COVER PAGE
COVER PAGE - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 19, 2020 | Jun. 30, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity File Number | 0-16211 | ||
Entity Registrant Name | DENTSPLY SIRONA Inc. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 39-1434669 | ||
Entity Address, Address Line One | 13320 Ballantyne Corporate Place | ||
Entity Address, City or Town | Charlotte | ||
Entity Address, State or Province | NC | ||
Entity Address, Postal Zip Code | 28277-3607 | ||
City Area Code | 844 | ||
Local Phone Number | 848-0137 | ||
Title of 12(b) Security | Common Stock, par value $.01 per share | ||
Trading Symbol | XRAY | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 13,062,285,652 | ||
Entity Common Stock, Shares Outstanding | 221,438,967 | ||
Documents Incorporated by Reference | Certain portions of the definitive Proxy Statement of DENTSPLY SIRONA Inc. (the “Proxy Statement”) to be used in connection with the 2020 Annual Meeting of Stockholders are incorporated by reference into Part III of this Form 10-K to the extent provided herein. Except as specifically incorporated by reference herein the Proxy Statement is not deemed to be filed as part of this Form 10-K. | ||
Entity Central Index Key | 0000818479 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | |||
Total net sales | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Cost of products sold | 1,864.1 | 1,918.5 | 1,804.9 |
Gross profit | 2,165.1 | 2,067.8 | 2,188.5 |
Selling, general and administrative expenses | 1,723.5 | 1,719.1 | 1,674.7 |
Goodwill impairment | 0 | 1,085.8 | 1,650.9 |
Restructuring Costs | 80.7 | 221 | 425.2 |
Operating income (loss) | 360.9 | (958.1) | (1,562.3) |
Other income and expenses: | |||
Interest expense | 29.4 | 37.3 | 38.3 |
Interest income | (2.4) | (2.1) | (2.4) |
Other expense (income), net | (11.5) | (34.9) | 5.3 |
Income (loss) before income taxes | 345.4 | (958.4) | (1,603.5) |
Provision (benefit) for income taxes | 82.3 | 52.5 | (53.2) |
Net income (loss) | 263.1 | (1,010.9) | (1,550.3) |
Less: Net income (loss) attributable to noncontrolling interests | 0.2 | 0.1 | (0.3) |
Net income (loss) attributable to Dentsply Sirona | $ 262.9 | $ (1,011) | $ (1,550) |
Net income (loss) per common share attributable to Dentsply Sirona: | |||
Basic (in dollars per share) | $ 1.18 | $ (4.51) | $ (6.76) |
Diluted (in dollars per share) | $ 1.17 | $ (4.51) | $ (6.76) |
Weighted average common shares outstanding: | |||
Basic (in shares) | 223.1 | 224.3 | 229.4 |
Diluted (in shares) | 224.4 | 224.3 | 229.4 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net gain after tax | $ 263.1 | $ (1,010.9) | $ (1,550.3) |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments | (82.9) | (180) | 386.3 |
Net (loss) gain on derivative financial instruments | (0.5) | 29.4 | (20.2) |
Net unrealized holding gain on available-for-sale securities | 0 | (44.3) | 44.3 |
Pension liability adjustments | (36.9) | 7.4 | 4.6 |
Net (decrease) increase in other comprehensive income | (120.3) | (187.5) | 415 |
Total comprehensive income (loss) | 142.8 | (1,198.4) | (1,135.3) |
Less: Comprehensive income attributable to noncontrolling interests | 0.9 | 0.3 | 0 |
Comprehensive income (loss) attributable to Dentsply Sirona | $ 141.9 | $ (1,198.7) | $ (1,135.3) |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Current Assets: | ||
Cash and cash equivalents | $ 404.9 | $ 309.6 |
Accounts and notes receivable-trade, net | 782 | 701.9 |
Inventories, net | 561.7 | 598.9 |
Prepaid expenses and other current assets, net | 251.3 | 277.6 |
Total Current Assets | 1,999.9 | 1,888 |
Property, plant and equipment, net | 802.4 | 870.6 |
Operating lease right-of-use assets, net | 159.3 | |
Identifiable intangible assets, net | 2,176.3 | 2,420.3 |
Goodwill, net | 3,396.5 | 3,431.3 |
Other noncurrent assets, net | 68.5 | 76.8 |
Total Assets | 8,602.9 | 8,687 |
Current Liabilities: | ||
Accounts payable | 307.9 | 283.9 |
Accrued liabilities | 629.2 | 578.9 |
Income taxes payable | 56.1 | 58.1 |
Notes payable and current portion of long-term debt | 2.3 | 92.4 |
Total Current Liabilities | 995.5 | 1,013.3 |
Long-term debt | 1,433.1 | 1,564.9 |
Operating lease liabilities | 119.5 | |
Deferred income taxes | 479.6 | 552.8 |
Other noncurrent liabilities | 480.3 | 423 |
Total Liabilities | 3,508 | 3,554 |
Commitments and contingencies | 0 | 0 |
Equity: | ||
Preferred stock, $1.00 par value; 0.25 million shares authorized; no shares issued | 0 | 0 |
Common stock, $.01 par value; 400.0 million shares authorized at December 31, 2019 and 2018; 264.5 million shares issued at December 31, 2019 and 2018; 223.0 million and 223.0 million shares outstanding at December 31, 2019 and 2018 respectively | 2.6 | 2.6 |
Capital in excess of par value | 6,586.7 | 6,522.3 |
Retained earnings | 1,404.2 | 1,225.9 |
Accumulated other comprehensive loss | (599.7) | (478.7) |
Treasury stock, at cost, 43.2 million and 41.5 million shares at December 31, 2019 and 2018, respectively | (2,301.3) | (2,151) |
Total Dentsply Sirona Equity | 5,092.5 | 5,121.1 |
Noncontrolling interests | 2.4 | 11.9 |
Total Equity | 5,094.9 | 5,133 |
Total Liabilities and Equity | $ 8,602.9 | $ 8,687 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par or stated value per share (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 25,000,000 | 25,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par or stated value per share (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 |
Common stock, shares issued (in shares) | 264,500,000 | 264,500,000 |
Common stock, shares outstanding (in shares) | 221,300,000 | 223,000,000 |
Treasury stock, shares (in shares) | 43,200,000 | 41,500,000 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Total Dentsply Sirona Equity | Common Stock | Capital in Excess of Par Value | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Noncontrolling Interests |
Beginning Balance at Dec. 31, 2016 | $ 8,125.9 | $ 8,114.3 | $ 2.6 | $ 6,516.7 | $ 3,948 | $ (705.7) | $ (1,647.3) | $ 11.6 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net gain after tax | (1,550.3) | (1,550) | (1,550) | (0.3) | ||||
Other comprehensive (loss) income | 415 | 414.7 | 414.7 | 0.3 | ||||
Exercise of stock options | 81.9 | 81.9 | 6.9 | 75 | ||||
Stock based compensation expense | 48 | 48 | 48 | |||||
Funding of Employee Stock Ownership Plan | 6.6 | 6.6 | 3.3 | 3.3 | ||||
Treasury shares purchased | (400.3) | (400.3) | (400.3) | |||||
Restricted Stock Unit ("RSU") distributions | (18.7) | (18.7) | (32.6) | 13.9 | ||||
RSU dividends | 0.6 | (0.6) | ||||||
Cash dividends | (80.2) | (80.2) | (80.2) | |||||
Ending Balance at Dec. 31, 2017 | 6,627.9 | 6,616.3 | 2.6 | 6,543.9 | 2,316.2 | (291) | (1,955.4) | 11.6 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net gain after tax | (1,010.9) | (1,011) | (1,011) | 0.1 | ||||
Other comprehensive (loss) income | (187.5) | (187.7) | (187.7) | 0.2 | ||||
Exercise of stock options | 24.8 | 24.8 | (14.1) | 38.9 | ||||
Stock based compensation expense | 21 | 21 | 21 | |||||
Treasury shares purchased | (250.2) | (250.2) | (250.2) | |||||
Restricted Stock Unit ("RSU") distributions | (13.4) | (13.4) | (29.1) | 15.7 | ||||
RSU dividends | 0.6 | (0.6) | ||||||
Cash dividends | (78.1) | (78.1) | (78.1) | |||||
Ending Balance at Dec. 31, 2018 | 5,133 | 5,121.1 | 2.6 | 6,522.3 | 1,225.9 | (478.7) | (2,151) | 11.9 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net gain after tax | 263.1 | 262.9 | 0.2 | |||||
Other comprehensive (loss) income | (120.3) | (121) | (121) | 0.7 | ||||
Divestiture of noncontrolling interest | 10.4 | |||||||
Exercise of stock options | 108.6 | 108.6 | 13.2 | 95.4 | ||||
Stock based compensation expense | 66.2 | 66.2 | 66.2 | |||||
Funding of Employee Stock Ownership Plan | 4.2 | 4.2 | 0.3 | 3.9 | ||||
Treasury shares purchased | (260) | (260) | (260) | |||||
Restricted Stock Unit ("RSU") distributions | (5.8) | (5.8) | (16.2) | 10.4 | ||||
RSU dividends | 0.9 | (0.9) | ||||||
Cash dividends | (83.7) | (83.7) | (83.7) | |||||
Ending Balance at Dec. 31, 2019 | $ 5,094.9 | $ 5,092.5 | $ 2.6 | $ 6,586.7 | $ 1,404.2 | $ (599.7) | $ (2,301.3) | $ 2.4 |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends (in dollars per share) | $ 0.375 | $ 0.35 | $ 0.35 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash flows from operating activities: | |||
Net income (loss) | $ 263.1 | $ (1,010.9) | $ (1,550.3) |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 133.2 | 132.9 | 127.3 |
Amortization of intangible assets | 189.6 | 197.9 | 189.1 |
Amortization of deferred financing costs | 2.7 | 2.7 | 2.6 |
Fixed asset impairment | 33.4 | 0 | 0 |
Goodwill impairment | 0 | 1,085.8 | 1,650.9 |
Indefinite-lived intangible asset impairment | 5.3 | 179.2 | 346.7 |
Definite-lived intangible asset impairment | 3.8 | 0 | 0 |
Deferred income taxes | (37.4) | (62) | (143.8) |
Stock based compensation expense | 66.2 | 21 | 48 |
Restructuring and other costs - non-cash | 16.1 | 22.5 | 64.7 |
Gain on sale of equity security | 0 | (44.1) | 0 |
Other non-cash (income) expense | (20.3) | 3.4 | 9.9 |
Loss on disposal of property, plant and equipment | 3.6 | 4.6 | 1.6 |
Gain on divestiture of noncontrolling interest | (8.7) | 0 | 0 |
Loss on sale on non-strategic businesses and product lines | (2) | 0 | 0 |
Changes in operating assets and liabilities, net of acquisitions: | |||
Accounts and notes receivable-trade, net | (91.4) | 23.5 | (63.4) |
Inventories, net | 13.7 | (19.9) | (62.9) |
Prepaid expenses and other current assets, net | 13 | (27.1) | (75) |
Other noncurrent assets, net | (8.5) | (12.7) | (3.7) |
Accounts payable | 26.1 | 7.1 | 44.2 |
Accrued liabilities | 45.3 | 0.3 | 28.3 |
Income taxes | (15.8) | 12.1 | (20.5) |
Other noncurrent liabilities | (2.2) | (16.5) | 8.2 |
Net cash provided by operating activities | 632.8 | 499.8 | 601.9 |
Cash flows from investing activities: | |||
Cash paid for acquisitions of businesses and equity investments, net of cash acquired | (3.2) | (130.5) | (145.9) |
Cash received on sale of non-strategic businesses or product lines | 11.6 | 0 | 0 |
Purchases of short term investments | 0 | (3.7) | (2.5) |
Liquidation of short term investments | 1 | 0 | 0 |
Capital expenditures | (122.9) | (182.5) | (144.3) |
Purchase of company owned life insurance policies | 0 | 0 | (0.9) |
Cash received on derivative contracts | 40.3 | 8 | 6.5 |
Cash paid on derivative contracts | 0 | (2.4) | 0 |
Expenditures for identifiable intangible assets | 0 | (5.5) | (6.7) |
Proceeds from the sale of equity security | 0 | 54.1 | 0 |
Proceeds from sale of property, plant and equipment, net | 4.8 | 9.2 | 7.4 |
Net cash used in investing activities | (68.4) | (253.3) | (286.4) |
Cash flows from financing activities: | |||
Proceeds from long-term borrowings, net of deferred financing costs | 118.9 | 0.1 | 3.1 |
Repayments on long-term borrowings, net | (251.2) | (9.4) | (16.7) |
Net (repayments) borrowings on short-term borrowings | (68.5) | 60.4 | 10.2 |
Proceeds from exercised stock options | 108.8 | 27.9 | 82.3 |
Cash paid for contingent consideration on prior acquisitions | (33.2) | 0 | 0 |
Cash paid for treasury stock | (260) | (250.2) | (401.4) |
Cash dividends paid | (80.9) | (78.6) | (78.3) |
Net cash used in financing activities | (466.1) | (249.8) | (400.8) |
Effect of exchange rate changes on cash and cash equivalents | (3) | (7.7) | 22 |
Net increase (decrease) in cash and cash equivalents | 95.3 | (11) | (63.3) |
Cash and cash equivalents at beginning of period | 309.6 | 320.6 | 383.9 |
Cash and cash equivalents at end of period | 404.9 | 309.6 | 320.6 |
Supplemental disclosures of cash flow information: | |||
Interest paid, net of amounts capitalized | 30.2 | 35.1 | 37 |
Income taxes paid, net of refunds | 112.1 | 104.7 | 122.7 |
Non-cash investing activities: | |||
Property, plant and equipment in accounts payable at end of period | 13.8 | 14.6 | 12.8 |
Exchange of inventory for naming rights | $ 3.2 | $ 0 | $ 0 |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES Description of Business DENTSPLY SIRONA Inc. (“Dentsply Sirona” or the “Company”), is the world’s largest manufacturer of professional dental products and technologies, with a 133-year history of innovation and service to the dental industry and patients worldwide. Dentsply Sirona develops, manufactures, and markets a comprehensive solutions offering including dental equipment and dental consumable products under a strong portfolio of world class brands. The Company also manufactures and markets healthcare consumable products. The Company’s principal product categories are dental consumable products, dental equipment, healthcare consumable products and dental technologies. The Company distributes its products in over 120 countries under some of the most well established brand names in the industry. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“US GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements. Principles of Consolidation The consolidated financial statements include the accounts of the Company. All significant intercompany accounts and transactions are eliminated in consolidation. Investments in non-consolidated affiliates (20-50 percent owned companies, joint ventures and partnerships as well as less than 20 percent ownership positions where the Company maintains significant influence over the subsidiary) are accounted for using the equity method. Cash and Cash Equivalents Cash and cash equivalents include deposits with banks as well as highly liquid time deposits with maturities at the date of purchase of ninety days or less. Short-term Investments Short-term investments are highly liquid time deposits with original maturities at the date of purchase greater than ninety days and with remaining maturities of one year or less. Accounts and Notes Receivable-Trade The Company sells dental and certain medical products and equipment through a worldwide network of distributors and directly to end users. For customers on credit terms, the Company performs ongoing credit evaluation of those customers’ financial condition and generally does not require collateral from them. The Company establishes allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company records a provision for doubtful accounts, which is included in Selling, general and administrative expenses in the Consolidated Statements of Operations. Accounts receivable – trade is stated net of these allowances that were $29.4 million and $24.5 million at December 31, 2019 and 2018, respectively. For the years ended December 31, 2019 and 2018, the Company wrote-off $6.1 million and $2.6 million, respectively, of accounts receivable that were previously reserved. The Company increased the provision for doubtful accounts by $10.7 million and $6.0 million during 2019 and 2018, respectively. Inventories Inventories are stated at the lower of cost and net realizable value. At December 31, 2019 and 2018, the cost of $5.0 million and $9.0 million, respectively, of inventories was determined by the last-in, first-out (“LIFO”) method. The cost of remaining inventories was determined by the first-in, first-out (“FIFO”) or average cost methods. If the FIFO method had been used to determine the cost of LIFO inventories, the amounts at which net inventories are stated would be higher than reported at December 31, 2019 and 2018 by $14.3 million and $10.2 million, respectively. The Company establishes reserves for inventory estimated to be obsolete or unmarketable equal to the difference between the cost of inventory and estimated market value based upon assumptions about future demand and market conditions. Valuation of Goodwill and Indefinite-Lived and Definite-Lived Intangible Assets Assessment of the potential impairment of goodwill and indefinite-lived and definite-lived intangible assets is an integral part of the Company’s normal ongoing review of operations. Testing for potential impairment of these assets is significantly dependent on assumptions and reflects management’s best estimates at a particular point in time. The dynamic economic environments in which the Company’s businesses operate and key economic and business assumptions with respect to projected selling prices, increased competition and introductions of new technologies can significantly affect the outcome of impairment tests. Estimates based on these assumptions may differ significantly from actual results. Changes in factors and assumptions used in assessing potential impairments can have a significant impact on the existence and magnitude of impairments, as well as the time at which such impairments are recognized. If there are unfavorable changes in these assumptions, future cash flows, a key variable in assessing the impairment of these assets, may decrease and as a result the Company may be required to recognize impairment charges. Future changes in the environment and the economic outlook for the assets being evaluated could also result in additional impairment charges being recognized. The following information outlines the Company’s significant accounting policies on long-lived assets by type. Goodwill Goodwill is the excess of the purchase price over the fair value of identifiable net assets acquired and liabilities assumed in a business combination. Goodwill is not amortized. The Company conducts an annual impairment test during the Company’s second quarter, or when indications of potential impairment exist. The Company monitors for the existence of potential impairment throughout the year. This impairment assessment includes an evaluation of reporting units, which is an operating segment or one reporting level below the operating segment. The Company performs impairment tests using a fair value approach which compares the fair value of each reporting unit to its carrying amount to determine if there is a potential impairment. If impairment is identified on goodwill, the resulting charge is determined by recalculating goodwill through a hypothetical purchase price allocation of the fair value and reducing the current carrying value to the extent it exceeds the recalculated goodwill. The Company performed the required annual impairment tests of goodwill at April 30, 2019 on five reporting units. To determine the fair value of the Company’s reporting units, the Company uses a discounted cash flow model with market-based support as its valuation technique to measure the fair value for its reporting units. The discounted cash flow model uses five- to ten- year forecasted cash flows plus a terminal value based on a multiple of earnings or by capitalizing the last period’s cash flows using a perpetual growth rate. The Company's significant assumptions in the discounted cash flow models include, but are not limited to, the weighted average cost of capital, revenue growth rates, including perpetual revenue growth rates, and gross margin percentages of the reporting unit's business. The Company considered the current market conditions when determining its assumptions. Lastly, the Company reconciled the aggregate fair values of its reporting units to its market capitalization, which included a reasonable control premium based on market conditions. Additional information related to the testing for goodwill impairment is provided in Note 10, Goodwill and Intangible Assets. Indefinite-Lived Intangible Assets Indefinite-lived intangible assets consist of tradenames and trademarks and are not subject to amortization. Valuations of identifiable intangibles assets acquired are based on information and assumptions available at the time of acquisition, using income and market model approaches to determine fair value. The Company conducts an annual impairment test during the Company’s second quarter, or whenever events or circumstances suggest that the carrying amount of the assets may not be recoverable. The Company performs impairment tests using an income approach, more specifically a relief from royalty method. In the development of the forecasted cash flows, the Company applies significant judgment to determine key assumptions, including royalty rates and discount rates. Royalty rates used are consistent with those assumed for the original purchase accounting valuation. If the carrying value exceeds the fair value, an impairment loss in the amount equal to the excess is recognized. The indefinite-lived intangible assets held within the CAD/CAM business were previously impaired in 2018 and the indefinite-lived intangible assets held within the Imaging business were impaired in the first quarter of 2019. Had the fair value of these indefinite-lived intangible assets been hypothetically reduced by 10% or the discount rate had been hypothetically increased by 100 basis points at April 30, 2019, the fair value of these assets would still exceed their book value for those assets held within the CAD/CAM business and for the indefinite-lived intangible assets held within the Imaging business the result would be an insignificant impairment. Additional information related to the testing for indefinite-lived intangible asset impairment is provided in Note 10, Goodwill and Intangible Assets. Identifiable Definite-Lived Intangible Assets Identifiable definite-lived intangible assets, which primarily consist of patents, tradenames, trademarks, licensing agreements, and customer relationships are amortized on a straight-line basis over their estimated useful lives. The useful life is the period over which the asset is expected to contribute to the future cash flows of the Company. The Company uses the following useful lives within its classification of intangible assets: Intangible Asset Type Life Patents Up to date patent expires Tradenames and trademarks Up to 20 years Licensing agreements Up to 20 years Customer relationships Up to 15 years When the expected life is not known, the Company will estimate the useful life based on similar asset or asset groups, any legal, regulatory, or contractual provision that limits the useful life, the effect of economic factors, including obsolescence, demand, competition, and the level of maintenance expenditures required to obtain the expected future economic benefit from the asset. Valuations of identifiable intangibles assets acquired are based on information and assumptions available at the time of acquisition, using income and market model approaches to determine fair value. These assets are reviewed for impairment whenever events or circumstances suggest that the carrying amount of the asset may not be recoverable. The Company closely monitors all intangible assets including those related to new and existing technologies for indicators of impairment as these assets have more risk of becoming impaired. Impairment is based upon an initial evaluation of the identifiable undiscounted cash flows. If the initial evaluation identifies a potential impairment, a fair value of the asset is determined by using a discounted cash flows valuation. If impaired, the resulting charge reflects the excess of the asset’s carrying cost over its fair value. Property, Plant and Equipment Property, plant and equipment are stated at cost, with the exception of assets acquired through acquisitions, which are recorded at fair value, net of accumulated depreciation. Except for leasehold improvements, depreciation for financial reporting purposes is computed by the straight-line method over the following estimated useful lives: generally 40 years for buildings and 4 to 15 years for machinery and equipment. The cost of leasehold improvements is amortized over the shorter of the estimated useful life or the term of the lease. Maintenance and repairs are expensed as incurred to the statements of operations; replacements and major improvements are capitalized. These asset groups are reviewed for impairment whenever events or circumstances suggest that the carrying amount of the asset group may not be recoverable. Impairment is based upon an evaluation of the identifiable undiscounted cash flows. If impaired, the resulting charge reflects the excess of the asset group’s carrying cost over its fair value. Derivative Financial Instruments The Company records all derivative instruments in the consolidated balance sheet at fair value and changes in fair value are recorded each period in the consolidated statements of operations or accumulated other comprehensive income (“AOCI”). The Company classifies derivative assets and liabilities as current when the remaining term of the derivative contract is one year or less. The Company has elected to classify the cash flow from derivative instruments in the same category as the cash flows from the items being hedged. Should the Company enter into a derivative instrument that included an other-than-insignificant financing element then all cash flows will be classified as financing activities in the Consolidated Statements of Cash Flows as required by US GAAP. The Company employs derivative financial instruments to hedge certain anticipated transactions, firm commitments, and assets and liabilities denominated in foreign currencies. Additionally, the Company utilizes interest rate swaps to convert floating rate debt to fixed rate. Pension and Other Postemployment Benefits Some of the employees of the Company and its subsidiaries are covered by government or Company-sponsored defined benefit plans. Many of the employees have available to them defined contribution plans. Additionally, certain union and salaried employee groups in the United States are covered by postemployment healthcare plans. Costs for Company-sponsored defined benefit and postemployment benefit plans are based on expected return on plan assets, discount rates, employee compensation increase rates and health care cost trends. Expected return on plan assets, discount rates and health care cost trend assumptions are particularly important when determining the Company’s benefit obligations and net periodic benefit costs associated with postemployment benefits. Changes in these assumptions can impact the Company’s earnings before income taxes. In determining the cost of postemployment benefits, certain assumptions are established annually to reflect market conditions and plan experience to appropriately reflect the expected costs as actuarially determined. These assumptions include medical inflation trend rates, discount rates, employee turnover and mortality rates. The Company predominantly uses liability durations in establishing its discount rates, which are observed from indices of high-grade corporate bond yields in the respective economic regions of the plans. The expected return on plan assets is the weighted average long-term expected return based upon asset allocations and historic average returns for the markets where the assets are invested, principally in foreign locations. The Company reports the funded status of its defined benefit pension and other postemployment benefit plans on its consolidated balance sheets as a net liability or asset. Additional information related to the impact of changes in these assumptions is provided in Note 16, Benefit Plans. Accruals for Self-Insured Losses The Company maintains insurance for certain risks, including workers’ compensation, general liability, product liability and vehicle liability, and is self-insured for employee related healthcare benefits. The Company accrues for the expected costs associated with these risks by considering historical claims experience, demographic factors, severity factors and other relevant information. Costs are recognized in the period the claim is incurred, and the financial statement accruals include an estimate of claims incurred but not yet reported. The Company has stop-loss coverage to limit its exposure to any significant exposure on a per claim basis. Litigation The Company and its subsidiaries are from time to time parties to lawsuits arising out of their respective operations. The Company records liabilities when a loss is probable and can be reasonably estimated. These estimates are typically in the form of ranges, and the Company records the liabilities at the low point of the ranges, when no other point within the ranges are a better estimate of the probable loss. The ranges established by management are based on analysis made by internal and external legal counsel who considers information known at the time. If the Company determines a liability to be only reasonably possible, it considers the same information to estimate the possible exposure and discloses any material potential liability. These loss contingencies are monitored regularly for a change in fact or circumstance that would require an accrual adjustment. The Company believes it has estimated liabilities for probable losses appropriately in the past; however, the unpredictability of litigation and court decisions could cause a liability to be incurred in excess of estimates. Legal costs related to these lawsuits are expensed as incurred. Foreign Currency Translation The functional currency for foreign operations, except for those in highly inflationary economies, generally has been determined to be the local currency. Assets and liabilities of foreign subsidiaries are translated at foreign exchange rates on the balance sheet date; revenue and expenses are translated at the average year-to-date foreign exchange rates. The effects of these translation adjustments are reported in Equity within AOCI in the Consolidated Balance Sheets. During the year ended December 31, 2019, the Company had losses of $3.7 million on its loans designated as hedges of net investments and translation losses of $87.3 million. During the year ended December 31, 2018, the Company had gains of $14.9 million on its loans designated as hedges of net investments and translation losses of $200.1 million. Foreign exchange gains and losses arising from transactions denominated in a currency other than the functional currency of the entity involved and remeasurement adjustments in countries with highly inflationary economies are included in income. During the year ended December 31, 2019, 2018, and 2017, net foreign exchange transaction gain of $26.9 million, loss of $5.8 million in 2018, and gain of $1.7 million, respectively, are included in Other expense (income), net in the Consolidated Statements of Operations. Revenue Recognition Revenue is recognized when performance obligations under the terms of a contract with a customer are satisfied; generally this occurs with the transfer of risk and/or control of Dental and Healthcare Consumables products ("consumable" products), Dental Technology products ("technology" products), or Dental Equipment products ("equipment" products). Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. Sales, value add, and other taxes collected concurrent with revenue-producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. For most of consumables, technologies, and equipment, the Company transfers control and recognizes a sale when products are shipped from the Company's manufacturing facility or warehouse to the customer (distributors and direct to dentists). For contracts with customers that contain destination shipping terms, revenue is not recognized until risk has transferred and the goods are delivered to the agreed upon destination. The amount of consideration received and revenue recognized varies with changes in marketing incentives (e.g. discounts, rebates, free goods) and returns offered to customers and their customers. When the Company gives customers the right to return eligible products and receive credit, returns are estimated based on an analysis of historical experience. However, returns of products, excluding warranty related returns, are infrequent and insignificant. The Company adjusts the estimate of revenue at the earlier of when the most likely amount of consideration can be estimated, the amount expected to be received changes, or when the consideration becomes fixed. Consideration received from customers in advance of revenue recognition is classified as deferred revenue. Depending on the terms of the arrangement, the Company may also defer the recognition of a portion of the consideration received when performance obligations are not yet satisfied (e.g., free extended maintenance/service contracts, software and licenses, customer loyalty points and coupon programs). The Company uses an observable price, typically average selling price, to determine the stand-alone selling price for separate performance obligations. The Company determines the stand-alone selling price, based on Company geographic sales locations' database of pricing and discounting practices for the specific product or service when sold separately, and utilizes this data to arrive at average selling prices by product. Revenue is then allocated proportionately, based on the determined stand-alone selling price, to the unsatisfied performance obligation, which is deferred until satisfied. At December 31, 2019, the Company had $29.2 million of deferred revenue recorded in Accrued liabilities in the Consolidated Balance Sheets. The Company expects to recognize significantly all of the deferred revenue within the next twelve months. The prior year amount of $29.3 million was recognized in the current year. The Company has elected to account for shipping and handling activities as a fulfillment cost within the cost of products sold, and records shipping and handling costs collected from customers in net sales. The Company has adopted two practical expedients: the “right to invoice” practical expedient, which allows us to recognize revenue in the amount of the invoice when it corresponds directly with the value of performance completed to date; and relief from considering the existence of a significant financing component when the payment for the good or service is expected to be one year or less. The Company offers discounts to its customers and distributors if certain conditions are met. Discounts are primarily based on the volume of products purchased or targeted to be purchased by the customer or distributor. Discounts are deducted from revenue at the time of sale or when the discount is offered, whichever is later. The Company estimates volume discounts based on the individual customer’s or distributor's historical and estimated future product purchases. Certain of the Company’s customers are offered cash rebates based on targeted sales increases. The Company estimates rebates based on the forecasted performance of a customer and their expected level of achievement within the rebate programs. In accounting for these rebate programs, the Company records an accrual and reduces net sales ratably as sales occur over the rebate period. The Company updates the accruals for these rebate programs as actual results and updated forecasts impact the estimated achievement for customers within the rebate programs. A portion of the Company’s net sales comprises of sales of precious metals generated through its precious metal dental alloy product offerings. As the precious metal content of the Company’s sales is largely a pass-through to customers, the Company uses its cost of precious metal purchased as a proxy for the precious metal content of sales, as the precious metal content of sales is not separately tracked and invoiced to customers. The Company believes that it is reasonable to use the cost of precious metal content purchased in this manner since precious metal alloy sale prices are typically adjusted when the prices of underlying precious metals change. Cost of Products Sold Cost of products sold represents costs directly related to the manufacture and distribution of the Company’s products. Primary costs include raw materials, packaging, direct labor, overhead, shipping and handling, warehousing and the depreciation of manufacturing, warehousing and distribution facilities. Overhead and related expenses include salaries, wages, employee benefits, utilities, lease costs, maintenance and property taxes. Warranties The Company provides warranties on certain equipment products. Estimated warranty costs are accrued when sales are made to customers. Estimates for warranty costs are based primarily on historical warranty claim experience. Warranty costs are included in Cost of products sold in the Consolidated Statements of Operations. The Company’s warranty expense and warranty accrual were as follows: December 31, (in millions) 2019 2018 2017 Warranty Expense $ 35.6 $ 23.7 $ 25.7 Warranty Accrual 17.9 13.0 11.8 Selling, General and Administrative Expenses Selling, general and administrative expenses represent costs incurred in generating revenues and in managing the business of the Company. Such costs include advertising and other marketing expenses, salaries, employee benefits, incentive compensation, research and development, travel, office expenses, lease costs, amortization of capitalized software and depreciation of administrative facilities. Advertising cost are expensed as incurred. Research and Development Costs Research and development (“R&D”) costs relate primarily to internal costs for salaries and direct overhead expenses. In addition, the Company contracts with outside vendors to conduct R&D activities. All such R&D costs are charged to expense when incurred. The Company capitalizes the costs of equipment that have general R&D uses and expenses such equipment that is solely for specific R&D projects. The depreciation expense related to this capitalized equipment is included in the Company’s R&D costs. Software development costs incurred prior to the attainment of technological feasibility are considered R&D and are expensed as incurred. Once technological feasibility is established, software development costs are capitalized until the product is available for general release to customers. Amortization of these costs are included in Cost of products sold over the estimated life of the products. R&D costs were $131.3 million, $160.5 million and $151.7 million for the years ended December 31, 2019, 2018 and 2017, respectively, and are included in Selling, general and administrative expenses in the Consolidated Statements of Operations. Stock Compensation The Company recognizes the compensation cost relating to stock-based payment transactions in the financial statements. The cost of stock-based payment transactions is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity awards). The compensation cost is only recognized for the portion of the awards that are expected to vest. Stock options granted become exercisable as determined by the grant agreement and expire ten one During 2019, the Company granted certain performance-based RSUs issued under the 2016 Omnibus Incentive Plan to provide performance targets for the Company's previously disclosed three year restructuring program announced in November 2018. The adjusted operating income margin performance target approximates the adjusted operating income margin targets previously disclosed by the Company as part of its effort to support revenue growth and margin expansion. For vesting to occur an adjusted operating income margin target must be achieved over a period of four consecutive quarters, and an adjusted operating income margin above that target threshold as measured at the end of the subsequent quarter, all calculated on a trailing four quarter basis. The performance period began on January 1, 2019 and concludes on December 31, 2022. Under this program the Company could issue up to 2.7 million shares of common stock if all performance targets are met within the period. Income Taxes The Company’s tax expense includes U.S. and international income taxes plus the provision for U.S. taxes on undistributed earnings of international subsidiaries not deemed to be permanently invested. Tax credits and other incentives reduce tax expense in the year the credits are claimed. Certain items of income and expense are not reported in tax returns and financial statements in the same year. The tax effect of such temporary differences is reported as deferred income taxes. Deferred tax assets are recognized if it is more likely than not that the assets will be realized in future years. The Company establishes a valuation allowance for deferred tax assets for which realization is not likely. The Company applies a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The Company recognizes in the consolidated financial statements the impact of a tax position if that position is more likely than not of being sustained upon examination by the taxing authorities based on the technical merits of the position. The Company’s tax positions are subject to ongoing examinations by the tax authorities. The Company operates within multiple taxing jurisdictions throughout the world and in the normal course of business is examined by taxing authorities in those jurisdictions. Adjustments to the uncertain tax positions are recorded when taxing authority examinations are completed, statutes of limitation are closed, changes in tax laws occur or as new information comes to light with regard to the technical merits of the tax position. Earnings Per Share Basic earnings per share are calculated by dividing net earnings by the weighted average number of shares outstanding for the period. Diluted earnings per share is calculated by dividing net earnings by the weighted average number of shares outstanding for the period, adjusted for the effect of an assumed exercise of all dilutive options outstanding at the end of the period. Business Acquisitions The Company acquires businesses as well as partial interests in businesses. Acquired businesses are accounted for using the acquisition method of accounting which requires the Company to record assets acquired and liabilities assumed at their respective fair values with the excess of the purchase price over estimated fair values recorded as goodwill. The assumptions made in determining the fair value of acquired assets and assumed liabilities as well as asset lives can materially impact the results of operations. The Company obtains information during due diligence and through other sources to establish respective fair values. Examples of factors and information that the Company uses to determine the fair values include: tangible and intangible asset evaluations and appraisals; evaluations of existing contingencies and liabilities and product line information. If the initial valuation for an acquisition is incomplete by the end of the quarter in which the acquisition occurred, the Company will record a provisional estimate in the financial statements. The provisional estimate will be finalized as soon as information becomes available, but will only occur up to one year from the acquisition date. Noncontrolling Interests The Company reports noncontrolling interest (“NCI”) in a subsidiary as a separate component of Equity in the Consolidated Balance Sheets. Additionally, the Company reports the portion of net income (loss) and comprehensive income (loss) attributed to the Company and NCI separately in the Consolidated Statements of Operations. The Company also includes a separate column for NCI in the Consolidated Statements of Changes in Equity. Segment Reporting The Company has numerous operating businesses covering a wide range of products and geographic regions, primarily serving the professional dental market and to a lesser extent the consumable medical device market. Professional dental products and equipment represented approximately 92%, 91% and 92% of sales for the years ended 2019, 2018 and 2017, respectivel |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE The computation of basic and diluted earnings (loss) per common share for the years ended December 31 were as follows: Basic Earnings Per Common Share Computation (in millions, except per share amounts) 2019 2018 2017 Net income (loss) attributable to Dentsply Sirona $ 262.9 $ (1,011.0) $ (1,550.0) Weighted average common shares outstanding 223.1 224.3 229.4 Earnings (loss) per common share - basic $ 1.18 $ (4.51) $ (6.76) Diluted Earnings Per Common Share Computation (in millions, except per share amounts) 2019 2018 2017 Net income (loss) attributable to Dentsply Sirona $ 262.9 $ (1,011.0) $ (1,550.0) Weighted average common shares outstanding 223.1 224.3 229.4 Incremental weighted average shares from assumed exercise of dilutive options from stock-based compensation awards 1.3 — — Total weighted average diluted shares outstanding 224.4 224.3 229.4 Earnings (loss) per common share - diluted $ 1.17 $ (4.51) $ (6.76) The calculation of weighted average diluted shares outstanding excludes stock options and RSUs of 3.1 million, 5.1 million and 4.3 million shares of common stock that were outstanding during the years ended December 31, 2019, 2018 and 2017, respectively, which were excluded from the computation of diluted earnings per common share since their effect would be antidilutive. |
