $ 26.0 Total environmental reserves, net of recoveries at December 31, 2022 $ 529.2 2023 Activity Provision 152.3 Spending, net of recoveries (92.6) Foreign currency translation adjustments and other adjustments 3.2 Net Change $ 62.9 Total environmental reserves, net of recoveries at December 31, 2023 $ 592.1 |
Schedule of environmental recoveries | The table below is a roll forward of our total recorded recoveries from December 31, 2021 to December 31, 2023: (in Millions) December 31, 2021 Increase (Decrease) in Recoveries Cash Received December 31, 2022 Increase (Decrease) in Recoveries Cash Received December 31, 2023 Environmental liabilities, continuing and discontinued $ 11.4 $ 2.5 $ — $ 13.9 $ (3.1) $ (1.1) $ 9.7 Other assets (1) 4.5 2.5 (0.6) 6.4 2.1 (3.6) 4.9 Total $ 15.9 $ 5.0 $ (0.6) $ 20.3 $ (1.0) $ (4.7) $ 14.6 ______________ (1) The amounts are included within "Prepaid and other current assets" and "Other assets including long-term receivables, net" on the consolidated balance sheets. See Note 22 to the consolidated financial statements included within this Form 10-K for more details. |
Environmental reserves classification, continuing and discontinued | The table below provides detail of current and long-term environmental reserves, continuing and discontinued. December 31, (in Millions) 2023 2022 Environmental reserves, current, net of recoveries (1) $ 97.4 $ 90.1 Environmental reserves, long-term continuing and discontinued, net of recoveries (2) 494.7 439.1 Total environmental reserves, net of recoveries $ 592.1 $ 529.2 ______________ (1) These amounts are included within "Accrued and other liabilities" on the consolidated balance sheets. (2) These amounts are included in "Environmental liabilities, continuing and discontinued" on the consolidated balance sheets. |
Schedule of net environmental provision by operating and discontinued sites | Our net environmental provisions relate to costs for the continued remediation of both operating sites and for certain discontinued manufacturing operations from previous years. The net provisions are comprised as follows: Year Ended December 31, (in Millions) 2023 2022 2021 Continuing operations (1) $ 66.9 $ 34.7 $ 27.1 Discontinued operations (2) 83.6 67.6 37.9 Net environmental provision $ 150.5 $ 102.3 $ 65.0 ______________ (1) Recorded as a component of "Restructuring and other charges (income)" on our consolidated statements of income. See Note 8 to the consolidated financial statements included within this Form 10-K. Environmental obligations for continuing operations primarily represent obligations at shut down or abandoned facilities within businesses that do not meet the criteria for presentation as discontinued operations. (2) Recorded as a component of "Discontinued operations, net of income taxes" on our consolidated statements of income (loss). The year ended December 31, 2023 includes a $11.7 million charge resulting from a settlement agreement with the other party involved at one of our foreign environmental remediation sites. See Note 10 to the consolidated financial statements included within this Form 10-K for further details. |
Schedule of net environmental provision balance sheet classification | On our consolidated balance sheets, the net environmental provisions affect assets and liabilities as follows: Year Ended December 31, (in Millions) 2023 2022 2021 Environmental reserves (1) $ 152.3 $ 104.8 $ 65.8 Other assets (2) (1.8) (2.5) (0.8) Net environmental provision $ 150.5 $ 102.3 $ 65.0 ______________ (1) See above roll forward of our total environmental reserves as presented on our consolidated balance sheets. (2) Represents certain environmental recoveries. See Note 22 to the consolidated financial statements included within this Form 10-K for details of "Other assets including long-term receivables, net" as presented on our consolidated balance sheets. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of income before income tax, domestic and foreign | Domestic and foreign components of income (loss) from continuing operations before income taxes are shown below: Year Ended December 31, (in Millions) 2023 2022 2021 Domestic $ (312.7) $ (89.6) $ (57.5) Foreign 612.9 1,073.5 955.3 Total $ 300.2 $ 983.9 $ 897.8 |
Schedule of components of income tax expense (benefit) | The provision (benefit) for income taxes attributable to income (loss) from continuing operations consisted of: Year Ended December 31, (in Millions) 2023 2022 2021 Current: Federal $ 58.5 $ 45.7 $ (15.1) Foreign 113.9 152.1 96.6 State 1.1 0.1 0.4 Total current $ 173.5 $ 197.9 $ 81.9 Deferred: Federal $ (82.7) $ (28.6) $ 18.4 Foreign (1,212.0) (27.4) (7.1) State 1.9 3.3 (0.7) Total deferred $ (1,292.8) $ (52.7) $ 10.6 Total $ (1,119.3) $ 145.2 $ 92.5 |
Schedule of effective income tax rate reconciliation | The effective income tax rate applicable to income from continuing operations before income taxes was different from the statutory U.S. federal income tax rate due to the factors listed in the following table: Year Ended December 31, (in Millions) 2023 2022 2021 U.S. Federal statutory rate $ 63.0 $ 206.6 $ 188.6 Foreign earnings subject to different tax rates (1) (130.7) (152.7) (182.4) State and local income taxes, less federal income tax benefit 2.5 5.5 7.6 Research and development and miscellaneous tax credits (2) (1,154.6) (5.7) (8.6) Tax on dividends, deemed dividends, and GILTI (3) 37.0 24.6 44.5 Changes to unrecognized tax benefits 10.5 10.5 (28.7) Nondeductible expenses 9.3 19.6 11.5 Change in valuation allowance (4) 172.5 71.3 84.7 Exchange gains and losses (5) (18.4) (12.0) (8.6) Other (6) (110.4) (22.5) (16.1) Total Tax Provision $ (1,119.3) $ 145.2 $ 92.5 ____________________ (1) A significant amount of our earnings is generated by our foreign subsidiaries (e.g., Singapore, Hong Kong, and Switzerland), which tax earnings at lower statutory rates than the United States federal statutory rate. Our future effective tax rates may be materially impacted by a future change in the composition of earnings from foreign and domestic tax jurisdictions. (2) The year ended December 31, 2023 is primarily related to ten-year nonrefundable tax credits granted to the Company's Swiss subsidiaries, as discussed further below. (3) The years ended December 31, 2023, 2022, and 2021 includes tax expense of $25.5 million, $17.8 million, and $36.2 million, respectively, associated with the global intangible low-taxed income (GILTI) provisions. (4) The year ended December 31, 2023 is primarily related to the estimated portion of nonrefundable tax credits within our Swiss operations that are not expected to be utilized and net operating losses and other deferred tax assets within our Argentina operations, partially offset by the release of the valuation allowance within our Brazil operations, as described further below. The year ended December 31, 2022 is primarily related to net operating losses and other deferred tax assets within our Brazil and Argentina operations. The year ended December 31, 2021 is primarily related to net operating losses and other deferred tax assets within our Brazil and Luxembourg operations. (5) Includes the impact of transaction gains or losses on net monetary assets for which no corresponding tax expense or benefit is realized and the tax provision for statutory taxable gains or losses in foreign jurisdictions for which there is no corresponding amount in income before taxes. (6) The year ended December 31, 2023 includes a net decrease of approximately $120 million related to adjustments of deferred tax balances in Singapore, Puerto Rico, and Switzerland. The year ended December 31, 2022 included a $39.7 million decrease related to certain deferred tax liabilities as a result of the extension of our incentive tax rate in Puerto Rico. The year ended December 31, 2021 included a $37.1 million decrease related to deferred tax liabilities associated with intercompany investments in foreign subsidiaries. |
Schedule of deferred tax assets and liabilities | Significant components of our deferred tax assets and liabilities were attributable to: December 31, (in Millions) 2023 2022 Reserves for discontinued operations, environmental and restructuring $ 144.7 $ 121.4 Accrued pension and other postretirement benefits 9.8 9.6 Capital loss, foreign tax and other credit carryforwards 1,136.0 3.5 Net operating loss carryforwards 411.2 315.2 Deferred expenditures capitalized for tax 94.5 71.3 Other accruals and reserves 234.0 219.3 Deferred tax assets $ 2,030.2 $ 740.3 Valuation allowance, net (588.4) (457.6) Deferred tax assets, net of valuation allowance $ 1,441.8 $ 282.7 Intangibles, Property, plant and equipment, and Investments, net 263.3 393.5 Deferred tax liabilities $ 263.3 $ 393.5 Net deferred tax assets (liabilities) $ 1,178.5 $ (110.8) |
Summary of income tax contingencies | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: December 31, (in Millions) 2023 2022 2021 Balance at beginning of year $ 46.1 $ 41.9 $ 76.2 Increases related to positions taken in the current year 2.4 4.8 2.4 Increases and decreases related to positions taken in prior years 3.5 2.9 (26.4) Decreases related to lapse of statutes of limitations (0.8) (3.5) (10.3) Settlements during the current year — — — Decreases for tax positions on dispositions — — — Balance at end of year (1) $ 51.2 $ 46.1 $ 41.9 ____________________ (1) |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of short-term debt | Debt maturing within one year consists of the following: December 31, (in Millions) 2023 2022 Short-term foreign debt (1) $ 98.0 $ 81.8 Commercial paper (2) 739.5 370.5 Total short-term debt $ 837.5 $ 452.3 Current portion of long-term debt 96.5 88.5 Total short-term debt and current portion of long-term debt (3) $ 934.0 $ 540.8 ____________________ (1) At December 31, 2023, the average effective interest rate on the borrowings was 14.2 percent. (2) At December 31, 2023, the average effective interest rate on the borrowings was 6.11 percent. (3) Based on cash generated from operations, our existing liquidity facilities, which includes the revolving credit agreement with the option to increase capacity up to $2.75 billion, and our continued access to debt capital markets, we have adequate liquidity to meet any of the company's debt obligations in the near term. |
Schedule of long-term debt | Long-term debt consists of the following: (in Millions) December 31, 2023 December 31, Interest Rate Percentage Maturity Date 2023 2022 Pollution control and industrial revenue bonds (less unamortized discounts of $0.1 and $0.1, respectively) 6.45% 2032 $ 49.9 $ 49.9 Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) 3.2% - 6.4% 2026 - 2053 2,998.2 1,899.4 2021 Term Loan Facility —% — — 800.0 Revolving Credit Facility (1) 8.0% 2027 — — Foreign debt 14.6% - 17.4% 2024 96.5 88.5 Debt issuance cost (24.5) (16.1) Total long-term debt $ 3,120.1 $ 2,821.7 Less: debt maturing within one year 96.5 88.5 Total long-term debt, less current portion $ 3,023.6 $ 2,733.2 ____________________ (1) |
Pension and Other Postretirem_2
Pension and Other Postretirement Benefits (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Summary of Weighted Average Assumptions Used | The following table summarizes the weighted-average assumptions used to determine the benefit obligations at December 31 for the U.S. Plans: Pensions and Other Benefits December 31, 2023 2022 Discount rate qualified 4.97 % 5.16 % Discount rate nonqualified plan 4.78 % 4.99 % Discount rate other benefits 4.83 % 5.03 % Rate of compensation increase 3.10 % 3.10 % |
Schedule of benefit obligations in excess of fair value of plan assets | The following table summarizes the components of our defined benefit postretirement plans and reflect a measurement date of December 31: Pensions Other Benefits (1) December 31, (in Millions) 2023 2022 2023 2022 Change in projected benefit obligation Projected benefit obligation at January 1 $ 1,044.3 $ 1,354.0 $ 11.2 $ 13.7 Service cost 2.6 3.6 — — Interest cost 50.4 29.3 0.5 0.3 Actuarial loss (gain) (2) 19.0 (256.2) (1.4) (1.7) Foreign currency exchange rate changes and other — (0.5) — — Plan participants’ contributions — — 0.3 0.3 Settlements (1.0) (2.2) — — Benefits paid (83.1) (83.7) (1.4) (1.4) Projected benefit obligation at December 31 $ 1,032.2 $ 1,044.3 $ 9.2 $ 11.2 Change in plan assets Fair value of plan assets at January 1 $ 1,044.1 $ 1,372.0 $ (0.1) $ — Actual return on plan assets 79.2 (245.3) — — Foreign currency exchange rate changes 0.3 3.1 — — Company contributions 1.2 3.5 1.2 1.0 Plan participants’ contributions — — 0.3 0.3 Settlements (0.4) (5.5) — — Benefits paid (83.1) (83.7) (1.4) (1.4) Fair value of plan assets at December 31 $ 1,041.3 $ 1,044.1 $ — $ (0.1) Funded Status U.S. plans with assets $ 30.7 $ 22.4 $ — $ — U.S. plans without assets (14.7) (14.6) (9.2) (11.3) Non-U.S. plans with assets (1.6) (1.2) — — All other plans (5.3) (6.8) — — Net funded status of the plan (liability) $ 9.1 $ (0.2) $ (9.2) $ (11.3) Amount recognized in the consolidated balance sheets: Pension asset (3) $ 30.7 $ 22.4 $ — $ — Accrued benefit liability (4) (21.6) (22.6) (9.2) (11.3) Total $ 9.1 $ (0.2) $ (9.2) $ (11.3) ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. (2) The actuarial loss in 2023 and gain in 2022 were primarily driven by the change in discount rate on the U.S. qualified plan. (3) Recorded as "Other assets including long-term receivables, net" on the consolidated balance sheets. (4) Recorded as "Accrued pension and other postretirement benefits, current" and "Accrued pension and other postretirement benefits, long-term" on the consolidated balance sheets. The amounts in accumulated other comprehensive income (loss) that have not yet been recognized as components of net periodic benefit cost are as follows: Pensions Other Benefits (1) December 31, (in Millions) 2023 2022 2023 2022 Prior service (cost) credit $ (0.1) $ (0.3) $ — $ — Net actuarial (loss) gain (309.9) (337.6) 5.3 4.9 Accumulated other comprehensive income (loss) – pretax $ (310.0) $ (337.9) $ 5.3 $ 4.9 Accumulated other comprehensive income (loss) – net of tax (229.9) (252.7) 3.9 3.6 ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. (in Millions) December 31 2023 2022 Projected benefit obligations $ 25.2 $ 26.2 Accumulated benefit obligations 26.1 26.2 Fair value of plan assets 3.6 3.6 |
Changes in plan assets and benefit Obligations for continuing operations recognized in other comprehensive loss (income) | Other changes in plan assets and benefit obligations for continuing operations recognized in other comprehensive loss (income) are as follows: Pensions Other Benefits (1) Year Ended December 31, (in Millions) 2023 2022 2023 2022 Current year net actuarial loss (gain) $ (12.2) $ 22.1 $ (1.4) $ (1.7) Amortization of net actuarial (loss) gain (15.5) (12.4) 1.0 0.8 Amortization of prior service (cost) credit (0.1) (0.2) — — Settlement loss (0.1) (0.5) — — Total recognized in other comprehensive (income) loss, before taxes $ (27.9) $ 9.0 $ (0.4) $ (0.9) Total recognized in other comprehensive (income) loss, after taxes (22.8) 7.2 (0.3) (1.1) ____________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. |
