Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Jul. 25, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | GLT | |
Entity Registrant Name | GLATFELTER P H CO | |
Entity Central Index Key | 41,719 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 43,583,926 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Income Statement [Abstract] | ||||
Net sales | $ 387,342 | $ 406,413 | $ 778,055 | $ 808,631 |
Energy and related sales, net | 981 | 2,001 | 2,110 | 2,667 |
Total revenues | 388,323 | 408,414 | 780,165 | 811,298 |
Costs of products sold | 357,887 | 365,691 | 692,800 | 710,732 |
Gross profit | 30,436 | 42,723 | 87,365 | 100,566 |
Selling, general and administrative expenses | 31,999 | 37,191 | 67,085 | 69,049 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (58) | 2 | (26) | 26 |
Operating income (loss) | (1,505) | 5,530 | 20,306 | 31,491 |
Non-operating income (expense) | ||||
Interest expense | (4,476) | (3,953) | (8,484) | (8,069) |
Interest income | 45 | 61 | 158 | 152 |
Other, net | (149) | 317 | (428) | (383) |
Total non-operating expense | (4,580) | (3,575) | (8,754) | (8,300) |
(Loss) income before income taxes | (6,085) | 1,955 | 11,552 | 23,191 |
Income tax provision (benefit) | (371) | (10) | 5,663 | 5,058 |
Net income (loss) | $ (5,714) | $ 1,965 | $ 5,889 | $ 18,133 |
(Loss) earnings per share | ||||
Basic | $ (0.13) | $ 0.05 | $ 0.14 | $ 0.42 |
Diluted | (0.13) | 0.04 | 0.13 | 0.41 |
Cash dividends declared per common share | $ 0.13 | $ 0.125 | $ 0.26 | $ 0.25 |
Weighted average shares outstanding | ||||
Basic | 43,604 | 43,558 | 43,593 | 43,539 |
Diluted | 43,604 | 44,062 | 44,449 | 43,963 |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (5,714) | $ 1,965 | $ 5,889 | $ 18,133 |
Foreign currency translation adjustments | 27,504 | (14,864) | 33,569 | (1,445) |
Net change in: | ||||
Deferred (gains) losses on cash flow hedges, net of taxes of $1,632, $(258), $1,920 and $(201), respectively | (3,651) | 944 | (4,597) | 1,010 |
Unrecognized retirement obligations net of taxes of $(1,430), $(1,442), $(2,678) and $(2,809), respectively | 2,479 | 2,381 | 4,553 | 4,638 |
Other comprehensive income (loss) | 26,332 | (11,539) | 33,525 | 4,203 |
Comprehensive income (loss) | $ 20,618 | $ (9,574) | $ 39,414 | $ 22,336 |
Condensed Consolidated Stateme4
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Taxes on deferred (gains) losses on cash flow hedges | $ 1,632 | $ (258) | $ 1,920 | $ (201) |
Taxes on unrecognized retirement obligations | $ (1,430) | $ (1,442) | $ (2,678) | $ (2,809) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and cash equivalents | $ 69,442 | $ 55,444 |
Accounts receivable, net | 172,014 | 152,989 |
Inventories | 261,721 | 249,669 |
Prepaid expenses and other current assets | 37,032 | 36,157 |
Total current assets | 540,209 | 494,259 |
Plant, equipment and timberlands, net | 838,007 | 775,898 |
Goodwill | 78,855 | 73,094 |
Intangible assets, net | 58,439 | 56,259 |
Other assets | 126,271 | 121,749 |
Total assets | 1,641,781 | 1,521,259 |
Liabilities and Shareholders' Equity | ||
Current portion of long-term debt | 10,400 | 8,961 |
Accounts payable | 178,793 | 164,345 |
Dividends payable | 5,681 | 5,455 |
Environmental liabilities | 29,500 | 25,000 |
Other current liabilities | 115,390 | 119,250 |
Total current liabilities | 339,764 | 323,011 |
Long-term debt | 431,494 | 363,647 |
Deferred income taxes | 60,715 | 54,995 |
Other long-term liabilities | 124,776 | 125,780 |
Total liabilities | 956,749 | 867,433 |
Commitments and contingencies | ||
Shareholders’ equity | ||
Common stock | 544 | 544 |
Capital in excess of par value | 60,570 | 57,917 |
Retained earnings | 957,418 | 962,884 |
Accumulated other comprehensive loss | (171,081) | (204,606) |
Shareholders' equity before treasury stock | 847,451 | 816,739 |
Less cost of common stock in treasury | (162,419) | (162,913) |
Total shareholders’ equity | 685,032 | 653,826 |
Total liabilities and shareholders’ equity | $ 1,641,781 | $ 1,521,259 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Operating activities | ||
Net income | $ 5,889 | $ 18,133 |
Adjustments to reconcile to net cash provided by operations: | ||
Depreciation, depletion and amortization | 34,967 | 33,411 |
Amortization of debt issue costs | 578 | 574 |
Pension expense, net of unfunded benefits paid | 2,512 | 1,964 |
Deferred income tax benefit | 1,824 | (2,672) |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (26) | 26 |
Share-based compensation | 2,956 | 2,803 |
Change in operating assets and liabilities | ||
Accounts receivable | (12,511) | (8,471) |
Inventories | (4,750) | (12,295) |
Prepaid and other current assets | (1,711) | (163) |
Accounts payable | 7,044 | (3,027) |
Accruals and other current liabilities | (6,399) | 5,252 |
Other | (1,609) | 1,105 |
Net cash provided by operating activities | 28,764 | 36,640 |
Investing activities | ||
Expenditures for purchases of plant, equipment and timberlands | (71,047) | (80,391) |
Proceeds from disposals of plant, equipment and timberlands, net | 83 | 53 |
Other | (300) | |
Net cash used by investing activities | (70,964) | (80,638) |
Financing activities | ||
Net borrowings (repayments) under revolving credit facility | 68,236 | (11,403) |
Payments of borrowing costs | (136) | |
Proceeds from term loans | 19,428 | |
Repayment of term loans | (4,528) | (3,803) |
Payments of dividends | (11,130) | (10,679) |
Proceeds from government grants | 4,443 | |
Payments related to share-based compensation awards and other | (112) | (976) |
Net cash provided (used) by financing activities | 52,466 | (3,126) |
Effect of exchange rate changes on cash | 3,732 | 352 |
Net increase (decrease) in cash and cash equivalents | 13,998 | (46,772) |
Cash and cash equivalents at the beginning of period | 55,444 | 105,304 |
Cash and cash equivalents at the end of period | 69,442 | 58,532 |
Cash paid for: | ||
Interest, net of amounts capitalized | 7,810 | 7,509 |
Income taxes, net | $ 4,193 | $ 8,486 |
Organization
Organization | 6 Months Ended |
Jun. 30, 2017 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization | 1. ORGANIZATION P. H. Glatfelter Company and subsidiaries (“Glatfelter”) is a manufacturer of specialty papers and fiber-based engineered materials. Headquartered in York, PA, U.S. operations include facilities in Spring Grove, PA and Chillicothe and Fremont, OH. International operations include facilities in Canada, Germany, France, the United Kingdom and the Philippines, and sales and distribution offices in Russia and China. The terms “we,” “us,” “our,” “the Company,” or “Glatfelter,” refer to P. H. Glatfelter Company and subsidiaries unless the context indicates otherwise. Our products are marketed worldwide, either through wholesale paper merchants, brokers and agents, or directly to customers. |
Accounting Policies
Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Accounting Policies | 2. ACCOUNTING POLICIES Basis of Presentation The unaudited condensed consolidated financial statements (“financial statements”) include the accounts of Glatfelter and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. We prepared these financial statements in accordance with accounting principles generally accepted in the United States of America (“generally accepted accounting principles” or “GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission pertaining to interim financial statements. In our opinion, the financial statements reflect all normal, recurring adjustments needed to present fairly our results for the interim periods. When preparing these financial statements, we have assumed that you have read the audited consolidated financial statements included in our 2016 Annual Report on Form 10-K. Accounting Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingencies as of the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Management believes the estimates and assumptions used in the preparation of these financial statements are reasonable, based upon currently available facts and known circumstances, but recognizes that actual results may differ from those estimates and assumptions. Recently Issued Accounting Pronouncements In March 2017, the FASB issued ASU No. 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). The update requires entities to present the service cost component of the net periodic benefit cost in the same income statement line item as other employee compensation costs arising from services rendered during the period. All other components are to be presented below the determination of operating income. Entities will be required to disclose the line(s) used to present the other components of net periodic benefit cost, if the components are not presented separately in the income statement . ASU 2017-07 is effective for fiscal years and interim periods beginning after December 15, 2017, and early adoption is permitted. We do not expect the adoption of ASU 2017-07 will have a material impact on our consolidated financial statements. In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-09, Compensation – Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In June 2016, the FASB issued ASU No. 2016-13 Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers Substantially all of our revenue is earned pursuant to contracts under which we have one performance obligation that is satisfied at a point-in-time. Based on our analysis completed to date, we do not expect this ASU will have a significant impact on the timing or amount of revenue recognition, our results of operations or our financial position. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 3. EARNINGS PER SHARE The following table sets forth the details of basic and diluted earnings per share (“EPS”): Three months ended June 30 In thousands, except per share 2017 2016 Net income (loss) $ (5,714 ) $ 1,965 Weighted average common shares outstanding used in basic EPS 43,604 43,558 Common shares issuable upon exercise of dilutive stock options and PSAs / RSUs — 504 Weighted average common shares outstanding and common share equivalents used in diluted EPS 43,604 44,062 Earnings (loss) per share Basic $ (0.13 ) $ 0.05 Diluted (0.13 ) 0.04 Six months ended June 30 In thousands, except per share 2017 2016 Net income $ 5,889 $ 18,133 Weighted average common shares outstanding used in basic EPS 43,593 43,539 Common shares issuable upon exercise of dilutive stock options and PSAs / RSUs 856 424 Weighted average common shares outstanding and common share equivalents used in diluted EPS 44,449 43,963 Earnings per share Basic $ 0.14 $ 0.42 Diluted 0.13 0.41 The following table sets forth potential common shares outstanding that were not included in the computation of diluted EPS for the period indicated, because their effect would be anti-dilutive: June 30 In thousands 2017 2016 Three months ended 1,327 1,368 Six months ended 591 1,451 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | 4. ACCUMULATED OTHER COMPREHENSIVE INCOME The following table sets forth details of the changes in accumulated other comprehensive income (losses) for the three months and six months ended June 30, 2017 and 2016. In thousands Currency translation adjustments Unrealized gain (loss) on cash flow hedges Change in pensions Change in other postretirement defined benefit plans Total Balance at April 1, 2017 $ (94,383 ) $ 554 $ (108,466 ) $ 4,882 $ (197,413 ) Other comprehensive income before reclassifications (net of tax) 27,504 (3,080 ) — (106 ) 24,318 Amounts reclassified from accumulated other comprehensive income (net of tax) — (571 ) 2,642 (57 ) 2,014 Net current period other comprehensive income (loss) 27,504 (3,651 ) 2,642 (163 ) 26,332 Balance at June 30, 2017 $ (66,879 ) $ (3,097 ) $ (105,824 ) $ 4,719 $ (171,081 ) Balance at April 1, 2016 $ (59,622 ) $ (159 ) $ (118,399 ) $ 3,436 $ (174,744 ) Other comprehensive income before reclassifications (net of tax) (14,864 ) 837 — — (14,027 ) Amounts reclassified from accumulated other comprehensive income (net of tax) — 107 2,613 (232 ) 2,488 Net current period other comprehensive income (loss) (14,864 ) 944 2,613 (232 ) (11,539 ) Balance at June 30, 2016 $ (74,486 ) $ 785 $ (115,786 ) $ 3,204 $ (186,283 ) In thousands Currency translation adjustments Unrealized gain (loss) on cash flow hedges Change in pensions Change in other postretirement defined benefit plans Total Balance at January 1, 2017 $ (100,448 ) $ 1,500 $ (110,656 ) $ 4,998 $ (204,606 ) Other comprehensive income before reclassifications (net of tax) 33,569 (3,335 ) — (106 ) 30,128 Amounts reclassified from accumulated other comprehensive income (net of tax) — (1,262 ) 4,832 (173 ) 3,397 Net current period other comprehensive income (loss) 33,569 (4,597 ) 4,832 (279 ) 33,525 Balance at June 30, 2017 $ (66,879 ) $ (3,097 ) $ (105,824 ) $ 4,719 $ (171,081 ) Balance at January 1, 2016 $ (73,041 ) $ (225 ) $ (120,714 ) $ 3,494 $ (190,486 ) Other comprehensive income before reclassifications (net of tax) (1,445 ) 1,089 — — (356 ) Amounts reclassified from accumulated other comprehensive income (net of tax) — (79 ) 4,928 (290 ) 4,559 Net current period other comprehensive income (loss) (1,445 ) 1,010 4,928 (290 ) 4,203 Balance at June 30, 2016 $ (74,486 ) $ 785 $ (115,786 ) $ 3,204 $ (186,283 ) Reclassifications out of accumulated other comprehensive income were as follows: Three months ended June 30 Six months ended June 30 In thousands 2017 2016 2017 2016 Description Line Item in Statements of Income Cash flow hedges (Note 11) Gains (losses) on cash flow hedges $ (785 ) $ 215 $ (1,716 ) $ (83 ) Costs of products sold Tax expense (benefit) 214 (108 ) 454 4 Income tax provision (benefit) Net of tax (571 ) 107 (1,262 ) (79 ) Retirement plan obligations (Note 7) Amortization of deferred benefit pension plans Prior service costs 532 509 1,060 1,013 Costs of products sold 176 166 352 336 Selling, general and administrative Actuarial losses 2,463 2,618 4,562 4,900 Costs of products sold 848 915 1,571 1,687 Selling, general and administrative 4,019 4,208 7,545 7,936 Tax benefit (1,377 ) (1,595 ) (2,713 ) (3,008 ) Income tax provision (benefit) Net of tax 2,642 2,613 4,832 4,928 Amortization of deferred benefit other plans Prior service costs (38 ) (38 ) (75 ) (75 ) Costs of products sold (8 ) (8 ) (16 ) (16 ) Selling, general and administrative Actuarial losses (38 ) (269 ) (156 ) (311 ) Costs of products sold (8 ) (58 ) (33 ) (67 ) Selling, general and administrative (92 ) (373 ) (280 ) (469 ) Tax expense 35 141 107 179 Income tax provision (benefit) Net of tax (57 ) (232 ) (173 ) (290 ) Total reclassifications, net of tax $ 2,014 $ 2,488 $ 3,397 $ 4,559 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 5. INCOME TAXES Income taxes are recognized for the amount of taxes payable or refundable for the current year and deferred tax liabilities and assets for the future tax consequences of events that have been recognized in our consolidated financial statements or tax returns. The effects of income taxes are measured based on enacted tax laws and rates. As of June 30, 2017 and December 31, 2016, we had $16.9 million and $14.2 million of gross unrecognized tax benefits. As of June 30, 2017, if such benefits were to be recognized, approximately $11.4 million would be recorded as a component of income tax expense, thereby affecting our effective tax rate. We, or one of our subsidiaries, file income tax returns with the United States Internal Revenue Service, as well as various state and foreign authorities. The following table summarizes, by major jurisdiction, tax years that remain subject to examination: Open Tax Years Jurisdiction Examinations not yet initiated Examination in progress United States Federal 2013 - 2016 N/A State 2012 - 2016 2013 - 2014 Canada (1) 2010 - 2013; 2016 2014 - 2015 Germany (1) 2016 2012 - 2015 France 2014 - 2016 2011 - 2012 United Kingdom 2015 - 2016 N/A Philippines 2015 - 2016 2013 - 2014 (1) includes provincial or similar local jurisdictions, as applicable The amount of income taxes we pay is subject to ongoing audits by federal, state and foreign tax authorities, which often result in proposed assessments. Management performs a comprehensive review of its global tax positions on a quarterly basis and accrues amounts for uncertain tax positions. Based on these reviews and the result of discussions and resolutions of matters with certain tax authorities and the closure of tax years subject to tax audit, reserves are adjusted as necessary. However, future results may include favorable or unfavorable adjustments to our estimated tax liabilities in the period the assessments are determined or resolved or as such statutes are closed. Due to potential for resolution of federal, state and foreign examinations, and the lapse of various statutes of limitation, it is reasonably possible our gross unrecognized tax benefits balance may decrease within the next twelve months by a range of zero to $0.9 million. Substantially all of this range relates to tax positions taken in the United Kingdom and the U.S. We recognize interest and penalties related to uncertain tax positions as income tax expense. The following table summarizes information related to interest and penalties on uncertain tax positions: Six months ended June 30 In millions 2017 2016 Interest expense (income) $ 0.3 $ 0.2 Penalties — — June 30 December 31 2017 2016 Accrued interest payable $ 0.8 $ 0.5 |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 6. STOCK-BASED The P. H. Glatfelter Amended and Restated Long Term Incentive Plan (the “LTIP”) provides for the issuance of Glatfelter common stock