Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
In Billions, except Share data, unless otherwise specified | Dec. 31, 2014 | Feb. 13, 2015 | Jun. 30, 2014 |
Document And Entity Information [Abstract] [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ALB | ||
Entity Registrant Name | ALBEMARLE CORP | ||
Entity Central Index Key | 915913 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 112,155,745 | ||
Entity Public Float | $5.60 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ||
Cash and cash equivalents | $2,489,768 | $477,239 |
Trade accounts receivable, less allowance for doubtful accounts (2014—$1,563; 2013—$1,614) | 385,212 | 446,864 |
Other accounts receivable | 49,423 | 45,094 |
Inventories: | ||
Finished goods | 262,769 | 340,863 |
Raw materials | 53,152 | 47,784 |
Stores, supplies and other | 42,440 | 47,402 |
Inventory, net, total | 358,361 | 436,049 |
Other current assets | 66,086 | 77,669 |
Total current assets | 3,348,850 | 1,482,915 |
Property, plant and equipment, at cost | 2,620,670 | 2,972,084 |
Less accumulated depreciation and amortization | 1,388,802 | 1,615,015 |
Net property, plant and equipment | 1,231,868 | 1,357,069 |
Investments | 194,042 | 212,178 |
Other assets | 160,956 | 160,229 |
Goodwill | 243,262 | 284,203 |
Other intangibles, net of amortization | 44,125 | 88,203 |
Total assets | 5,223,103 | 3,584,797 |
Current liabilities: | ||
Accounts payable | 231,705 | 208,181 |
Accrued expenses | 166,174 | 176,416 |
Current portion of long-term debt | 711,096 | 24,554 |
Dividends payable | 21,458 | 19,197 |
Income taxes payable | 9,453 | 8,015 |
Total current liabilities | 1,139,886 | 436,363 |
Long-term debt, less current portion | 2,223,035 | 1,054,310 |
Postretirement benefits | 56,424 | 53,903 |
Pension benefits | 170,534 | 57,647 |
Other noncurrent liabilities | 87,705 | 110,610 |
Deferred income taxes | 56,884 | 129,188 |
Commitments and contingencies (Note 16) | ||
Albemarle Corporation shareholders’ equity: | ||
Common stock, $.01 par value (authorized 150,000 shares), issued and outstanding — 78,031 in 2014 and 80,053 in 2013 | 780 | 801 |
Additional paid-in capital | 10,447 | 9,957 |
Accumulated other comprehensive income (loss) | -62,413 | 116,245 |
Retained earnings | 1,410,651 | 1,500,358 |
Total Albemarle Corporation shareholders’ equity | 1,359,465 | 1,627,361 |
Noncontrolling interests | 129,170 | 115,415 |
Total equity | 1,488,635 | 1,742,776 |
Total liabilities and equity | $5,223,103 | $3,584,797 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ||
Trade accounts receivables, allowance for doubtful accounts | $1,563 | $1,614 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 78,031,000 | 80,053,000 |
Common stock, shares outstanding | 78,031,000 | 80,053,000 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (USD $) | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Income Statement [Abstract] | ||||||
Net sales | $2,445,548 | [1] | $2,394,270 | [1] | $2,519,154 | [1] |
Cost of goods sold | 1,674,700 | 1,543,799 | 1,620,311 | |||
Gross profit | 770,848 | 850,471 | 898,843 | |||
Selling, general and administrative expenses | 355,135 | 158,189 | 308,456 | |||
Research and development expenses | 88,310 | 82,246 | 78,919 | |||
Restructuring and other charges, net (Note 20) | 25,947 | [2] | 33,361 | [2] | 111,685 | [2] |
Acquisition and integration related costs (Note 23) | 30,158 | [3] | 0 | [3] | 0 | [3] |
Operating profit | 271,298 | 576,675 | 399,783 | |||
Interest and financing expenses | -41,358 | -31,559 | -32,800 | |||
Other (expenses) income, net | -16,761 | -6,674 | 1,229 | |||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 213,179 | 538,442 | 368,212 | |||
Income tax expense | 18,484 | 134,445 | 80,433 | |||
Income from continuing operations before equity in net income of unconsolidated investments | 194,695 | 403,997 | 287,779 | |||
Equity in net income of unconsolidated investments (net of tax) | 35,742 | 31,729 | 38,067 | |||
Net income from continuing operations | 230,437 | 435,726 | 325,846 | |||
(Loss) income from discontinued operations (net of tax) | -69,531 | 4,108 | 4,281 | |||
Net income | 160,906 | 439,834 | 330,127 | |||
Net income attributable to noncontrolling interests | -27,590 | -26,663 | -18,591 | |||
Net income attributable to Albemarle Corporation | $133,316 | $413,171 | $311,536 | |||
Basic earnings per share from continuing operations (in dollars per share) | $2.57 | $4.88 | $3.44 | |||
Basic earnings (loss) per share from discontinued operations (in dollars per share) | ($0.88) | $0.05 | $0.05 | |||
Basic earnings per share (in dollars per share) | $1.69 | $4.93 | $3.49 | |||
Diluted earnings per share from continuing operations (in dollars per share) | $2.57 | $4.85 | $3.42 | |||
Diluted earnings (loss) per share from discontinued operations (in dollars per share) | ($0.88) | $0.05 | $0.05 | |||
Diluted earnings per share (in dollars per share) | $1.69 | $4.90 | $3.47 | |||
Weighted-average common shares outstanding-basic (in shares) | 78,696 | 83,839 | 89,189 | |||
Weighted-average common shares outstanding-diluted (in shares) | 79,102 | 84,322 | 89,884 | |||
Cash dividends declared per share of common stock (in dollars per share) | $1.10 | $0.96 | $0.80 | |||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | |||||
[2] | See Note 20, “Restructuring and Other.†| |||||
[3] | See Note 23, “Acquisitions.†|
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Comprehensive Income [Abstract] | |||
Net income | $160,906 | $439,834 | $330,127 |
Other comprehensive (loss) income, net of tax: | |||
Foreign currency translation | -168,809 | 31,704 | 28,769 |
Pension and postretirement benefits | -487 | -502 | -4,071 |
Net investment hedge | 11,384 | 0 | 0 |
Interest rate swap | -20,962 | 0 | 0 |
Other | 136 | 135 | 134 |
Total other comprehensive (loss) income, net of tax | -178,738 | 31,337 | 24,832 |
Comprehensive (loss) income | -17,832 | 471,171 | 354,959 |
Comprehensive income attributable to noncontrolling interests | -27,510 | -27,019 | -18,488 |
Comprehensive (loss) income attributable to Albemarle Corporation | ($45,342) | $444,152 | $336,471 |
CONSOLIDATED_STATEMENTS_OF_CHA
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (USD $) | Total | Common Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Total Albemarle Shareholders’ Equity | Noncontrolling Interests |
In Thousands, except Share data, unless otherwise specified | |||||||
Beginning balance at Dec. 31, 2011 | $1,678,827 | $888 | $15,194 | $60,329 | $1,514,866 | $1,591,277 | $87,550 |
Beginning balance (in shares) at Dec. 31, 2011 | 88,841,240 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 330,127 | 311,536 | 311,536 | 18,591 | |||
Other comprehensive income | 24,832 | 24,935 | 24,935 | -103 | |||
Cash dividends declared | -78,975 | -71,347 | -71,347 | -7,628 | |||
Stock-based compensation and other | 13,939 | 13,939 | 13,939 | ||||
Exercise of stock options (in shares) | 949,170 | ||||||
Exercise of stock options | 21,148 | 9 | 21,139 | 21,148 | |||
Shares repurchased (in shares) | -1,092,767 | ||||||
Shares repurchased | -63,575 | -11 | -53,193 | -10,371 | -63,575 | ||
Tax benefit related to stock plans | 14,809 | 14,809 | 14,809 | ||||
Issuance of common stock, net (in shares) | 341,620 | ||||||
Issuance of common stock, net | 4 | -4 | |||||
Shares withheld for withholding taxes associated with common stock issuances (in shares) | -140,054 | ||||||
Shares withheld for withholding taxes associated with common stock issuances | -9,124 | -1 | -9,123 | -9,124 | |||
Ending balance at Dec. 31, 2012 | 1,932,008 | 889 | 2,761 | 85,264 | 1,744,684 | 1,833,598 | 98,410 |
Ending balance (in shares) at Dec. 31, 2012 | 88,899,209 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 439,834 | 413,171 | 413,171 | 26,663 | |||
Other comprehensive income | 31,337 | 30,981 | 30,981 | 356 | |||
Cash dividends declared | -89,847 | -79,833 | -79,833 | -10,014 | |||
Stock-based compensation and other | 9,072 | 9,072 | 9,072 | ||||
Exercise of stock options (in shares) | 191,732 | ||||||
Exercise of stock options | 5,553 | 2 | 5,551 | 5,553 | |||
Shares repurchased (in shares) | -9,198,056 | ||||||
Shares repurchased | -582,298 | -92 | -4,542 | -577,664 | -582,298 | ||
Tax benefit related to stock plans | 3,266 | 3,266 | 3,266 | ||||
Issuance of common stock, net (in shares) | 256,834 | ||||||
Issuance of common stock, net | 3 | -3 | |||||
Shares withheld for withholding taxes associated with common stock issuances (in shares) | -96,877 | ||||||
Shares withheld for withholding taxes associated with common stock issuances | -6,149 | -1 | -6,148 | -6,149 | |||
Ending balance at Dec. 31, 2013 | 1,742,776 | 801 | 9,957 | 116,245 | 1,500,358 | 1,627,361 | 115,415 |
Ending balance (in shares) at Dec. 31, 2013 | 80,052,842 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 160,906 | 133,316 | 133,316 | 27,590 | |||
Other comprehensive income | -178,738 | -178,658 | -178,658 | -80 | |||
Cash dividends declared | -101,899 | -86,364 | -86,364 | -15,535 | |||
Noncontrolling interests share of contributed capital in subsidiary | 1,780 | 1,780 | |||||
Stock-based compensation and other | 13,556 | 13,556 | 13,556 | ||||
Exercise of stock options (in shares) | 77,546 | 77,546 | |||||
Exercise of stock options | 2,713 | 1 | 2,712 | 2,713 | |||
Shares repurchased (in shares) | -2,190,254 | ||||||
Shares repurchased | -150,000 | -22 | -13,319 | -136,659 | -150,000 | ||
Tax benefit related to stock plans | 826 | 826 | 826 | ||||
Issuance of common stock, net (in shares) | 141,937 | ||||||
Issuance of common stock, net | 1 | -1 | |||||
Shares withheld for withholding taxes associated with common stock issuances (in shares) | -51,547 | ||||||
Shares withheld for withholding taxes associated with common stock issuances | -3,285 | -1 | -3,284 | -3,285 | |||
Ending balance at Dec. 31, 2014 | $1,488,635 | $780 | $10,447 | ($62,413) | $1,410,651 | $1,359,465 | $129,170 |
Ending balance (in shares) at Dec. 31, 2014 | 78,030,524 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Cash Flows [Abstract] | |||
Cash and cash equivalents at beginning of year | $477,239 | $477,696 | $469,416 |
Cash flows from operating activities: | |||
Net income | 160,906 | 439,834 | 330,127 |
Adjustments to reconcile net income to cash flows from operating activities: | |||
Depreciation and amortization | 103,572 | 107,370 | 99,020 |
Write-offs associated with restructuring and other | 6,333 | 0 | 61,809 |
Loss on disposal of businesses | 85,515 | 0 | 0 |
Stock-based compensation | 14,267 | 10,164 | 15,211 |
Excess tax benefits realized from stock-based compensation arrangements | -826 | -3,266 | -14,809 |
Equity in net income of unconsolidated investments (net of tax) | -35,742 | -31,729 | -38,067 |
Dividends received from unconsolidated investments and nonmarketable securities | 40,688 | 21,632 | 26,908 |
Pension and postretirement expense (benefit) | 133,681 | -132,707 | 77,442 |
Pension and postretirement contributions | -13,916 | -13,294 | -21,610 |
Unrealized gain on investments in marketable securities | -825 | -3,681 | -1,872 |
Deferred income taxes | -64,947 | 64,865 | -14,587 |
Changes in current assets and liabilities, net of effects of acquisitions and divestitures: | |||
Decrease (increase) in accounts receivable | 36,221 | -65,906 | -25,992 |
(Increase) decrease in inventories | -6,486 | -1,810 | 7,364 |
Decrease (increase) in other current assets excluding deferred income taxes | 5,809 | 5,261 | -19,590 |
Increase (decrease) in accounts payable | 28,296 | 19,267 | -11,473 |
(Decrease) increase in accrued expenses and income taxes payable | -6,680 | 12,185 | 1,981 |
Other, net | 6,743 | 4,674 | 16,904 |
Net cash provided by operating activities | 492,609 | 432,859 | 488,766 |
Cash flows from investing activities: | |||
Capital expenditures | -110,576 | -155,346 | -280,873 |
Cash payments related to acquisitions and other | 0 | -2,565 | -3,360 |
Cash proceeds from divestitures, net | 104,718 | 0 | 9,646 |
Payment for settlement of interest rate swap | -33,425 | 0 | 0 |
Sales of (investments in) marketable securities, net | 649 | 169 | -1,615 |
Long-term advances to joint ventures | -7,499 | 0 | -24,959 |
Net cash used in investing activities | -46,133 | -157,742 | -301,161 |
Cash flows from financing activities: | |||
Proceeds from issuance of senior notes | 1,888,197 | 0 | 0 |
Proceeds from borrowings of other long-term debt | 0 | 117,000 | 0 |
Repayments of long-term debt | -6,017 | -135,733 | -14,390 |
Other (repayments) borrowings, net | -5,825 | 398,544 | -49,421 |
Dividends paid to shareholders | -84,102 | -78,107 | -69,113 |
Dividends paid to noncontrolling interests | -15,535 | -10,014 | -7,628 |
Repurchases of common stock | -150,000 | -582,298 | -63,575 |
Proceeds from exercise of stock options | 2,713 | 5,553 | 21,148 |
Excess tax benefits realized from stock-based compensation arrangements | 826 | 3,266 | 14,809 |
Withholding taxes paid on stock-based compensation award distributions | -3,284 | -6,149 | -9,124 |
Debt financing costs | -17,644 | -108 | 0 |
Net cash provided by (used in) financing activities | 1,609,329 | -288,046 | -177,294 |
Net effect of foreign exchange on cash and cash equivalents | -43,276 | 12,472 | -2,031 |
Increase (decrease) in cash and cash equivalents | 2,012,529 | -457 | 8,280 |
Cash and cash equivalents at end of year | $2,489,768 | $477,239 | $477,696 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies: | |
Basis of Consolidation | ||
The consolidated financial statements include the accounts and operations of Albemarle Corporation and our wholly owned, majority owned and controlled subsidiaries. Unless the context otherwise indicates, the terms “Albemarle,” “we,” “us,” “our” or “the Company” mean Albemarle Corporation and our consolidated subsidiaries. We apply the equity method of accounting for investments in which we have an ownership interest from 20% to 50% or where we exercise significant influence over the related investee’s operations. All significant intercompany accounts and transactions are eliminated in consolidation. | ||
Organizational Realignment | ||
Effective January 1, 2014, the Company’s assets and businesses were realigned under two operating segments. The Performance Chemicals segment includes the Fire Safety Solutions, Specialty Chemicals and Fine Chemistry Services product categories, and the Catalyst Solutions segment includes the Refinery Catalyst Solutions and Performance Catalyst Solutions product categories. Throughout this document, including these consolidated financial statements and related footnotes, current and prior year financial information is presented as if there were only two reporting segments for all periods presented. | ||
Discontinued Operations | ||
Long-lived assets and asset groups are classified as held for sale and reported as discontinued operations in the periods in which the specific criteria are met in accordance with applicable accounting standards. | ||
On September 1, 2014, the Company closed the sale of its antioxidant, ibuprofen and propofol businesses and assets to SI Group, Inc. and, as such, the financial results of the disposed group have been presented as discontinued operations in the consolidated statements of income and excluded from segment results for all periods presented. See Note 2, “Discontinued Operations” for additional information. | ||
Estimates, Assumptions and Reclassifications | ||
The preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States (“U.S.”) requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. | ||
Certain amounts in the accompanying consolidated financial statements and notes thereto have been reclassified to conform to the current presentation. | ||
Revenue Recognition | ||
We recognize sales when the revenue is realized or realizable, and has been earned, in accordance with authoritative accounting guidance. We recognize net sales as risk and title to the product transfer to the customer, which usually occurs at the time shipment is made. Significant portions of our sales are sold free on board shipping point or on an equivalent basis, and other transactions are based upon specific contractual arrangements. Our standard terms of delivery are generally included in our contracts of sale, order confirmation documents and invoices. We recognize revenue from services when performance of the services has been completed. We have a limited amount of consignment sales that are billed to the customer upon monthly notification of amounts used by the customers under these contracts. Where the Company incurs pre-production design and development costs under long-term supply contracts, these costs are expensed where they relate to the products sold unless contractual guarantees for reimbursement exist. Conversely, these costs are capitalized if they pertain to equipment that we will own and use in producing the products to be supplied and expect to utilize for future revenue generating activities. | ||
Performance and Life Cycle Guarantees | ||
We provide customers certain performance guarantees and life cycle guarantees. These guarantees entitle the customer to claim compensation if the product does not conform to performance standards originally agreed upon. Performance guarantees relate to minimum technical specifications that products produced with the delivered product must meet, such as yield and product quality. Life cycle guarantees relate to minimum periods for which performance of the delivered product is guaranteed. When either performance guarantees or life cycle guarantees are contractually agreed upon, an assessment of the appropriate revenue recognition treatment is evaluated. When testing or modeling of historical results predict that the performance or life cycle criteria will be satisfied, revenue is recognized in accordance with shipping terms at the time of delivery. When testing or modeling of historical results predict that the performance or life cycle criteria may not be satisfied, we bill the customer upon shipment and defer the related revenue and cost associated with these products. These deferrals are released to earnings when the contractual period expires, and are generally not significant. | ||
Shipping and Handling Costs | ||
Amounts billed to customers in a sales transaction related to shipping and handling have been classified as net sales and the cost incurred by us for shipping and handling has been classified as cost of goods sold in the accompanying consolidated statements of income. In addition, taxes billed to customers in a sales transaction are presented in the consolidated statements of income on a net basis. | ||
Cash and Cash Equivalents | ||
Cash and cash equivalents include cash and highly liquid investments with insignificant interest rate risks and original maturities of three months or less. | ||
Inventories | ||
Inventories are stated at lower of cost or market with cost determined primarily on the first-in, first-out basis. Cost is determined on the weighted-average basis for a small portion of our inventories at foreign plants and our stores, supplies and other inventory. A portion of our domestic produced finished goods and raw materials are determined on the last-in, first-out basis. | ||
Property, Plant and Equipment | ||
Property, plant and equipment include costs of assets constructed, purchased or leased under a capital lease, related delivery and installation costs and interest incurred on significant capital projects during their construction periods. Expenditures for renewals and betterments also are capitalized, but expenditures for normal repairs and maintenance are expensed as incurred. Costs associated with yearly planned major maintenance are deferred and amortized over 12 months or until the same major maintenance activities must be repeated, whichever is shorter. The cost and accumulated depreciation applicable to assets retired or sold are removed from the respective accounts, and gains or losses thereon are included in income. | ||
The Company records depreciation and amortization in its consolidated statements of income primarily in Cost of goods sold, with minor amounts also recorded in Selling, general and administrative expenses and Research and development expenses depending on the functional utilization of the related assets. Depreciation is computed by the straight-line method based on the estimated useful lives of the assets. We have a policy where our internal engineering group provides asset life guidelines for book purposes. These guidelines are reviewed against the economic life of the business for each project and asset life is determined as the lesser of the manufacturing life or the “business” life. The engineering guidelines are reviewed periodically. | ||
We evaluate historical and expected undiscounted operating cash flows of our reporting units to determine the future recoverability of any property, plant and equipment recorded. Property, plant and equipment is re-evaluated whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. | ||
The costs of brine wells, leases and royalty interests are primarily amortized over the estimated average life of the field on a straight-line basis. On a yearly basis for all fields, this approximates a units-of-production method based upon estimated reserves and production volumes. | ||
Investments | ||
Investments are accounted for using the equity method of accounting if the investment gives us the ability to exercise significant influence, but not control, over the investee. Significant influence is generally deemed to exist if we have an ownership interest in the voting stock of the investee between 20% and 50%, although other factors, such as representation on the investee’s board of directors and the impact of commercial arrangements, are considered in determining whether the equity method of accounting is appropriate. Under the equity method of accounting, we record our investments in equity-method investees in the consolidated balance sheets as Investments and our share of investees’ earnings or losses together with other-than temporary impairments in value as Equity in net income of unconsolidated investments in the consolidated statements of income. | ||
Certain mutual fund investments are accounted for as trading equities and are marked-to-market on a monthly basis through the consolidated statements of income. Investments in joint ventures and nonmarketable securities of immaterial entities are estimated based upon the overall performance of the entity where financial results are not available on a timely basis. | ||
Environmental Compliance and Remediation | ||
Environmental compliance costs include the cost of purchasing and/or constructing assets to prevent, limit and/or control pollution or to monitor the environmental status at various locations. These costs are capitalized and depreciated based on estimated useful lives. Environmental compliance costs also include maintenance and operating costs with respect to pollution prevention and control facilities and other administrative costs. Such operating costs are expensed as incurred. Environmental remediation costs of facilities used in current operations are generally immaterial and are expensed as incurred. On an undiscounted basis, we accrue for environmental remediation costs and post-remediation costs that relate to existing conditions caused by past operations at facilities or off-plant disposal sites in the accounting period in which responsibility is established and when the related costs are estimable. In developing these cost estimates, we evaluate currently available facts regarding each site, with consideration given to existing technology, presently enacted laws and regulations, prior experience in remediation of contaminated sites, the financial capability of other potentially responsible parties and other factors, subject to uncertainties inherent in the estimation process. Additionally, these estimates are reviewed periodically, with adjustments to the accruals recorded as necessary. | ||
Research and Development Expenses | ||
Our research and development expenses related to present and future products are expensed as incurred. These expenses consist primarily of personnel-related costs and other overheads, as well as outside service and consulting costs incurred for specific programs. Our U.S. facilities in Michigan, Pennsylvania, Texas and Louisiana and our global facilities in the Netherlands, Germany, Belgium, China and Korea form the capability base for our contract research and custom manufacturing businesses. These business areas provide research and scale-up services primarily to innovative life science companies. | ||
Goodwill and Other Intangible Assets | ||
We account for goodwill and other intangibles acquired in a business combination in conformity with current accounting guidance that requires that goodwill and indefinite-lived intangible assets not be amortized. | ||
We test goodwill for impairment by comparing the estimated fair value of our reporting units to the related carrying value. We estimate the fair value based on present value techniques involving future cash flows. Future cash flows include assumptions for sales volumes, selling prices, raw material prices, labor and other employee benefit costs, capital additions and other economic or market related factors. Significant management judgment is involved in estimating these variables and they include inherent uncertainties since they are forecasting future events. We use a Weighted Average Cost of Capital (“WACC”) approach to determine our discount rate for goodwill recoverability testing. Our WACC calculation incorporates industry-weighted average returns on debt and equity from a market perspective. The factors in this calculation are largely external to our company, and therefore, are beyond our control. We test our recorded goodwill balances for impairment in the fourth quarter of each year or upon the occurrence of events or changes in circumstances that would more likely than not reduce the fair value of our reporting units below their carrying amounts. The Company performed its annual goodwill impairment test as of October 31, 2014 and concluded there was no impairment as of that date. | ||
Definite-lived intangible assets, such as purchased technology, patents, customer lists and trade names are amortized over their estimated useful lives, generally for periods ranging from five to twenty-five years. We continually evaluate the reasonableness of the useful lives of these assets and test for impairment in accordance with current accounting guidance. See Note 11, “Goodwill and Other Intangibles.” | ||
Pension Plans and Other Postretirement Benefits | ||
Under authoritative accounting standards, assumptions are made regarding the valuation of benefit obligations and the performance of plan assets. As required, we recognize a balance sheet asset or liability for each of the pension and other postretirement benefit (“OPEB”) plans equal to the plan’s funded status as of the measurement date. The primary assumptions are as follows: | ||
• | Discount Rate—The discount rate is used in calculating the present value of benefits, which is based on projections of benefit payments to be made in the future. | |
• | Expected Return on Plan Assets—We project the future return on plan assets based on prior performance and future expectations for the types of investments held by the plans, as well as the expected long-term allocation of plan assets for these investments. These projected returns reduce the net benefit costs recorded currently. | |
• | Rate of Compensation Increase—For salary-related plans, we project employees’ annual pay increases, which are used to project employees’ pension benefits at retirement. | |
• | Mortality Assumptions—Assumptions about life expectancy of plan participants are used in the measurement of related plan obligations. | |
Actuarial gains and losses are recognized annually in our consolidated statements of income in the fourth quarter and whenever a plan is determined to qualify for a remeasurement during a fiscal year. The remaining components of pension and OPEB plan expense, primarily service cost, interest cost and expected return on assets, are recorded on a quarterly basis. The market-related value of assets equals the actual market value as of the date of measurement. | ||
During 2014, we made changes to the assumptions related to the discount rate and mortality scales. We consider available information that we deem relevant when selecting each of these assumptions. | ||
In selecting the discount rates for the U.S. plans, we consider expected benefit payments on a plan-by-plan basis. As a result, the Company uses different discount rates for each plan depending on the demographics of participants and the expected timing of benefit payments. For 2014, the discount rates were calculated using the results from a bond matching technique developed by Milliman, which matched the future estimated annual benefit payments of each respective plan against a portfolio of bonds of high quality to determine the discount rate. We believe our selected discount rates are determined using preferred methodology under authoritative accounting guidance and accurately reflect market conditions as of the December 31, 2014 measurement date. | ||
In selecting the discount rates for the foreign plans, we relied on Aon Hewitt methods, including the Aon Hewitt Top-Quartile and a yield curve derived from fixed-income security yields. The yield curve is generally based on a universe containing Aa-graded corporate bonds in the Euro zone without special features or options, which could affect the duration. In some countries, the yield curve is based on local government bond rates with a premium added to reflect corporate bond risk. Payments we expect to be made from our retirement plans are applied to the resulting yield curve. For each plan, the discount rate was developed as the level equivalent rate that would produce the same present value as that using spot rates aligned with the projected benefit payments. | ||