Weighted-average assumptions used for and components of net annual benefit cost (income) | The following table summarizes the weighted-average assumptions used for and the components of net annual benefit cost (income): Year Ended December 31, Pensions Other Benefits (1) (in Millions, except for percentages) 2023 2022 2021 2023 2022 2021 Discount rate 5.16 % 2.84 % 2.49 % 5.03 % 2.39 % 1.91 % Expected return on plan assets 4.75 % 2.50 % 2.25 % — — — Rate of compensation increase 3.10 % 3.10 % 3.10 % — — — Components of net annual benefit cost: Service cost $ 2.6 $ 3.6 $ 4.7 $ — $ — $ — Interest cost 50.4 29.3 24.5 0.5 0.3 0.3 Expected return on plan assets (47.5) (33.1) (31.9) — — — Amortization of prior service cost 0.1 0.2 0.2 — — — Amortization of net actuarial and other (gain) loss 15.3 12.4 12.5 (0.9) (0.8) (0.8) Recognized (gain) loss due to curtailments (2) 0.4 — — — — — Recognized (gain) loss due to settlement — 0.5 1.0 — — — Net annual benefit cost (income) $ 21.3 $ 12.9 $ 11.0 $ (0.4) $ (0.5) $ (0.5) ___________________ (1) Refer to Note 10 to the consolidated financial statements included within this Form 10-K for information on our discontinued postretirement benefit plans. (2) During the year ended December 31, 2023, as a result of restructuring activities planned in connection with Project Focus, we triggered a curtailment of our U.S. pension plans. The associated curtailment expense is recorded within "Non-operating pension and postretirement charges (income)" on the consolidated statements of income (loss). |
Fair Value of pension plan assets by asset class | The following tables present our fair value hierarchy for our major categories of pension plan assets by asset class. See Note 19 to the consolidated financial statements included within this Form 10-K for the definition of fair value and the descriptions of Level 1, 2 and 3 in the fair value hierarchy. (in Millions) December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and short-term investments $ 3.0 $ 3.0 $ — $ — Fixed income investments: Investment contracts 114.9 — 114.9 — U.S. Government Securities 204.6 204.6 — — Mutual funds 13.1 13.1 — — Corporate debt instruments 705.7 — 705.7 — Total assets $ 1,041.3 $ 220.7 $ 820.6 $ — (in Millions) December 31, 2022 Quoted Prices Significant Significant Cash and short-term investments $ 22.8 $ 22.8 $ — $ — Fixed income investments: Investment contracts 116.4 — 116.4 — U.S. Government Securities 207.4 207.4 — — Mutual funds 29.3 29.3 — — Corporate debt instruments 668.2 — 668.2 — Total assets $ 1,044.1 $ 259.5 $ 784.6 $ — |
Contributions to pension and other postretirement benefit plans | We made the following contributions to our pension and other postretirement benefit plans: Year Ended December 31, (in Millions) 2023 2022 U.S. qualified pension plan $ — $ — U.S. nonqualified pension plan 1.1 3.4 Non-U.S. plans 0.1 0.1 Other postretirement benefits 1.2 1.0 Total $ 2.4 $ 4.5 |
Estimated net future benefit payments | The following table reflects the estimated future benefit payments for our pension and other postretirement benefit plans. These estimates take into consideration expected future service, as appropriate: Estimated Net Future Benefit Payments (in Millions) 2024 2025 2026 2027 2028 2029 - 2033 Pension Benefits $ 88.5 $ 85.5 $ 85.3 $ 83.3 $ 81.9 $ 382.4 Other Benefits 1.3 1.2 1.1 1.1 1.0 3.6 |
Share-based Compensation (Table
Share-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of compensation cost for share-based payment arrangements, allocation of share-based compensation costs by plan | We recognized the following stock compensation expense: Year Ended December 31, (in Millions) 2023 2022 2021 Stock option expense, net of taxes of $1.5 in 2023, $1.3 in 2022 and $1.0 in 2021 (1) $ 5.9 $ 4.9 $ 3.7 Restricted stock expense, net of taxes of $2.4 in 2023, $2.3 in 2022 and $1.9 in 2021 (2) 9.0 8.5 7.2 Performance based expense, net of taxes of $1.5 in 2023, $1.5 in 2022 and $0.8 in 2021 5.6 5.7 3.2 Total stock compensation expense, net of taxes of $5.4 in 2023, $5.1 in 2022 and $3.7 in 2021 (3) $ 20.5 $ 19.1 $ 14.1 ____________________ (1) We applied an estimated forfeiture rate of 4.0% per stock option grant in the calculation of the expense. (2) We applied an estimated forfeiture rate of 2.0% of outstanding grants in the calculation of the expense. (3) This expense is classified as "Selling, general and administrative expenses" in our consolidated statements of income (loss). |
Black Scholes valuation assumptions for stock option grants | Black Scholes valuation assumptions for stock option grants: 2023 2022 2021 Expected dividend yield 1.80% 1.85% 1.83% Expected volatility 31.99% 33.18% 32.75% Expected life (in years) 6.5 6.5 6.5 Risk-free interest rate 4.00% 1.91% 0.92% |
Summary of stock option activity | The following summary shows stock option activity for employees under the Plan for the three years ended December 31, 2023: (Shares in Thousands) Number of Options Granted But Not Exercised Weighted-Average Remaining Contractual Life Weighted-Average Exercise Price Per Share Aggregate Intrinsic Value (in Millions) December 31, 2020 (388 shares exercisable and 818 shares expected to vest or be exercised) 1,235 7.0 years $ 70.44 $ 54.9 Granted 235 105.00 Exercised (166) 49.56 9.8 Forfeited (50) 89.18 December 31, 2021 (605 shares exercisable and 622 shares expected to vest or be exercised) 1,254 6.2 years $ 78.95 $ 38.8 Granted 248 114.90 Exercised (166) 62.74 9.6 Forfeited (31) 102.32 December 31, 2022 (672 shares exercisable and 607 shares expected to vest or be exercised) 1,305 6.1 years $ 87.35 $ 48.9 Granted 222 128.92 Exercised (88) 62.42 4.6 Forfeited (43) 114.15 December 31, 2023 (824 shares exercisable and 551 shares expected to vest or be exercised) 1,396 5.6 years $ 94.73 $ 1.6 |
Summary of restricted award activity | The following table shows our employee restricted award activity for the three years ended December 31, 2023: Restricted Equity Performance Based Equity (Number of Awards in Thousands) Number of awards Weighted-Average Grant Date Fair Value Per Share Number of Weighted-Average Grant Date Fair Value Per Share Nonvested at December 31, 2020 298 $ 79.91 202 $ 88.48 Granted 95 102.10 79 103.26 Vested (108) 73.82 (86) 77.44 Forfeited (15) 90.05 — — Nonvested at December 31, 2021 270 $ 89.56 195 $ 96.18 Granted 103 114.50 45 140.32 Vested (102) 77.80 (102) 83.74 Forfeited (14) 102.64 (2) 125.60 Nonvested at December 31, 2022 257 $ 104.54 136 $ 120.47 Granted 118 110.71 81 137.18 Vested (78) 93.32 (58) 108.57 Forfeited (15) 114.88 (6) 136.25 Nonvested at December 31, 2023 282 $ 109.67 153 $ 131.60 |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of stock by class | The following is a summary of our capital stock activity over the past three years: Common Stock Shares Treasury Stock Shares December 31, 2020 185,983,792 56,630,209 Stock options and awards — (300,594) Repurchases of common stock, net — 3,954,698 December 31, 2021 185,983,792 60,284,313 Stock options and awards — (286,805) Repurchases of common stock, net — 875,480 December 31, 2022 185,983,792 60,872,988 Stock options and awards — (301,008) Repurchases of common stock, net — 651,052 December 31, 2023 185,983,792 61,223,032 |
Schedule of accumulated other comprehensive income (loss) | Summarized below is the roll forward of accumulated other comprehensive income (loss), net of tax. (in Millions) Foreign currency adjustments Derivative Instruments (1) Pension and other postretirement benefits (2) Total Accumulated other comprehensive income (loss), net of tax at December 31, 2020 $ 24.0 $ (71.8) $ (232.9) $ (280.7) 2021 Activity Other comprehensive income (loss) before reclassifications $ (86.5) $ 44.1 $ (17.4) $ (59.8) Amounts reclassified from accumulated other comprehensive income (loss) — 5.5 9.5 15.0 Accumulated other comprehensive income (loss), net of tax at December 31, 2021 $ (62.5) $ (22.2) $ (240.8) $ (325.5) 2022 Activity Other comprehensive income (loss) before reclassifications $ (102.2) $ (65.4) $ (15.7) $ (183.3) Amounts reclassified from accumulated other comprehensive income (loss) 4.2 35.9 9.1 49.2 Accumulated other comprehensive income (loss), net of tax at December 31, 2022 $ (160.5) $ (51.7) $ (247.4) $ (459.6) 2023 Activity Other comprehensive income (loss) before reclassifications $ 29.2 $ (72.4) $ 11.4 $ (31.8) Amounts reclassified from accumulated other comprehensive income (loss) — 73.9 11.0 84.9 Accumulated other comprehensive income (loss), net of tax at December 31, 2023 $ (131.3) $ (50.2) $ (225.0) $ (406.5) ____________________ (1) See Note 19 to the consolidated financial statements included within this Form 10-K for more information. (2) See Note 14 to the consolidated financial statements included within this Form 10-K for more information. |
Reclassification out of Accumulated Other Comprehensive Income | The table below provides details about the reclassifications from accumulated other comprehensive income (loss) and the affected line items in the consolidated statements of income (loss) for each of the periods presented. Details about Accumulated Other Comprehensive Income (Loss) Components Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) (1) Affected Line Item in the Consolidated Statements of Income (Loss) Year Ended December 31, (in Millions) 2023 2022 2021 Foreign currency translation adjustments: Exit from Russian Operations (2) $ — $ (4.2) $ — Restructuring and other charges (income) Derivative instruments: Gain (loss) on foreign currency contracts $ (110.5) $ (57.5) $ (4.7) Costs of sales and services Gain (loss) on foreign currency contracts 7.3 6.5 1.7 Selling, general and administrative expenses Gain (loss) on interest rate contracts (2.4) (4.0) (4.2) Interest expense, net Total before tax $ (105.6) $ (55.0) $ (7.2) 31.7 19.1 1.7 Provision for income taxes Amount included in net income $ (73.9) $ (35.9) $ (5.5) Pension and other postretirement benefits (3) : Amortization of prior service costs $ (0.1) $ (0.1) $ (0.2) Selling, general and administrative expenses Amortization of unrecognized net actuarial and other gains (losses) (13.8) (10.9) (10.8) Non-operating pension and postretirement charges (income) Recognized loss due to curtailment and settlement — (0.5) (1.0) Non-operating pension and postretirement charges (income); Discontinued operations, net of income taxes Total before tax $ (13.9) $ (11.5) $ (12.0) 2.9 2.4 2.5 Provision for income taxes; Discontinued operations, net of income taxes Amount included in net income $ (11.0) $ (9.1) $ (9.5) Total reclassifications for the period $ (84.9) $ (49.2) $ (15.0) Amount included in net income ____________________ (1) Amounts in parentheses indicate charges to the consolidated statements of income (loss). (2) The reclassification of historical cumulative translation adjustments was the result of the exit from our Russian operations. See Note 8 within these consolidated financial statements for more information. (3) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Calculation of basic and diluted earnings per share | Earnings applicable to common stock and common stock shares used in the calculation of basic and diluted earnings per share are as follows: (in Millions, Except Share and Per Share Data) Year Ended December 31, 2023 2022 2021 Earnings (loss) attributable to FMC stockholders: Continuing operations, net of income taxes $ 1,420.0 $ 833.7 $ 807.8 Discontinued operations, net of income taxes (98.5) (97.2) (68.2) Net income (loss) attributable to FMC stockholders $ 1,321.5 $ 736.5 $ 739.6 Less: Distributed and undistributed earnings allocable to restricted award holders (2.7) (1.7) (1.8) Net income (loss) allocable to common stockholders $ 1,318.8 $ 734.8 $ 737.8 Basic earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 11.34 $ 6.60 $ 6.29 Discontinued operations (0.79) (0.77) (0.53) Net income (loss) $ 10.55 $ 5.83 $ 5.76 Diluted earnings (loss) per common share attributable to FMC stockholders: Continuing operations $ 11.31 $ 6.58 $ 6.26 Discontinued operations (0.78) (0.77) (0.53) Net income (loss) $ 10.53 $ 5.81 $ 5.73 Shares (in thousands): Weighted average number of shares of common stock outstanding - Basic 125,060 125,975 128,403 Weighted average additional shares assuming conversion of potential common shares 473 732 743 Shares – diluted basis 125,533 126,707 129,146 |
Financial Instruments, Risk M_3
Financial Instruments, Risk Management and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of fair value of financial instruments, valuation method | The carrying value of these financial instruments approximates their fair value. Our other financial instruments include the following: Financial Instrument Valuation Method Foreign exchange forward contracts Estimated amounts that would be received or paid to terminate the contracts at the reporting date based on current market prices for applicable currencies. Commodity forward and option contracts Estimated amounts that would be received or paid to terminate the contracts at the reporting date based on quoted market prices for applicable commodities. Debt Our estimates and information obtained from independent third parties using market data, such as bid/ask spreads for the last business day of the reporting period. |
Schedule of derivative instruments fair value and balance sheet presentation | The following tables provide the gross fair value and net balance sheet presentation of our derivative instruments as of December 31, 2023 and 2022: December 31, 2023 Gross Amount of Derivatives (in Millions) Designated as Cash Flow Hedges Not Designated as Hedging Instruments Total Gross Amounts Gross Amounts Offset in the Consolidated Balance Sheet (3) Net Amounts Derivatives Foreign exchange contracts $ 2.7 $ 3.0 $ 5.7 $ (5.5) $ 0.2 Total derivative assets (1) $ 2.7 $ 3.0 $ 5.7 $ (5.5) $ 0.2 Foreign exchange contracts $ (9.7) $ (7.4) $ (17.1) $ 5.5 $ (11.6) Total derivative liabilities (2) $ (9.7) $ (7.4) $ (17.1) $ 5.5 $ (11.6) Net derivative assets (liabilities) $ (7.0) $ (4.4) $ (11.4) $ — $ (11.4) December 31, 2022 Gross Amount of Derivatives (in Millions) Designated as Cash Flow Hedges Not Designated as Hedging Instruments Total Gross Amounts Gross Amounts Offset in the Consolidated Balance Sheet (3) Net Amounts Derivatives Foreign exchange contracts $ 10.5 $ 6.4 $ 16.9 $ (16.1) $ 0.8 Interest rate contracts 12.4 — 12.4 — 12.4 Total derivative assets (1) $ 22.9 $ 6.4 $ 29.3 $ (16.1) $ 13.2 Foreign exchange contracts $ (25.1) $ (8.8) $ (33.9) $ 16.1 $ (17.8) Total derivative liabilities (2) $ (25.1) $ (8.8) $ (33.9) $ 16.1 $ (17.8) Net derivative assets (liabilities) $ (2.2) $ (2.4) $ (4.6) $ — $ (4.6) ____________________ (1) Net balance is included in "Prepaid and other current assets" in the consolidated balance sheets. (2) Net balance is included in "Accrued and other liabilities" in the consolidated balance sheets. (3) Represents net derivatives positions subject to master netting arrangements. |
Schedule of derivative instruments, gain (loss) in consolidated statements of income | The following tables summarize the gains or losses related to our cash flow hedges and derivatives not designated as hedging instruments: Derivatives in Cash Flow Hedging Relationships Contracts (in Millions) Foreign exchange Interest rate Total Accumulated other comprehensive income (loss), net of tax at December 31, 2020 $ (11.6) $ (60.2) $ (71.8) 2021 Activity Unrealized hedging gains (losses) and other, net of tax $ 40.5 $ 3.6 $ 44.1 Reclassification of deferred hedging (gains) losses, net of tax (1) 2.2 3.3 5.5 Total derivative instrument impact on comprehensive income, net of tax $ 42.7 $ 6.9 $ 49.6 Accumulated other comprehensive income (loss), net of tax at December 31, 2021 $ 31.1 $ (53.3) $ (22.2) 2022 Activity Unrealized hedging gains (losses) and other, net of tax $ (86.3) $ 20.9 $ (65.4) Reclassification of deferred hedging (gains) losses, net of tax (1) 32.8 3.1 35.9 Total derivative instrument impact on comprehensive income, net of tax $ (53.5) $ 24.0 $ (29.5) Accumulated other comprehensive income (loss), net of tax at December 31, 2022 $ (22.4) $ (29.3) $ (51.7) 2023 Activity Unrealized hedging gains (losses) and other, net of tax $ (72.0) $ (0.4) $ (72.4) Reclassification of deferred hedging (gains) losses, net of tax (1) 72.0 1.9 73.9 Total derivative instrument impact on comprehensive income, net of tax $ — $ 1.5 $ 1.5 Accumulated other comprehensive income (loss), net of tax at December 31, 2023 $ (22.4) $ (27.8) $ (50.2) ____________________ (1) Amounts are included in "Costs of sales and services", "Selling, general and administrative expenses", and "Interest expense" on the consolidated statements of income (loss). Derivatives Not Designated as Hedging Instruments Amount of Pre-tax Gain (Loss) Recognized in Income on Derivatives (1) Year Ended December 31, (in Millions) 2023 2022 2021 Foreign exchange contracts $ (33.7) $ (37.2) $ (47.7) Total $ (33.7) $ (37.2) $ (47.7) ____________________ (1) Amounts in the columns represent the gain or loss on the derivative instrument offset by the gain or loss on the hedged item. These amounts are included in "Costs of sales and services" and to a lesser extent "Selling, general, and administrative expenses" on the consolidated statements of income (loss). |