COMPREHENSIVE (LOSS) INCOME
COMPREHENSIVE (LOSS) INCOME | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
COMPREHENSIVE (LOSS) INCOME | COMPREHENSIVE (LOSS) INCOME AOCI includes foreign currency translation adjustments related to the Company’s foreign subsidiaries, net of the related changes in certain financial instruments hedging these foreign currency investments. In addition, changes in the Company’s fair value of certain derivative financial instruments, pension liability adjustments and prior service costs, net are recorded in AOCI. These changes are recorded in AOCI net of any related tax adjustments. For the years ended December 31, 2019, 2018 and 2017, these tax adjustments were $173.0 million, $157.4 million and $203.8 million, respectively, primarily related to foreign currency translation adjustments. The cumulative foreign currency translation adjustments included translation loss of $260.2 million and translation gain of $172.9 million at December 31, 2019 and 2018, respectively, and which included losses of $108.1 million and $111.8 million, at December 31, 2019 and 2018, respectively, on loans designated as hedges of net investments. Changes in AOCI, net of tax, by component for the years ended December 31, 2019 and 2018 were as follows: (in millions) Foreign Currency Translation Gain (Loss) Gain and (Loss) on Cash Flow Hedges Gain and (Loss) on Net Investment Hedges Pension Liability Gain (Loss) Total Balance, net of tax, at December 31, 2018 $ (284.7) $ 0.6 $ (111.4) $ (83.2) $ (478.7) Other comprehensive (loss) income before reclassifications and tax impact (87.8) (16.9) 17.7 (54.7) (141.7) Tax benefit (expense) 4.2 4.3 (7.0) 14.1 15.6 Other comprehensive (loss) income, net of tax, before reclassifications $ (83.6) $ (12.6) $ 10.7 $ (40.6) $ (126.1) Amounts reclassified from accumulated other comprehensive income, net of tax — 1.4 — 3.7 5.1 Net (decrease) increase in other comprehensive income (83.6) (11.2) 10.7 (36.9) (121.0) Balance, net of tax, at December 31, 2019 $ (368.3) $ (10.6) $ (100.7) $ (120.1) $ (599.7) (in millions) Foreign Currency Translation Gain (Loss) Gain and (Loss) on Cash Flow Hedges Gain and (Loss) on Net Investment Hedges Net Unrealized Holding Gain on Available-for-Sale Securities Pension Liability Gain (Loss) Total Balance, net of tax, at December 31, 2017 $ (104.5) $ (12.6) $ (127.6) $ 44.3 $ (90.6) $ (291.0) Other comprehensive (loss) income before reclassifications and tax impact (160.1) 5.1 36.2 — 7.7 (111.1) Tax (expense) benefit (20.1) (1.6) (20.0) — (4.7) (46.4) Other comprehensive (loss) income, net of tax, before reclassifications $ (180.2) $ 3.5 $ 16.2 $ — $ 3.0 $ (157.5) Amounts reclassified from accumulated other comprehensive income, net of tax — 9.7 — (44.3) 4.4 (30.2) Net (decrease) increase in other comprehensive income (180.2) 13.2 16.2 (44.3) 7.4 (187.7) Balance, net of tax, at December 31, 2018 $ (284.7) $ 0.6 $ (111.4) $ — $ (83.2) $ (478.7) Reclassification out of AOCI to the Consolidated Statements of Operations for the years ended December 31, 2019, 2018, and 2017 were as follows: Details about AOCI Components Amounts Reclassified from AOCI Affected Line Item in the Consolidated Statements of Operations Year Ended December 31, (in millions) 2019 2018 2017 (Loss) gain on derivative financial instruments: Interest rate swaps $ (2.4) $ (2.3) $ (2.3) Interest expense Foreign exchange forward contracts 1.0 (8.9) (3.0) Cost of products sold Net (loss) gain before tax $ (1.4) $ (11.2) $ (5.3) Tax impact — 1.5 2.7 Provision (benefit) for income taxes Net (loss) gain after tax $ (1.4) $ (9.7) $ (2.6) Realized gain on available-for-sale securities: Available -for-sale-securities $ — $ 45.0 $ — Other expense (income), net Tax impact — (0.7) — Provision (benefit) for income taxes Net gain after tax $ — $ 44.3 $ — Amortization of defined benefit pension and other postemployment benefit items: Amortization of prior service benefits $ 0.5 $ 0.2 $ 0.2 (a) Amortization of net actuarial losses (5.6) (6.3) (7) (a) Net loss before tax $ (5.1) $ (6.1) $ (6.8) Tax impact 1.4 1.7 1.9 Provision (benefit) for income taxes Net loss after tax $ (3.7) $ (4.4) $ (4.9) Total reclassifications for the period $ (5.1) $ 30.2 $ (7.5) (a) These AOCI components are included in the computation of net periodic benefit cost for the years ended December 31, 2019, 2018, and 2017, respectively. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS Business Combinations 2018 Transactions On May 1, 2018, the Company acquired all of the outstanding shares of privately held OraMetrix, Inc. for $120.0 million, with an additional payment totaling $30.0 million, subject to meeting certain earn-out provisions. During the year ended December 31, 2019, the Company paid the earn-out provision. OraMetrix specializes in orthodontic treatment planning software, wire bending, and clear aligner manufacturing and is headquartered in Richardson, Texas. The Company recorded $58.0 million in goodwill related to the fair value of assets acquired and liabilities assumed and the consideration given for the acquisition. The purchase price has been assigned on the basis of the fair values of assets acquired and liabilities assumed. Goodwill is considered to represent the value associated with workforce and synergies the two companies anticipate realizing as a combined company. The goodwill is not expected to be deductible for tax purposes. Intangible assets acquired were as follows: Weighted Average Useful Life (in millions, except for useful life) Amount (in years) Customer relationships $ 18.3 15 Developed technology and patents 64.7 15 Tradenames and trademarks 13.5 Indefinite Total $ 96.5 The results of operation for this business have been included in the accompanying financial statements as of the effective date of the transaction. The purchase price has been assigned on the basis of the fair values of assets acquired and liabilities assumed. This transaction was not material to the Company’s net sales and net loss attributable to Dentsply Sirona for the year ended December 31, 2018. 2017 Transactions During the quarter ended June 30, 2017, the Company acquired RTD, a privately-held France-based manufacturer of endodontic posts for $132.0 million. The Company recorded $83.9 million in goodwill related to the fair value of assets acquired and liabilities assumed and the consideration given for the acquisition. Goodwill is considered to represent the value associated with workforce and synergies the two companies anticipate realizing as a combined company. Intangible assets acquired were as follows: Weighted Average Useful Life (in millions, except for useful life) Amount (in years) Customer relationships $ 18.1 15 Developed technology and patents 22.4 15 Tradenames and trademarks 8.5 Indefinite Total $ 49.0 The results of operation for this business have been included in the accompanying financial statements as of the effective date of the transaction. The purchase price has been assigned on the basis of the fair values of assets acquired and liabilities assumed. This transaction was not material to the Company’s net sales and net loss attributable to Dentsply Sirona for the year ended December 31, 2017. Investment in Affiliates During the year ended December 31, 2017, the Company has reclassified the investment in DIO Corporation ("DIO") as available-for-sale. At December 31, 2017 the fair value was $54.4 million, which was recorded in Prepaid expense and other current assets in the Consolidated Balance Sheets. The unrealized gain of $45.0 million was recorded in AOCI, net of tax, in the Consolidated Statements of Comprehensive Income. The book value of the Company’s direct investment in DIO was $9.4 million at December 31, 2017. During the year ended December 31, 2018, the Company sold its direct investment in DIO. The gain was transferred out of AOCI and a gain of $44.1 million was recorded in Other expense (income), net in the Consolidated Statements of Operations. |
SEGMENT AND GEOGRAPHIC INFORMAT
SEGMENT AND GEOGRAPHIC INFORMATION | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
SEGMENT AND GEOGRAPHIC INFORMATION | SEGMENT AND GEOGRAPHIC INFORMATION The operating businesses are combined into two operating groups, which generally have overlapping geographical presence, customer bases, distribution channels, and regulatory oversight. These operating groups are considered the Company’s reportable segments as the Company’s chief operating decision-maker regularly reviews financial results at the operating group level and uses this information to manage the Company’s operations. The Company evaluates performance of the segments based on the groups’ net third party sales, excluding precious metal content, and segment adjusted operating income. The Company defines net third party sales excluding precious metal content as the Company’s net sales excluding the precious metal cost within the products sold, which is considered a measure not calculated in accordance with US GAAP, and is therefore considered a non-US GAAP measure. Management believes that the presentation of net sales, excluding precious metal content, provides useful information to investors because a portion of Dentsply Sirona’s net sales is comprised of sales of precious metals generated through sales of the Company’s precious metal dental alloy products, which are used by third parties to construct crown and bridge materials. Due to the fluctuations of precious metal prices and because the cost of the precious metal content of the Company’s sales is largely passed through to customers and has minimal effect on earnings, Dentsply Sirona reports net sales both with and without precious metal content to show the Company’s performance independent of precious metal price volatility and to enhance comparability of performance between periods. The Company uses its cost of precious metal purchased as a proxy for the precious metal content of sales, as the precious metal content of sales is not separately tracked and invoiced to customers. The Company believes that it is reasonable to use the cost of precious metal content purchased in this manner since precious metal dental alloy sale prices are typically adjusted when the prices of underlying precious metals change. The Company’s exclusion of precious metal content in the measurement of net third party sales enhances comparability of performance between periods as it excludes the fluctuating market prices of the precious metal content. The Company also evaluates segment performance based on each segment’s adjusted operating income before provision for income taxes and interest. Segment adjusted operating income is defined as operating income before income taxes and before certain corporate headquarter unallocated costs, restructuring and other costs, interest expense, interest income, other expense (income), net, amortization of intangible assets and depreciation resulting from the fair value step-up of property, plant and equipment from acquisitions. The Company’s segment adjusted operating income is considered a non-US GAAP measure. A description of the products and services provided within each of the Company’s two operating segments is provided below. Technologies & Equipment This segment is responsible for the worldwide design, manufacture, sales and distribution of the Company’s Dental Technology & Equipment Products and Healthcare Consumable Products. These products includes dental implants, CAD/CAM systems, orthodontic clear aligners, imaging systems, treatment centers, instruments, as well as consumable medical device products. Consumables This segment is responsible for the worldwide design, manufacture, sale and distribution of the Company’s Dental Consumable Products which include preventive, restorative, endodontic, and laboratory dental products. Reclassification of Prior Years Amounts For the year ended December 31, 2019, certain reclassifications have been made to data for the years ended December 31, 2018 and 2017 in order to conform to the current year presentation. Specifically, during the three months ended March 31, 2019, the Company moved the dental laboratory business into the Consumables segment as the products sold from this business are typically made on a recurring basis and have similar sales and operating characteristics as the other businesses in this segment. The Company moved the orthodontics business into the Technologies & Equipment segment to take advantage of the synergies related to digital planning and treatment within this segment. The Company also moved the instruments business into the Technologies & Equipment segment in order to take advantage of the synergies that stem from pairing equipment with instruments, which are often sold in conjunction with each other. The segment information reflects the revised structure for all periods shown. The Company’s segment information for the years ended December 31 were as follows: Net Sales Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 2,283.2 $ 2,167.7 $ 2,202.8 Consumables 1,746.0 1,818.6 1,790.6 Total net sales $ 4,029.2 $ 3,986.3 $ 3,993.4 Net Sales, Excluding Precious Metal Content Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 2,283.2 $ 2,167.7 $ 2,202.8 Consumables 1,704.9 1,781.4 1,750.1 Total net sales, excluding precious metal content $ 3,988.1 $ 3,949.1 $ 3,952.9 Precious metal content of sales 41.1 37.2 40.5 Total net sales, including precious metal content $ 4,029.2 $ 3,986.3 $ 3,993.4 Depreciation and Amortization Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 257.8 $ 238.4 $ 261.3 Consumables 54.2 90.8 53.7 All Other (a) 10.8 1.6 1.4 Total $ 322.8 $ 330.8 $ 316.4 (a) Includes amounts recorded at Corporate headquarters. Segment Adjusted Operating Income (Loss) Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 431.4 $ 277.9 $ 393.9 Consumables 437.1 459.9 495.5 Segment adjusted operating income before income taxes and interest $ 868.5 $ 737.8 $ 889.4 Reconciling Items (income) expense: All other (a) 230.7 184.0 180.3 Restructuring and other costs 80.7 221.0 425.2 Goodwill impairment — 1,085.8 1,650.9 Interest expense 29.4 37.3 38.3 Interest income (2.4) (2.1) (2.4) Other expense (income), net (11.5) (34.9) 5.3 Amortization of intangible assets 189.6 197.9 189.1 Depreciation resulting from the fair value step-up of property, plant and equipment from business combinations 6.6 7.2 6.2 Income (loss) before income taxes $ 345.4 $ (958.4) $ (1,603.5) (a) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations. Capital Expenditures Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 72.8 $ 126.1 $ 92.2 Consumables 34.0 42.8 44.0 All Other (a) 16.1 13.6 8.1 Total $ 122.9 $ 182.5 $ 144.3 (a) Includes capital expenditures of Corporate headquarters. Assets Year Ended December 31, (in millions) 2019 2018 Technologies & Equipment $ 5,926.8 $ 6,479.2 Consumables 2,443.4 2,059.4 All Other (a) 232.7 148.4 Total $ 8,602.9 $ 8,687.0 (a) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations. Geographic Information The following table sets forth information about the Company’s operations in different geographic areas for the years ended December 31, 2019, 2018 and 2017. Net sales reported below represent revenues for shipments made by operating businesses located in the country or territory identified, including export sales. Property, plant and equipment, net, represents those long-lived assets held by the operating businesses located in the respective geographic areas. (in millions) United States Germany Sweden Other Foreign Consolidated 2019 Net sales $ 1,374.8 $ 478.1 $ 56.6 $ 2,119.7 $ 4,029.2 Property, plant and equipment, net 168.4 327.5 98.7 207.8 802.4 2018 Net sales $ 1,269.9 $ 494.3 $ 55.2 $ 2,166.9 $ 3,986.3 Property, plant and equipment, net 211.1 339.3 99.3 220.9 870.6 2017 Net sales $ 1,376.5 $ 493.3 $ 52.4 $ 2,071.2 $ 3,993.4 Property, plant and equipment, net 202.0 331.5 103.4 239.1 876.0 Product and Customer Information Net sales by product category were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Dental consumables products $ 1,687.7 $ 1,739.8 $ 1,663.6 Dental technology and equipment products 2,004.8 1,897.7 2001.8 Healthcare consumable products 336.7 348.8 328.0 Total net sales $ 4,029.2 $ 3,986.3 $ 3,993.4 Dental Consumable Products Dental consumable products consist of value added dental supplies and small equipment used in dental offices for the treatment of patients. It also includes specialized treatment products used within the dental office and laboratory settings including products used in the preparation of dental appliances by dental laboratories. Dentsply Sirona’s dental supplies include endodontic (root canal) instruments and materials, dental anesthetics, prophylaxis paste, dental sealants, impression materials, restorative materials, tooth whiteners and topical fluoride. Small equipment products include intraoral curing light systems, dental diagnostic systems and ultrasonic scalers and polishers. The Company’s products used in dental laboratories include dental prosthetics, including artificial teeth, precious metal dental alloys, dental ceramics and crown and bridge materials. Dental laboratory equipment products include laboratory-based CAD/CAM milling systems, amalgamators, mixing machines and porcelain furnaces. Dental Technology and Equipment Products Dental technology products consist of basic and high-tech dental equipment such as treatment centers, imaging equipment, dental handpieces and computer aided design and machining "CAD/CAM" systems equipment for dental practitioners. The product category also includes high-tech and state-of-art dental implants and related scanning equipment and treatment software, orthodontic clear aligners and appliances for dental practitioners and specialists. The Company offers the broadest line of products to fully outfit a dental practitioner’s office. Treatment centers comprise a broad range of products from basic dentist chairs to sophisticated chair-based units with integrated diagnostic, hygiene and ergonomic functionalities, as well as specialist centers used in preventative treatment and for training purposes. Imaging systems consist of a broad range of diagnostic imaging systems for 2D or 3D, panoramic, and intra-oral applications. Dental CAD/CAM Systems are products designed for dental offices used for dental restorations, which includes several types of restorations, such as inlays, onlays, veneers, crowns, bridges, copings and bridge frameworks made from ceramic, metal or composite blocks. This product line also includes high-tech CAD/CAM techniques of chairside economical restoration of aesthetic ceramic dentistry, or CEREC equipment. This equipment allows for in-office application that enables dentists to produce high quality restorations from ceramic material and insert them into the patient’s mouth during a single appointment. CEREC has a number of advantages compared to the traditional out-of-mouth pre-shaped restoration method, as CEREC does not require a physical model, restorations can be created in the dentist’s office and the procedure can be completed in a single visit. Healthcare Consumable Products Healthcare consumable products consist mainly of urology catheters, medical drills and other non-medical products. Concentration Risk For the year ended December 31, 2019, one customer accounted for approximately 13% of consolidated net sales. At December 31, 2019, two customers each accounted for approximately 12% and 17% of the consolidated accounts receivable balance. For the year ended December 31, 2018, one customer accounted for approximately 10% of consolidated net sales. At December 31, 2018, two customers accounted for approximately 10% and 13%, respectively, of the consolidated accounts receivable balance. For the year ended December 31, 2017, the Company had one customers that accounted for approximately 15% each of consolidated net sales. For the years ended December 31, 2019, 2018, and 2017, third party export sales from the U.S. were less than ten percent of consolidated net sales. |
OTHER EXPENSE (INCOME), NET
OTHER EXPENSE (INCOME), NET | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
OTHER EXPENSE (INCOME), NET | OTHER EXPENSE (INCOME), NET Other expense (income), net, were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Foreign exchange transaction (gain) loss $ (26.9) $ 5.8 $ 1.7 Other expense (income), net 15.4 (40.7) 3.6 Total other expense (income), net $ (11.5) $ (34.9) $ 5.3 |
INVENTORIES, NET
INVENTORIES, NET | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
INVENTORIES, NET | INVENTORIES, NET Inventories, net of inventory valuation reserves, were as follows: Year Ended December 31, (in millions) 2019 2018 Finished goods $ 356.4 $ 380.0 Work-in-process 82.5 89.2 Raw materials and supplies 122.8 129.7 Inventories, net $ 561.7 $ 598.9 The Company’s inventory valuation reserve was $85.0 million and $92.5 million at December 31, 2019 and 2018, respectively. |
PROPERTY, PLANT AND EQUIPMENT,
PROPERTY, PLANT AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT, NET | PROPERTY, PLANT AND EQUIPMENT, NET Property, plant and equipment, net, were as follows: Year Ended December 31, (in millions) 2019 2018 Assets, at cost: Land $ 51.9 $ 55.0 Buildings and improvements 553.6 560.3 Machinery and equipment 1,327.5 1,353.9 Construction in progress 102.0 107.6 $ 2,035.0 $ 2,076.8 Less: Accumulated depreciation 1,232.6 1,206.2 Property, plant and equipment, net $ 802.4 $ 870.6 |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | LEASES The Company leases real estate, automobiles and equipment under various operating and finance leases. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the implicit rate is not readily determinable in most of the Company’s lease agreements, the Company uses its estimated secured incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease expense is recognized on a straight-line basis over the lease term. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. Beginning January 1, 2019, any new real estate and equipment operating lease agreements with lease and nonlease components, will be accounted for as a single lease component; auto leases will be accounted for as separate lease components. The Company determines if an arrangement is a lease or contains a lease at inception. The Company’s leases have remaining lease terms of approximately 1 year to 10 years. Many of the Company's real estate and equipment leases have one or more options to renew, with terms that can extend primarily from 1 year to 3 years, which are not included in the initial lease term. The Company does not have lease agreements with residual value guarantees, sale-and-leaseback terms, or material restrictive covenants. The Company does not have any material sublease arrangements. The net present value of finance and operating lease right-of-use assets and liabilities were as follows: (in millions, except percentages) Location in the Consolidated Balance Sheets December 31, 2019 Assets Finance leases Property, plant, and equipment, net $ 1.4 Operating leases Operating lease right-of-use assets, net 159.3 Total right-of-use assets $ 160.7 Liabilities Current liabilities Finance leases Notes payable and current portion of long-term debt $ 0.2 Operating leases Accrued liabilities 43.7 Noncurrent liabilities Finance leases Long-term debt 1.3 Operating leases Operating lease liabilities 119.5 Total lease liabilities $ 164.7 Supplemental information: Weighted-average discount rate Finance leases 3.6 % Operating leases 2.9 % Weighted-average remaining lease term in years Finance leases 7.0 Operating leases 5.3 The lease cost recognized in the Consolidated Statements of Operations for the year ended December 31, 2019 were as follows: (in millions) 2019 Finance lease cost $ 0.4 Amortization of right-of-use assets 0.3 Interest on lease liabilities 0.1 Operating lease cost 54.4 Short-term lease cost 1.2 Variable lease cost 9.6 Total lease cost $ 65.6 The contractual maturity dates of the remaining lease liabilities for the year ended December 31, 2019 were as follows: (in millions) Finance Leases Operating Leases Total 2020 $ 0.2 $ 47.7 $ 47.9 2021 0.3 36.9 37.2 2022 0.3 26.9 27.2 2023 0.2 20.2 20.4 2024 0.1 15.2 15.3 2025 and beyond 0.6 30.6 31.2 Total lease payments $ 1.7 $ 177.5 $ 179.2 Less imputed interest 0.2 14.3 14.5 Present value of lease liabilities $ 1.5 $ 163.2 $ 164.7 The contractual maturity dates presented under prior lease accounting guidance of the remaining rental commitments at December 31, 2018 were as follows: (in millions) Finance Leases Operating Leases Total 2019 $ 4.2 $ 36.6 $ 40.8 2020 4.2 28.5 32.7 2021 2.5 22.1 24.6 2022 1.8 16.4 18.2 2023 1.3 12.7 14.0 2024 and beyond 1.1 16.9 18.0 Total lease payments $ 15.1 $ 133.2 $ 148.3 The supplemental cash flow information for the year ended December 31, 2019 were as follows: (in millions) 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows paid for finance leases $ 0.1 Operating cash flows paid for operating leases 52.7 Financing cash flows paid for finance leases 0.2 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 35.4 |
Leases | LEASES The Company leases real estate, automobiles and equipment under various operating and finance leases. Operating lease right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As the implicit rate is not readily determinable in most of the Company’s lease agreements, the Company uses its estimated secured incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Lease expense is recognized on a straight-line basis over the lease term. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. Beginning January 1, 2019, any new real estate and equipment operating lease agreements with lease and nonlease components, will be accounted for as a single lease component; auto leases will be accounted for as separate lease components. The Company determines if an arrangement is a lease or contains a lease at inception. The Company’s leases have remaining lease terms of approximately 1 year to 10 years. Many of the Company's real estate and equipment leases have one or more options to renew, with terms that can extend primarily from 1 year to 3 years, which are not included in the initial lease term. The Company does not have lease agreements with residual value guarantees, sale-and-leaseback terms, or material restrictive covenants. The Company does not have any material sublease arrangements. The net present value of finance and operating lease right-of-use assets and liabilities were as follows: (in millions, except percentages) Location in the Consolidated Balance Sheets December 31, 2019 Assets Finance leases Property, plant, and equipment, net $ 1.4 Operating leases Operating lease right-of-use assets, net 159.3 Total right-of-use assets $ 160.7 Liabilities Current liabilities Finance leases Notes payable and current portion of long-term debt $ 0.2 Operating leases Accrued liabilities 43.7 Noncurrent liabilities Finance leases Long-term debt 1.3 Operating leases Operating lease liabilities 119.5 Total lease liabilities $ 164.7 Supplemental information: Weighted-average discount rate Finance leases 3.6 % Operating leases 2.9 % Weighted-average remaining lease term in years Finance leases 7.0 Operating leases 5.3 The lease cost recognized in the Consolidated Statements of Operations for the year ended December 31, 2019 were as follows: (in millions) 2019 Finance lease cost $ 0.4 Amortization of right-of-use assets 0.3 Interest on lease liabilities 0.1 Operating lease cost 54.4 Short-term lease cost 1.2 Variable lease cost 9.6 Total lease cost $ 65.6 The contractual maturity dates of the remaining lease liabilities for the year ended December 31, 2019 were as follows: (in millions) Finance Leases Operating Leases Total 2020 $ 0.2 $ 47.7 $ 47.9 2021 0.3 36.9 37.2 2022 0.3 26.9 27.2 2023 0.2 20.2 20.4 2024 0.1 15.2 15.3 2025 and beyond 0.6 30.6 31.2 Total lease payments $ 1.7 $ 177.5 $ 179.2 Less imputed interest 0.2 14.3 14.5 Present value of lease liabilities $ 1.5 $ 163.2 $ 164.7 The contractual maturity dates presented under prior lease accounting guidance of the remaining rental commitments at December 31, 2018 were as follows: (in millions) Finance Leases Operating Leases Total 2019 $ 4.2 $ 36.6 $ 40.8 2020 4.2 28.5 32.7 2021 2.5 22.1 24.6 2022 1.8 16.4 18.2 2023 1.3 12.7 14.0 2024 and beyond 1.1 16.9 18.0 Total lease payments $ 15.1 $ 133.2 $ 148.3 The supplemental cash flow information for the year ended December 31, 2019 were as follows: (in millions) 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows paid for finance leases $ 0.1 Operating cash flows paid for operating leases 52.7 Financing cash flows paid for finance leases 0.2 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 35.4 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS 2019 Annual Goodwill Impairment Testing As discussed in Note 5, Segment Information, effective January 1, 2019, the Company realigned certain businesses between segments resulting in a change from eleven reporting units to five. As a result, the Company transferred goodwill between segments due to these changes. Affected reporting units, including the CAD/CAM and Treatment Center reporting units in the Technologies & Equipment segment, were tested for potential impairment of goodwill before the transfers. No goodwill impairment was identified due to the realignment. The Company performed the required annual impairment tests of goodwill at at April 30, 2019 on five reporting units. The performance of the Company’s annual impairment test did not result in any impairment of the Company’s goodwill. 2019 Annual Indefinite-Lived Intangibles Impairment Testing During the three months ended March 31, 2019, the Company impaired $5.3 million of product tradenames and trademarks within the Technologies & Equipment segment. The impairment was the result of a change in forecasted sales related to the divestitures of non-strategic product lines. The Company assessed the annual impairment of indefinite-lived intangible assets at April 30, 2019, which largely consists of acquired tradenames and trademarks, in conjunction with the annual impairment tests of goodwill. The performance of the Company’s annual impairment test did not result in any impairment of the Company’s indefinite-lived intangible assets. Unfavorable developments in the market for the dental or medical device industries, an increase in discounts rates, unfavorable changes in earnings multiples or a decline in future cash flow projections, among other factors, may cause a change in circumstances indicating that the carry value of the indefinite-lived assets and goodwill within the Company’s reporting units may not be recoverable. 2018 Annual Goodwill Impairment Testing In connection with the updating of the estimates and assumptions with the April 30, 2018 annual impairment test of goodwill and the preparation of the financial statements for the three months ended June 30, 2018, the Company determined that the goodwill associated with the CAD/CAM, Imaging and Orthodontics businesses, all within the Technologies & Equipment segment, was impaired. Additionally, near the end of the quarter, the Company recognized that the CAD/CAM and Imaging businesses’ (“equipment businesses”) revenue and operating margins would not meet forecasted expectations for the quarter as a result of several significant unfavorable developments which also affected the business's projections for future revenue and operating margins. As a result, the Company recorded a goodwill impairment charge of $1,085.8 million. The significant unfavorable developments in the current period which are reflected in the Company’s April 30, 2018 goodwill impairment testing model, are as follows: • The equipment businesses were negatively affected in connection with the continued transition of the Company’s distribution relationships primarily in the U.S. from exclusive to non-exclusive. The Company’s expectations for revenue growth from its non-exclusive distribution relationships, which replaced its former long-term exclusive distribution relationship, were not met. As a result, the Company’s forecasts of current and future third-party demand have been reduced as the Company’s U.S. distributors continue to offer and promote competitive alternatives to the Company’s full CAD/CAM systems and lower-priced alternatives to the Imaging business products. • The Imaging business observed revenue and operating margins being negatively impacted by aggressive competition with a focus on value-based products in the marketplace as opposed to the business's premium products. This has resulted in increased competition from low-cost products in certain regions throughout the world causing the business to offer additional product features at the current price levels and to offer additional promotions and reduce its future sales forecasts. • The CAD/CAM and Imaging businesses have also experienced lower than expected sales with respect to higher margin products as well as a regional shift in sales to emerging markets each of which has negatively impacted the businesses overall operating margins as compared to the original forecasts for the period and for future sales forecasts. • The equipment businesses were also further impacted by the unfavorable change in the discount rate due primarily to a higher risk factor, which represents management’s assessment of increased risk with respect to the CAD/CAM and Imaging businesses’ forecasts primarily due to the factors described above, and to a lesser extent a higher risk-free interest rate for all businesses. • The increased reduction of inventory being held by the Company’s U.S. distributors in the second quarter, which was larger than anticipated for the period, and planned further reductions of inventory, impacts the Company’s near-term results. As a result of the factors described above, and the resulting reduced revenue and profitability expectations for these businesses, we forecasted reductions in unit volume growth rates and operating margins and lower future cash flows used to estimate the fair value of these businesses, which resulted in a determination that an impairment adjustment was required. The Orthodontics business goodwill impairment charge was primarily driven by lower operating margins and lower sales growth. The products manufactured and sold within this business have consisted mainly of traditional orthodontic treatment products, (i.e., brackets, bands and wires). The impairment charge is unrelated to the Company’s acquisition of OraMetrix. The Company has observed a continuing decline in operating margins as the marketplace has seen higher than expected price competition primarily due to increased supply of traditional orthodontic products in the market. In addition, the Company has seen lower than expected revenue growth which is reflected in its future forecast. The Company believes the revenue trend is the result of competition as well as the growing end-user demand for newer orthodontic treatment options. At December 31, 2018, the Company did not identify any impairment triggers related to the businesses noted above. For the Company’s businesses that were not impaired, the Company applied a hypothetical sensitivity analysis. Had the discount rate of each of these businesses been hypothetically increased by 100 basis points at April 30, 2018, the fair value of one business, Treatment Centers, would not exceed net book value. If the fair value of each of these businesses had been hypothetically reduced by 10% at April 30, 2018, the fair value of one business, Treatment Centers, would not exceed net book value. Goodwill for the Treatment Centers business totals $292.4 million at December 31, 2018. In conjunction with the goodwill and indefinite-lived intangibles impairment test, the Company utilized its best estimate of future cash flows as of April 30, 2018, which include significant management assumptions such as future revenue growth rates, operating margins, weighted average cost of capital, and future economic and market conditions affecting the dental and medical device industries. Any changes to these assumptions and estimates could have a negative impact on the fair value of these businesses and may result in further impairment. Given the uncertainty in the marketplace and other factors affecting management’s assumptions underlying the Company’s discounted cash flow model, these estimates could vary significantly in the future, which may result in a goodwill impairment charge at that time. The goodwill impairment charge is not expected to result in future cash expenditures. 2018 Annual Indefinite-Lived Intangibles Impairment Testing The Company also assessed the annual impairment of indefinite-lived intangible assets as of April 30, 2018, which largely consist of acquired tradenames and trademarks, in conjunction with the annual impairment tests of goodwill. As a result of the annual impairment tests of indefinite-lived intangible assets, the Company recorded an impairment charge of $179.2 million for the three months ended June 30, 2018 which was recorded in Restructuring and other costs in the Consolidated Statements of Operations. The impaired indefinite-lived intangible assets are tradenames and trademarks related to the CAD/CAM, Imaging, and Instrument businesses. The impairment charge was primarily driven by a decline in forecasted sales resulting from increased competition and the impact of low-cost competitive products, as discussed above with respect to goodwill. In addition, the unfavorable impact of an increase in the equipment business's respective risk factors, along with increases in the risk-free rate, increased the discount rate. At December 31, 2018, the Company did not identify any impairment triggers for the indefinite-lived asset related to the businesses noted above. 2017 Goodwill Impairment Testing In preparing the financial statements for the year ended December 31, 2017, the Company identified an impairment triggering event related to the CAD/CAM, Imaging and Treatment Center equipment businesses. Forecasted revenues and operating margins for these businesses were impacted by continued unfavorable developments in the marketplace which included an increase in competition. These developments resulted in significantly lower sales to end-users than expected in the fourth quarter of 2017 in the North America and Rest of World regions as well as declines in expected gross profit rates which included the unfavorable impacts from changes in the foreign exchange rates. The impacts from foreign exchange rate changes were primarily driven by the strengthening of the euro versus the U.S. dollar as a result of the higher euro denominated costs and net assets associated with these businesses as compared to the lower amount of euro denominated sales. While the Company considered unfavorable market developments and foreign exchange rate changes, in its April 30, 2017 assessment, the impact of these developments were at levels beyond those anticipated by the Company despite moving away from a non-exclusive distribution channel in the United States and the execution of new distribution agreements with Patterson and Henry Schein in May and June of 2017. In addition to the unfavorable market and foreign exchange rate developments, the income tax rate forecast used in the annual goodwill test was unfavorably impacted by the recent tax legislation in the U.S. and other foreign jurisdictions. As a result the Company tested these businesses for impairment in preparation of the financial statements for the year ended December 31, 2017 and determined that the goodwill associated with the CAD/CAM, Imaging and Treatment Center businesses, all within the Technologies & Equipment segment, was impaired. The impairment was the result of a change in forecasted sales and gross profit as well as changes in foreign exchange rates and the income tax rate. As a result, the Company recorded a goodwill impairment charge of $558.0 million for the three months ended December 31, 2017. The combination of impairment charges for the second and fourth quarters of 2017 resulted in a total goodwill impairment charge of $1,650.9 million for the year ended December 31, 2017. 2017 Indefinite-Lived Intangibles Impairment Testing The Company also assessed the annual impairment of indefinite-lived intangible assets as of April 30, 2017, which largely consists of acquired tradenames and trademarks, in conjunction with the annual impairment tests of goodwill. As a result of the annual impairment tests of indefinite-lived intangible assets, the Company recorded an impairment charge of $79.8 million for the three months ended June 30, 2017 which was recorded in Restructuring and other cost in the Consolidated Statements of Operations. The impaired indefinite-lived intangible assets are tradenames and trademarks related to the CAD/CAM and Imaging equipment businesses. The impairment charge was driven by a decline in forecasted sales at that time. In preparing the financial statements for the year ended December 31, 2017, the Company, as result of the triggering event, tested the indefinite-lived intangible assets related to these businesses for impairment. As a result, the Company identified that certain tradenames and trademarks related to the CAD/CAM, Imaging and Treatment Center equipment businesses, all within the Technologies & Equipment segment, were impaired. The Company recorded an impairment charge of $266.9 million for the three months ended December 31, 2017 which was recorded in Restructuring and other cost in the Consolidated Statements of Operations. The combination of impairment charges for the second and fourth quarters of 2017 resulted in a total impairment charge for the year ended December 31, 2017 of $346.7 million related to indefinite-lived assets. The impairment charge was driven by a continuing decline in forecasted sales at that time. A reconciliation of changes in the Company’s goodwill by reportable segment were as follows (the segment information below reflects the current structure for all periods shown): (in millions) Technologies & Equipment Consumables Total Balance at December 31, 2017 $ 3,634.4 $ 904.8 $ 4,539.2 Acquisition activity 58.0 3.7 61.7 Adjustment of provisional amounts on prior acquisitions — 0.7 0.7 Impairment (1,085.7) — (1,085.7) Effect of exchange rate changes (61.8) (22.8) (84.6) Balance at December 31, 2018 $ 2,544.9 $ 886.4 $ 3,431.3 Acquisition activity 3.3 — 3.3 Divestiture of business (4.1) — (4.1) Effect of exchange rate changes (28.4) (5.6) (34.0) Balance at December 31, 2019 $ 2,515.7 $ 880.8 $ 3,396.5 The gross carrying amount of goodwill and the cumulative goodwill impairment were as follows: Year Ended December 31, 2019 2018 (in millions) Gross Carrying Amount Cumulative Impairment Net Carrying Amount Gross Carrying Amount Cumulative Impairment Net Carrying Amount Technologies & Equipment $ 5,252.3 $ (2,736.6) $ 2,515.7 $ 5,281.5 $ (2,736.6) $ 2,544.9 Consumables 880.8 — 880.8 886.4 — 886.4 Total effect of cumulative impairment $ 6,133.1 $ (2,736.6) $ 3,396.5 $ 6,167.9 $ (2,736.6) $ 3,431.3 Identifiable definite-lived and indefinite-lived intangible assets at were as follows: Year Ended December 31, 2019 2018 (in millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Patents $ 1,351.3 $ (517.9) $ 833.4 $ 1,376.4 $ (407.1) $ 969.3 Tradenames and trademarks 79.0 (63.4) 15.6 81.1 (62.5) 18.6 Licensing agreements 36.0 (27.9) 8.1 36.1 (26.3) 9.8 Customer relationships 1,070.5 (399.2) 671.3 1,085.3 (334.4) 750.9 Total definite-lived $ 2,536.8 $ (1,008.4) $ 1,528.4 $ 2,578.9 $ (830.3) $ 1,748.6 Indefinite-lived tradenames and trademarks $ 647.9 $ — $ 647.9 $ 671.7 $ — $ 671.7 Total identifiable intangible assets $ 3,184.7 $ (1,008.4) $ 2,176.3 $ 3,250.6 $ (830.3) $ 2,420.3 Amortization expense for identifiable definite-lived intangible assets for the years ended December 31, 2019, 2018 and 2017 was $189.6 million, $197.9 million and $189.1 million, respectively. The annual estimated amortization expense related to these intangible assets for each of the five succeeding calendar years is $187.1 million, $185.7 million, $183.3 million, $182.3 million and $181.8 million for 2020, 2021, 2022, 2023 and 2024, respectively. |