to eligible participants in the form of restricted stock units, restricted stock awards, non-qualified stock options, performance shares, incentive stock options and performance units. Pursuant to terms of the LTIP, we have issued to eligible participants restricted stock units, performance share awards and stock only stock appreciation rights. Restricted Stock Units (“RSU”) and Performance Share Awards (“PSAs”) Awards of RSUs and PSAs are made under our LTIP. On May 4, 2017, our shareholders approved a 1,840,000 share increase in the shares available to be awarded under the LTIP. The RSUs vest on the passage of time, generally on a graded scale over a three, four, and five-year period, or in certain instances the RSUs were issued with five year cliff vesting. PSAs are issued to members of management and vesting is based on achievement of cumulative financial performance targets covering a two year period followed by an additional one-year service period. The performance measures include a minimum, target and maximum performance level providing the grantees an opportunity to receive more or less shares than targeted depending on actual financial performance. For both RSUs and PSAs, the grant date fair value of the awards, which is equal to the closing price per common share on the date of the award, is used to determine the amount of expense to be recognized over the applicable service period. Settlement of RSUs and PSAs will be made in shares of our common stock currently held in treasury. The following table summarizes RSU and PSA activity during periods indicated: Units 2017 2016 Balance at January 1, 679,038 674,523 Granted 364,748 295,654 Forfeited (91,449 ) (143,209 ) Shares delivered (24,052 ) (149,475 ) Balance at June 30, 928,285 677,493 The amount granted in 2017 and 2016 includes PSAs of 163,274 and 199,693, respectively, exclusive of reinvested dividends. The following table sets forth aggregate RSU and PSA compensation expense for the periods indicated: June 30 In thousands 2017 2016 Three months ended $ 1,049 $ 935 Six months ended 2,088 1,402 Stock Only Stock Appreciation Rights (“SOSARs”) Under terms of the SOSAR, a recipient receives the right to a payment in the form of shares of common stock equal to the difference, if any, in the fair market value of one share of common stock at the time of exercising the SOSAR and the exercise price. The SOSARs vest ratably over a three year period and have a term of ten years. The following table sets forth information related to outstanding SOSARS for the six months ended June 30; 2017 2016 SOSARS Shares Wtd Avg Exercise Price Shares Wtd Avg Exercise Price Outstanding at January 1, 2,736,616 $ 17.64 2,199,742 $ 17.82 Granted — — 743,925 17.54 Exercised (33,050 ) 14.65 (53,190 ) 9.91 Canceled / forfeited (17,630 ) 18.46 (108,945 ) 21.81 Outstanding at June 30, 2,685,936 $ 17.67 2,781,532 $ 17.74 SOSAR Grants Weighted average grant date fair value per share $ - $ 4.07 Aggregate grant date fair value (in thousands) $ - $ 3,013 Black-Scholes assumptions Dividend yield - 2.85 % Risk free rate of return - 1.34 % Volatility - 31.97 % Expected life - 6 yrs The following table sets forth SOSAR compensation expense for the periods indicated: June 30 In thousands 2017 2016 Three months ended $ 259 $ 669 Six months ended 868 1,401 |
Retirement Plans and Other Post
Retirement Plans and Other Post-Retirement Benefits | 6 Months Ended |
Jun. 30, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Retirement Plans and Other Post-Retirement Benefits | 7. RETIREMENT PLANS AND OTHER POST-RETIREMENT BENEFITS The following tables provide information with respect to the net periodic costs of our pension and post-retirement medical benefit plans. Three months ended June 30 In thousands 2017 2016 Pension Benefits Service cost $ 2,649 $ 2,510 Interest cost 5,989 6,153 Expected return on plan assets (10,666 ) (11,275 ) Amortization of prior service cost 708 675 Amortization of unrecognized loss 3,311 3,533 Total net periodic benefit cost $ 1,991 $ 1,596 Other Benefits Service cost $ 284 $ 250 Interest cost 513 456 Amortization of prior service credit (46 ) (46 ) Amortization of actuarial gain (46 ) (327 ) Total net periodic benefit cost $ 705 $ 333 Six months ended June 30 In thousands 2017 2016 Pension Benefits Service cost $ 5,370 $ 5,240 Interest cost 11,896 12,240 Expected return on plan assets (21,497 ) (22,661 ) Amortization of prior service cost 1,412 1,349 Amortization of unrecognized loss 6,133 6,587 Total net periodic benefit cost $ 3,314 $ 2,755 Other Benefits Service cost $ 579 $ 573 Interest cost 998 996 Amortization of prior service credit (91 ) (91 ) Amortization of actuarial gain (189 ) (378 ) Total net periodic benefit cost $ 1,297 $ 1,100 |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | 8. INVENTORIES Inventories, net of reserves, were as follows: June 30 December 31 In thousands 2017 2016 Raw materials $ 71,723 $ 66,359 In-process and finished 117,385 112,507 Supplies 72,613 70,803 Total $ 261,721 $ 249,669 |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | 9. LONG-TERM DEBT Long-term debt is summarized as follows: June 30 December 31 In thousands 2017 2016 Revolving credit facility, due Mar. 2020 $ 130,000 $ 61,595 5.375% Notes, due Oct. 2020 250,000 250,000 2.40% Term Loan, due Jun. 2022 8,151 8,282 2.05% Term Loan, due Mar. 2023 35,023 35,163 1.30% Term Loan, due Jun. 2023 9,781 9,788 1.55% Term Loan, due Sep. 2025 11,187 10,333 Total long-term debt 444,142 375,161 Less current portion (10,400 ) (8,961 ) Unamortized deferred issuance costs (2,248 ) (2,553 ) Long-term debt, net of current portion $ 431,494 $ 363,647 On March 12, 2015, we amended our revolving credit agreement with a consortium of banks (the “Revolving Credit Facility”) which increased the amount available for borrowing to $400 million, extended the maturity of the facility to March 12, 2020, and instituted a revised interest rate pricing grid. On February 1, 2017, the Revolving Credit Facility was further amended to, among other things, change the definition of earnings before interest, taxes, depreciation and amortization (“EBITDA”) for purposes of calculating covenant compliance. For all US dollar denominated borrowings under the Revolving Credit Facility, the borrowing rate is, at our option, either, (a) the bank’s base rate which is equal to the greater of i) the prime rate; ii) the federal funds rate plus 50 basis points; or iii) the daily Euro-rate plus 100 basis points plus an applicable spread over either i), ii) or iii) ranging from 12.5 basis points to 100 basis points based on the Company’s leverage ratio and its corporate credit ratings determined by Standard & Poor’s Rating Services and Moody’s Investor Service, Inc. (the “Corporate Credit Rating”); or (b) the daily Euro-rate plus an applicable margin ranging from 112.5 basis points to 200 basis points based on the Company’s leverage ratio and the Corporate Credit Rating. For non-US dollar denominated borrowings, interest is based on (b) above. The Revolving Credit Facility contains a number of customary covenants for financings of this type that, among other things, restrict our ability to dispose of or create liens on assets, incur additional indebtedness, repay other indebtedness, limits certain intercompany financing arrangements, make acquisitions and engage in mergers or consolidations. We are also required to comply with specified financial tests and ratios including: i) maximum net debt to EBITDA ratio (the “leverage ratio”); and ii) a consolidated EBITDA to interest expense ratio. The most restrictive of our covenants is a maximum leverage ratio of 3.5x. As of June 30, 2017, the leverage ratio, as calculated in accordance with the definition in our amended credit agreement, was 2.6x. A breach of these requirements would give rise to certain remedies under the Revolving Credit Facility, among which are the termination of the agreement and accelerated repayment of the outstanding borrowings plus accrued and unpaid interest under the credit facility. On October 3, 2012, we completed a private placement offering of $250.0 million aggregate principal amount of 5.375% Senior Notes due 2020 (the “5.375% Notes”). The 5.375% Notes, which are now publically registered, are fully and unconditionally guaranteed, jointly and severally, by PHG Tea Leaves, Inc., Mollanvick, Inc., Glatfelter Composite Fibers N. A., Inc., Glatfelter Advanced Materials N.A., LLC., and Glatfelter Holdings, LLC (the “Guarantors”). Interest on the 5.375% Notes is payable semiannually in arrears on April 15 and October 15. The 5.375% Notes are redeemable, in whole or in part, at any time on or after October 15, 2016 at the redemption prices specified in the applicable Indenture. These Notes and the guarantees of the notes are senior obligations of the Company and the Guarantors, respectively, rank equally in right of payment with future senior indebtedness of the Company and the Guarantors and will mature on October 15, 2020. The 5.375% Notes contain various covenants customary to indebtedness of this nature including limitations on i) the amount of indebtedness that may be incurred; ii) certain restricted payments including common stock dividends; iii) distributions from certain subsidiaries; iv) sales of assets; v) transactions amongst subsidiaries; and vi) incurrence of liens on assets. In addition, the 5.375% Notes contain cross default provisions that could result in all such notes becoming due and payable in the event of a failure to repay debt outstanding under the Revolving Credit Facility at maturity or a default under the Revolving Credit Facility that accelerates the debt outstanding thereunder. As of June 30, 2017, we met all of the requirements of our debt covenants. Glatfelter Gernsbach GmbH & Co. KG (“Gernsbach”), a wholly-owned subsidiary of ours, entered into a series of borrowing agreements with IKB Deutsche Industriebank AG, Düsseldorf (“IKB”) as summarized below: Amounts in thousands Original Principal Interest Rate Maturity Borrowing date Apr. 11, 2013 € 42,700 2.05 % Mar. 2023 Sep. 4, 2014 10,000 2.40 % Jun. 2022 Oct. 10, 2015 2,608 1.55 % Sep. 2025 May 4, 2016 7,195 1.55 % Sep. 2025 Apr. 26, 2016 10,000 1.30 % Jun. 2023 Each of the borrowings require quarterly repayments of principal and interest and provide for representations, warranties and covenants customary for financings of these types. The financial covenants contained in each of the IKB loans, which relate to the minimum ratio of consolidated EBITDA to consolidated interest expense and the maximum ratio of consolidated total net debt to consolidated adjusted EBITDA, are calculated by reference to our Revolving Credit Facility. P. H. Glatfelter Company guarantees all debt obligations of its subsidiaries. All such obligations are recorded in these condensed consolidated financial statements. Letters of credit issued to us by certain financial institutions totaled $5.2 million as of June 30, 2017 and $5.1 million as of December 31, 2016. The letters of credit, which amounts available under our revolving credit facility, primarily provide financial assurances for the benefit of certain state workers compensation insurance agencies in conjunction with our self-insurance program. We bear the credit risk on this amount to the extent that we do not comply with the provisions of certain agreements. No amounts are outstanding under the letters of credit. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 10. FAIR VALUE OF FINANCIAL INSTRUMENTS The amounts reported on the condensed consolidated balance sheets for cash and cash equivalents, accounts receivable and accounts payable approximate fair value. The following table sets forth carrying value and fair value of long-term debt: June 30, 2017 December 31, 2016 In thousands Carrying Value Fair Value Carrying Value Fair Value Variable rate debt $ 130,000 $ 130,000 $ 61,595 $ 61,595 Fixed-rate bonds 250,000 256,623 250,000 256,563 2.40% Term loan 8,151 8,349 8,282 8,877 2.05% Term loan 35,023 35,570 35,163 37,089 1.30% Term Loan 9,781 9,712 9,788 10,062 1.55% Term loan 11,187 11,103 10,333 10,082 Total $ 444,142 $ 451,357 $ 375,161 $ 384,268 As of June 30, 2017, and December 31, 2016, we had $250.0 million of 5.375% fixed rate bonds. These bonds are publicly registered, but thinly traded. Accordingly, the values set forth above for the bonds, as well as our other debt instruments, are based on observable inputs and other relevant market data (Level 2). The fair value of financial derivatives is set forth below in Note 11. |
Financial Derivatives and Hedgi
Financial Derivatives and Hedging Activities | 6 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Financial Derivatives and Hedging Activities | 11. FINANCIAL DERIVATIVES AND HEDGING ACTIVITIES As part of our overall risk management practices, we enter into financial derivatives primarily designed to either i) hedge foreign currency risks associated with forecasted transactions – “cash flow hedges”; or ii) mitigate the impact that changes in currency exchange rates have on intercompany financing transactions and foreign currency denominated receivables and payables – “foreign currency hedges." Derivatives Designated as Hedging Instruments - Cash Flow Hedges We use currency forward contracts as cash flow hedges to manage our exposure to fluctuations in the currency exchange rates on certain forecasted production costs or capital expenditures expected to be incurred. Currency forward contracts involve fixing the exchange for delivery of a specified amount of foreign currency on a specified date. As of June 30, 2017, the maturity of currency forward contracts ranged from one month to 18 months. We designate certain currency forward contracts as cash flow hedges of forecasted raw material purchases, certain production costs or capital expenditures with exposure to changes in foreign currency exchange rates. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges of foreign exchange risk is deferred as a component of accumulated other comprehensive income in the accompanying condensed consolidated balance sheets. With respect to hedges of forecasted raw material purchases or production costs, the amount deferred is subsequently reclassified into costs of products sold in the period that inventory produced using the hedged transaction affects earnings. For hedged capital expenditures, deferred gains or losses are reclassified and included in the historical cost of the capital asset and subsequently affect earnings as depreciation is recognized. The ineffective portion of the change in fair value of the derivative is recognized directly to earnings and reflected in the accompanying condensed consolidated statements of income as non-operating income (expense) under the caption “Other, net.” We had the following outstanding derivatives that were used to hedge foreign exchange risks associated with forecasted transactions and designated as hedging instruments: In thousands June 30 2017 December 31 2016 Derivative Sell/Buy - sell notional Philippine Peso / British Pound 22,856 — Philippine Peso / Euro 11,072 — Euro / British Pound 11,921 10,373 U.S. Dollar / Euro 2,190 — Sell/Buy - buy notional Euro / Philippine Peso 879,929 699,279 British Pound / Philippine Peso 652,206 557,025 U.S. Dollar / Euro 9,025 15,379 Euro / U.S. Dollar 56,538 43,951 U.S. Dollar / Canadian Dollar 33,841 35,290 British Pound / Euro 403 — Derivatives Not Designated as Hedging Instruments - Foreign Currency Hedges We also enter into forward foreign exchange contracts to mitigate the impact changes in currency exchange rates have on balance sheet monetary assets and liabilities. None of these contracts are designated as hedges for financial accounting purposes and, accordingly, changes in value of the foreign exchange forward contracts and in the offsetting underlying on-balance-sheet transactions are reflected in the accompanying condensed consolidated statements of income under the caption “Other, net.” The following sets forth derivatives used to mitigate the impact changes in currency exchange rates have on balance sheet monetary assets and liabilities: In thousands June 30 2017 December 31 2016 Derivative Sell/Buy - sell notional U.S. Dollar / British Pound 13,500 10,500 British Pound / Euro 2,500 2,500 Sell/Buy - buy notional Euro / U.S. Dollar 7,500 3,500 British Pound / Euro 12,000 18,500 These contracts have maturities of one month from the date originally entered into. Fair Value Measurements The following table summarizes the fair values of derivative instruments for the period indicated and the line items in the accompanying condensed consolidated balance sheets where the instruments are recorded: In thousands June 30 2017 December 31 2016 June 30 2017 December 31 2016 Prepaid Expenses and Other Other Balance sheet caption Current Assets Current Liabilities Designated as hedging: Forward foreign currency exchange contracts $ 633 $ 2,625 $ 4,166 $ 1,493 Not designated as hedging: Forward foreign currency exchange contracts $ 259 $ 60 $ 88 $ 104 The amounts set forth in the table above represent the net asset or liability giving effect to rights of offset with each counterparty. The effect of netting the amounts presented above did not have a material effect on our consolidated financial position. The following table summarizes the amount of income or (loss) from derivative instruments recognized in our results of operations for the periods indicated and the line items in the accompanying condensed consolidated statements of income where the results are recorded: Three months ended June 30 Six months ended June 30 In thousands 2017 2016 2017 2016 Designated as hedging: Forward foreign currency exchange contracts: Effective portion – cost of products sold $ 785 $ (215 ) $ 1,716 $ 83 Ineffective portion – other – net 36 73 86 (330 ) Not designated as hedging: Forward foreign currency exchange contracts: Other – net $ 370 $ 475 $ 391 $ 1,064 The impact of activity not designated as hedging was substantially all offset by the remeasurement of the underlying on-balance-sheet item. The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The fair values of the foreign exchange forward contracts are considered to be Level 2. Foreign currency forward contracts are valued using foreign currency forward and interest rate curves. The fair value of each contract is determined by comparing the contract rate to the forward rate and discounting to present value. Contracts in a gain position are recorded in the condensed consolidated balance sheets under the caption “Prepaid expenses and other current assets” and the value of contracts in a loss position is recorded under the caption “Other current liabilities.” A rollforward of fair value amounts recorded as a component of accumulated other comprehensive income (loss) is as follows: In thousands 2017 2016 Balance at January 1, $ 1,882 $ (178 ) Deferred (losses) gains on cash flow hedges (4,801 ) 1,294 Reclassified to earnings (1,716 ) (83 ) Balance at June 30, $ (4,635 ) $ 1,033 We expect substantially all of the amounts recorded as a component of accumulated other comprehensive income will be recorded as a component of the capital asset or realized in results of operations within the next 12 to 18 months and the amount ultimately recognized will vary depending on actual market rates. Credit risk related to derivative activity arises in the event the counterparty fails to meet its obligations to us. This exposure is generally limited to the amounts, if any, by which the counterparty’s obligations exceed our obligation to them. Our policy is to enter into contracts only with financial institutions which meet certain minimum credit ratings. |