In estimating the expected return on plan assets, we consider past performance and future expectations for the types of investments held by the plan as well as the expected long-term allocation of plan assets to these investments. In projecting the rate of compensation increase, we consider past experience in light of movements in inflation rates. | ||
In October 2014, the Society of Actuaries published updated mortality tables which reflect increased life expectancy. We revised our mortality assumptions to incorporate the new set of mortality tables issued by the Society of Actuaries for purposes of measuring our U.S. pension and OPEB obligations at December 31, 2014. | ||
Employee Savings Plans | ||
Certain of our employees participate in our defined contribution 401(k) employee savings plan, which is generally available to all U.S. full-time salaried and non-union hourly employees and to employees who are covered by a collective bargaining agreement that provides for such participation. With respect to our foreign subsidiaries, we have a plan in the Netherlands similar to a collective defined contribution plan. | ||
Deferred Compensation Plan | ||
We maintain an Executive Deferred Compensation Plan (“EDCP”) that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. | ||
Stock-based Compensation Expense | ||
The fair value of restricted stock awards, restricted stock unit awards and performance unit awards with a service condition are determined based on the number of shares or units granted and the quoted price of our common stock on the date of grant, and the fair value of stock options is determined using the Black-Scholes valuation model. The fair value of performance unit awards with a service condition and a market condition are estimated on the date of grant using a Monte Carlo simulation model. The fair value of these awards is determined after giving effect to estimated forfeitures. Such value is recognized as expense over the service period, which is generally the vesting period of the equity grant. To the extent restricted stock awards, restricted stock unit awards, performance unit awards and stock options are forfeited prior to vesting in excess of the estimated forfeiture rate, the corresponding previously recognized expense is reversed as an offset to operating expenses. | ||
Income Taxes | ||
We use the liability method for determining our income taxes, under which current and deferred tax liabilities and assets are recorded in accordance with enacted tax laws and rates. Under this method, the amounts of deferred tax liabilities and assets at the end of each period are determined using the tax rate expected to be in effect when taxes are actually paid or recovered. Future tax benefits are recognized to the extent that realization of such benefits is more likely than not. | ||
Deferred income taxes are provided for the estimated income tax effect of temporary differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. Deferred tax assets are also provided for operating losses, capital losses and certain tax credit carryovers. A valuation allowance, reducing deferred tax assets, is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of such deferred tax assets is dependent upon the generation of sufficient future taxable income of the appropriate character. Although realization is not assured, we do not establish a valuation allowance when we believe it is more likely than not that a net deferred tax asset will be realized. | ||
We only recognize a tax benefit after concluding that it is more likely than not that the benefit will be sustained upon audit by the respective taxing authority based solely on the technical merits of the associated tax position. Once the recognition threshold is met, we recognize a tax benefit measured as the largest amount of the tax benefit that, in our judgment, is greater than 50% likely to be realized. Interest and penalties related to income tax liabilities under current accounting guidance for uncertain tax positions are included in income tax expense. | ||
We have designated the undistributed earnings of substantially all of our foreign operations as indefinitely invested and as a result we do not provide for deferred income taxes on the unremitted earnings of these subsidiaries. Our foreign earnings are computed under U.S. federal tax earnings and profits, or E&P, principles. In general, to the extent our financial reporting book basis over tax basis of a foreign subsidiary exceeds these E&P amounts, deferred taxes have not been provided as they are essentially permanent in duration. The determination of the amount of such unrecognized deferred tax liability is not practicable. We provide for deferred income taxes on our undistributed earnings of foreign operations that are not deemed to be indefinitely invested. | ||
Accumulated Other Comprehensive (Loss) Income | ||
Accumulated other comprehensive (loss) income is comprised principally of foreign currency translation adjustments, amounts related to the revaluation of our euro-denominated senior notes which were designated as a hedge of our net investment in foreign operations in 2014, a realized loss on a forward starting interest rate swap entered into in 2014 which was designated as a cash flow hedge, and deferred income taxes related to the aforementioned items. | ||
Foreign Currency Translation | ||
The assets and liabilities of all foreign subsidiaries were prepared in their respective functional currencies and translated into U.S. Dollars based on the current exchange rate in effect at the balance sheet dates, while income and expenses were translated at average exchange rates for the periods presented. Translation adjustments are reflected as a separate component of equity. | ||
Foreign exchange transaction losses were $3.7 million, $10.6 million and $4.9 million for the years ended December 31, 2014, 2013 and 2012, respectively, and are included in Other (expenses) income, net, in our consolidated statements of income. | ||
Derivative Financial Instruments | ||
We manage our foreign currency exposures by balancing certain assets and liabilities denominated in foreign currencies and through the use of foreign currency forward contracts from time to time, which generally expire within one year. The principal objective of such contracts is to minimize the financial impact of changes in foreign currency exchange rates. While these contracts are subject to fluctuations in value, such fluctuations are generally expected to be offset by changes in the value of the underlying foreign currency exposures being hedged. Unless otherwise noted, gains and losses on foreign currency forward contracts are recognized currently in Other (expenses) income, net, and generally do not have a significant impact on results of operations. | ||
We may also enter into interest rate swaps, collars or similar instruments from time to time, with the objective of reducing interest rate volatility relating to our borrowing costs. | ||
The counterparties to these contractual agreements are major financial institutions with which we generally have other financial relationships. We are exposed to credit loss in the event of nonperformance by these counterparties. However, we do not anticipate nonperformance by the counterparties. We do not utilize financial instruments for trading or other speculative purposes. At December 31, 2014 and 2013, we had outstanding foreign currency forward contracts with notional values totaling $479.9 million and $321.4 million, respectively. Our foreign currency forward contracts outstanding at December 31, 2014 and 2013 have not been designated as hedging instruments under Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging. | ||
Recently Issued Accounting Pronouncements | ||
In February 2013, the Financial Accounting Standards Board (“FASB”) issued accounting guidance that requires entities that have obligations resulting from joint and several liability arrangements and for which the total amount is fixed at the reporting date to measure such obligations as the sum of (a) the amount the entity agreed to pay on the basis of its arrangement among its co-obligors, and (b) any additional amount the reporting entity expects to pay on behalf of its co-obligors. Entities are also required to disclose the nature, amount and any other relevant information about such obligations. These amendments became effective on January 1, 2014 and had no impact on our consolidated financial statements. | ||
In March 2013, the FASB issued accounting guidance that clarifies a parent company’s accounting for the cumulative foreign currency translation adjustment when the parent sells a part or all of its investment in a foreign entity. The guidance clarifies that the sale of an investment in a foreign entity includes both (a) events that result in the loss of a controlling financial interest in a foreign entity, and (b) events that result in an acquirer obtaining control of an acquiree in which it held an equity interest immediately before the acquisition date (sometimes also referred to as a step acquisition). Accordingly, the cumulative foreign currency translation adjustment should be released into net income upon the occurrence of those events. These amendments became effective on January 1, 2014 and had no impact on our accounting for the sale of our antioxidant, ibuprofen and propofol businesses and assets in 2014. | ||
In July 2013, the FASB issued accounting guidance designed to reduce diversity in practice of financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. These new requirements became effective on January 1, 2014 and did not have a material effect on our consolidated financial statements. | ||
In April 2014, the FASB issued accounting guidance that changes the criteria for reporting discontinued operations and modifies related disclosure requirements to provide users of financial statements with more information about the assets, liabilities, revenues and expenses of discontinued operations. The guidance modifies the definition of discontinued operations by limiting its scope to disposals of components of an entity that represent strategic shifts that have (or will have) a major effect on an entity’s operations and financial results. Additionally, these new requirements require entities to disclose the pretax profit or loss related to disposals of significant components that do not qualify as discontinued operations. These new requirements become effective for public entities in annual periods beginning on or after December 15, 2014 and interim periods within those years. The impact of these new requirements is dependent on the nature of dispositions, if any, after adoption. | ||
In May 2014, the FASB issued accounting guidance designed to enhance comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets. The core principle of the guidance is that revenue recognized from a transaction or event that arises from a contract with a customer should reflect the consideration to which an entity expects to be entitled in exchange for goods or services provided. To achieve that core principle the new guidance sets forth a five-step revenue recognition model that will need to be applied consistently to all contracts with customers, except those that are within the scope of other topics in the ASC. Also required are new disclosures to help users of financial statements better understand the nature, amount, timing and uncertainty of revenues and cash flows from contracts with customers. The new disclosures include qualitative and quantitative information about contracts with customers, significant judgments made in applying the revenue guidance, and assets recognized related to the costs to obtain or fulfill a contract. These new requirements become effective for annual and interim reporting periods beginning after December 15, 2016, and early adoption is prohibited. We are assessing the impact of these new requirements on our financial statements. | ||
In June 2014, the FASB issued accounting guidance which clarifies the proper method of accounting for share-based payments when the terms of an award provide that a performance target could be achieved after the requisite service period. The accounting guidance requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The performance target should not be reflected in estimating the grant-date fair value of the award. Compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. These new requirements become effective for annual and interim reporting periods beginning after December 15, 2015, and early adoption is permitted. We do not expect this guidance to have a significant impact on our financial statements. | ||
In February 2015, the FASB issued accounting guidance that changes the analysis that reporting entities must perform to determine whether certain types of legal entities should be consolidated. Specifically, the amendments affect (a) limited partnerships and similar legal entities; (b) the consolidation analysis of reporting entities that are involved with variable interest entities, particularly those that have fee arrangements and related party relationships; and (c) certain investment funds. These amendments are effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. We are assessing the impact of these amendments on our financial statements. |
Discontinued_Operations
Discontinued Operations | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||||||
Discontinued Operations | Discontinued Operations: | |||||||||||
On April 15, 2014, the Company signed a definitive agreement to sell its antioxidant, ibuprofen and propofol businesses and assets to SI Group, Inc. Included in the transaction were Albemarle’s manufacturing sites in Orangeburg, South Carolina and Jinshan, China, along with Albemarle’s antioxidant product lines manufactured in Ningbo, China. On September 1, 2014, the Company closed the sale of these businesses and assets and received net proceeds of $104.7 million. A working capital settlement of $7.6 million (recorded in Other accounts receivable at December 31, 2014) was received in the first quarter of 2015. Financial results of the disposed group have been presented as discontinued operations in the consolidated statements of income for all periods presented. A summary of results of discontinued operations is as follows (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Net sales | $ | 154,273 | $ | 222,146 | $ | 226,266 | ||||||
(Loss) income from discontinued operations | $ | (90,439 | ) | $ | 5,985 | $ | 6,381 | |||||
Income tax (benefit) expense | (20,908 | ) | 1,877 | 2,100 | ||||||||
(Loss) income from discontinued operations (net of tax) | $ | (69,531 | ) | $ | 4,108 | $ | 4,281 | |||||
Included in (Loss) income from discontinued operations for the year ended December 31, 2014 are pre-tax charges of $85.5 million ($65.7 million after income taxes) related to the loss on the sale of the disposed group, representing the difference between the carrying value of the related assets and their fair value as determined by the sales price less estimated costs to sell. The loss is primarily attributable to the write-off of goodwill, intangibles and long-lived assets, net of cumulative foreign currency translation gains of $17.8 million. |
Supplemental_Cash_Flow_Informa
Supplemental Cash Flow Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Information [Abstract] | ||||||||||||
Supplemental Cash Flow Information | Supplemental Cash Flow Information: | |||||||||||
Supplemental information related to the consolidated statements of cash flows is as follows (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash paid during the year for: | ||||||||||||
Income taxes (net of refunds of $6,035, $14,296 and $1,849 in 2014, 2013 and 2012, respectively) | $ | 56,174 | $ | 51,772 | $ | 112,442 | ||||||
Interest (net of capitalization) | $ | 33,604 | $ | 29,629 | $ | 31,144 | ||||||
Supplemental non-cash disclosures related to exit of phosphorus flame retardants business: | ||||||||||||
Decrease in property, plant and equipment | $ | — | $ | — | $ | (41,120 | ) | |||||
Decrease in accumulated depreciation | — | — | (17,870 | ) | ||||||||
Decrease in other intangibles, net of amortization | — | — | (27,384 | ) | ||||||||
Increase in accumulated other comprehensive income | — | — | 12,268 | |||||||||
Supplemental non-cash disclosures related to defined benefit pension plan net curtailment gain: | ||||||||||||
Decrease in accumulated other comprehensive income | $ | — | $ | — | $ | (4,507 | ) | |||||
Supplemental non-cash disclosures related to other restructuring charges: | ||||||||||||
Decrease in property, plant and equipment | $ | — | $ | — | $ | (5,002 | ) | |||||
Decrease in accumulated depreciation | — | — | (1,588 | ) | ||||||||
Earnings_Per_Share
Earnings Per Share | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Earnings Per Share | Earnings Per Share: | |||||||||||
Basic and diluted earnings per share from continuing operations are calculated as follows (in thousands, except per share amounts): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Basic earnings per share from continuing operations | ||||||||||||
Numerator: | ||||||||||||
Net income from continuing operations | $ | 230,437 | $ | 435,726 | $ | 325,846 | ||||||
Net income from continuing operations attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Net income from continuing operations attributable to Albemarle Corporation | $ | 202,847 | $ | 409,063 | $ | 307,255 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares for basic earnings per share | 78,696 | 83,839 | 89,189 | |||||||||
Basic earnings per share from continuing operations | $ | 2.57 | $ | 4.88 | $ | 3.44 | ||||||
Diluted earnings per share from continuing operations | ||||||||||||
Numerator: | ||||||||||||
Net income from continuing operations | $ | 230,437 | $ | 435,726 | $ | 325,846 | ||||||
Net income from continuing operations attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Net income from continuing operations attributable to Albemarle Corporation | $ | 202,847 | $ | 409,063 | $ | 307,255 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares for basic earnings per share | 78,696 | 83,839 | 89,189 | |||||||||
Incremental shares under stock compensation plans | 406 | 483 | 695 | |||||||||
Weighted-average common shares for diluted earnings per share | 79,102 | 84,322 | 89,884 | |||||||||
Diluted earnings per share from continuing operations | $ | 2.57 | $ | 4.85 | $ | 3.42 | ||||||
The Company’s policy on how to determine windfalls and shortfalls for purposes of calculating assumed stock award proceeds under the treasury stock method when determining the denominator for diluted earnings per share is to exclude the impact of pro forma deferred tax assets (i.e. the windfall or shortfall that would be recognized in the financial statements upon exercise of the award). At December 31, 2014, there were 662,259 common stock equivalents not included in the computation of diluted earnings per share because their effect would have been anti-dilutive. | ||||||||||||
Included in the calculation of basic earnings per share are unvested restricted stock awards that contain nonforfeitable rights to dividends. At December 31, 2014, there were 5,600 unvested shares of restricted stock awards outstanding. | ||||||||||||
We have the authority to issue 15 million shares of preferred stock in one or more classes or series. As of December 31, 2014, no shares of preferred stock have been issued. | ||||||||||||
On October 13, 2011, our Board of Directors authorized an increase in the number of shares the Company is permitted to repurchase under our share repurchase program up to a maximum of five million shares. On February 12, 2013, our Board of Directors authorized another increase in the number of shares the Company is permitted to repurchase under our share repurchase program, pursuant to which the Company is now permitted to repurchase up to a maximum of fifteen million shares, including those shares previously authorized but not yet repurchased. | ||||||||||||
Under its existing Board authorized share repurchase program, on May 9, 2013, the Company entered into an accelerated share repurchase (“ASR”) agreement with JPMorgan Chase Bank, National Association (“JPMorgan”), acting through its agent J.P. Morgan Securities LLC, relating to a fixed-dollar, uncollared ASR program. Pursuant to the terms of the agreement, JPMorgan immediately borrowed shares of Albemarle common stock that were sold to the Company, thereby decreasing the Company’s issued and outstanding shares (with no change to its authorized shares). On May 10, 2013, the Company paid $450 million to JPMorgan and received an initial delivery of 5,680,921 shares with a fair market value of approximately $360 million. This purchase was funded through a combination of available cash on hand and debt. The Company determined that the ASR agreement met the criteria to be accounted for as a forward contract indexed to its stock and was therefore treated as an equity instrument. Under the terms of the agreement, on December 19, 2013, the transaction was completed and we received a final settlement of 1,384,011 shares, calculated based on the daily Rule 10b-18 volume-weighted average prices of the Company’s common stock over the term of the agreement, less a forward price adjustment amount of approximately $1.01. The total number of shares repurchased under this agreement (7,064,932 shares) reduced the Company’s weighted average shares outstanding for purposes of calculating basic and diluted earnings per share during the year ended December 31, 2013. | ||||||||||||
Under its existing Board authorized share repurchase program, on February 3, 2014, the Company entered into an ASR agreement with Merrill Lynch International (“Merrill Lynch”), acting through its agent Merrill Lynch, Pierce, Fenner and Smith Incorporated, relating to a fixed-dollar, uncollared ASR program pursuant to which we purchased $50 million of our common stock from Merrill Lynch in two $25 million tranches. Pursuant to the terms of the agreement, Merrill Lynch immediately borrowed shares of Albemarle common stock that were sold to the Company, thereby decreasing the Company’s issued and outstanding shares (with no change to its authorized shares). On February 3, 2014, the Company paid $50 million to Merrill Lynch and received an initial delivery of 623,248 shares of our common stock with a fair market value of approximately $40 million. This purchase was funded with cash on hand. The Company determined that the ASR agreement with Merrill Lynch met the criteria to be accounted for as a forward contract indexed to its stock and was therefore treated as an equity instrument. Under the terms of the agreement, on April 30, 2014, the transaction was completed and we received a final settlement of 150,504 shares, calculated based on the daily Rule 10b-18 volume-weighted average prices of the Company’s common stock over the term of the agreement, less a forward price adjustment amount of approximately $0.77. The total number of shares repurchased under this agreement (773,752 shares) reduced the Company’s weighted average shares outstanding for purposes of calculating basic and diluted earnings per share during the year ended December 31, 2014. | ||||||||||||
Under its existing Board authorized share repurchase program, on April 30, 2014, the Company entered into an ASR agreement with JPMorgan relating to a fixed-dollar, uncollared ASR program pursuant to which we purchased $100 million of our common stock from JPMorgan in two $50 million tranches. Pursuant to the terms of the agreement, JPMorgan immediately borrowed shares of Albemarle common stock that were sold to the Company, thereby decreasing the Company’s issued and outstanding shares (with no change to its authorized shares). On May 1, 2014, the Company paid $100 million to JPMorgan and received an initial delivery of 1,193,317 shares of our common stock with a fair market value of approximately $80 million. This purchase was funded with cash on hand and commercial paper notes. The Company determined that this agreement met the criteria to be accounted for as a forward contract indexed to its stock and was therefore treated as an equity instrument. Under the terms of the agreement, on November 17, 2014, the transaction was completed and we received a final settlement of 223,185 shares which was calculated generally based on the daily Rule 10b-18 volume-weighted average prices of the Company’s common stock over the term of the agreement. The total number of shares repurchased under this agreement (1,416,502 shares) reduced the Company’s weighted average shares outstanding for purposes of calculating basic and diluted earnings per share during the year ended December 31, 2014. | ||||||||||||
During the years ended December 31, 2014, 2013 and 2012, the Company repurchased 2,190,254, 9,198,056 and 1,092,767 shares of its common stock, respectively, pursuant to the terms of its share repurchase program. As of December 31, 2014, there were 3,749,340 remaining shares available for repurchase under the Company’s authorized share repurchase program. |
Other_Accounts_Receivable
Other Accounts Receivable | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Receivables [Abstract] | ||||||||
Other Accounts Receivable | Other Accounts Receivable: | |||||||
Other accounts receivable consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Value added tax/consumption tax | $ | 23,205 | $ | 21,956 | ||||
Other | 26,218 | 23,138 | ||||||
Total | $ | 49,423 | $ | 45,094 | ||||
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2014 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories: |
Approximately 28% of our inventories are valued using the last-in, first-out (“LIFO”) method at December 31, 2014 and 2013. The portion of our domestic inventories stated on the LIFO basis amounted to $100.7 million and $121.9 million at December 31, 2014 and 2013, respectively, which are below replacement cost by approximately $43.0 million and $41.7 million, respectively. |
Other_Current_Assets
Other Current Assets | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Other Assets [Abstract] | ||||||||
Other Current Assets | Other Current Assets: | |||||||
Other current assets consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Deferred income taxes—current(a) | $ | 1,801 | $ | 3,912 | ||||
Income tax receivables | 22,837 | 26,310 | ||||||
Prepaid expenses | 41,448 | 47,447 | ||||||
Total | $ | 66,086 | $ | 77,669 | ||||
(a) | See Note 19, “Income Taxes.” |
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||
Property, Plant and Equipment | Property, Plant and Equipment: | ||||||||||
Property, plant and equipment, at cost, consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||||||
Useful | December 31, | ||||||||||
Lives | |||||||||||
(Years) | 2014 | 2013 | |||||||||
Land | — | $ | 56,249 | $ | 63,153 | ||||||
Land improvements | 5 – 30 | 49,099 | 52,452 | ||||||||
Buildings and improvements | 10 – 45 | 214,364 | 235,929 | ||||||||
Machinery and equipment(a) | 2 – 19 | 1,443,154 | 1,731,247 | ||||||||
Machinery and equipment (major plant components)(b) | 20 – 45 | 663,297 | 688,284 | ||||||||
Long-term mineral rights and production equipment costs | 7 – 60 | 85,888 | 85,514 | ||||||||
Construction in progress | — | 108,619 | 115,505 | ||||||||
Total | $ | 2,620,670 | $ | 2,972,084 | |||||||
(a) | Consists primarily of (1) short-lived production equipment components, office and building equipment and other equipment with estimated lives ranging 2 – 7 years, and (2) production process equipment (intermediate components) with estimated lives ranging 8 – 19 years. | ||||||||||
(b) | Consists primarily of (1) production process equipment (major unit components) with estimated lives ranging 20 – 29 years, and (2) production process equipment (infrastructure and other) with estimated lives ranging 30 – 45 years. | ||||||||||
The cost of property, plant and equipment is depreciated generally by the straight-line method. Depreciation expense amounted to $97.9 million, $99.3 million and $88.3 million during the years ended December 31, 2014, 2013 and 2012, respectively. Depreciation expense related to discontinued operations was $2.3 million, $8.6 million and $8.7 million during the years ended December 31, 2014, 2013 and 2012, respectively. Interest capitalized on significant capital projects in 2014, 2013 and 2012 was $2.4 million, $6.1 million and $5.8 million, respectively. | |||||||||||
In 2014, we sold our antioxidant, ibuprofen and propofol businesses and assets to SI Group, Inc. Included in the transaction were our manufacturing sites in Orangeburg, South Carolina and Jinshan, China, along with our antioxidant product lines manufactured in Ningbo, China. In connection with the sale, net property, plant and equipment was reduced by $100.0 million. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||
In 2012, we announced our plan to exit the phosphorus flame retardants business, whose products were sourced mainly at our Avonmouth, United Kingdom and Nanjing, China manufacturing sites. In connection with our exit of this business, net property, plant and equipment was written down by $30.9 million, and in the fourth quarter of 2012 we received cash proceeds of $7.7 million from the sale of our Nanjing, China manufacturing site, which resulted in the recognition of a gain of approximately $2 million. See Note 3 “Supplemental Cash Flow Information” and Note 20 “Restructuring and Other” for additional details about our exit of the phosphorus flame retardants business. | |||||||||||
In the fourth quarter of 2012, we received proceeds of $1.9 million in connection with the sale of land adjacent to our regional offices in Belgium. |
Investments