PREPAID EXPENSES AND OTHER CURR
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 12 Months Ended |
Dec. 31, 2019 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PREPAID EXPENSES AND OTHER CURRENT ASSETS | PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets were as follows: Year Ended December 31, (in millions) 2019 2018 Prepaid expenses $ 81.3 $ 104.8 Deposits 40.4 28.2 Fair value of derivatives 28.9 21.3 Other current assets 100.7 123.3 Prepaid expenses and other current assets $ 251.3 $ 277.6 |
ACCRUED LIABILITIES
ACCRUED LIABILITIES | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities Disclosure [Abstract] | |
ACCRUED LIABILITIES | ACCRUED LIABILITIES Accrued liabilities were as follows: Year Ended December 31, (in millions) 2019 2018 Payroll, commissions, bonuses, other cash compensation and employee benefits $ 178.8 $ 161.9 Sales and marketing programs 17.0 13.6 Reserve for dealer rebates 125.0 91.7 Restructuring costs 28.0 43.4 Accrued vacation and holidays 36.7 40.2 Professional and legal costs 35.9 42.2 Current portion of derivatives 2.8 2.8 General insurance 12.3 12.5 Warranty liabilities 17.8 13.0 Third party royalties 11.5 10.0 Deferred income 29.2 29.3 Accrued interest 10.8 11.6 Accrued travel expenses 7.5 7.8 Accrued property taxes 11.0 10.2 Current operating lease liabilities 43.7 — Other 61.2 88.7 Accrued liabilities $ 629.2 $ 578.9 |
FINANCING ARRANGEMENTS
FINANCING ARRANGEMENTS | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
FINANCING ARRANGEMENTS | FINANCING ARRANGEMENTS Short-Term Debt Short-term debt were as follows: Year Ended December 31, 2019 2018 Principal Interest Principal Interest (in millions except percentages) Balance Rate Balance Rate Corporate commercial paper facility $ — — % $ 67.8 2.8 % Other short-term loans 2.1 3.7 % 14.0 0.8 % Add: Current portion of long-term debt 0.2 10.6 Total short-term debt $ 2.3 $ 92.4 Maximum month-end short-term debt outstanding during the year $ 148.2 $ 248.5 Average amount of short-term debt outstanding during the year 50.1 121.7 Weighted-average interest rate on short-term debt at year-end 3.7 % 2.5 % Short-Term Borrowings The Company has access to a $700.0 million multi-currency revolving credit facility. The facility is unsecured and contains certain affirmative and negative covenants relating to the operations and financial condition of the Company. The most restrictive of these covenants pertain to asset dispositions and prescribed ratios of indebtedness to total capital and operating income, plus depreciation and amortization to interest expense. The Company has a $500.0 million commercial paper facility. At December 31, 2019, the Company had no outstanding borrowings and at December 31, 2018 had $67.8 million outstanding borrowings under this commercial paper facility. The average balance outstanding for the commercial paper facility during the year ended December 31, 2019 was $38.1 million. The multi-currency revolving credit facility serves as a back-stop facility for the Company's commercial paper program. On July 31, 2019, the Company amended its $700.0 million revolving credit facility to extend the maturity date one year to July 26, 2024. Long-Term Debt Long-term debt were as follows: Year Ended December 31, 2019 2018 Principal Interest Principal Interest (in millions except percentages) Balance Rate Balance Rate Term loan 12.6 billion Japanese yen due September 2019 $ — — % $ 114.6 0.6 % Term loan $175.0 million due August 2020 — — % 131.3 3.9 % Fixed rate senior notes $450 million due August 2021 296.0 4.1 % 295.7 4.1 % Private placement notes 70.0 million euros due October 2024 78.5 1.0 % 80.2 1.0 % Private placement notes 25.0 million Swiss franc due December 2025 25.8 0.9 % 25.4 0.9 % Private placement notes 97.0 million euros due December 2025 108.8 2.1 % 111.2 2.1 % Private placement notes 26.0 million euros due February 2026 29.2 2.1 % 29.8 2.1 % Private placement notes 58.0 million Swiss franc due August 2026 60.0 1.0 % 59.0 1.0 % Private placement notes 106.0 million euros due August 2026 118.9 2.3 % 121.5 2.3 % Private placement notes 70.0 million euros due October 2027 78.5 1.3 % 80.2 1.3 % Private placement notes 7.5 million Swiss franc due December 2027 7.8 1.0 % 7.6 1.0 % Private placement notes 15.0 million euros due December 2027 16.8 2.2 % 17.2 2.2 % Private placement notes 140.0 million Swiss franc due August 2028 144.7 1.2 % 142.5 1.2 % Private placement notes 70.0 million euros due October 2029 78.5 1.5 % 80.2 1.5 % Private placement notes 70.0 million euros due October 2030 78.5 1.6 % 80.2 1.6 % Private placement notes 45.0 million euros due February 2031 50.5 2.5 % 51.6 2.5 % Private placement notes 65.0 million Swiss franc due August 2031 67.2 1.3 % 66.1 1.3 % Private placement notes 12.6 billion Japanese yen due September 2031 115.5 1.0 % — — % Private placement notes 70.0 million euros due October 2031 78.5 1.7 % 80.2 1.7 % Other borrowings, various currencies and rates 4.1 5.5 $ 1,437.8 $ 1,580.0 Less: Current portion (included in “Notes payable and current portion of long-term debt” in the Consolidated Balance Sheets) 0.2 10.6 Less: Long-term portion of deferred financing costs 4.5 4.5 Long-term portion $ 1,433.1 $ 1,564.9 On May 28, 2019, the Company pre-paid the PNC term loan for a total of $131.3 million using cash and short-term commercial paper. On June 24, 2019, the Company entered into a Private Placement Note Purchase Agreement ("PPN") to borrow 12.5 billion Japanese yen for a term of 12 years at a coupon of 0.99%. The proceeds were used to repay the 12.5 billion Japanese yen term loan maturing September 30, 2019. At December 31, 2019, the Company had $735.9 million borrowings available under unused lines of credit, including lines available under its short-term arrangements and revolving credit agreement. The Company’s revolving credit facility, term loans and senior notes contain certain affirmative and negative covenants relating to the Company's operations and financial condition. At December 31, 2019, the Company was in compliance with all debt covenants. The table below reflects the contractual maturity dates of the various long term borrowings were as follows: (in millions) December 31, 2019 2020 $ 0.2 2021 297.4 2022 1.3 2023 0.4 2024 78.7 2025 and beyond 1,059.8 $ 1,437.8 |
EQUITY
EQUITY | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
EQUITY | EQUITY At December 31, 2019, the Company had authorization to purchase $1.0 billion shares of common stock under the share repurchase program and has $489.8 million remaining under this program. Share repurchases will be made through open market purchases, Rule 10b5-1 plans, accelerated share repurchase transactions and other structured share repurchases, privately negotiated transactions or other transactions in such amounts and at such times as the Company deems appropriate based upon prevailing market and business conditions and other factors. For the years ended December 31, 2019, 2018 and 2017, the Company repurchased outstanding shares of common stock at a cost of $260.0 million, $250.2 million and $400.3 million, respectively. For the years ended December 31, 2019, 2018 and 2017, the Company received proceeds of $108.9 million, $28.0 million and $82.3 million, respectively, primarily as a result of stock options exercised in the amount of 2.7 million, 1.0 million and 2.3 million in each of the years, respectively. It is the Company’s practice to issue shares from treasury stock when options are exercised. Total outstanding shares of common stock and treasury stock were as follows: (in millions) Shares of Common Stock Shares of Treasury Stock Outstanding Shares Balance at December 31, 2016 264.5 (34.4) 230.1 Shares of treasury stock issued — 2.9 2.9 Repurchase of common stock at an average cost of $64.40 — (6.2) (6.2) Balance at December 31, 2017 264.5 (37.7) 226.8 Shares of treasury stock issued — 1.6 1.6 Repurchase of common stock at an average cost of $45.92 — (5.4) (5.4) Balance at December 31, 2018 264.5 (41.5) 223.0 Shares of treasury stock issued — 3.1 3.1 Repurchase of common stock at an average cost of $54.18 — (4.8) (4.8) Balance at December 31, 2019 264.5 (43.2) 221.3 The Company maintains the 2016 Omnibus Incentive Plan (the “Plan”) under which it may grant non-qualified stock options (“NQSOs”), incentive stock options, restricted stock, RSUs and stock appreciation rights, collectively referred to as “Awards.” Awards are granted at exercise prices that are equal to the closing stock price on the date of grant. The Company authorized grants under the Plan of 25.0 million shares of common stock, plus any unexercised portion of canceled or terminated stock options granted under the legacy DENTSPLY International Inc. 2010 and 2002 Equity Incentive Plans, as amended, and under the legacy Sirona Dental Systems, Inc. 2015 and 2006 Equity Incentive Plans, as amended. For each restricted stock and RSU issued, it is counted as a reduction of 3.09 shares of common stock available to be issued under the Plan. No key employee may be granted awards in excess of 1.0 million shares of common stock in any calendar year. The number of shares available for grant under the 2016 Plan at December 31, 2019 is 27.0 million. Total stock based compensation expense and the tax related benefit were as follows: Year End December 31, (in millions) 2019 2018 2017 Stock option expense $ 7.1 $ 6.6 $ 15.4 RSU expense 57.8 13.2 31.2 Total stock based compensation expense $ 64.9 $ 19.8 $ 46.6 Related deferred income tax benefit $ 8.4 $ 2.4 $ 8.4 For the years ended December 31, 2019, 2018, and 2017, stock compensation expense of $64.9 million, $19.8 million and $46.6 million, respectively, was recorded in the Consolidated Statements of Operations. For the years ended December 31, 2019, 2018, and 2017, $63.0 million, $18.0 million and $45.7 million, respectively, was recorded in Selling, general and administrative expense and $1.9 million, $0.7 million and $0.7 million, respectively, was recorded in Cost of products sold. For the years ended December 31, 2018 and 2017, the Company recorded $1.1 million and $0.2 million, respectively, in Restructuring and other costs in the Consolidated Statements of Operations. For the years ended December 31, 2019 and 2018, the Company lowered the likely payout level on certain performance-based grants. There were 1.1 million non-qualified stock options unvested at December 31, 2019. The remaining unamortized compensation cost related to non-qualified stock options is $7.9 million, which will be expensed over the weighted average remaining vesting period of the options, or 1.9 years. The unamortized compensation cost related to RSUs is $58.0 million, which will be expensed over the remaining weighted average restricted period of the RSUs, or 3.0 years. The Company uses the Black-Scholes option-pricing model to estimate the fair value of each option awarded. The average assumptions used to determine compensation cost for the Company’s NQSOs issued were as follows: Year End December 31, 2019 2018 2017 Weighted average fair value per share $ 12.20 $ 12.38 $ 13.83 Expected dividend yield 0.71 % 0.64 % 0.57 % Risk-free interest rate 2.36 % 2.72 % 2.11 % Expected volatility 22.6 % 19.7 % 20.0 % Expected life (years) 6.00 6.07 5.95 The total intrinsic value of options exercised for the years ended December 31, 2019, 2018 and 2017 was $37.3 million, $21.5 million and $65.2 million, respectively. The total fair value of shares vested for the years ended December 31, 2019, 2018 and 2017 was $43.7 million, $47.8 million and $44.7 million, respectively. The NQSO transactions for the year ended December 31, 2019 were as follows: Outstanding Exercisable (in millions, except per share amounts) Shares Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value December 31, 2018 6.4 $ 46.80 $ 4.5 5.0 $ 43.98 $ 4.5 Granted 0.6 49.71 Exercised (2.7) 40.34 Cancelled (0.4) 61.38 Forfeited (0.1) 59.59 December 31, 2019 3.8 $ 50.02 $ 28.1 2.7 $ 48.85 $ 23.2 The weighted average remaining contractual term of all outstanding options is 5.4 years and the weighted average remaining contractual term of exercisable options is 4.1 years. Information about NQSOs outstanding for the year ended December 31, 2019 were as follows: Outstanding Exercisable Number Outstanding at December 31, 2019 Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable at December 31, 2019 Weighted Average Exercise Price Range of Exercise Prices (in millions, except per share amounts and life) 30.01 - 40.00 0.5 2.0 $ 37.50 0.5 $ 37.51 40.01 - 50.00 1.4 5.9 46.19 0.9 44.24 50.01 - 60.00 1.3 6.3 54.84 0.8 54.36 60.01 - 70.00 0.6 5.4 62.13 0.5 62.08 3.8 5.4 $ 50.02 2.7 $ 48.85 The unvested RSU transactions for the year ended December 31, 2019 were as follows: Unvested Restricted Stock Units Shares Weighted Average Grant Date Fair Value (in millions, except per share amounts) Unvested at December 31, 2018 1.5 $ 56.93 Granted 3.7 45.69 Vested (0.4) 54.60 Forfeited (0.3) 55.99 Unvested at December 31, 2019 4.5 $ 47.79 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The components of income (loss) before income taxes were as follows: Year Ended December 31, (in millions) 2019 2018 2017 United States $ (109.8) $ (279.6) $ (145.0) Foreign 455.2 (678.8) (1,458.5) $ 345.4 $ (958.4) $ (1,603.5) The components of the provision (benefit) for income taxes from operations were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Current: U.S. federal $ (11.2) $ 9.8 $ 1.7 U.S. state 1.5 3.2 5.9 Foreign 129.4 101.5 83.0 Total $ 119.7 $ 114.5 $ 90.6 Deferred: U.S. federal $ (2.0) $ 46.4 $ 2.8 U.S. state 1.8 (3.0) 11.4 Foreign (37.2) (105.4) (158.0) Total $ (37.4) $ (62.0) $ (143.8) $ 82.3 $ 52.5 $ (53.2) The reconciliation of the U.S. federal statutory tax rate to the effective rate were as follows: Year Ended December 31, 2019 2018 2017 Statutory U.S. federal income tax rate 21.0 % 21.0 % 35.0 % Effect of: State income taxes, net of federal benefit 0.7 (0.2) (0.1) Federal benefit of R&D and foreign tax credits (2.0) 1.0 2.8 Tax effect of international operations 0.4 1.8 3.6 Global Intangible Low Taxed Income (GILTI) 3.7 (1.1) — Net effect of tax audit activity 0.4 (1.0) (0.6) Tax effect of enacted statutory rate changes on Non-U.S. jurisdictions 0.1 0.3 (0.2) Federal tax on unremitted earnings of certain foreign subsidiaries 0.1 (0.1) — Valuation allowance adjustments (1.3) (5.7) (0.7) U.S. tax reform - net impacts — 0.4 (1.2) Tax effect of impairment of goodwill and intangibles (0.2) (22.1) (37.4) Other 0.9 0.2 2.1 Effective income tax rate on operations 23.8 % (5.5 %) 3.3 % The tax effect of significant temporary differences giving rise to deferred tax assets and liabilities were as follows: Year Ended December 31, 2019 2018 (in millions) Deferred Tax Asset Deferred Tax Liability Deferred Tax Asset Deferred Tax Liability Commission and bonus accrual $ 10.6 $ — $ 4.5 $ — Employee benefit accruals 55.9 — 56.8 — Inventory 15.3 — 13.9 — Identifiable intangible assets — 630.7 — 686.0 Insurance premium accruals 3.0 — 3.2 — Miscellaneous accruals 21.3 — 19.2 — Other — 2.2 3.0 — Unrealized losses included in AOCI 46.0 — 24.4 — Property, plant and equipment — 49.6 — 56.1 Lease right-of-use asset — 38.8 — — Lease right-of-use liability 39.7 — — — Product warranty accruals 1.5 — 1.5 — Foreign tax credit and R&D carryforward 73.5 — 78.8 — Restructuring and other cost accruals 3.8 — 3.1 — Sales and marketing accrual 6.2 — 5.3 — Taxes on unremitted earnings of foreign subsidiaries — 3.5 — 3.2 Tax loss carryforwards and other tax attributes 268.6 — 285.8 — Subtotal $ 545.4 $ 724.8 $ 499.5 $ 745.3 Valuation allowances (288.0) — (288.4) — Total $ 257.4 $ 724.8 $ 211.1 $ 745.3 Deferred tax assets and liabilities are included in the following Consolidated Balance Sheets line items at December 31 were as follows: (in millions) 2019 2018 Assets Other noncurrent assets, net $ 12.2 $ 18.6 Liabilities Deferred income taxes $ 479.6 $ 552.8 The Company has $71.2 million of foreign tax credit carryforwards at December 31, 2019, of which $29.1 million will expire in 2024, $38.9 million will expire in 2025, $1.5 million will expire in 2028, and $1.7 million will expire in 2029. The Company has tax loss carryforwards related to certain foreign and domestic subsidiaries of approximately $1,303.2 million at December 31, 2019, of which $1,045.3 million expires at various times through 2039 and $257.9 million may be carried forward indefinitely. Included in deferred income tax assets at December 31, 2019 are tax benefits totaling $239.3 million, before valuation allowances, for the tax loss carryforwards. In addition the Company has recorded a deferred tax asset of $29.3 million, related to tax attributes. The Company has recorded $217.2 million of valuation allowance to offset the tax benefit of net operating losses, $56.2 million to offset the tax benefit of foreign tax credits, and $14.6 million of valuation allowance for other deferred tax assets. The Company has recorded these valuation allowances due to the uncertainty that these assets can be realized in the future. The Company has provided $3.5 million of withholding taxes on certain undistributed earnings of its foreign subsidiaries that the Company anticipates will be repatriated. Tax Contingencies The total amount of gross unrecognized tax benefits at December 31, 2019 is approximately $26.0 million, of this total, approximately $24.4 million represents the amount of unrecognized tax benefits that, if recognized, would affect the effective income tax rate. It is reasonably possible that certain amounts of unrecognized tax benefits will significantly increase or decrease within twelve months of the reporting date of the Company’s consolidated financial statements. Final settlement and resolution of outstanding tax matters in various jurisdictions during the next twelve months could include unrecognized tax benefits of approximately $5.8 million. Of this approximately $5.3 million represents the amount of unrecognized tax benefits that, if recognized would affect the effective income tax rate. The total amount of accrued interest and penalties were $2.5 million and $4.1 million at December 31, 2019 and 2018, respectively. The Company has consistently classified interest and penalties recognized in its consolidated financial statements as income taxes based on the accounting policy election of the Company. During the years ended December 31, 2018 and 2017, the Company recognized income tax expense of $0.6 million and $0.5 million respectively, related to interest and penalties. During the year ended December 31, 2019, the Company recognized income tax benefit of $1.5 million, related to interest and penalties. The Company is subject to U.S. federal income tax as well as income tax of multiple state and foreign jurisdictions. The significant jurisdictions include the U.S., Germany, Sweden and Switzerland. The Company has substantially concluded all U.S. federal income tax matters for years through 2011. The Company is currently under audit for the tax years 2012 and 2013 and 2015 and 2016. For further information on the Internal Revenue Service (“IRS”) Audit, see Note 20, Commitments and Contingencies. The tax years 2014 through 2018 are subject to future potential tax audit adjustments. The Company has concluded audits in Germany through the tax year 2014 and is currently under audit for the years 2015 through 2017. The taxable years that remain open for Sweden are 2013 through 2018. For information related to Sweden, see Note 20, Commitments and Contingencies. The taxable years that remain open for Switzerland are 2009 through 2018. The activity recorded for unrecognized tax benefits were as follows: (in millions) 2019 2018 2017 Unrecognized tax benefits at beginning of period $ 27.8 $ 21.0 $ 10.8 Gross change for prior period positions (0.4) 7.5 8.6 Gross change for current year positions 0.3 0.3 0.3 Decrease due to settlements and payments (3.9) (0.3) — Decrease due to statute expirations — (0.1) — Increase due to effect of foreign currency translation — — 1.3 Decrease due to effect from foreign currency translation (0.3) (0.6) — Unrecognized tax benefits at end of period $ 23.5 $ 27.8 $ 21.0 U.S. Federal Legislative Changes On December 22, 2017, the Tax Cuts and Jobs Act (the "Act" or "U.S. tax reform") was enacted. U.S. tax reform, among other things, reduced the U.S. federal income tax rate to 21% in 2018 from 35%, instituted a dividends received deduction for foreign earnings with a related tax for the deemed repatriation of unremitted foreign earnings and created a new U.S. minimum tax on earnings of foreign subsidiaries. In addition, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB 118”), which provides guidance on accounting for enactment effects of the Act and provides a measurement period of up to one year from the Act’s enactment date for companies to complete their accounting under Accounting Standards Codification No. 740 “Income Taxes”, (“ASC 740”). In accordance with SAB 118, income tax effects of the Act were refined upon obtaining, preparing, and analyzing additional information during the measurement period. At December 31, 2018 the Company had completed its accounting for the tax effects of the Act. |
BENEFIT PLANS
BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
BENEFIT PLANS | BENEFIT PLANS Defined Contribution Plans The Company maintains both U.S. and non-U.S. employee defined contribution plans. The primary U.S. plan, the Dentsply Sirona Inc. 401(k) Savings (the "Plan"), allows eligible employees to contribute a portion of their cash compensation to the plan on a tax-deferred basis, and in most cases, the Company provides a matching contribution. The Plan includes various investment funds. The Company makes a discretionary cash contribution that is initially targeted to be 3% of compensation. Each eligible participant who elects to defer to the Plan will receive a matching contribution of 100% on the first 1% contributed and 50% on the next 5% contributed for a total maximum matching contribution of 3.5%. In addition to the primary U.S. plan, the Company also maintains various other U.S. and non-U.S. defined contribution and non-qualified deferred compensation plans. The annual expenses, net of forfeitures, were $35.3 million, $35.1 million and $33.4 million for the years ended December 31 2019, 2018, and 2017, respectively. Defined Benefit Plans The Company maintains defined benefit pension plans for certain employees in Austria, France, Germany, Italy, Japan, the Netherlands, Norway, Sweden, Switzerland and Taiwan. These plans provide benefits based upon age, years of service and remuneration. The United States and other foreign pension plans are not significant individually or in the aggregate. Substantially all of the German and Swedish plans are unfunded book reserve plans. Most employees and retirees outside the U.S. are covered by government health plans. The Company predominantly uses liability durations in establishing its discount rates, which are observed from indices of high-grade corporate bond yield curves in the respective economic regions of the plan. The Company uses a spot rate approach for the estimation of these components of benefit cost by applying the specific spot rates along the yield curve to the relevant projected cash flows. Defined Benefit Pension Plan Assets The primary investment strategy is to ensure that the assets of the plans, along with anticipated future contributions, will be invested in order that the benefit entitlements of employees, pensioners and beneficiaries covered under the plan can be met when due with high probability. Pension plan assets consist mainly of common stock and fixed income investments. The target allocations for defined benefit plan assets are 30% to 65% equity securities, 30% to 65% fixed income securities, 0% to 15% real estate, and 0% to 25% in all other types of investments. Equity securities include investments in companies located both in and outside the U.S. Equity securities in the defined benefit pension plans do not include Company common stock contributed directly by the Company. Fixed income securities include corporate bonds of companies from diversified industries, government bonds, mortgage notes and pledge letters. Other types of investments include investments in mutual funds, common trusts, insurance contracts, hedge funds and real estate. These plan assets are not recorded in the Company’s Consolidated Balance Sheet as they are held in trust or other off-balance sheet investment vehicles. The defined benefit pension plan assets maintained in Austria, France, Germany, Norway, the Netherlands, Switzerland and Taiwan all have separate investment policies but generally have an objective to achieve a long-term rate of return in excess of 4% while at the same time mitigating the impact of investment risk associated with investment categories that are expected to yield greater than average returns. In accordance with the investment policies, the plans’ assets were invested in the following investment categories: interest-bearing cash, U.S. and foreign equities, foreign fixed income securities (primarily corporate and government bonds), insurance company contracts, real estate and hedge funds. Reconciliation of changes in the defined benefit obligations, fair value of assets and statement of funded status were as follows: Year Ended December 31, (in millions) 2019 2018 Change in Benefit Obligation Benefit obligation at beginning of year $ 511.8 $ 545.5 Service cost 14.3 16.2 Interest cost 7.6 7.3 Participant contributions 4.0 4.2 Actuarial losses (gains) 79.5 (11.1) Plan amendments — (3.8) Acquisitions/Divestitures (0.1) 0.3 Effect of exchange rate changes (7.2) (20.3) Plan curtailments and settlements (22.5) (17.5) Benefits paid (9.2) (9.0) Benefit obligation at end of year $ 578.2 $ 511.8 Change in Plan Assets Fair value of plan assets at beginning of year $ 173.1 $ 185.7 Actual return on assets 23.5 (7.5) Plan settlements (22.5) (13.4) Effect of exchange rate changes 1.9 (2.4) Employer contributions 14.3 15.5 Participant contributions 4.0 4.2 Benefits paid (9.2) (9.0) Fair value of plan assets at end of year $ 185.1 $ 173.1 Funded status at end of year $ (393.1) $ (338.7) The amounts recognized in the accompanying Consolidated Balance Sheets, net of tax effects, were as follows: Location In The Year Ended December 31, (in millions) Consolidated Balance Sheets 2019 2018 Deferred tax asset Other noncurrent assets, net $ 39.6 $ 27.5 Total assets $ 39.6 $ 27.5 Current liabilities Accrued liabilities (9.1) (8.4) Other noncurrent liabilities Other noncurrent liabilities (384.0) (330.3) Deferred tax liability Deferred income taxes (0.4) (0.4) Total liabilities $ (393.5) $ (339.1) Accumulated other comprehensive income Accumulated other comprehensive loss 113.2 77.9 Net amount recognized $ (240.7) $ (233.7) Amounts recognized in AOCI were as follows: Year Ended December 31, (in millions) 2019 2018 Net actuarial loss $ 156.7 $ 109.7 Net prior service cost (4.2) (4.6) Before tax AOCI $ 152.5 $ 105.1 Less: Deferred taxes 39.3 27.2 Net of tax AOCI $ 113.2 $ 77.9 Information for pension plans with an accumulated benefit obligation in excess of plan assets were as follows: Year Ended December 31, (in millions) 2019 2018 Projected benefit obligation $ 397.6 $ 487.7 Accumulated benefit obligation 371.3 465.0 Fair value of plan assets 8.3 149.0 Components of net periodic benefit cost were as follows: Year Ended December 31, Location in Consolidated (in millions) 2019 2018 2017 Statements of Operations Service cost $ 6.1 $ 6.1 $ 6.0 Cost of products sold Service cost 8.2 10.1 9.7 Selling, general and administrative expenses Interest cost 7.6 7.3 6.5 Other expense (income), net Expected return on plan assets (4.9) (5.3) (4.0) Other expense (income), net Amortization of prior service credit (0.5) (0.2) (0.2) Other expense (income), net Amortization of net actuarial loss 5.6 6.2 6.9 Other expense (income), net Curtailment and settlement (gains) loss 6.0 (1.2) — Other expense (income), net Net periodic benefit cost $ 28.1 $ 23.0 $ 24.9 Other changes in plan assets and benefit obligations recognized in AOCI were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Net actuarial loss (gain) $ 52.6 $ (5.8) $ 13.3 Net prior service cost (credit) — (3.5) 0.3 Amortization (5.1) (6.0) (6.7) Total recognized in AOCI $ 47.5 $ (15.3) $ 6.9 Total recognized in net periodic benefit cost and AOCI $ 75.6 $ 7.7 $ 31.8 The expected amounts of net loss, prior service cost and transition obligation for defined benefit plans in AOCI that are expected to be amortized as net expense (income) during 2020 were as follows: (in millions) Pension Benefits Amount of net prior service credit $ (0.5) Amount of net loss 9.0 Total amount to be amortized out of AOCI in 2019 $ 8.5 Assumptions The assumptions used to determine benefit obligations and net periodic benefit cost for the Company’s plans are similar for both U.S. and foreign plans. The weighted average assumptions used to determine benefit obligations for the Company’s plans, principally in foreign locations were as follows: Year Ended December 31, 2019 2018 2017 Discount rate 1.0 % 1.8 % 1.6 % Rate of compensation increase 2.1 % 2.5 % 2.5 % The weighted average assumptions used to determine net periodic benefit cost for the Company’s plans, principally in foreign locations were as follows: Year Ended December 31, 2019 2018 2017 Discount rate 1.8 % 1.6 % 1.6 % Expected return on plan assets 2.9 % 2.9 % 2.9 % Rate of compensation increase 2.5 % 2.5 % 2.6 % Measurement date 12/31/2019 12/31/2018 12/31/2017 To develop the assumptions for the expected long-term rate of return on assets, the Company considered the current level of expected returns on risk free investments (primarily U.S. government bonds), the historical level of the risk premium associated with the other asset classes in which the assets are invested and the expectations for future returns of each asset class. The expected return for each asset class was then weighted based on the target asset allocations to develop the assumptions for the expected long-term rate of return on assets. Fair Value Measurements of Plan Assets The fair value of the Company’s pension plan assets at December 31, 2019 and 2018 is presented in the table below by asset category. Approximately 76% of the total plan assets are categorized as Level 1, and therefore, the values assigned to these pension assets are based on quoted prices available in active markets. For the other category levels, a description of the valuation is provided in Note 1, Significant Accounting Policies, under the “Fair Value Measurement” heading. December 31, 2019 (in millions) Total Level 1 Level 2 Level 3 Assets Category Cash and cash equivalents $ 12.9 $ 12.9 $ — $ — Equity securities: International 55.1 55.1 — — Fixed income securities: Fixed rate bonds (a) 55.1 55.1 — — Other types of investments: Mutual funds (b) 18.3 18.3 — — Common trusts (c) 4.3 — 4.3 — Insurance contracts 30.1 — — 30.1 Hedge funds 8.9 — — 8.9 Real estate 0.4 — — 0.4 Total $ 185.1 $ 141.4 $ 4.3 $ 39.4 December 31, 2018 (in millions) Total Level 1 Level 2 Level 3 Assets Category Cash and cash equivalents $ 12.4 $ 12.4 $ — $ — Equity securities: International 47.2 47.2 — — Fixed income securities: Fixed rate bonds (a) 49.2 49.2 — — Other types of investments: Mutual funds (b) 17.4 17.4 — — Common trusts (c) 11.8 — 11.8 — Insurance contracts 27.7 — — 27.7 Hedge funds 7.1 — — 7.1 Real estate 0.3 — — 0.3 Total $ 173.1 $ 126.2 $ 11.8 $ 35.1 (a)This category includes fixed income securities invested primarily in Swiss bonds, foreign bonds denominated in Swiss francs, foreign currency bonds, mortgage notes and pledged letters. (b) This category includes mutual funds balanced between moderate-income generation and moderate capital appreciation with investment allocations of approximately 50% equities and 50% fixed income investments. (c)This category includes common/collective funds with investments in approximately 65% equities and 35% in fixed income investments. A reconciliation from December 31, 2018 to December 31, 2019 for the plan assets categorized as Level 3 were as follows: December 31, 2019 (in millions) Insurance Contracts Hedge Funds Real Estate Total Balance at December 31, 2018 $ 27.7 $ 7.1 $ 0.3 $ 35.1 Actual return on plan assets: Relating to assets still held at the reporting date 3.7 (1.3) — 2.4 Purchases, sales and settlements, net (0.6) 2.9 — 2.3 Effect of exchange rate changes (0.6) 0.2 — (0.4) Balance at December 31, 2019 $ 30.2 $ 8.9 $ 0.3 $ 39.4 December 31, 2018 (in millions) Insurance Contracts Hedge Funds Real Estate Total Balance at December 31, 2017 $ 29.0 $ 7.1 $ 0.3 $ 36.4 Actual return on plan assets: Relating to assets still held at the reporting date (1.1) (0.6) — (1.7) Purchases, sales and settlements, net 1.1 0.7 — 1.8 Effect of exchange rate changes (1.3) (0.1) — (1.4) Balance at December 31, 2018 $ 27.7 $ 7.1 $ 0.3 $ 35.1 During the year ended December 31, 2018, no assets were transferred out of the Level 3 category. Fair values for Level 3 assets are determined as follows: Common Trusts and Hedge Funds: The investments are valued using the net asset value provided by the administrator of the trust or fund, which is based on the fair value of the underlying securities. Real Estate: Investment is stated by its appraised value. Insurance Contracts: The value of the asset represents the mathematical reserve of the insurance policies and is calculated by the insurance firms using their own assumptions. Cash Flows In 2020, the Company expects to make employer contributions of $15.7 million to its defined benefit pension plans. Estimated Future Benefit Payments Total benefits expected to be paid from the plans in the future were as follows: (in millions) Pension Benefits 2020 $ 19.9 2021 18.9 2022 18.9 2023 19.3 2024 19.6 2025-2029 111.2 |
RESTRUCTURING AND OTHER COSTS
RESTRUCTURING AND OTHER COSTS | 12 Months Ended |
Dec. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING AND OTHER COSTS | RESTRUCTURING AND OTHER COSTS Restructuring Costs Restructuring costs of $33.5 million, $32.1 million and $55.4 million for the years ended 2019, 2018 and 2017, respectively, are reflected in Restructuring and other costs in the Consolidated Statements of Operations and the associated liabilities are recorded in Accrued liabilities and Other noncurrent liabilities in the Consolidated Balance Sheets. These costs consist of employee severance benefits, payments due under operating contracts, and other restructuring costs. In November 2018, the Board of Directors of the Company approved a plan to restructure the Company’s business to support revenue growth and margin expansion and to simplify the organization. The Company expects to incur approximately $275 million in one-time expenditures and charges through 2021. There can be no assurance that the cost reductions and results will be achieved. In 2017, the Company received all necessary approvals and proceeded with plans in Germany to reorganize and combine portions of its manufacturing, logistics and distribution networks within the Company’s two segments. The Company estimated the cost of these initiatives to be approximately $65.0 million, primarily for severance related benefits for employees, for actions implemented in 2017 and 2018. For the year ended December 31, 2017, the Company recorded restructuring costs of $55.4 million of which approximately $29.0 million was associated with these plans. The Company's restructuring accruals at December 31, 2019 were as follows: Severances (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 26.8 $ 16.4 $ — $ 43.2 Provisions and adjustments 4.7 1.0 31.0 36.7 Amounts applied (22.2) (12.0) (9.4) (43.6) Change in estimates (7.0) (0.5) (1.8) (9.3) Balance at December 31, 2019 $ 2.3 $ 4.9 $ 19.8 $ 27.0 Lease/Contract Terminations (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 0.5 $ 0.1 $ — $ 0.6 Provisions and adjustments 0.7 — 0.1 0.8 Amounts applied (0.7) (0.1) (0.1) (0.9) Balance at December 31, 2019 $ 0.5 $ — $ — $ 0.5 Other Restructuring Costs (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 2.0 $ 0.4 $ — $ 2.4 Provisions and adjustments 1.2 1.2 2.5 4.9 Amounts applied (1.1) (1.6) (2.2) (4.9) Change in estimates 0.1 — — 0.1 Balance at December 31, 2019 $ 2.2 $ — $ 0.3 $ 2.5 The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows: (in millions) December 31, 2018 (a) Provisions and Adjustments Amounts Applied Change in Estimates December 31, 2019 Technologies & Equipment $ 32.9 $ 24.2 $ (32.9) $ (5.1) $ 19.1 Consumables 13.6 16.9 (15.2) (3.9) 11.4 All Other (0.3) 1.3 (1.3) (0.2) (0.5) Total $ 46.2 $ 42.4 $ (49.4) $ (9.2) $ 30.0 (a) Reclassifications have been made to prior year balances to conform to the new segments, see Note 5, Segment and Geographic Information. The Company's restructuring accruals at December 31, 2018 were as follows: Severances (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 7.7 $ 48.2 $ — $ 55.9 Provisions and adjustments 2.0 1.0 28.5 31.5 Amounts applied (7.0) (20.2) (10.2) (37.4) Change in estimates (0.1) (4.8) (1.9) (6.8) Balance at December 31, 2018 $ 2.6 $ 24.2 $ 16.4 $ 43.2 Lease/Contract Terminations (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 0.4 $ 0.2 $ — $ 0.6 Provisions and adjustments 1.7 0.3 0.2 2.2 Amounts applied (1.3) (0.5) (0.1) (1.9) Change in estimates (0.3) — — (0.3) Balance at December 31, 2018 $ 0.5 $ — $ 0.1 $ 0.6 Other Restructuring Costs (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 2.1 $ 1.7 $ — $ 3.8 Provisions and adjustments 1.4 0.6 3.4 5.4 Amounts applied (2.6) (1.1) (3.0) (6.7) Change in estimates (0.1) — — (0.1) Balance at December 31, 2018 $ 0.8 $ 1.2 $ 0.4 $ 2.4 The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows: (in millions) December 31, 2017 Provisions and Adjustments Amounts Applied Change in Estimates December 31, 2018 Technologies & Equipment (a) $ 30.1 $ 21.6 $ (15.5) $ (3.3) $ 32.9 Consumables (a) 30.0 11.3 (25.4) (2.3) 13.6 All Other 0.1 6.2 (5.1) (1.5) (0.3) Total $ 60.2 $ 39.1 $ (46.0) $ (7.1) $ 46.2 (a) Reclassifications have been made to prior year balances to conform to the new segments, see Note 5, Segment and Geographic Information. Other Costs For the year ended December 31, 2019, the Company recorded other costs of $47.2 million, which consist of fixed asset impairment charges of $32.8 million and impairment charges of $9.1 million related to impairments of both definite-lived and indefinite-lived intangible assets. For the year ended December 31, 2018, the Company recorded other costs of $188.9 million, which consist of impairment charges of $179.2 million and $9.7 million primarily related to legal settlements. For further information on the impairment charges, see Note 10, Goodwill and Intangible Assets. For the year ended December 31, 2017, the Company recorded other costs of $369.8 million, which consist of impairment charges of $346.7 million and legal settlements of $23.1 million. For further information on the impairment charges, see Note 10, Goodwill and Intangible Assets. |
FINANCIAL INSTRUMENTS AND DERIV
FINANCIAL INSTRUMENTS AND DERIVATIVES | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