Commitments, Contingencies and
Commitments, Contingencies and Legal Proceedings | 6 Months Ended |
Jun. 30, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Legal Proceedings | 12. COMMITMENTS, CONTINGENCIES AND LEGAL PROCEEDINGS Fox River - Neenah, Wisconsin Background. We have significant uncertainties associated with environmental claims arising out of the presence of polychlorinated biphenyls (“PCBs”) in sediments in the lower Fox River, on which our former Neenah facility was located, and in the Bay of Green Bay Wisconsin (collectively, the “Site”). Since the early 1990s, the United States, the State of Wisconsin and two Indian tribes (collectively, the “Governments”) have pursued a cleanup of a 39-mile stretch of river from Little Lake Butte des Morts into Green Bay and natural resource damages (“NRDs”). The Site has been subject to certain studies, demonstration projects and interim cleanups. The permanent cleanup, known as a “remedial action” under the Comprehensive Environmental Response, Compensation and Liability Act (“CERCLA”), consists of sediment dredging, installation of engineered caps and placement of sand covers in various areas in the bed of the river. The United States originally notified several entities that they were potentially responsible parties (“PRPs”); however, after giving effect to settlements reached with the Governments, the remaining PRPs exposed to continuing obligations to implement the remainder of the cleanup consist of us, Georgia Pacific Consumer Products, L.P. (“Georgia Pacific”) and NCR Corporation (“NCR”). In addition to the government claims, Appvion, Inc. (“Appvion”) retains a claim against us and Georgia Pacific. The United States Environmental Protection Agency (“EPA”) has divided the Site into five “operable units,” including the most upstream portion of the Site on which our facility was located (“OU1”) and four downstream reaches of the river and bay (“OU2-5”). We and WTM I Company, one of the PRPs, implemented the remedial action in OU1 under a consent decree with the Governments; Menasha Corporation made a financial contribution to that work. That project began in 2004 and the work is complete, other than on-going monitoring and maintenance. For OU2-5, work has proceeded primarily under a Unilateral Administrative Order (“UAO”) issued in November 2007 by the EPA to us and seven other respondents. The majority of that work to date has been funded or conducted by parties other than us, although before the UAO, we contributed to a project in that area and we have conducted about $13.4 million of cleanup work under the UAO in 2015 and 2016. The cleanup is expected to continue through 2018. However, as discussed below, under a proposed consent decree between the United States, Wisconsin, NCR and Appvion we would not be responsible for any additional cleanup at the Site. Litigation and Settlement . In 2008, in an allocation action, NCR and Appvion sued us and many other defendants in an effort to allocate among the liable parties the costs of cleaning up this Site and compensating the Governments for their costs and the natural resource trustees for NRDs. This case has been called the “Whiting litigation.” After several summary judgment rulings and a trial, the trial court entered judgment in the Whiting Litigation allocating to NCR 100% of the costs of (a) the OU2-5 cleanup, (b) NRDs, (c) past and future costs incurred by the Governments in OU2-5, and (d) past and future costs incurred by any of the other parties net of an appropriate equitable adjustment for insurance recoveries. On appeal, the United States Court of Appeals for the Seventh Circuit affirmed the district court’s ruling, holding that if knowledge and fault were the only equitable factors governing allocation of costs and NRDs at the Site, NCR would owe 100% of all costs and damages in OU2-5, but would not have a share of costs in OU1 -- which is upstream of the outfall of the facilities for which NCR is responsible -- solely as an “arranger for disposal” of PCB-containing waste paper by recycling it at our mill. However, the court of appeals vacated the judgment and remanded the case for the district court’s further consideration of whether any other equitable factors might cause the district court to alter its allocation. In 2010, in an enforcement action, the Governments sued us and other defendants for (a) an injunction to require implementation of the cleanup ordered by the 2007 UAO, (b) recovery of the Governments’ past and future costs of response, (c) recovery of NRDs, and (d) recovery of a declaration of liability for the Site. After appeals, the Governments did not obtain an injunction and they withdrew their claims for NRDs. The Governments obtained a declaration of our liability to comply with the 2007 UAO. The Governments’ costs claims remained pending. On January 17, 2017, the United States filed a consent decree with the federal district court among the United States, Wisconsin, NCR, and Appvion (the “NCR/Appvion consent decree”) under which NCR would agree to complete the remaining cleanup and both NCR and Appvion would agree not to seek to recover from us or anyone else any amounts they have spent or will spend, and we and others would be barred from seeking claims against NCR or Appvion. On March 29, 2017, the United States moved for entry of a somewhat revised version of the NCR/Appvion consent decree. If the proposed consent decree is approved by the district court and if it were to withstand any appeal, then we would only face exposure to: (i) government past oversight costs, (ii) government future oversight costs, (iii) long term monitoring and maintenance, and (iv) depending on the reason, a further remedy if necessary in the event the currently ordered remedy fails, over 30 or more years, to achieve its objectives. As the result of earlier settlements, Georgia Pacific is only jointly liable with us to the Governments for monitoring and maintenance costs incurred in the most downstream three miles of the river (“OU4b”) and the bay of Green Bay (“OU5”). In connection with the filing of the proposed consent decree, NCR and Appvion filed a request to stay the trial scheduled to commence in April 2017. The court granted the stay. In addition, we and Georgia Pacific had claims against each other to reallocate the costs that we have each incurred or will incur. We have settled those claims. Under this settlement, Georgia Pacific has agreed to implement the monitoring and maintenance in OU4b and OU5 and we would be responsible for monitoring and maintenance of all other upstream Operable Units. We have agreed to pay Georgia Pacific $9.5 million in August 2017. Once the payment is made, the parties will have their claims against each other dismissed as settled. Cost estimates. The proposed NCR/Appvion consent decree, as revised, states that all parties combined have spent more than approximately $1 billion to date towards remedial actions and NRDs, of which we have contributed approximately $65 million. In addition, work to complete the remaining site remedy under the UAO was anticipated to cost approximately $200 million at the beginning of the 2017 remediation season. If the consent decree were entered, we would no longer be exposed to reallocation of any of those amounts. Under the proposed NCR/Appvion consent decree, we would remain responsible for the Governments’ unreimbursed past costs, which although in dispute, are represented to total approximately $34 million and the Governments’ future costs. Furthermore, we, along with Georgia Pacific, would be responsible for long term monitoring and maintenance required pursuant to the Lower Fox River 100% Remedial Design Report dated December 2009 – Long Term Monitoring Plan (the “Plan”). The Plan requires long term monitoring of each of OU1 through OU5 over a period of at least 30 years. The monitoring activities consist of, among others, testing fish tissue, sampling water quality and sediment, and inspections of the engineered caps. Each operable unit is required to be monitored; however, because of our settlement with Georgia Pacific, our obligations are in OU1-OU4a. Although we are unable to determine with certainty the timing of cash expenditures for the above matters, they are reasonably likely to extend over a period of at least 30 years. Reserves for the Site. Our reserve for all remaining claims against us relating to PCB contamination is set forth below: Six months ended June 30 In thousands 2017 2016 Balance at January 1, $ 52,788 $ 17,105 Payments (128 ) (1,189 ) Accruals - - Balance at June 30, $ 52,660 $ 15,916 The payments set forth above represent cash paid towards completion of remediation activities in connection with the 2016 and 2015 Work Plans and ongoing monitoring activities. Of our total reserve for the Fox River, $29.5 million is recorded in the accompanying June 30, 2017 condensed consolidated balance sheet under the caption “Environmental liabilities” and the remaining $23.2 million is recorded under the caption “Other long term liabilities.” Range of Reasonably Possible Outcomes . Based on our analysis of all available information, including but not limited to decisions of the courts, official documents such as records of decision, discussions with legal counsel, cost estimates for future monitoring and maintenance and other post-remediation costs to be performed at the Site, and substantially dependent on whether the NCR/Appvion consent decree is entered, we believe it is reasonably possible that our costs associated with the Fox River matter could exceed the aggregate amounts accrued by amounts ranging from insignificant to approximately $30 million. We believe the likelihood of an outcome in the upper end of the monetary range is less than other possible outcomes within the range and the possibility of an outcome in excess of the upper end of the monetary range is remote. However, in the event the NCR/Appvion consent decree is not entered, the ultimate resolution of this matter would likely resort to extensive litigation involving various issues, including allocation of remedial action and related costs. In such a scenario, although we should ultimately bear a very small share, it is reasonably possible that our costs associated with the Fox River matter could exceed the aggregate amounts accrued by amounts ranging from insignificant to $150 million. Summary . Our current assessment is we will be able to manage this environmental matter without a long-term, material adverse impact on the Company. This matter could, however, at any particular time or for any particular year or years, have a material adverse effect on our consolidated financial position, liquidity and/or results of operations or could result in a default under our debt covenants. Moreover, there can be no assurance our reserves will be adequate to provide for future obligations related to this matter, or our share of costs and/or damages will not exceed our available resources, or those obligations will not have a material adverse effect on our consolidated financial position, liquidity and results of operations and might result in a default under our loan covenants. If the proposed NCR/Appvion consent decree is not approved and a court grants relief requiring us individually either to perform directly or to contribute significant amounts towards remedial action downstream of OU1 those developments could have a material adverse effect on our consolidated financial position, liquidity and results of operations and might result in a default under our loan covenants. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | 13. SEGMENT INFORMATION The following tables set forth financial and other information by business unit for the period indicated: Three months ended June 30 Advanced Airlaid Other and Dollars in millions Composite Fibers Materials Specialty Papers Unallocated Total 2017 2016 2017 2016 2017 2016 2017 2016 2017 2016 Net sales $ 133.1 $ 136.4 $ 62.8 $ 60.8 $ 191.4 $ 209.3 $ — $ — $ 387.3 $ 406.4 Energy and related sales, net — — — — 1.0 2.0 — — 1.0 2.0 Total revenue 133.1 136.4 62.8 60.8 192.4 211.3 — — 388.3 408.4 Cost of products sold 107.6 109.0 53.0 51.8 195.9 202.9 1.4 2.0 357.9 365.7 Gross profit (loss) 25.5 27.4 9.8 9.0 (3.5 ) 8.4 (1.4 ) (2.0 ) 30.4 42.7 SG&A 10.8 12.1 2.3 2.2 10.3 14.2 8.6 8.7 32.0 37.2 (Gains) losses on dispositions of plant, equipment and timberlands, net — — — — — — (0.1 ) — (0.1 ) — Total operating income (loss) 14.7 15.3 7.5 6.8 (13.8 ) (5.8 ) (9.9 ) (10.7 ) (1.5 ) 5.5 Non-operating expense — — — — — — (4.6 ) (3.6 ) (4.6 ) (3.6 ) Income (loss) before income taxes $ 14.7 $ 15.3 $ 7.5 $ 6.8 $ (13.8 ) $ (5.8 ) $ (14.5 ) $ (14.3 ) $ (6.1 ) $ 2.0 Supplementary Data Net tons sold (thousands) 41.9 40.7 25.5 24.4 184.1 194.7 — — 251.5 259.7 Depreciation, depletion and amortization $ 7.0 $ 7.2 $ 2.3 $ 2.4 $ 7.7 $ 6.5 $ 0.7 $ 0.7 $ 17.7 $ 16.8 Capital expenditures 2.1 2.3 12.9 6.1 15.8 28.7 3.5 — 34.3 37.1 Six months ended June 30 Advanced Airlaid Other and Dollars in millions Composite Fibers Materials Specialty Papers Unallocated Total 2017 2016 2017 2016 2017 2016 2017 2016 2017 2016 Net sales $ 258.2 $ 259.9 $ 122.7 $ 121.5 $ 397.1 $ 427.2 $ — $ — $ 778.1 $ 808.6 Energy and related sales, net — — — — 2.1 2.7 — — 2.1 2.7 Total revenue 258.2 259.9 122.7 121.5 399.2 429.9 — — 780.2 811.3 Cost of products sold 207.2 210.3 103.5 104.1 376.0 394.0 6.1 2.3 692.8 710.7 Gross profit (loss) 51.0 49.6 19.2 17.4 23.2 35.9 (6.1 ) (2.3 ) 87.4 100.6 SG&A 21.9 23.2 4.6 4.2 23.8 26.6 16.8 15.0 67.1 69.0 (Gains) losses on dispositions of plant, equipment and timberlands, net — — — — — — — — — — Total operating income (loss) 29.1 26.4 14.6 13.2 (0.6 ) 9.3 (22.9 ) (17.3 ) 20.3 31.5 Non-operating expense — — — — — — (8.8 ) (8.3 ) (8.8 ) (8.3 ) Income (loss) before income taxes $ 29.1 $ 26.4 $ 14.6 $ 13.2 $ (0.6 ) $ 9.3 $ (31.7 ) $ (25.6 ) $ 11.6 $ 23.2 Supplementary Data Net tons sold (thousands) 80.7 77.6 50.3 48.9 381.4 400.5 — — 512.4 527.0 Depreciation, depletion and amortization $ 13.8 $ 14.3 $ 4.6 $ 4.7 $ 14.9 $ 13.2 $ 1.7 $ 1.2 $ 35.0 $ 33.4 Capital expenditures 6.8 8.6 23.5 20.7 34.0 50.8 6.7 0.3 71.0 80.4 The sum of individual amounts set forth above may not agree to the consolidated financial statements included herein due to rounding. Business Units Results of individual business units are presented based on our management accounting practices and management structure. There is no comprehensive, authoritative body of guidance for management accounting equivalent to accounting principles generally accepted in the United States of America; therefore, the financial results of individual business units are not necessarily comparable with similar information for any other company. The management accounting process uses assumptions and allocations to measure performance of the business units. Methodologies are refined from time to time as management accounting practices are enhanced and businesses change. The costs incurred by support areas not directly aligned with the business unit are allocated primarily based on an estimated utilization of support area services or are included in “Other and Unallocated” in the Business Unit Performance table. Management evaluates results of operations of the business units before pension expense, certain corporate level costs, and the effects of certain gains or losses not considered to be related to the core business operations. Management believes that this is a more meaningful representation of the operating performance of its core businesses, the profitability of business units and the extent of cash flow generated from these core operations. Such amounts are presented under the caption “Other and Unallocated.” In the evaluation of business unit results, management does not use any measures of total assets. This presentation is aligned with the management and operating structure of our company. It is also on this basis that the Company’s performance is evaluated internally and by the Company’s Board of Directors. |