Schedule of assets and liabilities measured at fair value on recurring basis | The following tables present our fair value hierarchy for those assets and liabilities measured at fair value on a recurring basis in our consolidated balance sheets: (in Millions) December 31, 2023 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Derivatives – Foreign exchange (1) $ 0.2 $ — $ 0.2 $ — Derivatives - Interest Rate (1) — — — — Other (2) (3) 47.1 23.8 — 23.3 Total Assets $ 47.3 $ 23.8 $ 0.2 $ 23.3 Liabilities Derivatives – Foreign exchange (1) $ 11.6 $ — $ 11.6 $ — Derivatives - Interest Rate (1) — — — — Other (2) 24.4 24.4 — — Total Liabilities $ 36.0 $ 24.4 $ 11.6 $ — (in Millions) December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets Derivatives – Foreign exchange (1) $ 0.8 $ — $ 0.8 $ — Derivatives - Interest Rate (1) 12.4 — 12.4 — Other (2) (3) 41.8 22.5 — 19.3 Total Assets $ 55.0 $ 22.5 $ 13.2 $ 19.3 Liabilities Derivatives – Foreign exchange (1) $ 17.8 $ — $ 17.8 $ — Derivatives - Interest Rate (1) — — — — Other (2) 23.5 23.5 — — Total Liabilities $ 41.3 $ 23.5 $ 17.8 $ — ____________________ (1) See the Fair Value of Derivative Instruments table within this Note for classifications on our consolidated balance sheets. (2) Includes a deferred compensation arrangement, through which we hold various investment securities, recognized on our balance sheet. Both the asset and liability are recorded at fair value. Asset amounts included in "Other assets including long-term receivables, net" in the consolidated balance sheets. Liability amounts are included in "Other long-term liabilities" in the consolidated balance sheets. (3) FMC maintains a beneficial interest in a trade receivables securitization fund. The fair value of the beneficial interest is determined by calculating the expected amount of cash to be received on the fund’s outstanding credit notes. As part of this evaluation, we rely on unobservable inputs, including estimating the anticipated credit losses. We consider historical information, current conditions and other reasonable factors as part of this assessment. Asset amounts are included in "Other assets including long-term receivables, net" in the consolidated balance sheets. |
Schedule of assets and liabilities measured at fair value on non-recurring basis | There were no non-recurring fair value measurements in the consolidated balance sheets during the periods presented. |
Guarantees, Commitments and C_2
Guarantees, Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of estimated undiscounted potential future payments for guarantees | The following table provides the estimated undiscounted amount of potential future payments for each major group of guarantees at December 31, 2023. These guarantees arise during the ordinary course of business from relationships with customers and nonconsolidated affiliates. Non-performance by the guaranteed party triggers the obligation requiring us to make payments to the beneficiary of the guarantee. Based on our experience these types of guarantees have not had a material effect on our consolidated financial position or on our liquidity. Our expectation is that future payment or performance related to the non-performance of others is considered unlikely. (in Millions) Guarantees: Guarantees of vendor financing - short term (1) $ 69.6 Other debt guarantees (2) 67.9 Total $ 137.5 ____________________ (1) Represents guarantees to financial institutions on behalf of certain customers for their seasonal borrowing. The short-term amount is recorded as "Guarantees of vendor financing" on the consolidated balance sheets. (2) These guarantees represent the outstanding commitment provided to third-party banks for credit extended to various direct and indirect customers and nonconsolidated affiliates. The liability for the guarantees is recorded at an amount that approximates fair value (i.e. representing the stand-ready obligation) based on our historical collection experience and a current assessment of credit exposure. Historically, the fair value of these guarantees has been and continues to be in the current reporting period, immaterial and the majority of these guarantees have had an expiration date of less than one year. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of revenue from external customers and long-lived assets, by geographical areas | For revenue by major geographical region, refer to Note 3 to the consolidated financial statements included within this Form 10-K. The following table provides our long-lived assets by major geographical region: (in Millions) December 31, 2023 2022 Long-lived assets (1) North America (2) $ 1,063.4 $ 1,060.7 Latin America 714.8 759.0 Europe, Middle East, and Africa (2) 1,718.2 1,684.1 Asia (2) 1,964.1 2,018.2 Total $ 5,460.5 $ 5,522.0 ____________________ (1) Geographic long-lived assets exclude long-term deferred income taxes. (2) The countries with long-lived assets in excess of 10 percent of consolidated long-lived assets at December 31, 2023 and 2022 are Singapore, which totaled $1,699.6 million and $1,745.0 million, the U.S., which totaled $1,036.7 million and $1,047.4 million and Denmark, which totaled $1,334.0 million and $1,075.7 million, respectively. |
Supplemental Information (Table
Supplemental Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Balance Sheet Related Disclosures [Abstract] | |
Supplemental information | The following tables present details of prepaid and other current assets, other assets including long-term receivables, net, accrued and other liabilities and other long-term liabilities as presented on the consolidated balance sheets: (in Millions) December 31, 2023 2022 Prepaid and other current assets Prepaid insurance $ 15.3 $ 12.6 Tax related items including value added tax receivables 241.9 172.4 Refund asset (1) 59.5 36.8 Environmental obligation recoveries (Note 11) 1.5 3.2 Derivative assets (Note 19) 0.2 13.2 Other prepaid and current assets 80.5 105.4 Total $ 398.9 $ 343.6 (in Millions) December 31, 2023 2022 Other assets including long-term receivables, net Non-current receivables (Note 9) $ 19.5 $ 60.8 Advance to contract manufacturers 97.1 119.4 Capitalized software, net 123.3 133.0 Environmental obligation recoveries (Note 11) 3.4 3.2 Beneficial interest in trade receivables securitization (Note 19) 23.3 19.3 Income taxes indirect benefits 19.7 21.2 Operating lease ROU asset (Note 17) 121.8 123.8 Deferred compensation arrangements (Note 19) 23.8 22.5 Pension and other postretirement benefits (Note 14) 30.7 22.4 Other long-term assets 26.9 34.9 Total $ 489.5 $ 560.5 (1) In accordance with revenue standard requirements, a sales return liability is recognized for the consideration paid by a customer to which FMC does not expect to be entitled, together with a corresponding refund asset to recover the product from the customer. See (1) below. (in Millions) December 31, 2023 2022 Accrued and other liabilities Restructuring reserves (Note 8) $ 47.4 $ 7.6 Dividend payable (Note 16) 72.5 72.7 Accrued payroll 55.5 99.8 Environmental reserves, current, net of recoveries (Note 11) 97.4 90.1 Derivative liabilities (Note 19) 11.6 17.8 Furadan ® product exit asset retirement obligations (Note 1) 5.0 10.0 Operating lease current liabilities (Note 17) 24.4 22.0 Other accrued and other liabilities (1) 371.0 281.8 Total $ 684.8 $ 601.8 (in Millions) December 31, 2023 2022 Other long-term liabilities Restructuring reserves (Note 8) $ 3.0 $ 3.0 Asset retirement obligations, long-term (Note 1) 1.4 6.0 Transition tax related to Tax Cuts and Jobs Act (2) 23.3 62.6 Contingencies related to uncertain tax positions (Note 12) 62.4 52.4 Deferred compensation arrangements (Note 19) 24.4 23.5 Self-insurance reserves (primarily workers' compensation) 2.3 3.4 Lease obligations (Note 17) 123.2 128.6 Reserve for discontinued operations (Note 10) 135.6 127.2 Unfavorable contracts 5.6 10.1 Other long-term liabilities 26.2 28.6 Total $ 407.4 $ 445.4 ____________________ (1) Other accrued and other liabilities includes our estimated liability for sales returns. (2) Represents noncurrent portion of overall transition tax to be paid over the next two years. |
Quarterly Financial Informati_2
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of quarterly financial information | (in Millions, Except Share and Per Share Data) 2023 2022 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Revenue $ 1,344.3 $ 1,014.5 $ 981.9 $ 1,146.1 $ 1,350.8 $ 1,452.3 $ 1,377.2 $ 1,622.0 Gross margin 581.3 432.8 381.2 435.7 572.7 591.0 477.5 685.6 Income (loss) from continuing operations before equity in (earnings) loss of affiliates, non-operating pension and postretirement charges (income), interest expense, net and income taxes 304.5 132.2 100.8 18.1 303.3 235.9 210.6 394.5 Income (loss) from continuing operations 207.4 53.9 4.6 1,153.6 226.8 142.0 134.5 335.4 Discontinued operations, net of income taxes (11.5) (21.5) (8.3) (57.2) (15.2) (10.8) (16.2) (55.0) Net income (loss) $ 195.9 $ 32.4 $ (3.7) $ 1,096.4 $ 211.6 $ 131.2 $ 118.3 $ 280.4 Less: Net income (loss) attributable to noncontrolling interests (0.1) 1.9 (0.2) (2.1) 4.2 (3.0) (2.7) 6.5 Net income (loss) attributable to FMC stockholders $ 196.0 $ 30.5 $ (3.5) $ 1,098.5 $ 207.4 $ 134.2 $ 121.0 $ 273.9 Amounts attributable to FMC stockholders: Continuing operations, net of income taxes $ 207.5 $ 52.0 $ 4.8 $ 1,155.7 $ 222.6 $ 145.0 $ 137.2 $ 328.9 Discontinued operations, net of income taxes (11.5) (21.5) (8.3) (57.2) (15.2) (10.8) (16.2) (55.0) Net income (loss) $ 196.0 $ 30.5 $ (3.5) $ 1,098.5 $ 207.4 $ 134.2 $ 121.0 $ 273.9 Basic earnings (loss) per common share attributable to FMC stockholders (1) : Continuing operations $ 1.65 $ 0.41 $ 0.04 $ 9.23 $ 1.77 $ 1.15 $ 1.09 $ 2.61 Discontinued operations (0.09) (0.17) (0.07) (0.46) (0.12) (0.09) (0.13) (0.44) Basic net income (loss) per common share $ 1.56 $ 0.24 $ (0.03) $ 8.77 $ 1.65 $ 1.06 $ 0.96 $ 2.17 Diluted earnings (loss) per common share attributable to FMC stockholders (1) : Continuing operations $ 1.64 $ 0.41 $ 0.04 $ 9.23 $ 1.76 $ 1.15 $ 1.08 $ 2.61 Discontinued operations (0.09) (0.17) (0.07) (0.46) (0.12) (0.09) (0.13) (0.44) Diluted net income (loss) per common share $ 1.55 $ 0.24 $ (0.03) $ 8.77 $ 1.64 $ 1.06 $ 0.95 $ 2.17 Weighted average shares outstanding: Basic 125.3 125.1 124.9 124.9 126.1 126.2 126.2 125.6 Diluted 126.1 125.7 125.3 125.2 126.8 126.9 126.9 126.4 ____________________ (1) The sum of quarterly earnings per common share may differ from the full-year amount. |
Principal Accounting Policies_3
Principal Accounting Policies and Related Financial Information - Narrative (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) Segments class | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Accounting Policies [Abstract] | |||
Number of segments | Segments | 1 | ||
Nature of Operations | |||
Number of major classes of crop protection | class | 3 | ||
Trade receivable, net of allowance | |||
Allowance for trade receivable | $ 29.1 | $ 33.9 | $ 37.4 |
Allowance for long-term receivables | 27.1 | 44.5 | 27.7 |
Additions — charged to expense | $ (6.3) | (0.5) | (21.1) |
Investments | |||
Maximum ownership percentage for equity method investments (as a percent) | 50% | ||
Capitalized Interest | |||
Capitalized interest costs | $ 9.3 | 5.6 | $ 3.4 |
Asset Retirement Obligation [Abstract] | |||
Asset retirement obligation | $ 6.4 | $ 16 | |
Minimum | |||
Goodwill and Intangible Assets | |||
Weighted avg. useful life remaining at December 31, 2023 | 3 years | ||
Maximum | |||
Goodwill and Intangible Assets | |||
Weighted avg. useful life remaining at December 31, 2023 | 20 years | ||
Land Improvements | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 20 years | ||
Building | Minimum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 15 years | ||
Building | Maximum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 40 years | ||
Machinery and Equipment | Minimum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 3 years | ||
Machinery and Equipment | Maximum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 18 years | ||
Software Development | Minimum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 3 years | ||
Software Development | Maximum | |||
Property, plant and equipment and capitalized software | |||
Useful lives (in years) | 10 years |
Recently Issued and Adopted A_2
Recently Issued and Adopted Accounting Pronouncements and Regulatory Items Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Accounting Policies [Abstract] | ||
Confirmed outstanding obligations | $ 71.9 | $ 307.5 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) product productClass | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Disaggregation of Revenue [Line Items] | |||
Number of product categories | product | 3 | ||
Number of product classes | productClass | 3 | ||
Maximum payment term (in years) | 360 days | ||
Period between delivery and receipt of payment (in years) | 1 year | ||
Expected maximum duration of contract | 1 year | ||
Service arrangement, payment period (in days) | 30 days | ||
Amortization period (in years) | 1 year | ||
Transfer period, adjustment threshold (in years) | 1 year | ||
Remaining performance obligation, contract period, disclosure threshold (in years) | 1 year | ||
Contract with Customer, Timing Difference, Period Between Prepayment and Performance of Obligations | 1 year | ||
Advance payments from customers | $ | $ (199.1) | $ 52.1 | $ 283.6 |
Minimum | |||
Disaggregation of Revenue [Line Items] | |||
Contract payment term (in years) | 30 days | ||
Maximum | |||
Disaggregation of Revenue [Line Items] | |||
Contract payment term (in years) | 90 days |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue by Major Geographical Region (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | $ 1,146.1 | $ 981.9 | $ 1,014.5 | $ 1,344.3 | $ 1,622 | $ 1,377.2 | $ 1,452.3 | $ 1,350.8 | $ 4,486.8 | $ 5,802.3 | $ 5,045.2 |
North America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 1,204.8 | 1,435.8 | 1,117.2 | ||||||||
Latin America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 1,401.1 | 2,088.2 | 1,633.4 | ||||||||
Europe, Middle East & Africa | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 899.2 | 1,039.7 | 1,040 | ||||||||
Asia | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 981.7 | 1,238.6 | 1,254.6 | ||||||||
U.S. | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 978.1 | 1,288.8 | 1,018.1 | ||||||||
Brazil | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | $ 1,017.3 | $ 1,621.1 | $ 1,224.4 |
Revenue Recognition - Disaggr_2
Revenue Recognition - Disaggregation of Revenue By Major Product Category (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | $ 1,146.1 | $ 981.9 | $ 1,014.5 | $ 1,344.3 | $ 1,622 | $ 1,377.2 | $ 1,452.3 | $ 1,350.8 | $ 4,486.8 | $ 5,802.3 | $ 5,045.2 |
Insecticides | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 2,639.4 | 3,346.6 | 3,020 | ||||||||