FINANCIAL INSTRUMENTS AND DERIVATIVES | FINANCIAL INSTRUMENTS AND DERIVATIVES Derivative Instruments and Hedging Activities The Company’s activities expose it to a variety of market risks, which primarily include the risks related to the effects of changes in foreign currency exchange rates and interest rates. These financial exposures are monitored and managed by the Company as part of its overall risk management program. The objective of this risk management program is to reduce the volatility that these market risks may have on the Company’s operating results and equity. The Company employs derivative financial instruments to hedge certain anticipated transactions, firm commitments, or assets and liabilities denominated in foreign currencies. Additionally, the Company has utilized interest rate swaps to convert variable rate debt to fixed rate debt. Derivative Instruments Designated as Hedging Cash Flow Hedges The following summarizes the notional amounts of cash flow hedges by derivative instrument type at December 31, 2019 and the notional amounts expected to mature during the next 12 months, with a discussion of the various cash flow hedges by derivative instrument type following the table: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 347.3 $ 264.0 Interest rate swaps 150.0 — Total derivative instruments designated as cash flow hedges $ 497.3 $ 264.0 Foreign Exchange Risk Management The Company uses a program to hedge select anticipated foreign currency cash flows to reduce volatility in both cash flows and reported earnings of the consolidated Company. The Company accounts for the designated foreign exchange forward contracts as cash flow hedges. As a result, the Company records the fair value of the contracts primarily through AOCI based on the tested effectiveness of the foreign exchange forward contracts. The Company measures the effectiveness of cash flow hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be deferred in AOCI and released and recorded in the Consolidated Statements of Operations in the same period that the hedged transaction is recorded. The time value component of the fair value of the derivative is excluded and is reported on a straight line basis in Cost of products sold in the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in cash from operating activities in the Consolidated Statements of Cash Flows. The Company hedges various currencies, primarily in euros, Swedish kronor, Canadian dollars, British pounds, Swiss francs and Australian dollars. These foreign exchange forward contracts generally have maturities up to 18 months and the counterparties to the transactions are typically large international financial institutions. Interest Rate Risk Management On March 11, 2019, the Company entered into a Treasury Rate Lock ("T-Lock") transaction to hedge the base interest rate variability exposure on a planned $150 million ten The Company enters into interest rate swap contracts infrequently as they are only used to manage interest rate risk on long-term debt instruments and not for speculative purposes. Any cash flows associated with these instruments are included in operating activities in the Consolidated Statements of Cash Flows. Cash Flow Hedge Activity The amount of gains and losses recorded in AOCI in the Consolidated Balance Sheets, interest expense and cost of products sold in the Company’s Consolidated Statements of Operations related to all cash flow hedges were as follows: Year Ended December 31, 2019 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (10.8) Interest expense $ (2.4) $ — Foreign exchange forward contracts (6.1) Cost of products sold 1.0 — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — 2.1 Total in cash flow hedging $ (16.9) $ (1.4) $ 2.1 Year Ended December 31, 2018 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (0.1) Interest expense $ (2.3) $ — Foreign exchange forward contracts 5.2 Cost of products sold (8.9) — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — 1.3 Total for cash flow hedging $ 5.1 $ (11.2) $ 1.3 Year Ended December 31, 2017 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (0.1) Interest expense (a) $ (2.3) $ — Foreign exchange forward contracts (14.6) Cost of products sold (3.0) — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — (0.9) Total for cash flow hedging $ (14.7) $ (5.3) $ (0.9) Overall, the derivatives designated as cash flow hedges are considered to be highly effective for accounting purposes. At December 31, 2019, the Company expects to reclassify $1.1 million of deferred net gains on cash flow hedges recorded in AOCI in the Consolidated Statements of Operations during the next 12 months. The term over which the Company is hedging exposures to variability of cash flows (for all forecasted transactions) is typically 18 months. For the rollforward of derivative instruments designated as cash flow hedges in AOCI see Note 3, Comprehensive (Loss) Income. Hedges of Net Investments in Foreign Operations The Company has significant investments in foreign subsidiaries the most significant of which are denominated in euros, Swiss francs, Japanese yen and Swedish kronor. The net assets of these subsidiaries are exposed to volatility in currency exchange rates. To hedge a portion of this exposure the Company employs both derivative and non-derivative financial instruments. The derivative instruments consist of foreign exchange forward contracts and cross currency basis swaps. The non-derivative instruments consist of foreign currency denominated debt held at the parent company level. Translation gains and losses related to the net assets of the foreign subsidiaries are offset by gains and losses in derivative and non-derivative financial instruments designated as hedges of net investments and are included in AOCI. The time value component of the fair value of the derivative is reported on a straight line basis in Other expense (income), net in the Consolidated Statements of Operations in the period which it is applicable. Any cash flows associated with these instruments are included in investing activities in the Consolidated Statements of Cash Flows except for derivative instruments that include an other-than-insignificant financing element, in which case all cash flows will be classified as financing activities in the Consolidated Statements of Cash Flows. During the year ended December 31, 2019, the Company early terminated its existing 245.6 million euro cross currency basis swap and entered into a new 263.4 million euro cross currency basis swap maturing in August 2021. The cross currency basis swap is designated as a hedge of net investments. This contract effectively converts the $296.0 million bond coupon from 4.1% to 1.2%, which will result in a net reduction of interest expense through maturity in 2021. The early termination resulted in a cash receipt of $17.4 million. The notional amounts of hedges of net investments by derivative instrument type at December 31, 2019 and the notional amounts expected to mature during the next 12 months were as follows: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 775.9 $ 258.6 Cross currency basis swaps 295.4 — Total derivative instruments designated as hedges of net investment $ 1,071.3 $ 258.6 The fair value of the foreign exchange forward contracts and cross currency basis swaps is the estimated amount the Company would receive or pay at the reporting date, taking into account the effective interest rates, cross currency swap basis rates and foreign exchange rates. The effective portion of the change in the value of these derivatives is recorded in AOCI, net of tax effects. The amount of gains and losses recorded in AOCI in the Consolidated Balance Sheets, Interest expense and Other expense (income), net in the Company’s Consolidated Statements of Operations related to the hedges of net investments were as follows: Year Ended December 31, 2019 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Cross currency basis swaps $ 9.1 Interest expense $ 8.4 Foreign exchange forward contracts 8.6 Other expense (income), net 21.7 Total for net investment hedging $ 17.7 $ 30.1 Year Ended December 31, 2018 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Cross currency basis swaps $ 14.7 Interest expense $ 7.3 Other expense (income), net (3.0) Foreign exchange forward contracts 21.5 Other expense (income), net 15.3 Total for net investment hedging $ 36.2 $ 19.6 Year Ended December 31, 2017 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Foreign exchange forward contracts $ (14.1) Other expense (income), net $ 3.7 Total for net investment hedging $ (14.1) $ 3.7 Fair Value Hedges Foreign Exchange Risk Management The Company has an intercompany loan denominated in Swedish kronor that is exposed to volatility in currency exchange rates. The Company employs derivative financial instruments to hedge this exposure. The Company accounts for these designated foreign exchange forward contracts as fair value hedges. The Company measures the effectiveness of fair value hedges of anticipated transactions on a spot-to-spot basis rather than on a forward-to-forward basis. Accordingly, the spot-to-spot change in the derivative fair value will be recorded in the Consolidated Statements of Operations. Any cash flows associated with these instruments are included in investing activities in the Consolidated Statements of Cash Flows. The notional amounts of fair value hedges by derivative instrument type at December 31, 2019 and the notional amounts expected to mature during the next 12 months were as follows: (in millions) Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months Foreign exchange forward contracts $ 94.0 $ 38.4 Total derivative instruments designated as fair value hedges $ 94.0 $ 38.4 The amount of gains and losses recorded in AOCI in the Consolidated Balance Sheets and Interest expense in the Company’s Consolidated Statements of Operations related to the hedges of fair value were as follows: Year Ended December 31, 2019 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Foreign exchange forward contracts $ 3.0 Interest expense $ 3.0 Total for fair value hedging $ 3.0 $ 3.0 The Company had no hedges of fair value during the years ended December 31, 2018 and 2017. Derivative Instruments Not Designated as Hedges The Company enters into derivative instruments with the intent to partially mitigate the foreign exchange revaluation risk associated with recorded assets and liabilities that are denominated in a non-functional currency. The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances and are recorded in Other expense (income), net in the Consolidated Statements of Operations. The Company primarily uses foreign exchange forward contracts to hedge these risks. Any cash flows associated with the foreign exchange forward contracts and interest rate swaps not designated as hedges are included in cash from operating activities in the Consolidated Statements of Cash Flows. The aggregate notional amounts of the Company’s economic hedges not designated as hedges by derivative instrument types at December 31, 2019 and the notional amounts expected to mature during the next 12 months were as follows: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 237.2 $ 237.2 Total for instruments not designated as hedges $ 237.2 $ 237.2 Derivative Instruments not Designated as Hedges Activity The amounts of gains and losses recorded Other expense (income), net in the Company’s Consolidated Statements of Operations related to the economic hedges not designated as hedging were as follows: Consolidated Statements of Operations Location Gain (Loss) Recognized December 31, (in millions) 2019 2018 2017 Foreign exchange forward contracts (a) Other expense (income), net $ (2.9) $ (6.2) $ (7.7) Total for instruments not designated as hedges $ (2.9) $ (6.2) $ (7.7) (a) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in Other expense (income), net in the Consolidated Statements of Operations. Consolidated Balance Sheets Location of Derivative Fair Values The fair value and Consolidated Balance Sheets location of the Company’s derivatives were as follows: Year Ended December 31, 2019 Designated as Hedges Prepaid Expenses and Other Current Assets, Net Other Noncurrent Assets, Net Accrued Liabilities Other Noncurrent Liabilities (in millions) Foreign exchange forward contracts $ 26.9 $ 11.3 $ 1.3 $ 1.8 Interest rate swaps — — — 10.8 Cross currency basis swaps — 6.9 — — Total $ 26.9 $ 18.2 $ 1.3 $ 12.6 Not Designated as Hedges (in millions) Foreign exchange forward contracts $ 2.0 $ — $ 1.5 $ — Total $ 2.0 $ — $ 1.5 $ — Year Ended December 31, 2018 Designated as Hedges Prepaid Other Noncurrent Assets, Net Accrued Liabilities Other Noncurrent Liabilities (in millions) Foreign exchange forward contracts $ 18.9 $ 12.4 $ — $ 0.6 Interest rate swaps — — 0.2 — Cross currency basis swaps — 11.6 — — Total $ 18.9 $ 24.0 $ 0.2 $ 0.6 Not Designated as Hedges (in millions) Foreign exchange forward contracts $ 2.4 $ — $ 2.6 $ — Total $ 2.4 $ — $ 2.6 $ — Balance Sheet Offsetting Substantially all of the Company’s derivative contracts are subject to netting arrangements, whereby the right to offset occurs in the event of default or termination in accordance with the terms of the arrangements with the counterparty. While these contracts contain the enforceable right to offset through netting arrangements with the same counterparty, the Company elects to present them on a gross basis in the Consolidated Balance Sheets. Offsetting of financial assets and liabilities under netting arrangements at December 31, 2019 were as follows: Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Assets Foreign exchange forward contracts $ 38.8 $ — $ 38.8 $ (7.8) $ — $ 31.0 Cross currency basis swaps 6.9 — 6.9 (0.9) — 6.0 Total Assets $ 45.7 $ — $ 45.7 $ (8.7) $ — $ 37.0 Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Liabilities Foreign exchange forward contracts $ 3.2 $ — $ 3.2 $ (3.0) $ — $ 0.2 Interest rate swaps 10.8 — 10.8 (5.7) — 5.1 Total Liabilities $ 14.0 $ — $ 14.0 $ (8.7) $ — $ 5.3 Offsetting of financial assets and liabilities under netting arrangements at December 31, 2018 were as follows: Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Assets Foreign exchange forward contracts $ 33.7 $ — $ 33.7 $ (1.8) $ — $ 31.9 Cross currency basis swaps 11.6 — 11.6 (1.6) — 10.0 Total Assets $ 45.3 $ — $ 45.3 $ (3.4) $ — $ 41.9 Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Liabilities Foreign exchange forward contracts $ 3.2 $ — $ 3.2 $ (3.2) $ — $ — Interest rate swaps 0.2 — 0.2 (0.2) — — Total Liabilities $ 3.4 $ — $ 3.4 $ (3.4) $ — $ — |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENT | FAIR VALUE MEASUREMENT Assets and Liabilities Measured at Fair Value on a Recurring Basis The Company estimated the fair value and carrying value of its total long-term debt, including current portion, was $1,440.8 million and $1,433.3 million, respectively, at December 31, 2019. At December 31, 2018, the Company estimated the fair value and carrying value was $1,577.1 million and $1,575.5 million, respectively. The interest rate on the outstanding principal of the $450.0 million Senior Notes is a fixed rate of 4.1% and the fair value is based on interest rates at December 31, 2019. For additional details on interest rates of long term debt, please see Note 13, Financing Arrangements. The Company’s financial assets and liabilities set forth by level within the fair value hierarchy that were accounted for at fair value on a recurring basis were as follows: Year Ended December 31, 2019 (in millions) Total Level 1 Level 2 Level 3 Assets Cross currency interest rate swaps $ 6.9 $ — $ 6.9 $ — Foreign exchange forward contracts 40.2 — 40.2 — Total assets $ 47.1 $ — $ 47.1 $ — Liabilities Interest rate swaps $ 10.8 $ — $ 10.8 $ — Foreign exchange forward contracts 4.6 — 4.6 — Contingent considerations on acquisitions 8.7 — — 8.7 Total liabilities $ 24.1 $ — $ 15.4 $ 8.7 Year Ended December 31, 2018 (in millions) Total Level 1 Level 2 Level 3 Assets Cross currency interest rate swaps $ 11.6 $ — $ 11.6 $ — Foreign exchange forward contracts 33.7 — 33.7 — Total assets $ 45.3 $ — $ 45.3 $ — Liabilities Interest rate swaps $ 0.2 $ — $ 0.2 $ — Foreign exchange forward contracts 3.2 — 3.2 — Contingent considerations on acquisitions 9.1 — — 9.1 Total liabilities $ 12.5 $ — $ 3.4 $ 9.1 Derivative valuations are based on observable inputs to the valuation model including interest rates, foreign currency exchange rates and credit risks. The Company utilizes interest rates swaps and foreign exchange forward contracts that are considered cash flow hedges. In addition, the Company at times employs certain cross currency interest rate swaps and forward exchange contracts that are considered hedges of net investment in foreign operations. Both types of designated derivative instruments are further discussed in Note 18, Financial Instruments and Derivatives. Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) The Company’s Level 3 liabilities at December 31, 2019 are related to earn-out obligations on prior acquisitions that were assumed as part of the merger with Sirona. The following table presents a reconciliation of the Company’s Level 3 holdings measured at fair value on a recurring basis using unobservable inputs: (in millions) Level 3 Balance, December 31, 2017 $ 8.6 Unrealized gain: Reported in Other expense (income), net 0.9 Effect of exchange rate changes (0.4) Balance, December 31, 2018 $ 9.1 Unrealized gain: Reported in Other expense (income), net 2.3 Payments (2.5) Effect of exchange rate changes (0.2) Balance, December 31, 2019 $ 8.7 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES The SEC’s Division of Enforcement has asked the Company to provide documents and information concerning the Company’s accounting and disclosures. The Company is cooperating with the SEC’s investigation. The Company is unable to predict the ultimate outcome of this matter, or whether it will have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows. On January 11, 2018, Tom Redlich, a former employee, filed a lawsuit against the Company, demanding supplemental compensation pursuant to an agreement allegedly entered into with Sirona Dental GmbH which was intended to entice Mr. Redlich to continue to work for the company for no less than eight years following the date of this agreement. The Company filed its response on April 4, 2018, denying the authenticity and enforceability of, and all liability under, the alleged agreement. Mr. Jost Fischer, upon invitation of the Company, joined the litigation against Mr. Redlich as a third party. In his submission to the Court, Mr. Fischer disputed the central allegations raised by Mr. Redlich in his lawsuit. The Court held several hearings in the matter, and then closed the hearings in June 2019 pending the Court’s decision on the capacity of Mr. Fischer to enter into a binding agreement of the type alleged by Mr. Redlich in the manner alleged. On November 5, 2019, the Company received the Court’s judgment rejecting Mr. Redlich’s lawsuit and dismissing his claims. Mr. Redlich appealed in December 2019 and the Company filed its response in January 2020 seeking to uphold the Court’s ruling. On February 27, 2020, the Company received the Appellate Court’s decision rejecting Mr. Redlich’s appeal and upholding the decision of the lower court dismissing his claims. The Court of Appeals has denied Mr. Redlich the right to file a further appeal in this matter, however, Mr. Redlich has the ability to seek an extraordinary appeal of the appellate decision through March 2020. On January 25, 2018, Futuredontics, Inc. received service of a purported class action lawsuit brought by Henry Olivares and other similarly situated individuals in the Superior Court of the State of California for the County of Los Angeles. In January 2019, an amended complaint was filed adding another named plaintiff, Rachael Clarke, and various claims. The plaintiff class alleges several violations of the California wage and hours laws, including, but not limited to, failure to provide rest and meal breaks and the failure to pay overtime. The parties have engaged in written and other discovery. On February 5, 2019, Plaintiff Calethia Holt (represented by the same counsel as Mr. Olivares and Ms. Clarke) filed a separate representative action in Los Angeles Superior Court alleging a single violation of the Private Attorneys’ General Act that is based on the same underlying claims as the Olivares/Clarke lawsuit. On April 5, 2019, Plaintiff Kendra Cato filed a similar action in Los Angeles Superior Court alleging a single violation of the Private Attorneys’ General Act that is based on the same underlying claims as the Olivares/Clarke lawsuit. The parties intend to participate in a mediation in July 2020 and the case will be stayed until that time. The Company continues to vigorously defend against these matters. On June 7, 2018, and August 9, 2018, two putative class action suits were filed, and later consolidated, in the Supreme Court of the State of New York, County of New York claiming that the Company and certain individual defendants, violated U.S. securities laws (the "State Court Class Action") by making material misrepresentations and omitting required information in the December 4, 2015 registration statement filed with the SEC in connection with the Merger. The amended complaint alleges that the defendants failed to disclose, among other things, that a distributor had purchased excessive inventory of legacy Sirona products and that three distributors of the Company's products had been engaging in anticompetitive conduct. The plaintiffs seek to recover damages on behalf of a class of former Sirona shareholders who exchanged their shares for shares of the Company's stock in the Merger. The Company has filed motions to dismiss the amended complaint, to stay discovery pending resolution of the motion to dismiss, and to stay all proceedings pending resolution of the Federal Class Action described below. On August 2, 2019, the Court denied the Company's motions to stay discovery and to stay all proceedings. On August 21, 2019, the Company filed a notice of appeal of that decision. Briefing has not yet commenced on that appeal. On September 26, 2019, the Court granted the Company's motion to dismiss all claims. The associated judgment was entered on September 30, 2019. On October 25, 2019, the plaintiffs filed a notice of appeal of the motion to dismiss decision and the judgment. On November 4, 2019, the Company filed a notice of cross-appeal of select rulings in the Court's motion to dismiss decision. On October 9, 2019, the plaintiffs moved by order to show cause to vacate or modify the judgment and grant plaintiffs leave to amend their complaint. On February 4, 2020, the Court denied the plaintiffs' motion. On December 19, 2018, a related putative class action was filed in the U.S. District Court for the Eastern District of New York against the Company and certain individual defendants (the "Federal Class Action"). The plaintiff makes similar allegations and asserts the same claims as those asserted in the State Court Class Action. In addition, the plaintiff alleges that the defendants violated U.S. securities laws by making false and misleading statements in quarterly and annual reports and other public statements between February 20, 2014, and August 7, 2018. The plaintiff asserts claims on behalf of a putative class consisting of (a) all purchasers of the Company's stock during the period February 20, 2014 through August 7, 2018 and (b) former shareholders of Sirona who exchanged their shares of Sirona stock for shares of the Company's stock in the Merger. The Company's motion to dismiss the amended complaint was served on August 15, 2019. Briefing was completed on October 21, 2019 and the Company is awaiting the decision of the Court. On April 29, 2019, two purported stockholders of the Company filed a derivative action on behalf of the Company in the U.S. District Court for the District of Delaware against the Company's directors (the "Stockholder's Derivative Action"). Based on allegations similar to those asserted in the class actions described above, the plaintiffs allege that the directors caused the Company to misrepresent its business prospects and thereby subjected the Company to multiple securities class actions and other litigation. On September 20, 2019, the plaintiffs in the Stockholder's Derivative Action filed an amended derivative complaint on behalf of the Company in the U.S. District Court for the District of Delaware against the Company's directors. The plaintiffs assert claims for breach of fiduciary duty, unjust enrichment, waste of corporate assets, and violations of the U.S. securities laws. The plaintiffs seek relief that includes, among other things, monetary damages and various corporate governance reforms. The Company filed a motion to dismiss, which has been fully briefed by the parties. The Company is awaiting the Court's decision. The Company intends to defend itself vigorously in these actions. As a result of an audit by the IRS for fiscal years 2012 through 2013, on February 11, 2019, the IRS issued to the Company a “30-day letter” and a Revenue Agent’s Report (“RAR”), relating to the Company’s worthless stock deduction in 2013 in the amount of $546.0 million. The RAR disallows the deduction and, after adjusting the Company’s net operating loss carryforward, asserts that the Company is entitled to a refund of $4.7 million for 2012, has no tax liability for 2013, and owes a deficiency of $17.1 million in tax for 2014, excluding interest. In accordance with ASC 740, the Company recorded the tax benefit associated with the worthless stock deduction in the Company’s 2012 financial statements. The Company has submitted a formal protest disputing on multiple grounds the proposed taxes. The Company believes the IRS' position is without merit and believes that it is more likely-than-not the Company’s position will be sustained upon further review. The Company has not accrued a liability relating to the proposed tax adjustments. However, the outcome of this dispute involves a number of uncertainties, including those inherent in the valuation of various assets at the time of the worthless stock deduction, and those relating to the application of the Internal Revenue Code and other federal income tax authorities and judicial precedent. Accordingly, there can be no assurance that the dispute with the IRS will be resolved favorably. If determined adversely, the dispute would result in a current period charge to earnings and could have a material adverse effect in the consolidated results of operations, financial position, and liquidity of the Company. The Swedish Tax Agency has disallowed certain of the Company’s interest expense deductions for the tax years from 2013 to 2017 and is also expected to do the same for the 2018 tax year. If such interest expense deductions were disallowed, the Company would be subject to an additional $41.0 million in tax expense. The Company has appealed the disallowance to the Swedish Administrative Court. With respect to such deductions taken in the tax years from 2013 to 2014, the Court ruled against the Company on July 5, 2017. On August 7, 2017, the Company appealed the unfavorable decision of the Swedish Administrative Court. On November 5, 2018, the Company delivered its final argument to the Administrative Court of Appeals at a hearing. The Administrative Court of Appeal then halted the proceedings awaiting the outcome of a pending case before the Supreme Administrative Court where a reference has been made to the European Court of Justice regarding the compatibility of the Swedish rules with European Union law. The European Union Commission has taken the view that Sweden’s interest deduction limitation rules are incompatible with European Union law and supporting legal opinions. Therefore the Company has not paid the tax or made provision in its financial statements for such potential expense. The Company intends to vigorously defend its position and pursue related appeals. In addition to the matters disclosed above, the Company is, from time to time, subject to a variety of litigation and similar proceedings incidental to its business. These legal matters primarily involve claims for damages arising out of the use of the Company’s products and services and claims relating to intellectual property matters including patent infringement, employment matters, tax matters, commercial disputes, competition and sales and trading practices, personal injury, and insurance coverage. The Company may also become subject to lawsuits as a result of past or future acquisitions or as a result of liabilities retained from, or representations, warranties or indemnities provided in connection with, divested businesses. Some of these lawsuits may include claims for punitive and consequential, as well as compensatory damages. Based upon the Company’s experience, current information and applicable law, it does not believe that these proceedings and claims will have a material adverse effect on its consolidated results of operations, financial position or liquidity. However, in the event of unexpected further developments, it is possible that the ultimate resolution of these matters, or other similar matters, if unfavorable, may be materially adverse to the Company’s business, financial condition, results of operations or liquidity. While the Company maintains general, product, property, workers’ compensation, automobile, cargo, aviation, crime, fiduciary and directors’ and officers’ liability insurance up to certain limits that cover certain of these claims, this insurance may be insufficient or unavailable to cover such losses. In addition, while the Company believes it is entitled to indemnification from third parties for some of these claims, these rights may also be insufficient or unavailable to cover such losses. Purchase Commitments From time to time, the Company enters into long-term inventory purchase commitments with minimum purchase requirements for raw materials and finished goods to ensure the availability of products for production and distribution. These commitments may have a significant impact on levels of inventory maintained by the Company. |
QUARTERLY FINANCIAL INFORMATION
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | QUARTERLY FINANCIAL INFORMATION (UNAUDITED) DENTSPLY SIRONA INC. Quarterly Financial Information (Unaudited) (in millions, except per share amounts) 2019 First Quarter Second Quarter Third Quarter Fourth Quarter Rounding Total Year Net sales $ 946.2 $ 1,009.4 $ 962.1 $ 1,111.5 $ — $ 4,029.2 Gross profit (a) 499.7 540.8 514.0 610.6 — 2,165.1 Operating income 47.3 67.5 109.5 136.6 — 360.9 Net income attributable to Dentsply Sirona 39.2 36.4 85.0 102.3 — 262.9 Net income per common share - basic $ 0.18 $ 0.16 $ 0.38 $ 0.46 $ — $ 1.18 Net income per common share - diluted $ 0.17 $ 0.16 $ 0.38 $ 0.46 $ — $ 1.17 Cash dividends declared per common share $ 0.0875 $ 0.0875 $ 0.1000 $ 0.1000 $ — $ 0.3750 (a) During the quarter ended December 31, 2019, the Company reclassified certain expenses from Cost of products sold to SG&A expense. The reclassification was the result of the Company's review of its product costing allocation process at one of its manufacturing facilities. The Company's review of this expense allocation process found that certain expenses within human resources, customer service and information technology had been misclassified as Cost of products sold rather than in SG&A expenses. The reclassifications were entirely within the Technologies & Equipment segment. The Company elected not to reclassify these expense allocations in the prior years' and prior quarters' data as it was not material to the Company's Consolidated Statements of Operations in those periods. 2018 First Quarter Second Quarter Third Quarter Fourth Quarter Rounding Total Year Net sales $ 956.1 $ 1,042.1 $ 928.4 $ 1,059.7 $ — $ 3,986.3 Gross profit 514.1 552.8 476.1 524.8 — 2,067.8 Goodwill impairment (a) — 1,085.8 — — — 1,085.8 Operating income (loss) 68.7 (1,154.1) 45.5 81.8 — (958.1) Net income (loss) attributable to Dentsply Sirona 81.2 (1,122.0) 28.0 1.8 — (1,011.0) Net income (loss) per common share - basic $ 0.36 $ (4.98) $ 0.13 $ 0.01 $ (0.03) $ (4.51) Net income (loss) per common share - diluted $ 0.35 $ (4.98) $ 0.13 $ 0.01 $ (0.02) $ (4.51) Cash dividends declared per common share $ 0.0875 $ 0.1750 $ — $ 0.0875 $ — $ 0.3500 (a) During the quarter ended June 30, 2018, the Company recorded goodwill and intangible asset impairments. See Note 10, Goodwill and Intangible Assets for further information. |
SCHEDULE II - VALUATION AND QUA
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II DENTSPLY SIRONA INC. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS FOR THE YEARS ENDED DECEMBER 31, 2019, 2018, and 2017 Additions Description Balance at Beginning of Period Charged (Credited) To Costs And Expenses Charged to Other Accounts Write-offs Net of Recoveries Translation Adjustment Balance at End of Period (in millions) Allowance for doubtful accounts: For the Year Ended December 31, 2017 $ 22.7 $ 6.6 $ (2.6) $ (4.8) $ 0.5 $ 22.4 2018 22.4 6.0 1.1 (2.6) (2.4) 24.5 2019 24.5 10.7 0.8 (6.1) (0.5) 29.4 Deferred tax asset valuation allowance: For the Year Ended December 31, 2017 $ 182.7 $ 2,829.8 $ — $ — $ 2.3 $ 3,014.8 2018 3,014.8 107.9 — (2,768.9) (65.4) 288.4 2019 288.4 8.2 — (6.0) (2.6) 288.0 |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Use of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“US GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expense during the reporting period. Actual results could differ from those estimates, and such differences may be material to the consolidated financial statements. |
Principles of Consolidation | The consolidated financial statements include the accounts of the Company. All significant intercompany accounts and transactions are eliminated in consolidation. Investments in non-consolidated affiliates (20-50 percent owned companies, joint ventures and partnerships as well as less than 20 percent ownership positions where the Company maintains significant influence over the subsidiary) are accounted for using the equity method. |
Cash and Cash Equivalents | Cash and cash equivalents include deposits with banks as well as highly liquid time deposits with maturities at the date of purchase of ninety days or less. |
Short-term Investments | Short-term investments are highly liquid time deposits with original maturities at the date of purchase greater than ninety days and with remaining maturities of one year or less. |
Accounts and Notes Receivable-Trade | The Company sells dental and certain medical products and equipment through a worldwide network of distributors and directly to end users. For customers on credit terms, the Company performs ongoing credit evaluation of those customers’ financial condition and generally does not require collateral from them. The Company establishes allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company records a provision for doubtful accounts, which is included in Selling, general and administrative expenses in the Consolidated Statements of Operations. |
Inventories | Inventories are stated at the lower of cost and net realizable value. At December 31, 2019 and 2018, the cost of $5.0 million and $9.0 million, respectively, of inventories was determined by the last-in, first-out (“LIFO”) method. The cost of remaining inventories was determined by the first-in, first-out (“FIFO”) or average cost methods. If the FIFO method had been used to determine the cost of LIFO inventories, the amounts at which net inventories are stated would be higher than reported at December 31, 2019 and 2018 by $14.3 million and $10.2 million, respectively. The Company establishes reserves for inventory estimated to be obsolete or unmarketable equal to the difference between the cost of inventory and estimated market value based upon assumptions about future demand and market conditions. |
Valuation of Goodwill and Indefinite-Lived Intangible Assets | Assessment of the potential impairment of goodwill and indefinite-lived and definite-lived intangible assets is an integral part of the Company’s normal ongoing review of operations. Testing for potential impairment of these assets is significantly dependent on assumptions and reflects management’s best estimates at a particular point in time. The dynamic economic environments in which the Company’s businesses operate and key economic and business assumptions with respect to projected selling prices, increased competition and introductions of new technologies can significantly affect the outcome of impairment tests. Estimates based on these assumptions may differ significantly from actual results. Changes in factors and assumptions used in assessing potential impairments can have a significant impact on the existence and magnitude of impairments, as well as the time at which such impairments are recognized. If there are unfavorable changes in these assumptions, future cash flows, a key variable in assessing the impairment of these assets, may decrease and as a result the Company may be required to recognize impairment charges. Future changes in the environment and the economic outlook for the assets being evaluated could also result in additional impairment charges being recognized. The following information outlines the Company’s significant accounting policies on long-lived assets by type. Goodwill Goodwill is the excess of the purchase price over the fair value of identifiable net assets acquired and liabilities assumed in a business combination. Goodwill is not amortized. The Company conducts an annual impairment test during the Company’s second quarter, or when indications of potential impairment exist. The Company monitors for the existence of potential impairment throughout the year. This impairment assessment includes an evaluation of reporting units, which is an operating segment or one reporting level below the operating segment. The Company performs impairment tests using a fair value approach which compares the fair value of each reporting unit to its carrying amount to determine if there is a potential impairment. If impairment is identified on goodwill, the resulting charge is determined by recalculating goodwill through a hypothetical purchase price allocation of the fair value and reducing the current carrying value to the extent it exceeds the recalculated goodwill. The Company performed the required annual impairment tests of goodwill at April 30, 2019 on five reporting units. To determine the fair value of the Company’s reporting units, the Company uses a discounted cash flow model with market-based support as its valuation technique to measure the fair value for its reporting units. The discounted cash flow model uses five- to ten- year forecasted cash flows plus a terminal value based on a multiple of earnings or by capitalizing the last period’s cash flows using a perpetual growth rate. The Company's significant assumptions in the discounted cash flow models include, but are not limited to, the weighted average cost of capital, revenue growth rates, including perpetual revenue growth rates, and gross margin percentages of the reporting unit's business. The Company considered the current market conditions when determining its assumptions. Lastly, the Company reconciled the aggregate fair values of its reporting units to its market capitalization, which included a reasonable control premium based on market conditions. Additional information related to the testing for goodwill impairment is provided in Note 10, Goodwill and Intangible Assets. Indefinite-Lived Intangible Assets Indefinite-lived intangible assets consist of tradenames and trademarks and are not subject to amortization. Valuations of identifiable intangibles assets acquired are based on information and assumptions available at the time of acquisition, using income and market model approaches to determine fair value. The Company conducts an annual impairment test during the Company’s second quarter, or whenever events or circumstances suggest that the carrying amount of the assets may not be recoverable. The Company performs impairment tests using an income approach, more specifically a relief from royalty method. In the development of the forecasted cash flows, the Company applies significant judgment to determine key assumptions, including royalty rates and discount rates. Royalty rates used are consistent with those assumed for the original purchase accounting valuation. If the carrying value exceeds the fair value, an impairment loss in the amount equal to the excess is recognized. The indefinite-lived intangible assets held within the CAD/CAM business were previously impaired in 2018 and the indefinite-lived intangible assets held within the Imaging business were impaired in the first quarter of 2019. Had the fair value of these indefinite-lived intangible assets been hypothetically reduced by 10% or the discount rate had been hypothetically increased by 100 basis points at April 30, 2019, the fair value of these assets would still exceed their book value for those assets held within the CAD/CAM business and for the indefinite-lived intangible assets held within the Imaging business the result would be an insignificant impairment. Additional information related to the testing for indefinite-lived intangible asset impairment is provided in Note 10, Goodwill and Intangible Assets. Identifiable Definite-Lived Intangible Assets Identifiable definite-lived intangible assets, which primarily consist of patents, tradenames, trademarks, licensing agreements, and customer relationships are amortized on a straight-line basis over their estimated useful lives. The useful life is the period over which the asset is expected to contribute to the future cash flows of the Company. The Company uses the following useful lives within its classification of intangible assets: Intangible Asset Type Life Patents Up to date patent expires Tradenames and trademarks Up to 20 years Licensing agreements Up to 20 years Customer relationships Up to 15 years When the expected life is not known, the Company will estimate the useful life based on similar asset or asset groups, any legal, regulatory, or contractual provision that limits the useful life, the effect of economic factors, including obsolescence, demand, competition, and the level of maintenance expenditures required to obtain the expected future economic benefit from the asset. Valuations of identifiable intangibles assets acquired are based on information and assumptions available at the time of acquisition, using income and market model approaches to determine fair value. These assets are reviewed for impairment whenever events or circumstances suggest that the carrying amount of the asset may not be recoverable. The Company closely monitors all intangible assets including those related to new and existing technologies for indicators of impairment as these assets have more risk of becoming impaired. Impairment is based upon an initial evaluation of the identifiable undiscounted cash flows. If the initial evaluation identifies a potential impairment, a fair value of the asset is determined by using a discounted cash flows valuation. If impaired, the resulting charge reflects the excess of the asset’s carrying cost over its fair value. |
Property, Plant and Equipment | Property, plant and equipment are stated at cost, with the exception of assets acquired through acquisitions, which are recorded at fair value, net of accumulated depreciation. Except for leasehold improvements, depreciation for financial reporting purposes is computed by the straight-line method over the following estimated useful lives: generally 40 years for buildings and 4 to 15 years for machinery and equipment. The cost of leasehold improvements is amortized over the shorter of the estimated useful life or the term of the lease. Maintenance and repairs are expensed as incurred to the statements of operations; replacements and major improvements are capitalized. These asset groups are reviewed for impairment whenever events or circumstances suggest that the carrying amount of the asset group may not be recoverable. Impairment is based upon an evaluation of the identifiable undiscounted cash flows. If impaired, the resulting charge reflects the excess of the asset group’s carrying cost over its fair value. |
Derivative Financial Instruments | The Company records all derivative instruments in the consolidated balance sheet at fair value and changes in fair value are recorded each period in the consolidated statements of operations or accumulated other comprehensive income (“AOCI”). The Company classifies derivative assets and liabilities as current when the remaining term of the derivative contract is one year or less. The Company has elected to classify the cash flow from derivative instruments in the same category as the cash flows from the items being hedged. Should the Company enter into a derivative instrument that included an other-than-insignificant financing element then all cash flows will be classified as financing activities in the Consolidated Statements of Cash Flows as required by US GAAP. The Company employs derivative financial instruments to hedge certain anticipated transactions, firm commitments, and assets and liabilities denominated in foreign currencies. Additionally, the Company utilizes interest rate swaps to convert floating rate debt to fixed rate. |
Pension and Other Postemployment Benefits | Some of the employees of the Company and its subsidiaries are covered by government or Company-sponsored defined benefit plans. Many of the employees have available to them defined contribution plans. Additionally, certain union and salaried employee groups in the United States are covered by postemployment healthcare plans. Costs for Company-sponsored defined benefit and postemployment benefit plans are based on expected return on plan assets, discount rates, employee compensation increase rates and health care cost trends. Expected return on plan assets, discount rates and health care cost trend assumptions are particularly important when determining the Company’s benefit obligations and net periodic benefit costs associated with postemployment benefits. Changes in these assumptions can impact the Company’s earnings before income taxes. In determining the cost of postemployment benefits, certain assumptions are established annually to reflect market conditions and plan experience to appropriately reflect the expected costs as actuarially determined. These assumptions include medical inflation trend rates, discount rates, employee turnover and mortality rates. The Company predominantly uses liability durations in establishing its discount rates, which are observed from indices of high-grade corporate bond yields in the respective economic regions of the plans. The expected return on plan assets is the weighted average long-term expected return based upon asset allocations and historic average returns for the markets where the assets are invested, principally in foreign locations. The Company reports the funded status of its defined benefit pension and other postemployment benefit plans on its consolidated balance sheets as a net liability or asset. |
Accruals for Self-Insured Losses | The Company maintains insurance for certain risks, including workers’ compensation, general liability, product liability and vehicle liability, and is self-insured for employee related healthcare benefits. The Company accrues for the expected costs associated with these risks by considering historical claims experience, demographic factors, severity factors and other relevant information. Costs are recognized in the period the claim is incurred, and the financial statement accruals include an estimate of claims incurred but not yet reported. The Company has stop-loss coverage to limit its exposure to any significant exposure on a per claim basis. |