Investments | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Investments [Abstract] | |||||||||||||
Investments | Investments: | ||||||||||||
Investments include our share of unconsolidated joint ventures, nonmarketable securities and marketable equity securities. The following table details our investment balances at December 31, 2014 and 2013 (in thousands). | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Joint ventures | $ | 169,891 | $ | 187,843 | |||||||||
Nonmarketable securities | 177 | 534 | |||||||||||
Marketable equity securities | 23,974 | 23,801 | |||||||||||
Total | $ | 194,042 | $ | 212,178 | |||||||||
Our ownership positions in significant unconsolidated investments are shown below: | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
* | Nippon Aluminum Alkyls - a joint venture with Mitsui Chemicals, Inc. that produces aluminum alkyls | 50 | % | 50 | % | 50 | % | ||||||
* | Magnifin Magnesiaprodukte GmbH & Co. KG - a joint venture with Radex Heraklith Industriebeteiligung AG that produces specialty magnesium hydroxide products | 50 | % | 50 | % | 50 | % | ||||||
* | Nippon Ketjen Company Limited - a joint venture with Sumitomo Metal Mining Company Limited that produces refinery catalysts | 50 | % | 50 | % | 50 | % | ||||||
* | Eurecat S.A. - a joint venture with IFP Investissements for refinery catalysts regeneration services | 50 | % | 50 | % | 50 | % | ||||||
* | Fábrica Carioca de Catalisadores S.A. - a joint venture with Petrobras Quimica S.A. - PETROQUISA that produces catalysts and includes catalysts research and product development activities | 50 | % | 50 | % | 50 | % | ||||||
* | Stannica, LLC - a joint venture with PMC Group, Inc. that produces tin stabilizers | 50 | % | 50 | % | 50 | % | ||||||
Our investment in the significant unconsolidated joint ventures above amounted to $154.4 million and $172.9 million as of December 31, 2014 and 2013, respectively, and the amount included in Equity in net income of unconsolidated investments (net of tax) in the consolidated statements of income totaled $35.4 million, $31.5 million and $37.0 million for the years ended December 31, 2014, 2013 and 2012, respectively. Undistributed earnings attributable to our significant unconsolidated investments represented approximately $112.9 million and $117.1 million of our consolidated retained earnings at December 31, 2014 and 2013, respectively. All of the unconsolidated joint ventures in which we have investments are private companies and accordingly do not have a quoted market price available. | |||||||||||||
The following summary lists our assets, liabilities and results of operations for our significant unconsolidated joint ventures presented herein (in thousands): | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Summary of Balance Sheet Information: | |||||||||||||
Current assets | $ | 246,795 | $ | 313,446 | |||||||||
Noncurrent assets | 181,509 | 198,776 | |||||||||||
Total assets | $ | 428,304 | $ | 512,222 | |||||||||
Current liabilities | $ | 81,613 | $ | 100,469 | |||||||||
Noncurrent liabilities | 63,585 | 77,734 | |||||||||||
Total liabilities | $ | 145,198 | $ | 178,203 | |||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Summary of Statements of Income Information: | |||||||||||||
Net sales | $ | 609,728 | $ | 598,459 | $ | 601,233 | |||||||
Gross profit | $ | 167,156 | $ | 169,406 | $ | 165,650 | |||||||
Income before income taxes | $ | 102,764 | $ | 101,652 | $ | 105,329 | |||||||
Net income | $ | 72,247 | $ | 71,294 | $ | 71,561 | |||||||
We have evaluated each of the unconsolidated investments pursuant to current accounting guidance and none qualify for consolidation. Dividends received from our significant unconsolidated investments were $39.6 million, $20.5 million and $25.6 million in 2014, 2013 and 2012, respectively. | |||||||||||||
At December 31, 2014 and 2013, the carrying amount of our investments in unconsolidated joint ventures exceeded the amount of underlying equity in net assets by approximately $7.0 million and $8.4 million, respectively. These amounts represent the differences between the value of certain assets of the joint ventures and our related valuation on a U.S. GAAP basis. As of December 31, 2014 and 2013, $1.0 million and $1.4 million, respectively, remained to be amortized over the remaining useful lives of the assets with the balance of the difference representing primarily our share of the joint ventures’ goodwill. | |||||||||||||
The carrying value of our unconsolidated investment in Stannica LLC, a variable interest entity for which we are not the primary beneficiary, was $6.2 million and $5.5 million at December 31, 2014 and 2013, respectively. Our maximum exposure to loss in connection with our continuing involvement with Stannica LLC is limited to our investment carrying value. | |||||||||||||
Assets of the Benefit Protection Trust, in conjunction with our EDCP, are accounted for as trading securities in accordance with authoritative accounting guidance. The assets of the Trust consist primarily of mutual fund investments and are marked-to-market on a monthly basis through the consolidated statements of income. As of December 31, 2014 and 2013, these marketable securities amounted to $22.2 million and $23.0 million, respectively. | |||||||||||||
During the year ended December 31, 2012, we and our joint venture partner each advanced $22.5 million to our 50%-owned joint venture, Saudi Organometallic Chemicals Company (“SOCC”), pursuant to a long-term loan arrangement. Our loan bears quarterly interest at the London Inter-Bank Offered Rate (“LIBOR”) plus 1.275% per annum (1.53% and 1.52% as of December 31, 2014 and 2013, respectively), with interest receivable on a semi-annual basis on January 1 and July 1. Principal repayments on amounts outstanding under this arrangement are required as mutually agreed upon by the joint venture partners, but with any outstanding balances receivable in full no later than December 31, 2021. The recorded value of this receivable approximates fair value as it bears interest based on prevailing variable market rates. We and our joint venture partner also each advanced 28.1 million Riyals (approximately $7.5 million at December 31, 2014) to SOCC during the year ended December 31, 2014, pursuant to a long-term loan arrangement. During the year ended December 31, 2012, we and our joint venture partner each advanced €1.9 million (approximately $2.3 million and $2.6 million at December 31, 2014 and 2013, respectively) to our 50%-owned joint venture, Eurecat S.A., pursuant to a long-term loan arrangement. These loans have been recorded in Other assets in our consolidated balance sheets at December 31, 2014 and 2013. |
Other_Assets
Other Assets | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Other Assets, Noncurrent [Abstract] | ||||||||
Other Assets | Other Assets: | |||||||
Other assets consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Deferred income taxes—noncurrent(a) | $ | 62,440 | $ | 65,667 | ||||
Assets related to unrecognized tax benefits(a) | 22,100 | 25,730 | ||||||
Long-term advances to joint ventures(b) | 34,084 | 25,124 | ||||||
Deferred financing costs(c) | 23,583 | 4,150 | ||||||
Other | 18,749 | 39,558 | ||||||
Total | $ | 160,956 | $ | 160,229 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 9, “Investments.” | |||||||
(c) | See Note 13, “Long-Term Debt.” |
Goodwill_and_Other_Intangibles
Goodwill and Other Intangibles | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||||
Goodwill and Other Intangibles | Goodwill and Other Intangibles: | |||||||||||||||||||||||||||
Goodwill and other intangibles consist principally of goodwill, customer lists, trade names, patents and other intangibles. | ||||||||||||||||||||||||||||
The following table summarizes the changes in goodwill by operating segment for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||||||||
Performance Chemicals | Catalyst Solutions | Total | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 43,519 | $ | 233,447 | $ | 276,966 | ||||||||||||||||||||||
Foreign currency translation adjustments | 84 | 7,153 | 7,237 | |||||||||||||||||||||||||
Balance at December 31, 2013 | 43,603 | 240,600 | 284,203 | |||||||||||||||||||||||||
Divestitures(a) | — | (15,088 | ) | (15,088 | ) | |||||||||||||||||||||||
Foreign currency translation adjustments | (1,321 | ) | (24,532 | ) | (25,853 | ) | ||||||||||||||||||||||
Balance at December 31, 2014 | $ | 42,282 | $ | 200,980 | $ | 243,262 | ||||||||||||||||||||||
(a) | In 2014 we reduced Catalyst Solutions segment goodwill by $15.1 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||||||
Other intangibles consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||||||||
Customer Lists and Relationships | Trade Names (a) | Patents and Technology | Land Use Rights | Manufacturing Contracts and Supply/Service Agreements | Other | Total | ||||||||||||||||||||||
Gross Asset Value | ||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 85,167 | $ | 26,943 | $ | 47,876 | $ | 6,203 | $ | 8,523 | $ | 23,412 | $ | 198,124 | ||||||||||||||
Foreign currency translation adjustments and other | 1,259 | (36 | ) | 867 | 173 | (185 | ) | 216 | 2,294 | |||||||||||||||||||
Balance at December 31, 2013 | 86,426 | 26,907 | 48,743 | 6,376 | 8,338 | 23,628 | 200,418 | |||||||||||||||||||||
Acquisitions (b) | — | — | 5,228 | — | — | — | 5,228 | |||||||||||||||||||||
Divestitures (c) | (34,892 | ) | (8,171 | ) | (11,316 | ) | (4,929 | ) | (4,474 | ) | (4,758 | ) | (68,540 | ) | ||||||||||||||
Foreign currency translation adjustments and other | (3,055 | ) | (1,181 | ) | (2,257 | ) | (40 | ) | — | (700 | ) | (7,233 | ) | |||||||||||||||
Balance at December 31, 2014 | $ | 48,479 | $ | 17,555 | $ | 40,398 | $ | 1,407 | $ | 3,864 | $ | 18,170 | $ | 129,873 | ||||||||||||||
Accumulated Amortization | ||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | (31,484 | ) | $ | (8,486 | ) | $ | (38,778 | ) | $ | (1,079 | ) | $ | (6,512 | ) | $ | (17,321 | ) | $ | (103,660 | ) | |||||||
Amortization | (4,332 | ) | (995 | ) | (797 | ) | (166 | ) | (647 | ) | (1,129 | ) | (8,066 | ) | ||||||||||||||
Foreign currency translation adjustments and other | (172 | ) | 511 | (779 | ) | (23 | ) | 185 | (211 | ) | (489 | ) | ||||||||||||||||
Balance at December 31, 2013 | (35,988 | ) | (8,970 | ) | (40,354 | ) | (1,268 | ) | (6,974 | ) | (18,661 | ) | (112,215 | ) | ||||||||||||||
Amortization | (2,839 | ) | (824 | ) | (388 | ) | (42 | ) | (368 | ) | (1,276 | ) | (5,737 | ) | ||||||||||||||
Divestitures (c) | 14,487 | 1,539 | 5,738 | (100 | ) | 4,164 | 1,756 | 27,584 | ||||||||||||||||||||
Foreign currency translation adjustments and other | 1,409 | 343 | 2,173 | 3 | — | 692 | 4,620 | |||||||||||||||||||||
Balance at December 31, 2014 | $ | (22,931 | ) | $ | (7,912 | ) | $ | (32,831 | ) | $ | (1,407 | ) | $ | (3,178 | ) | $ | (17,489 | ) | $ | (85,748 | ) | |||||||
Net Book Value at December 31, 2013 | $ | 50,438 | $ | 17,937 | $ | 8,389 | $ | 5,108 | $ | 1,364 | $ | 4,967 | $ | 88,203 | ||||||||||||||
Net Book Value at December 31, 2014 | $ | 25,548 | $ | 9,643 | $ | 7,567 | $ | — | $ | 686 | $ | 681 | $ | 44,125 | ||||||||||||||
(a) | Trade names include a gross carrying amount of $9.2 million for an indefinite-lived intangible asset. | |||||||||||||||||||||||||||
(b) | Increase in Patents and Technology relates to a purchase accounting adjustment in connection with our acquisition of Cambridge Chemical Company, Ltd. | |||||||||||||||||||||||||||
(c) | In 2014 we reduced intangible assets by $68.5 million and related accumulated amortization by $27.6 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||||||
Useful lives range from 15 – 25 years for customer lists and relationships; 11 years for trade names; 17 – 20 years for patents and technology; 6 years for manufacturing contracts and supply/service agreements; and 5 – 15 years for other. | ||||||||||||||||||||||||||||
Amortization of other intangibles amounted to $5.7 million, $8.1 million and $10.7 million for the years ended December 31, 2014, 2013 and 2012, respectively. Amortization of other intangibles related to discontinued operations was $0.9 million, $3.5 million and $3.4 million for the years ended December 31, 2014, 2013 and 2012, respectively. Total estimated amortization expense of other intangibles for the next five fiscal years is as follows (in thousands): | ||||||||||||||||||||||||||||
Estimated Amortization Expense | ||||||||||||||||||||||||||||
2015 | $ | 3,482 | ||||||||||||||||||||||||||
2016 | $ | 3,050 | ||||||||||||||||||||||||||
2017 | $ | 2,858 | ||||||||||||||||||||||||||
2018 | $ | 2,682 | ||||||||||||||||||||||||||
2019 | $ | 2,567 | ||||||||||||||||||||||||||
Accrued_Expenses
Accrued Expenses | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ||||||||
Accrued Expenses | Accrued Expenses: | |||||||
Accrued expenses consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Employee benefits, payroll and related taxes | $ | 49,072 | $ | 42,035 | ||||
Taxes other than income taxes and payroll taxes | 10,101 | 9,747 | ||||||
Deferred revenue | 10,370 | 17,896 | ||||||
Deferred income taxes—current(a) | 6,806 | 2,853 | ||||||
Accrued sales commissions | 7,768 | 7,241 | ||||||
Accrued interest payable | 13,212 | 7,716 | ||||||
Accrued utilities | 7,510 | 8,608 | ||||||
Reduction in force accruals(b) | 4,039 | 39,104 | ||||||
Aluminum alkyl supply capacity reduction(b) | 15,777 | — | ||||||
Other | 41,519 | 41,216 | ||||||
Total | $ | 166,174 | $ | 176,416 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 20, “Restructuring and Other.” |
LongTerm_Debt
Long-Term Debt | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Long-Term Debt | Long-Term Debt: | |||||||
Long-term debt consists of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
1.875% Senior notes, net of unamortized discount of $6,605 at December 31, 2014 | $ | 844,315 | $ | — | ||||
3.00% Senior notes, net of unamortized discount of $306 at December 31, 2014 | 249,694 | — | ||||||
4.15% Senior notes, net of unamortized discount of $1,439 at December 31, 2014 | 423,561 | — | ||||||
4.50% Senior notes, net of unamortized discount of $1,871 at December 31, 2014 and $2,186 at December 31, 2013 | 348,129 | 347,814 | ||||||
5.10% Senior notes, net of unamortized discount of $3 at December 31, 2014 and $36 at December 31, 2013 | 324,997 | 324,964 | ||||||
5.45% Senior notes, net of unamortized discount of $1,029 at December 31, 2014 | 348,971 | — | ||||||
Commercial paper notes | 367,178 | 363,000 | ||||||
Fixed rate foreign borrowings | 1,958 | 7,879 | ||||||
Variable-rate foreign bank loans | 25,139 | 34,910 | ||||||
Miscellaneous | 189 | 297 | ||||||
Total long-term debt | 2,934,131 | 1,078,864 | ||||||
Less amounts due within one year | 711,096 | 24,554 | ||||||
Long-term debt, less current portion | $ | 2,223,035 | $ | 1,054,310 | ||||
Aggregate annual maturities of long-term debt as of December 31, 2014 are as follows (in millions): 2015—$711.1; 2016—$0.0; 2017—$0.0; 2018—$0.0; 2019—$258.3; thereafter—$1,975.9. | ||||||||
Senior Notes | ||||||||
In the fourth quarter of 2014, we issued a series of senior notes (collectively, the “2014 Senior Notes”) as follows: | ||||||||
• | €700.0 million aggregate principal amount of senior notes, issued on December 8, 2014, bearing interest at a rate of 1.875% payable annually on December 8 of each year, beginning in 2015. The effective interest rate on these senior notes is approximately 2.10%. These senior notes mature on December 8, 2021. | |||||||
• | $250.0 million aggregate principal amount of senior notes, issued on November 24, 2014, bearing interest at a rate of 3.00% payable semi-annually on June 1 and December 1 of each year, beginning June 1, 2015. The effective interest rate on these senior notes is approximately 3.18%. These senior notes mature on December 1, 2019. | |||||||
• | $425.0 million aggregate principal amount of senior notes, issued on November 24, 2014, bearing interest at a rate of 4.15% payable semi-annually on June 1 and December 1 of each year, beginning June 1, 2015. The effective interest rate on these senior notes is approximately 5.06%. These senior notes mature on December 1, 2024. | |||||||
• | $350.0 million aggregate principal amount of senior notes, issued on November 24, 2014, bearing interest at a rate of 5.45% payable semi-annually on June 1 and December 1 of each year, beginning June 1, 2015. The effective interest rate on these senior notes is approximately 5.50%. These senior notes mature on December 1, 2044. | |||||||
The net proceeds from the 2014 Senior Notes, together with borrowings from our Commercial Paper Notes, Term Loan and Cash Bridge Facility (each as defined below) were used to finance the cash portion of the consideration for the acquisition of Rockwood Holdings, Inc. (“Rockwood”) which closed on January 12, 2015, pay fees and expenses related to the acquisition, repay the 5.10% senior notes on February 1, 2015, with the remainder, if any, to be used for general corporate purposes. For additional information about the acquisition of Rockwood, see “Subsequent Event—Acquisition of Rockwood Holdings, Inc.” within Note 23, “Acquisitions.” | ||||||||
Our $325.0 million aggregate principal amount of senior notes, issued on January 20, 2005, bore interest at a rate of 5.10% payable semi-annually on February 1 and August 1 of each year. The effective interest rate on these senior notes was approximately 5.19%. These senior notes matured and were repaid on February 1, 2015. As a result of the refinancing of these senior notes prior to December 31, 2014, these senior notes were included in Current portion of long-term debt at December 31, 2014. | ||||||||
Our $350.0 million aggregate principal amount of senior notes, issued on December 10, 2010, bear interest at a rate of 4.50% payable semi-annually on June 15 and December 15 of each year. The effective interest rate on these senior notes is approximately 4.70%. These senior notes mature on December 15, 2020. | ||||||||
In anticipation of refinancing our 5.10% senior notes in the fourth quarter of 2014, on January 22, 2014, we entered into a pay fixed, receive variable rate forward starting interest rate swap with J.P. Morgan Chase Bank, N.A., to be effective October 15, 2014. Our risk management objective and strategy for undertaking this hedge was to eliminate the variability in the interest rate and partial credit spread on the 20 future semi-annual coupon payments that we will pay in connection with our 4.15% senior notes. The notional amount of the swap was $325.0 million and the fixed rate was 3.281%, with the cash settlement determined by reference to the changes in the U.S. dollar 3-month LIBOR and credit spreads from the date we entered into the swap until the date the swap was settled (October 15, 2014). This derivative financial instrument was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. We determined there was no ineffectiveness during the term of the swap. On October 15, 2014, the swap was settled, resulting in a payment to the counterparty of $33.4 million. This amount was recorded in Accumulated other comprehensive (loss) income and is being amortized to interest expense over the life of the 4.15% senior notes. The amount to be reclassified to interest expense from Accumulated other comprehensive (loss) income during the next twelve months is approximately $3.3 million. | ||||||||
In connection with the offering of the 1.875% Euro-denominated senior notes which were priced on December 1, 2014, we entered into two forward contracts on November 24, 2014, each with a notional value of €350.0 million, to exchange a total of €700.0 million for U.S. dollars, with settlement occurring on December 18, 2014, and with the total notional value representing an amount equivalent to the gross proceeds from the offering of the 1.875% Euro-denominated senior notes. The objective of entering into these forward contracts was to minimize the financial impact of changes in the Euro-to-U.S. Dollar exchange rate with respect to our foreign subsidiaries where the Euro serves as the functional currency. From the effective date of the contracts until the date of settlement, the forward contracts were designated as effective hedges of our net investment in these foreign subsidiaries. Upon settlement, a gain of $5.2 million was recorded in accumulated other comprehensive (loss) income, and such amount is expected to remain in accumulated other comprehensive (loss) income until the complete or substantially complete liquidation of our investment in these foreign subsidiaries. On December 18, 2014, the carrying value of the 1.875% Euro-denominated senior notes was designated as an effective hedge of our net investment in foreign subsidiaries where the Euro serves as the functional currency, and beginning on the date of designation, gains or losses on the revaluation of these senior notes to our reporting currency have been and will be recorded in accumulated other comprehensive (loss) income. During the year ended December 31, 2014, a gain of $12.8 million was recorded in accumulated other comprehensive (loss) income in connection with the revaluation of these senior notes to our reporting currency. | ||||||||
Credit Agreement | ||||||||
On February 7, 2014, we entered into a new $750.0 million credit facility. The five-year, revolving, unsecured credit agreement (hereinafter referred to as the February 2014 Credit Agreement) matures on February 7, 2019 and replaced our previous $750.0 million amended and restated credit agreement dated as of September 22, 2011. Borrowings bear interest at variable rates based on the LIBOR for deposits in the relevant currency plus an applicable margin which ranges from 0.900% to 1.500%, depending on the Company’s credit rating from Standard & Poor’s Ratings Services (“S&P”) and Moody’s Investors Services (“Moody’s”). The applicable margin on the facility was 1.300% as of December 31, 2014. | ||||||||
Borrowings under the February 2014 Credit Agreement are conditioned upon compliance with the following covenants: (a) consolidated funded debt, as defined in the agreement, must be less than or equal to 3.50 times consolidated EBITDA, as defined in the agreement, (which reflects adjustments for certain non-recurring or unusual items such as restructuring charges, facility divestiture charges and other significant non-recurring items), or herein “consolidated adjusted EBITDA,” as of the end of any fiscal quarter; (b) with the exception of certain liens as specified in the agreement, liens may not attach to assets when the aggregate amount of all indebtedness secured by such liens plus unsecured subsidiary indebtedness, other than indebtedness incurred by our subsidiaries under the February 2014 Credit Agreement, would exceed 20% of consolidated net worth, as defined in the agreement; and (c) with the exception of certain indebtedness as specified in the agreement, subsidiary indebtedness may not exceed the difference between 20% of consolidated net worth, as defined in the agreement, and indebtedness secured by liens permitted under the agreement. | ||||||||
On August 15, 2014, certain amendments were made to the February 2014 Credit Agreement which include the following: (a) an increase in the maximum leverage ratio (as described above) from 3.50 to 4.50 for the first four quarters following the completion of the acquisition of Rockwood, stepping down by 0.25 on a quarterly basis thereafter until reaching 3.50; (b) modification of the indebtedness covenant to permit the incurrence of indebtedness represented by Rockwood’s former senior notes due in 2020; and (c) requiring subsidiaries of Albemarle that guarantee Rockwood’s former senior notes or that guarantee the 2014 Senior Notes to also guarantee the February 2014 Credit Agreement. | ||||||||
On December 22, 2014, the February 2014 Credit Agreement was further amended to provide for, among other things, an increase in the aggregate commitments under the facility to $1.0 billion. As of December 31, 2014, there were no borrowings outstanding under the February 2014 Credit Agreement. | ||||||||
Commercial Paper Notes | ||||||||
On May 29, 2013, we entered into agreements to initiate a commercial paper program on a private placement basis under which we may issue unsecured commercial paper notes (the “Commercial Paper Notes”) from time-to-time up to a maximum aggregate principal amount outstanding at any time of $750.0 million. The proceeds from the issuance of the Commercial Paper Notes are expected to be used for general corporate purposes, including the repayment of other debt of the Company. Our February 2014 Credit Agreement is available to repay the Commercial Paper Notes, if necessary. Aggregate borrowings outstanding under the February 2014 Credit Agreement and the Commercial Paper Notes will not exceed the $1.0 billion current maximum amount available under the February 2014 Credit Agreement. The Commercial Paper Notes will be sold at a discount from par, or alternatively, will be sold at par and bear interest at rates that will vary based upon market conditions at the time of issuance. The maturities of the Commercial Paper Notes will vary but may not exceed 397 days from the date of issue. The definitive documents relating to the commercial paper program contain customary representations, warranties, default and indemnification provisions. At December 31, 2014, we had $367.2 million of Commercial Paper Notes outstanding bearing a weighted-average interest rate of approximately 0.79% and a weighted-average maturity of 25 days. In order to maintain flexibility with regard to our liquidity strategy, in the second quarter of 2014 the Commercial Paper Notes were reclassified from Long-term debt to Current portion of long-term debt. | ||||||||
Term Loan and Bridge Financing | ||||||||
On August 15, 2014, we entered into a term loan credit agreement (the “Term Loan”) providing for a tranche of senior unsecured term loans in an aggregate amount of $1.0 billion. Amounts borrowed under the Term Loan were used as short-term borrowings to fund a portion of the cash consideration payable in connection with the acquisition of Rockwood and pay related fees and expenses. Borrowings bear interest at variable rates based on an average LIBOR for deposits in dollars plus an applicable margin which ranges from 1.125% to 2.000%, depending on our credit rating from S&P and Moody’s. As of December 31, 2014, the applicable margin over LIBOR was 1.500%. Term Loan borrowings are guaranteed by the subsidiaries of Albemarle that guarantee Rockwood’s former senior notes or that guarantee the 2014 Senior Notes. The Term Loan matures 364 days following the date of funding, which occurred on January 12, 2015. Borrowings are conditioned upon compliance with one financial covenant which requires that our maximum leverage ratio must be less than or equal to 4.50 times consolidated adjusted EBITDA as of the end of any fiscal quarter. As of December 31, 2014, there were no borrowings outstanding under the Term Loan. | ||||||||
On July 15, 2014, we entered into a commitment letter (the “Commitment Letter”) with Bank of America, N.A. and Merrill Lynch, Pierce, Fenner & Smith Incorporated. The Commitment Letter provided for the following, if needed: (a) a senior unsecured cash bridge facility (the “Cash Bridge Facility”) in an aggregate principal amount of up to $1.15 billion; and (b) a senior unsecured bridge facility, which was subsequently eliminated upon the attainment of permanent financing in the form of the Term Loan and the 2014 Senior Notes. | ||||||||
On December 2, 2014, we entered into a new senior unsecured credit facility agreement documenting the Cash Bridge Facility pursuant to which the lenders thereunder will provide up to $1.15 billion in loans. The Cash Bridge Facility is guaranteed by each of the Company’s subsidiaries that guarantee the February 2014 Credit Agreement. Amounts borrowed under the Cash Bridge Facility were used as short-term borrowings to fund a portion of the cash consideration payable in connection with the acquisition of Rockwood and pay related fees and expenses, and mature 60 days following the completion of Rockwood acquisition, which occurred on January 12, 2015. The interest rate on amounts outstanding will be either (a) LIBOR, or (b) an alternate base rate (defined as the highest of (i) Bank of America’s prime rate, (ii) the Federal Funds rate plus 0.50% and (iii) a daily rate equal to one-month LIBOR plus 1.00%), plus, in each case, an applicable margin based on our credit rating. As of December 31, 2014, there were no borrowings outstanding under the Cash Bridge Facility. | ||||||||
Structuring and underwriting fees of approximately $19.0 million were paid in 2014 in connection with the bridge facilities, and are reflected in Other, net, in our consolidated statements of cash flows. These costs were capitalized and we expense them over the term of the facilities or until the date at which permanent financing is obtained and the facilities are eliminated. Accordingly, we recorded approximately $16.7 million of expense in 2014, which is reflected in Other (expenses) income, net, in the consolidated statements of income and Other, net, in our consolidated statements of cash flows. | ||||||||
Financing Costs | ||||||||
Debt financing costs incurred and paid in 2014 were $18.9 million and $17.6 million, respectively, in connection with the 2014 Senior Notes, Term Loan and February 2014 Credit Agreement. | ||||||||
Other | ||||||||
We have additional credit lines in the U.S. with financial institutions that provide for borrowings under uncommitted credit lines up to a maximum of $60.0 million. There were no outstanding borrowings under these agreements at either December 31, 2014 or December 31, 2013. The average interest rate on borrowings under these agreements during 2013 and 2012 was 0.89% and 1.49%, respectively. | ||||||||