Herbicides | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 1,278.4 | 1,651.6 | 1,375.3 | ||||||||
Fungicides | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 317.6 | 383.9 | 325.5 | ||||||||
Plant Health | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | 186.9 | 234.1 | 216.8 | ||||||||
Other | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue | $ 64.5 | $ 186.1 | $ 107.6 |
Revenue Recognition - Assets an
Revenue Recognition - Assets and Liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | ||
Receivables from contracts with customers, net of allowances | $ 2,722.7 | $ 2,932.2 |
Increase (decrease) in receivables | (209.5) | |
Contract liabilities: Advance payments from customers | 482.1 | $ 680.5 |
Increase (decrease) in liabilities | $ (198.4) |
Leases - Narrative (Details)
Leases - Narrative (Details) | Dec. 31, 2023 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Lease term | 1 year |
Minimum | Real Estate Properties | |
Lessee, Lease, Description [Line Items] | |
Lease term | 1 year |
Minimum | Non-Real Estate Properties | |
Lessee, Lease, Description [Line Items] | |
Lease term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Lease term | 20 years |
Maximum | Real Estate Properties | |
Lessee, Lease, Description [Line Items] | |
Lease term | 20 years |
Maximum | Non-Real Estate Properties | |
Lessee, Lease, Description [Line Items] | |
Lease term | 10 years |
Leases - Asset and Lease Liabil
Leases - Asset and Lease Liability (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Operating lease ROU assets | $ 121.8 | $ 123.8 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other assets including long-term receivables, net | Other assets including long-term receivables, net |
Liabilities | ||
Operating lease current liabilities | $ 24.4 | $ 22 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued and other liabilities | Accrued and other liabilities |
Operating lease noncurrent liabilities | $ 123.2 | $ 128.6 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other long-term liabilities | Other long-term liabilities |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease cost | $ 33.2 | $ 32.9 | $ 33.9 |
Variable lease cost | 13.3 | 6.3 | 4.7 |
Total lease cost | $ 46.5 | $ 39.2 | $ 38.6 |
Leases - Operating Lease Term a
Leases - Operating Lease Term and Discount Rate (Details) | Dec. 31, 2023 |
Operating Lease Term and Discount Rate | |
Weighted-average remaining lease term (years) | 7 years 3 months 18 days |
Weighted-average discount rate | 4.40% |
Leases - Cash Flow Information
Leases - Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | $ (35.9) | $ (33.9) |
Supplemental non-cash information on lease liabilities arising from obtaining right-of-use assets: | ||
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 21.4 | $ 20.1 |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Maturity of Lease Liabilities | |
2024 | $ 29.9 |
2025 | 25.8 |
2026 | 22.5 |
2027 | 20.8 |
2028 | 17.7 |
Thereafter | 57.1 |
Total undiscounted lease payments | 173.8 |
Less: Present value adjustment | (26.2) |
Present value of lease liabilities | $ 147.6 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) $ in Millions | Jul. 19, 2022 USD ($) |
BioPhero | |
Business Acquisition [Line Items] | |
Purchase price | $ 193 |
Acquisitions - Summary of Asset
Acquisitions - Summary of Assets and Liabilities Acquired (Details) - USD ($) $ in Millions | 2 Months Ended | 12 Months Ended | ||||
Sep. 30, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jul. 19, 2022 | ||
Intangible assets | ||||||
Goodwill | $ 1,593.6 | $ 1,589.3 | $ 1,463.3 | |||
Fair Value of Liabilities Assumed | ||||||
Cash purchase price, net of acquired cash | [1] | $ 16.5 | $ 198.2 | $ 5.2 | ||
Developed Technology | ||||||
Fair Value of Liabilities Assumed | ||||||
Weighted avg. useful life remaining at December 31, 2023 | 12 years | |||||
BioPhero | ||||||
Fair Value of Assets Acquired | ||||||
Cash | $ 10 | |||||
Intangible assets | ||||||
Goodwill | 130.7 | |||||
Other Assets | 3.4 | |||||
Total Assets | 220.9 | |||||
Fair Value of Liabilities Assumed | ||||||
Deferred income tax liabilities | 16.6 | |||||
Other Liabilities | 1.1 | |||||
Total Liabilities | 17.7 | |||||
Net Assets | 203.2 | |||||
Cash purchase price, net of acquired cash | $ 193.2 | |||||
BioPhero | Developed Technology | ||||||
Intangible assets | ||||||
Business combination, recognized identifiable assets acquired and liabilities assumed, intangible assets, other than goodwill | $ 66.3 | |||||
Fair Value of Liabilities Assumed | ||||||
Weighted avg. useful life remaining at December 31, 2023 | 15 years | |||||
BioPhero | In-process research & development | ||||||
Intangible assets | ||||||
Business combination, recognized identifiable assets acquired and liabilities assumed, intangible assets, other than goodwill | $ 10.5 | |||||
[1] The acquisitions, including cost and equity method, net amount in 2023 includes an $11.9 million payment related to the in-process research and development assets acquired. For additional detail on this transaction, see Note 8 to our consolidated financial statements included within this Form 10-K. The 2022 activity includes the purchase price of Biophero of approximately $193 million. For additional detail on this transaction, see Note 4 to our consolidated financial statements included within this Form 10-K. |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Schedule of Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill [Roll Forward] | ||
Balance at beginning of period | $ 1,589.3 | $ 1,463.3 |
Acquisitions | 130.7 | |
Foreign currency and other adjustments | 4.3 | (4.7) |
Balance at end of period | $ 1,593.6 | $ 1,589.3 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Narrative (Details) | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill, impairment loss | $ 0 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Intangible Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Intangible assets subject to amortization (finite life) | ||
Gross | $ 1,321.2 | $ 1,275.9 |
Accumulated Amortization | (476.7) | (407.9) |
Net | 844.5 | 868 |
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 1,620.6 | 1,640.1 |
Finite and Indefinite lived intangible assets, gross | 2,941.8 | 2,916 |
Total Accumulated Amortization | (476.7) | (407.9) |
Total intangible assets | 2,465.1 | 2,508.1 |
Crop Protection Brands | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 1,259 | 1,259 |
Brands | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | 350.3 | 370.1 |
In-process research & development | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible assets | $ 11.3 | 11 |
Customer relationships | ||
Intangible assets subject to amortization (finite life) | ||
Weighted avg. useful life remaining at December 31, 2023 | 13 years | |
Gross | $ 1,136.7 | 1,127.9 |
Accumulated Amortization | (414.2) | (351.3) |
Net | 722.5 | 776.6 |
Indefinite-lived Intangible Assets [Line Items] | ||
Total Accumulated Amortization | $ (414.2) | (351.3) |
Patents | ||
Intangible assets subject to amortization (finite life) | ||
Weighted avg. useful life remaining at December 31, 2023 | 4 years | |
Gross | $ 1.8 | 1.7 |
Accumulated Amortization | (1.6) | (1.4) |
Net | 0.2 | 0.3 |
Indefinite-lived Intangible Assets [Line Items] | ||
Total Accumulated Amortization | $ (1.6) | (1.4) |
Brands | ||
Intangible assets subject to amortization (finite life) | ||
Weighted avg. useful life remaining at December 31, 2023 | 9 years | |
Gross | $ 49.3 | 16.1 |
Accumulated Amortization | (12.9) | (10.6) |
Net | 36.4 | 5.5 |
Indefinite-lived Intangible Assets [Line Items] | ||
Total Accumulated Amortization | $ (12.9) | (10.6) |
Purchased and licensed technologies | ||
Intangible assets subject to amortization (finite life) | ||
Weighted avg. useful life remaining at December 31, 2023 | 12 years | |
Gross | $ 131.1 | 128.4 |
Accumulated Amortization | (46.2) | (42.9) |
Net | 84.9 | 85.5 |
Indefinite-lived Intangible Assets [Line Items] | ||
Total Accumulated Amortization | $ (46.2) | (42.9) |
Other intangibles | ||
Intangible assets subject to amortization (finite life) | ||
Weighted avg. useful life remaining at December 31, 2023 | 8 years | |
Gross | $ 2.3 | 1.8 |
Accumulated Amortization | (1.8) | (1.7) |
Net | 0.5 | 0.1 |
Indefinite-lived Intangible Assets [Line Items] | ||
Total Accumulated Amortization | $ (1.8) | $ (1.7) |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Amortization Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Amortization expense | $ 64.3 | $ 60.6 | $ 62.7 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
2024 | 63.7 | ||
2025 | 67.9 | ||
2026 | 69.9 | ||
2027 | 69.5 | ||
2028 | $ 69.8 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Inventories: | ||
Finished goods | $ 643.8 | $ 577.5 |
Work in process | 732.2 | 807.4 |
Raw materials, supplies and other | 348.6 | 266.7 |
Inventories | $ 1,724.6 | $ 1,651.6 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Land and land improvements | $ 98.1 | $ 103.6 | |
Buildings and building equipment | 540 | 522.9 | |
Machinery and equipment | 717.2 | 613.1 | |
Construction in progress | 204.5 | 175.9 | |
Total cost | 1,559.8 | 1,415.5 | |
Accumulated depreciation | (667.3) | (565.9) | |
Property, plant and equipment, net | 892.5 | 849.6 | |
Depreciation | $ 73.5 | $ 71.1 | $ 70.8 |
Restructuring and Other Charg_3
Restructuring and Other Charges (Income) - Restructuring Charges in Consolidated Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | |||
Restructuring charges (income) | $ 48.4 | $ (26.1) | $ 41.1 |
Other charges (income), net | 163.9 | 119.2 | 66.9 |
Total restructuring and other charges (income) | $ 212.3 | $ 93.1 | $ 108 |
Restructuring and Other Charg_4
Restructuring and Other Charges (Income) - Restructuring Charges (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Charges [Abstract] | |||
Severance and Employee Benefits | $ 47 | $ 5.9 | $ 12.7 |
Other Charges (Income) | (1.4) | (43.2) | 10.3 |
Asset Disposal Charges | 2.8 | 11.2 | 18.1 |
Total | 48.4 | (26.1) | 41.1 |
Project Focus | |||
Restructuring Charges [Abstract] | |||
Severance and Employee Benefits | 40.1 | ||
Other Charges (Income) | 5.4 | ||
Asset Disposal Charges | 0 | ||
Total | 45.5 | ||
DuPont Crop restructuring | |||
Restructuring Charges [Abstract] | |||
Severance and Employee Benefits | 0 | 0 | 1.2 |
Other Charges (Income) | (8.1) | (49.9) | 4.5 |
Asset Disposal Charges | 2.8 | 1.2 | 11 |
Total | (5.3) | (48.7) | 16.7 |
Regional realignment | |||
Restructuring Charges [Abstract] | |||
Severance and Employee Benefits | 3.8 | 5.5 | |
Other Charges (Income) | 4.1 | 5.3 | |
Asset Disposal Charges | 0 | 0.2 | |
Total | 7.9 | 11 | |
Other items | |||
Restructuring Charges [Abstract] | |||
Severance and Employee Benefits | 6.9 | 2.1 | 6 |
Other Charges (Income) | 1.3 | 2.6 | 0.5 |
Asset Disposal Charges | 0 | 10 | 6.9 |
Total | $ 8.2 | $ 14.7 | $ 13.4 |
Restructuring and Other Charg_5
Restructuring and Other Charges (Income) - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Dec. 12, 2023 | Sep. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | $ 47 | $ 5.9 | $ 12.7 | ||||
Other items | (1.4) | (43.2) | 10.3 | ||||
Restructuring charges (income) | 48.4 | (26.1) | 41.1 | ||||
Proceeds from land disposition | 5.8 | 50.5 | |||||
Exit from Russian Operations | 0 | 76.8 | 0 | ||||
Currency related matters | $ (6.9) | 75.2 | 0 | 0 | |||
Indirect tax matters | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Loss contingency reserves | 33.5 | ||||||
DuPont Crop Restructuring | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 0 | 0 | 1.2 | ||||
Other items | (8.1) | (49.9) | 4.5 | ||||
Restructuring charges (income) | (5.3) | (48.7) | 16.7 | ||||
Russia Operations | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Exit from Russian Operations | 76.8 | ||||||
Stranded cash | 7 | ||||||
Currency Related Matters | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Restructuring charges (income) | (68.3) | ||||||
Currency related matters | $ 63.4 | $ 4.9 | $ 25.8 | 101 | |||
Project Focus | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 40.1 | ||||||
Other items | 5.4 | ||||||
Restructuring charges (income) | 45.5 | ||||||
Project Focus | Maximum | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Pre-tax restructuring charges expected to be incurred | 215 | ||||||
Project Focus | Minimum | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Pre-tax restructuring charges expected to be incurred | $ 180 | ||||||
Regional realignment | |||||||
Restructuring Cost and Reserve [Line Items] | |||||||
Severance charges | 3.8 | 5.5 | |||||
Other items | 4.1 | 5.3 | |||||
Restructuring charges (income) | $ 7.9 | $ 11 |
Restructuring and Other Charg_6
Restructuring and Other Charges (Income) - Rollforward of Restructuring Reserves (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve, beginning balance | $ 10.6 | $ 14.9 |
Changes in reserves | 55.4 | 13.2 |
Cash payments | (15.9) | (18.2) |
Other | 0.3 | 0.7 |
Restructuring reserve, ending balance | 50.4 | 10.6 |
DuPont Crop Restructuring | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve, beginning balance | 5 | 8.6 |
Changes in reserves | 0 | 0.6 |
Cash payments | (1) | (4.7) |
Other | (0.1) | 0.5 |
Restructuring reserve, ending balance | 3.9 | 5 |
Regional realignment (2) | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve, beginning balance | 3 | 4 |
Changes in reserves | 0 | 7.9 |
Cash payments | (2.2) | (9.3) |
Other | 0 | 0.4 |
Restructuring reserve, ending balance | 0.8 | 3 |
Other workforce related and facility shutdowns | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve, beginning balance | 2.6 | 2.3 |
Changes in reserves | 9.9 | 4.7 |
Cash payments | (10.3) | (4.2) |
Other | 0.4 | (0.2) |
Restructuring reserve, ending balance | 2.6 | 2.6 |
Cheminova restructuring | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring reserve, beginning balance | 0 | 0 |
Changes in reserves | 45.5 | 0 |
Cash payments | (2.4) | 0 |
Other | 0 | 0 |
Restructuring reserve, ending balance | $ 43.1 | $ 0 |
Restructuring and Other Charg_7
Restructuring and Other Charges (Income) - Other Charges (Income), Net (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restructuring and Related Activities [Abstract] | ||||
Environmental charges, net | $ 66.9 | $ 34.7 | $ 27.1 | |
Exit from Russian Operations | 0 | 76.8 | 0 | |
Currency related matters | $ (6.9) | 75.2 | 0 | 0 |
IPR&D asset acquisition charges | 13 | 0 | 0 | |
Other items, net | 8.8 | 7.7 | 39.8 | |
Other charges (income), net | $ 163.9 | $ 119.2 | $ 66.9 |
Receivables - Allowance for Dou
Receivables - Allowance for Doubtful Trade Receivables and Credit Losses (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | ||
Allowance for trade receivables, beginning balance | $ 33.9 | $ 37.4 |
Additions — charged (credited) to expense | 4.7 | 0.7 |
Transfer from (to) allowance for credit losses | (1.5) | 0.5 |
Net recoveries, write-offs and other | (8) | (4.7) |
Allowance for trade receivables, ending balance | 29.1 | 33.9 |
Long term customer receivables | 19.5 | 60.8 |
Allowance for long term customer receivables [Roll Forward] | ||
Allowance for long term customer receivables, beginning | 44.5 | 27.7 |
Additions — charged (credited) to expense | 1.6 | (1.2) |
Transfer from (to) allowance for doubtful accounts | 1.5 | (0.5) |
Foreign currency adjustments | 0.8 | 8.1 |
Net recoveries, write-offs and other | (21.3) | 10.4 |
Allowance for long term customer receivables, ending | $ 27.1 | $ 44.5 |
Receivables - Narrative (Detail
Receivables - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Receivables with Imputed Interest [Line Items] | ||||
Long term customer receivables | $ 19.5 | $ 60.8 | ||
Trade receivables, net | 192.4 | (443.9) | $ (241.1) | |
Nonrecourse factoring | 155 | 58 | ||