Litigation | The Company and its subsidiaries are from time to time parties to lawsuits arising out of their respective operations. The Company records liabilities when a loss is probable and can be reasonably estimated. These estimates are typically in the form of ranges, and the Company records the liabilities at the low point of the ranges, when no other point within the ranges are a better estimate of the probable loss. The ranges established by management are based on analysis made by internal and external legal counsel who considers information known at the time. If the Company determines a liability to be only reasonably possible, it considers the same information to estimate the possible exposure and discloses any material potential liability. These loss contingencies are monitored regularly for a change in fact or circumstance that would require an accrual adjustment. The Company believes it has estimated liabilities for probable losses appropriately in the past; however, the unpredictability of litigation and court decisions could cause a liability to be incurred in excess of estimates. Legal costs related to these lawsuits are expensed as incurred. |
Foreign Currency Translation | The functional currency for foreign operations, except for those in highly inflationary economies, generally has been determined to be the local currency.Assets and liabilities of foreign subsidiaries are translated at foreign exchange rates on the balance sheet date; revenue and expenses are translated at the average year-to-date foreign exchange rates. The effects of these translation adjustments are reported in Equity within AOCI in the Consolidated Balance Sheets. During the year ended December 31, 2019, the Company had losses of $3.7 million on its loans designated as hedges of net investments and translation losses of $87.3 million. During the year ended December 31, 2018, the Company had gains of $14.9 million on its loans designated as hedges of net investments and translation losses of $200.1 million.Foreign exchange gains and losses arising from transactions denominated in a currency other than the functional currency of the entity involved and remeasurement adjustments in countries with highly inflationary economies are included in income. |
Revenue Recognition | Revenue Recognition Revenue is recognized when performance obligations under the terms of a contract with a customer are satisfied; generally this occurs with the transfer of risk and/or control of Dental and Healthcare Consumables products ("consumable" products), Dental Technology products ("technology" products), or Dental Equipment products ("equipment" products). Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring goods or providing services. Sales, value add, and other taxes collected concurrent with revenue-producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. For most of consumables, technologies, and equipment, the Company transfers control and recognizes a sale when products are shipped from the Company's manufacturing facility or warehouse to the customer (distributors and direct to dentists). For contracts with customers that contain destination shipping terms, revenue is not recognized until risk has transferred and the goods are delivered to the agreed upon destination. The amount of consideration received and revenue recognized varies with changes in marketing incentives (e.g. discounts, rebates, free goods) and returns offered to customers and their customers. When the Company gives customers the right to return eligible products and receive credit, returns are estimated based on an analysis of historical experience. However, returns of products, excluding warranty related returns, are infrequent and insignificant. The Company adjusts the estimate of revenue at the earlier of when the most likely amount of consideration can be estimated, the amount expected to be received changes, or when the consideration becomes fixed. Consideration received from customers in advance of revenue recognition is classified as deferred revenue. Depending on the terms of the arrangement, the Company may also defer the recognition of a portion of the consideration received when performance obligations are not yet satisfied (e.g., free extended maintenance/service contracts, software and licenses, customer loyalty points and coupon programs). The Company uses an observable price, typically average selling price, to determine the stand-alone selling price for separate performance obligations. The Company determines the stand-alone selling price, based on Company geographic sales locations' database of pricing and discounting practices for the specific product or service when sold separately, and utilizes this data to arrive at average selling prices by product. Revenue is then allocated proportionately, based on the determined stand-alone selling price, to the unsatisfied performance obligation, which is deferred until satisfied. At December 31, 2019, the Company had $29.2 million of deferred revenue recorded in Accrued liabilities in the Consolidated Balance Sheets. The Company expects to recognize significantly all of the deferred revenue within the next twelve months. The prior year amount of $29.3 million was recognized in the current year. The Company has elected to account for shipping and handling activities as a fulfillment cost within the cost of products sold, and records shipping and handling costs collected from customers in net sales. The Company has adopted two practical expedients: the “right to invoice” practical expedient, which allows us to recognize revenue in the amount of the invoice when it corresponds directly with the value of performance completed to date; and relief from considering the existence of a significant financing component when the payment for the good or service is expected to be one year or less. The Company offers discounts to its customers and distributors if certain conditions are met. Discounts are primarily based on the volume of products purchased or targeted to be purchased by the customer or distributor. Discounts are deducted from revenue at the time of sale or when the discount is offered, whichever is later. The Company estimates volume discounts based on the individual customer’s or distributor's historical and estimated future product purchases. Certain of the Company’s customers are offered cash rebates based on targeted sales increases. The Company estimates rebates based on the forecasted performance of a customer and their expected level of achievement within the rebate programs. In accounting for these rebate programs, the Company records an accrual and reduces net sales ratably as sales occur over the rebate period. The Company updates the accruals for these rebate programs as actual results and updated forecasts impact the estimated achievement for customers within the rebate programs. A portion of the Company’s net sales comprises of sales of precious metals generated through its precious metal dental alloy product offerings. As the precious metal content of the Company’s sales is largely a pass-through to customers, the Company uses its cost of precious metal purchased as a proxy for the precious metal content of sales, as the precious metal content of sales is not separately tracked and invoiced to customers. The Company believes that it is reasonable to use the cost of precious metal content purchased in this manner since precious metal alloy sale prices are typically adjusted when the prices of underlying precious metals change. |
Cost of Products Sold | Cost of products sold represents costs directly related to the manufacture and distribution of the Company’s products. Primary costs include raw materials, packaging, direct labor, overhead, shipping and handling, warehousing and the depreciation of manufacturing, warehousing and distribution facilities. Overhead and related expenses include salaries, wages, employee benefits, utilities, lease costs, maintenance and property taxes. |
Warranties | The Company provides warranties on certain equipment products. Estimated warranty costs are accrued when sales are made to customers. Estimates for warranty costs are based primarily on historical warranty claim experience. Warranty costs are included in Cost of products sold in the Consolidated Statements of Operations. |
Selling, General and Administrative Expenses | Selling, general and administrative expenses represent costs incurred in generating revenues and in managing the business of the Company. Such costs include advertising and other marketing expenses, salaries, employee benefits, incentive compensation, research and development, travel, office expenses, lease costs, amortization of capitalized software and depreciation of administrative facilities. Advertising cost are expensed as incurred. |
Research and Development Costs | Research and development (“R&D”) costs relate primarily to internal costs for salaries and direct overhead expenses. In addition, the Company contracts with outside vendors to conduct R&D activities. All such R&D costs are charged to expense when incurred. The Company capitalizes the costs of equipment that have general R&D uses and expenses such equipment that is solely for specific R&D projects. The depreciation expense related to this capitalized equipment is included in the Company’s R&D costs. Software development costs incurred prior to the attainment of technological feasibility are considered R&D and are expensed as incurred. Once technological feasibility is established, software development costs are capitalized until the product is available for general release to customers. Amortization of these costs are included in Cost of products sold over the estimated life of the products. R&D costs were $131.3 million, $160.5 million and $151.7 million for the years ended December 31, 2019, 2018 and 2017, respectively, and are included in Selling, general and administrative expenses in the Consolidated Statements of Operations. |
Stock Compensation | The Company recognizes the compensation cost relating to stock-based payment transactions in the financial statements. The cost of stock-based payment transactions is measured at the grant date, based on the calculated fair value of the award, and is recognized as an expense over the employee’s requisite service period (generally the vesting period of the equity awards). The compensation cost is only recognized for the portion of the awards that are expected to vest.Stock options granted become exercisable as determined by the grant agreement and expire ten one |
Income Taxes | The Company’s tax expense includes U.S. and international income taxes plus the provision for U.S. taxes on undistributed earnings of international subsidiaries not deemed to be permanently invested. Tax credits and other incentives reduce tax expense in the year the credits are claimed. Certain items of income and expense are not reported in tax returns and financial statements in the same year. The tax effect of such temporary differences is reported as deferred income taxes. Deferred tax assets are recognized if it is more likely than not that the assets will be realized in future years. The Company establishes a valuation allowance for deferred tax assets for which realization is not likely. The Company applies a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The Company recognizes in the consolidated financial statements the impact of a tax position if that position is more likely than not of being sustained upon examination by the taxing authorities based on the technical merits of the position. The Company’s tax positions are subject to ongoing examinations by the tax authorities. The Company operates within multiple taxing jurisdictions throughout the world and in the normal course of business is examined by taxing authorities in those jurisdictions. Adjustments to the uncertain tax positions are recorded when taxing authority examinations are completed, statutes of limitation are closed, changes in tax laws occur or as new information comes to light with regard to the technical merits of the tax position. |
Earnings Per Share | Basic earnings per share are calculated by dividing net earnings by the weighted average number of shares outstanding for the period. Diluted earnings per share is calculated by dividing net earnings by the weighted average number of shares outstanding for the period, adjusted for the effect of an assumed exercise of all dilutive options outstanding at the end of the period. |
Business Acquisitions | The Company acquires businesses as well as partial interests in businesses. Acquired businesses are accounted for using the acquisition method of accounting which requires the Company to record assets acquired and liabilities assumed at their respective fair values with the excess of the purchase price over estimated fair values recorded as goodwill. The assumptions made in determining the fair value of acquired assets and assumed liabilities as well as asset lives can materially impact the results of operations.The Company obtains information during due diligence and through other sources to establish respective fair values. Examples of factors and information that the Company uses to determine the fair values include: tangible and intangible asset evaluations and appraisals; evaluations of existing contingencies and liabilities and product line information. If the initial valuation for an acquisition is incomplete by the end of the quarter in which the acquisition occurred, the Company will record a provisional estimate in the financial statements. The provisional estimate will be finalized as soon as information becomes available, but will only occur up to one year from the acquisition date. |
Noncontrolling Interests | The Company reports noncontrolling interest (“NCI”) in a subsidiary as a separate component of Equity in the Consolidated Balance Sheets. Additionally, the Company reports the portion of net income (loss) and comprehensive income (loss) attributed to the Company and NCI separately in the Consolidated Statements of Operations. The Company also includes a separate column for NCI in the Consolidated Statements of Changes in Equity. |
Segment Reporting | The Company has numerous operating businesses covering a wide range of products and geographic regions, primarily serving the professional dental market and to a lesser extent the consumable medical device market. Professional dental products and equipment represented approximately 92%, 91% and 92% of sales for the years ended 2019, 2018 and 2017, respectively. The Company has two reportable segments and a description of the activities within these segments is included in Note 5, Segment and Geographic Information. |
Fair Value Measurement | Recurring Basis The Company records certain financial assets and liabilities at fair value in accordance with the accounting guidance, which defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The accounting guidance establishes a hierarchical disclosure framework associated with the level of pricing observability utilized in measuring financial instruments at fair value. The three broad levels defined by the fair value hierarchy are as follows: Level 1 - Quoted prices are available in active markets for identical assets or liabilities as of the reported date. Level 2 - Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable reported date. These financial instruments include derivative instruments whose fair value have been derived using a model where inputs to the model are directly observable in the market or can be derived principally from, or corroborated by observable market data. Level 3 - Instruments that have little to no pricing observability as of the reported date. These financial instruments do not have two-way markets and are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. The degree of judgment utilized in measuring the fair value of certain financial assets and liabilities generally correlates to the level of pricing observability. Pricing observability is impacted by a number of factors, including the type of financial instrument. Financial assets and liabilities with readily available active quoted prices or for which fair value can be measured from actively quoted prices generally will have a higher degree of pricing observability and a lesser degree of judgment utilized in measuring fair value. Conversely, financial assets and liabilities rarely traded or not quoted will generally have less, or no pricing observability and a higher degree of judgment utilized in measuring fair value. The Company primarily applies the market approach for recurring fair value measurements and endeavors to utilize the best available information. Accordingly, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Additionally, the Company considers its credit risks and its counterparties’ credit risks when determining the fair values of its financial assets and liabilities. The Company believes the carrying amounts of cash and cash equivalents, accounts receivable (net of allowance for doubtful accounts), prepaid expenses and other current assets, accounts payable, accrued liabilities, income taxes payable and notes payable approximate fair value due to the short-term nature of these instruments. The Company has presented the required disclosures in Note 19, Fair Value Measurement. Non-Recurring Basis When events or circumstances require an asset or liability to be fair valued that otherwise is generally recorded based on another valuation method, such as, net realizable value, the Company will utilize the valuation techniques described above. |
Recent Accounting Pronouncements | Recently Adopted Accounting Pronouncements Effective January 1, 2018, the Company adopted Accounting Standards Update (“ASU”) No. 2014-09, “Revenue from Contracts with Customers”, as amended (Topic 606, commonly referred to as ASC 606) to all contracts using the modified retrospective method. The Company recognized the cumulative effect of initially applying the new revenue standard as an adjustment to the opening balance of retained earnings. The comparative information has not been restated and continues to be reported under the accounting standards in effect for those periods. Most of the Company’s revenue continues to be recognized when products are shipped from manufacturing facilities. For certain customer and dealer incentive programs, such as coupons, customer loyalty and free goods, the Company recognizes the proportionate revenue and cost of product when the incentives are shipped or awarded. Prior to adoption of ASC 606, costs for these types of programs were recognized when triggering events occurred. For contracts with customers where performance occurs over time, such as software sales, the Company recognizes revenue ratably over the performance period. The new revenue standard also provided additional guidance that resulted in reclassifications to or from Net sales, Cost of products sold, Selling, general and administrative expenses, and the resultant change in Provision (benefit) for income taxes. The impact of adopting the new revenue recognition standard on the Company's Consolidated Statements of Operations: Consolidated Statements of Operations Item December 31, 2018 (in millions) As Reported Balance Balances Without Adoption of ASC 606 Effect of Change Increase/(Decrease) Net sales $ 3,986.3 $ 3,986.8 $ (0.5) Selling, general and administrative expenses 1,719.1 1,719.0 0.1 Provision (benefit) for income taxes 52.5 52.6 (0.1) Net (loss) income attributable to Dentsply Sirona (1,011.0) (1,010.5) (0.5) Effective January 1, 2018, the Company adopted ASU No. 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” This accounting standard seeks to improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. Previously, US GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to a third party, which is an exception to the principle of comprehensive recognition of current and deferred income taxes in US GAAP. ASU No. 2016-16 eliminates this exception. The Company adopted this accounting standard using the modified retrospective method with a cumulative-effect adjustment directly to retained earnings. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) with subsequent amendments (collectively, “ASC 842”). The Company adopted the new leasing standards on January 1, 2019 using the modified retrospective approach transition method. Results for reporting periods beginning after January 1, 2019 are presented under ASC 842, while prior periods are not adjusted and continue to be reported in accordance with historic accounting under ASC 840. The Company elected the package of practical expedients permitted under the transition guidance within the standard, which eliminates the reassessment of past leases, their classification and initial direct costs for existing leases. The Company did not elect to adopt the hindsight practical expedient. The Company recognized material right-of-use assets and liabilities in the Consolidated Balance Sheets for its operating lease commitments with terms greater than 12 months. See Note 9, Leases for additional information. The impact of adopting this standard, by financial statement line item, on January 1, 2019 were as follows: Consolidated Balance Sheets Item (in millions) January 1, 2019 Assets Operating lease right-of-use assets, net $ 167.1 Property, plant, and equipment, net 1.8 Liabilities Accrued liabilities $ 39.4 Notes payable and current portion of long-term debt 0.2 Long-term debt 1.5 Operating lease liabilities 126.5 In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging.” This accounting standard improves the financial reporting and disclosure of hedging relationships to better portray the economic results of an entity’s risk management activities in its financial statements. The amendments in this update make improvements to simplify the application of the hedge accounting guidance in current US GAAP based on the feedback received from preparers, auditors, users and other stakeholders. More specifically, this update expands and refines hedge accounting for both nonfinancial and financial risk components and aligns the recognition and presentation of the effects of the hedging instruments and the hedged items in the financial statements. The effect of adoption should be reflected as of the beginning of the fiscal year of adoption. For cash flow and net investment hedges existing at the date of adoption, an entity should apply a cumulative-effect adjustment related to eliminating the separate measurement of ineffectiveness to accumulated other comprehensive income with a corresponding adjustment to the opening balance of retained earnings as of the beginning of the fiscal year that an entity adopts the amendments in this update. The amended presentation and disclosure guidance is required only prospectively. The Company adopted this accounting standard effective January 1, 2019. The adoption of this standard did not materially impact the statements of operations, financial position, cash flows, and disclosures. Accounting Standards Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13 "Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments." This newly issued accounting standard changes the recognition and measurement of credit losses, including trade accounts receivable. Under current accounting standards, a loss is recognized when loss becomes probable of occurring. The new standard broadens the information that an entity must consider when developing expected credit loss estimates. The amendments in this update are effective for fiscal years and interim periods ending after December 15, 2019. Early adoption is permitted. The amendments in this update should be applied on a prospective basis for all periods presented with a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective. The Company will adopt this standard on January 1, 2020. The adoption of this standard will not materially impact the Company's financial position, results of operations, cash flows, disclosures or internal controls. In August 2018, the FASB issued ASU No. 2018-14 "Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans." This newly issued accounting standard changes disclosure requirements for defined benefit plans, including removal and modification of existing disclosures. The amendments in this update are effective for fiscal years ending after December 15, 2020. Early adoption is permitted. The amendments in this update should be applied on a retrospective basis for all periods presented. The Company is currently assessing the impact that this standard will have on its disclosures. In December 2019, the FASB issued ASU No. 2019-12 "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes." This newly issued accounting standard simplifies key provisions for accounting for income taxes, as part of the FASB's initiative to reduce complexity in accounting standards. The amendments eliminate certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The amendments also clarify and simplify other aspects of the accounting for income taxes. The amendments in this update are effective for interim and fiscal period beginning after December 31, 2020. Early adoption is permitted. The Company is currently assessing the impact that this standard will have on its financial position, results of operations, cash flows and disclosures. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Intangible Assets | The Company uses the following useful lives within its classification of intangible assets: Intangible Asset Type Life Patents Up to date patent expires Tradenames and trademarks Up to 20 years Licensing agreements Up to 20 years Customer relationships Up to 15 years |
Schedule of Warranty Expense and Accrual | The Company’s warranty expense and warranty accrual were as follows: December 31, (in millions) 2019 2018 2017 Warranty Expense $ 35.6 $ 23.7 $ 25.7 Warranty Accrual 17.9 13.0 11.8 |
Schedule of Adjustments to the Financial Statement Line Items Impact by the Accounting Update | The impact of adopting the new revenue recognition standard on the Company's Consolidated Statements of Operations: Consolidated Statements of Operations Item December 31, 2018 (in millions) As Reported Balance Balances Without Adoption of ASC 606 Effect of Change Increase/(Decrease) Net sales $ 3,986.3 $ 3,986.8 $ (0.5) Selling, general and administrative expenses 1,719.1 1,719.0 0.1 Provision (benefit) for income taxes 52.5 52.6 (0.1) Net (loss) income attributable to Dentsply Sirona (1,011.0) (1,010.5) (0.5) Effective January 1, 2018, the Company adopted ASU No. 2016-16, “Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.” This accounting standard seeks to improve the accounting for the income tax consequences of intra-entity transfers of assets other than inventory. Previously, US GAAP prohibited the recognition of current and deferred income taxes for an intra-entity asset transfer until the asset has been sold to a third party, which is an exception to the principle of comprehensive recognition of current and deferred income taxes in US GAAP. ASU No. 2016-16 eliminates this exception. The Company adopted this accounting standard using the modified retrospective method with a cumulative-effect adjustment directly to retained earnings. Consolidated Balance Sheets Item (in millions) January 1, 2019 Assets Operating lease right-of-use assets, net $ 167.1 Property, plant, and equipment, net 1.8 Liabilities Accrued liabilities $ 39.4 Notes payable and current portion of long-term debt 0.2 Long-term debt 1.5 Operating lease liabilities 126.5 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Common Share | The computation of basic and diluted earnings (loss) per common share for the years ended December 31 were as follows: Basic Earnings Per Common Share Computation (in millions, except per share amounts) 2019 2018 2017 Net income (loss) attributable to Dentsply Sirona $ 262.9 $ (1,011.0) $ (1,550.0) Weighted average common shares outstanding 223.1 224.3 229.4 Earnings (loss) per common share - basic $ 1.18 $ (4.51) $ (6.76) Diluted Earnings Per Common Share Computation (in millions, except per share amounts) 2019 2018 2017 Net income (loss) attributable to Dentsply Sirona $ 262.9 $ (1,011.0) $ (1,550.0) Weighted average common shares outstanding 223.1 224.3 229.4 Incremental weighted average shares from assumed exercise of dilutive options from stock-based compensation awards 1.3 — — Total weighted average diluted shares outstanding 224.4 224.3 229.4 Earnings (loss) per common share - diluted $ 1.17 $ (4.51) $ (6.76) |
COMPREHENSIVE INCOME (Tables)
COMPREHENSIVE INCOME (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Changes in AOCI, net of tax, by component for the years ended December 31, 2019 and 2018 were as follows: (in millions) Foreign Currency Translation Gain (Loss) Gain and (Loss) on Cash Flow Hedges Gain and (Loss) on Net Investment Hedges Pension Liability Gain (Loss) Total Balance, net of tax, at December 31, 2018 $ (284.7) $ 0.6 $ (111.4) $ (83.2) $ (478.7) Other comprehensive (loss) income before reclassifications and tax impact (87.8) (16.9) 17.7 (54.7) (141.7) Tax benefit (expense) 4.2 4.3 (7.0) 14.1 15.6 Other comprehensive (loss) income, net of tax, before reclassifications $ (83.6) $ (12.6) $ 10.7 $ (40.6) $ (126.1) Amounts reclassified from accumulated other comprehensive income, net of tax — 1.4 — 3.7 5.1 Net (decrease) increase in other comprehensive income (83.6) (11.2) 10.7 (36.9) (121.0) Balance, net of tax, at December 31, 2019 $ (368.3) $ (10.6) $ (100.7) $ (120.1) $ (599.7) (in millions) Foreign Currency Translation Gain (Loss) Gain and (Loss) on Cash Flow Hedges Gain and (Loss) on Net Investment Hedges Net Unrealized Holding Gain on Available-for-Sale Securities Pension Liability Gain (Loss) Total Balance, net of tax, at December 31, 2017 $ (104.5) $ (12.6) $ (127.6) $ 44.3 $ (90.6) $ (291.0) Other comprehensive (loss) income before reclassifications and tax impact (160.1) 5.1 36.2 — 7.7 (111.1) Tax (expense) benefit (20.1) (1.6) (20.0) — (4.7) (46.4) Other comprehensive (loss) income, net of tax, before reclassifications $ (180.2) $ 3.5 $ 16.2 $ — $ 3.0 $ (157.5) Amounts reclassified from accumulated other comprehensive income, net of tax — 9.7 — (44.3) 4.4 (30.2) Net (decrease) increase in other comprehensive income (180.2) 13.2 16.2 (44.3) 7.4 (187.7) Balance, net of tax, at December 31, 2018 $ (284.7) $ 0.6 $ (111.4) $ — $ (83.2) $ (478.7) |
Reclassification out of Accumulated Other Comprehensive Income | Reclassification out of AOCI to the Consolidated Statements of Operations for the years ended December 31, 2019, 2018, and 2017 were as follows: Details about AOCI Components Amounts Reclassified from AOCI Affected Line Item in the Consolidated Statements of Operations Year Ended December 31, (in millions) 2019 2018 2017 (Loss) gain on derivative financial instruments: Interest rate swaps $ (2.4) $ (2.3) $ (2.3) Interest expense Foreign exchange forward contracts 1.0 (8.9) (3.0) Cost of products sold Net (loss) gain before tax $ (1.4) $ (11.2) $ (5.3) Tax impact — 1.5 2.7 Provision (benefit) for income taxes Net (loss) gain after tax $ (1.4) $ (9.7) $ (2.6) Realized gain on available-for-sale securities: Available -for-sale-securities $ — $ 45.0 $ — Other expense (income), net Tax impact — (0.7) — Provision (benefit) for income taxes Net gain after tax $ — $ 44.3 $ — Amortization of defined benefit pension and other postemployment benefit items: Amortization of prior service benefits $ 0.5 $ 0.2 $ 0.2 (a) Amortization of net actuarial losses (5.6) (6.3) (7) (a) Net loss before tax $ (5.1) $ (6.1) $ (6.8) Tax impact 1.4 1.7 1.9 Provision (benefit) for income taxes Net loss after tax $ (3.7) $ (4.4) $ (4.9) Total reclassifications for the period $ (5.1) $ 30.2 $ (7.5) (a) These AOCI components are included in the computation of net periodic benefit cost for the years ended December 31, 2019, 2018, and 2017, respectively. |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Summary of Intangible Assets Acquired | Intangible assets acquired were as follows: Weighted Average Useful Life (in millions, except for useful life) Amount (in years) Customer relationships $ 18.3 15 Developed technology and patents 64.7 15 Tradenames and trademarks 13.5 Indefinite Total $ 96.5 Weighted Average Useful Life (in millions, except for useful life) Amount (in years) Customer relationships $ 18.1 15 Developed technology and patents 22.4 15 Tradenames and trademarks 8.5 Indefinite Total $ 49.0 |
SEGMENT AND GEOGRAPHIC INFORM_2
SEGMENT AND GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Net Sales | The Company’s segment information for the years ended December 31 were as follows: Net Sales Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 2,283.2 $ 2,167.7 $ 2,202.8 Consumables 1,746.0 1,818.6 1,790.6 Total net sales $ 4,029.2 $ 3,986.3 $ 3,993.4 Net Sales, Excluding Precious Metal Content Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 2,283.2 $ 2,167.7 $ 2,202.8 Consumables 1,704.9 1,781.4 1,750.1 Total net sales, excluding precious metal content $ 3,988.1 $ 3,949.1 $ 3,952.9 Precious metal content of sales 41.1 37.2 40.5 Total net sales, including precious metal content $ 4,029.2 $ 3,986.3 $ 3,993.4 |
Depreciation and Amortization | Depreciation and Amortization Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 257.8 $ 238.4 $ 261.3 Consumables 54.2 90.8 53.7 All Other (a) 10.8 1.6 1.4 Total $ 322.8 $ 330.8 $ 316.4 (a) Includes amounts recorded at Corporate headquarters. |
Segment Operating Income (Loss) | Segment Adjusted Operating Income (Loss) Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 431.4 $ 277.9 $ 393.9 Consumables 437.1 459.9 495.5 Segment adjusted operating income before income taxes and interest $ 868.5 $ 737.8 $ 889.4 Reconciling Items (income) expense: All other (a) 230.7 184.0 180.3 Restructuring and other costs 80.7 221.0 425.2 Goodwill impairment — 1,085.8 1,650.9 Interest expense 29.4 37.3 38.3 Interest income (2.4) (2.1) (2.4) Other expense (income), net (11.5) (34.9) 5.3 Amortization of intangible assets 189.6 197.9 189.1 Depreciation resulting from the fair value step-up of property, plant and equipment from business combinations 6.6 7.2 6.2 Income (loss) before income taxes $ 345.4 $ (958.4) $ (1,603.5) (a) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations. |
Capital Expenditures | Capital Expenditures Year Ended December 31, (in millions) 2019 2018 2017 Technologies & Equipment $ 72.8 $ 126.1 $ 92.2 Consumables 34.0 42.8 44.0 All Other (a) 16.1 13.6 8.1 Total $ 122.9 $ 182.5 $ 144.3 (a) Includes capital expenditures of Corporate headquarters. |
Assets | Assets Year Ended December 31, (in millions) 2019 2018 Technologies & Equipment $ 5,926.8 $ 6,479.2 Consumables 2,443.4 2,059.4 All Other (a) 232.7 148.4 Total $ 8,602.9 $ 8,687.0 (a) Includes the results of unassigned Corporate headquarters costs and inter-segment eliminations. |
Schedule of Revenue and Long Lived Assets by Geographic Location | The following table sets forth information about the Company’s operations in different geographic areas for the years ended December 31, 2019, 2018 and 2017. Net sales reported below represent revenues for shipments made by operating businesses located in the country or territory identified, including export sales. Property, plant and equipment, net, represents those long-lived assets held by the operating businesses located in the respective geographic areas. (in millions) United States Germany Sweden Other Foreign Consolidated 2019 Net sales $ 1,374.8 $ 478.1 $ 56.6 $ 2,119.7 $ 4,029.2 Property, plant and equipment, net 168.4 327.5 98.7 207.8 802.4 2018 Net sales $ 1,269.9 $ 494.3 $ 55.2 $ 2,166.9 $ 3,986.3 Property, plant and equipment, net 211.1 339.3 99.3 220.9 870.6 2017 Net sales $ 1,376.5 $ 493.3 $ 52.4 $ 2,071.2 $ 3,993.4 Property, plant and equipment, net 202.0 331.5 103.4 239.1 876.0 |
Disaggregation of Revenue | Net sales by product category were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Dental consumables products $ 1,687.7 $ 1,739.8 $ 1,663.6 Dental technology and equipment products 2,004.8 1,897.7 2001.8 Healthcare consumable products 336.7 348.8 328.0 Total net sales $ 4,029.2 $ 3,986.3 $ 3,993.4 |
OTHER EXPENSE (INCOME) , NET (T
OTHER EXPENSE (INCOME) , NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Expense (Income) | Other expense (income), net, were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Foreign exchange transaction (gain) loss $ (26.9) $ 5.8 $ 1.7 Other expense (income), net 15.4 (40.7) 3.6 Total other expense (income), net $ (11.5) $ (34.9) $ 5.3 |
INVENTORIES, NET (Tables)
INVENTORIES, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Inventories, net of inventory valuation reserves, were as follows: Year Ended December 31, (in millions) 2019 2018 Finished goods $ 356.4 $ 380.0 Work-in-process 82.5 89.2 Raw materials and supplies 122.8 129.7 Inventories, net $ 561.7 $ 598.9 |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, plant and equipment, net | Property, plant and equipment, net, were as follows: Year Ended December 31, (in millions) 2019 2018 Assets, at cost: Land $ 51.9 $ 55.0 Buildings and improvements 553.6 560.3 Machinery and equipment 1,327.5 1,353.9 Construction in progress 102.0 107.6 $ 2,035.0 $ 2,076.8 Less: Accumulated depreciation 1,232.6 1,206.2 Property, plant and equipment, net $ 802.4 $ 870.6 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Assets and Liabilities, Leases | The net present value of finance and operating lease right-of-use assets and liabilities were as follows: (in millions, except percentages) Location in the Consolidated Balance Sheets December 31, 2019 Assets Finance leases Property, plant, and equipment, net $ 1.4 Operating leases Operating lease right-of-use assets, net 159.3 Total right-of-use assets $ 160.7 Liabilities Current liabilities Finance leases Notes payable and current portion of long-term debt $ 0.2 Operating leases Accrued liabilities 43.7 Noncurrent liabilities Finance leases Long-term debt 1.3 Operating leases Operating lease liabilities 119.5 Total lease liabilities $ 164.7 Supplemental information: Weighted-average discount rate Finance leases 3.6 % Operating leases 2.9 % Weighted-average remaining lease term in years Finance leases 7.0 Operating leases 5.3 |
Lease Costs | The lease cost recognized in the Consolidated Statements of Operations for the year ended December 31, 2019 were as follows: (in millions) 2019 Finance lease cost $ 0.4 Amortization of right-of-use assets 0.3 Interest on lease liabilities 0.1 Operating lease cost 54.4 Short-term lease cost 1.2 Variable lease cost 9.6 Total lease cost $ 65.6 The supplemental cash flow information for the year ended December 31, 2019 were as follows: (in millions) 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows paid for finance leases $ 0.1 Operating cash flows paid for operating leases 52.7 Financing cash flows paid for finance leases 0.2 Right-of-use assets obtained in exchange for new lease liabilities: Operating leases $ 35.4 |
Finance Lease Maturity Schedule | The contractual maturity dates of the remaining lease liabilities for the year ended December 31, 2019 were as follows: (in millions) Finance Leases Operating Leases Total 2020 $ 0.2 $ 47.7 $ 47.9 2021 0.3 36.9 37.2 2022 0.3 26.9 27.2 2023 0.2 20.2 20.4 2024 0.1 15.2 15.3 2025 and beyond 0.6 30.6 31.2 Total lease payments $ 1.7 $ 177.5 $ 179.2 Less imputed interest 0.2 14.3 14.5 Present value of lease liabilities $ 1.5 $ 163.2 $ 164.7 |
Operating Lease Maturity Schedule | The contractual maturity dates of the remaining lease liabilities for the year ended December 31, 2019 were as follows: (in millions) Finance Leases Operating Leases Total 2020 $ 0.2 $ 47.7 $ 47.9 2021 0.3 36.9 37.2 2022 0.3 26.9 27.2 2023 0.2 20.2 20.4 2024 0.1 15.2 15.3 2025 and beyond 0.6 30.6 31.2 Total lease payments $ 1.7 $ 177.5 $ 179.2 Less imputed interest 0.2 14.3 14.5 Present value of lease liabilities $ 1.5 $ 163.2 $ 164.7 |
Financing Payments Under Topic 840 | The contractual maturity dates presented under prior lease accounting guidance of the remaining rental commitments at December 31, 2018 were as follows: (in millions) Finance Leases Operating Leases Total 2019 $ 4.2 $ 36.6 $ 40.8 2020 4.2 28.5 32.7 2021 2.5 22.1 24.6 2022 1.8 16.4 18.2 2023 1.3 12.7 14.0 2024 and beyond 1.1 16.9 18.0 Total lease payments $ 15.1 $ 133.2 $ 148.3 |
Operating Leases Under Topic 840 | The contractual maturity dates presented under prior lease accounting guidance of the remaining rental commitments at December 31, 2018 were as follows: (in millions) Finance Leases Operating Leases Total 2019 $ 4.2 $ 36.6 $ 40.8 2020 4.2 28.5 32.7 2021 2.5 22.1 24.6 2022 1.8 16.4 18.2 2023 1.3 12.7 14.0 2024 and beyond 1.1 16.9 18.0 Total lease payments $ 15.1 $ 133.2 $ 148.3 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Reconciliation of Changes in the Company's Goodwill | A reconciliation of changes in the Company’s goodwill by reportable segment were as follows (the segment information below reflects the current structure for all periods shown): (in millions) Technologies & Equipment Consumables Total Balance at December 31, 2017 $ 3,634.4 $ 904.8 $ 4,539.2 Acquisition activity 58.0 3.7 61.7 Adjustment of provisional amounts on prior acquisitions — 0.7 0.7 Impairment (1,085.7) — (1,085.7) Effect of exchange rate changes (61.8) (22.8) (84.6) Balance at December 31, 2018 $ 2,544.9 $ 886.4 $ 3,431.3 Acquisition activity 3.3 — 3.3 Divestiture of business (4.1) — (4.1) Effect of exchange rate changes (28.4) (5.6) (34.0) Balance at December 31, 2019 $ 2,515.7 $ 880.8 $ 3,396.5 The gross carrying amount of goodwill and the cumulative goodwill impairment were as follows: Year Ended December 31, 2019 2018 (in millions) Gross Carrying Amount Cumulative Impairment Net Carrying Amount Gross Carrying Amount Cumulative Impairment Net Carrying Amount Technologies & Equipment $ 5,252.3 $ (2,736.6) $ 2,515.7 $ 5,281.5 $ (2,736.6) $ 2,544.9 Consumables 880.8 — 880.8 886.4 — 886.4 Total effect of cumulative impairment $ 6,133.1 $ (2,736.6) $ 3,396.5 $ 6,167.9 $ (2,736.6) $ 3,431.3 |
Identifiable Definite-Lived Intangible Assets | Identifiable definite-lived and indefinite-lived intangible assets at were as follows: Year Ended December 31, 2019 2018 (in millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Patents $ 1,351.3 $ (517.9) $ 833.4 $ 1,376.4 $ (407.1) $ 969.3 Tradenames and trademarks 79.0 (63.4) 15.6 81.1 (62.5) 18.6 Licensing agreements 36.0 (27.9) 8.1 36.1 (26.3) 9.8 Customer relationships 1,070.5 (399.2) 671.3 1,085.3 (334.4) 750.9 Total definite-lived $ 2,536.8 $ (1,008.4) $ 1,528.4 $ 2,578.9 $ (830.3) $ 1,748.6 Indefinite-lived tradenames and trademarks $ 647.9 $ — $ 647.9 $ 671.7 $ — $ 671.7 Total identifiable intangible assets $ 3,184.7 $ (1,008.4) $ 2,176.3 $ 3,250.6 $ (830.3) $ 2,420.3 |
Schedule of Indefinite-Lived Intangible Assets | Identifiable definite-lived and indefinite-lived intangible assets at were as follows: Year Ended December 31, 2019 2018 (in millions) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Patents $ 1,351.3 $ (517.9) $ 833.4 $ 1,376.4 $ (407.1) $ 969.3 Tradenames and trademarks 79.0 (63.4) 15.6 81.1 (62.5) 18.6 Licensing agreements 36.0 (27.9) 8.1 36.1 (26.3) 9.8 Customer relationships 1,070.5 (399.2) 671.3 1,085.3 (334.4) 750.9 Total definite-lived $ 2,536.8 $ (1,008.4) $ 1,528.4 $ 2,578.9 $ (830.3) $ 1,748.6 Indefinite-lived tradenames and trademarks $ 647.9 $ — $ 647.9 $ 671.7 $ — $ 671.7 Total identifiable intangible assets $ 3,184.7 $ (1,008.4) $ 2,176.3 $ 3,250.6 $ (830.3) $ 2,420.3 |
PREPAID EXPENSES AND OTHER CU_2
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure | Prepaid expenses and other current assets were as follows: Year Ended December 31, (in millions) 2019 2018 Prepaid expenses $ 81.3 $ 104.8 Deposits 40.4 28.2 Fair value of derivatives 28.9 21.3 Other current assets 100.7 123.3 Prepaid expenses and other current assets $ 251.3 $ 277.6 |
ACCRUED LIABILITIES (Tables)
ACCRUED LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Accrued Liabilities | Accrued liabilities were as follows: Year Ended December 31, (in millions) 2019 2018 Payroll, commissions, bonuses, other cash compensation and employee benefits $ 178.8 $ 161.9 Sales and marketing programs 17.0 13.6 Reserve for dealer rebates 125.0 91.7 Restructuring costs 28.0 43.4 Accrued vacation and holidays 36.7 40.2 Professional and legal costs 35.9 42.2 Current portion of derivatives 2.8 2.8 General insurance 12.3 12.5 Warranty liabilities 17.8 13.0 Third party royalties 11.5 10.0 Deferred income 29.2 29.3 Accrued interest 10.8 11.6 Accrued travel expenses 7.5 7.8 Accrued property taxes 11.0 10.2 Current operating lease liabilities 43.7 — Other 61.2 88.7 Accrued liabilities $ 629.2 $ 578.9 |