Condensed Consolidating Financi
Condensed Consolidating Financial Statements | 6 Months Ended |
Jun. 30, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Financial Statements | 14. CONDENSED CONSOLIDATING FINANCIAL STATEMENTS Our 5.375% Notes issued by P. H. Glatfelter Company (the “Parent”) are fully and unconditionally guaranteed, on a joint and several basis, by certain of our 100%-owned domestic subsidiaries, PHG Tea Leaves, Inc., Mollanvick, Inc., Glatfelter Composite Fibers N. A., Inc. (“CFNA”), Glatfelter Advance Materials N.A., Inc. (“GAMNA”), and Glatfelter Holdings, LLC. The guarantees are subject to certain customary release provisions including i) the designation of such subsidiary as an unrestricted or excluded subsidiary; (ii) in connection with any sale or disposition of the capital stock of the subsidiary guarantor; or (iii) upon our exercise of our legal defeasance option or our covenant defeasance option, all of which are more fully described in the Indenture dated as of October 3, 2012 and the First Supplemental Indenture dated as of October 27, 2015, among us, the Guarantors and US Bank National Association, as Trustee, relating to the 5.375% Notes. The following presents our condensed consolidating statements of income, including comprehensive income, for the three months and six months ended June 30, 2017 and 2016, our condensed consolidating balance sheets as of June 30, 2017 and December 31, 2016, and our condensed consolidating cash flows for the six months ended June 30, 2017 and 2016. Condensed Consolidating Statement of Income for the three months ended June 30, 2017 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 191,370 $ 23,052 $ 194,708 $ (21,788 ) $ 387,342 Energy and related sales, net 981 — — — 981 Total revenues 192,351 23,052 194,708 (21,788 ) 388,323 Costs of products sold 195,444 22,047 162,184 (21,788 ) 357,887 Gross profit (3,093 ) 1,005 32,524 — 30,436 Selling, general and administrative expenses 16,875 236 14,888 — 31,999 (Gain) loss on dispositions of plant equipment and timberlands, net 16 (74 ) — — (58 ) Operating income (loss) (19,984 ) 843 17,636 — (1,505 ) Other non-operating income (expense) Interest expense (5,182 ) (206 ) (437 ) 1,349 (4,476 ) Interest income 142 1,237 15 (1,349 ) 45 Equity in earnings of subsidiaries 18,801 19,249 — (38,050 ) — Other, net 534 (2,319 ) 1,636 — (149 ) Total other non-operating income (expense) 14,295 17,961 1,214 (38,050 ) (4,580 ) Income (loss) before income taxes (5,689 ) 18,804 18,850 (38,050 ) (6,085 ) Income tax provision (benefit) 25 3 (399 ) — (371 ) Net income (loss) (5,714 ) 18,801 19,249 (38,050 ) (5,714 ) Other comprehensive income 26,332 23,964 23,371 (47,335 ) 26,332 Comprehensive income $ 20,618 $ 42,765 $ 42,620 $ (85,385 ) $ 20,618 Condensed Consolidating Statement of Income for the six months ended June 30, 2017. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 397,141 $ 42,585 $ 380,595 $ (42,266 ) $ 778,055 Energy and related sales, net 2,110 — — — 2,110 Total revenues 399,251 42,585 380,595 (42,266 ) 780,165 Costs of products sold 379,390 40,633 315,043 (42,266 ) 692,800 Gross profit 19,861 1,952 65,552 — 87,365 Selling, general and administrative expenses 37,246 310 29,529 — 67,085 (Gain) loss on dispositions of plant equipment and timberlands, net 48 (74 ) — — (26 ) Operating income (loss) (17,433 ) 1,716 36,023 — 20,306 Other non-operating income (expense) Interest expense (9,843 ) (319 ) (941 ) 2,619 (8,484 ) Interest income 291 2,398 88 (2,619 ) 158 Equity in earnings of subsidiaries 32,418 33,101 — (65,519 ) — Other, net 1,027 (4,525 ) 3,070 — (428 ) Total other non-operating income (expense) 23,893 30,655 2,217 (65,519 ) (8,754 ) Income before income taxes 6,460 32,371 38,240 (65,519 ) 11,552 Income tax provision (benefit) 571 (47 ) 5,139 — 5,663 Net income 5,889 32,418 33,101 (65,519 ) 5,889 Other comprehensive income 33,525 29,066 28,385 (57,451 ) 33,525 Comprehensive income $ 39,414 $ 61,484 $ 61,486 $ (122,970 ) $ 39,414 Condensed Consolidating Statement of Income for the three months ended June 30, 2016. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 209,269 $ 17,561 $ 196,675 $ (17,092 ) $ 406,413 Energy and related sales, net 2,001 — — — 2,001 Total revenues 211,270 17,561 196,675 (17,092 ) 408,414 Costs of products sold 204,495 16,711 161,577 (17,092 ) 365,691 Gross profit 6,775 850 35,098 — 42,723 Selling, general and administrative expenses 22,622 (36 ) 14,605 — 37,191 Loss on dispositions of plant equipment and timberlands, net 2 — — — 2 Operating income (loss) (15,849 ) 886 20,493 — 5,530 Other non-operating income (expense) Interest expense (4,289 ) — (814 ) 1,150 (3,953 ) Interest income 169 1,001 41 (1,150 ) 61 Equity in earnings of subsidiaries 16,385 16,071 — (32,456 ) — Other, net (575 ) (1,421 ) 2,313 — 317 Total other non-operating income (expense) 11,690 15,651 1,540 (32,456 ) (3,575 ) Income (loss) before income taxes (4,159 ) 16,537 22,033 (32,456 ) 1,955 Income tax provision (benefit) (6,124 ) 152 5,962 — (10 ) Net income 1,965 16,385 16,071 (32,456 ) 1,965 Other comprehensive loss (11,539 ) (13,937 ) (13,490 ) 27,427 (11,539 ) Comprehensive income (loss) $ (9,574 ) $ 2,448 $ 2,581 $ (5,029 ) $ (9,574 ) Condensed Consolidating Statement of Income for the six months ended June 30, 2016. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 427,157 $ 36,207 $ 381,141 $ (35,874 ) $ 808,631 Energy and related sales, net 2,667 — — — 2,667 Total revenues 429,824 36,207 381,141 (35,874 ) 811,298 Costs of products sold 396,454 34,761 315,391 (35,874 ) 710,732 Gross profit 33,370 1,446 65,750 — 100,566 Selling, general and administrative expenses 41,067 (221 ) 28,203 — 69,049 Loss on dispositions of plant equipment and timberlands, net 4 — 22 — 26 Operating income (loss) (7,701 ) 1,667 37,525 — 31,491 Other non-operating income (expense) Interest expense (8,704 ) — (1,601 ) 2,236 (8,069 ) Interest income 350 1,993 45 (2,236 ) 152 Equity in earnings of subsidiaries 29,257 27,825 — (57,082 ) — Other, net (1,117 ) (1,401 ) 2,135 — (383 ) Total other non-operating income (expense) 19,786 28,417 579 (57,082 ) (8,300 ) Income before income taxes 12,085 30,084 38,104 (57,082 ) 23,191 Income tax provision (benefit) (6,048 ) 827 10,279 — 5,058 Net income 18,133 29,257 27,825 (57,082 ) 18,133 Other comprehensive income (loss) 4,203 (384 ) (373 ) 757 4,203 Comprehensive income $ 22,336 $ 28,873 $ 27,452 $ (56,325 ) $ 22,336 Condensed Consolidating Balance Sheet as of June 30, 2017 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Assets Cash and cash equivalents $ 8,587 $ 3,080 $ 57,775 $ — $ 69,442 Other current assets 219,123 278,908 277,622 (304,886 ) 470,767 Plant, equipment and timberlands, net 384,846 58,075 395,086 — 838,007 Investments in subsidiaries 851,050 601,864 — (1,452,914 ) — Other assets 127,334 — 136,231 — 263,565 Total assets $ 1,590,940 $ 941,927 $ 866,714 $ (1,757,800 ) $ 1,641,781 Liabilities and Shareholders' Equity Current liabilities $ 447,573 $ 52,294 $ 144,785 $ (304,888 ) $ 339,764 Long-term debt 338,991 39,000 53,503 — 431,494 Deferred income taxes 13,083 (729 ) 48,361 — 60,715 Other long-term liabilities 106,263 312 18,201 — 124,776 Total liabilities 905,910 90,877 264,850 (304,888 ) 956,749 Shareholders’ equity 685,030 851,050 601,864 (1,452,912 ) 685,032 Total liabilities and shareholders’ equity $ 1,590,940 $ 941,927 $ 866,714 $ (1,757,800 ) $ 1,641,781 Condensed Consolidating Balance Sheet as of December 31, 2016 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Assets Cash and cash equivalents $ 5,082 $ 1,461 $ 48,901 $ — $ 55,444 Other current assets 206,002 256,289 242,187 (265,663 ) 438,815 Plant, equipment and timberlands, net 360,521 31,455 383,922 — 775,898 Investments in subsidiaries 789,565 540,029 — (1,329,594 ) — Other assets 123,010 — 128,092 — 251,102 Total assets $ 1,484,180 $ 829,234 $ 803,102 $ (1,595,257 ) $ 1,521,259 Liabilities and Shareholders' Equity Current liabilities $ 426,628 $ 26,085 $ 135,961 $ (265,663 ) $ 323,011 Long-term debt 283,686 14,000 65,961 — 363,647 Deferred income taxes 10,221 (729 ) 45,503 — 54,995 Other long-term liabilities 109,819 313 15,648 — 125,780 Total liabilities 830,354 39,669 263,073 (265,663 ) 867,433 Shareholders’ equity 653,826 789,565 540,029 (1,329,594 ) 653,826 Total liabilities and shareholders’ equity $ 1,484,180 $ 829,234 $ 803,102 $ (1,595,257 ) $ 1,521,259 Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2017 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net cash provided (used) by Operating activities $ (12,072 ) $ (1,085 ) $ 42,606 $ (685 ) $ 28,764 Investing activities Expenditures for purchases of plant, equipment and timberlands (40,739 ) (21,421 ) (8,887 ) — (71,047 ) Proceeds from disposals of plant, equipment and timberlands, net 8 75 — — 83 Repayments from intercompany loans — 12,000 — (12,000 ) — Advances of intercompany loans — (12,550 ) — 12,550 — Intercompany capital contributed — (400 ) — 400 — Total investing activities (40,731 ) (22,296 ) (8,887 ) 950 (70,964 ) Financing activities Net long-term borrowings 55,000 25,000 (16,292 ) — 63,708 Payment of dividends to shareholders (11,130 ) — — — (11,130 ) Repayments of intercompany loans — — (12,000 ) 12,000 — Borrowings of intercompany loans 12,550 — — (12,550 ) — Intercompany capital received — — 400 (400 ) — Payment of intercompany dividend — — (685 ) 685 — Payments related to share-based compensation awards and other (112 ) — — — (112 ) Total financing activities 56,308 25,000 (28,577 ) (265 ) 52,466 Effect of exchange rate on cash — — 3,732 — 3,732 Net increase in cash 3,505 1,619 8,874 — 13,998 Cash at the beginning of period 5,082 1,461 48,901 — 55,444 Cash at the end of period $ 8,587 $ 3,080 $ 57,775 $ — $ 69,442 Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2016 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net cash provided (used) by Operating activities $ 17,067 $ 2,821 $ 16,752 $ — $ 36,640 Investing activities Expenditures for purchases of plant, equipment and timberlands (51,043 ) (18,861 ) (10,487 ) — (80,391 ) Proceeds from disposals of plant, equipment and timberlands, net 41 — 12 — 53 Repayments from intercompany loans — 7,500 — (7,500 ) — Advances of intercompany loans — (7,880 ) — 7,880 — Intercompany capital (contributed) returned (17,000 ) (500 ) — 17,500 — Other (300 ) — — — (300 ) Total investing activities (68,302 ) (19,741 ) (10,475 ) 17,880 (80,638 ) Financing activities Net repayments of indebtedness — — 4,222 — 4,222 Payments of borrowing costs (51 ) — (85 ) — (136 ) Payment of dividends to shareholders (10,679 ) — — — (10,679 ) Repayments of intercompany loans — — (7,500 ) 7,500 — Borrowings of intercompany loans 7,880 — — (7,880 ) — Intercompany capital (returned) received — 17,000 500 (17,500 ) — Proceeds from government grants 2,443 2,000 — — 4,443 Payments related to share-based compensation awards and other (976 ) — — — (976 ) Total financing activities (1,383 ) 19,000 (2,863 ) (17,880 ) (3,126 ) Effect of exchange rate on cash — — 352 — 352 Net increase (decrease) in cash (52,618 ) 2,080 3,766 — (46,772 ) Cash at the beginning of period 59,130 465 45,709 — 105,304 Cash at the end of period $ 6,512 $ 2,545 $ 49,475 $ — $ 58,532 |
Subsequent Event
Subsequent Event | 6 Months Ended |
Jun. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Event | 15. SUBSEQUEN On July 27, 2017, we announced several cost reduction measures in our Specialty Papers business unit including the shutdown of a paper machine at the Chillicothe, OH facility, the elimination of approximately 50 affected hourly positions, and a reduction of an additional 70 salaried positions across the business unit. The machine shutdown will remove approximately 80,000 tons, or 10%, of capacity from the business unit. Production is expected to be absorbed by the remaining seven paper machines in the business unit. The machine shutdown and headcount reductions are expected to result in an annual net profitability improvement of approximately $9 million and the avoidance of costly market-driven downtime. In connection with these cost reduction initiatives, we will recognize an aggregate pre-tax charge to earnings of approximately $8 million to $9 million including an estimated $5 million to $6 million in non-cash charges. The full amount of the charge is expected to be recognized in the third quarter of 2017. |
Accounting Policies (Policies)
Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The unaudited condensed consolidated financial statements (“financial statements”) include the accounts of Glatfelter and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. We prepared these financial statements in accordance with accounting principles generally accepted in the United States of America (“generally accepted accounting principles” or “GAAP”) and pursuant to the rules and regulations of the Securities and Exchange Commission pertaining to interim financial statements. In our opinion, the financial statements reflect all normal, recurring adjustments needed to present fairly our results for the interim periods. When preparing these financial statements, we have assumed that you have read the audited consolidated financial statements included in our 2016 Annual Report on Form 10-K. |
Accounting Estimates | Accounting Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingencies as of the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Management believes the estimates and assumptions used in the preparation of these financial statements are reasonable, based upon currently available facts and known circumstances, but recognizes that actual results may differ from those estimates and assumptions. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In March 2017, the FASB issued ASU No. 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). The update requires entities to present the service cost component of the net periodic benefit cost in the same income statement line item as other employee compensation costs arising from services rendered during the period. All other components are to be presented below the determination of operating income. Entities will be required to disclose the line(s) used to present the other components of net periodic benefit cost, if the components are not presented separately in the income statement . ASU 2017-07 is effective for fiscal years and interim periods beginning after December 15, 2017, and early adoption is permitted. We do not expect the adoption of ASU 2017-07 will have a material impact on our consolidated financial statements. In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-09, Compensation – Stock Compensation (Topic 718) Improvements to Employee Share-Based Payment Accounting In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In June 2016, the FASB issued ASU No. 2016-13 Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers Substantially all of our revenue is earned pursuant to contracts under which we have one performance obligation that is satisfied at a point-in-time. Based on our analysis completed to date, we do not expect this ASU will have a significant impact on the timing or amount of revenue recognition, our results of operations or our financial position. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Details of Basic and Diluted Earnings Per Share (EPS) | The following table sets forth the details of basic and diluted earnings per share (“EPS”): Three months ended June 30 In thousands, except per share 2017 2016 Net income (loss) $ (5,714 ) $ 1,965 Weighted average common shares outstanding used in basic EPS 43,604 43,558 Common shares issuable upon exercise of dilutive stock options and PSAs / RSUs — 504 Weighted average common shares outstanding and common share equivalents used in diluted EPS 43,604 44,062 Earnings (loss) per share Basic $ (0.13 ) $ 0.05 Diluted (0.13 ) 0.04 Six months ended June 30 In thousands, except per share 2017 2016 Net income $ 5,889 $ 18,133 Weighted average common shares outstanding used in basic EPS 43,593 43,539 Common shares issuable upon exercise of dilutive stock options and PSAs / RSUs 856 424 Weighted average common shares outstanding and common share equivalents used in diluted EPS 44,449 43,963 Earnings per share Basic $ 0.14 $ 0.42 Diluted 0.13 0.41 |
Number of Potential Common Shares that have been Excluded from Computation of Diluted Earnings Per Share for Indicated Period Due to Their Anti-Dilutive Nature | The following table sets forth potential common shares outstanding that were not included in the computation of diluted EPS for the period indicated, because their effect would be anti-dilutive: June 30 In thousands 2017 2016 Three months ended 1,327 1,368 Six months ended 591 1,451 |
Accumulated Other Comprehensi24