Receivables Securitization Facility | ||||
Receivables with Imputed Interest [Line Items] | ||||
Trade receivables transferred to the fund | 105 | |||
Transfer charge | 11.9 | $ 11 | ||
Trade receivables, net | $ (148.3) | |||
Contractually specified servicing fee income, statement of income or comprehensive income | Selling, general and administrative expenses | |||
Sale of trade receivable classified as noncash investing activity | $ 19 |
Discontinued Operations - Compo
Discontinued Operations - Components of Discontinued Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | $ (57.2) | $ (8.3) | $ (21.5) | $ (11.5) | $ (55) | $ (16.2) | $ (10.8) | $ (15.2) | $ (98.5) | $ (97.2) | $ (68.2) |
Adjustment for workers' compensation, product liability, and other postretirement benefits and other, tax | (0.9) | (2.5) | (10.2) | ||||||||
Provision for environmental liabilities, net of recoveries, tax | 18 | 13.8 | 8.2 | ||||||||
Adjustment for workers’ compensation, product liability, and other postretirement benefits and other, net of income tax benefit (expense) of $(0.9) in 2023, $(2.5) in 2022 and $(10.2) in 2021 | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | (3) | (3.9) | (8.3) | ||||||||
Provision for environmental liabilities, net of recoveries, net of income tax benefit (expense) | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | (65.6) | (53.8) | (29.7) | ||||||||
Provision for legal reserves and expenses, net of recoveries, net of income tax benefit (expense) of $7.9 in 2023, $10.5 in 2022, and $12.2 in 2021 | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | (29.9) | (39.5) | (45.6) | ||||||||
Discontinued operations, tax | 7.9 | 10.5 | 12.2 | ||||||||
Discontinued Real Estate | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | 0 | 0 | 15.4 | ||||||||
Discontinued operations, tax | 0 | $ 0 | $ (4.1) | ||||||||
Discontinued Foreign Environmental Liabilities | |||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||
Restructuring and other charges (income) | $ (11.7) |
Discontinued Operations - Reser
Discontinued Operations - Reserves for Discontinued Operations (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Workers’ compensation, product liability, and indemnification reserves | $ 2.3 | $ 3.4 |
Reserve for discontinued operations | 135.6 | 127.2 |
Non-operating pension and postretirement charges (income); Discontinued operations, net of income taxes | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Workers’ compensation, product liability, and indemnification reserves | 7.3 | 8 |
Postretirement medical and life insurance benefits reserve, net | 4.4 | 4.7 |
Reserves for legal proceedings | 123.9 | 114.5 |
Reserve for discontinued operations | $ 135.6 | $ 127.2 |
Discontinued Operations - Narra
Discontinued Operations - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Net pretax actuarial gain and prior service credit | $ 2.2 | $ 2.9 | |
After-tax actuarial gain and prior service credit | 1 | 1.7 | |
Payments of other discontinued reserves | 31.6 | 30.6 | $ 21 |
Workers’ compensation, product liability, and indemnification reserves | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Payments of other discontinued reserves | 3.1 | 2.4 | 1.6 |
Postretirement medical and life insurance benefits reserve, net | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Payments of other discontinued reserves | 0.2 | 0.3 | 0.4 |
Reserves for legal proceedings | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Payments of other discontinued reserves | $ 28.3 | $ 27.9 | $ 19 |
Environmental Obligations - Nar
Environmental Obligations - Narrative (Details) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 USD ($) site operable_unit party | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 1998 USD ($) | Dec. 31, 2020 USD ($) | |
Environmental Exit Cost [Line Items] | |||||
Environmental reserves, excluding recoveries | $ 601.8 | $ 543.1 | |||
Environmental loss contingencies, net of expected recoveries, in excess of accrual | 240 | ||||
Charges to expense for new losses | 152.3 | 104.8 | $ 65.8 | ||
Accrual for environmental loss contingencies | 592.1 | 529.2 | 503.2 | $ 564.4 | |
Payments for attorney fees and unpaid permit fees | $ 92.6 | 74.5 | $ 121.8 | ||
Number of operable units evaluated and proposed for CMAs | operable_unit | 6 | ||||
Non-judicial process, parties involved | party | 100 | ||||
Number of sites FMC is named as a potentially responsible party | site | 28 | ||||
Number of sites FMC may be a potentially responsible party or equivalent | site | 46 | ||||
Middleport Litigation | |||||
Environmental Exit Cost [Line Items] | |||||
Settlement payment | $ 12.5 | 11.7 | |||
Pending Litigation | Middleport Litigation | |||||
Environmental Exit Cost [Line Items] | |||||
Operable units | operable_unit | 11 | ||||
Cash outflow, maximum, after year 2021 | $ 10 | ||||
Pocatello | |||||
Environmental Exit Cost [Line Items] | |||||
Charges to expense for new losses | 31.1 | ||||
Accrual for environmental loss contingencies | $ 82.9 | 75.8 | |||
Tribal permit fee | $ 1.5 | ||||
Discount rate | 4.20% | ||||
Estimated year three fees | $ 1.5 | ||||
Expected aggregate undiscounted fees | 75 | ||||
Middleport | |||||
Environmental Exit Cost [Line Items] | |||||
Accrual for environmental loss contingencies | $ 130.8 | $ 108.2 |
Environmental Obligations - Env
Environmental Obligations - Environmental Reserve Rollforward (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accrual for Environmental Loss Contingencies [Roll Forward] | |||
Total environmental reserves, net of recoveries beginning of period | $ 529.2 | $ 503.2 | $ 564.4 |
Provision | 152.3 | 104.8 | 65.8 |
Spending, net of recoveries | (92.6) | (74.5) | (121.8) |
Foreign currency translation adjustments | 3.2 | (4.3) | (5.2) |
Net Change | 62.9 | 26 | (61.2) |
Total environmental reserves, net of recoveries end of period | $ 592.1 | $ 529.2 | $ 503.2 |
Environmental loss contingency, statement of financial position | Environmental liabilities, continuing and discontinued | Environmental liabilities, continuing and discontinued | Environmental liabilities, continuing and discontinued |
Environmental Obligations - Rec
Environmental Obligations - Recoveries and Reserves (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Recorded Recoveries [Roll Forward] | ||||||||||||
Beginning balance | $ 20.3 | $ 15.9 | $ 20.3 | $ 15.9 | ||||||||
Increase (Decrease) in Recoveries | (1) | 5 | ||||||||||
Cash Received | (4.7) | (0.6) | ||||||||||
Ending balance | $ 14.6 | $ 20.3 | 14.6 | 20.3 | $ 15.9 | |||||||
Accrual for Environmental Loss Contingencies [Roll Forward] | ||||||||||||
Environmental reserves, current, net of recoveries | 97.4 | 90.1 | 97.4 | 90.1 | ||||||||
Environmental reserves, long-term continuing and discontinued, net of recoveries | 494.7 | 439.1 | 494.7 | 439.1 | ||||||||
Total environmental reserves, net of recoveries | 592.1 | 529.2 | 592.1 | 529.2 | 503.2 | $ 564.4 | ||||||
Net Environmental Provisions [Abstract] | ||||||||||||
Continuing operations | 66.9 | 34.7 | 27.1 | |||||||||
Discontinued operations | 83.6 | 67.6 | 37.9 | |||||||||
Net environmental provision | 150.5 | 102.3 | 65 | |||||||||
Discontinued operations, net of income taxes | 57.2 | $ 8.3 | $ 21.5 | 11.5 | 55 | $ 16.2 | $ 10.8 | 15.2 | 98.5 | 97.2 | 68.2 | |
Net Environmental Provisions, Assets and Liabilities [Abstract] | ||||||||||||
Environmental reserves | 152.3 | 104.8 | 65.8 | |||||||||
Other assets | (1.8) | (2.5) | (0.8) | |||||||||
Net environmental provision | 150.5 | 102.3 | 65 | |||||||||
Discontinued Foreign Environmental Liabilities | ||||||||||||
Net Environmental Provisions [Abstract] | ||||||||||||
Discontinued operations, net of income taxes | 11.7 | |||||||||||
Environmental liabilities, continuing and discontinued | ||||||||||||
Recorded Recoveries [Roll Forward] | ||||||||||||
Beginning balance | 13.9 | 11.4 | 13.9 | 11.4 | ||||||||
Increase (Decrease) in Recoveries | (3.1) | 2.5 | ||||||||||
Cash Received | (1.1) | 0 | ||||||||||
Ending balance | 9.7 | 13.9 | 9.7 | 13.9 | 11.4 | |||||||
Other assets | ||||||||||||
Recorded Recoveries [Roll Forward] | ||||||||||||
Beginning balance | $ 6.4 | $ 4.5 | 6.4 | 4.5 | ||||||||
Increase (Decrease) in Recoveries | 2.1 | 2.5 | ||||||||||
Cash Received | (3.6) | (0.6) | ||||||||||
Ending balance | $ 4.9 | $ 6.4 | $ 4.9 | $ 6.4 | $ 4.5 |
Income Taxes - Domestic and For
Income Taxes - Domestic and Foreign Income Tax Components (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ (312.7) | $ (89.6) | $ (57.5) |
Foreign | 612.9 | 1,073.5 | 955.3 |
Income (loss) from continuing operations before income taxes | $ 300.2 | $ 983.9 | $ 897.8 |
Income Taxes - Provision (Benef
Income Taxes - Provision (Benefit) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ 58.5 | $ 45.7 | $ (15.1) |
Foreign | 113.9 | 152.1 | 96.6 |
State | 1.1 | 0.1 | 0.4 |
Total current | 173.5 | 197.9 | 81.9 |
Deferred: | |||
Federal | (82.7) | (28.6) | 18.4 |
Foreign | (1,212) | (27.4) | (7.1) |
State | 1.9 | 3.3 | (0.7) |
Total deferred | (1,292.8) | (52.7) | 10.6 |
Total | $ (1,119.3) | $ 145.2 | $ 92.5 |
Income Taxes - Effective Income
Income Taxes - Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
U.S. Federal statutory rate | $ 63 | $ 206.6 | $ 188.6 |
Foreign earnings subject to different tax rates | (130.7) | (152.7) | (182.4) |
State and local income taxes, less federal income tax benefit | 2.5 | 5.5 | 7.6 |
Research and development and miscellaneous tax credits(2) | (1,154.6) | (5.7) | (8.6) |
Tax on dividends, deemed dividends, and GILTI | 37 | 24.6 | 44.5 |
Changes to unrecognized tax benefits | 10.5 | 10.5 | (28.7) |
Nondeductible expenses | 9.3 | 19.6 | 11.5 |
Change in valuation allowance | 172.5 | 71.3 | 84.7 |
Exchange gains and losses | (18.4) | (12) | (8.6) |
Other | (110.4) | (22.5) | (16.1) |
Total | (1,119.3) | 145.2 | 92.5 |
Operating Loss Carryforwards [Line Items] | |||
GILTI provisions | 25.5 | 17.8 | 36.2 |
Decrease related to deferred tax liabilities | $ 120 | $ 39.7 | $ 37.1 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||
Reserves for discontinued operations, environmental and restructuring | $ 144.7 | $ 121.4 |
Accrued pension and other postretirement benefits | 9.8 | 9.6 |
Capital loss, foreign tax and other credit carryforwards | 1,136 | 3.5 |
Net operating loss carryforwards | 411.2 | 315.2 |
Deferred expenditures capitalized for tax | 94.5 | 71.3 |
Other accruals and reserves | 234 | 219.3 |
Deferred tax assets | 2,030.2 | 740.3 |
Valuation allowance, net | (588.4) | (457.6) |
Deferred tax assets, net of valuation allowance | 1,441.8 | 282.7 |
Intangibles, Property, plant and equipment, and Investments, net | 263.3 | 393.5 |
Deferred tax liabilities | 263.3 | 393.5 |
Deferred income taxes | $ 1,178.5 | |
Net deferred tax assets (liabilities) | $ (110.8) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2023 USD ($) jurisdiction | Dec. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) jurisdiction | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Operating Loss Carryforwards [Line Items] | ||||||
Tax credit carryforward | $ 1,136 | $ 1,136 | ||||
Capital loss, foreign tax and other credit carryforwards | $ 1,136 | 1,136 | $ 3.5 | |||
Estimated net future reductions in tax associated with incentives granted | $ 1,154.6 | 5.7 | $ 8.6 | |||
Tax from earnings in foreign country | 1.6 | |||||
Number of significant foreign jurisdictions | jurisdiction | 13 | 13 | ||||
Unrecognized tax benefits | $ 51.2 | $ 51.2 | 46.1 | 41.9 | $ 76.2 | |
Unrecognized tax benefits that would impact effective tax rate | 37.1 | 37.1 | 29.5 | |||
Interest and penalties recognized | 4.3 | 2.6 | $ (4.5) | |||
Interest and penalties accrued | 16.3 | 16.3 | $ 12 | |||
Minimum | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Possible decrease in unrecognized tax benefits | 7.1 | 7.1 | ||||
Maximum | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Possible decrease in unrecognized tax benefits | 27.1 | 27.1 | ||||
U.S. State | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Operating loss carryforwards | 20.3 | 20.3 | ||||
Foreign Tax Authority | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Operating loss carryforwards | $ 390.9 | 390.9 | ||||
Switzerland | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Tax incentives granted, period (in years) | 10 years | |||||
Tax credit carryforward | $ 1,353 | 1,353 | ||||
Foreign deferred tax liabilities | 204 | 204 | ||||
Capital loss, foreign tax and other credit carryforwards | 1,149 | 1,149 | ||||
recorded valuation allowance | $ 318 | 318 | ||||
Switzerland | Scenario, Forecast | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Estimated net future reductions in tax associated with incentives granted | $ 831 | |||||
Brazil | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Change in valuation allowance | $ 223 |
Income Taxes - Uncertain Income
Income Taxes - Uncertain Income Tax Positions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at beginning of year | $ 46.1 | $ 41.9 | $ 76.2 |
Increases related to positions taken in the current year | 2.4 | 4.8 | 2.4 |
Increases and decreases related to positions taken in prior years | 3.5 | 2.9 | |
Increases and decreases related to positions taken in prior years | (26.4) | ||
Decreases related to lapse of statutes of limitations | (0.8) | (3.5) | (10.3) |
Settlements during the current year | 0 | 0 | 0 |
Decreases for tax positions on dispositions | 0 | 0 | 0 |
Balance at end of year | 51.2 | 46.1 | 41.9 |
Offsetting non-current deferred tax asset | $ 12.9 | $ 12.8 | $ 14.4 |
Debt - Maturing within One Year
Debt - Maturing within One Year (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Short-term Debt [Line Items] | ||
Short-term foreign debt | $ 98,000,000 | $ 81,800,000 |
Commercial paper | 739,500,000 | 370,500,000 |
Total short-term debt | 837,500,000 | 452,300,000 |
Current portion of long-term debt | 96,500,000 | 88,500,000 |
Total Short-term debt and current portion of long-term debt | 934,000,000 | $ 540,800,000 |
Line of credit | ||
Short-term Debt [Line Items] | ||
Maximum borrowing capacity | $ 2,750,000,000 | |
Short-term foreign debt | ||
Short-term Debt [Line Items] | ||
Weighted average interest rates for short-term debt outstanding at year-end (as a percent) | 14.20% | |
Commercial paper | ||
Short-term Debt [Line Items] | ||
Weighted average interest rates for short-term debt outstanding at year-end (as a percent) | 6.11% |
Debt - Long-term (Details)
Debt - Long-term (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,120.1 | $ 2,821.7 |
Debt issuance cost | (24.5) | (16.1) |
Less: debt maturing within one year | 96.5 | 88.5 |
Total long-term debt, less current portion | 3,023.6 | 2,733.2 |
Line of credit | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 0 | 0 |
Pollution control and industrial revenue bonds (less unamortized discounts of $0.1 and $0.1, respectively) | ||
Debt Instrument [Line Items] | ||
Unamortized discount | 0.1 | 0.1 |
Total long-term debt | 49.9 | 49.9 |
Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) | ||
Debt Instrument [Line Items] | ||
Unamortized discount | 1.8 | 0.6 |
Total long-term debt | $ 2,998.2 | 1,899.4 |
2021 Term Loan Facility | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 0% | |
Long-term debt, gross | $ 0 | 800 |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 8% | |
Letters of credit outstanding, amount | $ 251.5 | |
Line of credit, remaining borrowing capacity | 1,009 | |
Foreign debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 96.5 | $ 88.5 |
Minimum | Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 3.20% | |
Minimum | Foreign debt | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 14.60% | |