We have an agreement with a foreign bank that provides immediate U.S Dollar or Euro-denominated borrowings under uncommitted credit lines up to a maximum of $48.0 million or the Euro equivalent. At December 31, 2014 and 2013, there were no outstanding borrowings under this agreement. | ||||||||
One of our foreign subsidiaries has agreements with several foreign banks, which provide immediate borrowings under uncommitted credit lines up to a maximum of 4.5 billion Japanese Yen (approximately $37.3 million at December 31, 2014, based on applicable exchange rates). At December 31, 2014 and 2013 there were outstanding borrowings of $8.3 million and $16.4 million, respectively, under these agreements. The weighted average interest rate on borrowings under these agreements during 2014 and 2013 was 0.50% and 0.52%, respectively (there were no borrowings in 2012). | ||||||||
Certain of our remaining foreign subsidiaries have additional agreements with foreign institutions that provide immediate uncommitted credit lines, on a short term basis, up to an aggregate maximum of approximately $67.8 million, of which $60.0 million supports foreign subsidiaries based in China. We have guaranteed these agreements. At December 31, 2014 and 2013, there were no outstanding borrowings under these agreements. | ||||||||
At December 31, 2014 and 2013, we had the ability and intent to refinance our borrowings under our other existing credit lines with borrowings under the February 2014 Credit Agreement. Therefore, the amounts outstanding under those credit lines, if any, are classified as long-term debt at December 31, 2014 and 2013. At December 31, 2014, we had the ability to borrow $632.8 million under our commercial paper program and the February 2014 Credit Agreement. | ||||||||
Our consolidated joint venture, Jordan Bromine Company Limited (“JBC”), has foreign currency denominated debt, which amounted to $18.8 million and $26.4 million at December 31, 2014 and 2013, respectively, and principally includes (i) foreign plant-related construction borrowings maturing in April 2015 amounting to $2.0 million and $7.9 million at December 31, 2014 and 2013, respectively, which bore interest at rates ranging from 2.09% to 5.5% at December 31, 2014, and (ii) short-term borrowings of $16.8 million and $18.5 million at December 31, 2014 and 2013, respectively, bearing interest at 1.47% as of December 31, 2014. At December 31, 2014, JBC had additional borrowing capacity of approximately $7.6 million. | ||||||||
We believe that as of December 31, 2014, we were, and currently are, in compliance with all of our debt covenants. |
Other_Noncurrent_Liabilities
Other Noncurrent Liabilities | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Disclosure Other Noncurrent Liabilities [Abstract] | ||||||||
Other Noncurrent Liabilities | Other Noncurrent Liabilities: | |||||||
Other noncurrent liabilities consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Liabilities related to uncertain tax positions(a) | $ | 25,340 | $ | 29,834 | ||||
Executive deferred compensation plan obligation | 22,168 | 23,030 | ||||||
Deferred revenue—long-term | 2,010 | 2,444 | ||||||
Environmental liabilities(b) | 4,841 | 9,213 | ||||||
Asset retirement obligations(b) | 15,085 | 16,930 | ||||||
Other | 18,261 | 29,159 | ||||||
Total | $ | 87,705 | $ | 110,610 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 16, “Commitments and Contingencies.” |
Stockbased_Compensation_Expens
Stock-based Compensation Expense | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Share-based Compensation [Abstract] | |||||||||||||
Stock-based Compensation Expense | Stock-based Compensation Expense: | ||||||||||||
Incentive Plans | |||||||||||||
We have various share-based compensation plans that authorize the granting of (i) stock options to purchase shares of our common stock, (ii) restricted stock and restricted stock units, (iii) performance unit awards and (iv) stock appreciation rights (“SARs”) to employees and non-employee directors. The plans provide for payment of incentive awards in one or more of the following at our option: cash, shares of our common stock, qualified and non-qualified stock options, SARs, restricted stock awards, restricted stock unit awards and performance unit awards. The share-based awards granted by us generally contain vesting provisions ranging from one to five years, and with respect to stock options granted by us, have a term of not more than ten years from the date of grant. Stock options granted to employees generally vest over three years and have a term of ten years. Restricted stock and restricted stock unit awards vest in periods ranging from one to five years from the date of grant. Performance unit awards are earned at a level ranging from 0% to 200% contingent upon the achievement of specific performance criteria over periods ranging from one to three years. Distribution of earned units, if any, occurs generally 50% upon completion of the applicable measurement period with the remaining 50% distributed one year thereafter. | |||||||||||||
We granted 222,939, 297,924 and 263,200 stock options during 2014, 2013 and 2012, respectively. There were no significant modifications made to any share-based grants during these periods. | |||||||||||||
On April 20, 2010, the maximum number of shares available for issuance to participants under the Albemarle Corporation 2008 Incentive Plan (the “Incentive Plan”) increased by 4,470,000 shares to 7,470,000 shares. With respect to any awards, other than stock options or SARs, the number of shares available for awards under the Incentive Plan were reduced by 1.6 shares for each share covered by such award or to which such award related. Effective May 7, 2013, the Albemarle Corporation 2008 Stock Compensation Plan for Non-Employee Directors and the 1996 Directors’ Deferred Compensation Plan (as amended and restated in 2005) were merged into the Albemarle Corporation 2013 Stock Compensation and Deferral Election Plan for Non-Employee Directors (the “Non-Employee Directors Plan”). Under the Non-Employee Directors Plan, a maximum aggregate number of 500,000 shares of our common stock is authorized for issuance to the Company’s non-employee directors; any shares remaining available for issuance under the prior plans were canceled. The aggregate fair market value of shares that may be issued to a director during any compensation year (as defined in the agreement, generally July 1 to June 30) shall not exceed $150,000. At December 31, 2014, there were 3,032,741 shares available for grant under the Incentive Plan and 473,000 shares available for grant under the Non-Employee Directors Plan. | |||||||||||||
Total stock-based compensation expense associated with our incentive plans for the years ended December 31, 2014, 2013 and 2012 amounted to $14.3 million, $10.2 million and $15.2 million, respectively, and is included in cost of goods sold and selling, general and administrative (“SG&A”) expenses on the consolidated statements of income. Total related recognized tax benefits for the years ended December 31, 2014, 2013 and 2012 amounted to $5.2 million, $3.7 million and $5.6 million, respectively. | |||||||||||||
The following table summarizes information about the Company’s fixed-price stock options as of and for the year ended December 31, 2014: | |||||||||||||
Shares | Weighted-Average Exercise Price | Weighted-Average Remaining Contractual Term (Years) | Aggregate Intrinsic Value | ||||||||||
(in thousands) | |||||||||||||
Outstanding at December 31, 2013 | 1,369,116 | $ | 47.55 | 7 | $ | 22,795 | |||||||
Granted | 222,939 | 63.84 | |||||||||||
Exercised | (77,546 | ) | 34.99 | ||||||||||
Forfeited | (26,133 | ) | 64.93 | ||||||||||
Expired | (4,133 | ) | 62.6 | ||||||||||
Outstanding at December 31, 2014 | 1,484,243 | $ | 50.3 | 6.5 | $ | 17,887 | |||||||
Exercisable at December 31, 2014 | 958,599 | $ | 42.33 | 5.4 | $ | 17,887 | |||||||
The fair value of each option granted during the years ended December 31, 2014, 2013 and 2012 was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions: | |||||||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Dividend yield | 1.71 | % | 1.58 | % | 1.59 | % | |||||||
Volatility | 33.03 | % | 33.55 | % | 34.04 | % | |||||||
Average expected life (years) | 6 | 6 | 6 | ||||||||||
Risk-free interest rate | 2.94 | % | 2.18 | % | 2.05 | % | |||||||
Fair value of options granted | $ | 19.56 | $ | 19.73 | $ | 20 | |||||||
Dividend yield is the average of historical yields and those estimated over the average expected life. The stock volatility is based on historical volatilities of our common stock. The average expected life represents the weighted average period of time that options granted are expected to be outstanding giving consideration to vesting schedules and our historical exercise patterns. The risk-free interest rate is based on the U.S. Treasury strip rate with stripped coupon interest for the period equal to the contractual term of the share option grant in effect at the time of grant. | |||||||||||||
The intrinsic value of options exercised during the years ended December 31, 2014, 2013 and 2012 was $2.4 million, $7.0 million and $37.4 million, respectively. The intrinsic value of a stock option is the amount by which the market value of the underlying stock exceeds the exercise price of the option. | |||||||||||||
Total compensation cost not yet recognized for nonvested stock options outstanding as of December 31, 2014 is approximately $6.8 million and is expected to be recognized over a remaining weighted-average period of 2.4 years. Cash proceeds from stock options exercised and tax benefits related to stock options exercised were $2.7 million and $0.8 million for the year ended December 31, 2014, respectively. The Company issues new shares of common stock upon exercise of stock options and vesting of restricted common stock awards. | |||||||||||||
The following table summarizes activity in performance unit awards as of and for the year ended December 31, 2014: | |||||||||||||
Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
Nonvested, beginning of period | 371,403 | $ | 63.08 | ||||||||||
Granted | 300,644 | 66.83 | |||||||||||
Vested | (116,620 | ) | 58.02 | ||||||||||
Forfeited | (99,409 | ) | 65.97 | ||||||||||
Nonvested, end of period | 456,018 | 66.21 | |||||||||||
The weighted average grant date fair value of performance unit awards granted in 2014, 2013 and 2012 was $20.1 million, $16.9 million and $19.7 million, respectively. Performance units awarded in 2013 include shares with a weighted average grant date fair value of $6.3 million related to awards granted in 2011 that earned at a rate of 200% based upon the achievement of specific performance criteria. Performance units awarded in 2012 include shares with a weighted average grant date fair value of $8.9 million related to awards granted in 2011 and 2010 that earned at a rate of 200% based upon the achievement of specific performance criteria. | |||||||||||||
The weighted average fair value of performance unit awards that vested during 2014, 2013 and 2012 was $7.4 million, $14.5 million and $18.3 million, respectively, based on the closing prices of our common stock on the dates of vesting. Total compensation cost not yet recognized for nonvested performance unit awards outstanding as of December 31, 2014 is approximately $13.4 million, calculated based on current expectation of specific performance criteria, and is expected to be recognized over a remaining weighted-average period of approximately 1.5 years. Each performance unit represents one share of common stock. | |||||||||||||
The following table summarizes activity in non-performance based restricted stock and restricted stock unit awards as of and for the year ended December 31, 2014: | |||||||||||||
Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
Nonvested, beginning of period | 111,195 | $ | 59.32 | ||||||||||
Granted | 44,811 | 60.96 | |||||||||||
Vested | (32,850 | ) | 60.75 | ||||||||||
Forfeited | (17,868 | ) | 48.93 | ||||||||||
Nonvested, end of period | 105,288 | 61.34 | |||||||||||
The weighted average grant date fair value of restricted stock and restricted stock unit awards granted in 2014, 2013 and 2012 was $2.7 million, $3.4 million and $2.9 million, respectively. The weighted average fair value of restricted stock and restricted stock unit awards that vested in 2014, 2013 and 2012 was $2.1 million, $3.2 million and $7.4 million, respectively, based on the closing prices of our common stock on the dates of vesting. Total compensation cost not yet recognized for nonvested, non-performance based restricted stock and restricted stock units as of December 31, 2014 is approximately $3.2 million and is expected to be recognized over a remaining weighted-average period of 2.0 years. The fair value of the non-performance based restricted stock and restricted stock units was estimated on the date of grant adjusted for a dividend factor, if necessary. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies: | |||||||||||||||||||||||
In the ordinary course of business, we have commitments in connection with various activities, the most significant of which are as follows: | ||||||||||||||||||||||||
Environmental | ||||||||||||||||||||||||
We had the following activity in our recorded environmental liabilities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Balance, beginning of year | $ | 16,599 | $ | 20,322 | $ | 12,359 | ||||||||||||||||||
Expenditures | (4,548 | ) | (3,013 | ) | (1,451 | ) | ||||||||||||||||||
Divestitures | (1,954 | ) | — | — | ||||||||||||||||||||
Changes in estimates recorded to earnings and other | 34 | (902 | ) | 227 | ||||||||||||||||||||
Exit of phosphorus flame retardants business | — | — | 8,700 | |||||||||||||||||||||
Foreign currency translation | (896 | ) | 192 | 487 | ||||||||||||||||||||
Balance, end of year | 9,235 | 16,599 | 20,322 | |||||||||||||||||||||
Less amounts reported in Accrued expenses | 4,394 | 7,386 | 3,109 | |||||||||||||||||||||
Amounts reported in Other noncurrent liabilities | $ | 4,841 | $ | 9,213 | $ | 17,213 | ||||||||||||||||||
The amounts recorded represent our future remediation and other anticipated environmental liabilities. These liabilities typically arise during the normal course of our operational and environmental management activities or at the time of acquisition of the site, and are based on internal analysis as well as input from outside consultants. As evaluations proceed at each relevant site, changes in risk assessment practices, remediation techniques and regulatory requirements can occur, therefore such liability estimates may be adjusted accordingly. The timing and duration of remediation activities at these sites will be determined when evaluations are completed. Although it is difficult to quantify the potential financial impact of these remediation liabilities, management estimates (based on the latest available information) that there is a reasonable possibility that future environmental remediation costs associated with our past operations, in excess of amounts already recorded, could be up to approximately $12 million before income taxes. | ||||||||||||||||||||||||
Approximately $5.1 million of our recorded liability is related to the closure and post-closure activities at a former landfill associated with our Bergheim, Germany site, which was recorded at the time of our acquisition of this site in 2001. This closure project has been approved under the authority of the governmental permit for this site and is scheduled for completion in 2017, with post-closure monitoring to occur for 30 years thereafter. The remainder of our recorded liability is associated with sites that are being evaluated under governmental authority but for which final remediation plans have not yet been approved. In connection with the remediation activities at our Bergheim, Germany site as required by the German environmental authorities, we have pledged certain of our land and housing facilities at this site which has an estimated fair value of $5.4 million. | ||||||||||||||||||||||||
During the second quarter of 2012, the Company recorded $8.7 million in estimated site remediation liabilities at our Avonmouth, United Kingdom site as part of the charges associated with our exit of the phosphorus flame retardant business. Included in these estimated charges are anticipated costs of site investigation, remediation and cleanup activities. Remediation activities at this site were substantially completed in 2014. | ||||||||||||||||||||||||
We believe that any sum we may be required to pay in connection with environmental remediation matters in excess of the amounts recorded should occur over a period of time and should not have a material adverse effect upon our results of operations, financial condition or cash flows on a consolidated annual basis although any such sum could have a material adverse impact on our results of operations, financial condition or cash flows in a particular quarterly reporting period. | ||||||||||||||||||||||||
Rental Expense | ||||||||||||||||||||||||
Our rental expenses include a number of operating lease agreements, primarily for office space, transportation equipment and storage facilities. The following schedule details the future non-cancelable minimum lease payments for the next five years and thereafter (in thousands): | ||||||||||||||||||||||||
Minimum Operating Lease Payments | ||||||||||||||||||||||||
2015 | $ | 8,045 | ||||||||||||||||||||||
2016 | $ | 5,674 | ||||||||||||||||||||||
2017 | $ | 4,638 | ||||||||||||||||||||||
2018 | $ | 2,551 | ||||||||||||||||||||||
2019 | $ | 2,029 | ||||||||||||||||||||||
Thereafter | $ | 4,036 | ||||||||||||||||||||||
Rental expense was approximately $31.9 million, $30.7 million, and $33.1 million for 2014, 2013 and 2012, respectively. Rental expense related to discontinued operations was approximately $1.3 million, $1.6 million and $1.4 million for 2014, 2013 and 2012, respectively. Rental expense is shown net of rental income which was minimal during 2014, 2013 and 2012. | ||||||||||||||||||||||||
Litigation | ||||||||||||||||||||||||
On July 3, 2006, we received a Notice of Violation (the “2006 NOV”) from the U.S. Environmental Protection Agency Region 4 (“EPA”) regarding the implementation of the Pharmaceutical Maximum Achievable Control Technology standards at our former plant in Orangeburg, South Carolina. The alleged violations involved (i) the applicability of the specific regulations to certain intermediates manufactured at the plant, (ii) failure to comply with certain reporting requirements, (iii) improper evaluation and testing to properly implement the regulations and (iv) the sufficiency of the leak detection and repair program at the plant. In the second quarter of 2011, the Company was served with a complaint by the EPA in the U.S. District Court for the District of South Carolina, based on the alleged violations set out in the 2006 NOV seeking civil penalties and injunctive relief. The complaint was subsequently amended to add the State of South Carolina as a plaintiff. On June 11, 2014, we entered into a consent decree with the EPA and the South Carolina Department of Health and Environmental Control (“DHEC”) to settle this matter. Pursuant to the consent decree, in 2014 we paid a civil penalty to the EPA in the amount of approximately $332,000. A civil penalty of approximately $112,000 was waived pursuant to the consent decree and we will not be required to pay this amount to the DHEC. | ||||||||||||||||||||||||
In addition, we are involved from time to time in legal proceedings of types regarded as common in our business, including administrative or judicial proceedings seeking remediation under environmental laws, such as the federal Comprehensive Environmental Response, Compensation and Liability Act, commonly known as CERCLA or Superfund, products liability, breach of contract liability and premises liability litigation. Where appropriate, we may establish financial reserves for such proceedings. We also maintain insurance to mitigate certain of such risks. Costs for legal services are generally expensed as incurred. | ||||||||||||||||||||||||
Also see Note 23, “Acquisitions” for a discussion about litigation matters in connection with the Acquisition of Rockwood. | ||||||||||||||||||||||||
Other | ||||||||||||||||||||||||
The Company has standby letters of credit and guarantees with various financial institutions. The following table summarizes our letters of credit and guarantee agreements (in thousands): | ||||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | |||||||||||||||||||
Letters of credit and other guarantees | $ | 17,774 | $ | 3,528 | $ | 4,011 | $ | 1,187 | $ | 14 | $ | 3,629 | ||||||||||||
The outstanding letters of credit are primarily related to insurance claim payment guarantees with expiration dates ranging from 2015 to 2022. The majority of the Company’s other guarantees have terms of one year and mainly consist of performance and environmental guarantees, as well as guarantees to customs and port authorities. The guarantees arose during the ordinary course of business. | ||||||||||||||||||||||||
We do not have recorded reserves for the letters of credit and guarantees as of December 31, 2014. We are unable to estimate the maximum amount of the potential future liability under guarantees and letters of credit. However, we accrue for any potential loss for which we believe a future payment is probable and a range of loss can be reasonably estimated. We believe our liability under such obligations is immaterial. | ||||||||||||||||||||||||
Our estimated asset retirement obligations associated with certain property and equipment were $15.1 million and $16.9 million at December 31, 2014 and 2013, respectively. We have not recognized conditional asset retirement obligations for which a fair value cannot be reasonably estimated in our consolidated financial statements. It is the opinion of our management that the possibility is remote that such conditional asset retirement obligations, when estimable, will have a material adverse impact on our consolidated financial statements based on current costs. | ||||||||||||||||||||||||
We currently, and are from time to time, subject to transactional audits in various taxing jurisdictions and to customs audits globally. We do not expect the financial impact of any of these audits to have a material adverse effect on the Company’s results of operations, financial condition or cash flows. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||
Accumulated Other Comprehensive (Loss) Income | Accumulated Other Comprehensive (Loss) Income: | |||||||||||||||||||||||
The components and activity in Accumulated other comprehensive (loss) income consisted of the following during the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||||||||||||||
Foreign Currency Translation(a) | Pension and Post-Retirement Benefits(b) | Net Investment Hedge(c) | Interest Rate Swap(d) | Other | Total | |||||||||||||||||||
Balance at December 31, 2011 | $ | 56,245 | $ | 5,060 | $ | — | $ | — | $ | (976 | ) | $ | 60,329 | |||||||||||
Current period change | 26,846 | (6,533 | ) | — | — | 212 | 20,525 | |||||||||||||||||
Tax benefit (expense) | 2,026 | 2,462 | — | — | (78 | ) | 4,410 | |||||||||||||||||
Balance at December 31, 2012 | 85,117 | 989 | — | — | (842 | ) | 85,264 | |||||||||||||||||
Current period change | 29,539 | (781 | ) | — | — | 214 | 28,972 | |||||||||||||||||
Tax benefit (expense) | 1,809 | 279 | — | — | (79 | ) | 2,009 | |||||||||||||||||
Balance at December 31, 2013 | 116,465 | 487 | — | — | (707 | ) | 116,245 | |||||||||||||||||
Current period change | (163,456 | ) | (772 | ) | 17,971 | (33,091 | ) | 217 | (179,131 | ) | ||||||||||||||
Tax benefit (expense) | (5,273 | ) | 285 | (6,587 | ) | 12,129 | (81 | ) | 473 | |||||||||||||||
Balance at December 31, 2014 | $ | (52,264 | ) | $ | — | $ | 11,384 | $ | (20,962 | ) | $ | (571 | ) | $ | (62,413 | ) | ||||||||
(a) | Current period change for the year ended December 31, 2012 includes $12.3 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.” Current period change for the year ended December 31, 2014 includes $17.8 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.” | |||||||||||||||||||||||
(b) | Current period change for the year ended December 31, 2012 includes $6.5 million related to a supplemental executive retirement plan settlement in connection with the retirement of our former CEO and executive chairman, and ($4.5) million related to various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. | |||||||||||||||||||||||
(c) | Current period change for the year ended December 31, 2014 includes $12.8 million related to the revaluation of our euro-denominated senior notes and a $5.2 million gain on the settlement of related foreign currency forward contracts, both of which were designated as a hedge of our net investment in foreign operations. See Note 13, “Long-Term Debt” for additional information about these transactions. | |||||||||||||||||||||||
(d) | Current period change for the year ended December 31, 2014 includes a realized loss of ($33.4) million on the settlement of our forward starting interest rate swap which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 13, “Long-Term Debt” for additional information about this interest rate swap. | |||||||||||||||||||||||
In accordance with accounting guidance issued by the FASB in February 2013 which became effective for us in the first quarter of 2013 on a prospective basis, below is information about amounts reclassified from accumulated other comprehensive (loss) income, net of deferred income taxes, for the years ended December 31, 2014 and 2013 (in thousands): | ||||||||||||||||||||||||
Foreign Currency Translation(a) | Pension and Post-Retirement Benefits(b) | Net Investment Hedge | Interest Rate Swap(c) | Other | Total | |||||||||||||||||||
Accumulated other comprehensive income (loss) - balance at December 31, 2012 | $ | 85,117 | $ | 989 | $ | — | $ | — | $ | (842 | ) | $ | 85,264 | |||||||||||
Other comprehensive income (loss) before reclassifications | 31,704 | — | — | — | (2 | ) | 31,702 | |||||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (502 | ) | — | — | 137 | (365 | ) | ||||||||||||||||
Other comprehensive income (loss), net of tax | 31,704 | (502 | ) | — | — | 135 | 31,337 | |||||||||||||||||
Other comprehensive income attributable to noncontrolling interests | (356 | ) | — | — | — | — | (356 | ) | ||||||||||||||||
Accumulated other comprehensive income (loss) - balance at December 31, 2013 | $ | 116,465 | $ | 487 | $ | — | $ | — | $ | (707 | ) | $ | 116,245 | |||||||||||
Other comprehensive (loss) income before reclassifications | (151,059 | ) | — | 11,384 | (21,174 | ) | — | (160,849 | ) | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | (17,750 | ) | (487 | ) | — | 212 | 136 | (17,889 | ) | |||||||||||||||
Other comprehensive (loss) income, net of tax | (168,809 | ) | (487 | ) | 11,384 | (20,962 | ) | 136 | (178,738 | ) | ||||||||||||||
Other comprehensive loss attributable to noncontrolling interests | 80 | — | — | — | — | 80 | ||||||||||||||||||
Accumulated other comprehensive (loss) income - balance at December 31, 2014 | $ | (52,264 | ) | $ | — | $ | 11,384 | $ | (20,962 | ) | $ | (571 | ) | $ | (62,413 | ) | ||||||||
(a) | Amounts reclassified from accumulated other comprehensive income (loss) for the year ended December 31, 2014 are included in (Loss) income from discontinued operations (net of tax) and resulted from the release of cumulative foreign currency translation adjustments into earnings upon the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.” | |||||||||||||||||||||||
(b) | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income consists of amortization of prior service benefit, which is a component of pension and postretirement benefits cost (credit). See Note 18, “Pension Plans and Other Postretirement Benefits.” | |||||||||||||||||||||||
(c) | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income is included in interest expense. See Note 13, “Long-Term Debt.” |
Pension_Plans_and_Other_Postre
Pension Plans and Other Postretirement Benefits | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||||||||||||
Pension Plans and Other Postretirement Benefits | Pension Plans and Other Postretirement Benefits: | |||||||||||||||||||||||
We have certain noncontributory defined benefit pension plans covering certain U.S., German and Japanese employees. We also have a contributory defined benefit plan covering certain Belgian employees. The benefits for these plans are based primarily on compensation and/or years of service. The funding policy for each plan complies with the requirements of relevant governmental laws and regulations. The pension information for all periods presented includes amounts related to salaried and hourly plans. | ||||||||||||||||||||||||
Our U.S. defined benefit plan for non-represented employees was closed to new participants effective March 31, 2004. On October 1, 2012, our Board of Directors approved certain plan amendments, such that effective December 31, 2014, no additional benefits shall accrue under this plan and participants’ accrued benefits shall be frozen as of that date. In addition, for participants who retire on or after December 31, 2012 and before December 31, 2013, final average earnings shall be determined as of December 31, 2012. For participants who retire on or after December 31, 2013 and before December 31, 2014, final average earnings shall be determined as of December 31, 2013. And for participants who retire on or after December 31, 2014, final average earnings shall be determined as of December 31, 2014. In addition to freezing the accrued benefits as of December 31, 2014, our Board of Directors also authorized application of a higher benefit formula for calculating accrued benefits in 2013 and 2014 only, as well as including an offset factor that would be applied to accrued benefits earned in 2013 and 2014. In connection with the plan amendments approved on October 1, 2012, we recorded a net curtailment gain of $4.5 million, which is included in Restructuring and other charges, net, on our consolidated statements of income for the year ended December 31, 2012. | ||||||||||||||||||||||||