Accumulated Other Comprehensive Income (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Income (Losses) | The following table sets forth details of the changes in accumulated other comprehensive income (losses) for the three months and six months ended June 30, 2017 and 2016. In thousands Currency translation adjustments Unrealized gain (loss) on cash flow hedges Change in pensions Change in other postretirement defined benefit plans Total Balance at April 1, 2017 $ (94,383 ) $ 554 $ (108,466 ) $ 4,882 $ (197,413 ) Other comprehensive income before reclassifications (net of tax) 27,504 (3,080 ) — (106 ) 24,318 Amounts reclassified from accumulated other comprehensive income (net of tax) — (571 ) 2,642 (57 ) 2,014 Net current period other comprehensive income (loss) 27,504 (3,651 ) 2,642 (163 ) 26,332 Balance at June 30, 2017 $ (66,879 ) $ (3,097 ) $ (105,824 ) $ 4,719 $ (171,081 ) Balance at April 1, 2016 $ (59,622 ) $ (159 ) $ (118,399 ) $ 3,436 $ (174,744 ) Other comprehensive income before reclassifications (net of tax) (14,864 ) 837 — — (14,027 ) Amounts reclassified from accumulated other comprehensive income (net of tax) — 107 2,613 (232 ) 2,488 Net current period other comprehensive income (loss) (14,864 ) 944 2,613 (232 ) (11,539 ) Balance at June 30, 2016 $ (74,486 ) $ 785 $ (115,786 ) $ 3,204 $ (186,283 ) |
Schedule of Amounts Reclassified from Accumulated Other Comprehensive Income | Reclassifications out of accumulated other comprehensive income were as follows: Three months ended June 30 Six months ended June 30 In thousands 2017 2016 2017 2016 Description Line Item in Statements of Income Cash flow hedges (Note 11) Gains (losses) on cash flow hedges $ (785 ) $ 215 $ (1,716 ) $ (83 ) Costs of products sold Tax expense (benefit) 214 (108 ) 454 4 Income tax provision (benefit) Net of tax (571 ) 107 (1,262 ) (79 ) Retirement plan obligations (Note 7) Amortization of deferred benefit pension plans Prior service costs 532 509 1,060 1,013 Costs of products sold 176 166 352 336 Selling, general and administrative Actuarial losses 2,463 2,618 4,562 4,900 Costs of products sold 848 915 1,571 1,687 Selling, general and administrative 4,019 4,208 7,545 7,936 Tax benefit (1,377 ) (1,595 ) (2,713 ) (3,008 ) Income tax provision (benefit) Net of tax 2,642 2,613 4,832 4,928 Amortization of deferred benefit other plans Prior service costs (38 ) (38 ) (75 ) (75 ) Costs of products sold (8 ) (8 ) (16 ) (16 ) Selling, general and administrative Actuarial losses (38 ) (269 ) (156 ) (311 ) Costs of products sold (8 ) (58 ) (33 ) (67 ) Selling, general and administrative (92 ) (373 ) (280 ) (469 ) Tax expense 35 141 107 179 Income tax provision (benefit) Net of tax (57 ) (232 ) (173 ) (290 ) Total reclassifications, net of tax $ 2,014 $ 2,488 $ 3,397 $ 4,559 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Summary of Tax Years that Remain Subject to Examination by Major Jurisdiction | The following table summarizes, by major jurisdiction, tax years that remain subject to examination: Open Tax Years Jurisdiction Examinations not yet initiated Examination in progress United States Federal 2013 - 2016 N/A State 2012 - 2016 2013 - 2014 Canada (1) 2010 - 2013; 2016 2014 - 2015 Germany (1) 2016 2012 - 2015 France 2014 - 2016 2011 - 2012 United Kingdom 2015 - 2016 N/A Philippines 2015 - 2016 2013 - 2014 (1) includes provincial or similar local jurisdictions, as applicable |
Summary of Information Related to Interest and Penalties on Uncertain Tax Positions | The following table summarizes information related to interest and penalties on uncertain tax positions: Six months ended June 30 In millions 2017 2016 Interest expense (income) $ 0.3 $ 0.2 Penalties — — June 30 December 31 2017 2016 Accrued interest payable $ 0.8 $ 0.5 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Restricted Stock Units (RSU) and Performance Share Awards (PSAs) [Member] | |
Summary of Share Based Compensation Activity | The following table summarizes RSU and PSA activity during periods indicated: Units 2017 2016 Balance at January 1, 679,038 674,523 Granted 364,748 295,654 Forfeited (91,449 ) (143,209 ) Shares delivered (24,052 ) (149,475 ) Balance at June 30, 928,285 677,493 |
Compensation Expense for Stock Option Activity | The following table sets forth aggregate RSU and PSA compensation expense for the periods indicated: June 30 In thousands 2017 2016 Three months ended $ 1,049 $ 935 Six months ended 2,088 1,402 |
Stock Only Stock Appreciation Rights (SOSARs) [Member] | |
Summary of Share Based Compensation Activity | The following table sets forth information related to outstanding SOSARS for the six months ended June 30; 2017 2016 SOSARS Shares Wtd Avg Exercise Price Shares Wtd Avg Exercise Price Outstanding at January 1, 2,736,616 $ 17.64 2,199,742 $ 17.82 Granted — — 743,925 17.54 Exercised (33,050 ) 14.65 (53,190 ) 9.91 Canceled / forfeited (17,630 ) 18.46 (108,945 ) 21.81 Outstanding at June 30, 2,685,936 $ 17.67 2,781,532 $ 17.74 SOSAR Grants Weighted average grant date fair value per share $ - $ 4.07 Aggregate grant date fair value (in thousands) $ - $ 3,013 Black-Scholes assumptions Dividend yield - 2.85 % Risk free rate of return - 1.34 % Volatility - 31.97 % Expected life - 6 yrs |
Compensation Expense for Stock Option Activity | The following table sets forth SOSAR compensation expense for the periods indicated: June 30 In thousands 2017 2016 Three months ended $ 259 $ 669 Six months ended 868 1,401 |
Retirement Plans and Other Po27
Retirement Plans and Other Post-Retirement Benefits (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Schedule of Net Periodic Costs of Pension and Post Retirement Medical Benefit Plans | The following tables provide information with respect to the net periodic costs of our pension and post-retirement medical benefit plans. Three months ended June 30 In thousands 2017 2016 Pension Benefits Service cost $ 2,649 $ 2,510 Interest cost 5,989 6,153 Expected return on plan assets (10,666 ) (11,275 ) Amortization of prior service cost 708 675 Amortization of unrecognized loss 3,311 3,533 Total net periodic benefit cost $ 1,991 $ 1,596 Other Benefits Service cost $ 284 $ 250 Interest cost 513 456 Amortization of prior service credit (46 ) (46 ) Amortization of actuarial gain (46 ) (327 ) Total net periodic benefit cost $ 705 $ 333 Six months ended June 30 In thousands 2017 2016 Pension Benefits Service cost $ 5,370 $ 5,240 Interest cost 11,896 12,240 Expected return on plan assets (21,497 ) (22,661 ) Amortization of prior service cost 1,412 1,349 Amortization of unrecognized loss 6,133 6,587 Total net periodic benefit cost $ 3,314 $ 2,755 Other Benefits Service cost $ 579 $ 573 Interest cost 998 996 Amortization of prior service credit (91 ) (91 ) Amortization of actuarial gain (189 ) (378 ) Total net periodic benefit cost $ 1,297 $ 1,100 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories, Net of Reserves | Inventories, net of reserves, were as follows: June 30 December 31 In thousands 2017 2016 Raw materials $ 71,723 $ 66,359 In-process and finished 117,385 112,507 Supplies 72,613 70,803 Total $ 261,721 $ 249,669 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt | Long-term debt is summarized as follows: June 30 December 31 In thousands 2017 2016 Revolving credit facility, due Mar. 2020 $ 130,000 $ 61,595 5.375% Notes, due Oct. 2020 250,000 250,000 2.40% Term Loan, due Jun. 2022 8,151 8,282 2.05% Term Loan, due Mar. 2023 35,023 35,163 1.30% Term Loan, due Jun. 2023 9,781 9,788 1.55% Term Loan, due Sep. 2025 11,187 10,333 Total long-term debt 444,142 375,161 Less current portion (10,400 ) (8,961 ) Unamortized deferred issuance costs (2,248 ) (2,553 ) Long-term debt, net of current portion $ 431,494 $ 363,647 |
Summary of Debts Borrowed by Subsidiary | Glatfelter Gernsbach GmbH & Co. KG (“Gernsbach”), a wholly-owned subsidiary of ours, entered into a series of borrowing agreements with IKB Deutsche Industriebank AG, Düsseldorf (“IKB”) as summarized below: Amounts in thousands Original Principal Interest Rate Maturity Borrowing date Apr. 11, 2013 € 42,700 2.05 % Mar. 2023 Sep. 4, 2014 10,000 2.40 % Jun. 2022 Oct. 10, 2015 2,608 1.55 % Sep. 2025 May 4, 2016 7,195 1.55 % Sep. 2025 Apr. 26, 2016 10,000 1.30 % Jun. 2023 |
Fair Value of Financial Instr30
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Carrying Value and Fair Value of Long-Term Debt | The following table sets forth carrying value and fair value of long-term debt: June 30, 2017 December 31, 2016 In thousands Carrying Value Fair Value Carrying Value Fair Value Variable rate debt $ 130,000 $ 130,000 $ 61,595 $ 61,595 Fixed-rate bonds 250,000 256,623 250,000 256,563 2.40% Term loan 8,151 8,349 8,282 8,877 2.05% Term loan 35,023 35,570 35,163 37,089 1.30% Term Loan 9,781 9,712 9,788 10,062 1.55% Term loan 11,187 11,103 10,333 10,082 Total $ 444,142 $ 451,357 $ 375,161 $ 384,268 |
Financial Derivatives and Hed31
Financial Derivatives and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Values of Derivative Instruments | Fair Value Measurements The following table summarizes the fair values of derivative instruments for the period indicated and the line items in the accompanying condensed consolidated balance sheets where the instruments are recorded: In thousands June 30 2017 December 31 2016 June 30 2017 December 31 2016 Prepaid Expenses and Other Other Balance sheet caption Current Assets Current Liabilities Designated as hedging: Forward foreign currency exchange contracts $ 633 $ 2,625 $ 4,166 $ 1,493 Not designated as hedging: Forward foreign currency exchange contracts $ 259 $ 60 $ 88 $ 104 |
Income or (Loss) from Derivative Instruments Recognized in Results of Operations | The following table summarizes the amount of income or (loss) from derivative instruments recognized in our results of operations for the periods indicated and the line items in the accompanying condensed consolidated statements of income where the results are recorded: |
Fair Value Amounts Recorded as Component of Accumulated Other Comprehensive Income (Loss) | A rollforward of fair value amounts recorded as a component of accumulated other comprehensive income (loss) is as follows: In thousands 2017 2016 Balance at January 1, $ 1,882 $ (178 ) Deferred (losses) gains on cash flow hedges (4,801 ) 1,294 Reclassified to earnings (1,716 ) (83 ) Balance at June 30, $ (4,635 ) $ 1,033 |
Designated as Hedging [Member] | |
Outstanding Derivatives Used to Hedge Foreign Exchange Risks | We had the following outstanding derivatives that were used to hedge foreign exchange risks associated with forecasted transactions and designated as hedging instruments: In thousands June 30 2017 December 31 2016 Derivative Sell/Buy - sell notional Philippine Peso / British Pound 22,856 — Philippine Peso / Euro 11,072 — Euro / British Pound 11,921 10,373 U.S. Dollar / Euro 2,190 — Sell/Buy - buy notional Euro / Philippine Peso 879,929 699,279 British Pound / Philippine Peso 652,206 557,025 U.S. Dollar / Euro 9,025 15,379 Euro / U.S. Dollar 56,538 43,951 U.S. Dollar / Canadian Dollar 33,841 35,290 British Pound / Euro 403 — |
Not Designated as Hedging [Member] | |
Outstanding Derivatives Used to Hedge Foreign Exchange Risks | The following sets forth derivatives used to mitigate the impact changes in currency exchange rates have on balance sheet monetary assets and liabilities: In thousands June 30 2017 December 31 2016 Derivative Sell/Buy - sell notional U.S. Dollar / British Pound 13,500 10,500 British Pound / Euro 2,500 2,500 Sell/Buy - buy notional Euro / U.S. Dollar 7,500 3,500 British Pound / Euro 12,000 18,500 |
Commitments, Contingencies an32
Commitments, Contingencies and Legal Proceedings (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Reserves | Reserves for the Site. Our reserve for all remaining claims against us relating to PCB contamination is set forth below: Six months ended June 30 In thousands 2017 2016 Balance at January 1, $ 52,788 $ 17,105 Payments (128 ) (1,189 ) Accruals - - Balance at June 30, $ 52,660 $ 15,916 |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Financial and Other Information by Business Unit | The following tables set forth financial and other information by business unit for the period indicated: Three months ended June 30 Advanced Airlaid Other and Dollars in millions Composite Fibers Materials Specialty Papers Unallocated Total 2017 2016 2017 2016 2017 2016 2017 2016 2017 2016 Net sales $ 133.1 $ 136.4 $ 62.8 $ 60.8 $ 191.4 $ 209.3 $ — $ — $ 387.3 $ 406.4 Energy and related sales, net — — — — 1.0 2.0 — — 1.0 2.0 Total revenue 133.1 136.4 62.8 60.8 192.4 211.3 — — 388.3 408.4 Cost of products sold 107.6 109.0 53.0 51.8 195.9 202.9 1.4 2.0 357.9 365.7 Gross profit (loss) 25.5 27.4 9.8 9.0 (3.5 ) 8.4 (1.4 ) (2.0 ) 30.4 42.7 SG&A 10.8 12.1 2.3 2.2 10.3 14.2 8.6 8.7 32.0 37.2 (Gains) losses on dispositions of plant, equipment and timberlands, net — — — — — — (0.1 ) — (0.1 ) — Total operating income (loss) 14.7 15.3 7.5 6.8 (13.8 ) (5.8 ) (9.9 ) (10.7 ) (1.5 ) 5.5 Non-operating expense — — — — — — (4.6 ) (3.6 ) (4.6 ) (3.6 ) Income (loss) before income taxes $ 14.7 $ 15.3 $ 7.5 $ 6.8 $ (13.8 ) $ (5.8 ) $ (14.5 ) $ (14.3 ) $ (6.1 ) $ 2.0 Supplementary Data Net tons sold (thousands) 41.9 40.7 25.5 24.4 184.1 194.7 — — 251.5 259.7 Depreciation, depletion and amortization $ 7.0 $ 7.2 $ 2.3 $ 2.4 $ 7.7 $ 6.5 $ 0.7 $ 0.7 $ 17.7 $ 16.8 Capital expenditures 2.1 2.3 12.9 6.1 15.8 28.7 3.5 — 34.3 37.1 Six months ended June 30 Advanced Airlaid Other and Dollars in millions Composite Fibers Materials Specialty Papers Unallocated Total 2017 2016 2017 2016 2017 2016 2017 2016 2017 2016 Net sales $ 258.2 $ 259.9 $ 122.7 $ 121.5 $ 397.1 $ 427.2 $ — $ — $ 778.1 $ 808.6 Energy and related sales, net — — — — 2.1 2.7 — — 2.1 2.7 Total revenue 258.2 259.9 122.7 121.5 399.2 429.9 — — 780.2 811.3 Cost of products sold 207.2 210.3 103.5 104.1 376.0 394.0 6.1 2.3 692.8 710.7 Gross profit (loss) 51.0 49.6 19.2 17.4 23.2 35.9 (6.1 ) (2.3 ) 87.4 100.6 SG&A 21.9 23.2 4.6 4.2 23.8 26.6 16.8 15.0 67.1 69.0 (Gains) losses on dispositions of plant, equipment and timberlands, net — — — — — — — — — — Total operating income (loss) 29.1 26.4 14.6 13.2 (0.6 ) 9.3 (22.9 ) (17.3 ) 20.3 31.5 Non-operating expense — — — — — — (8.8 ) (8.3 ) (8.8 ) (8.3 ) Income (loss) before income taxes $ 29.1 $ 26.4 $ 14.6 $ 13.2 $ (0.6 ) $ 9.3 $ (31.7 ) $ (25.6 ) $ 11.6 $ 23.2 Supplementary Data Net tons sold (thousands) 80.7 77.6 50.3 48.9 381.4 400.5 — — 512.4 527.0 Depreciation, depletion and amortization $ 13.8 $ 14.3 $ 4.6 $ 4.7 $ 14.9 $ 13.2 $ 1.7 $ 1.2 $ 35.0 $ 33.4 Capital expenditures 6.8 8.6 23.5 20.7 34.0 50.8 6.7 0.3 71.0 80.4 |
Condensed Consolidating Finan34
Condensed Consolidating Financial Statements (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Statement of Income | Condensed Consolidating Statement of Income for the six months ended June 30, 2017. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 397,141 $ 42,585 $ 380,595 $ (42,266 ) $ 778,055 Energy and related sales, net 2,110 — — — 2,110 Total revenues 399,251 42,585 380,595 (42,266 ) 780,165 Costs of products sold 379,390 40,633 315,043 (42,266 ) 692,800 Gross profit 19,861 1,952 65,552 — 87,365 Selling, general and administrative expenses 37,246 310 29,529 — 67,085 (Gain) loss on dispositions of plant equipment and timberlands, net 48 (74 ) — — (26 ) Operating income (loss) (17,433 ) 1,716 36,023 — 20,306 Other non-operating income (expense) Interest expense (9,843 ) (319 ) (941 ) 2,619 (8,484 ) Interest income 291 2,398 88 (2,619 ) 158 Equity in earnings of subsidiaries 32,418 33,101 — (65,519 ) — Other, net 1,027 (4,525 ) 3,070 — (428 ) Total other non-operating income (expense) 23,893 30,655 2,217 (65,519 ) (8,754 ) Income before income taxes 6,460 32,371 38,240 (65,519 ) 11,552 Income tax provision (benefit) 571 (47 ) 5,139 — 5,663 Net income 5,889 32,418 33,101 (65,519 ) 5,889 Other comprehensive income 33,525 29,066 28,385 (57,451 ) 33,525 Comprehensive income $ 39,414 $ 61,484 $ 61,486 $ (122,970 ) $ 39,414 Condensed Consolidating Statement of Income for the three months ended June 30, 2016. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 209,269 $ 17,561 $ 196,675 $ (17,092 ) $ 406,413 Energy and related sales, net 2,001 — — — 2,001 Total revenues 211,270 17,561 196,675 (17,092 ) 408,414 Costs of products sold 204,495 16,711 161,577 (17,092 ) 365,691 Gross profit 6,775 850 35,098 — 42,723 Selling, general and administrative expenses 22,622 (36 ) 14,605 — 37,191 Loss on dispositions of plant equipment and timberlands, net 2 — — — 2 Operating income (loss) (15,849 ) 886 20,493 — 5,530 Other non-operating income (expense) Interest expense (4,289 ) — (814 ) 1,150 (3,953 ) Interest income 169 1,001 41 (1,150 ) 61 Equity in earnings of subsidiaries 16,385 16,071 — (32,456 ) — Other, net (575 ) (1,421 ) 2,313 — 317 Total other non-operating income (expense) 11,690 15,651 1,540 (32,456 ) (3,575 ) Income (loss) before income taxes (4,159 ) 16,537 22,033 (32,456 ) 1,955 Income tax provision (benefit) (6,124 ) 152 5,962 — (10 ) Net income 1,965 16,385 16,071 (32,456 ) 1,965 Other comprehensive loss (11,539 ) (13,937 ) (13,490 ) 27,427 (11,539 ) Comprehensive income (loss) $ (9,574 ) $ 2,448 $ 2,581 $ (5,029 ) $ (9,574 ) Condensed Consolidating Statement of Income for the six months ended June 30, 2016. In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net sales $ 427,157 $ 36,207 $ 381,141 $ (35,874 ) $ 808,631 Energy and related sales, net 2,667 — — — 2,667 Total revenues 429,824 36,207 381,141 (35,874 ) 811,298 Costs of products sold 396,454 34,761 315,391 (35,874 ) 710,732 Gross profit 33,370 1,446 65,750 — 100,566 Selling, general and administrative expenses 41,067 (221 ) 28,203 — 69,049 Loss on dispositions of plant equipment and timberlands, net 4 — 22 — 26 Operating income (loss) (7,701 ) 1,667 37,525 — 31,491 Other non-operating income (expense) Interest expense (8,704 ) — (1,601 ) 2,236 (8,069 ) Interest income 350 1,993 45 (2,236 ) 152 Equity in earnings of subsidiaries 29,257 27,825 — (57,082 ) — Other, net (1,117 ) (1,401 ) 2,135 — (383 ) Total other non-operating income (expense) 19,786 28,417 579 (57,082 ) (8,300 ) Income before income taxes 12,085 30,084 38,104 (57,082 ) 23,191 Income tax provision (benefit) (6,048 ) 827 10,279 — 5,058 Net income 18,133 29,257 27,825 (57,082 ) 18,133 Other comprehensive income (loss) 4,203 (384 ) (373 ) 757 4,203 Comprehensive income $ 22,336 $ 28,873 $ 27,452 $ (56,325 ) $ 22,336 |