Maximum | Pollution control and industrial revenue bonds (less unamortized discounts of $0.1 and $0.1, respectively) | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 6.45% | |
Maximum | Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 6.40% | |
Maximum | Foreign debt | ||
Debt Instrument [Line Items] | ||
Interest Rate Percentage | 17.40% |
Debt - Maturities of long-term
Debt - Maturities of long-term debt (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Maturities of Long-term Debt [Abstract] | |
2024 | $ 96.5 |
2025 | 0 |
2026 | 1,000 |
2027 | 0 |
2028 | 0 |
Thereafter | $ 2,050 |
Debt - Senior Notes (Details)
Debt - Senior Notes (Details) - Senior notes (less unamortized discounts of $1.8 and $0.6, respectively) | May 18, 2023 USD ($) |
Senior Notes Due 2026 | |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 500,000,000 |
Interest Rate Percentage | 5.15% |
Senior Notes Due 2033 | |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 500,000,000 |
Interest Rate Percentage | 5.65% |
Senior Notes Due 2053 | |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 500,000,000 |
Interest Rate Percentage | 6.375% |
Debt - Covenants (Details)
Debt - Covenants (Details) - Line of credit | 12 Months Ended | |
Dec. 31, 2023 | Nov. 30, 2023 | |
Debt Instrument [Line Items] | ||
Credit agreement, covenant compliance, actual leverage ratio | 4.17 | |
Credit agreement, covenant terms, maximum leverage ratio | 6.50 | |
Credit agreement, covenant compliance, actual interest coverage ratio, period one | 4.13 | |
Credit agreement, covenant terms, minimum interest coverage ratio, period one | 2.50 | |
Revolving Credit Facility And Term Loan Facility 2017 | ||
Debt Instrument [Line Items] | ||
Credit Agreement, covenant terms, maximum leverage ratio | 6.50 | |
Minimum interest coverage | 2.50 | |
Credit agreement, covenant compliance, actual interest coverage ratio, period two | 3.75 | |
Credit agreement, covenant terms, minimum interest coverage ratio, period two | 3.50 |
Pension and Other Postretirem_3
Pension and Other Postretirement Benefits - Benefits Weighted Average Assumptions (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Pensions | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Rate of compensation increase | 3.10% | 3.10% |
Pensions | U.S. qualified pension plan | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 4.97% | 5.16% |
Pensions | U.S. nonqualified pension plan | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 4.78% | 4.99% |
Other Benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 4.83% | 5.03% |
Pension and Other Postretirem_4
Pension and Other Postretirement Benefits - Components of Defined Benefit Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Change in plan assets | |||
Company contributions | $ 2.4 | $ 4.5 | |
Amount recognized in the consolidated balance sheets: | |||
Pension asset | 30.7 | 22.4 | |
Pensions | |||
Change in projected benefit obligation | |||
Projected benefit obligation at January 1 | 1,044.3 | 1,354 | |
Service cost | 2.6 | 3.6 | $ 4.7 |
Interest cost | 50.4 | 29.3 | 24.5 |
Actuarial loss (gain) | 19 | (256.2) | |
Foreign currency exchange rate changes and other | 0 | (0.5) | |
Plan participants’ contributions | 0 | 0 | |
Settlements | (1) | (2.2) | |
Benefits paid | (83.1) | (83.7) | |
Projected benefit obligation at December 31 | 1,032.2 | 1,044.3 | 1,354 |
Change in plan assets | |||
Fair value of plan assets at January 1 | 1,044.1 | 1,372 | |
Actual return on plan assets | 79.2 | (245.3) | |
Foreign currency exchange rate changes | 0.3 | 3.1 | |
Company contributions | 1.2 | 3.5 | |
Plan participants’ contributions | 0 | 0 | |
Settlements | (0.4) | (5.5) | |
Benefits paid | (83.1) | (83.7) | |
Fair value of plan assets at December 31 | 1,041.3 | 1,044.1 | 1,372 |
Funded Status | |||
Net funded status of the plan (liability) | 9.1 | (0.2) | |
Amount recognized in the consolidated balance sheets: | |||
Pension asset | 30.7 | 22.4 | |
Accrued benefit liability | (21.6) | (22.6) | |
Total | 9.1 | (0.2) | |
Pensions | Non-U.S. | |||
Change in plan assets | |||
Company contributions | 0.1 | 0.1 | |
U.S. plans with assets | UNITED STATES | |||
Funded Status | |||
Net funded status of the plan (liability) | 30.7 | 22.4 | |
U.S. plans with assets | Non-U.S. | |||
Funded Status | |||
Net funded status of the plan (liability) | (1.6) | (1.2) | |
U.S. plans without assets | UNITED STATES | |||
Funded Status | |||
Net funded status of the plan (liability) | (14.7) | (14.6) | |
Other Benefits | |||
Change in projected benefit obligation | |||
Projected benefit obligation at January 1 | 11.2 | 13.7 | |
Service cost | 0 | 0 | 0 |
Interest cost | 0.5 | 0.3 | 0.3 |
Actuarial loss (gain) | (1.4) | (1.7) | |
Foreign currency exchange rate changes and other | 0 | 0 | |
Plan participants’ contributions | 0.3 | 0.3 | |
Settlements | 0 | 0 | |
Benefits paid | (1.4) | (1.4) | |
Projected benefit obligation at December 31 | 9.2 | 11.2 | 13.7 |
Change in plan assets | |||
Fair value of plan assets at January 1 | (0.1) | 0 | |
Actual return on plan assets | 0 | 0 | |
Foreign currency exchange rate changes | 0 | 0 | |
Company contributions | 1.2 | 1 | |
Plan participants’ contributions | 0.3 | 0.3 | |
Settlements | 0 | 0 | |
Benefits paid | (1.4) | (1.4) | |
Fair value of plan assets at December 31 | 0 | (0.1) | $ 0 |
Funded Status | |||
Net funded status of the plan (liability) | (9.2) | (11.3) | |
Amount recognized in the consolidated balance sheets: | |||
Pension asset | 0 | 0 | |
Accrued benefit liability | (9.2) | (11.3) | |
Total | (9.2) | (11.3) | |
U.S. plans with assets | UNITED STATES | |||
Funded Status | |||
Net funded status of the plan (liability) | 0 | 0 | |
U.S. plans with assets | Non-U.S. | |||
Funded Status | |||
Net funded status of the plan (liability) | 0 | 0 | |
U.S. plans without assets | UNITED STATES | |||
Funded Status | |||
Net funded status of the plan (liability) | (9.2) | (11.3) | |
All other plans | |||
Funded Status | |||
Net funded status of the plan (liability) | (5.3) | (6.8) | |
All other plans | |||
Funded Status | |||
Net funded status of the plan (liability) | $ 0 | $ 0 |
Pension and Other Postretirem_5
Pension and Other Postretirement Benefits - Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Pensions | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prior service (cost) credit | $ (0.1) | $ (0.3) |
Net actuarial (loss) gain | (309.9) | (337.6) |
Accumulated other comprehensive income (loss) – pretax | (310) | (337.9) |
Accumulated other comprehensive income (loss) – net of tax | (229.9) | (252.7) |
Other Benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prior service (cost) credit | 0 | 0 |
Net actuarial (loss) gain | 5.3 | 4.9 |
Accumulated other comprehensive income (loss) – pretax | 5.3 | 4.9 |
Accumulated other comprehensive income (loss) – net of tax | $ 3.9 | $ 3.6 |
Pension and Other Postretirem_6
Pension and Other Postretirement Benefits - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Maximum percentage of employee's compensation eligible for employer matching contributions | 5% | ||
Additional employer annual contribution (as a percent) | 5% | ||
Charges for defined contribution plans | $ 19.1 | $ 17.5 | $ 15.6 |
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 80% | ||
UNITED STATES | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected return on plan assets | 2.50% | 2.25% | |
Decrease in rate of return on plan assets | 2.25% | ||
Estimated inflation rate assumptions for rate of return on plan assets | 2.30% | ||
UNITED STATES | Fixed Income Investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Target asset allocation | 100% | ||
Pensions | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Accumulated benefit obligation | $ 1,027 | $ 1,036.7 | |
Expected return on plan assets | 4.75% | 2.50% | 2.25% |
Pension and Other Postretirem_7
Pension and Other Postretirement Benefits - PBO in Excess of Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan, Pension Plan with Project Benefit Obligation in Excess of Plan Assets [Abstract] | ||
Projected benefit obligations | $ 25.2 | $ 26.2 |
Accumulated benefit obligations | 26.1 | 26.2 |
Fair value of plan assets | $ 3.6 | $ 3.6 |
Pension and Other Postretirem_8
Pension and Other Postretirement Benefits - Changes in Plan Assets and Benefit Obligations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total recognized in other comprehensive (income) loss, after taxes | $ (22.4) | $ 6.6 | $ 7.9 |
Pensions | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Current year net actuarial loss (gain) | (12.2) | 22.1 | |
Amortization of net actuarial (loss) gain | (15.5) | (12.4) | |
Amortization of prior service (cost) credit | (0.1) | (0.2) | |
Settlement loss | (0.1) | (0.5) | |
Total recognized in other comprehensive (income) loss, before taxes | (27.9) | 9 | |
Total recognized in other comprehensive (income) loss, after taxes | (22.8) | 7.2 | |
Other Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Current year net actuarial loss (gain) | (1.4) | (1.7) | |
Amortization of net actuarial (loss) gain | 1 | 0.8 | |
Amortization of prior service (cost) credit | 0 | 0 | |
Settlement loss | 0 | 0 | |
Total recognized in other comprehensive (income) loss, before taxes | (0.4) | (0.9) | |
Total recognized in other comprehensive (income) loss, after taxes | $ (0.3) | $ (1.1) |
Pension and Other Postretirem_9
Pension and Other Postretirement Benefits - Net Annual Benefit (Cost) Assumptions (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pensions | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 5.16% | 2.84% | 2.49% |
Expected return on plan assets | 4.75% | 2.50% | 2.25% |
Rate of compensation increase | 3.10% | 3.10% | 3.10% |
Components of net annual benefit cost: | |||
Service cost | $ 2.6 | $ 3.6 | $ 4.7 |
Interest cost | 50.4 | 29.3 | 24.5 |
Expected return on plan assets | (47.5) | (33.1) | (31.9) |
Amortization of prior service cost | 0.1 | 0.2 | 0.2 |
Amortization of net actuarial and other (gain) loss | 15.3 | 12.4 | 12.5 |
Recognized (gain) loss due to curtailments | 0.4 | 0 | 0 |
Recognized (gain) loss due to settlement | 0 | 0.5 | 1 |
Net annual benefit cost (income) | $ 21.3 | $ 12.9 | $ 11 |
Other Benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 5.03% | 2.39% | 1.91% |
Expected return on plan assets | 0% | 0% | 0% |
Rate of compensation increase | 0% | 0% | 0% |
Components of net annual benefit cost: | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 0.5 | 0.3 | 0.3 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of prior service cost | 0 | 0 | 0 |
Amortization of net actuarial and other (gain) loss | (0.9) | (0.8) | (0.8) |
Recognized (gain) loss due to curtailments | 0 | 0 | 0 |
Recognized (gain) loss due to settlement | 0 | 0 | 0 |
Net annual benefit cost (income) | $ (0.4) | $ (0.5) | $ (0.5) |
Pension and Other Postretire_10
Pension and Other Postretirement Benefits - Pension Plan Assets Fair Value (Details) - Pensions - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | $ 1,041.3 | $ 1,044.1 | $ 1,372 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 220.7 | 259.5 | |
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 820.6 | 784.6 | |
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Cash and short-term investments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 3 | 22.8 | |
Cash and short-term investments | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 3 | 22.8 | |
Cash and short-term investments | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Cash and short-term investments | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Investment contracts | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 114.9 | 116.4 | |
Investment contracts | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Investment contracts | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 114.9 | 116.4 | |
Investment contracts | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S. Government Securities | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 204.6 | 207.4 | |
U.S. Government Securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 204.6 | 207.4 | |
U.S. Government Securities | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
U.S. Government Securities | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Mutual funds | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 13.1 | 29.3 | |
Mutual funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 13.1 | 29.3 | |
Mutual funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Mutual funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Corporate debt instruments | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 705.7 | 668.2 | |
Corporate debt instruments | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Corporate debt instruments | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | 705.7 | 668.2 | |
Corporate debt instruments | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Fair value of plan assets | $ 0 | $ 0 |
Pension and Other Postretire_11
Pension and Other Postretirement Benefits - Contributions to Plans (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Contributions to pension and other postretirement plans | $ 2.4 | $ 4.5 |
Pensions | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Contributions to pension and other postretirement plans | 1.2 | 3.5 |
Other postretirement benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Contributions to pension and other postretirement plans | 1.2 | 1 |
U.S. qualified pension plan | Pensions | UNITED STATES | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Contributions to pension and other postretirement plans | 0 | 0 |
U.S. nonqualified pension plan | Pensions | UNITED STATES | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Contributions to pension and other postretirement plans | $ 1.1 | $ 3.4 |
Pension and Other Postretire_12
Pension and Other Postretirement Benefits - Estimated Future Benefit Payments (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Pensions | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | |
2024 | $ 88.5 |
2025 | 85.5 |
2026 | 85.3 |
2027 | 83.3 |
2028 | 81.9 |
2029 - 2033 | 382.4 |
Other postretirement benefits | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | |
2024 | 1.3 |
2025 | 1.2 |
2026 | 1.1 |
2027 | 1.1 |
2028 | 1 |
2029 - 2033 | $ 3.6 |
Share-based Compensation (Detai
Share-based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Apr. 27, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based payment award, expiration period | 10 years | ||||
Tax benefit from compensation expense | $ 5.4 | $ 5.1 | $ 3.7 | ||
Share-based compensation expense, after-tax | 20.5 | 19.1 | 14.1 | ||
Cash related stock options exercises | $ 5.3 | $ 9.4 | $ 7.9 | ||
Black Scholes valuation assumptions for stock option grants [Abstract] | |||||
Options granted, weighted-average grant-date fair value (in dollars per share) | $ 42.08 | $ 33.53 | $ 28.31 | ||
Options exercisable (in shares) | 824,000 | 672,000 | 605,000 | 388,000 | |
Options vested and expected to vest (in shares) | 551,000 | 607,000 | 622,000 | 818,000 | |
Number of Options Granted But Not Exercised | |||||
Beginning (in shares) | 1,305,000 | 1,254,000 | 1,235,000 | ||
Granted (in shares) | 222,000 | 248,000 | 235,000 | ||
Exercised (in shares) | (88,000) | (166,000) | (166,000) | ||
Forfeited (in shares) | (43,000) | (31,000) | (50,000) | ||
Ending (in shares) | 1,396,000 | 1,305,000 | 1,254,000 | 1,235,000 | |
Weighted-Average Remaining Contractual Life | 5 years 7 months 6 days | 6 years 1 month 6 days | 6 years 2 months 12 days | 7 years | |
Weighted-Average Exercise Price Per Share | |||||
Beginning (in dollars per share) | $ 87.35 | $ 78.95 | $ 70.44 | ||
Granted (in dollars per share) | 128.92 | 114.90 | 105 | ||
Exercised (in dollars per share) | 62.42 | 62.74 | 49.56 | ||