On March 31, 2004, a new defined contribution pension plan benefit was adopted under the qualified defined contribution plan for U.S. non-represented employees hired after March 31, 2004. On October 1, 2012 our Board of Directors approved certain plan amendments, such that effective January 1, 2013, the defined contribution pension plan benefit is expanded to include non-represented employees hired prior to March 31, 2004, and revised the contribution for all participants to be based on 5% of eligible employee compensation. Furthermore, our Board of Directors approved a one-time contribution to be made in December 2012 for active participants still in the U.S. defined benefit plan; the one-time contribution, in the amount of $10.1 million, was made into the defined contribution pension plan and into the EDCP for the amount of the one-time contribution that exceeded U.S. Internal Revenue Service (“IRS”) limits. The employer portion of contributions to our U.S. defined contribution pension plan amounted to $8.4 million, $8.8 million, and $14.8 million (including the one-time contribution made in the fourth quarter of 2012) in 2014, 2013 and 2012, respectively. | ||||||||||||||||||||||||
Pension coverage for the employees of our other foreign subsidiaries is provided through separate plans. The plans are funded in conformity with the funding requirements of applicable governmental regulations. The pension cost, actuarial present value of benefit obligations and plan assets for all plans are combined in the other pension disclosure information presented. | ||||||||||||||||||||||||
The following provides a reconciliation of benefit obligations, plan assets and funded status of the plans, as well as a summary of significant assumptions for our pension benefit plans (in thousands): | ||||||||||||||||||||||||
Year Ended December 31, 2014 | Year Ended December 31, 2013 | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 678,582 | $ | 629,337 | $ | 762,395 | $ | 714,158 | ||||||||||||||||
Service cost | 8,775 | 7,029 | 13,962 | 12,177 | ||||||||||||||||||||
Interest cost | 32,062 | 30,491 | 29,883 | 28,406 | ||||||||||||||||||||
Actuarial loss (gain) | 141,228 | 130,887 | (88,392 | ) | (85,774 | ) | ||||||||||||||||||
Benefits paid | (41,779 | ) | (37,866 | ) | (41,132 | ) | (39,630 | ) | ||||||||||||||||
Divestitures(a) | (30,226 | ) | (30,226 | ) | — | — | ||||||||||||||||||
Employee contributions | 283 | — | 320 | — | ||||||||||||||||||||
Foreign exchange (gain) loss | (6,161 | ) | — | 1,546 | — | |||||||||||||||||||
Benefit obligation at December 31 | $ | 782,764 | $ | 729,652 | $ | 678,582 | $ | 629,337 | ||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 616,545 | $ | 605,604 | $ | 563,303 | $ | 554,179 | ||||||||||||||||
Actual return on plan assets | 54,195 | 53,696 | 83,853 | 83,499 | ||||||||||||||||||||
Employer contributions | 9,982 | 7,042 | 9,790 | 7,556 | ||||||||||||||||||||
Benefits paid | (41,779 | ) | (37,866 | ) | (41,132 | ) | (39,630 | ) | ||||||||||||||||
Divestitures(a) | (30,226 | ) | (30,226 | ) | — | — | ||||||||||||||||||
Employee contributions | 283 | — | 320 | — | ||||||||||||||||||||
Foreign exchange (loss) gain | (1,306 | ) | — | 411 | — | |||||||||||||||||||
Fair value of plan assets at December 31 | $ | 607,694 | $ | 598,250 | $ | 616,545 | $ | 605,604 | ||||||||||||||||
Funded status at December 31 | $ | (175,070 | ) | $ | (131,402 | ) | $ | (62,037 | ) | $ | (23,733 | ) | ||||||||||||
(a) | Reduction in benefit obligations and plan assets is in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||
Amounts recognized in consolidated balance sheets: | ||||||||||||||||||||||||
Current liabilities (accrued expenses) | $ | (4,535 | ) | $ | (3,219 | ) | $ | (4,390 | ) | $ | (2,856 | ) | ||||||||||||
Noncurrent liabilities (pension benefits) | (170,534 | ) | (128,183 | ) | (57,647 | ) | (20,877 | ) | ||||||||||||||||
Net pension liability | $ | (175,069 | ) | $ | (131,402 | ) | $ | (62,037 | ) | $ | (23,733 | ) | ||||||||||||
Amounts recognized in accumulated other comprehensive (loss) income: | ||||||||||||||||||||||||
Prior service benefit | $ | (607 | ) | $ | (286 | ) | $ | 70 | $ | 441 | ||||||||||||||
Net amount recognized | $ | (607 | ) | $ | (286 | ) | $ | 70 | $ | 441 | ||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 4.03 | % | 4.19 | % | 5 | % | 5.14 | % | ||||||||||||||||
Rate of compensation increase | 3.4 | % | — | % | 2.78 | % | 3.5 | % | ||||||||||||||||
The accumulated benefit obligation for all defined benefit pension plans was $776.6 million and $669.1 million at December 31, 2014 and 2013, respectively. | ||||||||||||||||||||||||
Postretirement medical benefits and life insurance is provided for certain groups of U.S. retired employees. Medical and life insurance benefit costs have been funded principally on a pay-as-you-go basis. Although the availability of medical coverage after retirement varies for different groups of employees, the majority of employees who retire before becoming eligible for Medicare can continue group coverage by paying a portion of the cost of a monthly premium designed to cover the claims incurred by retired employees subject to a cap on payments allowed. The availability of group coverage for Medicare-eligible retirees also varies by employee group with coverage designed either to supplement or coordinate with Medicare. Retirees generally pay a portion of the cost of the coverage. Plan assets for retiree life insurance are held under an insurance contract and are reserved for retiree life insurance benefits. In 2005, the postretirement medical benefit available to U.S. employees was changed to provide that employees who are under age 50 as of December 31, 2005 would no longer be eligible for a company-paid retiree medical premium subsidy. Employees who are of age 50 and above as of December 31, 2005 and who retire after January 1, 2006 will have their retiree medical premium subsidy capped. Effective January 1, 2008, our medical insurance for certain groups of U.S. retired employees is now insured through a medical carrier. | ||||||||||||||||||||||||
The following provides a reconciliation of benefit obligations, plan assets and funded status of the plans, as well as a summary of significant assumptions for our postretirement benefit plans (in thousands): | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | |||||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 62,832 | $ | 70,787 | ||||||||||||||||||||
Service cost | 216 | 309 | ||||||||||||||||||||||
Interest cost | 3,040 | 2,764 | ||||||||||||||||||||||
Actuarial loss (gain) | 3,741 | (6,165 | ) | |||||||||||||||||||||
Benefits paid | (5,329 | ) | (4,863 | ) | ||||||||||||||||||||
Benefit obligation at December 31 | $ | 64,500 | $ | 62,832 | ||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 5,620 | $ | 6,611 | ||||||||||||||||||||
Actual return on plan assets | 214 | 368 | ||||||||||||||||||||||
Employer contributions | 3,934 | 3,504 | ||||||||||||||||||||||
Benefits paid | (5,329 | ) | (4,863 | ) | ||||||||||||||||||||
Fair value of plan assets at December 31 | $ | 4,439 | $ | 5,620 | ||||||||||||||||||||
Funded status at December 31 | $ | (60,061 | ) | $ | (57,212 | ) | ||||||||||||||||||
December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | |||||||||||||||||||||||
Amounts recognized in consolidated balance sheets: | ||||||||||||||||||||||||
Current liabilities (accrued expenses) | $ | (3,637 | ) | $ | (3,309 | ) | ||||||||||||||||||
Noncurrent liabilities (postretirement benefits) | (56,424 | ) | (53,903 | ) | ||||||||||||||||||||
Net postretirement liability | $ | (60,061 | ) | $ | (57,212 | ) | ||||||||||||||||||
Amounts recognized in accumulated other comprehensive (loss) income: | ||||||||||||||||||||||||
Prior service benefit | $ | 334 | $ | 429 | ||||||||||||||||||||
Net amount recognized | $ | 334 | $ | 429 | ||||||||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 4.15 | % | 5.03 | % | ||||||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | ||||||||||||||||||||
The components of pension benefits cost (credit) are as follows (in thousands): | ||||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | ||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||
Service cost | $ | 8,775 | $ | 7,029 | $ | 13,962 | $ | 12,177 | $ | 12,741 | $ | 11,274 | ||||||||||||
Interest cost | 32,062 | 30,491 | 29,883 | 28,406 | 31,636 | 29,843 | ||||||||||||||||||
Expected return on assets | (40,141 | ) | (39,714 | ) | (39,392 | ) | (38,975 | ) | (44,752 | ) | (44,342 | ) | ||||||||||||
Actuarial loss (gain)(a) | 126,975 | 116,705 | (132,916 | ) | (130,297 | ) | 72,550 | 65,603 | ||||||||||||||||
Amortization of prior service benefit | (677 | ) | (727 | ) | (689 | ) | (741 | ) | (757 | ) | (812 | ) | ||||||||||||
Total net pension benefits cost (credit) | $ | 126,994 | $ | 113,784 | $ | (129,152 | ) | $ | (129,430 | ) | $ | 71,418 | $ | 61,566 | ||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 5 | % | 5.14 | % | 4.04 | % | 4.1 | % | 5.04 | % | 5.07 | % | ||||||||||||
Expected return on plan assets | 6.86 | % | 6.91 | % | 7.2 | % | 7.25 | % | 8.19 | % | 8.25 | % | ||||||||||||
Rate of compensation increase | 2.78 | % | 3.5 | % | 3.37 | % | 3.5 | % | 3.96 | % | 4.11 | % | ||||||||||||
(a) | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $5.8 million (recorded in the second quarter of 2012) for pension plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. | |||||||||||||||||||||||
The estimated amounts to be amortized from accumulated other comprehensive loss into net periodic pension costs during 2015 are as follows (in thousands): | ||||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||||
Amortization of prior service benefit | $ | 126 | $ | 75 | ||||||||||||||||||||
The components of postretirement benefits cost (credit) are as follows (in thousands): | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | Total Other Postretirement Benefits | ||||||||||||||||||||||
Service cost | $ | 216 | $ | 309 | $ | 274 | ||||||||||||||||||
Interest cost | 3,040 | 2,764 | 3,172 | |||||||||||||||||||||
Expected return on assets | (342 | ) | (413 | ) | (488 | ) | ||||||||||||||||||
Actuarial loss (gain)(a) | 3,868 | (6,120 | ) | 3,161 | ||||||||||||||||||||
Amortization of prior service benefit | (95 | ) | (95 | ) | (95 | ) | ||||||||||||||||||
Total net postretirement benefits cost (credit) | $ | 6,687 | $ | (3,555 | ) | $ | 6,024 | |||||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 5.03 | % | 4 | % | 5.1 | % | ||||||||||||||||||
Expected return on plan assets | 7 | % | 7 | % | 7 | % | ||||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | 4 | % | ||||||||||||||||||
(a) | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $4.4 million (recorded in the second quarter of 2012) for postretirement plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. | |||||||||||||||||||||||
The estimated amounts to be amortized from accumulated other comprehensive loss into net periodic postretirement costs during 2015 are as follows (in thousands): | ||||||||||||||||||||||||
Total Other Postretirement Benefits | ||||||||||||||||||||||||
Amortization of prior service benefit | $ | (95 | ) | |||||||||||||||||||||
In estimating the expected return on plan assets, consideration is given to past performance and future performance expectations for the types of investments held by the plan, as well as the expected long-term allocations of plan assets to these investments. For the years 2014 and 2013, the weighted-average expected rate of return on domestic pension plan assets was 6.91% and 7.25%, respectively. The weighted-average expected rate of return on our domestic pension plan assets is 6.89% effective January 1, 2015. The weighted-average expected rate of return on plan assets for our OPEB plans was 7.00% during 2014 and 2013. There has been no change to the assumed rate of return on OPEB plan assets effective January 1, 2015. The weighted-average expected rate of return on pension plan assets for foreign plans was 4.00% during 2014 and 2013. | ||||||||||||||||||||||||
In projecting the rate of compensation increase, we consider past experience in light of movements in inflation rates. At December 31, 2014, the assumed weighted-average rate of compensation increase changed to 3.40% from 2.78% for the pension plans. The assumed weighted-average rate of compensation increase was 3.50% for the OPEB plans at December 31, 2014 and 2013. | ||||||||||||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The inputs used to measure fair value are classified into the following hierarchy: | ||||||||||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities | |||||||||||||||||||||||
Level 2 | Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability | |||||||||||||||||||||||
Level 3 | Unobservable inputs for the asset or liability | |||||||||||||||||||||||
We endeavor to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Transfers between levels of the fair value hierarchy are deemed to have occurred on the date of the event or change in circumstance that caused the transfer. There were no transfers between Levels 1 and 2 during the year ended December 31, 2014. Investments for which market quotations are readily available are valued at the closing price on the last business day of the year. Listed securities for which no sale was reported on such date are valued at the mean between the last reported bid and asked price. Securities traded in the over-the-counter market are valued at the closing price on the last business day of the year or at bid price. The net asset value of shares or units is based on the quoted market value of the underlying assets. The market value of corporate bonds is based on institutional trading lots and is most often reflective of bid price. Government securities are valued at the mean between bid and ask prices. Holdings in private equity securities are typically valued using the net asset valuations provided by the underlying private investment companies. | ||||||||||||||||||||||||
The following table sets forth the assets of our pension and postretirement plans that were accounted for at fair value on a recurring basis as of December 31, 2014 (in thousands): | ||||||||||||||||||||||||
31-Dec-14 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||||||||||
Pension Assets: | ||||||||||||||||||||||||
Domestic Equity(a) | $ | 169,581 | $ | 169,581 | $ | — | $ | — | ||||||||||||||||
International Equity(b) | 85,007 | 85,007 | — | — | ||||||||||||||||||||
Fixed Income(c) | 268,911 | 255,828 | 13,083 | — | ||||||||||||||||||||
Absolute Return(d) | 80,740 | — | — | 80,740 | ||||||||||||||||||||
Cash | 3,455 | 3,455 | — | — | ||||||||||||||||||||
Total Pension Assets | $ | 607,694 | $ | 513,871 | $ | 13,083 | $ | 80,740 | ||||||||||||||||
Postretirement Assets: | ||||||||||||||||||||||||
Fixed Income(c) | $ | 4,439 | $ | — | $ | 4,439 | $ | — | ||||||||||||||||
(a) | Consists primarily of U.S. stock funds that track or are actively managed and measured against the S&P 500 index. | |||||||||||||||||||||||
(b) | Consists primarily of international equity funds which invest in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | |||||||||||||||||||||||
(c) | Consists primarily of debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | |||||||||||||||||||||||
(d) | Consists primarily of funds with holdings in private investment companies. See additional information about the Absolute Return investments below. | |||||||||||||||||||||||
The table below sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2014 (in thousands): | ||||||||||||||||||||||||
Absolute Return: | Year Ended December 31, 2014 | |||||||||||||||||||||||
Beginning Balance | $ | 123,599 | ||||||||||||||||||||||
Total losses relating to assets sold during the period(a) | (10,112 | ) | ||||||||||||||||||||||
Total unrealized gains relating to assets still held at the reporting date(a) | 13,144 | |||||||||||||||||||||||
Purchases | 50,506 | |||||||||||||||||||||||
Sales | (96,397 | ) | ||||||||||||||||||||||
Ending Balance | $ | 80,740 | ||||||||||||||||||||||
(a) | These (losses) gains are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. | |||||||||||||||||||||||
The following table sets forth the assets of our pension and postretirement plans that were accounted for at fair value on a recurring basis as of December 31, 2013 (in thousands): | ||||||||||||||||||||||||
31-Dec-13 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||||||||||
Pension Assets: | ||||||||||||||||||||||||
Domestic Equity(a) | $ | 167,627 | $ | 167,627 | $ | — | $ | — | ||||||||||||||||
International Equity(b) | 70,609 | 70,609 | — | — | ||||||||||||||||||||
Fixed Income(c) | 248,095 | 237,151 | 10,944 | — | ||||||||||||||||||||
Absolute Return(d) | 125,137 | 1,538 | — | 123,599 | ||||||||||||||||||||
Cash | 5,077 | 5,077 | — | — | ||||||||||||||||||||
Total Pension Assets | $ | 616,545 | $ | 482,002 | $ | 10,944 | $ | 123,599 | ||||||||||||||||
Postretirement Assets: | ||||||||||||||||||||||||
Fixed Income(c) | $ | 5,620 | $ | — | $ | 5,620 | $ | — | ||||||||||||||||
(a) | Consists primarily of U.S. stock funds that track or are actively managed and measured against the S&P 500 index. | |||||||||||||||||||||||
(b) | Consists primarily of an international equity fund which invests in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | |||||||||||||||||||||||
(c) | Consists primarily of mutual funds that hold debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | |||||||||||||||||||||||
(d) | Consists primarily of funds with holdings in private investment companies. See additional information about the Absolute Return investments below. | |||||||||||||||||||||||
The table below sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2013 (in thousands): | ||||||||||||||||||||||||
Absolute Return: | Year Ended December 31, 2013 | |||||||||||||||||||||||
Beginning Balance | $ | 70,829 | ||||||||||||||||||||||
Total gains relating to assets sold during the period(a) | 994 | |||||||||||||||||||||||
Total unrealized losses relating to assets still held at the reporting date(a) | (4,511 | ) | ||||||||||||||||||||||
Purchases | 76,643 | |||||||||||||||||||||||
Sales | (20,356 | ) | ||||||||||||||||||||||
Ending Balance | $ | 123,599 | ||||||||||||||||||||||
(a) | These gains (losses) are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. | |||||||||||||||||||||||
The investment objective of the U.S. pension plan assets is preservation of capital while achieving solid returns. Assets should participate in rising markets, with defensive action in declining markets expected to an even greater degree. Target asset allocations include 65% in return enhancement exposure and the remaining 35% in risk management exposure. Depending on market conditions, the broad asset class targets may range up or down by approximately 10%. These asset classes include but are not limited to hedge fund of funds, bonds and other fixed income vehicles, high yield fixed income securities, equities and distressed debt. At December 31, 2014 and 2013, equity securities held by our pension and OPEB plans did not include direct ownership of Albemarle common stock. | ||||||||||||||||||||||||
Our Absolute Return investments consist primarily of our investments in hedge fund of funds. These are holdings in private investment companies with fair values that are based on significant unobservable inputs including assumptions where there is little, if any, market activity for the investment. Investment managers or fund managers associated with these investments provide valuations of the investments on a monthly basis utilizing the net asset valuation approach for determining fair values. These valuations are reviewed by the Company for reasonableness based on applicable sector, benchmark and company performance to validate the appropriateness of the net asset values as a fair value measurement. Where available, audited financial statements are obtained and reviewed for the investments as support for the manager’s investment valuation. In general, the investment objective of these funds is high risk-adjusted returns with an emphasis on preservation of capital. The investment strategies of each of the funds vary; however, the objective of our Absolute Return investments is complementary to the overall investment objective of our U.S. pension plan assets. | ||||||||||||||||||||||||
We made contributions to our defined benefit pension and OPEB plans of $13.9 million, $13.3 million and $21.6 million during the years ended December 31, 2014, 2013 and 2012, respectively. Included in contributions for the year ended December 31, 2012 is a contribution of $14.1 million to our supplemental executive retirement plan (“SERP”) in connection with the retirement of our former CEO and executive chairman. We expect contributions to our domestic nonqualified and foreign qualified and nonqualified pension plans to approximate $5 million in 2015. Also, we expect to pay approximately $4 million in premiums to our U.S. postretirement benefit plan in 2015. However, we may choose to make additional voluntary pension contributions in excess of these amounts. | ||||||||||||||||||||||||
The current forecast of benefit payments, which reflect expected future service, amounts to (in millions): | ||||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Postretirement Benefits | ||||||||||||||||||||||
2015 | $ | 41.6 | $ | 40.1 | $ | 5 | ||||||||||||||||||
2016 | $ | 40.6 | $ | 39.1 | $ | 4.9 | ||||||||||||||||||
2017 | $ | 42.5 | $ | 40.1 | $ | 4.6 | ||||||||||||||||||
2018 | $ | 45.2 | $ | 43.8 | $ | 4.4 | ||||||||||||||||||
2019 | $ | 43.4 | $ | 41.9 | $ | 4.2 | ||||||||||||||||||
2020-2024 | $ | 230.8 | $ | 216.7 | $ | 19.1 | ||||||||||||||||||
We have a SERP, which provides unfunded supplemental retirement benefits to certain management or highly compensated employees. The SERP provides for incremental pension benefits to offset the limitations imposed on qualified plan benefits by federal income tax regulations. Costs (credits) relating to our SERP were $7.3 million, $(1.5) million and $10.3 million for the years ended December 31, 2014, 2013 and 2012, respectively. The projected benefit obligation for the SERP recognized in the consolidated balance sheets at December 31, 2014 and 2013 was $26.4 million and $21.8 million, respectively. The benefit expenses and obligations of this SERP are included in the tables above. Benefits of $3.2 million are expected to be paid to SERP retirees in 2015. On October 1, 2012, our Board of Directors approved amendments to the SERP, such that effective December 31, 2014, no additional benefits shall accrue under this plan and participants’ accrued benefits shall be frozen as of that date to reflect the same changes as were made under the U.S. qualified defined benefit plan. For participants who retire on or after December 31, 2012, and before December 31, 2013, final average earnings shall be determined as of December 31, 2012. For participants who retire on or after December 31, 2013 and before December 31, 2014, final average earnings shall be determined as of December 31, 2013. And for participants who retire on or after December 31, 2014, final average earnings shall be determined as of December 31, 2014. In addition to freezing the accrued benefits as of December 31, 2014, our Board of Directors also authorized the application in 2013 and 2014 of the higher benefit formula approved for the U.S. qualified defined benefit plan and an offset factor that will be applied to accrued benefits earned in 2013 and 2014. | ||||||||||||||||||||||||
At December 31, 2014, the assumed rate of increase in the pre-65 and post-65 per capita cost of covered health care benefits for U.S. retirees was zero as the employer-paid premium caps (pre-65 and post-65) were met starting January 1, 2013. | ||||||||||||||||||||||||
Employee Savings Plans | ||||||||||||||||||||||||
Certain of our employees participate in our defined contribution 401(k) employee savings plan, which is generally available to all U.S. full-time salaried and non-union hourly employees and to employees who are covered by a collective bargaining agreement that provides for such participation. This U.S. defined contribution plan is funded with contributions made by the participants and us. Our contributions to the 401(k) plan amounted to $10.0 million, $10.6 million and $9.5 million in 2014, 2013 and 2012, respectively. We amended our 401(k) plan in 2004 to allow pension contributions to be made by us to participants hired or rehired on or after April 1, 2004 as these participants are not eligible to participate in the Company’s defined benefit pension plan. | ||||||||||||||||||||||||
In 2006, we formalized a new plan in the Netherlands similar to a collective defined contribution plan. The collective defined contribution plan is supported by annuity contracts through an insurance company. The insurance company unconditionally undertakes the legal obligation to provide specific benefits to specific individuals in return for a fixed amount of premiums. Our obligation under this plan is limited to a variable calculated employer match for each participant plus an additional fixed amount of contributions to assist in covering estimated cost of living and salary increases (indexing) and administrative costs for the overall plan. We paid approximately $10.1 million, $10.3 million and $9.5 million in 2014, 2013 and 2012, respectively, in annual premiums and related costs pertaining to this plan. | ||||||||||||||||||||||||
Other Postemployment Benefits | ||||||||||||||||||||||||
Certain postemployment benefits to former or inactive employees who are not retirees are funded on a pay-as-you-go basis. These benefits include salary continuance, severance and disability health care and life insurance, which are accounted for in accordance with authoritative guidance. The accrued postemployment benefit liability was $0.8 million at December 31, 2014 and $0.8 million at December 31, 2013. |
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Income Taxes | Income Taxes: | |||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments, and current and deferred income tax expense (benefit) are composed of the following (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments: | ||||||||||||
Domestic | $ | 45,689 | $ | 351,731 | $ | 311,195 | ||||||
Foreign | 167,490 | 186,711 | 57,017 | |||||||||
Total | $ | 213,179 | $ | 538,442 | $ | 368,212 | ||||||
Current income tax expense: | ||||||||||||
Federal | $ | 36,708 | $ | 53,953 | $ | 67,022 | ||||||
State | 3,209 | 2,195 | 6,107 | |||||||||
Foreign | 25,700 | 18,414 | 19,672 | |||||||||
Total | $ | 65,617 | $ | 74,562 | $ | 92,801 | ||||||
Deferred income tax expense (benefit): | ||||||||||||
Federal | $ | (32,890 | ) | $ | 69,817 | $ | 928 | |||||
State | (1,139 | ) | 2,416 | 648 | ||||||||
Foreign | (13,104 | ) | (12,350 | ) | (13,944 | ) | ||||||
Total | $ | (47,133 | ) | $ | 59,883 | $ | (12,368 | ) | ||||
Total income tax expense | $ | 18,484 | $ | 134,445 | $ | 80,433 | ||||||
The reconciliation of the U.S. federal statutory rate to the effective income tax rate is as follows: | ||||||||||||
% of Income Before Income Taxes | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal statutory rate | 35 | % | 35 | % | 35 | % | ||||||
State taxes, net of federal tax benefit | 0.2 | 0.7 | 1.4 | |||||||||
Change in valuation allowance(a) | 1 | (2.2 | ) | 3.4 | ||||||||
Impact of foreign earnings, net(b) | (23.6 | ) | (10.3 | ) | (6.3 | ) | ||||||
Depletion | (2.4 | ) | (0.9 | ) | (1.3 | ) | ||||||
Revaluation of unrecognized tax benefits/reserve requirements(c) | (0.6 | ) | (0.1 | ) | (1.7 | ) | ||||||
Domestic Manufacturing tax deduction(d) | (2.2 | ) | (0.9 | ) | (3.8 | ) | ||||||
Undistributed earnings of foreign subsidiaries(b) | (0.3 | ) | 2.9 | (4.9 | ) | |||||||
Other items, net | 1.6 | 0.8 | — | |||||||||
Effective income tax rate | 8.7 | % | 25 | % | 21.8 | % | ||||||
(a) | During 2013, the Avonmouth, United Kingdom legal entity was dissolved, therefore the corresponding valuation allowance and deferred tax assets were written off. During 2012, a valuation allowance was established for $15.9 million as a result of the planned shut-down of our Avonmouth, United Kingdom legal entity in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.” | |||||||||||
(b) | In prior years, we designated the undistributed earnings of substantially all of our foreign subsidiaries as indefinitely invested. The benefit of the lower tax rates in the jurisdictions for which we made this designation are reflected in our effective income tax rate. During 2014, 2013 and 2012, we received distributions of $12.6 million, $12.3 million and $56.9 million, respectively, from various foreign subsidiaries and joint ventures, and realized an expense (benefit), net of foreign tax credits, of $2.8 million, $2.4 million and $(1.8) million, respectively, related to the repatriation of these high taxed earnings. We have asserted, for all periods being reported, indefinite investment of our share of the income of JBC, a Free Zones company under the laws of the Hashemite Kingdom of Jordan. The applicable provisions of the Jordanian law, and applicable regulations thereunder, do not have a termination provision and the exemption is indefinite. As a Free Zones company, JBC is not subject to income taxes on the profits of products exported from Jordan, and currently, substantially all of the profits are from exports. This gave us a rate benefit of 12.4%, 4.5%, and 5.8% for 2014, 2013, and 2012, respectively. The rate has also benefited from rate differences in various countries including Belgium, and the Netherlands. In 2012, undistributed foreign subsidiary earnings were primarily impacted by a $17.4 million change related to the closure of our Avonmouth, United Kingdom site in connection with our exit of the phosphorus flame retardants business. | |||||||||||