Condensed Consolidating Balance Sheet | Condensed Consolidating Balance Sheet as of June 30, 2017 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Assets Cash and cash equivalents $ 8,587 $ 3,080 $ 57,775 $ — $ 69,442 Other current assets 219,123 278,908 277,622 (304,886 ) 470,767 Plant, equipment and timberlands, net 384,846 58,075 395,086 — 838,007 Investments in subsidiaries 851,050 601,864 — (1,452,914 ) — Other assets 127,334 — 136,231 — 263,565 Total assets $ 1,590,940 $ 941,927 $ 866,714 $ (1,757,800 ) $ 1,641,781 Liabilities and Shareholders' Equity Current liabilities $ 447,573 $ 52,294 $ 144,785 $ (304,888 ) $ 339,764 Long-term debt 338,991 39,000 53,503 — 431,494 Deferred income taxes 13,083 (729 ) 48,361 — 60,715 Other long-term liabilities 106,263 312 18,201 — 124,776 Total liabilities 905,910 90,877 264,850 (304,888 ) 956,749 Shareholders’ equity 685,030 851,050 601,864 (1,452,912 ) 685,032 Total liabilities and shareholders’ equity $ 1,590,940 $ 941,927 $ 866,714 $ (1,757,800 ) $ 1,641,781 Condensed Consolidating Balance Sheet as of December 31, 2016 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Assets Cash and cash equivalents $ 5,082 $ 1,461 $ 48,901 $ — $ 55,444 Other current assets 206,002 256,289 242,187 (265,663 ) 438,815 Plant, equipment and timberlands, net 360,521 31,455 383,922 — 775,898 Investments in subsidiaries 789,565 540,029 — (1,329,594 ) — Other assets 123,010 — 128,092 — 251,102 Total assets $ 1,484,180 $ 829,234 $ 803,102 $ (1,595,257 ) $ 1,521,259 Liabilities and Shareholders' Equity Current liabilities $ 426,628 $ 26,085 $ 135,961 $ (265,663 ) $ 323,011 Long-term debt 283,686 14,000 65,961 — 363,647 Deferred income taxes 10,221 (729 ) 45,503 — 54,995 Other long-term liabilities 109,819 313 15,648 — 125,780 Total liabilities 830,354 39,669 263,073 (265,663 ) 867,433 Shareholders’ equity 653,826 789,565 540,029 (1,329,594 ) 653,826 Total liabilities and shareholders’ equity $ 1,484,180 $ 829,234 $ 803,102 $ (1,595,257 ) $ 1,521,259 |
Condensed Consolidating Statement of Cash Flows | Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2017 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net cash provided (used) by Operating activities $ (12,072 ) $ (1,085 ) $ 42,606 $ (685 ) $ 28,764 Investing activities Expenditures for purchases of plant, equipment and timberlands (40,739 ) (21,421 ) (8,887 ) — (71,047 ) Proceeds from disposals of plant, equipment and timberlands, net 8 75 — — 83 Repayments from intercompany loans — 12,000 — (12,000 ) — Advances of intercompany loans — (12,550 ) — 12,550 — Intercompany capital contributed — (400 ) — 400 — Total investing activities (40,731 ) (22,296 ) (8,887 ) 950 (70,964 ) Financing activities Net long-term borrowings 55,000 25,000 (16,292 ) — 63,708 Payment of dividends to shareholders (11,130 ) — — — (11,130 ) Repayments of intercompany loans — — (12,000 ) 12,000 — Borrowings of intercompany loans 12,550 — — (12,550 ) — Intercompany capital received — — 400 (400 ) — Payment of intercompany dividend — — (685 ) 685 — Payments related to share-based compensation awards and other (112 ) — — — (112 ) Total financing activities 56,308 25,000 (28,577 ) (265 ) 52,466 Effect of exchange rate on cash — — 3,732 — 3,732 Net increase in cash 3,505 1,619 8,874 — 13,998 Cash at the beginning of period 5,082 1,461 48,901 — 55,444 Cash at the end of period $ 8,587 $ 3,080 $ 57,775 $ — $ 69,442 Condensed Consolidating Statement of Cash Flows for the six months ended June 30, 2016 In thousands Parent Company Guarantors Non Guarantors Adjustments/ Eliminations Consolidated Net cash provided (used) by Operating activities $ 17,067 $ 2,821 $ 16,752 $ — $ 36,640 Investing activities Expenditures for purchases of plant, equipment and timberlands (51,043 ) (18,861 ) (10,487 ) — (80,391 ) Proceeds from disposals of plant, equipment and timberlands, net 41 — 12 — 53 Repayments from intercompany loans — 7,500 — (7,500 ) — Advances of intercompany loans — (7,880 ) — 7,880 — Intercompany capital (contributed) returned (17,000 ) (500 ) — 17,500 — Other (300 ) — — — (300 ) Total investing activities (68,302 ) (19,741 ) (10,475 ) 17,880 (80,638 ) Financing activities Net repayments of indebtedness — — 4,222 — 4,222 Payments of borrowing costs (51 ) — (85 ) — (136 ) Payment of dividends to shareholders (10,679 ) — — — (10,679 ) Repayments of intercompany loans — — (7,500 ) 7,500 — Borrowings of intercompany loans 7,880 — — (7,880 ) — Intercompany capital (returned) received — 17,000 500 (17,500 ) — Proceeds from government grants 2,443 2,000 — — 4,443 Payments related to share-based compensation awards and other (976 ) — — — (976 ) Total financing activities (1,383 ) 19,000 (2,863 ) (17,880 ) (3,126 ) Effect of exchange rate on cash — — 352 — 352 Net increase (decrease) in cash (52,618 ) 2,080 3,766 — (46,772 ) Cash at the beginning of period 59,130 465 45,709 — 105,304 Cash at the end of period $ 6,512 $ 2,545 $ 49,475 $ — $ 58,532 |
Earnings Per Share - Details of
Earnings Per Share - Details of Basic and Diluted Earnings Per Share (EPS) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) | $ (5,714) | $ 1,965 | $ 5,889 | $ 18,133 |
Weighted average common shares outstanding used in basic EPS | 43,604 | 43,558 | 43,593 | 43,539 |
Common shares issuable upon exercise of dilutive stock options and PSAs / RSUs | 504 | 856 | 424 | |
Weighted average common shares outstanding and common share equivalents used in diluted EPS | 43,604 | 44,062 | 44,449 | 43,963 |
Earnings (loss) per share | ||||
Basic | $ (0.13) | $ 0.05 | $ 0.14 | $ 0.42 |
Diluted | $ (0.13) | $ 0.04 | $ 0.13 | $ 0.41 |
Earnings Per Share - Number of
Earnings Per Share - Number of Potential Common Shares that have been Excluded from Computation of Diluted Earnings Per Share for Indicated Period Due to Their Anti-Dilutive Nature (Detail) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||||
Potential common shares | 1,327 | 1,368 | 591 | 1,451 |
Accumulated Other Comprehensi37
Accumulated Other Comprehensive Income - Schedule of Changes in Accumulated Other Comprehensive Income (Losses) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | $ (197,413) | $ (174,744) | $ (204,606) | $ (190,486) |
Other comprehensive income before reclassifications (net of tax) | 24,318 | (14,027) | 30,128 | (356) |
Amounts reclassified from accumulated other comprehensive income (net of tax) | 2,014 | 2,488 | 3,397 | 4,559 |
Net current period other comprehensive income (loss) | 26,332 | (11,539) | 33,525 | 4,203 |
Ending Balance | (171,081) | (186,283) | (171,081) | (186,283) |
Currency Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (94,383) | (59,622) | (100,448) | (73,041) |
Other comprehensive income before reclassifications (net of tax) | 27,504 | (14,864) | 33,569 | (1,445) |
Net current period other comprehensive income (loss) | 27,504 | (14,864) | 33,569 | (1,445) |
Ending Balance | (66,879) | (74,486) | (66,879) | (74,486) |
Unrealized Gain (Loss) on Cash Flow Hedges [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | 554 | (159) | 1,500 | (225) |
Other comprehensive income before reclassifications (net of tax) | (3,080) | 837 | (3,335) | 1,089 |
Amounts reclassified from accumulated other comprehensive income (net of tax) | (571) | 107 | (1,262) | (79) |
Net current period other comprehensive income (loss) | (3,651) | 944 | (4,597) | 1,010 |
Ending Balance | (3,097) | 785 | (3,097) | 785 |
Change in Pensions [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | (108,466) | (118,399) | (110,656) | (120,714) |
Amounts reclassified from accumulated other comprehensive income (net of tax) | 2,642 | 2,613 | 4,832 | 4,928 |
Net current period other comprehensive income (loss) | 2,642 | 2,613 | 4,832 | 4,928 |
Ending Balance | (105,824) | (115,786) | (105,824) | (115,786) |
Change in Other Postretirement Defined Benefit Plans [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Beginning Balance | 4,882 | 3,436 | 4,998 | 3,494 |
Other comprehensive income before reclassifications (net of tax) | (106) | (106) | ||
Amounts reclassified from accumulated other comprehensive income (net of tax) | (57) | (232) | (173) | (290) |
Net current period other comprehensive income (loss) | (163) | (232) | (279) | (290) |
Ending Balance | $ 4,719 | $ 3,204 | $ 4,719 | $ 3,204 |
Accumulated Other Comprehensi38
Accumulated Other Comprehensive Income - Schedule of Amounts Reclassified from Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | $ (357,887) | $ (365,691) | $ (692,800) | $ (710,732) |
Selling, general and administrative | (31,999) | (37,191) | (67,085) | (69,049) |
Income tax provision | 371 | 10 | (5,663) | (5,058) |
Net income (loss) | (5,714) | 1,965 | 5,889 | 18,133 |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Net income (loss) | 2,014 | 2,488 | 3,397 | 4,559 |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs and Expenses | 4,019 | 4,208 | 7,545 | 7,936 |
Income tax provision | (1,377) | (1,595) | (2,713) | (3,008) |
Net income (loss) | 2,642 | 2,613 | 4,832 | 4,928 |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Pension Benefits [Member] | Prior Service Costs [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | 532 | 509 | 1,060 | 1,013 |
Selling, general and administrative | 176 | 166 | 352 | 336 |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Pension Benefits [Member] | Actuarial Losses [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | 2,463 | 2,618 | 4,562 | 4,900 |
Selling, general and administrative | 848 | 915 | 1,571 | 1,687 |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Amortization of Deferred Benefit Other Plans [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs and Expenses | (92) | (373) | (280) | (469) |
Income tax provision | 35 | 141 | 107 | 179 |
Net income (loss) | (57) | (232) | (173) | (290) |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Amortization of Deferred Benefit Other Plans [Member] | Prior Service Costs [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | (38) | (38) | (75) | (75) |
Selling, general and administrative | (8) | (8) | (16) | (16) |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Amortization of Deferred Benefit Other Plans [Member] | Actuarial Losses [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | (38) | (269) | (156) | (311) |
Selling, general and administrative | (8) | (58) | (33) | (67) |
Reclassifications Out of Accumulated Other Comprehensive Income [Member] | Cash Flow Hedges [Member] | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Costs of products sold | (785) | 215 | (1,716) | (83) |
Income tax provision | 214 | (108) | 454 | 4 |
Net income (loss) | $ (571) | $ 107 | $ (1,262) | $ (79) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Income Tax Contingency [Line Items] | ||
Gross unrecognized tax benefits | $ 16.9 | $ 14.2 |
Unrecognized tax benefits that would impact effective tax rate | 11.4 | |
Minimum [Member] | ||
Income Tax Contingency [Line Items] | ||
Gross unrecognized tax benefits balance may decrease within the next twelve months | 0 | |
Maximum [Member] | ||
Income Tax Contingency [Line Items] | ||
Gross unrecognized tax benefits balance may decrease within the next twelve months | $ 0.9 |
Income Taxes - Summary of Tax Y
Income Taxes - Summary of Tax Years that Remain Subject to Examination by Major Jurisdiction (Detail) | 6 Months Ended |
Jun. 30, 2017 | |
Foreign Tax Authority [Member] | Canada [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Foreign Tax Authority [Member] | Germany [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Minimum [Member] | United States - Federal [Member] | United States [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,013 |
Minimum [Member] | United States - State [Member] | United States [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,012 |
Examination in progress | 2,013 |
Minimum [Member] | Foreign Tax Authority [Member] | Canada [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,010 |
Examination in progress | 2,014 |
Minimum [Member] | Foreign Tax Authority [Member] | Germany [Member] | |
Income Tax Examination [Line Items] | |
Examination in progress | 2,012 |
Minimum [Member] | Foreign Tax Authority [Member] | France [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,014 |
Examination in progress | 2,011 |
Minimum [Member] | Foreign Tax Authority [Member] | United Kingdom [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,015 |
Minimum [Member] | Foreign Tax Authority [Member] | Philippines [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,015 |
Examination in progress | 2,013 |
Maximum [Member] | United States - Federal [Member] | United States [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Maximum [Member] | United States - State [Member] | United States [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Examination in progress | 2,014 |
Maximum [Member] | Foreign Tax Authority [Member] | Canada [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,013 |
Examination in progress | 2,015 |
Maximum [Member] | Foreign Tax Authority [Member] | Germany [Member] | |
Income Tax Examination [Line Items] | |
Examination in progress | 2,015 |
Maximum [Member] | Foreign Tax Authority [Member] | France [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Examination in progress | 2,012 |
Maximum [Member] | Foreign Tax Authority [Member] | United Kingdom [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Maximum [Member] | Foreign Tax Authority [Member] | Philippines [Member] | |
Income Tax Examination [Line Items] | |
Examinations not yet initiated | 2,016 |
Examination in progress | 2,014 |
Income Taxes - Summary of Infor
Income Taxes - Summary of Information Related to Interest and Penalties on Uncertain Tax Positions (Detail) - USD ($) $ in Millions | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Interest expense (income) | $ 0.3 | $ 0.2 | |
Accrued interest payable | $ 0.8 | $ 0.5 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Restricted Stock Units (RSU) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Increase in shares available to be awarded under LTIP | 1,840,000 | |
The vesting graded scale | The RSUs vest on the passage of time, generally on a graded scale over a three, four, and five-year period, or in certain instances the RSUs were issued with five year cliff vesting. | |
Performance Share Awards (PSAs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Cumulative performance targets | 2 years | |
Additional service period | 1 year | |
Grants under performance share awards | 163,274 | 199,693 |
Stock Only Stock Appreciation Rights (SOSARs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period of stock | 3 years | |
Vesting term | 10 years |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of RSU and PSA Activity (Detail) - Restricted Stock Units (RSU) and Performance Share Awards (PSAs) [Member] - shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning Balance | 679,038 | 674,523 |
Granted | 364,748 | 295,654 |
Forfeited | (91,449) | (143,209) |
Shares delivered | (24,052) | (149,475) |
Ending Balance | 928,285 | 677,493 |
Stock-Based Compensation - Comp
Stock-Based Compensation - Compensation Expense for Periods (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Restricted Stock Units (RSU) and Performance Share Awards (PSAs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation expense | $ 1,049 | $ 935 | $ 2,088 | $ 1,402 |
Stock Only Stock Appreciation Rights (SOSARs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Compensation expense | $ 259 | $ 669 | $ 868 | $ 1,401 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Information Related to Outstanding SOSARS (Detail) - Stock Only Stock Appreciation Rights (SOSARs) [Member] - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Beginning Balance, Outstanding | 2,736,616 | 2,199,742 |
Granted | 743,925 | |
Exercised | (33,050) | (53,190) |
Canceled / forfeited | (17,630) | (108,945) |
Ending Balance, Outstanding | 2,685,936 | 2,781,532 |
Beginning Balance, Weighted Average Exercise Price, Outstanding | $ 17.64 | $ 17.82 |
Weighted Average Exercise Price, Granted | 17.54 | |
Weighted Average Exercise Price, Exercised | 14.65 | 9.91 |
Weighted Average Exercise Price, Canceled / forfeited | 18.46 | 21.81 |
Ending Balance, Weighted Average Exercise Price, Outstanding | $ 17.67 | 17.74 |
Weighted average grant date fair value per share | $ 4.07 | |
Aggregate grant date fair value | $ 3,013 | |
Black-Scholes assumptions | ||
Dividend yield | 2.85% | |
Risk free rate of return | 1.34% | |
Volatility | 31.97% | |
Expected life | 6 years |
Retirement Plans and Other Po46
Retirement Plans and Other Post-Retirement Benefits - Schedule of Net Periodic Costs of Pension and Post Retirement Medical Benefit Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Pension Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 2,649 | $ 2,510 | $ 5,370 | $ 5,240 |