Forfeited (in dollars per share) | 114.15 | 102.32 | 89.18 | ||
Ending (in dollars per share) | $ 94.73 | $ 87.35 | $ 78.95 | $ 70.44 | |
Aggregate Intrinsic Value (in Millions) | |||||
Options outstanding, aggregate intrinsic value | $ 1.6 | $ 48.9 | $ 38.8 | $ 54.9 | |
Options exercised, aggregate intrinsic value | $ 4.6 | 9.6 | 9.8 | ||
Options exercisable, weighted-average exercise price per share (in dollars per share) | $ 79.37 | ||||
FMC Corporation Incentive Compensation And Stock Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares remaining available for grant (in shares) | 1,600,000 | ||||
Capital shares reserved for future issuance (in shares) | 6,600,000 | ||||
Maximum | FMC Corporation Incentive Compensation And Stock Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares of common stock authorized for issuance under the plan (in shares) | 5,000,000 | ||||
Employee Stock Option | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Awards vesting period | 3 years | ||||
Share-based payment award, expiration period | 10 years | ||||
Tax benefit from compensation expense | $ 1.5 | 1.3 | 1 | ||
Share-based compensation expense, after-tax | $ 5.9 | $ 4.9 | $ 3.7 | ||
Fair value assumptions, forfeiture rate | 4% | ||||
Black Scholes valuation assumptions for stock option grants [Abstract] | |||||
Expected dividend yield | 1.80% | 1.85% | 1.83% | ||
Expected volatility | 31.99% | 33.18% | 32.75% | ||
Expected life (in years) | 6 years 6 months | 6 years 6 months | 6 years 6 months | ||
Risk-free interest rate | 4% | 1.91% | 0.92% | ||
Number of Options Granted But Not Exercised | |||||
Weighted-Average Remaining Contractual Life | 3 years 10 months 24 days | ||||
Aggregate Intrinsic Value (in Millions) | |||||
Options exercisable, intrinsic value | $ 1.6 | ||||
Unrecognized compensation cost | $ 6.7 | ||||
Unrecognized compensation cost, weighted-average period of recognition (in years) | 1 year 6 months 18 days | ||||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Awards vesting period | 3 years | ||||
Tax benefit from compensation expense | $ 2.4 | $ 2.3 | $ 1.9 | ||
Share-based compensation expense, after-tax | $ 9 | $ 8.5 | $ 7.2 | ||
Fair value assumptions, forfeiture rate | 2% | ||||
Aggregate Intrinsic Value (in Millions) | |||||
Unrecognized compensation cost | $ 12.2 | ||||
Unrecognized compensation cost, weighted-average period of recognition (in years) | 1 year 10 months 6 days | ||||
Number of awards | |||||
Nonvested awards, beginning (in shares) | 257,000 | 270,000 | 298,000 | ||
Granted (in shares) | 118,000 | 103,000 | 95,000 | ||
Vested (in shares) | (78,000) | (102,000) | (108,000) | ||
Forfeited (in shares) | (15,000) | (14,000) | (15,000) | ||
Nonvested awards, ending (in shares) | 282,000 | 257,000 | 270,000 | 298,000 | |
Weighted-Average Grant Date Fair Value Per Share | |||||
Nonvested awards, beginning (in dollars per share) | $ 104.54 | $ 89.56 | $ 79.91 | ||
Granted (in dollars per share) | 110.71 | 114.50 | 102.10 | ||
Vested (in dollars per share) | 93.32 | 77.80 | 73.82 | ||
Forfeited (in dollars per share) | 114.88 | 102.64 | 90.05 | ||
Nonvested awards, ending (in dollars per share) | $ 109.67 | $ 104.54 | $ 89.56 | $ 79.91 | |
Restricted Stock Units (RSUs) | Director | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares of common stock credited to directors' accounts for RSUs (in shares) | 173,487 | 284,201 | |||
Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Tax benefit from compensation expense | $ 1.5 | $ 1.5 | $ 0.8 | ||
Share-based compensation expense, after-tax | $ 5.6 | $ 5.7 | $ 3.2 | ||
Number of awards | |||||
Nonvested awards, beginning (in shares) | 136,000 | 195,000 | 202,000 | ||
Granted (in shares) | 81,000 | 45,000 | 79,000 | ||
Vested (in shares) | (58,000) | (102,000) | (86,000) | ||
Forfeited (in shares) | (6,000) | (2,000) | 0 | ||
Nonvested awards, ending (in shares) | 153,000 | 136,000 | 195,000 | 202,000 | |
Weighted-Average Grant Date Fair Value Per Share | |||||
Nonvested awards, beginning (in dollars per share) | $ 120.47 | $ 96.18 | $ 88.48 | ||
Granted (in dollars per share) | 137.18 | 140.32 | 103.26 | ||
Vested (in dollars per share) | 108.57 | 83.74 | 77.44 | ||
Forfeited (in dollars per share) | 136.25 | 125.60 | 0 | ||
Nonvested awards, ending (in dollars per share) | $ 131.60 | $ 120.47 | $ 96.18 | $ 88.48 |
Equity - Summary of Capital Sto
Equity - Summary of Capital Stock Activity (Details) - shares | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Equity [Abstract] | ||||
Common stock, shares issued (in shares) | 185,983,792 | 185,983,792 | 185,983,792 | 185,983,792 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||
Treasury stock, shares, ending (in shares) | 60,872,988 | 60,284,313 | 56,630,209 | |
Stock options and awards (in shares) | (301,008) | (286,805) | (300,594) | |
Repurchases of common stock, net (in shares) | 651,052 | 875,480 | 3,954,698 | |
Treasury stock, shares, ending (in shares) | 61,223,032 | 60,872,988 | 60,284,313 |
Equity - Schedule of Accumulate
Equity - Schedule of Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | $ 3,400.9 | $ 3,143.7 | $ 3,084.2 |
Ending balance | 4,433.4 | 3,400.9 | 3,143.7 |
Total | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (459.6) | (325.5) | (280.7) |
Other comprehensive income (loss) before reclassifications | (31.8) | (183.3) | (59.8) |
Amounts reclassified from accumulated other comprehensive income (loss) | 84.9 | 49.2 | 15 |
Ending balance | (406.5) | (459.6) | (325.5) |
Foreign currency adjustments | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (160.5) | (62.5) | 24 |
Other comprehensive income (loss) before reclassifications | 29.2 | (102.2) | (86.5) |
Amounts reclassified from accumulated other comprehensive income (loss) | 4.2 | ||
Ending balance | (131.3) | (160.5) | (62.5) |
Derivative instruments: | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (51.7) | (22.2) | (71.8) |
Other comprehensive income (loss) before reclassifications | (72.4) | (65.4) | 44.1 |
Amounts reclassified from accumulated other comprehensive income (loss) | 73.9 | 35.9 | 5.5 |
Ending balance | (50.2) | (51.7) | (22.2) |
Pension and other postretirement benefits | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning balance | (247.4) | (240.8) | (232.9) |
Other comprehensive income (loss) before reclassifications | 11.4 | (15.7) | (17.4) |
Amounts reclassified from accumulated other comprehensive income (loss) | 11 | 9.1 | 9.5 |
Ending balance | $ (225) | $ (247.4) | $ (240.8) |
Equity - Reclassification Out o
Equity - Reclassification Out of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative instruments: | |||||||||||
Restructuring and other charges (income) | $ (57.2) | $ (8.3) | $ (21.5) | $ (11.5) | $ (55) | $ (16.2) | $ (10.8) | $ (15.2) | $ (98.5) | $ (97.2) | $ (68.2) |
Selling, general and administrative expenses | (734.3) | (775.2) | (714.1) | ||||||||
Income (loss) from continuing operations before income taxes | 300.2 | 983.9 | 897.8 | ||||||||
Provision for income taxes | 1,119.3 | (145.2) | (92.5) | ||||||||
Income (loss) from continuing operations | 1,153.6 | 4.6 | 53.9 | 207.4 | 335.4 | 134.5 | 142 | 226.8 | 1,419.5 | 838.7 | 805.3 |
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Selling, general and administrative expenses | $ (734.3) | $ (775.2) | $ (714.1) | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) Excluding Service Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Non-operating pension and postretirement charges (income) | Non-operating pension and postretirement charges (income) | Non-operating pension and postretirement charges (income) | ||||||||
Non-operating pension and postretirement charges (income) | $ 18.2 | $ 8.6 | $ 5.6 | ||||||||
Net income (loss) | $ 1,096.4 | $ (3.7) | $ 32.4 | $ 195.9 | $ 280.4 | $ 118.3 | $ 131.2 | $ 211.6 | 1,321 | 741.5 | 737.1 |
Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Net income (loss) | (84.9) | (49.2) | (15) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Foreign currency adjustments | |||||||||||
Derivative instruments: | |||||||||||
Restructuring and other charges (income) | 0 | (4.2) | 0 | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Derivative instruments: | |||||||||||
Derivative instruments: | |||||||||||
Income (loss) from continuing operations before income taxes | (105.6) | (55) | (7.2) | ||||||||
Provision for income taxes | 31.7 | 19.1 | 1.7 | ||||||||
Income (loss) from continuing operations | (73.9) | (35.9) | (5.5) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Pension and other postretirement benefits | |||||||||||
Derivative instruments: | |||||||||||
Income (loss) from continuing operations before income taxes | (13.9) | (11.5) | (12) | ||||||||
Provision for income taxes | 2.9 | 2.4 | 2.5 | ||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Net income (loss) | (11) | (9.1) | (9.5) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service costs | |||||||||||
Derivative instruments: | |||||||||||
Selling, general and administrative expenses | (0.1) | (0.1) | (0.2) | ||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Selling, general and administrative expenses | (0.1) | (0.1) | (0.2) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Amortization of unrecognized net actuarial and other gains (losses) | Non-operating pension and postretirement charges (income) | |||||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Non-operating pension and postretirement charges (income) | (13.8) | (10.9) | (10.8) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Recognized loss due to curtailment and settlement | Non-operating pension and postretirement charges (income); Discontinued operations, net of income taxes | |||||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Non-operating pension and postretirement charges (income) | 0 | (0.5) | (1) | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Gain (loss) on foreign currency contracts | Derivative instruments: | |||||||||||
Derivative instruments: | |||||||||||
Costs of sales and services | (110.5) | (57.5) | (4.7) | ||||||||
Selling, general and administrative expenses | 7.3 | 6.5 | 1.7 | ||||||||
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract] | |||||||||||
Selling, general and administrative expenses | 7.3 | 6.5 | 1.7 | ||||||||
Reclassification out of Accumulated Other Comprehensive Income | Interest rate contracts | Derivative instruments: | |||||||||||
Derivative instruments: | |||||||||||
Interest expense, net | $ (2.4) | $ (4) | $ (4.2) |
Equity - Additional Information
Equity - Additional Information (Details) - USD ($) | 12 Months Ended | |||||
Jan. 20, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 28, 2022 | ||
Subsequent Event [Line Items] | ||||||
Dividends | $ 72,500,000 | |||||
Dividends paid | [1] | $ 290,500,000 | $ 267,500,000 | $ 247,200,000 | ||
Repurchase of shares (in shares) | 81,200,000 | $ 108,900,000 | $ 408,000,000 | |||
Remaining authorized shares under repurchase program | 825,000,000 | |||||
Repurchase Program | ||||||
Subsequent Event [Line Items] | ||||||
Authorized stock repurchase amount | $ 1,000,000,000 | |||||
Repurchase of shares (in shares) | $ 651,052 | |||||
[1] See Note 16 to the consolidated financial statements included within this Form 10-K regarding our quarterly cash dividend. |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | ||||||||||||
Antidilutive shares excluded from diluted EPS (in shares) | 700 | 400 | 200 | |||||||||
Earnings (loss) attributable to FMC stockholders: | ||||||||||||
Continuing operations, net of income taxes | $ 1,155.7 | $ 4.8 | $ 52 | $ 207.5 | $ 328.9 | $ 137.2 | $ 145 | $ 222.6 | $ 1,420 | $ 833.7 | $ 807.8 | |
Discontinued operations, net of income taxes | (57.2) | (8.3) | (21.5) | (11.5) | (55) | (16.2) | (10.8) | (15.2) | (98.5) | (97.2) | (68.2) | |
Net income (loss) attributable to FMC stockholders | $ 1,098.5 | $ (3.5) | $ 30.5 | $ 196 | $ 273.9 | $ 121 | $ 134.2 | $ 207.4 | 1,321.5 | 736.5 | 739.6 | |
Less: Distributed and undistributed earnings allocable to restricted award holders | (2.7) | (1.7) | (1.8) | |||||||||
Net income (loss) allocable to common stockholders | $ 1,318.8 | $ 734.8 | $ 737.8 | |||||||||
Basic earnings (loss) per common share attributable to FMC stockholders: | ||||||||||||
Continuing operations (in dollars per share) | $ 9.23 | $ 0.04 | $ 0.41 | $ 1.65 | $ 2.61 | $ 1.09 | $ 1.15 | $ 1.77 | $ 11.34 | $ 6.60 | $ 6.29 | |
Discontinued operations (in dollars per share) | (0.46) | (0.07) | (0.17) | (0.09) | (0.44) | (0.13) | (0.09) | (0.12) | (0.79) | (0.77) | (0.53) | |
Net income (loss) attributable to FMC stockholders (in dollars per share) | 8.77 | (0.03) | 0.24 | 1.56 | 2.17 | 0.96 | 1.06 | 1.65 | 10.55 | 5.83 | 5.76 | |
Diluted earnings (loss) per common share attributable to FMC stockholders: | ||||||||||||
Continuing operations (in dollars per share) | 9.23 | 0.04 | 0.41 | 1.64 | 2.61 | 1.08 | 1.15 | 1.76 | 11.31 | 6.58 | 6.26 | |
Discontinued operations (in dollars per share) | (0.46) | (0.07) | (0.17) | (0.09) | (0.44) | (0.13) | (0.09) | (0.12) | (0.78) | (0.77) | (0.53) | |
Net income (loss) attributable to FMC stockholders (in dollars per share) | $ 8.77 | $ (0.03) | $ 0.24 | $ 1.55 | $ 2.17 | $ 0.95 | $ 1.06 | $ 1.64 | $ 10.53 | $ 5.81 | $ 5.73 | |
Shares (in thousands): | ||||||||||||
Weighted average number of shares of common stock outstanding - Basic (in shares) | 124,900 | 124,900 | 125,100 | 125,300 | 125,600 | 126,200 | 126,200 | 126,100 | 125,060 | 125,975 | 128,403 | |
Weighted average additional shares assuming conversion of potential common shares (in shares) | 473 | 732 | 743 | |||||||||
Shares - diluted basis (in shares) | 125,200 | 125,300 | 125,700 | 126,100 | 126,400 | 126,900 | 126,900 | 126,800 | 125,533 | 126,707 | 129,146 |
Financial Instruments, Risk M_4
Financial Instruments, Risk Management and Fair Value Measurements - Narrative (Details) $ in Millions | May 18, 2023 USD ($) | Dec. 31, 2023 USD ($) MMBTU | Dec. 31, 2022 USD ($) |
Segment Reporting Information [Line Items] | |||
Estimated fair value of debt | $ 3,988.2 | $ 3,118.6 | |
Carrying amount of debt | 3,957.6 | 3,274 | |
Unrealized Gain (Loss) on Derivatives | $ 29.7 | ||
Gain (loss) on foreign currency contracts | Designated as Cash Flow Hedges | |||
Segment Reporting Information [Line Items] | |||
Derivative, notional amount | 841.7 | ||
Gain (loss) on foreign currency contracts | Not Designated as Hedging Instruments | |||
Segment Reporting Information [Line Items] | |||
Derivative, notional amount | 1,860.7 | ||
Gain (loss) on foreign currency contracts | Cash Flow Hedging | Designated as Cash Flow Hedges | |||
Segment Reporting Information [Line Items] | |||
AOCI in a net after-tax position | $ (5.3) | ||
Interest rate contracts | Cash Flow Hedging | Designated as Cash Flow Hedges | |||
Segment Reporting Information [Line Items] | |||
AOCI in a net after-tax position | $ 27.8 | ||
Energy contracts | Designated as Cash Flow Hedges | |||
Segment Reporting Information [Line Items] | |||
Aggregate notional volume of outstanding natural gas (mmBTU) | MMBTU | 0 | ||
Foreign currency and energy contracts | Designated as Cash Flow Hedges | |||
Segment Reporting Information [Line Items] | |||
Loss on derivative contracts | $ 5.3 |
Financial Instrument, Risk Mana
Financial Instrument, Risk Management and Fair Value Measurements - Derivatives Fair Value Balance Sheet Presentation (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative Asset [Abstract] | ||
Total Gross Amounts | $ 5.7 | $ 29.3 |
Gross amounts offset in the condensed consolidated balance sheet | (5.5) | (16.1) |
Net Amounts | 0.2 | 13.2 |
Derivative Liability [Abstract] | ||
Derivative liabilities | (17.1) | (33.9) |
Gross amounts offset in the condensed consolidated balance sheet | 5.5 | 16.1 |
Net Amounts | (11.6) | (17.8) |