(c) | During 2014, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2009 through 2010 which provided a net benefit of approximately $2.5 million. During 2012, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2008 which provided a net benefit of $5.2 million. | |||||||||||
(d) | During 2012, we amended the calculation of the domestic manufacturing tax deduction for the year 2010 and filed the 2011 tax return. As a result, in 2012 we recognized tax benefits of $1.5 million and $3.0 million related to the 2010 and 2011 tax years, respectively. | |||||||||||
The deferred income tax assets and liabilities recorded on the consolidated balance sheets as of December 31, 2014 and 2013 consist of the following (in thousands): | ||||||||||||
December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
Postretirement benefits other than pensions | $ | 221 | $ | 300 | ||||||||
Accrued employee benefits | 20,834 | 31,089 | ||||||||||
Operating loss carryovers | 82,017 | 88,614 | ||||||||||
Pensions | 79,113 | 37,172 | ||||||||||
Tax credit carryovers | 34,469 | 35,170 | ||||||||||
Undistributed earnings of foreign subsidiaries | 540 | — | ||||||||||
Other | 21,845 | 15,447 | ||||||||||
Gross deferred tax assets | 239,039 | 207,792 | ||||||||||
Valuation allowance | (30,768 | ) | (33,757 | ) | ||||||||
Deferred tax assets | 208,271 | 174,035 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Depreciation | (184,548 | ) | (213,575 | ) | ||||||||
Foreign currency translation adjustments | (4,752 | ) | (3,104 | ) | ||||||||
Undistributed earnings of foreign subsidiaries | — | (71 | ) | |||||||||
Other | (18,420 | ) | (19,747 | ) | ||||||||
Deferred tax liabilities | (207,720 | ) | (236,497 | ) | ||||||||
Net deferred tax assets (liabilities) | $ | 551 | $ | (62,462 | ) | |||||||
Classification in the consolidated balance sheets: | ||||||||||||
Current deferred tax assets | $ | 1,801 | $ | 3,912 | ||||||||
Current deferred tax liabilities | (6,806 | ) | (2,853 | ) | ||||||||
Noncurrent deferred tax assets | 62,440 | 65,667 | ||||||||||
Noncurrent deferred tax liabilities | (56,884 | ) | (129,188 | ) | ||||||||
Net deferred tax assets (liabilities) | $ | 551 | $ | (62,462 | ) | |||||||
Changes in the balance of our deferred tax asset valuation allowance are as follows (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at January 1 | $ | (33,757 | ) | $ | (49,562 | ) | $ | (36,419 | ) | |||
Additions | (1,895 | ) | (4,359 | ) | (20,182 | ) | ||||||
Deductions | 4,884 | 20,164 | 7,039 | |||||||||
Balance at December 31 | $ | (30,768 | ) | $ | (33,757 | ) | $ | (49,562 | ) | |||
At December 31, 2014, we had approximately $35.8 million of domestic credits available to offset future payments of income taxes, expiring in varying amounts between 2016 and 2024. We have established valuation allowances for $2.9 million of those domestic credits since we believe that it is more likely than not that the related deferred tax assets will not be realized. We believe that sufficient taxable income will be generated during the carryover period in order to utilize the other remaining credit carryovers. | ||||||||||||
At December 31, 2014, we have, on a pre-tax basis, $27.7 million of domestic net operating losses, expiring between 2020 and 2027, and $258.7 million of foreign net operating loss carryovers of which a majority are indefinite lived. We have established pre-tax valuation allowances for $93.1 million of those foreign net operating loss carryovers since we believe that it is more likely than not that the related deferred tax assets will not be realized. For the same reason, we established pre-tax valuation allowances for $2.5 million related to foreign deferred tax assets not related to net operating losses. The realization of the deferred tax assets is dependent on the generation of sufficient taxable income in the appropriate tax jurisdictions. Although realization is not assured, we believe it is more likely than not that the remaining deferred tax assets will be realized. However, the amount considered realizable could be reduced if estimates of future taxable income change. We believe that it is more likely than not that the Company will generate sufficient taxable income in the future to fully utilize all other deferred tax assets. | ||||||||||||
As of December 31, 2014, we have not recorded U.S. income taxes on approximately $0.9 billion of cumulative undistributed earnings of our non-U.S. subsidiaries and joint ventures, as these earnings are intended to be either indefinitely invested or subject to a tax-free liquidation and do not give rise to significant incremental U.S. taxes. If in the foreseeable future we can no longer demonstrate that these earnings are indefinitely invested, a deferred tax liability will be recognized. A determination of the amount of the unrecognized deferred tax liability related to these undistributed earnings is not practicable. | ||||||||||||
Liabilities related to uncertain tax positions were $25.3 million and $29.8 million at December 31, 2014 and 2013, respectively, inclusive of interest and penalties of $0.3 million and $0.7 million at December 31, 2014 and 2013, respectively, and are reported in Other noncurrent liabilities as provided in Note 14. These liabilities at December 31, 2014 and 2013 were reduced by $22.1 million and $25.7 million, respectively, for offsetting benefits from the corresponding effects of potential transfer pricing adjustments, state income taxes and rate arbitrage related to foreign structure. These offsetting benefits are recorded in Other assets as provided in Note 10. The resulting net liabilities of $2.9 million and $3.4 million at December 31, 2014 and 2013, respectively, if recognized and released, would favorably affect earnings. | ||||||||||||
The liabilities related to uncertain tax positions, exclusive of interest, were $25.0 million and $29.1 million at December 31, 2014 and 2013, respectively. The following is a reconciliation of our total gross liability related to uncertain tax positions for 2014, 2013 and 2012 (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at January 1 | $ | 29,143 | $ | 28,398 | $ | 29,789 | ||||||
Additions for tax positions related to prior years | — | — | 4,242 | |||||||||
Reductions for tax positions related to prior years | (214 | ) | (348 | ) | — | |||||||
Additions for tax positions related to current year | 2,232 | 2,061 | 3,639 | |||||||||
Lapses in statutes of limitations | (5,057 | ) | (473 | ) | (10,057 | ) | ||||||
Foreign currency translation adjustment | (1,135 | ) | (495 | ) | 785 | |||||||
Balance at December 31 | $ | 24,969 | $ | 29,143 | $ | 28,398 | ||||||
We are subject to income taxes in the U.S. and numerous foreign jurisdictions. We are no longer subject to U.S. federal income tax audits by tax authorities for years prior to 2011 since the IRS has completed a review of our income tax returns through 2007 and our statute of limitations has expired for 2008 through 2010. In 2014, the IRS commenced an audit of 2011 through 2012. We also are no longer subject to any U.S. state income tax audits prior to 2010. | ||||||||||||
With respect to jurisdictions outside the U.S., we are no longer subject to income tax audits for years prior to 2006. During 2014, the German tax authorities continued the audit of two of our German subsidiaries for 2006 through 2009 that began in 2011. Additionally, we received notification from the Korean tax authorities of an audit to commence in 2015 for years 2011 through 2013 for one of our Korean subsidiaries. In January of 2015, we received notification from the Belgium tax authorities of an audit for 2012 through 2013 of one of our Belgium subsidiaries. During 2013, the Chinese tax authorities completed an audit of one of our Chinese subsidiaries for 2006 through 2010 that began in 2011. No significant tax was assessed as a result of the completed audits. | ||||||||||||
While we believe we have adequately provided for all tax positions, amounts asserted by taxing authorities could be greater than our accrued position. Accordingly, additional provisions on federal and foreign tax-related matters could be recorded in the future as revised estimates are made or the underlying matters are settled or otherwise resolved. | ||||||||||||
Since the timing of resolutions and/or closure of tax audits is uncertain, it is difficult to predict with certainty the range of reasonably possible significant increases or decreases in the liability related to uncertain tax positions that may occur within the next twelve months. Our current view is that it is reasonably possible that we could record a decrease in the liability related to uncertain tax positions, relating to a number of issues, up to approximately $0.7 million as a result of closure of tax statutes. |
Restructuring_and_Other
Restructuring and Other | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
Restructuring and Other | Restructuring and Other: | |||||||||||
Restructuring and other charges, net, reported in the consolidated statements of income for the years ended December 31, 2014, 2013 and 2012 consist of the following (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Charges in connection with aluminum alkyl supply capacity reduction(a) | $ | 23,521 | $ | — | $ | — | ||||||
Charges in connection with global business realignment(b) | — | 33,361 | — | |||||||||
Exit of phosphorus flame retardants business(c) | — | — | 100,777 | |||||||||
Defined benefit pension plan curtailment gain, net(d) | — | — | (4,507 | ) | ||||||||
Employer contribution to defined contribution plan(d) | — | — | 10,081 | |||||||||
Other, net(e) | 2,426 | — | 5,334 | |||||||||
Total Restructuring and other charges, net | $ | 25,947 | $ | 33,361 | $ | 111,685 | ||||||
(a) | In 2014, we initiated action to reduce high cost supply capacity of certain aluminum alkyl products, primarily through the termination of a third party manufacturing contract. Based on the contract termination, we estimated costs of approximately $14.0 million ($9.3 million after income taxes) in the first quarter and $6.5 million ($4.3 million after income taxes) in the fourth quarter for contract termination and volume commitments. Additionally, in the first quarter of 2014 we recorded an impairment charge of $3.0 million ($1.9 million after income taxes) for certain capital project costs also related to aluminum alkyls capacity which we do not expect to recover. | |||||||||||
(b) | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. | |||||||||||
(c) | In the second quarter of 2012, we recorded net charges amounting to $94.7 million ($73.6 million after income taxes), and in the fourth quarter we recorded net charges amounting to $6.1 million ($2.5 million after income taxes), in connection with our exit of the phosphorus flame retardants business, whose products were sourced mainly at our Avonmouth, United Kingdom and Nanjing, China manufacturing sites. The charges are comprised mainly of non-cash items consisting of net asset write-offs of approximately $57 million and write-offs of foreign currency translation adjustments of approximately $12 million, as well as accruals for future cash costs associated with related severance programs of approximately $22 million, estimated site remediation costs of approximately $9 million, other estimated exit costs of approximately $3 million, partly offset by a gain of approximately $2 million related to the sale of our Nanjing, China manufacturing site. Payments under this restructuring plan are substantially complete. | |||||||||||
(d) | In the fourth quarter of 2012, we recorded a net curtailment gain of $4.5 million ($2.9 million after income taxes) and a one-time employer contribution to the Company’s defined contribution plan of $10.1 million ($6.4 million after income taxes), both in connection with various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. See Note 18, “Pension Plans and Other Postretirement Benefits.” | |||||||||||
(e) | The amount for 2014 mainly consists of $3.3 million ($2.1 million after income taxes) recorded in the second quarter for certain multi-product facility project costs that we do not expect to recover in future periods, net of other credits recorded in the fourth quarter. In the fourth quarter of 2012 we recorded charges amounting to $5.3 million ($4.3 million after income taxes) related to changes in product sourcing and other items. | |||||||||||
We had the following activity in our recorded workforce reduction liabilities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance, beginning of year | $ | 39,104 | $ | 15,898 | $ | 4,780 | ||||||
Workforce reduction charges(a) | 1,948 | 33,361 | 21,640 | |||||||||
Payments | (35,139 | ) | (8,915 | ) | (10,929 | ) | ||||||
Amount reversed to income(b) | (1,200 | ) | (1,209 | ) | (45 | ) | ||||||
Foreign currency translation | (674 | ) | (31 | ) | 452 | |||||||
Balance, end of year | 4,039 | 39,104 | 15,898 | |||||||||
Less amounts reported in Accrued expenses | 4,039 | 39,104 | 14,428 | |||||||||
Amounts reported in Other noncurrent liabilities | $ | — | $ | — | $ | 1,470 | ||||||
(a) | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income. | |||||||||||
The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above. | ||||||||||||
The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | ||||||||||||
(b) | Amounts reversed to income reflect adjustments based on actual timing and amount of final settlements. | |||||||||||
Also, the year ended December 31, 2012 includes a gain of $8.1 million ($5.1 million after income taxes) resulting from proceeds received in connection with the settlement of certain commercial litigation (net of estimated reimbursement of related legal fees of approximately $0.9 million). The litigation involved claims and cross-claims relating to alleged breaches of a purchase and sale agreement. The settlement resolves all outstanding issues and claims between the parties and they agreed to dismiss all outstanding litigation and release all existing and potential claims against each other that were or could have been asserted in the litigation. The year ended December 31, 2012 also includes an $8 million ($5.1 million after income taxes) charitable contribution to the Albemarle Foundation, a non-profit organization that sponsors grants, health and social projects, educational initiatives, disaster relief, matching gift programs, scholarships and other charitable initiatives in locations where our employees live and operate. These items are included in our consolidated Selling, general and administrative expenses for the year ended December 31, 2012. |
Fair_Value_of_Financial_Instru
Fair Value of Financial Instruments | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments: | |||||||||||||||
In assessing the fair value of financial instruments, we use methods and assumptions that are based on market conditions and other risk factors existing at the time of assessment. Fair value information for our financial instruments is as follows: | ||||||||||||||||
Long-Term Debt—the fair values of our senior notes and other fixed rate foreign borrowings are estimated using Level 1 inputs and account for the majority of the difference between the recorded amount and fair value of our long-term debt. The carrying value of our remaining long-term debt reported in the accompanying consolidated balance sheets approximates fair value as substantially all of such debt bears interest based on prevailing variable market rates currently available in the countries in which we have borrowings. | ||||||||||||||||
December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Recorded Amount | Fair Value | Recorded Amount | Fair Value | |||||||||||||
(In thousands) | ||||||||||||||||
Long-term debt | $ | 2,934,131 | $ | 2,994,935 | $ | 1,078,864 | $ | 1,109,878 | ||||||||
Foreign Currency Forward Contracts—we enter into foreign currency forward contracts in connection with our risk management strategies in an attempt to minimize the financial impact of changes in foreign currency exchange rates. These derivative financial instruments are used to manage risk and are not used for trading or other speculative purposes. The fair values of our foreign currency forward contracts are estimated based on current settlement values. At December 31, 2014 and 2013, we had outstanding foreign currency forward contracts with notional values totaling $479.9 million and $321.4 million, respectively. Our foreign currency forward contracts outstanding at December 31, 2014 and 2013 have not been designated as hedging instruments under ASC 815, Derivatives and Hedging. At December 31, 2014 and 2013, $0.6 million and $0.2 million, respectively, was included in Other accounts receivable associated with the fair value of our foreign currency forward contracts. | ||||||||||||||||
Gains and losses on foreign currency forward contracts are recognized currently in Other (expenses) income, net; further, fluctuations in the value of these contracts are generally expected to be offset by changes in the value of the underlying exposures being hedged. For the years ended December 31, 2014, 2013 and 2012 we recognized (losses) gains of $(17.8) million, $(1.1) million and $5.1 million, respectively, in Other (expenses) income, net, in our consolidated statements of income related to the change in the fair value of our foreign currency forward contracts. These amounts are generally expected to be offset by changes in the value of the underlying exposures being hedged which are also reported in Other (expenses) income, net. Also, for the years ended December 31, 2014, 2013 and 2012, we recorded $17.8 million, $1.1 million and $(5.1) million, respectively, related to the change in the fair value of our foreign currency forward contracts, and net cash settlements of $(18.3) million, $(1.8) million and $4.8 million, respectively, in Other, net in our consolidated statements of cash flows. | ||||||||||||||||
The counterparties to our foreign currency forward contracts are major financial institutions with which we generally have other financial relationships. We are exposed to credit loss in the event of nonperformance by these counterparties. However, we do not anticipate nonperformance by the counterparties. |
Fair_Value_Measurement
Fair Value Measurement | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value Measurement | Fair Value Measurement: | |||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The inputs used to measure fair value are classified into the following hierarchy: | ||||||||||||||||
Level 1 | Unadjusted quoted prices in active markets for identical assets or liabilities | |||||||||||||||
Level 2 | Unadjusted quoted prices in active markets for similar assets or liabilities, or unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable for the asset or liability | |||||||||||||||
Level 3 | Unobservable inputs for the asset or liability | |||||||||||||||
We endeavor to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Transfers between levels of the fair value hierarchy are deemed to have occurred on the date of the event or change in circumstance that caused the transfer. There were no transfers between Levels 1 and 2 during the year ended December 31, 2014. The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of December 31, 2014 and 2013 (in thousands): | ||||||||||||||||
31-Dec-14 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Investments under executive deferred compensation plan (a) | $ | 22,168 | $ | 22,168 | $ | — | $ | — | ||||||||
Private equity securities (b) | $ | 1,806 | $ | 21 | $ | — | $ | 1,785 | ||||||||
Foreign currency forward contracts (c) | $ | 631 | $ | — | $ | 631 | $ | — | ||||||||
Pension assets (d) | $ | 607,694 | $ | 513,871 | $ | 13,083 | $ | 80,740 | ||||||||
Postretirement assets (d) | $ | 4,439 | $ | — | $ | 4,439 | $ | — | ||||||||
Liabilities: | ||||||||||||||||
Obligations under executive deferred compensation plan (a) | $ | 22,168 | $ | 22,168 | $ | — | $ | — | ||||||||
31-Dec-13 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Investments under executive deferred compensation plan (a) | $ | 23,030 | $ | 23,030 | $ | — | $ | — | ||||||||
Private equity securities (b) | $ | 771 | $ | 21 | $ | — | $ | 750 | ||||||||
Foreign currency forward contracts (c) | $ | 161 | $ | — | $ | 161 | $ | — | ||||||||
Pension assets (d) | $ | 616,545 | $ | 482,002 | $ | 10,944 | $ | 123,599 | ||||||||
Postretirement assets (d) | $ | 5,620 | $ | — | $ | 5,620 | $ | — | ||||||||
Liabilities: | ||||||||||||||||
Obligations under executive deferred compensation plan (a) | $ | 23,030 | $ | 23,030 | $ | — | $ | — | ||||||||
(a) | We maintain an EDCP that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1. | |||||||||||||||
(b) | Primarily consists of private equity securities classified as available-for-sale and are reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other (expenses) income, net, in our consolidated statements of income. Holdings in private equity securities are typically valued using the net asset valuations provided by the underlying private investment companies and as such are classified within Level 3. | |||||||||||||||
(c) | As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates, which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. Unless otherwise noted, these derivative financial instruments are not designated as hedging instruments under ASC 815, Derivatives and Hedging. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. | |||||||||||||||
(d) | See Note 18 “Pension Plans and Other Postretirement Benefits” for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. | |||||||||||||||
The following table presents the fair value reconciliation of private equity securities Level 3 assets measured at fair value on a recurring basis for the periods indicated: | ||||||||||||||||
Year Ended December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Beginning balance | $ | 750 | $ | — | ||||||||||||
Total unrealized gains included in earnings relating to assets still held at the reporting date | 35 | — | ||||||||||||||
Purchases | 1,000 | 750 | ||||||||||||||
Ending balance | $ | 1,785 | $ | 750 | ||||||||||||
Acquisitions
Acquisitions | 12 Months Ended | |
Dec. 31, 2014 | ||
Business Combinations [Abstract] | ||
Acquisitions | Acquisitions: | |
Subsequent Event—Acquisition of Rockwood Holdings, Inc. | ||
On July 15, 2014, we entered into the Merger Agreement to acquire all the outstanding shares of Rockwood (the “Merger”). On January 12, 2015 (the “Acquisition Closing Date”), we completed the acquisition of Rockwood for a purchase price of approximately $5.6 billion, comprised of approximately $3.6 billion in cash consideration and approximately $2.0 billion in equity consideration, with Rockwood becoming a wholly-owned subsidiary of Albemarle. The cash consideration was funded with proceeds from our 2014 Senior Notes, Term Loan, Cash Bridge Facility and February 2014 Credit Agreement, each of which is described further in Note 13. | ||
Pursuant to the Merger Agreement, at the Acquisition Closing Date each issued and outstanding share of Rockwood common stock, par value $0.01 per share, (other than shares owned directly or indirectly by Albemarle, Rockwood or the Merger Sub, as defined in the Merger Agreement, and Appraisal Shares as defined in the Merger Agreement) was canceled and extinguished and converted into the right to receive (i) $50.65 in cash, without interest, and (ii) 0.4803 of a share of Albemarle common stock, par value $0.01 per share (the “Merger Consideration”). Pursuant to the Merger Agreement, equity awards relating to shares of Rockwood’s common stock were canceled and converted into the right to receive the cash value of the Merger Consideration. On the Acquisition Closing Date, we issued 34,110,008 shares of Albemarle common stock. | ||
Included in our consolidated statement of income for the year ended December 31, 2014 are $23.6 million of acquisition and integration related costs in connection with the acquisition of Rockwood and $6.6 million of acquisition-related costs in connection with other significant projects. Acquisition-related costs incurred during the years ended December 31, 2013 and 2012 are included in SG&A expenses and were not significant. | ||
Rockwood is a leading global developer, manufacturer and marketer of technologically advanced and high value added specialty chemicals. It is a leading integrated and low cost global producer of lithium and lithium compounds used in lithium ion batteries for electronic devices, alternative transportation vehicles and future energy storage technologies, meeting the significant growth in global demand for these products. Rockwood is also one of the largest global producers of surface treatments and coatings for metal processing, servicing the automotive, aerospace and general industrial markets. The acquisition of Rockwood reflects our commitment to drive sustainable growth, creating one of the world’s premier specialty chemicals companies, with market-leading positions across four high-margin businesses: lithium, catalysts, bromine and surface treatment. On a combined basis, the Company is expected to drive growth through: | ||
• | Continuing to penetrate lithium-based energy storage products, including e-mobility batteries and batteries for the automotive industry; | |
• | Capitalizing on attractive global trends in refinery catalysts, including the increasing demand for transportation fuels particularly in developing regions, as well as the demand for solutions to convert a range of feedstocks into high-value finished products; | |
• | Expanding within existing bromine markets driven by the proliferation of digital technology, offshore deep water drilling and mercury control emission reduction, along with growth driven by new bromine applications; and | |
• | Leveraging our position as a market-leading provider of surface treatment products and services to meet increasing customer demand for products with rigorous quality and performance standards and specifications. | |
As a result of the acquisition of Rockwood which was completed on January 12, 2015, beginning in the first quarter 2015 the Company’s consolidated results of operations will include the results of the acquired Rockwood businesses. The Company has not completed the detailed valuation work necessary to arrive at the required estimates of the fair value of the Rockwood assets acquired and liabilities assumed and the related allocation of purchase price. Our preliminary allocation of purchase price to the assets acquired and liabilities assumed, as well as pro forma financial information for the combined companies, will be included in our future filings. | ||
Litigation Related to the Merger | ||
On July 22, 2014, a putative class action complaint was filed in the Chancery Division of the Superior Court of New Jersey, Mercer County (“Superior Court of New Jersey”) relating to the Merger. On July 24, 2014, an additional putative class action complaint was filed in the Superior Court of New Jersey relating to the Merger. Both suits named the same plaintiff but were filed by different law firms. On August 1, 2014 and August 12, 2014, three additional putative class action complaints were filed in the Court of Chancery of the State of Delaware (“Delaware Chancery Court”) relating to the Merger. The lawsuits filed in New Jersey, Thwaites v. Rockwood Holdings Inc., et al. (“Thwaites I”), Thwaites v. Rockwood Holdings, Inc., et al. (“Thwaites II”), and the lawsuits filed in Delaware, Rudman Partners, L.P. v. Rockwood Holdings, Inc., et al., Riley v. Rockwood Holdings, Inc., et al., and North Miami Beach Police Officers & Firefighters’ Retirement Plan v. Rockwood Holdings, Inc., et al., each named Rockwood, its former directors, and Albemarle as defendants. Thwaites II and the cases filed in Delaware also named Albemarle Holdings Corporation, a wholly-owned subsidiary of Albemarle, as a defendant. The lawsuits, which contain substantially similar allegations, included allegations that Rockwood’s former board of directors breached their fiduciary duties in connection with the Merger by failing to ensure that Rockwood shareholders would receive the maximum value for their shares, failing to conduct an appropriate sale process and putting their own interests ahead of those of Rockwood shareholders. Rockwood and Albemarle are alleged to have aided and abetted the alleged fiduciary breaches. The lawsuits sought a variety of equitable relief, including enjoining the former Rockwood board of directors from proceeding with the proposed Merger unless they acted in accordance with their fiduciary duties to maximize shareholder value and rescission of the Merger to the extent implemented, in addition to damages arising from the defendants’ alleged breaches and attorneys’ fees and costs. On August 12, 2014, the plaintiff in Thwaites I filed a Notice of Voluntary Dismissal Without Prejudice as to all defendants. On August 27, 2014, the Delaware Court of Chancery ordered the three Delaware cases consolidated and appointed co-lead counsel. The court also ordered that no response to the complaints would be due until after plaintiffs filed an amended consolidated complaint. On September 19, 2014, the plaintiff in Thwaites II filed an amended complaint which included allegations that the registration statement failed to disclose material information. | ||