FINANCING ARRANGEMENTS (Tables)
FINANCING ARRANGEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Short-Term Debt | Short-term debt were as follows: Year Ended December 31, 2019 2018 Principal Interest Principal Interest (in millions except percentages) Balance Rate Balance Rate Corporate commercial paper facility $ — — % $ 67.8 2.8 % Other short-term loans 2.1 3.7 % 14.0 0.8 % Add: Current portion of long-term debt 0.2 10.6 Total short-term debt $ 2.3 $ 92.4 Maximum month-end short-term debt outstanding during the year $ 148.2 $ 248.5 Average amount of short-term debt outstanding during the year 50.1 121.7 Weighted-average interest rate on short-term debt at year-end 3.7 % 2.5 % |
Long-Term Debt | Long-term debt were as follows: Year Ended December 31, 2019 2018 Principal Interest Principal Interest (in millions except percentages) Balance Rate Balance Rate Term loan 12.6 billion Japanese yen due September 2019 $ — — % $ 114.6 0.6 % Term loan $175.0 million due August 2020 — — % 131.3 3.9 % Fixed rate senior notes $450 million due August 2021 296.0 4.1 % 295.7 4.1 % Private placement notes 70.0 million euros due October 2024 78.5 1.0 % 80.2 1.0 % Private placement notes 25.0 million Swiss franc due December 2025 25.8 0.9 % 25.4 0.9 % Private placement notes 97.0 million euros due December 2025 108.8 2.1 % 111.2 2.1 % Private placement notes 26.0 million euros due February 2026 29.2 2.1 % 29.8 2.1 % Private placement notes 58.0 million Swiss franc due August 2026 60.0 1.0 % 59.0 1.0 % Private placement notes 106.0 million euros due August 2026 118.9 2.3 % 121.5 2.3 % Private placement notes 70.0 million euros due October 2027 78.5 1.3 % 80.2 1.3 % Private placement notes 7.5 million Swiss franc due December 2027 7.8 1.0 % 7.6 1.0 % Private placement notes 15.0 million euros due December 2027 16.8 2.2 % 17.2 2.2 % Private placement notes 140.0 million Swiss franc due August 2028 144.7 1.2 % 142.5 1.2 % Private placement notes 70.0 million euros due October 2029 78.5 1.5 % 80.2 1.5 % Private placement notes 70.0 million euros due October 2030 78.5 1.6 % 80.2 1.6 % Private placement notes 45.0 million euros due February 2031 50.5 2.5 % 51.6 2.5 % Private placement notes 65.0 million Swiss franc due August 2031 67.2 1.3 % 66.1 1.3 % Private placement notes 12.6 billion Japanese yen due September 2031 115.5 1.0 % — — % Private placement notes 70.0 million euros due October 2031 78.5 1.7 % 80.2 1.7 % Other borrowings, various currencies and rates 4.1 5.5 $ 1,437.8 $ 1,580.0 Less: Current portion (included in “Notes payable and current portion of long-term debt” in the Consolidated Balance Sheets) 0.2 10.6 Less: Long-term portion of deferred financing costs 4.5 4.5 Long-term portion $ 1,433.1 $ 1,564.9 |
Schedule of Maturities of Long-term Debt | The table below reflects the contractual maturity dates of the various long term borrowings were as follows: (in millions) December 31, 2019 2020 $ 0.2 2021 297.4 2022 1.3 2023 0.4 2024 78.7 2025 and beyond 1,059.8 $ 1,437.8 |
EQUITY (Tables)
EQUITY (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Total Outstanding Shares | Total outstanding shares of common stock and treasury stock were as follows: (in millions) Shares of Common Stock Shares of Treasury Stock Outstanding Shares Balance at December 31, 2016 264.5 (34.4) 230.1 Shares of treasury stock issued — 2.9 2.9 Repurchase of common stock at an average cost of $64.40 — (6.2) (6.2) Balance at December 31, 2017 264.5 (37.7) 226.8 Shares of treasury stock issued — 1.6 1.6 Repurchase of common stock at an average cost of $45.92 — (5.4) (5.4) Balance at December 31, 2018 264.5 (41.5) 223.0 Shares of treasury stock issued — 3.1 3.1 Repurchase of common stock at an average cost of $54.18 — (4.8) (4.8) Balance at December 31, 2019 264.5 (43.2) 221.3 |
Total Stock Based Compensation Expense and the Tax Related Benefit | Total stock based compensation expense and the tax related benefit were as follows: Year End December 31, (in millions) 2019 2018 2017 Stock option expense $ 7.1 $ 6.6 $ 15.4 RSU expense 57.8 13.2 31.2 Total stock based compensation expense $ 64.9 $ 19.8 $ 46.6 Related deferred income tax benefit $ 8.4 $ 2.4 $ 8.4 |
Assumptions Used to Determine Compensation Cost for the Company's Non-qualified Stock Options Issued | The average assumptions used to determine compensation cost for the Company’s NQSOs issued were as follows: Year End December 31, 2019 2018 2017 Weighted average fair value per share $ 12.20 $ 12.38 $ 13.83 Expected dividend yield 0.71 % 0.64 % 0.57 % Risk-free interest rate 2.36 % 2.72 % 2.11 % Expected volatility 22.6 % 19.7 % 20.0 % Expected life (years) 6.00 6.07 5.95 |
Summary of the Non-qualified Stock Option Transactions | The NQSO transactions for the year ended December 31, 2019 were as follows: Outstanding Exercisable (in millions, except per share amounts) Shares Weighted Average Exercise Price Aggregate Intrinsic Value Shares Weighted Average Exercise Price Aggregate Intrinsic Value December 31, 2018 6.4 $ 46.80 $ 4.5 5.0 $ 43.98 $ 4.5 Granted 0.6 49.71 Exercised (2.7) 40.34 Cancelled (0.4) 61.38 Forfeited (0.1) 59.59 December 31, 2019 3.8 $ 50.02 $ 28.1 2.7 $ 48.85 $ 23.2 |
Summary of Information about Non-qualified Stock Options Outstanding | nformation about NQSOs outstanding for the year ended December 31, 2019 were as follows: Outstanding Exercisable Number Outstanding at December 31, 2019 Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable at December 31, 2019 Weighted Average Exercise Price Range of Exercise Prices (in millions, except per share amounts and life) 30.01 - 40.00 0.5 2.0 $ 37.50 0.5 $ 37.51 40.01 - 50.00 1.4 5.9 46.19 0.9 44.24 50.01 - 60.00 1.3 6.3 54.84 0.8 54.36 60.01 - 70.00 0.6 5.4 62.13 0.5 62.08 3.8 5.4 $ 50.02 2.7 $ 48.85 |
Summary of the Unvested RSU Transactions | The unvested RSU transactions for the year ended December 31, 2019 were as follows: Unvested Restricted Stock Units Shares Weighted Average Grant Date Fair Value (in millions, except per share amounts) Unvested at December 31, 2018 1.5 $ 56.93 Granted 3.7 45.69 Vested (0.4) 54.60 Forfeited (0.3) 55.99 Unvested at December 31, 2019 4.5 $ 47.79 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of Income Before Income Taxes from Operations | The components of income (loss) before income taxes were as follows: Year Ended December 31, (in millions) 2019 2018 2017 United States $ (109.8) $ (279.6) $ (145.0) Foreign 455.2 (678.8) (1,458.5) $ 345.4 $ (958.4) $ (1,603.5) |
Components of the Provision for Income Taxes from Operations | The components of the provision (benefit) for income taxes from operations were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Current: U.S. federal $ (11.2) $ 9.8 $ 1.7 U.S. state 1.5 3.2 5.9 Foreign 129.4 101.5 83.0 Total $ 119.7 $ 114.5 $ 90.6 Deferred: U.S. federal $ (2.0) $ 46.4 $ 2.8 U.S. state 1.8 (3.0) 11.4 Foreign (37.2) (105.4) (158.0) Total $ (37.4) $ (62.0) $ (143.8) $ 82.3 $ 52.5 $ (53.2) |
Reconciliation of the U.S. Federal Statutory Tax Rate to the Effective Rate | The reconciliation of the U.S. federal statutory tax rate to the effective rate were as follows: Year Ended December 31, 2019 2018 2017 Statutory U.S. federal income tax rate 21.0 % 21.0 % 35.0 % Effect of: State income taxes, net of federal benefit 0.7 (0.2) (0.1) Federal benefit of R&D and foreign tax credits (2.0) 1.0 2.8 Tax effect of international operations 0.4 1.8 3.6 Global Intangible Low Taxed Income (GILTI) 3.7 (1.1) — Net effect of tax audit activity 0.4 (1.0) (0.6) Tax effect of enacted statutory rate changes on Non-U.S. jurisdictions 0.1 0.3 (0.2) Federal tax on unremitted earnings of certain foreign subsidiaries 0.1 (0.1) — Valuation allowance adjustments (1.3) (5.7) (0.7) U.S. tax reform - net impacts — 0.4 (1.2) Tax effect of impairment of goodwill and intangibles (0.2) (22.1) (37.4) Other 0.9 0.2 2.1 Effective income tax rate on operations 23.8 % (5.5 %) 3.3 % |
Tax Effect of Significant Temporary Differences Giving Rise to Deferred Tax Assets and Liabilities | The tax effect of significant temporary differences giving rise to deferred tax assets and liabilities were as follows: Year Ended December 31, 2019 2018 (in millions) Deferred Tax Asset Deferred Tax Liability Deferred Tax Asset Deferred Tax Liability Commission and bonus accrual $ 10.6 $ — $ 4.5 $ — Employee benefit accruals 55.9 — 56.8 — Inventory 15.3 — 13.9 — Identifiable intangible assets — 630.7 — 686.0 Insurance premium accruals 3.0 — 3.2 — Miscellaneous accruals 21.3 — 19.2 — Other — 2.2 3.0 — Unrealized losses included in AOCI 46.0 — 24.4 — Property, plant and equipment — 49.6 — 56.1 Lease right-of-use asset — 38.8 — — Lease right-of-use liability 39.7 — — — Product warranty accruals 1.5 — 1.5 — Foreign tax credit and R&D carryforward 73.5 — 78.8 — Restructuring and other cost accruals 3.8 — 3.1 — Sales and marketing accrual 6.2 — 5.3 — Taxes on unremitted earnings of foreign subsidiaries — 3.5 — 3.2 Tax loss carryforwards and other tax attributes 268.6 — 285.8 — Subtotal $ 545.4 $ 724.8 $ 499.5 $ 745.3 Valuation allowances (288.0) — (288.4) — Total $ 257.4 $ 724.8 $ 211.1 $ 745.3 |
Deferred Tax Assets and Liabilities Included in the Consolidated Balance Sheet | Deferred tax assets and liabilities are included in the following Consolidated Balance Sheets line items at December 31 were as follows: (in millions) 2019 2018 Assets Other noncurrent assets, net $ 12.2 $ 18.6 Liabilities Deferred income taxes $ 479.6 $ 552.8 |
Unrecognized Tax Benefits | The activity recorded for unrecognized tax benefits were as follows: (in millions) 2019 2018 2017 Unrecognized tax benefits at beginning of period $ 27.8 $ 21.0 $ 10.8 Gross change for prior period positions (0.4) 7.5 8.6 Gross change for current year positions 0.3 0.3 0.3 Decrease due to settlements and payments (3.9) (0.3) — Decrease due to statute expirations — (0.1) — Increase due to effect of foreign currency translation — — 1.3 Decrease due to effect from foreign currency translation (0.3) (0.6) — Unrecognized tax benefits at end of period $ 23.5 $ 27.8 $ 21.0 |
BENEFIT PLANS (Tables)
BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
Reconciliations of Changes in the Defined Benefit and Postretirement Healthcare Plans' Benefit Obligations, Fair Value of Assets and Statement of Funded Status | Reconciliation of changes in the defined benefit obligations, fair value of assets and statement of funded status were as follows: Year Ended December 31, (in millions) 2019 2018 Change in Benefit Obligation Benefit obligation at beginning of year $ 511.8 $ 545.5 Service cost 14.3 16.2 Interest cost 7.6 7.3 Participant contributions 4.0 4.2 Actuarial losses (gains) 79.5 (11.1) Plan amendments — (3.8) Acquisitions/Divestitures (0.1) 0.3 Effect of exchange rate changes (7.2) (20.3) Plan curtailments and settlements (22.5) (17.5) Benefits paid (9.2) (9.0) Benefit obligation at end of year $ 578.2 $ 511.8 Change in Plan Assets Fair value of plan assets at beginning of year $ 173.1 $ 185.7 Actual return on assets 23.5 (7.5) Plan settlements (22.5) (13.4) Effect of exchange rate changes 1.9 (2.4) Employer contributions 14.3 15.5 Participant contributions 4.0 4.2 Benefits paid (9.2) (9.0) Fair value of plan assets at end of year $ 185.1 $ 173.1 Funded status at end of year $ (393.1) $ (338.7) |
Amounts Recognized in the Accompanying Consolidated Balance Sheets, Net of Tax Effects | The amounts recognized in the accompanying Consolidated Balance Sheets, net of tax effects, were as follows: Location In The Year Ended December 31, (in millions) Consolidated Balance Sheets 2019 2018 Deferred tax asset Other noncurrent assets, net $ 39.6 $ 27.5 Total assets $ 39.6 $ 27.5 Current liabilities Accrued liabilities (9.1) (8.4) Other noncurrent liabilities Other noncurrent liabilities (384.0) (330.3) Deferred tax liability Deferred income taxes (0.4) (0.4) Total liabilities $ (393.5) $ (339.1) Accumulated other comprehensive income Accumulated other comprehensive loss 113.2 77.9 Net amount recognized $ (240.7) $ (233.7) |
Amounts Recognized in Accumulated Other Comprehensive Income | Amounts recognized in AOCI were as follows: Year Ended December 31, (in millions) 2019 2018 Net actuarial loss $ 156.7 $ 109.7 Net prior service cost (4.2) (4.6) Before tax AOCI $ 152.5 $ 105.1 Less: Deferred taxes 39.3 27.2 Net of tax AOCI $ 113.2 $ 77.9 |
Information for Pension Plans with an Accumulated Benefit Obligation in Excess of Plan Assets | Information for pension plans with an accumulated benefit obligation in excess of plan assets were as follows: Year Ended December 31, (in millions) 2019 2018 Projected benefit obligation $ 397.6 $ 487.7 Accumulated benefit obligation 371.3 465.0 Fair value of plan assets 8.3 149.0 |
Components of Net Periodic Benefit Cost | Components of net periodic benefit cost were as follows: Year Ended December 31, Location in Consolidated (in millions) 2019 2018 2017 Statements of Operations Service cost $ 6.1 $ 6.1 $ 6.0 Cost of products sold Service cost 8.2 10.1 9.7 Selling, general and administrative expenses Interest cost 7.6 7.3 6.5 Other expense (income), net Expected return on plan assets (4.9) (5.3) (4.0) Other expense (income), net Amortization of prior service credit (0.5) (0.2) (0.2) Other expense (income), net Amortization of net actuarial loss 5.6 6.2 6.9 Other expense (income), net Curtailment and settlement (gains) loss 6.0 (1.2) — Other expense (income), net Net periodic benefit cost $ 28.1 $ 23.0 $ 24.9 |
Other Changes in Plan Assets and Benefit Obligations Recognized in AOCI | Other changes in plan assets and benefit obligations recognized in AOCI were as follows: Year Ended December 31, (in millions) 2019 2018 2017 Net actuarial loss (gain) $ 52.6 $ (5.8) $ 13.3 Net prior service cost (credit) — (3.5) 0.3 Amortization (5.1) (6.0) (6.7) Total recognized in AOCI $ 47.5 $ (15.3) $ 6.9 Total recognized in net periodic benefit cost and AOCI $ 75.6 $ 7.7 $ 31.8 |
Amounts in AOCI that are Expected to be Amortized as Net Expense (Income) During Next Fiscal Year | The expected amounts of net loss, prior service cost and transition obligation for defined benefit plans in AOCI that are expected to be amortized as net expense (income) during 2020 were as follows: (in millions) Pension Benefits Amount of net prior service credit $ (0.5) Amount of net loss 9.0 Total amount to be amortized out of AOCI in 2019 $ 8.5 |
Weighted Average Assumptions Used to Determine Benefit Obligations, Principally in Foreign Locations | The weighted average assumptions used to determine benefit obligations for the Company’s plans, principally in foreign locations were as follows: Year Ended December 31, 2019 2018 2017 Discount rate 1.0 % 1.8 % 1.6 % Rate of compensation increase 2.1 % 2.5 % 2.5 % |
Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost | The weighted average assumptions used to determine net periodic benefit cost for the Company’s plans, principally in foreign locations were as follows: Year Ended December 31, 2019 2018 2017 Discount rate 1.8 % 1.6 % 1.6 % Expected return on plan assets 2.9 % 2.9 % 2.9 % Rate of compensation increase 2.5 % 2.5 % 2.6 % Measurement date 12/31/2019 12/31/2018 12/31/2017 |
Fair Value Measurements of Plan Assets | The fair value of the Company’s pension plan assets at December 31, 2019 and 2018 is presented in the table below by asset category. Approximately 76% of the total plan assets are categorized as Level 1, and therefore, the values assigned to these pension assets are based on quoted prices available in active markets. For the other category levels, a description of the valuation is provided in Note 1, Significant Accounting Policies, under the “Fair Value Measurement” heading. December 31, 2019 (in millions) Total Level 1 Level 2 Level 3 Assets Category Cash and cash equivalents $ 12.9 $ 12.9 $ — $ — Equity securities: International 55.1 55.1 — — Fixed income securities: Fixed rate bonds (a) 55.1 55.1 — — Other types of investments: Mutual funds (b) 18.3 18.3 — — Common trusts (c) 4.3 — 4.3 — Insurance contracts 30.1 — — 30.1 Hedge funds 8.9 — — 8.9 Real estate 0.4 — — 0.4 Total $ 185.1 $ 141.4 $ 4.3 $ 39.4 December 31, 2018 (in millions) Total Level 1 Level 2 Level 3 Assets Category Cash and cash equivalents $ 12.4 $ 12.4 $ — $ — Equity securities: International 47.2 47.2 — — Fixed income securities: Fixed rate bonds (a) 49.2 49.2 — — Other types of investments: Mutual funds (b) 17.4 17.4 — — Common trusts (c) 11.8 — 11.8 — Insurance contracts 27.7 — — 27.7 Hedge funds 7.1 — — 7.1 Real estate 0.3 — — 0.3 Total $ 173.1 $ 126.2 $ 11.8 $ 35.1 (a)This category includes fixed income securities invested primarily in Swiss bonds, foreign bonds denominated in Swiss francs, foreign currency bonds, mortgage notes and pledged letters. (b) This category includes mutual funds balanced between moderate-income generation and moderate capital appreciation with investment allocations of approximately 50% equities and 50% fixed income investments. (c)This category includes common/collective funds with investments in approximately 65% equities and 35% in fixed income investments. |
Reconciliation for the Plans Assets Categorized as Level 3 | A reconciliation from December 31, 2018 to December 31, 2019 for the plan assets categorized as Level 3 were as follows: December 31, 2019 (in millions) Insurance Contracts Hedge Funds Real Estate Total Balance at December 31, 2018 $ 27.7 $ 7.1 $ 0.3 $ 35.1 Actual return on plan assets: Relating to assets still held at the reporting date 3.7 (1.3) — 2.4 Purchases, sales and settlements, net (0.6) 2.9 — 2.3 Effect of exchange rate changes (0.6) 0.2 — (0.4) Balance at December 31, 2019 $ 30.2 $ 8.9 $ 0.3 $ 39.4 December 31, 2018 (in millions) Insurance Contracts Hedge Funds Real Estate Total Balance at December 31, 2017 $ 29.0 $ 7.1 $ 0.3 $ 36.4 Actual return on plan assets: Relating to assets still held at the reporting date (1.1) (0.6) — (1.7) Purchases, sales and settlements, net 1.1 0.7 — 1.8 Effect of exchange rate changes (1.3) (0.1) — (1.4) Balance at December 31, 2018 $ 27.7 $ 7.1 $ 0.3 $ 35.1 |
Estimated Future Benefit Payments | Estimated Future Benefit Payments Total benefits expected to be paid from the plans in the future were as follows: (in millions) Pension Benefits 2020 $ 19.9 2021 18.9 2022 18.9 2023 19.3 2024 19.6 2025-2029 111.2 |
RESTRUCTURING AND OTHER COSTS (
RESTRUCTURING AND OTHER COSTS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Accruals | The Company's restructuring accruals at December 31, 2019 were as follows: Severances (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 26.8 $ 16.4 $ — $ 43.2 Provisions and adjustments 4.7 1.0 31.0 36.7 Amounts applied (22.2) (12.0) (9.4) (43.6) Change in estimates (7.0) (0.5) (1.8) (9.3) Balance at December 31, 2019 $ 2.3 $ 4.9 $ 19.8 $ 27.0 Lease/Contract Terminations (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 0.5 $ 0.1 $ — $ 0.6 Provisions and adjustments 0.7 — 0.1 0.8 Amounts applied (0.7) (0.1) (0.1) (0.9) Balance at December 31, 2019 $ 0.5 $ — $ — $ 0.5 Other Restructuring Costs (in millions) 2017 and Prior Plans 2018 Plans 2019 Plans Total Balance at December 31, 2018 $ 2.0 $ 0.4 $ — $ 2.4 Provisions and adjustments 1.2 1.2 2.5 4.9 Amounts applied (1.1) (1.6) (2.2) (4.9) Change in estimates 0.1 — — 0.1 Balance at December 31, 2019 $ 2.2 $ — $ 0.3 $ 2.5 The Company's restructuring accruals at December 31, 2018 were as follows: Severances (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 7.7 $ 48.2 $ — $ 55.9 Provisions and adjustments 2.0 1.0 28.5 31.5 Amounts applied (7.0) (20.2) (10.2) (37.4) Change in estimates (0.1) (4.8) (1.9) (6.8) Balance at December 31, 2018 $ 2.6 $ 24.2 $ 16.4 $ 43.2 Lease/Contract Terminations (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 0.4 $ 0.2 $ — $ 0.6 Provisions and adjustments 1.7 0.3 0.2 2.2 Amounts applied (1.3) (0.5) (0.1) (1.9) Change in estimates (0.3) — — (0.3) Balance at December 31, 2018 $ 0.5 $ — $ 0.1 $ 0.6 Other Restructuring Costs (in millions) 2016 and Prior Plans 2017 Plans 2018 Plans Total Balance at December 31, 2017 $ 2.1 $ 1.7 $ — $ 3.8 Provisions and adjustments 1.4 0.6 3.4 5.4 Amounts applied (2.6) (1.1) (3.0) (6.7) Change in estimates (0.1) — — (0.1) Balance at December 31, 2018 $ 0.8 $ 1.2 $ 0.4 $ 2.4 |
Cumulative Amounts for the Provisions and Adjustments and Amounts Applied for All the Plans by Segment | The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows: (in millions) December 31, 2018 (a) Provisions and Adjustments Amounts Applied Change in Estimates December 31, 2019 Technologies & Equipment $ 32.9 $ 24.2 $ (32.9) $ (5.1) $ 19.1 Consumables 13.6 16.9 (15.2) (3.9) 11.4 All Other (0.3) 1.3 (1.3) (0.2) (0.5) Total $ 46.2 $ 42.4 $ (49.4) $ (9.2) $ 30.0 (a) Reclassifications have been made to prior year balances to conform to the new segments, see Note 5, Segment and Geographic Information. The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows: (in millions) December 31, 2017 Provisions and Adjustments Amounts Applied Change in Estimates December 31, 2018 Technologies & Equipment (a) $ 30.1 $ 21.6 $ (15.5) $ (3.3) $ 32.9 Consumables (a) 30.0 11.3 (25.4) (2.3) 13.6 All Other 0.1 6.2 (5.1) (1.5) (0.3) Total $ 60.2 $ 39.1 $ (46.0) $ (7.1) $ 46.2 |
FINANCIAL INSTRUMENTS AND DER_2
FINANCIAL INSTRUMENTS AND DERIVATIVES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | (in millions) Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months Foreign exchange forward contracts $ 94.0 $ 38.4 Total derivative instruments designated as fair value hedges $ 94.0 $ 38.4 |
Schedule of Derivative Instruments | The notional amounts of hedges of net investments by derivative instrument type at December 31, 2019 and the notional amounts expected to mature during the next 12 months were as follows: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 775.9 $ 258.6 Cross currency basis swaps 295.4 — Total derivative instruments designated as hedges of net investment $ 1,071.3 $ 258.6 |
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The amounts of gains and losses recorded Other expense (income), net in the Company’s Consolidated Statements of Operations related to the economic hedges not designated as hedging were as follows: Consolidated Statements of Operations Location Gain (Loss) Recognized December 31, (in millions) 2019 2018 2017 Foreign exchange forward contracts (a) Other expense (income), net $ (2.9) $ (6.2) $ (7.7) Total for instruments not designated as hedges $ (2.9) $ (6.2) $ (7.7) (a) The gains and losses on these derivative transactions offset the gains and losses generated by the revaluation of the underlying non-functional currency balances which are recorded in Other expense (income), net in the Consolidated Statements of Operations. |
Offsetting Derivative Assets and Liabilities | Offsetting of financial assets and liabilities under netting arrangements at December 31, 2019 were as follows: Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Assets Foreign exchange forward contracts $ 38.8 $ — $ 38.8 $ (7.8) $ — $ 31.0 Cross currency basis swaps 6.9 — 6.9 (0.9) — 6.0 Total Assets $ 45.7 $ — $ 45.7 $ (8.7) $ — $ 37.0 Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Liabilities Foreign exchange forward contracts $ 3.2 $ — $ 3.2 $ (3.0) $ — $ 0.2 Interest rate swaps 10.8 — 10.8 (5.7) — 5.1 Total Liabilities $ 14.0 $ — $ 14.0 $ (8.7) $ — $ 5.3 Offsetting of financial assets and liabilities under netting arrangements at December 31, 2018 were as follows: Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Assets Foreign exchange forward contracts $ 33.7 $ — $ 33.7 $ (1.8) $ — $ 31.9 Cross currency basis swaps 11.6 — 11.6 (1.6) — 10.0 Total Assets $ 45.3 $ — $ 45.3 $ (3.4) $ — $ 41.9 Gross Amounts Not Offset in the Consolidated Balance Sheets (in millions) Gross Amounts Recognized Gross Amounts Offset in the Consolidated Balance Sheets Net Amounts Presented in the Consolidated Balance Sheets Financial Instruments Cash Collateral Received/Pledged Net Amount Liabilities Foreign exchange forward contracts $ 3.2 $ — $ 3.2 $ (3.2) $ — $ — Interest rate swaps 0.2 — 0.2 (0.2) — — Total Liabilities $ 3.4 $ — $ 3.4 $ (3.4) $ — $ — |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The fair value and Consolidated Balance Sheets location of the Company’s derivatives were as follows: Year Ended December 31, 2019 Designated as Hedges Prepaid Expenses and Other Current Assets, Net Other Noncurrent Assets, Net Accrued Liabilities Other Noncurrent Liabilities (in millions) Foreign exchange forward contracts $ 26.9 $ 11.3 $ 1.3 $ 1.8 Interest rate swaps — — — 10.8 Cross currency basis swaps — 6.9 — — Total $ 26.9 $ 18.2 $ 1.3 $ 12.6 Not Designated as Hedges (in millions) Foreign exchange forward contracts $ 2.0 $ — $ 1.5 $ — Total $ 2.0 $ — $ 1.5 $ — Year Ended December 31, 2018 Designated as Hedges Prepaid Other Noncurrent Assets, Net Accrued Liabilities Other Noncurrent Liabilities (in millions) Foreign exchange forward contracts $ 18.9 $ 12.4 $ — $ 0.6 Interest rate swaps — — 0.2 — Cross currency basis swaps — 11.6 — — Total $ 18.9 $ 24.0 $ 0.2 $ 0.6 Not Designated as Hedges (in millions) Foreign exchange forward contracts $ 2.4 $ — $ 2.6 $ — Total $ 2.4 $ — $ 2.6 $ — |
Cash Flow Hedging | |
Derivative [Line Items] | |
Schedule of Derivative Instruments | he amount of gains and losses recorded in AOCI in the Consolidated Balance Sheets, interest expense and cost of products sold in the Company’s Consolidated Statements of Operations related to all cash flow hedges were as follows: Year Ended December 31, 2019 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (10.8) Interest expense $ (2.4) $ — Foreign exchange forward contracts (6.1) Cost of products sold 1.0 — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — 2.1 Total in cash flow hedging $ (16.9) $ (1.4) $ 2.1 Year Ended December 31, 2018 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (0.1) Interest expense $ (2.3) $ — Foreign exchange forward contracts 5.2 Cost of products sold (8.9) — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — 1.3 Total for cash flow hedging $ 5.1 $ (11.2) $ 1.3 Year Ended December 31, 2017 (in millions) Gain (Loss) in AOCI Consolidated Statements of Operations Location Effective Portion Reclassified from AOCI into Income (Expense) Ineffective Portion Recognized in Income (Expense) Effective Portion: Interest rate swaps $ (0.1) Interest expense (a) $ (2.3) $ — Foreign exchange forward contracts (14.6) Cost of products sold (3.0) — Ineffective Portion: Foreign exchange forward contracts — Other expense (income), net — (0.9) Total for cash flow hedging $ (14.7) $ (5.3) $ (0.9) |
Net Investment Hedging | |
Derivative [Line Items] | |
Schedule of Derivative Instruments | The amount of gains and losses recorded in AOCI in the Consolidated Balance Sheets, Interest expense and Other expense (income), net in the Company’s Consolidated Statements of Operations related to the hedges of net investments were as follows: Year Ended December 31, 2019 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Cross currency basis swaps $ 9.1 Interest expense $ 8.4 Foreign exchange forward contracts 8.6 Other expense (income), net 21.7 Total for net investment hedging $ 17.7 $ 30.1 Year Ended December 31, 2018 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Cross currency basis swaps $ 14.7 Interest expense $ 7.3 Other expense (income), net (3.0) Foreign exchange forward contracts 21.5 Other expense (income), net 15.3 Total for net investment hedging $ 36.2 $ 19.6 Year Ended December 31, 2017 Gain (Loss) in AOCI Consolidated Statements of Operations Location Recognized in Income (Expense) (in millions) Effective Portion: Foreign exchange forward contracts $ (14.1) Other expense (income), net $ 3.7 Total for net investment hedging $ (14.1) $ 3.7 |
Designated as Hedging Instrument | Cash Flow Hedging | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | The following summarizes the notional amounts of cash flow hedges by derivative instrument type at December 31, 2019 and the notional amounts expected to mature during the next 12 months, with a discussion of the various cash flow hedges by derivative instrument type following the table: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 347.3 $ 264.0 Interest rate swaps 150.0 — Total derivative instruments designated as cash flow hedges $ 497.3 $ 264.0 |
Not Designated as Hedging Instrument | |
Derivative [Line Items] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | The aggregate notional amounts of the Company’s economic hedges not designated as hedges by derivative instrument types at December 31, 2019 and the notional amounts expected to mature during the next 12 months were as follows: Aggregate Notional Amount Aggregate Notional Amount Maturing within 12 Months (in millions) Foreign exchange forward contracts $ 237.2 $ 237.2 Total for instruments not designated as hedges $ 237.2 $ 237.2 |
FAIR VALUE MEASUREMENT (Tables)
FAIR VALUE MEASUREMENT (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities that are Recorded at Fair Value and Classified Based on the Lowest Level of Input | The Company’s financial assets and liabilities set forth by level within the fair value hierarchy that were accounted for at fair value on a recurring basis were as follows: Year Ended December 31, 2019 (in millions) Total Level 1 Level 2 Level 3 Assets Cross currency interest rate swaps $ 6.9 $ — $ 6.9 $ — Foreign exchange forward contracts 40.2 — 40.2 — Total assets $ 47.1 $ — $ 47.1 $ — Liabilities Interest rate swaps $ 10.8 $ — $ 10.8 $ — Foreign exchange forward contracts 4.6 — 4.6 — Contingent considerations on acquisitions 8.7 — — 8.7 Total liabilities $ 24.1 $ — $ 15.4 $ 8.7 Year Ended December 31, 2018 (in millions) Total Level 1 Level 2 Level 3 Assets Cross currency interest rate swaps $ 11.6 $ — $ 11.6 $ — Foreign exchange forward contracts 33.7 — 33.7 — Total assets $ 45.3 $ — $ 45.3 $ — Liabilities Interest rate swaps $ 0.2 $ — $ 0.2 $ — Foreign exchange forward contracts 3.2 — 3.2 — Contingent considerations on acquisitions 9.1 — — 9.1 Total liabilities $ 12.5 $ — $ 3.4 $ 9.1 |
Reconciliation of the Company's Assets Measured at Fair Value on a Recurring Basis Using Unobservable Inputs (Level 3) | The following table presents a reconciliation of the Company’s Level 3 holdings measured at fair value on a recurring basis using unobservable inputs: (in millions) Level 3 Balance, December 31, 2017 $ 8.6 Unrealized gain: Reported in Other expense (income), net 0.9 Effect of exchange rate changes (0.4) Balance, December 31, 2018 $ 9.1 Unrealized gain: Reported in Other expense (income), net 2.3 Payments (2.5) Effect of exchange rate changes (0.2) Balance, December 31, 2019 $ 8.7 |
QUARTERLY FINANCIAL INFORMATI_2
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Quarterly Financial Information (Unaudited) (in millions, except per share amounts) 2019 First Quarter Second Quarter Third Quarter Fourth Quarter Rounding Total Year Net sales $ 946.2 $ 1,009.4 $ 962.1 $ 1,111.5 $ — $ 4,029.2 Gross profit (a) 499.7 540.8 514.0 610.6 — 2,165.1 Operating income 47.3 67.5 109.5 136.6 — 360.9 Net income attributable to Dentsply Sirona 39.2 36.4 85.0 102.3 — 262.9 Net income per common share - basic $ 0.18 $ 0.16 $ 0.38 $ 0.46 $ — $ 1.18 Net income per common share - diluted $ 0.17 $ 0.16 $ 0.38 $ 0.46 $ — $ 1.17 Cash dividends declared per common share $ 0.0875 $ 0.0875 $ 0.1000 $ 0.1000 $ — $ 0.3750 (a) During the quarter ended December 31, 2019, the Company reclassified certain expenses from Cost of products sold to SG&A expense. The reclassification was the result of the Company's review of its product costing allocation process at one of its manufacturing facilities. The Company's review of this expense allocation process found that certain expenses within human resources, customer service and information technology had been misclassified as Cost of products sold rather than in SG&A expenses. The reclassifications were entirely within the Technologies & Equipment segment. The Company elected not to reclassify these expense allocations in the prior years' and prior quarters' data as it was not material to the Company's Consolidated Statements of Operations in those periods. 2018 First Quarter Second Quarter Third Quarter Fourth Quarter Rounding Total Year Net sales $ 956.1 $ 1,042.1 $ 928.4 $ 1,059.7 $ — $ 3,986.3 Gross profit 514.1 552.8 476.1 524.8 — 2,067.8 Goodwill impairment (a) — 1,085.8 — — — 1,085.8 Operating income (loss) 68.7 (1,154.1) 45.5 81.8 — (958.1) Net income (loss) attributable to Dentsply Sirona 81.2 (1,122.0) 28.0 1.8 — (1,011.0) Net income (loss) per common share - basic $ 0.36 $ (4.98) $ 0.13 $ 0.01 $ (0.03) $ (4.51) Net income (loss) per common share - diluted $ 0.35 $ (4.98) $ 0.13 $ 0.01 $ (0.02) $ (4.51) Cash dividends declared per common share $ 0.0875 $ 0.1750 $ — $ 0.0875 $ — $ 0.3500 (a) During the quarter ended June 30, 2018, the Company recorded goodwill and intangible asset impairments. See Note 10, Goodwill and Intangible Assets for further information. |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES - Description of Business (Details) | 12 Months Ended |
Dec. 31, 2019country | |
Accounting Policies [Abstract] | |
Company years in innovation and service | 133 years |
Number of countries in which entity operates | 120 |
SIGNIFICANT ACCOUNTING POLICI_5
SIGNIFICANT ACCOUNTING POLICIES - ADDITIONAL INFORMATION (Details) $ in Millions | 12 Months Ended | |||
Dec. 31, 2019USD ($)reporting_unitsegmentshares | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Significant Accounting Policies [Line Items] | ||||
Cost of inventories determined by LIFO method | $ 5 | $ 9 | ||
Cost of inventories determined by LIFO method, amount of increase if FIFO method was used | $ 14.3 | 10.2 | ||
Number of reporting units | reporting_unit | 5 | |||
Net exchange gains (losses) | $ (26.9) | (5.8) | $ 1.7 | |
R&D costs included in selling, general and administrative expenses | $ 131.3 | 160.5 | $ 151.7 | |
Operating income margin and target threshold measurement period | 12 months | |||
Adjusted operating income margin target, achievement period for vesting | 12 months | |||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | shares | 2,700,000 | |||
Number of reportable segments | segment | 2 | |||
Restricted Stock Units (RSUs) | ||||
Significant Accounting Policies [Line Items] | ||||
Restricted stock units, vested, shares issuable upon being exercised | shares | 1 | |||
Exercisable period following death, disability or qualified retirement | 1 year | |||
Employee Stock Option | ||||
Significant Accounting Policies [Line Items] | ||||
Award expiration period | 10 years | |||
Gain and (Loss) on Cash Flow Hedges | ||||
Significant Accounting Policies [Line Items] | ||||
Foreign currency translation adjustments | $ (3.7) | (14.9) | ||
Foreign Currency Translation Gain (Loss) | ||||
Significant Accounting Policies [Line Items] | ||||
Foreign currency translation adjustments recorded in AOCI net of tax effects | $ (87.3) | $ (200.1) | ||
Dental Products | ||||
Significant Accounting Policies [Line Items] | ||||
Percentage of sales, professional dental products | 92.00% | 91.00% | 92.00% | |
Building | ||||
Significant Accounting Policies [Line Items] | ||||
Useful life (in years) | 40 years | |||
Minimum | Machinery and equipment | ||||
Significant Accounting Policies [Line Items] | ||||
Useful life (in years) | 4 years | |||
Maximum | Machinery and equipment | ||||
Significant Accounting Policies [Line Items] | ||||
Useful life (in years) | 15 years | |||
Allowance for doubtful accounts | ||||
Significant Accounting Policies [Line Items] | ||||
Allowance for Sirona opening balance | $ 29.4 | $ 24.5 | $ 22.4 | $ 22.7 |
Allowance for doubtful accounts receivable, write-offs | 6.1 | 2.6 | ||
Additions - charged (credited) to costs and expenses | 10.7 | 6 | $ 6.6 | |
Accrued Liabilities | ||||
Significant Accounting Policies [Line Items] | ||||
Deferred revenue | $ 29.2 | $ 29.3 |
SIGNIFICANT ACCOUNTING POLICI_6
SIGNIFICANT ACCOUNTING POLICIES - Schedule of Intangible Assets (Details) - Maximum | 12 Months Ended |
Dec. 31, 2019 | |
Tradenames and trademarks | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible asset, useful life (in years) | 20 years |
Licensing agreements | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible asset, useful life (in years) | 20 years |
Customer relationships | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible asset, useful life (in years) | 15 years |
SIGNIFICANT ACCOUNTING POLICI_7
SIGNIFICANT ACCOUNTING POLICIES - Schedule of Warranties (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounting Policies [Abstract] | |||
Warranty Expense | $ 35.6 | $ 23.7 | $ 25.7 |
Warranty Accrual | $ 17.9 | $ 13 | $ 11.8 |
SIGNIFICANT ACCOUNTING POLICI_8
SIGNIFICANT ACCOUNTING POLICIES - Restatement Adjustments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Total net sales | $ 1,111.5 | $ 962.1 | $ 1,009.4 | $ 946.2 | $ 1,059.7 | $ 928.4 | $ 1,042.1 | $ 956.1 | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Selling, general and administrative expenses | 1,723.5 | 1,719.1 | 1,674.7 | ||||||||
Provision (benefit) for income taxes | 82.3 | 52.5 | (53.2) | ||||||||
Net income (loss) attributable to Dentsply Sirona | $ 102.3 | $ 85 | $ 36.4 | $ 39.2 | $ 1.8 | $ 28 | $ (1,122) | $ 81.2 | $ 262.9 | (1,011) | $ (1,550) |
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Total net sales | 3,986.8 | ||||||||||
Selling, general and administrative expenses | 1,719 | ||||||||||
Provision (benefit) for income taxes | 52.6 | ||||||||||
Net income (loss) attributable to Dentsply Sirona | (1,010.5) | ||||||||||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 | |||||||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||||||
Total net sales | (0.5) | ||||||||||
Selling, general and administrative expenses | 0.1 | ||||||||||
Provision (benefit) for income taxes | (0.1) | ||||||||||
Net income (loss) attributable to Dentsply Sirona | $ (0.5) |
SIGNIFICANT ACCOUNTING POLICI_9
SIGNIFICANT ACCOUNTING POLICIES - Leases Standard Impact (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating lease right-of-use assets, net | $ 159.3 | |||
Property, plant and equipment, net | 802.4 | $ 870.6 | $ 876 | |
Accrued liabilities | 629.2 | 578.9 | ||
Notes payable and current portion of long-term debt | 2.3 | 92.4 | ||
Long-term debt | 1,437.8 | $ 1,580 | ||
Operating Lease, Liability, Noncurrent | $ 119.5 | |||
Accounting Standards Update 2016-02 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Operating lease right-of-use assets, net | $ 167.1 | |||
Property, plant and equipment, net | 1.8 | |||
Accrued liabilities | 39.4 | |||
Notes payable and current portion of long-term debt | 0.2 | |||
Long-term debt | 1.5 | |||
Operating Lease, Liability, Noncurrent | $ 126.5 |
EARNINGS PER COMMON SHARE - COM
EARNINGS PER COMMON SHARE - COMPUTATION OF BASIC AND DILUTED (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |||||||||||
Net income (loss) attributable to Dentsply Sirona | $ 102.3 | $ 85 | $ 36.4 | $ 39.2 | $ 1.8 | $ 28 | $ (1,122) | $ 81.2 | $ 262.9 | $ (1,011) | $ (1,550) |
Shares | |||||||||||
Weighted average common shares outstanding (in shares) | 223.1 | 224.3 | 229.4 | ||||||||
Incremental weighted average shares from assumed exercise of dilutive options from stock-based compensation awards (in shares) | 1.3 | 0 | 0 | ||||||||
Diluted (in shares) | 224.4 | 224.3 | 229.4 | ||||||||
(Loss) earnings per common share | |||||||||||
Earnings (loss) per common share - basic (in dollars per share) | $ 0.46 | $ 0.38 | $ 0.16 | $ 0.18 | $ 0.01 | $ 0.13 | $ (4.98) | $ 0.36 | $ 1.18 | $ (4.51) | $ (6.76) |
Earnings (loss) per common share - diluted (in dollars per share) | $ 0.46 | $ 0.38 | $ 0.16 | $ 0.17 | $ 0.01 | $ 0.13 | $ (4.98) | $ 0.35 | $ 1.17 | $ (4.51) | $ (6.76) |
EARNINGS PER COMMON SHARE - ADD
EARNINGS PER COMMON SHARE - ADDITIONAL INFORMATION (Details) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |||
Antidilutive common stock options not included in the computation of diluted earnings per common share (in dollars per share) | 3.1 | 5.1 | 4.3 |
COMPREHENSIVE INCOME - Addition
COMPREHENSIVE INCOME - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Foreign currency tax adjustments | $ 173 | $ 157.4 | $ 203.8 | |
Stockholders' equity | 5,094.9 | 5,133 | $ 6,627.9 | $ 8,125.9 |
Accumulated foreign currency adjustment, translation gain (loss) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Stockholders' equity | (260.2) | (172.9) | ||
Accumulated foreign currency adjustment, net investments hedges | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Stockholders' equity | $ (108.1) | $ (111.8) |
COMPREHENSIVE INCOME - CHANGES
COMPREHENSIVE INCOME - CHANGES IN AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | $ 5,133 | $ 6,627.9 | $ 8,125.9 |
Amounts reclassified from accumulated other comprehensive income, net of tax | 5.1 | (30.2) | 7.5 |
Net (decrease) increase in other comprehensive income | (120.3) | (187.5) | 415 |
Ending Balance | 5,094.9 | 5,133 | 6,627.9 |
Total | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | (478.7) | (291) | (705.7) |
Net (decrease) increase in other comprehensive income | (121) | (187.7) | 414.7 |
Ending Balance | (599.7) | (478.7) | (291) |
Total | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | (478.7) | (291) | |
Other comprehensive (loss) income before reclassifications and tax impact | (141.7) | (111.1) | |
Tax benefit (expense) | 15.6 | (46.4) | |
Other comprehensive (loss) income, net of tax, before reclassifications | (126.1) | (157.5) | |
Amounts reclassified from accumulated other comprehensive income, net of tax | 5.1 | (30.2) | |
Net (decrease) increase in other comprehensive income | (121) | (187.7) | |
Ending Balance | (599.7) | (478.7) | (291) |
Foreign Currency Translation Gain (Loss) | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | (284.7) | (104.5) | |
Other comprehensive (loss) income before reclassifications and tax impact | (87.8) | (160.1) | |
Tax benefit (expense) | 4.2 | (20.1) | |
Other comprehensive (loss) income, net of tax, before reclassifications | (83.6) | (180.2) | |
Amounts reclassified from accumulated other comprehensive income, net of tax | 0 | 0 | |
Net (decrease) increase in other comprehensive income | (83.6) | (180.2) | |
Ending Balance | (368.3) | (284.7) | (104.5) |
Gain and (Loss) on Cash Flow Hedges | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | 0.6 | (12.6) | |
Other comprehensive (loss) income before reclassifications and tax impact | (16.9) | 5.1 | |
Tax benefit (expense) | 4.3 | (1.6) | |
Other comprehensive (loss) income, net of tax, before reclassifications | (12.6) | 3.5 | |
Amounts reclassified from accumulated other comprehensive income, net of tax | 1.4 | 9.7 | |
Net (decrease) increase in other comprehensive income | (11.2) | 13.2 | |
Ending Balance | (10.6) | 0.6 | (12.6) |
Gain and (Loss) on Net Investment Hedges | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | (111.4) | (127.6) | |
Other comprehensive (loss) income before reclassifications and tax impact | 17.7 | 36.2 | |
Tax benefit (expense) | (7) | (20) | |
Other comprehensive (loss) income, net of tax, before reclassifications | 10.7 | 16.2 | |
Amounts reclassified from accumulated other comprehensive income, net of tax | 0 | 0 | |
Net (decrease) increase in other comprehensive income | 10.7 | 16.2 | |
Ending Balance | (100.7) | (111.4) | (127.6) |
Net Unrealized Holding Gain on Available-for-Sale Securities | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | 0 | 44.3 | |
Other comprehensive (loss) income before reclassifications and tax impact | 0 | ||
Tax benefit (expense) | 0 | ||
Other comprehensive (loss) income, net of tax, before reclassifications | 0 | ||
Amounts reclassified from accumulated other comprehensive income, net of tax | (44.3) | ||
Net (decrease) increase in other comprehensive income | (44.3) | ||
Ending Balance | 0 | 44.3 | |
Pension Liability Gain (Loss) | Excluding Net Investment Hedge [Member] | |||
Accumulated other comprehensive income (loss) rollforward [Roll Forward] | |||
Beginning Balance | (83.2) | (90.6) | |
Other comprehensive (loss) income before reclassifications and tax impact | (54.7) | 7.7 | |