Interest cost | 5,989 | 6,153 | 11,896 | 12,240 |
Expected return on plan assets | (10,666) | (11,275) | (21,497) | (22,661) |
Amortization of prior service cost/(credit) | 708 | 675 | 1,412 | 1,349 |
Amortization of unrecognized/actuarial loss (gain) | 3,311 | 3,533 | 6,133 | 6,587 |
Total net periodic benefit cost | 1,991 | 1,596 | 3,314 | 2,755 |
Other Benefits [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 284 | 250 | 579 | 573 |
Interest cost | 513 | 456 | 998 | 996 |
Amortization of prior service cost/(credit) | (46) | (46) | (91) | (91) |
Amortization of unrecognized/actuarial loss (gain) | (46) | (327) | (189) | (378) |
Total net periodic benefit cost | $ 705 | $ 333 | $ 1,297 | $ 1,100 |
Inventories - Inventories, Net
Inventories - Inventories, Net of Reserves (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 71,723 | $ 66,359 |
In-process and finished | 117,385 | 112,507 |
Supplies | 72,613 | 70,803 |
Total | $ 261,721 | $ 249,669 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 444,142 | $ 375,161 |
Less current portion | (10,400) | (8,961) |
Unamortized deferred issuance costs | (2,248) | (2,553) |
Long-term debt, net of current portion | 431,494 | 363,647 |
Revolving Credit Facility, Due Mar. 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 130,000 | 61,595 |
5.375% Notes, Due Oct. 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 250,000 | 250,000 |
Long-term debt, net of current portion | 250,000 | 250,000 |
2.40% Term Loan, Due Jun. 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 8,151 | 8,282 |
2.05% Term Loan, Due Mar. 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 35,023 | 35,163 |
1.30% Term Loan, Due Jun. 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 9,781 | 9,788 |
1.55% Term Loan, Due Sep. 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 11,187 | $ 10,333 |
Long-Term Debt - Summary of L49
Long-Term Debt - Summary of Long-Term Debt (Parenthetical) (Detail) | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
5.375% Notes, Due Oct. 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Oct. 31, 2020 | |
Interest rate on debt | 5.375% | 5.375% |
2.40% Term Loan, Due Jun. 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Jun. 30, 2022 | |
Interest rate on debt | 2.40% | 2.40% |
2.05% Term Loan, Due Mar. 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Mar. 31, 2023 | |
Interest rate on debt | 2.05% | 2.05% |
1.30% Term Loan, Due Jun. 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Jun. 30, 2023 | |
Interest rate on debt | 1.30% | 1.30% |
1.55% Term Loan, Due Sep. 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Sep. 30, 2025 | |
Interest rate on debt | 1.55% | 1.55% |
Revolving Credit Facility, Due Mar. 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt, maturity date | Mar. 31, 2020 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) | 6 Months Ended | |||
Jun. 30, 2017 | Dec. 31, 2016 | Mar. 12, 2015 | Oct. 03, 2012 | |
Debt Instrument [Line Items] | ||||
Debt instrument covenant compliance leverage ratio, threshold | 3.5 | |||
Debt instrument covenant compliance leverage ratio, actual | 2.6 | |||
5.375% Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt, maturity date | Oct. 15, 2020 | |||
Aggregate principal amount | $ 250,000,000 | |||
Interest rate on debt | 5.375% | 5.375% | ||
Frequency of interest payable | Semiannually | |||
Debt instrument redemption | The 5.375% Notes are redeemable, in whole or in part, at any time on or after October 15, 2016 at the redemption prices specified in the applicable Indenture. | |||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 400,000,000 | |||
Long-term debt, maturity date | Mar. 12, 2020 | |||
Federal fund rate spread | 1.00% | |||
Revolving Credit Facility [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Federal fund rate spread | 0.125% | |||
Revolving Credit Facility [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Federal fund rate spread | 1.00% | |||
Revolving Credit Facility [Member] | Federal Funds Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Federal fund rate spread | 0.50% | |||
Revolving Credit Facility [Member] | Daily Euro Rate [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Federal fund rate spread | 1.125% | |||
Revolving Credit Facility [Member] | Daily Euro Rate [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Federal fund rate spread | 2.00% | |||
Letters of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letters of credit issued | $ 5,200,000 | $ 5,100,000 | ||
Letters of credit outstanding | $ 0 |
Long-Term Debt - Summary of Deb
Long-Term Debt - Summary of Debts Borrowed by Subsidiary (Detail) - IKB Deutsche Industriebank AG Borrowing Agreements [Member] - Glatfelter Gernsbach GmbH and Co KG [Member] - IKB Deutsche Industriebank AG Member - EUR (€) € in Thousands | May 04, 2016 | Apr. 26, 2016 | Oct. 10, 2015 | Sep. 04, 2014 | Apr. 11, 2013 |
Debt Instrument [Line Items] | |||||
Original Principal | € 7,195 | € 10,000 | € 2,608 | € 10,000 | € 42,700 |
Interest Rate | 1.55% | 1.30% | 1.55% | 2.40% | 2.05% |
Maturity | Sep. 30, 2025 | Jun. 30, 2023 | Sep. 30, 2025 | Jun. 30, 2022 | Mar. 31, 2023 |
Fair Value of Financial Instr52
Fair Value of Financial Instruments - Carrying Value and Fair Value of Long-Term Debt (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | $ 444,142 | $ 375,161 |
Fair Value | 451,357 | 384,268 |
Revolving Credit Facility Due Mar. 2020 And Nov. 2016 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 130,000 | 61,595 |
Fair Value | 130,000 | 61,595 |
5.375% Notes, Due Oct. 2020 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 250,000 | 250,000 |
Fair Value | 256,623 | 256,563 |
2.40% Term Loan, Due Jun. 2022 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 8,151 | 8,282 |
Fair Value | 8,349 | 8,877 |
2.05% Term Loan, Due Mar. 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 35,023 | 35,163 |
Fair Value | 35,570 | 37,089 |
1.30% Term Loan, Due Jun. 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 9,781 | 9,788 |
Fair Value | 9,712 | 10,062 |
1.55% Term Loan, Due Sep. 2025 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Carrying Value | 11,187 | 10,333 |
Fair Value | $ 11,103 | $ 10,082 |
Fair Value of Financial Instr53
Fair Value of Financial Instruments - Carrying Value and Fair Value of Long-Term Debt (Parenthetical) (Detail) | Jun. 30, 2017 | Dec. 31, 2016 |
2.40% Term Loan, Due Jun. 2022 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Percent on aggregate principal amount of outstanding | 2.40% | 2.40% |
2.05% Term Loan, Due Mar. 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Percent on aggregate principal amount of outstanding | 2.05% | 2.05% |
1.30% Term Loan, Due Jun. 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Percent on aggregate principal amount of outstanding | 1.30% | 1.30% |
1.55% Term Loan, Due Sep. 2025 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Percent on aggregate principal amount of outstanding | 1.55% | 1.55% |
Fair Value of Financial Instr54
Fair Value of Financial Instruments - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amount of fixed rate debt | $ 431,494 | $ 363,647 |
5.375% Notes, Due Oct. 2020 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Amount of fixed rate debt | $ 250,000 | $ 250,000 |
Interest rate on debt | 5.375% | 5.375% |
Financial Derivatives and Hed55
Financial Derivatives and Hedging Activities - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2017 | |
Maximum [Member] | Fair Value, Measurements [Member] | |
Derivative [Line Items] | |
Accumulated other comprehensive income realization period | 18 months |
Minimum [Member] | Fair Value, Measurements [Member] | |
Derivative [Line Items] | |
Accumulated other comprehensive income realization period | 12 months |
Designated as Hedging [Member] | Cash Flow Hedges [Member] | Maximum [Member] | |
Derivative [Line Items] | |
Maturities of foreign currency derivative contracts | 18 months |
Designated as Hedging [Member] | Cash Flow Hedges [Member] | Minimum [Member] | |
Derivative [Line Items] | |
Maturities of foreign currency derivative contracts | 1 month |
Not Designated as Hedging [Member] | |
Derivative [Line Items] | |
Maturities of foreign currency derivative contracts | 1 month |
Financial Derivatives and Hed56
Financial Derivatives and Hedging Activities - Outstanding Derivatives Used to Hedge Foreign Exchange Risks (Detail) | Jun. 30, 2017USD ($) | Jun. 30, 2017EUR (€) | Jun. 30, 2017PHP | Jun. 30, 2017CAD | Jun. 30, 2017GBP (£) | Dec. 31, 2016USD ($) | Dec. 31, 2016EUR (€) | Dec. 31, 2016PHP | Dec. 31, 2016CAD | Dec. 31, 2016GBP (£) |
Cash Flow Hedges [Member] | Philippine Peso / British Pound [Member] | Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | PHP | PHP 22,856,000 | |||||||||
Cash Flow Hedges [Member] | Euro / British Pound [Member] | Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | € | € 11,921,000 | € 10,373,000 | ||||||||
Cash Flow Hedges [Member] | Philippine Peso / Euro [Member] | Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | PHP | 11,072,000 | |||||||||
Cash Flow Hedges [Member] | Euro / Philippine Peso [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | PHP | 879,929,000 | PHP 699,279,000 | ||||||||
Cash Flow Hedges [Member] | U.S Dollar / Euro [Member] | Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | $ | $ 2,190,000 | |||||||||
Cash Flow Hedges [Member] | U.S Dollar / Euro [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | € | 9,025,000 | 15,379,000 | ||||||||
Cash Flow Hedges [Member] | British Pound / Philippine Peso [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | PHP | PHP 652,206,000 | PHP 557,025,000 | ||||||||
Cash Flow Hedges [Member] | Euro / U.S. Dollar [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | $ | 56,538,000 | $ 43,951,000 | ||||||||
Cash Flow Hedges [Member] | U.S. Dollar / Canadian Dollar [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | CAD | CAD 33,841,000 | CAD 35,290,000 | ||||||||
Cash Flow Hedges [Member] | British Pound / Euro [Member] | Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | € | 403,000 | |||||||||
Foreign Currency Hedges [Member] | Euro / U.S. Dollar [Member] | Not Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | $ | 7,500,000 | 3,500,000 | ||||||||
Foreign Currency Hedges [Member] | British Pound / Euro [Member] | Not Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | £ | £ 2,500,000 | £ 2,500,000 | ||||||||
Foreign Currency Hedges [Member] | British Pound / Euro [Member] | Not Designated as Hedging [Member] | Buy Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | € | € 12,000,000 | € 18,500,000 | ||||||||
Foreign Currency Hedges [Member] | U.S. Dollar / British Pound [Member] | Not Designated as Hedging [Member] | Sell Notional [Member] | ||||||||||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||||||||||
Derivative notional amount | $ | $ 13,500,000 | $ 10,500,000 |
Financial Derivatives and Hed57
Financial Derivatives and Hedging Activities - Fair Values of Derivative Instruments (Detail) - Forward Foreign Currency Exchange Contracts [Member] - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Designated as Hedging [Member] | Prepaid Expenses and Other Current Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | $ 633 | $ 2,625 |
Designated as Hedging [Member] | Other Current Liabilities [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative liability, fair value | 4,166 | 1,493 |
Not Designated as Hedging [Member] | Prepaid Expenses and Other Current Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative asset, fair value | 259 | 60 |
Not Designated as Hedging [Member] | Other Current Liabilities [Member] | ||
Derivatives Fair Value [Line Items] | ||
Derivative liability, fair value | $ 88 | $ 104 |
Financial Derivatives and Hed58
Financial Derivatives and Hedging Activities - Income or (Loss) from Derivative Instruments Recognized in Results of Operations (Detail) - Forward Foreign Currency Exchange Contracts [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Costs of Products Sold [Member] | Designated as Hedging [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Effective portion of derivative instruments, gain (loss) | $ 785 | $ (215) | $ 1,716 | $ 83 |
Other - Net [Member] | Designated as Hedging [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Ineffective portion of derivative instruments, gain (loss) | 36 | 73 | 86 | (330) |
Other - Net [Member] | Not Designated as Hedging [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Derivative instruments, gain (loss) | $ 370 | $ 475 | $ 391 | $ 1,064 |
Financial Derivatives and Hed59
Financial Derivatives and Hedging Activities - Fair Value Amounts Recorded as Component of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Balance at January 1, | $ 1,882 | $ (178) |
Deferred (losses) gains on cash flow hedges | (4,801) | 1,294 |
Reclassified to earnings | (1,716) | (83) |
Balance at June 30, | $ (4,635) | $ 1,033 |
Commitments, Contingencies an60
Commitments, Contingencies and Legal Proceedings - Additional Information (Detail) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017USD ($)Operable_Unit | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Commitments Contingencies And Litigation [Line Items] | |||
Number of operable units | Operable_Unit | 5 | ||
Reserve for Environmental liabilities, current portion | $ 29,500 | $ 25,000 | |
Other Long-Term Liabilities [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Reserve for Environmental liabilities, remaining portion | 23,200 | ||
NCR/Appvion Consent Decree [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Contribution payment towards remedial action and natural resource damages | 65,000 | ||
Anticipated cost to complete work for remaining site remedy | 200,000 | ||
Expected payments for governments unreimbursed past costs which are under dispute | $ 34,000 | ||
Minimum [Member] | December 2009 - Long Term Monitoring Plan [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Period over which cash expenditure to be incurred for monitoring activities | 30 years | ||
Maximum [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Estimated cost related to Fox River matter | $ 150,000 | ||
Maximum [Member] | NCR/Appvion Consent Decree [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Estimated cost related to Fox River matter | 30,000 | ||
Georgia Pacific [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Settlement payable amount | $ 9,500 | ||
Payment due date | 2017-08 | ||
GLT, GP and NCR [Member] | Minimum [Member] | NCR/Appvion Consent Decree [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Contribution payment towards remedial action and natural resource damages | $ 1,000,000 | ||
OU2-5 [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
Estimated future cost of cleanup work | $ 13,400 | $ 13,400 | |
Expected cleanup work continuation year | through 2,018 | ||
NCR costs and damages percentage | 100.00% | ||
OU2-5 [Member] | Whiting Litigation [Member] | |||
Commitments Contingencies And Litigation [Line Items] | |||
NCR costs and damages percentage | 100.00% |
Commitments, Contingencies an61
Commitments, Contingencies and Legal Proceedings - Schedule of Reserves (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Environmental Remediation Obligations [Abstract] | ||
Beginning balance | $ 52,788 | $ 17,105 |
Payments | (128) | (1,189) |
Ending balance | $ 52,660 | $ 15,916 |
Segment Information - Schedule
Segment Information - Schedule of Financial and Other Information by Business Unit (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017USD ($)T | Jun. 30, 2016USD ($)T | Jun. 30, 2017USD ($)T | Jun. 30, 2016USD ($)T | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 387,342 | $ 406,413 | $ 778,055 | $ 808,631 |
Energy and related sales, net | 981 | 2,001 | 2,110 | 2,667 |
Total revenues | 388,323 | 408,414 | 780,165 | 811,298 |
Cost of products sold | 357,887 | 365,691 | 692,800 | 710,732 |
Gross profit | 30,436 | 42,723 | 87,365 | 100,566 |
SG&A | 31,999 | 37,191 | 67,085 | 69,049 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (58) | 2 | (26) | 26 |
Operating income (loss) | (1,505) | 5,530 | 20,306 | 31,491 |
Non-operating expense | (4,580) | (3,575) | (8,754) | (8,300) |
(Loss) income before income taxes | $ (6,085) | $ 1,955 | $ 11,552 | $ 23,191 |
Supplementary Data | ||||
Net tons sold | T | 251,500 | 259,700 | 512,400 | 527,000 |
Depreciation, depletion and amortization | $ 17,700 | $ 16,800 | $ 34,967 | $ 33,411 |
Capital expenditures | 34,300 | 37,100 | 71,000 | 80,400 |
Composite Fibers [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 133,100 | 136,400 | 258,200 | 259,900 |
Total revenues | 133,100 | 136,400 | 258,200 | 259,900 |
Cost of products sold | 107,600 | 109,000 | 207,200 | 210,300 |
Gross profit | 25,500 | 27,400 | 51,000 | 49,600 |
SG&A | 10,800 | 12,100 | 21,900 | 23,200 |
Operating income (loss) | 14,700 | 15,300 | 29,100 | 26,400 |
(Loss) income before income taxes | $ 14,700 | $ 15,300 | $ 29,100 | $ 26,400 |
Supplementary Data | ||||
Net tons sold | T | 41,900 | 40,700 | 80,700 | 77,600 |
Depreciation, depletion and amortization | $ 7,000 | $ 7,200 | $ 13,800 | $ 14,300 |
Capital expenditures | 2,100 | 2,300 | 6,800 | 8,600 |
Advanced Airlaid Materials [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 62,800 | 60,800 | 122,700 | 121,500 |
Total revenues | 62,800 | 60,800 | 122,700 | 121,500 |
Cost of products sold | 53,000 | 51,800 | 103,500 | 104,100 |
Gross profit | 9,800 | 9,000 | 19,200 | 17,400 |
SG&A | 2,300 | 2,200 | 4,600 | 4,200 |