Plaintiffs in Thwaites II and in the Delaware consolidated action subsequently coordinated their litigation efforts, and the Delaware consolidated action was stayed pending the outcome of the Thwaites II litigation. In Thwaites II, the parties (including the Delaware plaintiffs) entered into a Memorandum of Understanding on November 6, 2014, provisionally settling all claims in the pending actions and declaring the parties’ intent to submit a settlement agreement for the court’s approval within 90 days. On December 2, 2014, the parties submitted a joint stipulation to extend the defendants’ time to respond to the amended complaint in Thwaites II until February 4, 2015. The parties executed a final Stipulation of Settlement and Release (“Stipulation”) on February 4, 2015, which will be submitted to the Superior Court of New Jersey for approval. In addition to extinguishing the current claims, the Stipulation contemplates broad releases of any and all actual and potential claims, whether known or unknown, by any member of the putative shareholder class against the defendants relating to or arising out of the Merger, the Merger Agreement, or the registration statement. Upon final approval of the settlement by the Superior Court of New Jersey, plaintiffs in the Delaware actions will move to dismiss the pending consolidated action with prejudice, thereby terminating the litigation. | ||
On February 19, 2015, Verition Multi-Strategy Master Fund Ltd and Verition Partners Master Fund Ltd, who collectively owned approximately 882,000 shares of Rockwood common stock immediately prior to the Merger, commenced an action in the Delaware Chancery Court seeking appraisal of their shares of Rockwood stock pursuant to Delaware General Corporation Law § 262. These shareholders exercised their right not to receive the Merger Consideration for each share of Rockwood common stock owned by such shareholders. Following the Merger, these shareholders ceased to have any rights with respect to their Rockwood shares, except for their rights to seek an appraisal of the cash value of their Rockwood shares under Delaware law. While Albemarle intends to vigorously defend against this action, the outcome of the appraisal process cannot be predicted with any certainty at this time. | ||
Other | ||
On October 1, 2013, we acquired Cambridge Chemical Company, Ltd., for consideration of approximately $3.6 million. Cash payments related to this acquisition were $2.3 million in 2013. |
Operating_Segments_and_Geograp
Operating Segments and Geographic Area Information | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Segment Reporting [Abstract] | ||||||||||||
Operating Segments and Geographic Area Information | Operating Segments and Geographic Area Information: | |||||||||||
Effective January 1, 2014, the Company’s assets and businesses were realigned under two operating segments to better align the Company’s resources to support its ongoing business strategy. The Performance Chemicals segment includes the Fire Safety Solutions, Specialty Chemicals and Fine Chemistry Services product categories, consolidating our bromine, mineral and custom manufacturing assets under one business unit. The Catalyst Solutions segment includes the Refinery Catalyst Solutions and Performance Catalyst Solutions product categories. Each segment has a dedicated team of sales, research and development, process engineering, manufacturing and sourcing, and business strategy personnel and has full accountability for improving execution through greater asset and market focus, agility and responsiveness. The new structure also facilitates the continued standardization of business processes across the organization, is consistent with the manner in which information is presently used internally by the Company’s chief operating decision maker to evaluate performance and make resource allocation decisions, and each segment president is responsible for execution of the segment’s business strategy. | ||||||||||||
Segment income represents segment operating profit and equity in net income of unconsolidated investments and is reduced by net income attributable to noncontrolling interests. Segment data includes intersegment transfers of raw materials at cost and allocations for certain corporate costs. | ||||||||||||
Summarized financial information concerning our reportable segments is shown in the following tables. Results for all periods presented reflect the change in operating segments noted above, and segment results for all periods presented exclude discontinued operations as further described in Notes 1 and 2. Corporate & other includes corporate-related items not allocated to the reportable segments. Pension and OPEB service cost (which represents the benefits earned by active employees during the period) and amortization of prior service cost or benefit are allocated to each segment and Corporate & other, whereas the remaining components of pension and OPEB benefits cost or credit are included in Corporate & other. | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Net sales: | ||||||||||||
Performance Chemicals | $ | 1,351,596 | $ | 1,392,664 | $ | 1,451,247 | ||||||
Catalyst Solutions | 1,093,952 | 1,001,606 | 1,067,907 | |||||||||
Total net sales | $ | 2,445,548 | $ | 2,394,270 | $ | 2,519,154 | ||||||
Segment operating profit: | ||||||||||||
Performance Chemicals | $ | 306,616 | $ | 334,275 | $ | 410,359 | ||||||
Catalyst Solutions | 224,407 | 194,322 | 230,648 | |||||||||
Total segment operating profit | 531,023 | 528,597 | 641,007 | |||||||||
Equity in net income of unconsolidated investments: | ||||||||||||
Performance Chemicals | 10,068 | 8,875 | 6,416 | |||||||||
Catalyst Solutions | 25,674 | 22,854 | 31,651 | |||||||||
Total equity in net income of unconsolidated investments | 35,742 | 31,729 | 38,067 | |||||||||
Net income attributable to noncontrolling interests: | ||||||||||||
Performance Chemicals | (27,590 | ) | (26,663 | ) | (18,571 | ) | ||||||
Corporate & other | — | — | (20 | ) | ||||||||
Total net income attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Segment income: | ||||||||||||
Performance Chemicals | 289,094 | 316,487 | 398,204 | |||||||||
Catalyst Solutions | 250,081 | 217,176 | 262,299 | |||||||||
Total segment income | 539,175 | 533,663 | 660,503 | |||||||||
Corporate & other(a) | (203,620 | ) | 81,439 | (129,559 | ) | |||||||
Restructuring and other charges, net(b) | (25,947 | ) | (33,361 | ) | (111,685 | ) | ||||||
Acquisition and integration related costs(c) | (30,158 | ) | — | — | ||||||||
Interest and financing expenses | (41,358 | ) | (31,559 | ) | (32,800 | ) | ||||||
Other (expenses) income, net | (16,761 | ) | (6,674 | ) | 1,229 | |||||||
Income tax expense | (18,484 | ) | (134,445 | ) | (80,433 | ) | ||||||
(Loss) income from discontinued operations (net of tax) | (69,531 | ) | 4,108 | 4,281 | ||||||||
Net income attributable to Albemarle Corporation | $ | 133,316 | $ | 413,171 | $ | 311,536 | ||||||
(a) | For the years ended December 31, 2014, 2013 and 2012, Corporate & other includes $(127.2) million, $143.1 million and $(68.0) million, respectively, of pension and OPEB plan (costs) credits (including mark-to-market actuarial gains and losses). | |||||||||||
(b) | See Note 20, “Restructuring and Other.” | |||||||||||
(c) | See Note 23, “Acquisitions.” | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Identifiable assets: | ||||||||||||
Performance Chemicals | $ | 1,042,177 | $ | 1,129,838 | $ | 1,110,006 | ||||||
Catalyst Solutions | 1,375,202 | 1,695,120 | 1,572,883 | |||||||||
Corporate & other(a) | 2,805,724 | 759,839 | 754,402 | |||||||||
Total identifiable assets | $ | 5,223,103 | $ | 3,584,797 | $ | 3,437,291 | ||||||
Goodwill: | ||||||||||||
Performance Chemicals | $ | 42,282 | $ | 43,603 | $ | 43,519 | ||||||
Catalyst Solutions | 200,980 | 240,600 | 233,447 | |||||||||
Total goodwill | $ | 243,262 | $ | 284,203 | $ | 276,966 | ||||||
(a) | As of December 31, 2014, Corporate & other included net proceeds received from the issuance of the 2014 Senior Notes, which, together with borrowings from our Commercial Paper Notes, Term Loan and Cash Bridge Facility, were used to finance the cash portion of the Merger Consideration, pay related fees and expenses and repay our senior notes which matured on February 1, 2015. See Note 13, “Long-Term Debt” and Note 23 “Acquisitions” for additional details about these transactions. | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Depreciation and amortization: | ||||||||||||
Performance Chemicals | $ | 48,233 | $ | 43,472 | $ | 37,831 | ||||||
Catalyst Solutions | 49,622 | 49,656 | 47,155 | |||||||||
Discontinued Operations | 3,165 | 12,054 | 12,120 | |||||||||
Corporate & other | 2,552 | 2,188 | 1,914 | |||||||||
Total depreciation and amortization | $ | 103,572 | $ | 107,370 | $ | 99,020 | ||||||
Capital expenditures: | ||||||||||||
Performance Chemicals | $ | 48,831 | $ | 94,506 | $ | 156,648 | ||||||
Catalyst Solutions | 61,721 | 60,326 | 122,746 | |||||||||
Corporate & other | 24 | 514 | 1,479 | |||||||||
Total capital expenditures | $ | 110,576 | $ | 155,346 | $ | 280,873 | ||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Net Sales: | ||||||||||||
United States | $ | 884,373 | $ | 933,182 | $ | 959,571 | ||||||
Foreign(a) | 1,561,175 | 1,461,088 | 1,559,583 | |||||||||
Total | $ | 2,445,548 | $ | 2,394,270 | $ | 2,519,154 | ||||||
(a) | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | |||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Long-Lived Assets: | ||||||||||||
United States | $ | 698,863 | $ | 748,719 | $ | 735,269 | ||||||
Netherlands | 167,965 | 193,775 | 192,540 | |||||||||
Jordan | 227,805 | 227,818 | 209,133 | |||||||||
Brazil | 59,474 | 78,078 | 85,353 | |||||||||
Germany | 75,813 | 86,175 | 72,797 | |||||||||
China | 5,310 | 41,858 | 39,542 | |||||||||
France | 37,347 | 34,523 | 32,305 | |||||||||
Korea | 80,362 | 86,827 | 81,962 | |||||||||
United Kingdom | 3,665 | 3,665 | — | |||||||||
Other foreign countries | 48,819 | 47,139 | 33,598 | |||||||||
Total | $ | 1,405,423 | $ | 1,548,577 | $ | 1,482,499 | ||||||
Net sales to external customers by product category in each of the segments consists of the following: | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Performance Chemicals: | ||||||||||||
Fire Safety Solutions | $ | 607,477 | $ | 620,972 | $ | 665,293 | ||||||
Specialty Chemicals | 520,297 | 520,998 | 519,606 | |||||||||
Fine Chemistry Services | 223,822 | 250,694 | 266,348 | |||||||||
Total Performance Chemicals | $ | 1,351,596 | $ | 1,392,664 | $ | 1,451,247 | ||||||
Catalyst Solutions: | ||||||||||||
Refinery Catalyst Solutions | $ | 844,221 | $ | 768,837 | $ | 794,933 | ||||||
Performance Catalyst Solutions | 249,731 | 232,769 | 272,974 | |||||||||
Total Catalyst Solutions | $ | 1,093,952 | $ | 1,001,606 | $ | 1,067,907 | ||||||
Consolidating_Guarantor_Financ
Consolidating Guarantor Financial Information | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||||||||||||
Consolidating Guarantor Financial Information | Consolidating Guarantor Financial Information: | |||||||||||||||||||
The 2014 Senior Notes issued by Albemarle Corporation (the “Issuer”) are fully and unconditionally guaranteed, jointly and severally, on an unsecured and unsubordinated basis by Albemarle Holdings Corporation and Albemarle Holdings II Corporation (the “Guarantor Subsidiaries”). The Guarantor Subsidiaries are 100% owned subsidiaries of the Issuer. The guarantees are general senior unsecured obligations of the Guarantor Subsidiaries and rank equally in right of payment with all existing and future senior unsecured indebtedness and other obligations of the Guarantor Subsidiaries that are not, by their terms, otherwise expressly subordinated. The note guarantees will be released when the 4.625% Senior Notes assumed by Albemarle upon the acquisition of Rockwood are repaid or otherwise discharged. | ||||||||||||||||||||
The Company applies the equity method of accounting to its subsidiaries. For cash management purposes, the Company transfers cash between Issuer, Guarantor Subsidiaries and all other non-guarantor subsidiaries (the “Non-Guarantor Subsidiaries”) through intercompany financing arrangements, contributions or declaration of dividends between the respective parent and its subsidiaries. The transfer of cash under these activities facilitates the ability of the recipient to make specified third-party payments for principal and interest on the Company’s outstanding debt, common stock dividends and common stock repurchases. The consolidating statements of cash flows for the years ended December 31, 2014, 2013 and 2012 present such intercompany financing activities, contributions and dividends consistent with how such activity would be presented in a stand-alone statement of cash flows. There are no significant restrictions on the ability of the Issuer or the Guarantor Subsidiaries to obtain funds from subsidiaries by dividend or loan. | ||||||||||||||||||||
The following consolidating financial information presents the financial condition, results of operations and cash flows of the Issuer, Guarantor Subsidiaries, and the Non-Guarantor Subsidiaries, together with consolidating adjustments necessary to present Albemarle’s results on a consolidated basis, and should be read in conjunction with the notes to the consolidated financial statements. Each entity in the consolidating financial information follows the same accounting policies as described in the notes to the consolidated financial statements. | ||||||||||||||||||||
Consolidating Balance Sheet | ||||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Assets | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 1,930,802 | $ | — | $ | 558,966 | $ | — | $ | 2,489,768 | ||||||||||
Trade accounts receivable, less allowance for doubtful accounts | 91,849 | — | 293,363 | — | 385,212 | |||||||||||||||
Other accounts receivable | 19,033 | — | 30,390 | — | 49,423 | |||||||||||||||
Intergroup receivable | 74,102 | — | 18,097 | (92,199 | ) | — | ||||||||||||||
Inventories | 201,006 | — | 171,543 | (14,188 | ) | 358,361 | ||||||||||||||
Other current assets | 45,901 | — | 25,111 | (4,926 | ) | 66,086 | ||||||||||||||
Total current assets | 2,362,693 | — | 1,097,470 | (111,313 | ) | 3,348,850 | ||||||||||||||
Property, plant and equipment, at cost | 1,726,690 | — | 893,980 | — | 2,620,670 | |||||||||||||||
Less accumulated depreciation and amortization | 1,047,372 | — | 341,430 | — | 1,388,802 | |||||||||||||||
Net property, plant and equipment | 679,318 | — | 552,550 | — | 1,231,868 | |||||||||||||||
Investments | 73,500 | — | 120,542 | — | 194,042 | |||||||||||||||
Investment in subsidiaries | 1,551,071 | — | — | (1,551,071 | ) | — | ||||||||||||||
Other assets | 35,837 | — | 125,119 | — | 160,956 | |||||||||||||||
Goodwill | 49,212 | — | 194,050 | — | 243,262 | |||||||||||||||
Other intangibles, net of amortization | 20,834 | — | 23,291 | — | 44,125 | |||||||||||||||
Total assets | $ | 4,772,465 | $ | — | $ | 2,113,022 | $ | (1,662,384 | ) | $ | 5,223,103 | |||||||||
Liabilities and Equity | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 122,479 | $ | — | $ | 109,226 | $ | — | $ | 231,705 | ||||||||||
Intergroup payable | 18,097 | — | 74,102 | (92,199 | ) | — | ||||||||||||||
Accrued expenses | 84,619 | — | 81,555 | — | 166,174 | |||||||||||||||
Current portion of long-term debt | 692,280 | — | 18,816 | — | 711,096 | |||||||||||||||
Dividends payable | 21,458 | — | — | — | 21,458 | |||||||||||||||
Income taxes payable | 1,396 | — | 7,944 | 113 | 9,453 | |||||||||||||||
Total current liabilities | 940,329 | — | 291,643 | (92,086 | ) | 1,139,886 | ||||||||||||||
Long-term debt | 2,214,755 | — | 8,280 | — | 2,223,035 | |||||||||||||||
Postretirement benefits | 56,424 | — | — | — | 56,424 | |||||||||||||||
Pension benefits | 128,238 | — | 42,296 | — | 170,534 | |||||||||||||||
Other noncurrent liabilities | 51,936 | — | 35,769 | — | 87,705 | |||||||||||||||
Deferred income taxes | 21,318 | — | 35,566 | — | 56,884 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Equity: | ||||||||||||||||||||
Albemarle Corporation shareholders’ equity: | ||||||||||||||||||||
Common stock | 780 | — | 6,808 | (6,808 | ) | 780 | ||||||||||||||
Additional paid-in capital | 10,447 | — | 553,172 | (553,172 | ) | 10,447 | ||||||||||||||
Accumulated other comprehensive loss | (62,413 | ) | — | (51,073 | ) | 51,073 | (62,413 | ) | ||||||||||||
Retained earnings | 1,410,651 | — | 1,061,391 | (1,061,391 | ) | 1,410,651 | ||||||||||||||
Total Albemarle Corporation shareholders’ equity | 1,359,465 | — | 1,570,298 | (1,570,298 | ) | 1,359,465 | ||||||||||||||
Noncontrolling interests | — | — | 129,170 | — | 129,170 | |||||||||||||||
Total equity | 1,359,465 | — | 1,699,468 | (1,570,298 | ) | 1,488,635 | ||||||||||||||
Total liabilities and equity | $ | 4,772,465 | $ | — | $ | 2,113,022 | $ | (1,662,384 | ) | $ | 5,223,103 | |||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Assets | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Trade accounts receivable, less allowance for doubtful accounts | 149,834 | — | 297,030 | — | 446,864 | |||||||||||||||
Other accounts receivable | 11,812 | — | 33,282 | — | 45,094 | |||||||||||||||
Intergroup receivable | 88,090 | — | 28,433 | (116,523 | ) | — | ||||||||||||||
Inventories | 219,390 | — | 234,975 | (18,316 | ) | 436,049 | ||||||||||||||
Other current assets | 52,457 | — | 28,979 | (3,767 | ) | 77,669 | ||||||||||||||
Total current assets | 610,059 | — | 1,011,462 | (138,606 | ) | 1,482,915 | ||||||||||||||
Property, plant and equipment, at cost | 1,999,398 | — | 972,686 | — | 2,972,084 | |||||||||||||||
Less accumulated depreciation and amortization | 1,268,205 | — | 346,810 | — | 1,615,015 | |||||||||||||||
Net property, plant and equipment | 731,193 | — | 625,876 | — | 1,357,069 | |||||||||||||||
Investments | 69,616 | — | 142,562 | — | 212,178 | |||||||||||||||
Investment in subsidiaries | 1,611,662 | — | — | (1,611,662 | ) | — | ||||||||||||||
Other assets | 18,621 | — | 141,608 | — | 160,229 | |||||||||||||||
Goodwill | 49,212 | — | 234,991 | — | 284,203 | |||||||||||||||
Other intangibles, net of amortization | 35,003 | — | 53,200 | — | 88,203 | |||||||||||||||
Total assets | $ | 3,125,366 | $ | — | $ | 2,209,699 | $ | (1,750,268 | ) | $ | 3,584,797 | |||||||||
Liabilities and Equity | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 107,781 | $ | — | $ | 100,400 | $ | — | $ | 208,181 | ||||||||||
Intergroup payable | 28,433 | — | 88,090 | (116,523 | ) | — | ||||||||||||||
Accrued expenses | 92,273 | — | 84,143 | 176,416 | ||||||||||||||||
Current portion of long-term debt | 99 | — | 24,455 | — | 24,554 | |||||||||||||||
Dividends payable | 19,197 | — | — | — | 19,197 | |||||||||||||||
Income taxes payable | 2,364 | — | 5,651 | — | 8,015 | |||||||||||||||
Total current liabilities | 250,147 | — | 302,739 | (116,523 | ) | 436,363 | ||||||||||||||
Long-term debt | 1,035,977 | — | 18,333 | — | 1,054,310 | |||||||||||||||
Postretirement benefits | 53,903 | — | — | — | 53,903 | |||||||||||||||
Pension benefits | 20,931 | — | 36,716 | — | 57,647 | |||||||||||||||
Other noncurrent liabilities | 61,095 | — | 49,515 | — | 110,610 | |||||||||||||||
Deferred income taxes | 75,952 | — | 53,236 | — | 129,188 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Equity: | ||||||||||||||||||||
Albemarle Corporation shareholders’ equity: | ||||||||||||||||||||
Common stock | 801 | — | 6,807 | (6,807 | ) | 801 | ||||||||||||||
Additional paid-in capital | 9,957 | — | 549,265 | (549,265 | ) | 9,957 | ||||||||||||||
Accumulated other comprehensive income | 116,245 | — | 111,038 | (111,038 | ) | 116,245 | ||||||||||||||
Retained earnings | 1,500,358 | — | 966,635 | (966,635 | ) | 1,500,358 | ||||||||||||||
Total Albemarle Corporation shareholders’ equity | 1,627,361 | — | 1,633,745 | (1,633,745 | ) | 1,627,361 | ||||||||||||||
Noncontrolling interests | — | — | 115,415 | — | 115,415 | |||||||||||||||
Total equity | 1,627,361 | — | 1,749,160 | (1,633,745 | ) | 1,742,776 | ||||||||||||||
Total liabilities and equity | $ | 3,125,366 | $ | — | $ | 2,209,699 | $ | (1,750,268 | ) | $ | 3,584,797 | |||||||||
Consolidating Statement of Income | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,565,965 | $ | — | $ | 1,565,241 | $ | (685,658 | ) | $ | 2,445,548 | |||||||||
Cost of goods sold | 1,095,072 | — | 1,269,415 | (689,787 | ) | 1,674,700 | ||||||||||||||
Gross profit | 470,893 | — | 295,826 | 4,129 | 770,848 | |||||||||||||||
Selling, general and administrative expenses | 252,098 | — | 103,037 | — | 355,135 | |||||||||||||||
Research and development expenses | 55,856 | — | 32,454 | — | 88,310 | |||||||||||||||
Restructuring and other charges, net | 9,871 | — | 16,076 | — | 25,947 | |||||||||||||||
Acquisition and integration related costs | 30,158 | — | — | — | 30,158 | |||||||||||||||
Intercompany service fee | 26,123 | — | (26,123 | ) | — | — | ||||||||||||||
Operating profit | 96,787 | — | 170,382 | 4,129 | 271,298 | |||||||||||||||
Interest and financing expenses | (41,361 | ) | — | 3 | — | (41,358 | ) | |||||||||||||
Other expenses, net | (10,534 | ) | — | (6,227 | ) | — | (16,761 | ) | ||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 44,892 | — | 164,158 | 4,129 | 213,179 | |||||||||||||||
Income tax expense | 5,464 | — | 11,513 | 1,507 | 18,484 | |||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 39,428 | — | 152,645 | 2,622 | 194,695 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 6,956 | — | 28,786 | — | 35,742 | |||||||||||||||
Net income from continuing operations | 46,384 | — | 181,431 | 2,622 | 230,437 | |||||||||||||||
Loss from discontinued operations (net of tax) | (19,373 | ) | — | (50,158 | ) | — | (69,531 | ) | ||||||||||||
Equity in undistributed earnings of subsidiaries | 106,305 | — | — | (106,305 | ) | — | ||||||||||||||
Net income | 133,316 | — | 131,273 | (103,683 | ) | 160,906 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (27,590 | ) | — | (27,590 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 133,316 | $ | — | $ | 103,683 | $ | (103,683 | ) | $ | 133,316 | |||||||||
Condensed Consolidating Statement of Comprehensive Loss | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 133,316 | $ | — | $ | 131,273 | $ | (103,683 | ) | $ | 160,906 | |||||||||
Total other comprehensive loss, net of tax | (178,658 | ) | — | (163,199 | ) | 163,119 | (178,738 | ) | ||||||||||||
Comprehensive loss | (45,342 | ) | — | (31,926 | ) | 59,436 | (17,832 | ) | ||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (27,510 | ) | — | (27,510 | ) | |||||||||||||
Comprehensive loss attributable to Albemarle Corporation | $ | (45,342 | ) | $ | — | $ | (59,436 | ) | $ | 59,436 | $ | (45,342 | ) | |||||||
Condensed Consolidating Statement of Income | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,563,483 | $ | — | $ | 1,437,664 | $ | (606,877 | ) | $ | 2,394,270 | |||||||||
Cost of goods sold | 1,025,989 | — | 1,131,158 | (613,348 | ) | 1,543,799 | ||||||||||||||
Gross profit | 537,494 | — | 306,506 | 6,471 | 850,471 | |||||||||||||||
Selling, general and administrative expenses | 60,818 | — | 97,371 | — | 158,189 | |||||||||||||||
Research and development expenses | 51,794 | — | 30,452 | — | 82,246 | |||||||||||||||
Restructuring and other charges, net | 23,880 | — | 9,481 | — | 33,361 | |||||||||||||||
Intercompany service fee | 18,038 | — | (18,038 | ) | — | — | ||||||||||||||
Operating profit | 382,964 | — | 187,240 | 6,471 | 576,675 | |||||||||||||||
Interest and financing expenses | (33,537 | ) | — | 1,978 | — | (31,559 | ) | |||||||||||||
Intergroup interest and financing expenses | (87 | ) | — | 87 | — | — | ||||||||||||||
Other (expenses) income, net | (9,281 | ) | — | 2,607 | — | (6,674 | ) | |||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 340,059 | — | 191,912 | 6,471 | 538,442 | |||||||||||||||
Income tax expense | 128,645 | — | 3,436 | 2,364 | 134,445 | |||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 211,414 | — | 188,476 | 4,107 | 403,997 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 6,940 | — | 24,789 | — | 31,729 | |||||||||||||||
Net income from continuing operations | 218,354 | — | 213,265 | 4,107 | 435,726 | |||||||||||||||
Income (loss) from discontinued operations (net of tax) | 6,906 | — | (2,798 | ) | — | 4,108 | ||||||||||||||
Equity in undistributed earnings of subsidiaries | 187,911 | — | — | (187,911 | ) | — | ||||||||||||||
Net income | 413,171 | — | 210,467 | (183,804 | ) | 439,834 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (26,663 | ) | — | (26,663 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 413,171 | $ | — | $ | 183,804 | $ | (183,804 | ) | $ | 413,171 | |||||||||
Condensed Consolidating Statement of Comprehensive Income (Loss) | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 413,171 | $ | — | $ | 210,467 | $ | (183,804 | ) | $ | 439,834 | |||||||||
Total other comprehensive income (loss), net of tax | 30,981 | — | (264,363 | ) | 264,719 | 31,337 | ||||||||||||||
Comprehensive income (loss) | 444,152 | — | (53,896 | ) | 80,915 | 471,171 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (27,019 | ) | — | (27,019 | ) | |||||||||||||
Comprehensive income (loss) attributable to Albemarle Corporation | $ | 444,152 | $ | — | $ | (80,915 | ) | $ | 80,915 | $ | 444,152 | |||||||||
Condensed Consolidating Statement of Income | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,726,884 | $ | — | $ | 1,560,043 | $ | (767,773 | ) | $ | 2,519,154 | |||||||||
Cost of goods sold | 1,093,330 | — | 1,297,875 | (770,894 | ) | 1,620,311 | ||||||||||||||
Gross profit | 633,554 | — | 262,168 | 3,121 | 898,843 | |||||||||||||||
Selling, general and administrative expenses | 204,029 | — | 104,427 | — | 308,456 | |||||||||||||||
Research and development expenses | 47,763 | — | 31,156 | — | 78,919 | |||||||||||||||
Restructuring and other charges, net | 12,711 | — | 98,974 | — | 111,685 | |||||||||||||||
Intercompany service fee | 26,132 | — | (26,132 | ) | — | — | ||||||||||||||
Operating profit | 342,919 | — | 53,743 | 3,121 | 399,783 | |||||||||||||||
Interest and financing expenses | (33,193 | ) | — | 393 | — | (32,800 | ) | |||||||||||||
Other (expenses) income, net | (2,731 | ) | — | 3,960 | — | 1,229 | ||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 306,995 | — | 58,096 | 3,121 | 368,212 | |||||||||||||||
Income tax expense (benefit) | 80,444 | — | (1,150 | ) | 1,139 | 80,433 | ||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 226,551 | — | 59,246 | 1,982 | 287,779 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 8,863 | — | 29,204 | — | 38,067 | |||||||||||||||
Net income from continuing operations | 235,414 | — | 88,450 | 1,982 | 325,846 | |||||||||||||||
Income (loss) from discontinued operations (net of tax) | 8,987 | — | (4,706 | ) | — | 4,281 | ||||||||||||||
Equity in undistributed earnings of subsidiaries | 67,135 | — | — | (67,135 | ) | — | ||||||||||||||
Net income | 311,536 | — | 83,744 | (65,153 | ) | 330,127 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (18,591 | ) | — | (18,591 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 311,536 | $ | — | $ | 65,153 | $ | (65,153 | ) | $ | 311,536 | |||||||||
Condensed Consolidating Statement of Comprehensive Income | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 311,536 | $ | — | $ | 83,744 | $ | (65,153 | ) | $ | 330,127 | |||||||||
Total other comprehensive income, net of tax | 24,935 | — | 44,721 | (44,824 | ) | 24,832 | ||||||||||||||
Comprehensive income | 336,471 | — | 128,465 | (109,977 | ) | 354,959 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (18,488 | ) | — | (18,488 | ) | |||||||||||||
Comprehensive income attributable to Albemarle Corporation | $ | 336,471 | $ | — | $ | 109,977 | $ | (109,977 | ) | $ | 336,471 | |||||||||
Consolidating Statement Of Cash Flows | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 227,426 | — | 273,176 | (7,993 | ) | 492,609 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (81,624 | ) | — | (28,952 | ) | — | (110,576 | ) | ||||||||||||
Cash proceeds from divestitures, net | 97,523 | — | 7,195 | — | 104,718 | |||||||||||||||
Payment for settlement of interest rate swap | (33,425 | ) | — | — | — | (33,425 | ) | |||||||||||||
Sales of (investments in) marketable securities, net | 668 | — | (19 | ) | — | 649 | ||||||||||||||
Long-term advances to joint ventures | — | — | (7,499 | ) | — | (7,499 | ) | |||||||||||||
Net cash used in investing activities | (16,858 | ) | — | (29,275 | ) | — | (46,133 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Proceeds from issuance of senior notes | 1,888,197 | — | — | — | 1,888,197 | |||||||||||||||
Repayments of long-term debt | (108 | ) | — | (5,909 | ) | — | (6,017 | ) | ||||||||||||
Other borrowings (repayments), net | 4,178 | — | (10,003 | ) | — | (5,825 | ) | |||||||||||||
Dividends paid to shareholders | (84,102 | ) | — | — | — | (84,102 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (15,535 | ) | — | (15,535 | ) | |||||||||||||
Intercompany dividends paid | — | — | (7,993 | ) | 7,993 | — | ||||||||||||||
Repurchases of common stock | (150,000 | ) | — | — | — | (150,000 | ) | |||||||||||||
Proceeds from exercise of stock options | 2,713 | — | — | — | 2,713 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 826 | — | — | — | 826 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (3,284 | ) | — | — | — | (3,284 | ) | |||||||||||||
Debt financing costs | (17,644 | ) | — | — | — | (17,644 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 1,640,776 | — | (39,440 | ) | 7,993 | 1,609,329 | ||||||||||||||
Net effect of foreign exchange on cash and cash equivalents | (9,018 | ) | — | (34,258 | ) | — | (43,276 | ) | ||||||||||||
Increase in cash and cash equivalents | 1,842,326 | — | 170,203 | — | 2,012,529 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 1,930,802 | $ | — | $ | 558,966 | $ | — | $ | 2,489,768 | ||||||||||
Condensed Consolidating Statement Of Cash Flows | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 145,999 | $ | — | $ | 331,697 | $ | — | $ | 477,696 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 270,179 | — | 177,806 | (15,126 | ) | 432,859 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (79,441 | ) | — | (75,905 | ) | — | (155,346 | ) | ||||||||||||