Tax benefit (expense) | 14.1 | (4.7) | |
Other comprehensive (loss) income, net of tax, before reclassifications | (40.6) | 3 | |
Amounts reclassified from accumulated other comprehensive income, net of tax | 3.7 | 4.4 | |
Net (decrease) increase in other comprehensive income | (36.9) | 7.4 | |
Ending Balance | $ (120.1) | $ (83.2) | $ (90.6) |
COMPREHENSIVE INCOME - RECLASSI
COMPREHENSIVE INCOME - RECLASSIFICATION OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (EXPENSE) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Interest expense | $ (29.4) | $ (37.3) | $ (38.3) |
Cost of products sold | (1,864.1) | (1,918.5) | (1,804.9) |
Net (loss) gain before tax | 345.4 | (958.4) | (1,603.5) |
Provision (benefit) for income taxes | (82.3) | (52.5) | 53.2 |
Other expense (income), net | 11.5 | 34.9 | (5.3) |
Net gain after tax | 263.1 | (1,010.9) | (1,550.3) |
Net of tax | (5.1) | 30.2 | (7.5) |
(Loss) gain on derivative financial instruments: | Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Net (loss) gain before tax | (1.4) | (11.2) | (5.3) |
Provision (benefit) for income taxes | 0 | 1.5 | 2.7 |
Net gain after tax | (1.4) | (9.7) | (2.6) |
(Loss) gain on derivative financial instruments: | Reclassification out of Accumulated Other Comprehensive Income | Interest rate swaps | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Interest expense | (2.4) | (2.3) | (2.3) |
(Loss) gain on derivative financial instruments: | Reclassification out of Accumulated Other Comprehensive Income | Foreign exchange forward contracts | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Cost of products sold | 1 | (8.9) | (3) |
Realized gain on available-for-sale securities: | Reclassification out of Accumulated Other Comprehensive Income | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Provision (benefit) for income taxes | 0 | (0.7) | 0 |
Other expense (income), net | 0 | 45 | 0 |
Net gain after tax | 0 | 44.3 | 0 |
Pension Liability Gain (Loss) | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Amortization of defined benefit pension and other postemployment benefit items: | (5.1) | (6.1) | (6.8) |
Provision (benefit) for income taxes | 1.4 | 1.7 | 1.9 |
Net of tax | (3.7) | (4.4) | (4.9) |
Amortization of prior service benefits | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Amortization of defined benefit pension and other postemployment benefit items: | 0.5 | 0.2 | 0.2 |
Amortization of net actuarial losses | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | |||
Amortization of defined benefit pension and other postemployment benefit items: | $ 5.6 | $ 6.3 | $ 7 |
BUSINESS COMBINATIONS - ADDITIO
BUSINESS COMBINATIONS - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions | May 01, 2018 | Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 3,431.3 | $ 4,539.2 | $ 3,396.5 | ||
Unrealized holding gain, available-for-sale securities | 45 | ||||
DIO Corporation | |||||
Business Acquisition [Line Items] | |||||
Cost method investments, fair value | 54.4 | ||||
Cost method investments, book value | $ 9.4 | ||||
Reclassification out of Accumulated Other Comprehensive Income | DIO Corporation | |||||
Business Acquisition [Line Items] | |||||
Unrealized holding gain, available-for-sale securities | $ 44.1 | ||||
OraMetrix, Inc. | |||||
Business Acquisition [Line Items] | |||||
Total acquisition consideration | $ 120 | ||||
Additional consideration based on earn out | 30 | ||||
Goodwill | $ 58 | ||||
RTD | |||||
Business Acquisition [Line Items] | |||||
Total acquisition consideration | $ 132 | ||||
Goodwill | $ 83.9 |
BUSINESS COMBINATIONS - SUMMARY
BUSINESS COMBINATIONS - SUMMARY OF INTANGIBLE ASSETS (Details) - USD ($) $ in Millions | May 01, 2018 | Jun. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Identifiable intangible assets, net | $ 2,176.3 | $ 2,420.3 | ||
OraMetrix, Inc. | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Identifiable intangible assets, net | $ 96.5 | |||
OraMetrix, Inc. | Customer relationships | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 18.3 | |||
Weighted average useful life (in years) | 15 years | |||
OraMetrix, Inc. | Developed technology and patents | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 64.7 | |||
Weighted average useful life (in years) | 15 years | |||
OraMetrix, Inc. | Tradenames and trademarks | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 13.5 | |||
RTD | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Identifiable intangible assets, net | $ 49 | |||
RTD | Customer relationships | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 18.1 | |||
Weighted average useful life (in years) | 15 years | |||
RTD | Developed technology and patents | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 22.4 | |||
Weighted average useful life (in years) | 15 years | |||
RTD | Tradenames and trademarks | ||||
Acquired Indefinite-lived Intangible Assets [Line Items] | ||||
Intangible assets acquired, amount | $ 8.5 |
SEGMENT AND GEOGRAPHIC INFORM_3
SEGMENT AND GEOGRAPHIC INFORMATION - NET SALES (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2019USD ($)segment | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Segment Reporting [Abstract] | |||||||||||
Number of operating segments | segment | 2 | ||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | $ 1,111.5 | $ 962.1 | $ 1,009.4 | $ 946.2 | $ 1,059.7 | $ 928.4 | $ 1,042.1 | $ 956.1 | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Technologies & Equipment | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | 2,283.2 | 2,167.7 | 2,202.8 | ||||||||
Consumables | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | 1,746 | 1,818.6 | 1,790.6 | ||||||||
All Products and Services, Excluding Precious Metals | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | 3,988.1 | 3,949.1 | 3,952.9 | ||||||||
All Products and Services, Excluding Precious Metals | Technologies & Equipment | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | 2,283.2 | 2,167.7 | 2,202.8 | ||||||||
All Products and Services, Excluding Precious Metals | Consumables | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | 1,704.9 | 1,781.4 | 1,750.1 | ||||||||
Precious Metals | |||||||||||
Revenue, Major Customer [Line Items] | |||||||||||
Total net sales | $ 41.1 | $ 37.2 | $ 40.5 |
SEGMENT AND GEOGRAPHIC INFORM_4
SEGMENT AND GEOGRAPHIC INFORMATION - DEPRECIATION AND AMORTIZATION (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of Depreciation by Segment [Line Items] | |||
Depreciation and amortization | $ 322.8 | $ 330.8 | $ 316.4 |
Operating Segments | Technologies & Equipment | |||
Reconciliation of Depreciation by Segment [Line Items] | |||
Depreciation and amortization | 257.8 | 238.4 | 261.3 |
Operating Segments | Consumables | |||
Reconciliation of Depreciation by Segment [Line Items] | |||
Depreciation and amortization | 54.2 | 90.8 | 53.7 |
All Other | |||
Reconciliation of Depreciation by Segment [Line Items] | |||
Depreciation and amortization | $ 10.8 | $ 1.6 | $ 1.4 |
SEGMENT AND GEOGRAPHIC INFORM_5
SEGMENT AND GEOGRAPHIC INFORMATION - SEGMENT OPERATING INCOME (LOSS) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Segment operating income | $ 136.6 | $ 109.5 | $ 67.5 | $ 47.3 | $ 81.8 | $ 45.5 | $ (1,154.1) | $ 68.7 | $ 360.9 | $ (958.1) | $ (1,562.3) | |
Goodwill impairment | $ 0 | $ 0 | $ 1,085.8 | $ 0 | 0 | 1,085.8 | 1,650.9 | |||||
Interest expense | 29.4 | 37.3 | 38.3 | |||||||||
Interest income | (2.4) | (2.1) | (2.4) | |||||||||
Other expense (income), net | (11.5) | (34.9) | 5.3 | |||||||||
Amortization of intangible assets | 189.6 | 197.9 | 189.1 | |||||||||
Income (loss) before income taxes | 345.4 | (958.4) | (1,603.5) | |||||||||
Technologies & Equipment | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Goodwill impairment | $ 1,085.8 | $ 558 | 1,650.9 | |||||||||
Operating Segments | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Segment operating income | 868.5 | 737.8 | 889.4 | |||||||||
Operating Segments | Technologies & Equipment | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Segment operating income | 431.4 | 277.9 | 393.9 | |||||||||
Operating Segments | Consumables | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Segment operating income | 437.1 | 459.9 | 495.5 | |||||||||
Corporate, Reconciling Items, And Eliminations | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
All Other operating loss | 230.7 | 184 | 180.3 | |||||||||
Segment Reconciling Items | ||||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||||||
Restructuring and other costs | 80.7 | 221 | 425.2 | |||||||||
Goodwill impairment | 0 | 1,085.8 | 1,650.9 | |||||||||
Interest expense | 29.4 | 37.3 | 38.3 | |||||||||
Interest income | (2.4) | (2.1) | (2.4) | |||||||||
Other expense (income), net | (11.5) | (34.9) | 5.3 | |||||||||
Amortization of intangible assets | 189.6 | 197.9 | 189.1 | |||||||||
Depreciation resulting from the fair value step-up of property, plant and equipment from business combinations | $ 6.6 | $ 7.2 | $ 6.2 |
SEGMENT AND GEOGRAPHIC INFORM_6
SEGMENT AND GEOGRAPHIC INFORMATION - CAPITAL EXPENDITURES (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Capital expenditures | $ 122.9 | $ 182.5 | $ 144.3 |
Operating Segments | Technologies & Equipment | |||
Capital expenditures | 72.8 | 126.1 | 92.2 |
Operating Segments | Consumables | |||
Capital expenditures | 34 | 42.8 | 44 |
All Other | |||
Capital expenditures | $ 16.1 | $ 13.6 | $ 8.1 |
SEGMENT AND GEOGRAPHIC INFORM_7
SEGMENT AND GEOGRAPHIC INFORMATION - ASSETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 8,602.9 | $ 8,687 |
Operating Segments | Technologies & Equipment | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 5,926.8 | 6,479.2 |
Operating Segments | Consumables | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 2,443.4 | 2,059.4 |
Corporate, Reconciling Items, And Eliminations | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 232.7 | $ 148.4 |
SEGMENT AND GEOGRAPHIC INFORM_8
SEGMENT AND GEOGRAPHIC INFORMATION - INFORMATION ABOUT THE COMPANY'S OPERATINGS IN DIFFERENT GEOGRAPHIC AREAS (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total net sales | $ 1,111.5 | $ 962.1 | $ 1,009.4 | $ 946.2 | $ 1,059.7 | $ 928.4 | $ 1,042.1 | $ 956.1 | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Property, plant and equipment, net | 802.4 | 870.6 | 802.4 | 870.6 | 876 | ||||||
United States | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total net sales | 1,374.8 | 1,269.9 | 1,376.5 | ||||||||
Property, plant and equipment, net | 168.4 | 211.1 | 168.4 | 211.1 | 202 | ||||||
Germany | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total net sales | 478.1 | 494.3 | 493.3 | ||||||||
Property, plant and equipment, net | 327.5 | 339.3 | 327.5 | 339.3 | 331.5 | ||||||
Sweden | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total net sales | 56.6 | 55.2 | 52.4 | ||||||||
Property, plant and equipment, net | 98.7 | 99.3 | 98.7 | 99.3 | 103.4 | ||||||
Other Foreign | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Total net sales | 2,119.7 | 2,166.9 | 2,071.2 | ||||||||
Property, plant and equipment, net | $ 207.8 | $ 220.9 | $ 207.8 | $ 220.9 | $ 239.1 |
SEGMENT AND GEOGRAPHIC INFORM_9
SEGMENT AND GEOGRAPHIC INFORMATION - SCHEDULE OF SALES BY PRODUCT CATEGORY (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | $ 1,111.5 | $ 962.1 | $ 1,009.4 | $ 946.2 | $ 1,059.7 | $ 928.4 | $ 1,042.1 | $ 956.1 | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Dental consumables products | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 1,687.7 | 1,739.8 | 1,663.6 | ||||||||
Dental technology and equipment products | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | 2,004.8 | 1,897.7 | 2,001.8 | ||||||||
Healthcare consumable products | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total net sales | $ 336.7 | $ 348.8 | $ 328 |
SEGMENT AND GEOGRAPHIC INFOR_10
SEGMENT AND GEOGRAPHIC INFORMATION - CONCENTRATION RISK (Details) - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenue from Contract with Customer Benchmark | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 13.00% | 10.00% | |
Revenue from Contract with Customer Benchmark | Customer A | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 15.00% | ||
Revenue from Contract with Customer Benchmark | Customer B | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 15.00% | ||
Accounts Receivable | Customer A | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 12.00% | 10.00% | |
Accounts Receivable | Customer B | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 17.00% | 13.00% |
OTHER EXPENSE (INCOME) , NET (D
OTHER EXPENSE (INCOME) , NET (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other Income and Expenses [Abstract] | |||
Foreign exchange transaction (gain) loss | $ (26.9) | $ 5.8 | $ 1.7 |
Other expense (income), net | 15.4 | (40.7) | 3.6 |
Total other expense (income), net | $ (11.5) | $ (34.9) | $ 5.3 |
INVENTORIES, NET (Details)
INVENTORIES, NET (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 356.4 | $ 380 |
Work-in-process | 82.5 | 89.2 |
Raw materials and supplies | 122.8 | 129.7 |
Inventories, net | $ 561.7 | $ 598.9 |
INVENTORIES, NET - ADDITIONAL I
INVENTORIES, NET - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Inventory valuation reserve | $ 85 | $ 92.5 |
PROPERTY, PLANT AND EQUIPMENT_3
PROPERTY, PLANT AND EQUIPMENT, NET (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 2,035 | $ 2,076.8 | |
Less: Accumulated depreciation | 1,232.6 | 1,206.2 | |
Property, plant and equipment, net | 802.4 | 870.6 | $ 876 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 51.9 | 55 | |
Buildings and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 553.6 | 560.3 | |
Machinery and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 1,327.5 | 1,353.9 | |
Construction in progress | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 102 | $ 107.6 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Lease, remaining lease term | 1 year |
Lessee, lease, renewal term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Lease, remaining lease term | 10 years |
Lessee, lease, renewal term | 3 years |
LEASES - Assets and Liabilities
LEASES - Assets and Liabilities (Details) $ in Millions | Dec. 31, 2019USD ($) |
Assets | |
Finance leases | $ 1.4 |
Operating lease right-of-use assets, net | 159.3 |
Total right-of-use assets | 160.7 |
Current Liabilities: | |
Finance leases | 0.2 |
Operating leases | 43.7 |
Noncurrent liabilities | |
Finance leases | 1.3 |
Operating lease liabilities | 119.5 |
Total lease liabilities | $ 164.7 |
Weighted-average discount rate | |
Finance leases | 3.60% |
Operating leases | 2.90% |
Weighted-average remaining lease term in years | |
Finance leases | 7 years |
Operating leases | 5 years 3 months 18 days |
LEASES - Lease Costs (Details)
LEASES - Lease Costs (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Finance lease cost | $ 0.4 |
Amortization of right-of-use assets | 0.3 |
Interest on lease liabilities | 0.1 |
Operating lease cost | 54.4 |
Short-term lease cost | 1.2 |
Variable lease cost | 9.6 |
Total lease cost | $ 65.6 |
LEASES - Contractual Maturity D
LEASES - Contractual Maturity Dates (Details) $ in Millions | Dec. 31, 2019USD ($) |
Finance Leases | |
2020 | $ 0.2 |
2021 | 0.3 |
2022 | 0.3 |
2023 | 0.2 |
2024 | 0.1 |
2025 and beyond | 0.6 |
Total lease payments | 1.7 |
Less imputed interest | 0.2 |
Present value of lease liabilities | 1.5 |
Operating Leases | |
2020 | 47.7 |
2021 | 36.9 |
2022 | 26.9 |
2023 | 20.2 |
2024 | 15.2 |
2025 and beyond | 30.6 |
Total lease payments | 177.5 |
Less imputed interest | 14.3 |
Operating lease liabilities | 163.2 |
Total | |
2020 | 47.9 |
2021 | 37.2 |
2022 | 27.2 |
2023 | 20.4 |
2024 | 15.3 |
2025 and beyond | 31.2 |
Total lease payments | 179.2 |
Less imputed interest | 14.5 |
Total lease liabilities | $ 164.7 |
LEASES - Contractual Maturities
LEASES - Contractual Maturities Under 840 (Details) $ in Millions | Dec. 31, 2018USD ($) |
Finance Leases | |
2019 | $ 4.2 |
2020 | 4.2 |
2021 | 2.5 |
2022 | 1.8 |
2023 | 1.3 |
2024 and beyond | 1.1 |
Total lease payments | 15.1 |
Operating Leases | |
2019 | 36.6 |
2020 | 28.5 |
2021 | 22.1 |
2022 | 16.4 |
2023 | 12.7 |
2024 and beyond | 16.9 |
Total lease payments | 133.2 |
2019 | 40.8 |
2020 | 32.7 |
2021 | 24.6 |
2022 | 18.2 |
2023 | 14 |
2024 and beyond | 18 |
Total lease payments | $ 148.3 |
LEASES - Supplemental Cash Flow
LEASES - Supplemental Cash Flow Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows paid for finance leases | $ 0.1 |
Operating cash flows paid for operating leases | 52.7 |
Financing cash flows paid for finance leases | 0.2 |
Right-of-use assets obtained in exchange for new lease liabilities: | |
Operating leases | $ 35.4 |
GOODWILL AND INTANGIBLE ASSET_2
GOODWILL AND INTANGIBLE ASSETS - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Jun. 30, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Goodwill [Line Items] | |||||||||||
Goodwill impairment | $ 0 | $ 0 | $ 1,085.8 | $ 0 | $ 0 | $ 1,085.8 | $ 1,650.9 | ||||
Indefinite-lived intangible asset impairment | $ 5.3 | $ 179.2 | $ 266.9 | $ 79.8 | 5.3 | 179.2 | 346.7 | ||||
Amortization of intangible assets | 189.6 | 197.9 | 189.1 | ||||||||
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||||||||||
2020 | 187.1 | ||||||||||
2021 | 185.7 | ||||||||||
2022 | 183.3 | ||||||||||
2023 | 182.3 | ||||||||||
2024 | $ 181.8 | ||||||||||
Technologies & Equipment | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill impairment | $ 1,085.8 | $ 558 | 1,650.9 | ||||||||
Indefinite-lived intangible asset impairment | 179.2 | $ 346.7 | |||||||||
Treatment Centers | |||||||||||
Goodwill [Line Items] | |||||||||||
Goodwill of reporting unit | $ 292.4 | $ 292.4 |
GOODWILL AND INTANGIBLE ASSET_3
GOODWILL AND INTANGIBLE ASSETS - GOODWILL BY REPORTABLE SEGMENT (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Roll Forward] | ||
Balance, beginning of the year | $ 3,431.3 | $ 4,539.2 |
Acquisition activity | 3.3 | 61.7 |
Adjustment of provisional amounts on prior acquisitions | 0.7 | |
Impairment | (1,085.7) | |
Divestiture of business | (4.1) | |
Effect of exchange rate changes | (34) | (84.6) |
Balance, end of the year | 3,396.5 | 3,431.3 |
Technologies & Equipment | ||
Goodwill [Roll Forward] | ||
Balance, beginning of the year | 2,544.9 | 3,634.4 |
Acquisition activity | 3.3 | 58 |
Adjustment of provisional amounts on prior acquisitions | 0 | |
Impairment | (1,085.7) | |
Divestiture of business | (4.1) | |
Effect of exchange rate changes | (28.4) | (61.8) |
Balance, end of the year | 2,515.7 | 2,544.9 |
Consumables | ||
Goodwill [Roll Forward] | ||
Balance, beginning of the year | 886.4 | 904.8 |
Acquisition activity | 0 | 3.7 |
Adjustment of provisional amounts on prior acquisitions | 0.7 | |
Impairment | 0 | |
Divestiture of business | 0 | |
Effect of exchange rate changes | (5.6) | (22.8) |
Balance, end of the year | $ 880.8 | $ 886.4 |
GOODWILL AND INTANGIBLE ASSET_4
GOODWILL AND INTANGIBLE ASSETS - GOODWILL CARRYING AMOUNT (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Goodwill [Line Items] | |||
Gross Carrying Amount | $ 6,133.1 | $ 6,167.9 | |
Cumulative Impairment | (2,736.6) | (2,736.6) | |
Net Carrying Amount | 3,396.5 | 3,431.3 | $ 4,539.2 |
Technologies & Equipment | |||
Goodwill [Line Items] | |||
Gross Carrying Amount | 5,252.3 | 5,281.5 | |
Cumulative Impairment | (2,736.6) | (2,736.6) | |
Net Carrying Amount | 2,515.7 | 2,544.9 | 3,634.4 |
Consumables | |||
Goodwill [Line Items] | |||
Gross Carrying Amount | 880.8 | 886.4 | |
Cumulative Impairment | 0 | 0 | |
Net Carrying Amount | $ 880.8 | $ 886.4 | $ 904.8 |
GOODWILL AND INTANGIBLE ASSET_5
GOODWILL AND INTANGIBLE ASSETS - IDENTIFIABLE DEFINITE-LIVED ASSETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, gross carrying amount | $ 2,536.8 | $ 2,578.9 |
Accumulated Amortization | (1,008.4) | (830.3) |
Finite-lived intangibles, net carrying amount | 1,528.4 | 1,748.6 |
Identifiable intangible assets, gross carrying amount | 3,184.7 | 3,250.6 |
Identifiable intangible assets, net carrying amount | 2,176.3 | 2,420.3 |
Trademarks and In-Process Research and Development | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangibles, carrying amount | 647.9 | 671.7 |
Patents | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, gross carrying amount | 1,351.3 | 1,376.4 |
Accumulated Amortization | (517.9) | (407.1) |
Finite-lived intangibles, net carrying amount | 833.4 | 969.3 |
Tradenames and trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, gross carrying amount | 79 | 81.1 |
Accumulated Amortization | (63.4) | (62.5) |
Finite-lived intangibles, net carrying amount | 15.6 | 18.6 |
Licensing agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, gross carrying amount | 36 | 36.1 |
Accumulated Amortization | (27.9) | (26.3) |
Finite-lived intangibles, net carrying amount | 8.1 | 9.8 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-lived intangibles, gross carrying amount | 1,070.5 | 1,085.3 |
Accumulated Amortization | (399.2) | (334.4) |
Finite-lived intangibles, net carrying amount | $ 671.3 | $ 750.9 |
PREPAID EXPENSES AND OTHER CU_3
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Prepaid expenses | $ 81.3 | $ 104.8 |
Deposits | 40.4 | 28.2 |
Fair value of derivatives | 28.9 | 21.3 |
Other current assets | 100.7 | 123.3 |
Prepaid expenses and other current assets | $ 251.3 | $ 277.6 |
ACCRUED LIABILITIES (Details)
ACCRUED LIABILITIES (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Other Liabilities Disclosure [Abstract] | ||
Payroll, commissions, bonuses, other cash compensation and employee benefits | $ 178.8 | $ 161.9 |
Sales and marketing programs | 17 | 13.6 |
Reserve for dealer rebates | 125 | 91.7 |
Restructuring costs | 28 | 43.4 |
Accrued vacation and holidays | 36.7 | 40.2 |
Professional and legal costs | 35.9 | 42.2 |
Current portion of derivatives | 2.8 | 2.8 |
General insurance | 12.3 | 12.5 |
Warranty liabilities | 17.8 | 13 |
Third party royalties | 11.5 | 10 |
Deferred income | 29.2 | 29.3 |
Accrued interest | 10.8 | 11.6 |
Accrued travel expenses | 7.5 | 7.8 |
Accrued property taxes | 11 | 10.2 |
Current operating lease liabilities | 43.7 | |
Other | 61.2 | 88.7 |
Accrued liabilities | $ 629.2 | $ 578.9 |
FINANCING ARRANGEMENTS - SHORT
FINANCING ARRANGEMENTS - SHORT TERM BORROWINGS (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Short-term Debt [Line Items] | ||
Total short-term debt | $ 2.3 | $ 92.4 |
Add: Current portion of long-term debt | 0.2 | 10.6 |
Maximum month-end short-term debt outstanding during the year | 148.2 | 248.5 |
Average amount of short-term debt outstanding during the year | $ 50.1 | $ 121.7 |
Weighted-average interest rate on short-term debt at year-end | 3.70% | 2.50% |
Corporate commercial paper facility | ||
Short-term Debt [Line Items] | ||
Total short-term debt | $ 0 | $ 67.8 |
Fixed interest rate | 0.00% | 2.80% |
Other short-term loans | ||
Short-term Debt [Line Items] | ||
Total short-term debt | $ 2.1 | $ 14 |
Fixed interest rate | 3.70% | 0.80% |
FINANCING ARRANGEMENTS - ADDITI
FINANCING ARRANGEMENTS - ADDITIONAL INFORMATION (Details) | Jun. 24, 2019JPY (¥) | May 28, 2019USD ($) | Dec. 31, 2019USD ($) | Jul. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Jul. 27, 2018USD ($) |
Debt Instrument [Line Items] | ||||||
Notes payable and current portion of long-term debt | $ 2,300,000 | $ 92,400,000 | ||||
Total unused lines of credit | 735,900,000 | |||||
Line of Credit | Corporate commercial paper facility | ||||||
Debt Instrument [Line Items] | ||||||
Credit facilities, maximum borrowing capacity | 500,000,000 | |||||
Notes payable and current portion of long-term debt | 0 | $ 67,800,000 | ||||
Average amount of short-term debt outstanding during the year | $ 38,100,000 | |||||
Amended And Extended Multicurrency Revolving Credit Facility | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Credit facilities, maximum borrowing capacity | $ 700,000,000 | $ 700,000,000 | ||||
PNC Term Loan | Term Loan | ||||||
Debt Instrument [Line Items] | ||||||
Extinguishment of debt, amount | $ 131,300,000 | |||||
Private Placement Note Purchase Agreement | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument face amount | ¥ | ¥ 12,500,000,000 | |||||
Debt instrument, term | 12 years | |||||
Debt instrument,interest rate, stated percentage | 0.99% |
FINANCING ARRANGEMENTS - LONG T
FINANCING ARRANGEMENTS - LONG TERM BORROWINGS (Details) | Dec. 31, 2019CHF (SFr) | Dec. 31, 2019USD ($) | Dec. 31, 2019EUR (€) | Dec. 31, 2019JPY (¥) | Dec. 31, 2018USD ($) | Jan. 02, 2018 |
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 1,437,800,000 | $ 1,580,000,000 | ||||
Less: Current portion (included in notes payable and current portion of long-term debt) | 200,000 | 10,600,000 | ||||
Less: Long-term portion of deferred financing costs | 4,500,000 | 4,500,000 | ||||
Long-term debt | $ 1,433,100,000 | 1,564,900,000 | ||||
Fixed rate senior notes $450 million due August 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Debt, fixed rate | 4.10% | 4.10% | 4.10% | 4.10% | ||
Term Loan Agreement | Term loan 12.6 billion Japanese yen due September 2019 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 0 | $ 114,600,000 | ||||
Debt, fixed rate | 0.00% | 0.00% | 0.00% | 0.00% | 0.60% | |
Debt instrument face amount | ¥ | ¥ 12,600,000,000 | |||||
Term Loan Agreement | Term loan $175.0 million due August 2020 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 0 | $ 131,300,000 | ||||
Debt, fixed rate | 0.00% | 0.00% | 0.00% | 0.00% | 3.90% | |
Debt instrument face amount | $ 175,000,000 | |||||
Fixed Rate Senior Notes | Fixed rate senior notes $450 million due August 2021 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 296,000,000 | $ 295,700,000 | ||||
Debt, fixed rate | 4.10% | 4.10% | 4.10% | 4.10% | 4.10% | 1.20% |
Debt instrument face amount | $ 450,000,000 | |||||
Private Placement Notes | Private placement notes 70.0 million euros due October 2024 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 78,500,000 | $ 80,200,000 | ||||
Debt, fixed rate | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | |
Debt instrument face amount | € | € 70,000,000 | |||||
Private Placement Notes | Private placement notes 25.0 million Swiss franc due December 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 25,800,000 | $ 25,400,000 | ||||
Debt, fixed rate | 0.90% | 0.90% | 0.90% | 0.90% | 0.90% | |
Debt instrument face amount | SFr | SFr 25,000,000 | |||||
Private Placement Notes | Private placement notes 97.0 million euros due December 2025 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 108,800,000 | $ 111,200,000 | ||||
Debt, fixed rate | 2.10% | 2.10% | 2.10% | 2.10% | 2.10% | |
Debt instrument face amount | € | € 97,000,000 | |||||
Private Placement Notes | Private placement notes 26.0 million euros due February 2026 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 29,200,000 | $ 29,800,000 | ||||
Debt, fixed rate | 2.10% | 2.10% | 2.10% | 2.10% | 2.10% | |
Debt instrument face amount | € | € 26,000,000 | |||||
Private Placement Notes | Private placement notes 58.0 million Swiss franc due August 2026 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 60,000,000 | $ 59,000,000 | ||||
Debt, fixed rate | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | |
Debt instrument face amount | SFr | SFr 58,000,000 | |||||
Private Placement Notes | Private placement notes 106.0 million euros due August 2026 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 118,900,000 | $ 121,500,000 | ||||
Debt, fixed rate | 2.30% | 2.30% | 2.30% | 2.30% | 2.30% | |
Debt instrument face amount | € | € 106,000,000 | |||||
Private Placement Notes | Private placement notes 70.0 million euros due October 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 78,500,000 | $ 80,200,000 | ||||
Debt, fixed rate | 1.30% | 1.30% | 1.30% | 1.30% | 1.30% | |
Debt instrument face amount | € | € 70,000,000 | |||||
Private Placement Notes | Private placement notes 7.5 million Swiss franc due December 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 7,800,000 | $ 7,600,000 | ||||
Debt, fixed rate | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | |
Debt instrument face amount | SFr | SFr 7,500,000 | |||||
Private Placement Notes | Private placement notes 15.0 million euros due December 2027 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 16,800,000 | $ 17,200,000 | ||||
Debt, fixed rate | 2.20% | 2.20% | 2.20% | 2.20% | 2.20% | |
Debt instrument face amount | € | € 15,000,000 | |||||
Private Placement Notes | Private placement notes 140.0 million Swiss franc due August 2028 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 144,700,000 | $ 142,500,000 | ||||
Debt, fixed rate | 1.20% | 1.20% | 1.20% | 1.20% | 1.20% | |
Debt instrument face amount | SFr | SFr 140,000,000 | |||||
Private Placement Notes | Private placement notes 70.0 million euros due October 2029 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 78,500,000 | $ 80,200,000 | ||||
Debt, fixed rate | 1.50% | 1.50% | 1.50% | 1.50% | 1.50% | |
Debt instrument face amount | € | € 70,000,000 | |||||
Private Placement Notes | Private placement notes 70.0 million euros due October 2030 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 78,500,000 | $ 80,200,000 | ||||
Debt, fixed rate | 1.60% | 1.60% | 1.60% | 1.60% | 1.60% | |
Debt instrument face amount | € | € 70,000,000 | |||||
Private Placement Notes | Private placement notes 45.0 million euros due February 2031 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 50,500,000 | $ 51,600,000 | ||||
Debt, fixed rate | 2.50% | 2.50% | 2.50% | 2.50% | 2.50% | |
Debt instrument face amount | € | € 45,000,000 | |||||
Private Placement Notes | Private placement notes 65.0 million Swiss franc due August 2031 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 67,200,000 | $ 66,100,000 | ||||
Debt, fixed rate | 1.30% | 1.30% | 1.30% | 1.30% | 1.30% | |
Debt instrument face amount | SFr | SFr 65,000,000 | |||||
Private Placement Notes | Private placement notes 12.6 billion Japanese yen due September 2031 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 115,500,000 | $ 0 | ||||
Debt, fixed rate | 1.00% | 1.00% | 1.00% | 1.00% | 0.00% | |
Debt instrument face amount | SFr | SFr 12,600,000 | |||||
Private Placement Notes | Private placement notes 70.0 million euros due October 2031 | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 78,500,000 | $ 80,200,000 | ||||
Debt, fixed rate | 1.70% | 1.70% | 1.70% | 1.70% | 1.70% | |
Debt instrument face amount | € | € 70,000,000 | |||||
Other Borrowings Various Currencies And Rates | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate senior term loan | $ 4,100,000 | $ 5,500,000 |
FINANCING ARRANGEMENTS - CONTRA
FINANCING ARRANGEMENTS - CONTRACTUAL MATURITY DATES OF THE VAIROUS BORROWINGS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure Contractual Maturity Dates Of The Various Borrowings [Abstract] | ||
2020 | $ 0.2 | |
2021 | 297.4 | |
2022 | 1.3 | |
2023 | 0.4 | |
2024 | 78.7 | |
2025 and beyond | 1,059.8 | |
Floating rate senior term loan | $ 1,437.8 | $ 1,580 |
EQUITY - ADDITIONAL INFORMATION
EQUITY - ADDITIONAL INFORMATION (Details) | 12 Months Ended | |||
Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock repurchase program, authorized amount | $ 1,000,000,000 | |||
Common shares available under share repurchase program (in shares) | shares | 489,800,000 | |||
Treasury shares purchased | $ 260,000,000 | $ 250,200,000 | $ 400,300,000 | |
Exercise of stock options | $ 108,600,000 | $ 24,800,000 | $ 81,900,000 | |
Number of stock option exercised (in shares) | shares | 2,700,000 | 1,000,000 | 2,300,000 | |
Related deferred income tax benefit | $ 8,400,000 | $ 2,400,000 | $ 8,400,000 | |
Conversion ratio for RSUs and restricted stock | 3.09 | |||
Share-based compensation expense | $ 64,900,000 | 19,800,000 | 46,600,000 | |
Intrinsic value of options exercised | 37,300,000 | 21,500,000 | 65,200,000 | |
Total fair value of share vested during the period | $ 43,700,000 | 47,800,000 | 44,700,000 | |
Average Remaining Contractual Life (in years) | 5 years 4 months 24 days | |||
Weighted average remaining contractual term of exercisable options (in years) | 4 years 1 month 6 days | |||
Selling, general and administrative expenses | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | $ 63,000,000 | 18,000,000 | 45,700,000 | |
Cost of products sold | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | 1,900,000 | 700,000 | 700,000 | |
Restructuring and other costs | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | 1,100,000 | 200,000 | ||
Employee Stock Option | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise of stock options | 108,900,000 | $ 28,000,000 | $ 82,300,000 | |
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unamortized compensation costs | $ 58,000,000 | |||
Weighted average period for cost recognition | 3 years | |||
Nonqualified Stock Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of stock option exercised (in shares) | shares | 2,700,000 | |||
Number of unvested stock options (in shares) | shares | 1,100,000 | |||
Unamortized compensation costs | $ 7,900,000 | |||
Weighted average period for cost recognition | 1 year 10 months 24 days | |||
Average Remaining Contractual Life (in years) | 5 years 4 months 24 days | |||
Equity Incentive Plan 2016 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Authorized grants under the plan (in shares) | shares | 25,000,000 | |||
Number of shares available for grant (in shares) | shares | 27,000,000 | |||
Equity Incentive Plan 2016 | Key Employee | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Cap on restricted stock or RSU (in shares) | shares | 1,000,000 |
EQUITY - TOTAL OUTSTANDING SHAR
EQUITY - TOTAL OUTSTANDING SHARES (Details) - $ / shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Increase (Decrease) in Shares Outstanding [Roll Forward] | |||
Beginning Balance (in shares) | 223 | 226.8 | 230.1 |
Shares of treasury stock issued (in shares) | 3.1 | 1.6 | 2.9 |
Repurchase of common stock at an average cost (in shares) | (4.8) | (5.4) | (6.2) |
Ending Balance (in shares) | 221.3 | 223 | 226.8 |
Stock repurchased under the repurchase program, average price (in dollars per share) | $ 54.18 | $ 45.92 | $ 64.40 |
Common Stock | |||
Increase (Decrease) in Shares Outstanding [Roll Forward] | |||
Beginning Balance (in shares) | 264.5 | 264.5 | 264.5 |
Shares of treasury stock issued (in shares) | 0 | 0 | 0 |
Repurchase of common stock at an average cost (in shares) | 0 | 0 | 0 |
Ending Balance (in shares) | 264.5 | 264.5 | 264.5 |
Treasury Stock | |||
Increase (Decrease) in Shares Outstanding [Roll Forward] | |||
Beginning Balance (in shares) | 41.5 | 37.7 | 34.4 |
Shares of treasury stock issued (in shares) | 3.1 | 1.6 | 2.9 |
Repurchase of common stock at an average cost (in shares) | (4.8) | (5.4) | (6.2) |
Ending Balance (in shares) | 43.2 | 41.5 | 37.7 |
EQUITY - TOTAL STOCK BASED COMP
EQUITY - TOTAL STOCK BASED COMPENSATION EXPENSE AND THE TAX RELATED BENEFIT (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Equity [Abstract] | |||
Stock option expense | $ 7.1 | $ 6.6 | $ 15.4 |
RSU expense | 57.8 | 13.2 | 31.2 |
Total stock based compensation expense | 64.9 | 19.8 | 46.6 |
Related deferred income tax benefit | $ 8.4 | $ 2.4 | $ 8.4 |
EQUITY - ASSUMPTIONS USED TO DE
EQUITY - ASSUMPTIONS USED TO DETERMINE COMPENSATION COST FOR THE COMPANY'S NON-QUALIFIED STOCK OPTIONS ISSUED (Details) - Nonqualified Stock Options - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average fair value per share (in dollars per share) | $ 12.20 | $ 12.38 | $ 13.83 |
Expected dividend yield | 0.71% | 0.64% | 0.57% |
Risk-free interest rate | 2.36% | 2.72% | 2.11% |
Expected volatility | 22.60% | 19.70% | 20.00% |
Expected life (years) | 6 years | 6 years 25 days | 5 years 11 months 12 days |
EQUITY - NON-QUALIFIED STOCK OP
EQUITY - NON-QUALIFIED STOCK OPTION TRANSACTIONS (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Shares | |||
Exercised (in shares) | (2.7) | (1) | (2.3) |
Nonqualified Stock Options | |||
Shares | |||
Beginning Balance (in shares) | 6.4 | ||
Granted (in shares) | 0.6 | ||
Exercised (in shares) | (2.7) | ||
Cancelled (in shares) | (0.4) | ||
Forfeited (in shares) | (0.1) | ||
Balance (in shares) | 3.8 | 6.4 | |
Weighted Average Exercise Price | |||
Beginning Balance (in dollars per share) | $ 46.80 | ||
Granted (in dollars per share) | 49.71 | ||
Exercised (in dollars per share) | 40.34 | ||
Cancelled (in dollars per share) | 61.38 | ||
Forfeited (in dollars per share) | 59.59 | ||
Ending Balance (in dollars per share) | $ 50.02 | $ 46.80 | |
Aggregate Intrinsic Value | |||
Balance | $ 28.1 | $ 4.5 | |
Exercisable | |||
Shares at year end (in shares) | 2.7 | 5 | |
Weighted average exercise price exercisable (in dollars per share) | $ 48.85 | $ 43.98 | |
Aggregate Intrinsic Value | $ 23.2 | $ 4.5 |
EQUITY - INFORMATION ABOUT NON-
EQUITY - INFORMATION ABOUT NON-QUALIFIED STOCK OPTIONS OUTSTANDING (Details) - $ / shares shares in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Average Remaining Contractual Life (in years) | 5 years 4 months 24 days | |
Nonqualified Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number Outstanding (in shares) | 3.8 | 6.4 |
Average Remaining Contractual Life (in years) | 5 years 4 months 24 days | |
Weighted Average Exercise Price (in dollars per share) | $ 50.02 | $ 46.80 |
Number Exercisable (in shares) | 2.7 | 5 |
Weighted average exercise price exercisable (in dollars per share) | $ 48.85 | $ 43.98 |
Nonqualified Stock Options | Exercise Prices: $30.01 - $40.00 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of exercise prices, lower range limit (in dollars per share) | 30.01 | |
Range of exercise prices, upper range limit (in dollars per share) | $ 40 | |
Number Outstanding (in shares) | 0.5 | |
Average Remaining Contractual Life (in years) | 2 years | |
Weighted Average Exercise Price (in dollars per share) | $ 37.50 | |
Number Exercisable (in shares) | 0.5 | |
Weighted average exercise price exercisable (in dollars per share) | $ 37.51 | |
Nonqualified Stock Options | Exercise Prices: $40.01 - $50.00 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of exercise prices, lower range limit (in dollars per share) | 40.01 | |
Range of exercise prices, upper range limit (in dollars per share) | $ 50 | |
Number Outstanding (in shares) | 1.4 | |
Average Remaining Contractual Life (in years) | 5 years 10 months 24 days | |
Weighted Average Exercise Price (in dollars per share) | $ 46.19 | |
Number Exercisable (in shares) | 0.9 | |
Weighted average exercise price exercisable (in dollars per share) | $ 44.24 | |
Nonqualified Stock Options | Exercise Prices: $50.01 - $60.00 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of exercise prices, lower range limit (in dollars per share) | 50.01 | |
Range of exercise prices, upper range limit (in dollars per share) | $ 60 | |
Number Outstanding (in shares) | 1.3 | |
Average Remaining Contractual Life (in years) | 6 years 3 months 18 days | |
Weighted Average Exercise Price (in dollars per share) | $ 54.84 | |
Number Exercisable (in shares) | 0.8 | |
Weighted average exercise price exercisable (in dollars per share) | $ 54.36 | |
Nonqualified Stock Options | Exercise Prices: $60.01 - $70.00 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of exercise prices, lower range limit (in dollars per share) | 60.01 | |
Range of exercise prices, upper range limit (in dollars per share) | $ 70 | |
Number Outstanding (in shares) | 0.6 | |
Average Remaining Contractual Life (in years) | 5 years 4 months 24 days | |
Weighted Average Exercise Price (in dollars per share) | $ 62.13 | |
Number Exercisable (in shares) | 0.5 | |
Weighted average exercise price exercisable (in dollars per share) | $ 62.08 |
EQUITY - UNVESTED RSU TRANSACTI
EQUITY - UNVESTED RSU TRANSACTIONS (Details) - Restricted Stock Units (RSUs) shares in Millions | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Shares | |
Beginning Balance, Unvested (in shares) | shares | 1.5 |
Granted (in shares) | shares | 3.7 |
Vested (in shares) | shares | (0.4) |
Forfeited (in shares) | shares | (0.3) |
Ending Balance, Unvested (in shares) | shares | 4.5 |
Weighted Average Grant Date Fair Value | |
Beginning Balance, Unvested (in dollars per share) | $ / shares | $ 56.93 |
Granted (in dollars per share) | $ / shares | 45.69 |
Vested (in dollars per share) | $ / shares | 54.60 |
Forfeited (in dollars per share) | $ / shares | 55.99 |
Ending Balance, Unvested (in dollars per share) | $ / shares | $ 47.79 |
INCOME TAXES - COMPONENTS OF IN
INCOME TAXES - COMPONENTS OF INCOME BEFORE INCOME TAXES FROM OPERATIONS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
United States | $ (109.8) | $ (279.6) | $ (145) |
Foreign | 455.2 | (678.8) | (1,458.5) |
Income (loss) before income taxes | $ 345.4 | $ (958.4) | $ (1,603.5) |
INCOME TAXES - COMPONENTS OF TH
INCOME TAXES - COMPONENTS OF THE PROVISION FOR INCOME TAXES FROM OPERATIONS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current: | |||
U.S. federal | $ (11.2) | $ 9.8 | $ 1.7 |
U.S. state | 1.5 | 3.2 | 5.9 |
Foreign | 129.4 | 101.5 | 83 |
Total | 119.7 | 114.5 | 90.6 |
Deferred: | |||
U.S. federal | (2) | 46.4 | 2.8 |
U.S. state | 1.8 | (3) | 11.4 |
Foreign | (37.2) | (105.4) | (158) |
Total | (37.4) | (62) | (143.8) |
Provision for income taxes | $ 82.3 | $ 52.5 | $ (53.2) |
INCOME TAXES - THE RECONCILIATI
INCOME TAXES - THE RECONCILIATION OF THE U.S. FEDERAL STATUTORY TAX RATE TO THE EFFECTIVE RATE (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Statutory U.S. federal income tax rate | 21.00% | 21.00% | 35.00% |
State income taxes, net of federal benefit | 0.70% | (0.20%) | (0.10%) |
Federal benefit of R&D and foreign tax credits | (2.00%) | 1.00% | 2.80% |
Tax effect of international operations | 0.40% | 1.80% | 3.60% |
Global Intangible Low Taxed Income (GILTI) | 3.70% | (1.10%) | 0.00% |
Net effect of tax audit activity | 0.40% | (1.00%) | (0.60%) |
Tax effect of enacted statutory rate changes on Non-U.S. jurisdictions | 0.10% | 0.30% | (0.20%) |
Federal tax on unremitted earnings of certain foreign subsidiaries | 0.10% | (0.10%) | 0.00% |
Valuation allowance adjustments | (1.30%) | (5.70%) | (0.70%) |
U.S. tax reform - net impacts | 0 | (0.004) | 0.012 |
Tax effect of impairment of goodwill and intangibles | 0.20% | ||
Tax effect of impairment of goodwill and intangibles | (22.10%) | (37.40%) | |
Other | 0.90% | 0.20% | 2.10% |
Effective income tax rate on operations | 23.80% | (5.50%) | 3.30% |
INCOME TAXES - THE TAX EFFECT O
INCOME TAXES - THE TAX EFFECT OF SIGNIFICANT TEMPORARY DIFFERENCES GIVING RISE TO DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred Tax Asset | ||
Commission and bonus accrual | $ 10.6 | $ 4.5 |
Employee benefit accruals | 55.9 | 56.8 |
Inventory | 15.3 | 13.9 |
Identifiable intangible assets | 0 | 0 |
Insurance premium accruals | 3 | 3.2 |
Miscellaneous accruals | 21.3 | 19.2 |
Other | 0 | 3 |
Unrealized losses included in AOCI | 46 | 24.4 |
Property, plant and equipment | 0 | 0 |
Lease right-of-use liability | 39.7 | |
Product warranty accruals | 1.5 | 1.5 |
Foreign tax credit and R&D carryforward | 73.5 | 78.8 |
Restructuring and other cost accruals | 3.8 | 3.1 |
Sales and marketing accrual | 6.2 | 5.3 |
Taxes on unremitted earnings of foreign subsidiaries | 0 | 0 |
Tax loss carryforwards and other tax attributes | 268.6 | 285.8 |
Subtotal | 545.4 | 499.5 |
Valuation allowances | (288) | (288.4) |
Total | 257.4 | 211.1 |
Deferred Tax Liability | ||
Commission and bonus accrual | 0 | 0 |
Employee benefit accruals | 0 | 0 |
Inventory | 0 | 0 |
Identifiable intangible assets | 630.7 | 686 |
Insurance premium accruals | 0 | 0 |
Miscellaneous accruals | 0 | 0 |
Other | 2.2 | 0 |
Unrealized losses included in AOCI | 0 | 0 |
Property, plant and equipment | 49.6 | 56.1 |
Lease right-of-use asset | 38.8 | |
Product warranty accruals | 0 | 0 |
Foreign tax credit and R&D carryforward | 0 | 0 |
Restructuring and other cost accruals | 0 | 0 |
Sales and marketing accrual | 0 | 0 |
Taxes on unremitted earnings of foreign subsidiaries | 3.5 | 3.2 |
Tax loss carryforwards and other tax attributes | 0 | 0 |
Subtotal | 724.8 | 745.3 |
Total | $ 724.8 | $ 745.3 |