Operating income (loss) | 7,500 | 6,800 | 14,600 | 13,200 |
(Loss) income before income taxes | $ 7,500 | $ 6,800 | $ 14,600 | $ 13,200 |
Supplementary Data | ||||
Net tons sold | T | 25,500 | 24,400 | 50,300 | 48,900 |
Depreciation, depletion and amortization | $ 2,300 | $ 2,400 | $ 4,600 | $ 4,700 |
Capital expenditures | 12,900 | 6,100 | 23,500 | 20,700 |
Specialty Papers [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 191,400 | 209,300 | 397,100 | 427,200 |
Energy and related sales, net | 1,000 | 2,000 | 2,100 | 2,700 |
Total revenues | 192,400 | 211,300 | 399,200 | 429,900 |
Cost of products sold | 195,900 | 202,900 | 376,000 | 394,000 |
Gross profit | (3,500) | 8,400 | 23,200 | 35,900 |
SG&A | 10,300 | 14,200 | 23,800 | 26,600 |
Operating income (loss) | (13,800) | (5,800) | (600) | 9,300 |
(Loss) income before income taxes | $ (13,800) | $ (5,800) | $ (600) | $ 9,300 |
Supplementary Data | ||||
Net tons sold | T | 184,100 | 194,700 | 381,400 | 400,500 |
Depreciation, depletion and amortization | $ 7,700 | $ 6,500 | $ 14,900 | $ 13,200 |
Capital expenditures | 15,800 | 28,700 | 34,000 | 50,800 |
Other and Unallocated [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Cost of products sold | 1,400 | 2,000 | 6,100 | 2,300 |
Gross profit | (1,400) | (2,000) | (6,100) | (2,300) |
SG&A | 8,600 | 8,700 | 16,800 | 15,000 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (100) | |||
Operating income (loss) | (9,900) | (10,700) | (22,900) | (17,300) |
Non-operating expense | (4,600) | (3,600) | (8,800) | (8,300) |
(Loss) income before income taxes | (14,500) | (14,300) | (31,700) | (25,600) |
Supplementary Data | ||||
Depreciation, depletion and amortization | 700 | $ 700 | 1,700 | 1,200 |
Capital expenditures | $ 3,500 | $ 6,700 | $ 300 |
Condensed Consolidating Finan63
Condensed Consolidating Financial Statements - Additional Information (Detail) | Jun. 30, 2017 | Oct. 03, 2012 |
PHG Tea Leaves, Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage owned in domestic subsidiaries | 100.00% | |
Mollanvick, Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage owned in domestic subsidiaries | 100.00% | |
Glatfelter Holdings, LLC [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage owned in domestic subsidiaries | 100.00% | |
Glatfelter Composite Fibers N. A., Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage owned in domestic subsidiaries | 100.00% | |
Glatfelter Advanced Materials N.A., Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percentage owned in domestic subsidiaries | 100.00% | |
5.375% Notes [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Percent on aggregate principal amount of outstanding | 5.375% | 5.375% |
Condensed Consolidating Finan64
Condensed Consolidating Financial Statements - Condensed Consolidating Statement of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | $ 387,342 | $ 406,413 | $ 778,055 | $ 808,631 |
Energy and related sales, net | 981 | 2,001 | 2,110 | 2,667 |
Total revenues | 388,323 | 408,414 | 780,165 | 811,298 |
Costs of products sold | 357,887 | 365,691 | 692,800 | 710,732 |
Gross profit | 30,436 | 42,723 | 87,365 | 100,566 |
Selling, general and administrative expenses | 31,999 | 37,191 | 67,085 | 69,049 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (58) | 2 | (26) | 26 |
Operating income (loss) | (1,505) | 5,530 | 20,306 | 31,491 |
Other non-operating income (expense) | ||||
Interest expense | (4,476) | (3,953) | (8,484) | (8,069) |
Interest income | 45 | 61 | 158 | 152 |
Other, net | (149) | 317 | (428) | (383) |
Total non-operating expense | (4,580) | (3,575) | (8,754) | (8,300) |
(Loss) income before income taxes | (6,085) | 1,955 | 11,552 | 23,191 |
Income tax provision (benefit) | (371) | (10) | 5,663 | 5,058 |
Net income (loss) | (5,714) | 1,965 | 5,889 | 18,133 |
Other comprehensive income | 26,332 | (11,539) | 33,525 | 4,203 |
Comprehensive income (loss) | 20,618 | (9,574) | 39,414 | 22,336 |
Parent Company [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 191,370 | 209,269 | 397,141 | 427,157 |
Energy and related sales, net | 981 | 2,001 | 2,110 | 2,667 |
Total revenues | 192,351 | 211,270 | 399,251 | 429,824 |
Costs of products sold | 195,444 | 204,495 | 379,390 | 396,454 |
Gross profit | (3,093) | 6,775 | 19,861 | 33,370 |
Selling, general and administrative expenses | 16,875 | 22,622 | 37,246 | 41,067 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | 16 | 2 | 48 | 4 |
Operating income (loss) | (19,984) | (15,849) | (17,433) | (7,701) |
Other non-operating income (expense) | ||||
Interest expense | (5,182) | (4,289) | (9,843) | (8,704) |
Interest income | 142 | 169 | 291 | 350 |
Equity in earnings of subsidiaries | 18,801 | 16,385 | 32,418 | 29,257 |
Other, net | 534 | (575) | 1,027 | (1,117) |
Total non-operating expense | 14,295 | 11,690 | 23,893 | 19,786 |
(Loss) income before income taxes | (5,689) | (4,159) | 6,460 | 12,085 |
Income tax provision (benefit) | 25 | (6,124) | 571 | (6,048) |
Net income (loss) | (5,714) | 1,965 | 5,889 | 18,133 |
Other comprehensive income | 26,332 | (11,539) | 33,525 | 4,203 |
Comprehensive income (loss) | 20,618 | (9,574) | 39,414 | 22,336 |
Guarantors [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 23,052 | 17,561 | 42,585 | 36,207 |
Total revenues | 23,052 | 17,561 | 42,585 | 36,207 |
Costs of products sold | 22,047 | 16,711 | 40,633 | 34,761 |
Gross profit | 1,005 | 850 | 1,952 | 1,446 |
Selling, general and administrative expenses | 236 | (36) | 310 | (221) |
(Gains) losses on dispositions of plant, equipment and timberlands, net | (74) | (74) | ||
Operating income (loss) | 843 | 886 | 1,716 | 1,667 |
Other non-operating income (expense) | ||||
Interest expense | (206) | (319) | ||
Interest income | 1,237 | 1,001 | 2,398 | 1,993 |
Equity in earnings of subsidiaries | 19,249 | 16,071 | 33,101 | 27,825 |
Other, net | (2,319) | (1,421) | (4,525) | (1,401) |
Total non-operating expense | 17,961 | 15,651 | 30,655 | 28,417 |
(Loss) income before income taxes | 18,804 | 16,537 | 32,371 | 30,084 |
Income tax provision (benefit) | 3 | 152 | (47) | 827 |
Net income (loss) | 18,801 | 16,385 | 32,418 | 29,257 |
Other comprehensive income | 23,964 | (13,937) | 29,066 | (384) |
Comprehensive income (loss) | 42,765 | 2,448 | 61,484 | 28,873 |
Non Guarantors [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | 194,708 | 196,675 | 380,595 | 381,141 |
Total revenues | 194,708 | 196,675 | 380,595 | 381,141 |
Costs of products sold | 162,184 | 161,577 | 315,043 | 315,391 |
Gross profit | 32,524 | 35,098 | 65,552 | 65,750 |
Selling, general and administrative expenses | 14,888 | 14,605 | 29,529 | 28,203 |
(Gains) losses on dispositions of plant, equipment and timberlands, net | 22 | |||
Operating income (loss) | 17,636 | 20,493 | 36,023 | 37,525 |
Other non-operating income (expense) | ||||
Interest expense | (437) | (814) | (941) | (1,601) |
Interest income | 15 | 41 | 88 | 45 |
Other, net | 1,636 | 2,313 | 3,070 | 2,135 |
Total non-operating expense | 1,214 | 1,540 | 2,217 | 579 |
(Loss) income before income taxes | 18,850 | 22,033 | 38,240 | 38,104 |
Income tax provision (benefit) | (399) | 5,962 | 5,139 | 10,279 |
Net income (loss) | 19,249 | 16,071 | 33,101 | 27,825 |
Other comprehensive income | 23,371 | (13,490) | 28,385 | (373) |
Comprehensive income (loss) | 42,620 | 2,581 | 61,486 | 27,452 |
Adjustments/ Eliminations [Member] | ||||
Condensed Income Statements, Captions [Line Items] | ||||
Net sales | (21,788) | (17,092) | (42,266) | (35,874) |
Total revenues | (21,788) | (17,092) | (42,266) | (35,874) |
Costs of products sold | (21,788) | (17,092) | (42,266) | (35,874) |
Other non-operating income (expense) | ||||
Interest expense | 1,349 | 1,150 | 2,619 | 2,236 |
Interest income | (1,349) | (1,150) | (2,619) | (2,236) |
Equity in earnings of subsidiaries | (38,050) | (32,456) | (65,519) | (57,082) |
Total non-operating expense | (38,050) | (32,456) | (65,519) | (57,082) |
(Loss) income before income taxes | (38,050) | (32,456) | (65,519) | (57,082) |
Net income (loss) | (38,050) | (32,456) | (65,519) | (57,082) |
Other comprehensive income | (47,335) | 27,427 | (57,451) | 757 |
Comprehensive income (loss) | $ (85,385) | $ (5,029) | $ (122,970) | $ (56,325) |
Condensed Consolidating Finan65
Condensed Consolidating Financial Statements - Condensed Consolidating Balance Sheet (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Assets | ||||
Cash and cash equivalents | $ 69,442 | $ 55,444 | $ 58,532 | $ 105,304 |
Other current assets | 470,767 | 438,815 | ||
Plant, equipment and timberlands, net | 838,007 | 775,898 | ||
Other assets | 263,565 | 251,102 | ||
Total assets | 1,641,781 | 1,521,259 | ||
Liabilities and Shareholders' Equity | ||||
Current liabilities | 339,764 | 323,011 | ||
Long-term debt | 431,494 | 363,647 | ||
Deferred income taxes | 60,715 | 54,995 | ||
Other long-term liabilities | 124,776 | 125,780 | ||
Total liabilities | 956,749 | 867,433 | ||
Shareholders’ equity | 685,032 | 653,826 | ||
Total liabilities and shareholders’ equity | 1,641,781 | 1,521,259 | ||
Parent Company [Member] | ||||
Assets | ||||
Cash and cash equivalents | 8,587 | 5,082 | 6,512 | 59,130 |
Other current assets | 219,123 | 206,002 | ||
Plant, equipment and timberlands, net | 384,846 | 360,521 | ||
Investments in subsidiaries | 851,050 | 789,565 | ||
Other assets | 127,334 | 123,010 | ||
Total assets | 1,590,940 | 1,484,180 | ||
Liabilities and Shareholders' Equity | ||||
Current liabilities | 447,573 | 426,628 | ||
Long-term debt | 338,991 | 283,686 | ||
Deferred income taxes | 13,083 | 10,221 | ||
Other long-term liabilities | 106,263 | 109,819 | ||
Total liabilities | 905,910 | 830,354 | ||
Shareholders’ equity | 685,030 | 653,826 | ||
Total liabilities and shareholders’ equity | 1,590,940 | 1,484,180 | ||
Guarantors [Member] | ||||
Assets | ||||
Cash and cash equivalents | 3,080 | 1,461 | 2,545 | 465 |
Other current assets | 278,908 | 256,289 | ||
Plant, equipment and timberlands, net | 58,075 | 31,455 | ||
Investments in subsidiaries | 601,864 | 540,029 | ||
Total assets | 941,927 | 829,234 | ||
Liabilities and Shareholders' Equity | ||||
Current liabilities | 52,294 | 26,085 | ||
Long-term debt | 39,000 | 14,000 | ||
Deferred income taxes | (729) | (729) | ||
Other long-term liabilities | 312 | 313 | ||
Total liabilities | 90,877 | 39,669 | ||
Shareholders’ equity | 851,050 | 789,565 | ||
Total liabilities and shareholders’ equity | 941,927 | 829,234 | ||
Non Guarantors [Member] | ||||
Assets | ||||
Cash and cash equivalents | 57,775 | 48,901 | $ 49,475 | $ 45,709 |
Other current assets | 277,622 | 242,187 | ||
Plant, equipment and timberlands, net | 395,086 | 383,922 | ||
Other assets | 136,231 | 128,092 | ||
Total assets | 866,714 | 803,102 | ||
Liabilities and Shareholders' Equity | ||||
Current liabilities | 144,785 | 135,961 | ||
Long-term debt | 53,503 | 65,961 | ||
Deferred income taxes | 48,361 | 45,503 | ||
Other long-term liabilities | 18,201 | 15,648 | ||
Total liabilities | 264,850 | 263,073 | ||
Shareholders’ equity | 601,864 | 540,029 | ||
Total liabilities and shareholders’ equity | 866,714 | 803,102 | ||
Adjustments/ Eliminations [Member] | ||||
Assets | ||||
Other current assets | (304,886) | (265,663) | ||
Investments in subsidiaries | (1,452,914) | (1,329,594) | ||
Total assets | (1,757,800) | (1,595,257) | ||
Liabilities and Shareholders' Equity | ||||
Current liabilities | (304,888) | (265,663) | ||
Total liabilities | (304,888) | (265,663) | ||
Shareholders’ equity | (1,452,912) | (1,329,594) | ||
Total liabilities and shareholders’ equity | $ (1,757,800) | $ (1,595,257) |
Condensed Consolidating Finan66
Condensed Consolidating Financial Statements - Condensed Consolidating Statement of Cash Flows (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Condensed Cash Flow Statements, Captions [Line Items] | ||
Net cash provided (used) by Operating activities | $ 28,764 | $ 36,640 |
Investing activities | ||
Expenditures for purchases of plant, equipment and timberlands | (71,047) | (80,391) |
Proceeds from disposals of plant, equipment and timberlands, net | 83 | 53 |
Other | (300) | |
Net cash used by investing activities | (70,964) | (80,638) |
Financing activities | ||
Net long-term borrowings | 63,708 | 4,222 |
Payments of borrowing costs | (136) | |
Payments of dividends | (11,130) | (10,679) |
Proceeds from government grants | 4,443 | |
Payments related to share-based compensation awards and other | (112) | (976) |
Net cash provided (used) by financing activities | 52,466 | (3,126) |
Effect of exchange rate on cash | 3,732 | 352 |
Net increase (decrease) in cash and cash equivalents | 13,998 | (46,772) |
Cash and cash equivalents at the beginning of period | 55,444 | 105,304 |
Cash and cash equivalents at the end of period | 69,442 | 58,532 |
Parent Company [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Net cash provided (used) by Operating activities | (12,072) | 17,067 |
Investing activities | ||
Expenditures for purchases of plant, equipment and timberlands | (40,739) | (51,043) |
Proceeds from disposals of plant, equipment and timberlands, net | 8 | 41 |
Intercompany capital (contributed) returned | (17,000) | |
Other | (300) | |
Net cash used by investing activities | (40,731) | (68,302) |
Financing activities | ||
Net long-term borrowings | 55,000 | |
Payments of borrowing costs | (51) | |
Payments of dividends | (11,130) | (10,679) |
Borrowings of intercompany loans | 12,550 | 7,880 |
Proceeds from government grants | 2,443 | |
Payments related to share-based compensation awards and other | (112) | (976) |
Net cash provided (used) by financing activities | 56,308 | (1,383) |
Net increase (decrease) in cash and cash equivalents | 3,505 | (52,618) |
Cash and cash equivalents at the beginning of period | 5,082 | 59,130 |
Cash and cash equivalents at the end of period | 8,587 | 6,512 |
Guarantors [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Net cash provided (used) by Operating activities | (1,085) | 2,821 |
Investing activities | ||
Expenditures for purchases of plant, equipment and timberlands | (21,421) | (18,861) |
Proceeds from disposals of plant, equipment and timberlands, net | 75 | |
Repayments from intercompany loans | 12,000 | 7,500 |
Advances of intercompany loans | (12,550) | (7,880) |
Intercompany capital (contributed) returned | (400) | (500) |
Net cash used by investing activities | (22,296) | (19,741) |
Financing activities | ||
Net long-term borrowings | 25,000 | |
Intercompany capital (returned) received | 17,000 | |
Proceeds from government grants | 2,000 | |
Net cash provided (used) by financing activities | 25,000 | 19,000 |
Net increase (decrease) in cash and cash equivalents | 1,619 | 2,080 |
Cash and cash equivalents at the beginning of period | 1,461 | 465 |
Cash and cash equivalents at the end of period | 3,080 | 2,545 |
Non Guarantors [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Net cash provided (used) by Operating activities | 42,606 | 16,752 |
Investing activities | ||
Expenditures for purchases of plant, equipment and timberlands | (8,887) | (10,487) |
Proceeds from disposals of plant, equipment and timberlands, net | 12 | |
Net cash used by investing activities | (8,887) | (10,475) |
Financing activities | ||
Net long-term borrowings | (16,292) | 4,222 |
Payments of borrowing costs | (85) | |
Repayments of intercompany loans | (12,000) | (7,500) |
Intercompany capital (returned) received | 400 | 500 |
Payment of intercompany dividend | (685) | |
Net cash provided (used) by financing activities | (28,577) | (2,863) |
Effect of exchange rate on cash | 3,732 | 352 |
Net increase (decrease) in cash and cash equivalents | 8,874 | 3,766 |
Cash and cash equivalents at the beginning of period | 48,901 | 45,709 |
Cash and cash equivalents at the end of period | 57,775 | 49,475 |
Adjustments/ Eliminations [Member] | ||
Condensed Cash Flow Statements, Captions [Line Items] | ||
Net cash provided (used) by Operating activities | (685) | |
Investing activities | ||
Repayments from intercompany loans | (12,000) | (7,500) |
Advances of intercompany loans | 12,550 | 7,880 |
Intercompany capital (contributed) returned | 400 | 17,500 |
Net cash used by investing activities | 950 | 17,880 |
Financing activities | ||
Repayments of intercompany loans | 12,000 | 7,500 |
Borrowings of intercompany loans | (12,550) | (7,880) |
Intercompany capital (returned) received | (400) | (17,500) |
Payment of intercompany dividend | 685 | |
Net cash provided (used) by financing activities | $ (265) | $ (17,880) |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - Subsequent Event [Member] - Specialty Papers [Member] $ in Millions | Jul. 27, 2017USD ($)PositionMachineT |
Subsequent Event [Line Items] | |
Business capacity reduction | T | 80,000 |
Business capacity reduction in percentage | 10.00% |
Expected to absorbed by remaining paper machines | Machine | 7 |
Restructuring and related cost expected to annual net profitability | $ 9 |
Minimum [Member] | |
Subsequent Event [Line Items] | |
Restructuring and related cost, pre-tax charge to earnings | 8 |
Restructuring and related cost, estimated of non-cash charges | 5 |
Maximum [Member] | |
Subsequent Event [Line Items] | |
Restructuring and related cost, pre-tax charge to earnings | 9 |
Restructuring and related cost, estimated of non-cash charges | $ 6 |
Hourly Positions [Member] | |
Subsequent Event [Line Items] | |
Number of business unit positions eliminated | Position | 50 |
Salary Positions [Member] | |
Subsequent Event [Line Items] | |
Number of business unit positions eliminated | Position | 70 |