Net derivative assets (liabilities) | (11.4) | (4.6) |
Net amounts of derivative assets (liabilities) | (11.4) | (4.6) |
Designated as Cash Flow Hedges | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 2.7 | 22.9 |
Derivative Liability [Abstract] | ||
Derivative liabilities | (9.7) | (25.1) |
Net derivative assets (liabilities) | (7) | (2.2) |
Not Designated as Hedging Instruments | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 3 | 6.4 |
Derivative Liability [Abstract] | ||
Derivative liabilities | (7.4) | (8.8) |
Net derivative assets (liabilities) | (4.4) | (2.4) |
Foreign exchange contracts | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 5.7 | 16.9 |
Gross amounts offset in the condensed consolidated balance sheet | (5.5) | (16.1) |
Net Amounts | 0.2 | 0.8 |
Derivative Liability [Abstract] | ||
Derivative liabilities | (17.1) | (33.9) |
Gross amounts offset in the condensed consolidated balance sheet | 5.5 | 16.1 |
Net Amounts | (11.6) | (17.8) |
Foreign exchange contracts | Designated as Cash Flow Hedges | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 2.7 | 10.5 |
Derivative Liability [Abstract] | ||
Derivative liabilities | (9.7) | (25.1) |
Foreign exchange contracts | Not Designated as Hedging Instruments | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 3 | 6.4 |
Derivative Liability [Abstract] | ||
Derivative liabilities | $ (7.4) | (8.8) |
Interest rate contracts | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 12.4 | |
Gross amounts offset in the condensed consolidated balance sheet | 0 | |
Net Amounts | 12.4 | |
Interest rate contracts | Designated as Cash Flow Hedges | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | 12.4 | |
Interest rate contracts | Not Designated as Hedging Instruments | ||
Derivative Asset [Abstract] | ||
Total Gross Amounts | $ 0 |
Financial Instrument, Risk Ma_2
Financial Instrument, Risk Management and Fair Value Measurements - Derivatives Gain (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | $ 3,400.9 | $ 3,143.7 | $ 3,084.2 | |
Unrealized hedging gains (losses) and other, net of tax | (72.4) | (65.4) | 44.1 | |
Reclassification of deferred hedging (gains) losses, net of tax | [1] | 73.9 | 35.9 | 5.5 |
Total derivative instrument impact on comprehensive income, net of tax | 1.5 | (29.5) | 49.6 | |
Ending balance | $ 4,433.4 | $ 3,400.9 | $ 3,143.7 | |
Foreign exchange contracts | Income (loss) from continuing operations before income taxes | Income (loss) from continuing operations before income taxes | Income (loss) from continuing operations before income taxes | |
Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | $ (51.7) | $ (22.2) | $ (71.8) | |
Ending balance | (50.2) | (51.7) | (22.2) | |
Gain (loss) on foreign currency contracts | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | (22.4) | 31.1 | (11.6) | |
Ending balance | (22.4) | (22.4) | 31.1 | |
Interest rate contracts | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Beginning balance | (29.3) | (53.3) | (60.2) | |
Ending balance | (27.8) | (29.3) | (53.3) | |
Designated as Cash Flow Hedges | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Unrealized hedging gains (losses) and other, net of tax | (72.4) | (65.4) | 44.1 | |
Reclassification of deferred hedging (gains) losses, net of tax | 73.9 | 35.9 | 5.5 | |
Total derivative instrument impact on comprehensive income, net of tax | 1.5 | (29.5) | 49.6 | |
Designated as Cash Flow Hedges | Gain (loss) on foreign currency contracts | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Unrealized hedging gains (losses) and other, net of tax | (72) | (86.3) | 40.5 | |
Reclassification of deferred hedging (gains) losses, net of tax | 72 | 32.8 | 2.2 | |
Total derivative instrument impact on comprehensive income, net of tax | 0 | (53.5) | 42.7 | |
Designated as Cash Flow Hedges | Interest rate contracts | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Unrealized hedging gains (losses) and other, net of tax | (0.4) | 20.9 | 3.6 | |
Reclassification of deferred hedging (gains) losses, net of tax | 1.9 | 3.1 | 3.3 | |
Total derivative instrument impact on comprehensive income, net of tax | 1.5 | 24 | 6.9 | |
Not Designated as Hedging Instruments | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Amount of pre-tax gain or (loss) recognized in income on derivatives | (33.7) | (37.2) | (47.7) | |
Not Designated as Hedging Instruments | Gain (loss) on foreign currency contracts | ||||
Accumulated Other Comprehensive Income [Roll Forward] | ||||
Amount of pre-tax gain or (loss) recognized in income on derivatives | $ (33.7) | $ (37.2) | $ (47.7) | |
[1] For more detail on the components of these reclassifications and the affected line item in the consolidated statements of income (loss), see Note 16 to the consolidated financial statements included within this Form 10-K for further details. |
Financial Instruments, Risk M_5
Financial Instruments, Risk Management and Fair Value Measurements - Recurring Fair Value Adjustments (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Derivatives - Foreign exchange | $ 5.7 | $ 29.3 |
Liabilities | ||
Derivatives | 17.1 | 33.9 |
Foreign exchange contracts | ||
Assets | ||
Derivatives - Foreign exchange | 5.7 | 16.9 |
Liabilities | ||
Derivatives | 17.1 | 33.9 |
Interest Rate | ||
Assets | ||
Derivatives - Foreign exchange | 12.4 | |
Fair Value, Measurements, Recurring | ||
Assets | ||
Other | 47.1 | 41.8 |
Total Assets | 47.3 | 55 |
Liabilities | ||
Other | 24.4 | 23.5 |
Total Liabilities | 36 | 41.3 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Other | 23.8 | 22.5 |
Total Assets | 23.8 | 22.5 |
Liabilities | ||
Other | 24.4 | 23.5 |
Total Liabilities | 24.4 | 23.5 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Other | 0 | 0 |
Total Assets | 0.2 | 13.2 |
Liabilities | ||
Other | 0 | 0 |
Total Liabilities | 11.6 | 17.8 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Other | 23.3 | 19.3 |
Total Assets | 23.3 | 19.3 |
Liabilities | ||
Other | 0 | 0 |
Total Liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Foreign exchange contracts | ||
Assets | ||
Derivatives - Foreign exchange | 0.2 | 0.8 |
Liabilities | ||
Derivatives | 11.6 | 17.8 |
Fair Value, Measurements, Recurring | Foreign exchange contracts | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 0 |
Liabilities | ||
Derivatives | 0 | 0 |
Fair Value, Measurements, Recurring | Foreign exchange contracts | Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Derivatives - Foreign exchange | 0.2 | 0.8 |
Liabilities | ||
Derivatives | 11.6 | 17.8 |
Fair Value, Measurements, Recurring | Foreign exchange contracts | Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 0 |
Liabilities | ||
Derivatives | 0 | 0 |
Fair Value, Measurements, Recurring | Interest Rate | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 12.4 |
Liabilities | ||
Derivatives | 0 | 0 |
Fair Value, Measurements, Recurring | Interest Rate | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 0 |
Liabilities | ||
Derivatives | 0 | 0 |
Fair Value, Measurements, Recurring | Interest Rate | Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 12.4 |
Liabilities | ||
Derivatives | 0 | 0 |
Fair Value, Measurements, Recurring | Interest Rate | Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Derivatives - Foreign exchange | 0 | 0 |
Liabilities | ||
Derivatives | $ 0 | $ 0 |
Financial Instrument, Risk Ma_3
Financial Instrument, Risk Management and Fair Value Measurements - Nonrecurring Fair Value Measurements (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Gross Amounts | $ 5.7 | $ 29.3 |
Interest rate contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Gross Amounts | $ 12.4 |
Guarantees, Commitments and C_3
Guarantees, Commitments and Contingencies - Schedule of Estimated Undiscounted Potential Future Payments for Guarantees (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Guarantor Obligations [Line Items] | |
Undiscounted exposure from guarantees | $ 137.5 |
Guarantees of vendor financing - short term | |
Guarantor Obligations [Line Items] | |
Undiscounted exposure from guarantees | 69.6 |
Other debt guarantees | |
Guarantor Obligations [Line Items] | |
Undiscounted exposure from guarantees | $ 67.9 |
Guarantee, term | 1 year |
Guarantees, Commitments and C_4
Guarantees, Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Minimum commitments under take-or-pay purchase obligation | $ 325.4 | ||
Loss Contingencies [Line Items] | |||
Estimate of loss contingency in excess of accrual | 240 | ||
Indirect tax matters | |||
Loss Contingencies [Line Items] | |||
Loss contingency reserves | $ 33.5 | ||
Brazil | Unfavorable regulatory action | |||
Loss Contingencies [Line Items] | |||
Loss contingency reserves | 5.8 | $ 6.2 | |
Estimate of loss contingency in excess of accrual | $ 92 |
Segment Information, External C
Segment Information, External Customers and Long-lived Assets (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 USD ($) Segments | Dec. 31, 2022 USD ($) | |
Segment Reporting [Abstract] | ||
Number of segments | Segments | 1 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 5,460.5 | $ 5,522 |
North America | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 1,063.4 | 1,060.7 |
Latin America | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 714.8 | 759 |
Europe, Middle East & Africa | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 1,718.2 | 1,684.1 |
Asia | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 1,964.1 | 2,018.2 |
Singapore | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 1,699.6 | 1,745 |
U.S. | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 1,036.7 | 1,047.4 |
Denmark | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 1,334 | $ 1,075.7 |
Supplemental Information (Detai
Supplemental Information (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Prepaid and other current assets | ||
Prepaid insurance | $ 15.3 | $ 12.6 |
Tax related items including value added tax receivables | 241.9 | 172.4 |
Refund asset | 59.5 | 36.8 |
Environmental obligation recoveries (Note 11) | 1.5 | 3.2 |
Derivative assets (Note 19) | 0.2 | 13.2 |
Other prepaid and current assets | 80.5 | 105.4 |
Total | 398.9 | 343.6 |
Other assets including long-term receivables, net | ||
Non-current receivables (Note 9) | 19.5 | 60.8 |
Advance to contract manufacturers | 97.1 | 119.4 |
Capitalized software, net | 123.3 | 133 |
Environmental obligation recoveries (Note 11) | 3.4 | 3.2 |
Beneficial interest in trade receivables securitization (Note 19) | 23.3 | 19.3 |
Income taxes indirect benefits | 19.7 | 21.2 |
Operating lease ROU assets | 121.8 | 123.8 |
Deferred compensation arrangements (Note 19) | 23.8 | 22.5 |
Pension and other postretirement benefits (Note 14) | 30.7 | 22.4 |
Other long-term assets | 26.9 | 34.9 |
Total | 489.5 | 560.5 |
Accrued and other liabilities | ||
Restructuring reserves (Note 8) | 47.4 | 7.6 |
Dividend payable (Note 16) | 72.5 | 72.7 |
Accrued payroll | 55.5 | 99.8 |
Environmental reserves, current, net of recoveries (Note 11) | 97.4 | 90.1 |
Derivative liabilities (Note 19) | 11.6 | 17.8 |
Furadan® product exit asset retirement obligations (Note 1) | 5 | 10 |
Operating lease current liabilities (Note 17) | 24.4 | 22 |
Other accrued and other liabilities | 371 | 281.8 |
Total | 684.8 | 601.8 |
Other long-term liabilities | ||
Restructuring reserves (Note 8) | 3 | 3 |
Asset retirement obligations, long-term (Note 1) | 1.4 | 6 |
Transition tax related to Tax Cuts and Jobs Act | 23.3 | 62.6 |
Contingencies related to uncertain tax positions (Note 12) | 62.4 | 52.4 |
Deferred compensation arrangements (Note 19) | 24.4 | 23.5 |
Self-insurance reserves (primarily workers' compensation) | 2.3 | 3.4 |
Lease obligations (Note 17) | 123.2 | 128.6 |
Reserve for discontinued operations (Note 10) | 135.6 | 127.2 |
Unfavorable contracts | 5.6 | 10.1 |
Other long-term liabilities | 26.2 | 28.6 |
Total | $ 407.4 | $ 445.4 |
Schedule II - Valuation and Qua
Schedule II - Valuation and Qualifying Accounts and Reserves (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reserve for doubtful accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance, Beginning of Year | $ 78.4 | $ 65.1 | $ 52.6 |
Charged to Costs and Expenses | 6.3 | (0.5) | 21.1 |
Charged to Other Comprehensive Income | 0 | 0 | 0 |
Net recoveries, write-offs and other | (28.5) | 13.8 | (8.6) |
Balance, End of Year | 56.2 | 78.4 | 65.1 |
Deferred tax valuation allowance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance, Beginning of Year | 457.6 | 398.7 | 335.6 |
Charged to Costs and Expenses | 130.5 | 61.5 | 61.4 |
Charged to Other Comprehensive Income | 0.3 | (2.6) | 1.7 |
Net recoveries, write-offs and other | 0 | 0 | 0 |
Balance, End of Year | $ 588.4 | $ 457.6 | $ 398.7 |
Quarterly Financial Informati_3
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenue | $ 1,146.1 | $ 981.9 | $ 1,014.5 | $ 1,344.3 | $ 1,622 | $ 1,377.2 | $ 1,452.3 | $ 1,350.8 | $ 4,486.8 | $ 5,802.3 | $ 5,045.2 |
Gross Margin | 435.7 | 381.2 | 432.8 | 581.3 | 685.6 | 477.5 | 591 | 572.7 | 1,831 | 2,326.8 | 2,161.3 |
Income from continuing operations, non-operating pension and postretirement charges (income), interest expense, net and income taxes | 18.1 | 100.8 | 132.2 | 304.5 | 394.5 | 210.6 | 235.9 | 303.3 | 555.6 | 1,144.3 | 1,034.5 |
Income (loss) from continuing operations | 1,153.6 | 4.6 | 53.9 | 207.4 | 335.4 | 134.5 | 142 | 226.8 | 1,419.5 | 838.7 | 805.3 |
Restructuring and other charges (income) | (57.2) | (8.3) | (21.5) | (11.5) | (55) | (16.2) | (10.8) | (15.2) | (98.5) | (97.2) | (68.2) |
Net income (loss) | 1,096.4 | (3.7) | 32.4 | 195.9 | 280.4 | 118.3 | 131.2 | 211.6 | 1,321 | 741.5 | 737.1 |
Less: Net income (loss) attributable to noncontrolling interests | (2.1) | (0.2) | 1.9 | (0.1) | 6.5 | (2.7) | (3) | 4.2 | (0.5) | 5 | (2.5) |
Net income (loss) attributable to FMC stockholders | 1,098.5 | (3.5) | 30.5 | 196 | 273.9 | 121 | 134.2 | 207.4 | |||
Earnings (loss) attributable to FMC stockholders: | |||||||||||
Continuing operations, net of income taxes | 1,155.7 | 4.8 | 52 | 207.5 | 328.9 | 137.2 | 145 | 222.6 | 1,420 | 833.7 | 807.8 |
Discontinued operations, net of income taxes | (57.2) | (8.3) | (21.5) | (11.5) | (55) | (16.2) | (10.8) | (15.2) | (98.5) | (97.2) | (68.2) |
Net income (loss) attributable to FMC stockholders | $ 1,098.5 | $ (3.5) | $ 30.5 | $ 196 | $ 273.9 | $ 121 | $ 134.2 | $ 207.4 | $ 1,321.5 | $ 736.5 | $ 739.6 |
Basic earnings (loss) per common share attributable to FMC stockholders: | |||||||||||
Continuing operations (in dollars per share) | $ 9.23 | $ 0.04 | $ 0.41 | $ 1.65 | $ 2.61 | $ 1.09 | $ 1.15 | $ 1.77 | $ 11.34 | $ 6.60 | $ 6.29 |
Discontinued operations (in dollars per share) | (0.46) | (0.07) | (0.17) | (0.09) | (0.44) | (0.13) | (0.09) | (0.12) | (0.79) | (0.77) | (0.53) |
Net income (loss) attributable to FMC stockholders (in dollars per share) | 8.77 | (0.03) | 0.24 | 1.56 | 2.17 | 0.96 | 1.06 | 1.65 | 10.55 | 5.83 | 5.76 |
Diluted earnings (loss) per common share attributable to FMC stockholders: | |||||||||||
Continuing operations (in dollars per share) | 9.23 | 0.04 | 0.41 | 1.64 | 2.61 | 1.08 | 1.15 | 1.76 | 11.31 | 6.58 | 6.26 |
Discontinued operations (in dollars per share) | (0.46) | (0.07) | (0.17) | (0.09) | (0.44) | (0.13) | (0.09) | (0.12) | (0.78) | (0.77) | (0.53) |
Net income (loss) attributable to FMC stockholders (in dollars per share) | $ 8.77 | $ (0.03) | $ 0.24 | $ 1.55 | $ 2.17 | $ 0.95 | $ 1.06 | $ 1.64 | $ 10.53 | $ 5.81 | $ 5.73 |
Shares (in thousands): | |||||||||||
Basic (in shares) | 124,900 | 124,900 | 125,100 | 125,300 | 125,600 | 126,200 | 126,200 | 126,100 | 125,060 | 125,975 | 128,403 |
Shares - diluted basis (in shares) | 125,200 | 125,300 | 125,700 | 126,100 | 126,400 | 126,900 | 126,900 | 126,800 | 125,533 | 126,707 | 129,146 |