INCOME TAXES - THE DEFERRED TAX
INCOME TAXES - THE DEFERRED TAX ASSETS AND LIABILITIES (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Deferred Income Tax Assets and Liabilities [Line Items] | ||
Deferred income taxes | $ 479.6 | $ 552.8 |
Other noncurrent assets, net | ||
Schedule of Deferred Income Tax Assets and Liabilities [Line Items] | ||
Other noncurrent assets, net | 12.2 | 18.6 |
Deferred income taxes | ||
Schedule of Deferred Income Tax Assets and Liabilities [Line Items] | ||
Deferred income taxes | $ 479.6 | $ 552.8 |
INCOME TAXES - ADDITIONAL INFOR
INCOME TAXES - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | |||
Tax credit carryforwards | $ 1,045.3 | ||
Tax loss carryforward | 1,303.2 | ||
Deferred tax assets, operating loss carryforward | 239.3 | ||
Deferred tax assets, tax attributes | 29.3 | ||
Translation Adjustment | 217.2 | ||
Change in valuation allowance for deferred tax asset | 14.6 | ||
Withholding taxes on certain undistributed earnings of foreign subsidiaries anticipated to be repatriated | 3.5 | ||
The total gross unrecognized tax benefits | 26 | ||
Unrecognized tax benefits, if recognized, would affect the effective income tax rate | 24.4 | ||
The total amount of accrued interest and penalties | 2.5 | $ 4.1 | |
Recognized income tax expense (benefits), interest and penalties | 1.5 | (0.6) | $ (0.5) |
Undistributed earnings of foreign subsidiaries | $ 1,575.2 | $ 1,137.2 | |
Foreign Tax Credits Expiring Future Years | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 71.2 | ||
Foreign Tax Credits Expiring Future Years | Tax Year 2024 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 29.1 | ||
Foreign Tax Credits Expiring Future Years | Tax Year 2025 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 38.9 | ||
Foreign Tax Credits Expiring Future Years | Tax Year 2028 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 1.5 | ||
Foreign Tax Credits Expiring Future Years | Tax Year 2029 | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 1.7 | ||
Foreign | |||
Income Taxes [Line Items] | |||
Tax credit valuation allowance | 56.2 | ||
Without Expiry Date | |||
Income Taxes [Line Items] | |||
Tax credit carryforwards | 257.9 | ||
Settlement with Taxing Authority | |||
Income Taxes [Line Items] | |||
Unrecognized tax benefits, if recognized, would affect the effective income tax rate | 5.3 | ||
Possible benefit of unrecognized tax benefits | $ 5.8 |
INCOME TAXES - UNRECOGNIZED TAX
INCOME TAXES - UNRECOGNIZED TAX BENEFITS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits at beginning of period | $ 27.8 | $ 21 | $ 10.8 |
Gross change for prior period positions | (0.4) | ||
Gross change for prior period positions | 7.5 | 8.6 | |
Gross change for current year positions | 0.3 | 0.3 | 0.3 |
Decrease due to settlements and payments | (3.9) | (0.3) | 0 |
Decrease due to statute expirations | 0 | (0.1) | 0 |
Increase due to effect of foreign currency translation | 0 | 0 | 1.3 |
Decrease due to effect from foreign currency translation | (0.3) | (0.6) | 0 |
Unrecognized tax benefits at end of period | $ 23.5 | $ 27.8 | $ 21 |
BENEFIT PLANS - ADDITIONAL INFO
BENEFIT PLANS - ADDITIONAL INFORMATION (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Employer matching contribution of first 1% of contribution | 100.00% | ||
Employer matching contribution of next 5% of contribution | 50.00% | ||
Employer maximum matching contribution | 3.50% | ||
Defined contribution plan, cost recognized | $ 35.3 | $ 35.1 | $ 33.4 |
Expected return on plan assets | 4.00% | ||
Percentage of total plan assets categorized as level 1 | 76.00% | ||
Expected contributions to defined benefit pension plans in 2020 | $ 15.7 | ||
Minimum | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 30.00% | ||
Minimum | Fixed Income Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 30.00% | ||
Minimum | Real Estate Investment | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 0.00% | ||
Minimum | Other Investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 0.00% | ||
Maximum | Equity Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 65.00% | ||
Maximum | Fixed Income Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 65.00% | ||
Maximum | Real Estate Investment | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 15.00% | ||
Maximum | Other Investments | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Target allocation for plan asset of equity securities | 25.00% | ||
Common Stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
ESOP target contribution | 3.00% |
BENEFIT PLANS - RECONCILIATION
BENEFIT PLANS - RECONCILIATION OF CHANGES IN THE DEFINED BENEFIT AND POSTRETIREMENT HEALTHCARE PLANS' BENEFIT OBLIGATIONS, FIAR VALUE OF ASSETS AND FUNDED STATUS (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Change in Plan Assets | ||
Fair value of plan assets at beginning of year | $ 173.1 | $ 185.7 |
Actual return on assets | 23.5 | (7.5) |
Plan settlements | (22.5) | (13.4) |
Effect of exchange rate changes | 1.9 | (2.4) |
Employer contributions | 14.3 | 15.5 |
Participant contributions | 4 | 4.2 |
Benefits paid | (9.2) | (9) |
Fair value of plan assets at end of year | 185.1 | 173.1 |
Change in Benefit Obligation | ||
Benefit obligation at beginning of year | 511.8 | 545.5 |
Service cost | 14.3 | 16.2 |
Interest cost | 7.6 | 7.3 |
Participant contributions | 4 | 4.2 |
Actuarial losses (gains) | 79.5 | (11.1) |
Plan amendments | 0 | (3.8) |
Acquisitions/Divestitures | 0.1 | (0.3) |
Effect of exchange rate changes | (7.2) | (20.3) |
Plan curtailments and settlements | (22.5) | (17.5) |
Benefits paid | (9.2) | (9) |
Benefit obligation at end of year | 578.2 | 511.8 |
Funded status at end of year | $ (393.1) | $ (338.7) |
BENEFIT PLANS - PENSION BENEFIT
BENEFIT PLANS - PENSION BENEFITS AND OTHER POSTRETIREMENT BENEFITS RECOGNIZED IN THE ACCOMPANYING CONSOLIDATED BALANCE SHEETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Deferred tax asset | $ 39.6 | $ 27.5 |
Total assets | 39.6 | 27.5 |
Current liabilities | (9.1) | (8.4) |
Other noncurrent liabilities | (384) | (330.3) |
Deferred tax liability | (0.4) | (0.4) |
Total liabilities | (393.5) | (339.1) |
Accumulated other comprehensive income | 113.2 | 77.9 |
Net amount recognized | $ (240.7) | $ (233.7) |
BENEFIT PLANS - AMOUNTS RECOGNI
BENEFIT PLANS - AMOUNTS RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Net actuarial loss | $ 156.7 | $ 109.7 |
Net prior service cost | (4.2) | (4.6) |
Before tax AOCI | 152.5 | 105.1 |
Less: Deferred taxes | 39.3 | 27.2 |
Net of tax AOCI | $ 113.2 | $ 77.9 |
BENEFIT PLANS - PENSION PLANS W
BENEFIT PLANS - PENSION PLANS WITH AN ACCUMULATED BENEFIT OBLIGATION IN EXCESS OF PLAN ASSETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Retirement Benefits [Abstract] | ||
Projected benefit obligation | $ 397.6 | $ 487.7 |
Accumulated benefit obligation | 371.3 | 465 |
Fair value of plan assets | $ 8.3 | $ 149 |
BENEFIT PLANS - COMPONENETS OF
BENEFIT PLANS - COMPONENETS OF NET PERIODIC BENEFIT COST (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 14.3 | $ 16.2 | |
Interest cost | 7.6 | 7.3 | |
Net periodic benefit cost | 28.1 | 23 | $ 24.9 |
Cost of products sold | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 6.1 | 6.1 | 6 |
Selling, general and administrative expenses | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | 8.2 | 10.1 | 9.7 |
Other expense (income), net | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 7.6 | 7.3 | 6.5 |
Expected return on plan assets | (4.9) | (5.3) | (4) |
Amortization of prior service credit | (0.5) | (0.2) | (0.2) |
Amortization of net actuarial loss | 5.6 | 6.2 | 6.9 |
Curtailment and settlement (gains) loss | $ 6 | $ (1.2) | $ 0 |
BENEFIT PLANS - OTHER CHANGES I
BENEFIT PLANS - OTHER CHANGES IN PLAN ASSETS AND BENEFIT OBLIGATIONS RECOGNIZED IN AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |||
Net actuarial loss (gain) | $ 52.6 | $ (5.8) | $ 13.3 |
Net prior service cost (credit) | 0 | (3.5) | 0.3 |
Amortization | (5.1) | (6) | (6.7) |
Total recognized in AOCI | 47.5 | (15.3) | 6.9 |
Total recognized in net periodic benefit cost and AOCI | $ 75.6 | $ 7.7 | $ 31.8 |
BENEFIT PLANS - THE AMOUNTS IN
BENEFIT PLANS - THE AMOUNTS IN AOCI THAT ARE EXPECTED TO BE AMORTIZED AS NET EXPENSE (INCOME) DURING NEXT FISCAL YEAR (Details) $ in Millions | Dec. 31, 2019USD ($) |
Retirement Benefits [Abstract] | |
Amount of net prior service credit | $ (0.5) |
Amount of net loss | 9 |
Total amount to be amortized out of AOCI in 2019 | $ 8.5 |
BENEFIT PLANS - WEIGHTED AVERAG
BENEFIT PLANS - WEIGHTED AVERAGE ASSUMPTIONS USED TO DETERMINE BENEFIT OBLIGATIONS (Details) | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Retirement Benefits [Abstract] | |||
Discount rate | 1.00% | 1.80% | 1.60% |
Rate of compensation increase | 2.10% | 2.50% | 2.50% |
BENEFIT PLANS - WEIGHTED AVER_2
BENEFIT PLANS - WEIGHTED AVERAGE ASSUMPTIONS USED TO DETERMINE NET PERIODIC BENEFIT COST TREND RATES (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retirement Benefits [Abstract] | |||
Discount rate | 1.80% | 1.60% | 1.60% |
Expected return on plan assets | 2.90% | 2.90% | 2.90% |
Rate of compensation increase | 2.50% | 2.50% | 2.60% |
BENEFIT PLANS - FAIR VALUE OF P
BENEFIT PLANS - FAIR VALUE OF PENSION PLAN ASSETS (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | $ 185.1 | $ 173.1 | $ 185.7 |
Mutual funds | Equity | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Percentage of investments | 50.00% | ||
Mutual funds | Fixed Income Investments | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Percentage of investments | 50.00% | ||
Common trusts | Equity | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Percentage of investments | 65.00% | ||
Common trusts | Fixed Income Investments | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Percentage of investments | 35.00% | ||
Cash and cash equivalents | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | $ 12.9 | 12.4 | |
Equity Securities | International | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 55.1 | 47.2 | |
Fixed Income Securities | Fixed rate bonds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 55.1 | 49.2 | |
Other Investments | Mutual funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 18.3 | 17.4 | |
Other Investments | Common trusts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 4.3 | 11.8 | |
Other Investments | Insurance contracts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 30.1 | 27.7 | |
Other Investments | Hedge funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 8.9 | 7.1 | |
Other Investments | Real estate | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0.4 | 0.3 | |
Level 1 | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 141.4 | 126.2 | |
Level 1 | Cash and cash equivalents | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 12.9 | 12.4 | |
Level 1 | Equity Securities | International | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 55.1 | 47.2 | |
Level 1 | Fixed Income Securities | Fixed rate bonds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 55.1 | 49.2 | |
Level 1 | Other Investments | Mutual funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 18.3 | 17.4 | |
Level 1 | Other Investments | Common trusts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 1 | Other Investments | Insurance contracts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 1 | Other Investments | Hedge funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 1 | Other Investments | Real estate | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 4.3 | 11.8 | |
Level 2 | Cash and cash equivalents | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Equity Securities | International | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Fixed Income Securities | Fixed rate bonds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Other Investments | Mutual funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Other Investments | Common trusts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 4.3 | 11.8 | |
Level 2 | Other Investments | Insurance contracts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Other Investments | Hedge funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 2 | Other Investments | Real estate | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 39.4 | 35.1 | $ 36.4 |
Level 3 | Cash and cash equivalents | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | Equity Securities | International | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | Fixed Income Securities | Fixed rate bonds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | Other Investments | Mutual funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | Other Investments | Common trusts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 0 | 0 | |
Level 3 | Other Investments | Insurance contracts | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 30.1 | 27.7 | |
Level 3 | Other Investments | Hedge funds | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | 8.9 | 7.1 | |
Level 3 | Other Investments | Real estate | |||
Schedule of Pension and Other Postretirment Benefits Changes in Benefit Obligation and Fair Value of Plan Assets [Line Items] | |||
Plan assets | $ 0.4 | $ 0.3 |
BENEFIT PLANS - RECONCILIATIO_2
BENEFIT PLANS - RECONCILIATION FOR THE PLAN ASSETS CATEGORIZED AS LEVEL 3 (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Change in Plan Assets. Level 3 [Roll Forward] | ||
Fair value of plan assets at beginning of year | $ 173.1 | $ 185.7 |
Actual return on plan assets: | ||
Effect of exchange rate changes | 1.9 | (2.4) |
Fair value of plan assets at end of year | 185.1 | 173.1 |
Level 3 | ||
Change in Plan Assets. Level 3 [Roll Forward] | ||
Fair value of plan assets at beginning of year | 35.1 | 36.4 |
Actual return on plan assets: | ||
Relating to assets still held at the reporting date | 2.4 | (1.7) |
Purchases, sales and settlements, net | 2.3 | 1.8 |
Effect of exchange rate changes | (0.4) | (1.4) |
Fair value of plan assets at end of year | 39.4 | 35.1 |
Level 3 | Insurance contracts | ||
Change in Plan Assets. Level 3 [Roll Forward] | ||
Fair value of plan assets at beginning of year | 27.7 | 29 |
Actual return on plan assets: | ||
Relating to assets still held at the reporting date | 3.7 | (1.1) |
Purchases, sales and settlements, net | (0.6) | 1.1 |
Effect of exchange rate changes | (0.6) | (1.3) |
Fair value of plan assets at end of year | 30.2 | 27.7 |
Level 3 | Hedge funds | ||
Change in Plan Assets. Level 3 [Roll Forward] | ||
Fair value of plan assets at beginning of year | 7.1 | 7.1 |
Actual return on plan assets: | ||
Relating to assets still held at the reporting date | (1.3) | (0.6) |
Purchases, sales and settlements, net | 2.9 | 0.7 |
Effect of exchange rate changes | 0.2 | (0.1) |
Fair value of plan assets at end of year | 8.9 | 7.1 |
Level 3 | Real estate | ||
Change in Plan Assets. Level 3 [Roll Forward] | ||
Fair value of plan assets at beginning of year | 0.3 | 0.3 |
Actual return on plan assets: | ||
Relating to assets still held at the reporting date | 0 | 0 |
Purchases, sales and settlements, net | 0 | 0 |
Effect of exchange rate changes | 0 | 0 |
Fair value of plan assets at end of year | $ 0.3 | $ 0.3 |
BENEFIT PLANS - ESTIMATED FUTUR
BENEFIT PLANS - ESTIMATED FUTURE BENEFIT PAYMENTS ON DEFINED BENEFIT PLAN (Details) $ in Millions | Dec. 31, 2019USD ($) |
Retirement Benefits [Abstract] | |
2020 | $ 19.9 |
2021 | 18.9 |
2022 | 18.9 |
2023 | 19.3 |
2024 | 19.6 |
2025-2029 | $ 111.2 |
RESTRUCTURING AND OTHER COSTS -
RESTRUCTURING AND OTHER COSTS - ADDITIONAL INFORMATION (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Mar. 31, 2019USD ($) | Jun. 30, 2018USD ($) | Dec. 31, 2017USD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2019USD ($)segment | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Nov. 30, 2018USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring costs | $ 33.5 | $ 32.1 | $ 55.4 | |||||
Number of operating segments | segment | 2 | |||||||
Asset impairment charges | $ 47.2 | |||||||
Fixed asset impairment | 33.4 | 0 | 0 | |||||
Impairment of intangible assets | 9.1 | |||||||
Other costs of restructuring | 188.9 | |||||||
Indefinite-lived intangible asset impairment | $ 5.3 | $ 179.2 | $ 266.9 | $ 79.8 | 5.3 | 179.2 | 346.7 | |
Litigation Settlement, Expense | 9.7 | 23.1 | ||||||
Settlements of legal matters and impairment of long-term assets | 369.8 | |||||||
Technologies & Equipment | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Fixed asset impairment | $ 32.8 | |||||||
Indefinite-lived intangible asset impairment | $ 179.2 | 346.7 | ||||||
One time expenditures | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Expected cost | $ 275 | |||||||
2017 Plans | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring costs | 29 | |||||||
Expected cost | $ 65 | $ 65 |
RESTRUCTURING AND OTHER COSTS_2
RESTRUCTURING AND OTHER COSTS - RESTRUCTURING ACCRUALS (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Reserve | ||
Beginning Balance | $ 46.2 | $ 60.2 |
Provisions and adjustments | 42.4 | 39.1 |
Amounts applied | (49.4) | (46) |
Change in estimates | (9.2) | (7.1) |
Ending Balance | 30 | 46.2 |
Severances | ||
Restructuring Reserve | ||
Beginning Balance | 43.2 | 55.9 |
Provisions and adjustments | 36.7 | 31.5 |
Amounts applied | (43.6) | (37.4) |
Change in estimates | (9.3) | (6.8) |
Ending Balance | 27 | 43.2 |
Severances | 2017 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 26.8 | |
Provisions and adjustments | 4.7 | |
Amounts applied | (22.2) | |
Change in estimates | (7) | |
Ending Balance | 2.3 | 26.8 |
Severances | 2016 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 2.6 | 7.7 |
Provisions and adjustments | 2 | |
Amounts applied | (7) | |
Change in estimates | (0.1) | |
Ending Balance | 2.6 | |
Severances | 2017 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 24.2 | 48.2 |
Provisions and adjustments | 1 | |
Amounts applied | (20.2) | |
Change in estimates | (4.8) | |
Ending Balance | 24.2 | |
Severances | 2018 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 16.4 | 0 |
Provisions and adjustments | 1 | 28.5 |
Amounts applied | (12) | (10.2) |
Change in estimates | (0.5) | (1.9) |
Ending Balance | 4.9 | 16.4 |
Severances | 2019 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0 | |
Provisions and adjustments | 31 | |
Amounts applied | (9.4) | |
Change in estimates | (1.8) | |
Ending Balance | 19.8 | 0 |
Lease/Contract Terminations | ||
Restructuring Reserve | ||
Beginning Balance | 0.6 | 0.6 |
Provisions and adjustments | 0.8 | 2.2 |
Amounts applied | (0.9) | (1.9) |
Change in estimates | (0.3) | |
Ending Balance | 0.5 | 0.6 |
Lease/Contract Terminations | 2017 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0.5 | |
Provisions and adjustments | 0.7 | |
Amounts applied | (0.7) | |
Ending Balance | 0.5 | 0.5 |
Lease/Contract Terminations | 2016 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0.5 | 0.4 |
Provisions and adjustments | 1.7 | |
Amounts applied | (1.3) | |
Change in estimates | (0.3) | |
Ending Balance | 0.5 | |
Lease/Contract Terminations | 2017 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0 | 0.2 |
Provisions and adjustments | 0.3 | |
Amounts applied | (0.5) | |
Change in estimates | 0 | |
Ending Balance | 0 | |
Lease/Contract Terminations | 2018 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0.1 | 0 |
Provisions and adjustments | 0 | 0.2 |
Amounts applied | (0.1) | (0.1) |
Change in estimates | 0 | |
Ending Balance | 0 | 0.1 |
Lease/Contract Terminations | 2019 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0 | |
Provisions and adjustments | 0.1 | |
Amounts applied | (0.1) | |
Ending Balance | 0 | 0 |
Other Restructuring Costs | ||
Restructuring Reserve | ||
Beginning Balance | 2.4 | 3.8 |
Provisions and adjustments | 4.9 | 5.4 |
Amounts applied | (4.9) | (6.7) |
Change in estimates | 0.1 | (0.1) |
Ending Balance | 2.5 | 2.4 |
Other Restructuring Costs | 2017 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 2 | |
Provisions and adjustments | 1.2 | |
Amounts applied | (1.1) | |
Change in estimates | 0.1 | |
Ending Balance | 2.2 | 2 |
Other Restructuring Costs | 2016 and Prior Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0.8 | 2.1 |
Provisions and adjustments | 1.4 | |
Amounts applied | (2.6) | |
Change in estimates | (0.1) | |
Ending Balance | 0.8 | |
Other Restructuring Costs | 2017 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 1.2 | 1.7 |
Provisions and adjustments | 0.6 | |
Amounts applied | (1.1) | |
Change in estimates | 0 | |
Ending Balance | 1.2 | |
Other Restructuring Costs | 2018 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0.4 | 0 |
Provisions and adjustments | 1.2 | 3.4 |
Amounts applied | (1.6) | (3) |
Change in estimates | 0 | 0 |
Ending Balance | 0 | 0.4 |
Other Restructuring Costs | 2019 Plans | ||
Restructuring Reserve | ||
Beginning Balance | 0 | |
Provisions and adjustments | 2.5 | |
Amounts applied | (2.2) | |
Change in estimates | 0 | |
Ending Balance | $ 0.3 | $ 0 |
RESTRUCTURING AND OTHER COSTS_3
RESTRUCTURING AND OTHER COSTS - PROVISIONS AND ADJUSTMENTS AND AMOUNTS APPLIED FOR ALL PLANS BY SEGMENT (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Reserve | ||
Beginning Balance | $ 46.2 | $ 60.2 |
Provisions and adjustments | 42.4 | 39.1 |
Amounts applied | (49.4) | (46) |
Change in estimates | (9.2) | (7.1) |
Ending Balance | 30 | 46.2 |
Operating Segments | Technologies & Equipment | ||
Restructuring Reserve | ||
Beginning Balance | 32.9 | 30.1 |
Provisions and adjustments | 24.2 | 21.6 |
Amounts applied | (32.9) | (15.5) |
Change in estimates | (5.1) | (3.3) |
Ending Balance | 19.1 | 32.9 |
Operating Segments | Consumables | ||
Restructuring Reserve | ||
Beginning Balance | 13.6 | 30 |
Provisions and adjustments | 16.9 | 11.3 |
Amounts applied | (15.2) | (25.4) |
Change in estimates | (3.9) | (2.3) |
Ending Balance | 11.4 | 13.6 |
All Other | ||
Restructuring Reserve | ||
Beginning Balance | (0.3) | 0.1 |
Provisions and adjustments | 1.3 | 6.2 |
Amounts applied | (1.3) | (5.1) |
Change in estimates | (0.2) | (1.5) |
Ending Balance | $ (0.5) | $ (0.3) |
FINANCIAL INSTRUMENTS AND DER_3
FINANCIAL INSTRUMENTS AND DERIVATIVES - SUMMARY OF CASH FLOW HEDGES (Details) - Cash Flow Hedging - Designated as Hedging Instrument $ in Millions | Dec. 31, 2019USD ($) |
Derivative [Line Items] | |
Aggregate Notional Amount | $ 497.3 |
Aggregate Notional Amount Maturing within 12 Months | 264 |
Foreign exchange forward contracts | |
Derivative [Line Items] | |
Aggregate Notional Amount | 347.3 |
Aggregate Notional Amount Maturing within 12 Months | 264 |
Interest rate swaps | |
Derivative [Line Items] | |
Aggregate Notional Amount | 150 |
Aggregate Notional Amount Maturing within 12 Months | $ 0 |
FINANCIAL INSTRUMENTS AND DER_4
FINANCIAL INSTRUMENTS AND DERIVATIVES - ADDITIONAL INFORMATION (Details) € in Millions | Mar. 11, 2019USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2019EUR (€) | Jan. 02, 2018 |
Derivative [Line Items] | ||||||
Floating rate senior term loan | $ 1,437,800,000 | $ 1,580,000,000 | ||||
Fixed rate senior notes $450 million due August 2021 | ||||||
Derivative [Line Items] | ||||||
Debt, fixed rate | 4.10% | 4.10% | ||||
Cash Flow Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | $ 497,300,000 | |||||
Gain (Loss) in AOCI | (16,900,000) | |||||
Gain (Loss) in AOCI | 5,100,000 | $ (14,700,000) | ||||
Net Investment Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | 1,071,300,000 | |||||
Fair Value Hedging | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | 94,000,000 | |||||
Fair Value Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Gain (Loss) in AOCI | 3,000,000 | |||||
Interest rate swaps | Cash Flow Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | 150,000,000 | |||||
Interest rate swaps | Net Investment Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | € | € 263.4 | |||||
Derivative notional amount terminated | 245,600,000 | |||||
Proceeds from derivative instrument, investing activities | $ 17,400,000 | |||||
Foreign exchange forward contracts | Cash Flow Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Debt instrument, term | 18 months | |||||
Derivative, notional amount | $ 347,300,000 | |||||
Foreign exchange forward contracts | Net Investment Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | € | € 775.9 | |||||
Foreign exchange forward contracts | Fair Value Hedging | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | 94,000,000 | |||||
Foreign exchange forward contracts | Fair Value Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Gain (Loss) in AOCI | 3,000,000 | |||||
Treasury Lock | Cash Flow Hedging | ||||||
Derivative [Line Items] | ||||||
Debt instrument, term | 10 years | |||||
Derivative, notional amount | $ 150,000,000 | |||||
Cross currency basis swaps | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Gain (Loss) in AOCI | 1,100,000 | |||||
Cross currency basis swaps | Net Investment Hedging | Designated as Hedging Instrument | ||||||
Derivative [Line Items] | ||||||
Derivative, notional amount | $ 295,400,000 | |||||
Commodity contracts | ||||||
Derivative [Line Items] | ||||||
Derivative, term of contract | 18 months | |||||
Fixed Rate Senior Notes | Fixed rate senior notes $450 million due August 2021 | ||||||
Derivative [Line Items] | ||||||
Floating rate senior term loan | $ 296,000,000 | $ 295,700,000 | ||||
Debt, fixed rate | 4.10% | 4.10% | 4.10% | 1.20% |
FINANCIAL INSTRUMENTS AND DER_5
FINANCIAL INSTRUMENTS AND DERIVATIVES - CASH FLOW HEDGE ACTIVITY - GAIN (LOSS) RECORDED IN AOCI IN THE CONSOLIDATED BALANCE SHEETS (Details) - Designated as Hedging Instrument - Cash Flow Hedging - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) in AOCI | $ (16.9) | ||
Effective Portion Reclassified from AOCI into Income (Expense) | (1.4) | ||
Ineffective Portion Recognized in Income (Expense) | 2.1 | ||
Gain (Loss) in AOCI | $ 5.1 | $ (14.7) | |
Effective Portion Reclassified from AOCI into Income (Expense) | (11.2) | (5.3) | |
Ineffective Portion Recognized in Income (Expense) | 1.3 | (0.9) | |
Interest rate swaps | Interest expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) in AOCI | (10.8) | ||
Effective Portion Reclassified from AOCI into Income (Expense) | (2.4) | ||
Gain (Loss) in AOCI | (0.1) | (0.1) | |
Effective Portion Reclassified from AOCI into Income (Expense) | (2.3) | (2.3) | |
Foreign exchange forward contracts | Cost of products sold | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) in AOCI | (6.1) | ||
Effective Portion Reclassified from AOCI into Income (Expense) | 1 | ||
Ineffective Portion Recognized in Income (Expense) | $ 2.1 | ||
Gain (Loss) in AOCI | 5.2 | (14.6) | |
Effective Portion Reclassified from AOCI into Income (Expense) | (8.9) | (3) | |
Foreign exchange forward contracts | Other expense (income), net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Ineffective Portion Recognized in Income (Expense) | $ 1.3 | $ (0.9) |
FINANCIAL INSTRUMENTS AND DER_6
FINANCIAL INSTRUMENTS AND DERIVATIVES - HEDGES OF NET INVESTMENTS IN FOREIGN OPERATIONS - NOTIONAL AMOUNTS OF HEDGES OF NET INVESTMENTS (Details) - Dec. 31, 2019 - Net Investment Hedging - Designated as Hedging Instrument € in Millions, $ in Millions | USD ($) | EUR (€) |
Derivative [Line Items] | ||
Aggregate Notional Amount | $ 1,071.3 | |
Aggregate Notional Amount Maturing within 12 Months | 258.6 | |
Foreign exchange forward contracts | ||
Derivative [Line Items] | ||
Aggregate Notional Amount | € | € 775.9 | |
Aggregate Notional Amount Maturing within 12 Months | € | € 258.6 | |
Cross currency basis swaps | ||
Derivative [Line Items] | ||
Aggregate Notional Amount | 295.4 | |
Aggregate Notional Amount Maturing within 12 Months | $ 0 |
FINANCIAL INSTRUMENTS AND DER_7
FINANCIAL INSTRUMENTS AND DERIVATIVES - HEDGES OF NET INVESTMENTS IN FOREIGN OPERATIONS - GAINS AND LOSSES RECORDED IN AOCI IN THE CONSOLIDATED BALANCE SHEETS (Details) - Designated as Hedging Instrument - Net Investment Hedging - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | $ 30.1 | $ 19.6 | $ 3.7 |
Cross currency basis swaps | Interest expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | 8.4 | 7.3 | |
Cross currency basis swaps | Other expense (income), net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | (3) | ||
Foreign exchange forward contracts | Other expense (income), net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | $ 21.7 | $ 15.3 | $ 3.7 |
FINANCIAL INSTRUMENTS AND DER_8
FINANCIAL INSTRUMENTS AND DERIVATIVES - FAIR VALUE HEDGES - NOTIONAL AMOUNTS (Details) - Fair Value Hedging $ in Millions | Dec. 31, 2019USD ($) |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | $ 94 |
Aggregate Notional Amount Maturing within 12 Months | 38.4 |
Foreign exchange forward contracts | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Aggregate Notional Amount | 94 |
Aggregate Notional Amount Maturing within 12 Months | $ 38.4 |
FINANCIAL INSTRUMENTS AND DER_9
FINANCIAL INSTRUMENTS AND DERIVATIVES - FAIR VALUE HEDGES - GAIN AND LOSSES RECORDED IN AOCI IN THE CONSOLIDATED BALANCE SHEETS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | |||
Gain (Loss) in AOCI | $ 17.7 | $ 36.2 | |
Cross currency basis swaps | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | 14.7 | ||
Foreign exchange forward contracts | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | 21.5 | ||
Designated as Hedging Instrument | Net Investment Hedging | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | $ (14.1) | ||
Recognized in Income (Expense) | 30.1 | 19.6 | 3.7 |
Designated as Hedging Instrument | Net Investment Hedging | Foreign exchange forward contracts | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | (14.1) | ||
Designated as Hedging Instrument | Fair Value Hedging | |||
Derivative [Line Items] | |||
Recognized in Income (Expense) | 3 | ||
Interest expense | Cross currency basis swaps | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | 9.1 | ||
Interest expense | Designated as Hedging Instrument | Net Investment Hedging | Cross currency basis swaps | |||
Derivative [Line Items] | |||
Recognized in Income (Expense) | 8.4 | 7.3 | |
Other expense (income), net | Foreign exchange forward contracts | |||
Derivative [Line Items] | |||
Gain (Loss) in AOCI | 8.6 | ||
Other expense (income), net | Designated as Hedging Instrument | Net Investment Hedging | Cross currency basis swaps | |||
Derivative [Line Items] | |||
Recognized in Income (Expense) | (3) | ||
Other expense (income), net | Designated as Hedging Instrument | Net Investment Hedging | Foreign exchange forward contracts | |||
Derivative [Line Items] | |||
Recognized in Income (Expense) | 21.7 | $ 15.3 | $ 3.7 |
Other expense (income), net | Designated as Hedging Instrument | Fair Value Hedging | Foreign exchange forward contracts | |||
Derivative [Line Items] | |||
Recognized in Income (Expense) | $ 3 |
FINANCIAL INSTRUMENTS AND DE_10
FINANCIAL INSTRUMENTS AND DERIVATIVES - HEDGES NOT DESIGNATED (Details) - Not Designated as Hedging Instrument $ in Millions | Dec. 31, 2019USD ($) |
Derivative [Line Items] | |
Aggregate Notional Amount | $ 237.2 |
Aggregate Notional Amount Maturing within 12 Months | 237.2 |
Foreign exchange forward contracts | |
Derivative [Line Items] | |
Aggregate Notional Amount | 237.2 |
Aggregate Notional Amount Maturing within 12 Months | $ 237.2 |
FINANCIAL INSTRUMENTS AND DE_11
FINANCIAL INSTRUMENTS AND DERIVATIVES - GAIN (LOSS) RECORDED IN AOCI FOR HEDGES NOT DESIGNATED (Details) - Not Designated as Hedging Instrument - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | $ (2.9) | $ (6.2) | $ (7.7) |
Foreign exchange forward contracts | Other expense (income), net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Recognized in Income (Expense) | $ (2.9) | $ (6.2) | $ (7.7) |
FINANCIAL INSTRUMENTS AND DE_12
FINANCIAL INSTRUMENTS AND DERIVATIVES - BALANCE SHEET ALLOCATION (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | $ 45.7 | $ 45.3 |
Gross liability amount recognized for derivative instruments designated as hedges | 14 | 3.4 |
Interest rate swaps | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 10.8 | 0.2 |
Cross currency basis swaps | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 6.9 | 11.6 |
Prepaid Expenses and Other Current Assets, Net | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 26.9 | 18.9 |
Gross asset amount recognized for derivative instruments not designated as hedges | 2 | 2.4 |
Prepaid Expenses and Other Current Assets, Net | Foreign exchange forward contracts | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 26.9 | 18.9 |
Gross asset amount recognized for derivative instruments not designated as hedges | 2 | 2.4 |
Prepaid Expenses and Other Current Assets, Net | Interest rate swaps | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 0 | 0 |
Prepaid Expenses and Other Current Assets, Net | Cross currency basis swaps | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 0 | 0 |
Other noncurrent assets, net | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 18.2 | 24 |
Gross asset amount recognized for derivative instruments not designated as hedges | 0 | 0 |
Other noncurrent assets, net | Foreign exchange forward contracts | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 11.3 | 12.4 |
Gross asset amount recognized for derivative instruments not designated as hedges | 0 | 0 |
Other noncurrent assets, net | Interest rate swaps | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 0 | 0 |
Other noncurrent assets, net | Cross currency basis swaps | ||
Derivative [Line Items] | ||
Gross asset amount recognized for derivative instruments designated as hedges | 6.9 | 11.6 |
Accrued Liabilities | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 1.3 | 0.2 |
Gross liability amount recognized for derivative instruments not designated as hedges | 1.5 | 2.6 |
Accrued Liabilities | Foreign exchange forward contracts | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 1.3 | 0 |
Gross liability amount recognized for derivative instruments not designated as hedges | 1.5 | 2.6 |
Accrued Liabilities | Interest rate swaps | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 0 | 0.2 |
Accrued Liabilities | Cross currency basis swaps | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 0 | 0 |
Other Noncurrent Liabilities | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 12.6 | 0.6 |
Gross liability amount recognized for derivative instruments not designated as hedges | 0 | 0 |
Other Noncurrent Liabilities | Foreign exchange forward contracts | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 1.8 | 0.6 |
Gross liability amount recognized for derivative instruments not designated as hedges | 0 | 0 |
Other Noncurrent Liabilities | Interest rate swaps | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | 10.8 | 0 |
Other Noncurrent Liabilities | Cross currency basis swaps | ||
Derivative [Line Items] | ||
Gross liability amount recognized for derivative instruments designated as hedges | $ 0 | $ 0 |
FINANCIAL INSTRUMENTS AND DE_13
FINANCIAL INSTRUMENTS AND DERIVATIVES - BALANCE SHEET OFFSETTING (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Gross Amounts Recognized | $ 45.7 | $ 45.3 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 45.7 | 45.3 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (8.7) | (3.4) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | 37 | 41.9 |
Liabilities | ||
Gross Amounts Recognized | 14 | 3.4 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 14 | 3.4 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (8.7) | (3.4) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | 5.3 | 0 |
Foreign exchange forward contracts | ||
Assets | ||
Gross Amounts Recognized | 38.8 | 33.7 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 38.8 | 33.7 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (7.8) | (1.8) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | 31 | 31.9 |
Liabilities | ||
Gross Amounts Recognized | 3.2 | 3.2 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 3.2 | 3.2 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (3) | (3.2) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | 0.2 | 0 |
Cross currency basis swaps | ||
Assets | ||
Gross Amounts Recognized | 6.9 | 11.6 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 6.9 | 11.6 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (0.9) | (1.6) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | 6 | 10 |
Interest rate swaps | ||
Liabilities | ||
Gross Amounts Recognized | 10.8 | 0.2 |
Gross Amounts Offset in the Consolidated Balance Sheets | 0 | 0 |
Net Amounts Presented in the Consolidated Balance Sheets | 10.8 | 0.2 |
Gross amounts not offset in the consolidated balance sheets, financial instruments | (5.7) | (0.2) |
Gross amounts not offset in the consolidated balance sheets, cash collateral received/pledged | 0 | 0 |
Net Amount | $ 5.1 | $ 0 |
FAIR VALUE MEASUREMENT - ADDITI
FAIR VALUE MEASUREMENT - ADDITIONAL INFORMATION (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Floating rate senior term loan | $ 1,437,800,000 | $ 1,580,000,000 |
Fixed rate senior notes $450 million due August 2021 | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Debt, fixed rate | 4.10% | |
Tranche C | Unsecured Senior Notes | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Senior Notes | $ 450,000,000 | |
Estimate of Fair Value, Fair Value Disclosure | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Floating rate senior term loan | 1,440,800,000 | 1,577,100,000 |
Carrying (Reported) Amount, Fair Value Disclosure | ||
Fair Value, Concentration of Risk, Financial Statement Captions [Line Items] | ||
Floating rate senior term loan | $ 1,433,300,000 | $ 1,575,500,000 |
FAIR VALUE MEASUREMENT - FINANC
FAIR VALUE MEASUREMENT - FINANCIAL ASSETS AND LIABILITIES THAT ARE RECORDED AT FAIR VALUE AND CLASSIFIED BASED ON THE LOWEST LEVEL OF INPUT (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | $ 47.1 | $ 45.3 |
Liabilities | 24.1 | 12.5 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning balance | 9.1 | 8.6 |
Reported in Other expense (income), net | 2.3 | 0.9 |
Effect of exchange rate changes | (0.2) | (0.4) |
Payments | (2.5) | |
Ending balance | 8.7 | 9.1 |
Interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 6.9 | 11.6 |
Liabilities | 10.8 | 0.2 |
Foreign exchange forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 40.2 | 33.7 |
Liabilities | 4.6 | 3.2 |
Contingent considerations on acquisitions | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 8.7 | 9.1 |
Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Level 1 | Interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Level 1 | Foreign exchange forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Level 1 | Contingent considerations on acquisitions | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 0 | 0 |
Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 47.1 | 45.3 |
Liabilities | 15.4 | 3.4 |
Level 2 | Interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 6.9 | 11.6 |
Liabilities | 10.8 | 0.2 |
Level 2 | Foreign exchange forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 40.2 | 33.7 |
Liabilities | 4.6 | 3.2 |
Level 2 | Contingent considerations on acquisitions | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | 0 | 0 |
Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 8.7 | 9.1 |
Level 3 | Interest rate swaps | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Level 3 | Foreign exchange forward contracts | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 0 | 0 |
Level 3 | Contingent considerations on acquisitions | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Liabilities | $ 8.7 | $ 9.1 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - ADDITIONAL INFORMATION (Details) | Jan. 11, 2018 | Mar. 31, 2014USD ($) | Dec. 31, 2019USD ($) | Apr. 29, 2019stockholder | Jun. 07, 2018lawsuitsdistributors |
Loss Contingencies [Line Items] | |||||
Employment agreement terms, minimum period of employment | 8 years | ||||
Number of class action suits | lawsuits | 2 | ||||
Number of distributors | distributors | 3 | ||||
Number of stockholders who filed derivative actions | stockholder | 2 | ||||
Worthless stock deduction | $ 546,000,000 | ||||
IRS | Tax Year 2012 | |||||
Loss Contingencies [Line Items] | |||||
Liability (refund) from income tax examination | $ (4,700,000) | ||||
IRS | Tax Year 2013 | |||||
Loss Contingencies [Line Items] | |||||
Liability (refund) from income tax examination | 0 | ||||
IRS | Tax Year 2014 | |||||
Loss Contingencies [Line Items] | |||||
Penalties expense | 17,100,000 | ||||
Swedish Tax Agency | |||||
Loss Contingencies [Line Items] | |||||
Possible tax expense | $ 41,000,000 |
QUARTERLY FINANCIAL INFORMATI_3
QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Total net sales | $ 1,111.5 | $ 962.1 | $ 1,009.4 | $ 946.2 | $ 1,059.7 | $ 928.4 | $ 1,042.1 | $ 956.1 | $ 4,029.2 | $ 3,986.3 | $ 3,993.4 |
Gross Profit | 610.6 | 514 | 540.8 | 499.7 | 524.8 | 476.1 | 552.8 | 514.1 | 2,165.1 | 2,067.8 | 2,188.5 |
Goodwill impairment | 0 | 0 | 1,085.8 | 0 | 0 | 1,085.8 | 1,650.9 | ||||
Operating income | 136.6 | 109.5 | 67.5 | 47.3 | 81.8 | 45.5 | (1,154.1) | 68.7 | 360.9 | (958.1) | (1,562.3) |
Net income (loss) attributable to Dentsply Sirona | $ 102.3 | $ 85 | $ 36.4 | $ 39.2 | $ 1.8 | $ 28 | $ (1,122) | $ 81.2 | $ 262.9 | $ (1,011) | $ (1,550) |
Net income (loss) per common share - basic (in dollars per share) | $ 0.46 | $ 0.38 | $ 0.16 | $ 0.18 | $ 0.01 | $ 0.13 | $ (4.98) | $ 0.36 | $ 1.18 | $ (4.51) | $ (6.76) |
Net income (loss) per common share - basic, rounding (in dollars per share) | 0 | (0.03) | |||||||||
Net income (loss) per common share - diluted (in dollars per share) | 0.46 | 0.38 | 0.16 | 0.17 | 0.01 | 0.13 | (4.98) | 0.35 | 1.17 | (4.51) | $ (6.76) |
Net income (loss) per common share - diluted, rounding (in dollars per share) | 0 | (0.02) | |||||||||
Cash dividends declared per common share (in dollars per share) | $ 0.1000 | $ 0.1000 | $ 0.0875 | $ 0.0875 | $ 0.0875 | $ 0 | $ 0.1750 | $ 0.0875 | $ 0.3750 | $ 0.3500 |
SCHEDULE II - VALUATION AND Q_2
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Translation Adjustment | $ 217.2 | ||
Allowance for doubtful accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 24.5 | $ 22.4 | $ 22.7 |
Additions - charged (credited) to costs and expenses | 10.7 | 6 | 6.6 |
Additions - Charged to Other Accounts | 0.8 | 1.1 | (2.6) |
Write-offs Net of Recoveries | (6.1) | (2.6) | (4.8) |
Translation Adjustment | (0.5) | (2.4) | 0.5 |
Balance at End of Period | 29.4 | 24.5 | 22.4 |
Deferred tax asset valuation allowance | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 288.4 | 3,014.8 | 182.7 |
Additions - charged (credited) to costs and expenses | 8.2 | 107.9 | 2,829.8 |
Additions - Charged to Other Accounts | 0 | 0 | 0 |
Write-offs Net of Recoveries | (6) | (2,768.9) | 0 |
Translation Adjustment | (2.6) | (65.4) | 2.3 |
Balance at End of Period | $ 288 | $ 288.4 | $ 3,014.8 |
Uncategorized Items - xray-2019
Label | Element | Value |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 0 |
Accounting Standards Update 2014-09 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (6,000,000) |
Accounting Standards Update 2014-09 [Member] | Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (6,000,000) |
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (6,000,000) |
Accounting Standards Update 2016-16 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (2,700,000) |
Accounting Standards Update 2016-16 [Member] | Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (2,700,000) |
Accounting Standards Update 2016-16 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (2,700,000) |
Accounting Standards Update 2016-09 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (1,000,000) |
Accounting Standards Update 2016-09 [Member] | Additional Paid-in Capital [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 1,000,000 |
Accounting Standards Update 2018-02 [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 8,100,000 |
Accounting Standards Update 2018-02 [Member] | Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 8,100,000 |
Accounting Standards Update 2018-02 [Member] | Retained Earnings [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 8,100,000 |