Cash payments related to acquisitions and other | (250 | ) | — | (2,315 | ) | — | (2,565 | ) | ||||||||||||
Sales of (investments in) marketable securities, net | 186 | — | (17 | ) | — | 169 | ||||||||||||||
Proceeds from intercompany investing related activity | 47,393 | — | 43,850 | (91,243 | ) | — | ||||||||||||||
Intercompany investing related payments | — | — | (43,850 | ) | 43,850 | — | ||||||||||||||
Net cash used in investing activities | (32,112 | ) | — | (78,237 | ) | (47,393 | ) | (157,742 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of long-term debt | (117,097 | ) | — | (18,636 | ) | — | (135,733 | ) | ||||||||||||
Proceeds from borrowings of long-term debt | 117,000 | — | — | — | 117,000 | |||||||||||||||
Other borrowings, net | 363,000 | — | 35,544 | — | 398,544 | |||||||||||||||
Dividends paid to shareholders | (78,107 | ) | — | — | — | (78,107 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (10,014 | ) | — | (10,014 | ) | |||||||||||||
Intercompany dividends paid | — | — | (15,126 | ) | 15,126 | — | ||||||||||||||
Repurchases of common stock | (582,298 | ) | — | — | — | (582,298 | ) | |||||||||||||
Proceeds from exercise of stock options | 5,553 | — | — | — | 5,553 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 3,266 | — | — | — | 3,266 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (6,149 | ) | — | — | — | (6,149 | ) | |||||||||||||
Debt financing costs | (108 | ) | — | — | — | (108 | ) | |||||||||||||
Proceeds from intercompany financing related activity | 43,850 | — | — | (43,850 | ) | — | ||||||||||||||
Intercompany financing related payments | (43,850 | ) | — | (47,393 | ) | 91,243 | — | |||||||||||||
Net cash used in financing activities | (294,940 | ) | — | (55,625 | ) | 62,519 | (288,046 | ) | ||||||||||||
Net effect of foreign exchange on cash and cash equivalents | (650 | ) | — | 13,122 | — | 12,472 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (57,523 | ) | — | 57,066 | — | (457 | ) | |||||||||||||
Cash and cash equivalents at end of year | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Condensed Consolidating Statement Of Cash Flows | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 47,018 | $ | — | $ | 422,398 | $ | — | $ | 469,416 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 342,173 | — | 189,511 | (42,918 | ) | 488,766 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (136,299 | ) | — | (144,574 | ) | — | (280,873 | ) | ||||||||||||
Cash payments related to acquisitions and other | (3,072 | ) | — | (288 | ) | — | (3,360 | ) | ||||||||||||
Cash proceeds from divestitures, net | — | — | 9,646 | — | 9,646 | |||||||||||||||
Investments in marketable securities, net | (1,607 | ) | — | (8 | ) | — | (1,615 | ) | ||||||||||||
Long-term advances to joint ventures | (2,459 | ) | — | (22,500 | ) | — | (24,959 | ) | ||||||||||||
Proceeds from intercompany investing related activity | 39,851 | — | — | (39,851 | ) | — | ||||||||||||||
Intercompany investing related payments | (33,809 | ) | — | — | 33,809 | — | ||||||||||||||
Net cash used in investing activities | (137,395 | ) | — | (157,724 | ) | (6,042 | ) | (301,161 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of long-term debt | (86 | ) | — | (14,304 | ) | — | (14,390 | ) | ||||||||||||
Other borrowings (repayments), net | 144 | — | (49,565 | ) | — | (49,421 | ) | |||||||||||||
Dividends paid to shareholders | (69,113 | ) | — | — | — | (69,113 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (7,628 | ) | — | (7,628 | ) | |||||||||||||
Intercompany dividends paid | — | — | (42,918 | ) | 42,918 | — | ||||||||||||||
Repurchases of common stock | (63,575 | ) | — | — | — | (63,575 | ) | |||||||||||||
Proceeds from exercise of stock options | 21,148 | — | — | — | 21,148 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 14,809 | — | — | — | 14,809 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (9,124 | ) | — | — | — | (9,124 | ) | |||||||||||||
Proceeds from intercompany financing related activity | — | — | 33,809 | (33,809 | ) | — | ||||||||||||||
Intercompany financing related payments | — | — | (39,851 | ) | 39,851 | — | ||||||||||||||
Net cash used in financing activities | (105,797 | ) | — | (120,457 | ) | 48,960 | (177,294 | ) | ||||||||||||
Net effect of foreign exchange on cash and cash equivalents | — | — | (2,031 | ) | — | (2,031 | ) | |||||||||||||
Increase (decrease) in cash and cash equivalents | 98,981 | — | (90,701 | ) | — | 8,280 | ||||||||||||||
Cash and cash equivalents at end of year | $ | 145,999 | $ | — | $ | 331,697 | $ | — | $ | 477,696 | ||||||||||
Quarterly_Financial_Summary_Un
Quarterly Financial Summary (Unaudited) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Quarterly Financial Summary (Unaudited) | Quarterly Financial Summary (Unaudited): | |||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||
2014 | ||||||||||||||||
Net sales | $ | 599,843 | $ | 604,721 | $ | 642,418 | $ | 598,566 | ||||||||
Gross profit | $ | 195,599 | $ | 207,363 | $ | 205,446 | $ | 162,440 | ||||||||
Restructuring and other charges, net(a) | $ | 17,000 | $ | 3,332 | $ | 293 | $ | 5,322 | ||||||||
Acquisition and integration related costs(b) | $ | — | $ | 4,843 | $ | 10,261 | $ | 15,054 | ||||||||
Net income (loss) from continuing operations | $ | 66,004 | $ | 89,404 | $ | 88,019 | $ | (12,990 | ) | |||||||
Loss from discontinued operations (net of tax)(c) | (1,769 | ) | (60,025 | ) | (6,679 | ) | (1,058 | ) | ||||||||
Net income attributable to noncontrolling interests | (7,652 | ) | (6,932 | ) | (8,546 | ) | (4,460 | ) | ||||||||
Net income (loss) attributable to Albemarle Corporation | $ | 56,583 | $ | 22,447 | $ | 72,794 | $ | (18,508 | ) | |||||||
Basic earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.73 | $ | 1.05 | $ | 1.02 | $ | (0.22 | ) | |||||||
Discontinued operations | (0.02 | ) | (0.76 | ) | (0.09 | ) | (0.02 | ) | ||||||||
$ | 0.71 | $ | 0.29 | $ | 0.93 | $ | (0.24 | ) | ||||||||
Shares used to compute basic earnings per share | 79,735 | 78,662 | 78,244 | 78,144 | ||||||||||||
Diluted earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.73 | $ | 1.04 | $ | 1.01 | $ | (0.22 | ) | |||||||
Discontinued operations | (0.02 | ) | (0.76 | ) | (0.08 | ) | (0.02 | ) | ||||||||
$ | 0.71 | $ | 0.28 | $ | 0.93 | $ | (0.24 | ) | ||||||||
Shares used to compute diluted earnings per share | 80,112 | 79,091 | 78,659 | 78,545 | ||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||
2013 | ||||||||||||||||
Net sales | $ | 586,597 | $ | 576,842 | $ | 591,196 | $ | 639,635 | ||||||||
Gross profit | $ | 195,911 | $ | 191,670 | $ | 209,611 | $ | 253,279 | ||||||||
Restructuring and other charges, net(a) | $ | — | $ | — | $ | — | $ | 33,361 | ||||||||
Net income from continuing operations | $ | 87,681 | $ | 88,500 | $ | 97,313 | $ | 162,232 | ||||||||
Income (loss) from discontinued operations (net of tax) | 1,835 | 2,628 | 531 | (886 | ) | |||||||||||
Net income attributable to noncontrolling interests | (5,529 | ) | (8,389 | ) | (7,332 | ) | (5,413 | ) | ||||||||
Net income attributable to Albemarle Corporation | $ | 83,987 | $ | 82,739 | $ | 90,512 | $ | 155,933 | ||||||||
Basic earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.93 | $ | 0.95 | $ | 1.1 | $ | 1.93 | ||||||||
Discontinued operations | 0.02 | 0.03 | 0.01 | (0.01 | ) | |||||||||||
$ | 0.95 | $ | 0.98 | $ | 1.11 | $ | 1.92 | |||||||||
Shares used to compute basic earnings per share | 88,719 | 84,028 | 81,385 | 81,226 | ||||||||||||
Diluted earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.92 | $ | 0.95 | $ | 1.1 | $ | 1.92 | ||||||||
Discontinued operations | 0.02 | 0.03 | 0.01 | (0.01 | ) | |||||||||||
$ | 0.94 | $ | 0.98 | $ | 1.11 | $ | 1.91 | |||||||||
Shares used to compute diluted earnings per share | 89,236 | 84,489 | 81,852 | 81,713 | ||||||||||||
(a) | See Note 20, “Restructuring and Other.” | |||||||||||||||
(b) | See Note 23, “Acquisitions.” | |||||||||||||||
(c) | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.” | |||||||||||||||
As discussed in Note 1, “Summary of Significant Accounting Policies,” actuarial gains and losses related to our defined benefit pension and OPEB plan obligations are recognized annually in our consolidated statements of income in the fourth quarter and whenever a plan is determined to qualify for a remeasurement during a fiscal year. During the year ended December 31, 2014, actuarial losses were recognized as follows: first quarter—$15.4 million ($9.8 million after income taxes) as a result of the remeasurement of the assets and obligations of (i) our U.S. defined benefit plan which covers non-represented employees, and (ii) our SERP, in connection with the realignment of of our operating segments effective January 1, 2014 and related workforce reduction plan; third quarter—$2.8 million ($1.8 million after income taxes) as a result of the remeasurement of the assets and obligations of one of our U.S. defined benefit plans for represented employees which was part of the businesses and assets we divested on September 1, 2014; fourth quarter—$112.6 million ($71.8 million after income taxes) as a result of the annual remeasurement process. During the year ended December 31, 2013, actuarial gains were recognized as follows: fourth quarter—$139.0 million ($88.3 million after income taxes) as a result of the annual remeasurement process. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |
Dec. 31, 2014 | ||
Accounting Policies [Abstract] | ||
Basis of Consolidation | Basis of Consolidation | |
The consolidated financial statements include the accounts and operations of Albemarle Corporation and our wholly owned, majority owned and controlled subsidiaries. Unless the context otherwise indicates, the terms “Albemarle,” “we,” “us,” “our” or “the Company” mean Albemarle Corporation and our consolidated subsidiaries. We apply the equity method of accounting for investments in which we have an ownership interest from 20% to 50% or where we exercise significant influence over the related investee’s operations. All significant intercompany accounts and transactions are eliminated in consolidation. | ||
Organizational Realignment | ||
Effective January 1, 2014, the Company’s assets and businesses were realigned under two operating segments. The Performance Chemicals segment includes the Fire Safety Solutions, Specialty Chemicals and Fine Chemistry Services product categories, and the Catalyst Solutions segment includes the Refinery Catalyst Solutions and Performance Catalyst Solutions product categories. Throughout this document, including these consolidated financial statements and related footnotes, current and prior year financial information is presented as if there were only two reporting segments for all periods presented. | ||
Discontinued Operations | Discontinued Operations | |
Long-lived assets and asset groups are classified as held for sale and reported as discontinued operations in the periods in which the specific criteria are met in accordance with applicable accounting standards. | ||
On September 1, 2014, the Company closed the sale of its antioxidant, ibuprofen and propofol businesses and assets to SI Group, Inc. and, as such, the financial results of the disposed group have been presented as discontinued operations in the consolidated statements of income and excluded from segment results for all periods presented. See Note 2, “Discontinued Operations” for additional information. | ||
Estimates, Assumptions and Reclassifications | Estimates, Assumptions and Reclassifications | |
The preparation of financial statements in conformity with generally accepted accounting principles (“GAAP”) in the United States (“U.S.”) requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. | ||
Certain amounts in the accompanying consolidated financial statements and notes thereto have been reclassified to conform to the current presentation. | ||
Revenue Recognition | Revenue Recognition | |
We recognize sales when the revenue is realized or realizable, and has been earned, in accordance with authoritative accounting guidance. We recognize net sales as risk and title to the product transfer to the customer, which usually occurs at the time shipment is made. Significant portions of our sales are sold free on board shipping point or on an equivalent basis, and other transactions are based upon specific contractual arrangements. Our standard terms of delivery are generally included in our contracts of sale, order confirmation documents and invoices. We recognize revenue from services when performance of the services has been completed. We have a limited amount of consignment sales that are billed to the customer upon monthly notification of amounts used by the customers under these contracts. Where the Company incurs pre-production design and development costs under long-term supply contracts, these costs are expensed where they relate to the products sold unless contractual guarantees for reimbursement exist. Conversely, these costs are capitalized if they pertain to equipment that we will own and use in producing the products to be supplied and expect to utilize for future revenue generating activities. | ||
Performance and Life Cycle Guarantees | Performance and Life Cycle Guarantees | |
We provide customers certain performance guarantees and life cycle guarantees. These guarantees entitle the customer to claim compensation if the product does not conform to performance standards originally agreed upon. Performance guarantees relate to minimum technical specifications that products produced with the delivered product must meet, such as yield and product quality. Life cycle guarantees relate to minimum periods for which performance of the delivered product is guaranteed. When either performance guarantees or life cycle guarantees are contractually agreed upon, an assessment of the appropriate revenue recognition treatment is evaluated. When testing or modeling of historical results predict that the performance or life cycle criteria will be satisfied, revenue is recognized in accordance with shipping terms at the time of delivery. When testing or modeling of historical results predict that the performance or life cycle criteria may not be satisfied, we bill the customer upon shipment and defer the related revenue and cost associated with these products. These deferrals are released to earnings when the contractual period expires, and are generally not significant. | ||
Shipping and Handling Costs | Shipping and Handling Costs | |
Amounts billed to customers in a sales transaction related to shipping and handling have been classified as net sales and the cost incurred by us for shipping and handling has been classified as cost of goods sold in the accompanying consolidated statements of income. In addition, taxes billed to customers in a sales transaction are presented in the consolidated statements of income on a net basis. | ||
Cash and Cash Equivalents | Cash and Cash Equivalents | |
Cash and cash equivalents include cash and highly liquid investments with insignificant interest rate risks and original maturities of three months or less. | ||
Inventories | Inventories | |
Inventories are stated at lower of cost or market with cost determined primarily on the first-in, first-out basis. Cost is determined on the weighted-average basis for a small portion of our inventories at foreign plants and our stores, supplies and other inventory. A portion of our domestic produced finished goods and raw materials are determined on the last-in, first-out basis. | ||
Property, Plant and Equipment | Property, Plant and Equipment | |
Property, plant and equipment include costs of assets constructed, purchased or leased under a capital lease, related delivery and installation costs and interest incurred on significant capital projects during their construction periods. Expenditures for renewals and betterments also are capitalized, but expenditures for normal repairs and maintenance are expensed as incurred. Costs associated with yearly planned major maintenance are deferred and amortized over 12 months or until the same major maintenance activities must be repeated, whichever is shorter. The cost and accumulated depreciation applicable to assets retired or sold are removed from the respective accounts, and gains or losses thereon are included in income. | ||
The Company records depreciation and amortization in its consolidated statements of income primarily in Cost of goods sold, with minor amounts also recorded in Selling, general and administrative expenses and Research and development expenses depending on the functional utilization of the related assets. Depreciation is computed by the straight-line method based on the estimated useful lives of the assets. We have a policy where our internal engineering group provides asset life guidelines for book purposes. These guidelines are reviewed against the economic life of the business for each project and asset life is determined as the lesser of the manufacturing life or the “business” life. The engineering guidelines are reviewed periodically. | ||
We evaluate historical and expected undiscounted operating cash flows of our reporting units to determine the future recoverability of any property, plant and equipment recorded. Property, plant and equipment is re-evaluated whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. | ||
The costs of brine wells, leases and royalty interests are primarily amortized over the estimated average life of the field on a straight-line basis. On a yearly basis for all fields, this approximates a units-of-production method based upon estimated reserves and production volumes. | ||
Investments | Investments | |
Investments are accounted for using the equity method of accounting if the investment gives us the ability to exercise significant influence, but not control, over the investee. Significant influence is generally deemed to exist if we have an ownership interest in the voting stock of the investee between 20% and 50%, although other factors, such as representation on the investee’s board of directors and the impact of commercial arrangements, are considered in determining whether the equity method of accounting is appropriate. Under the equity method of accounting, we record our investments in equity-method investees in the consolidated balance sheets as Investments and our share of investees’ earnings or losses together with other-than temporary impairments in value as Equity in net income of unconsolidated investments in the consolidated statements of income. | ||
Certain mutual fund investments are accounted for as trading equities and are marked-to-market on a monthly basis through the consolidated statements of income. Investments in joint ventures and nonmarketable securities of immaterial entities are estimated based upon the overall performance of the entity where financial results are not available on a timely basis. | ||
Environmental Compliance and Remediation | Environmental Compliance and Remediation | |
Environmental compliance costs include the cost of purchasing and/or constructing assets to prevent, limit and/or control pollution or to monitor the environmental status at various locations. These costs are capitalized and depreciated based on estimated useful lives. Environmental compliance costs also include maintenance and operating costs with respect to pollution prevention and control facilities and other administrative costs. Such operating costs are expensed as incurred. Environmental remediation costs of facilities used in current operations are generally immaterial and are expensed as incurred. On an undiscounted basis, we accrue for environmental remediation costs and post-remediation costs that relate to existing conditions caused by past operations at facilities or off-plant disposal sites in the accounting period in which responsibility is established and when the related costs are estimable. In developing these cost estimates, we evaluate currently available facts regarding each site, with consideration given to existing technology, presently enacted laws and regulations, prior experience in remediation of contaminated sites, the financial capability of other potentially responsible parties and other factors, subject to uncertainties inherent in the estimation process. Additionally, these estimates are reviewed periodically, with adjustments to the accruals recorded as necessary. | ||
Research and Development Expenses | Research and Development Expenses | |
Our research and development expenses related to present and future products are expensed as incurred. These expenses consist primarily of personnel-related costs and other overheads, as well as outside service and consulting costs incurred for specific programs. Our U.S. facilities in Michigan, Pennsylvania, Texas and Louisiana and our global facilities in the Netherlands, Germany, Belgium, China and Korea form the capability base for our contract research and custom manufacturing businesses. These business areas provide research and scale-up services primarily to innovative life science companies. | ||
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets | |
We account for goodwill and other intangibles acquired in a business combination in conformity with current accounting guidance that requires that goodwill and indefinite-lived intangible assets not be amortized. | ||
We test goodwill for impairment by comparing the estimated fair value of our reporting units to the related carrying value. We estimate the fair value based on present value techniques involving future cash flows. Future cash flows include assumptions for sales volumes, selling prices, raw material prices, labor and other employee benefit costs, capital additions and other economic or market related factors. Significant management judgment is involved in estimating these variables and they include inherent uncertainties since they are forecasting future events. We use a Weighted Average Cost of Capital (“WACC”) approach to determine our discount rate for goodwill recoverability testing. Our WACC calculation incorporates industry-weighted average returns on debt and equity from a market perspective. The factors in this calculation are largely external to our company, and therefore, are beyond our control. We test our recorded goodwill balances for impairment in the fourth quarter of each year or upon the occurrence of events or changes in circumstances that would more likely than not reduce the fair value of our reporting units below their carrying amounts. The Company performed its annual goodwill impairment test as of October 31, 2014 and concluded there was no impairment as of that date. | ||
Definite-lived intangible assets, such as purchased technology, patents, customer lists and trade names are amortized over their estimated useful lives, generally for periods ranging from five to twenty-five years. We continually evaluate the reasonableness of the useful lives of these assets and test for impairment in accordance with current accounting guidance. See Note 11, “Goodwill and Other Intangibles.” | ||
Pension Plans and Other Postretirement Benefits | Pension Plans and Other Postretirement Benefits | |
Under authoritative accounting standards, assumptions are made regarding the valuation of benefit obligations and the performance of plan assets. As required, we recognize a balance sheet asset or liability for each of the pension and other postretirement benefit (“OPEB”) plans equal to the plan’s funded status as of the measurement date. The primary assumptions are as follows: | ||
• | Discount Rate—The discount rate is used in calculating the present value of benefits, which is based on projections of benefit payments to be made in the future. | |
• | Expected Return on Plan Assets—We project the future return on plan assets based on prior performance and future expectations for the types of investments held by the plans, as well as the expected long-term allocation of plan assets for these investments. These projected returns reduce the net benefit costs recorded currently. | |
• | Rate of Compensation Increase—For salary-related plans, we project employees’ annual pay increases, which are used to project employees’ pension benefits at retirement. | |
• | Mortality Assumptions—Assumptions about life expectancy of plan participants are used in the measurement of related plan obligations. | |
Actuarial gains and losses are recognized annually in our consolidated statements of income in the fourth quarter and whenever a plan is determined to qualify for a remeasurement during a fiscal year. The remaining components of pension and OPEB plan expense, primarily service cost, interest cost and expected return on assets, are recorded on a quarterly basis. The market-related value of assets equals the actual market value as of the date of measurement. | ||
During 2014, we made changes to the assumptions related to the discount rate and mortality scales. We consider available information that we deem relevant when selecting each of these assumptions. | ||
In selecting the discount rates for the U.S. plans, we consider expected benefit payments on a plan-by-plan basis. As a result, the Company uses different discount rates for each plan depending on the demographics of participants and the expected timing of benefit payments. For 2014, the discount rates were calculated using the results from a bond matching technique developed by Milliman, which matched the future estimated annual benefit payments of each respective plan against a portfolio of bonds of high quality to determine the discount rate. We believe our selected discount rates are determined using preferred methodology under authoritative accounting guidance and accurately reflect market conditions as of the December 31, 2014 measurement date. | ||
In selecting the discount rates for the foreign plans, we relied on Aon Hewitt methods, including the Aon Hewitt Top-Quartile and a yield curve derived from fixed-income security yields. The yield curve is generally based on a universe containing Aa-graded corporate bonds in the Euro zone without special features or options, which could affect the duration. In some countries, the yield curve is based on local government bond rates with a premium added to reflect corporate bond risk. Payments we expect to be made from our retirement plans are applied to the resulting yield curve. For each plan, the discount rate was developed as the level equivalent rate that would produce the same present value as that using spot rates aligned with the projected benefit payments. | ||
In estimating the expected return on plan assets, we consider past performance and future expectations for the types of investments held by the plan as well as the expected long-term allocation of plan assets to these investments. In projecting the rate of compensation increase, we consider past experience in light of movements in inflation rates. | ||
In October 2014, the Society of Actuaries published updated mortality tables which reflect increased life expectancy. We revised our mortality assumptions to incorporate the new set of mortality tables issued by the Society of Actuaries for purposes of measuring our U.S. pension and OPEB obligations at December 31, 2014. | ||
Employee Savings Plans | Employee Savings Plans | |
Certain of our employees participate in our defined contribution 401(k) employee savings plan, which is generally available to all U.S. full-time salaried and non-union hourly employees and to employees who are covered by a collective bargaining agreement that provides for such participation. With respect to our foreign subsidiaries, we have a plan in the Netherlands similar to a collective defined contribution plan. | ||
Deferred Compensation Plan | Deferred Compensation Plan | |
We maintain an Executive Deferred Compensation Plan (“EDCP”) that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. | ||
Stock-based Compensation Expense | Stock-based Compensation Expense | |
The fair value of restricted stock awards, restricted stock unit awards and performance unit awards with a service condition are determined based on the number of shares or units granted and the quoted price of our common stock on the date of grant, and the fair value of stock options is determined using the Black-Scholes valuation model. The fair value of performance unit awards with a service condition and a market condition are estimated on the date of grant using a Monte Carlo simulation model. The fair value of these awards is determined after giving effect to estimated forfeitures. Such value is recognized as expense over the service period, which is generally the vesting period of the equity grant. To the extent restricted stock awards, restricted stock unit awards, performance unit awards and stock options are forfeited prior to vesting in excess of the estimated forfeiture rate, the corresponding previously recognized expense is reversed as an offset to operating expenses. | ||
Income Taxes | Income Taxes | |
We use the liability method for determining our income taxes, under which current and deferred tax liabilities and assets are recorded in accordance with enacted tax laws and rates. Under this method, the amounts of deferred tax liabilities and assets at the end of each period are determined using the tax rate expected to be in effect when taxes are actually paid or recovered. Future tax benefits are recognized to the extent that realization of such benefits is more likely than not. | ||
Deferred income taxes are provided for the estimated income tax effect of temporary differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. Deferred tax assets are also provided for operating losses, capital losses and certain tax credit carryovers. A valuation allowance, reducing deferred tax assets, is established when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The realization of such deferred tax assets is dependent upon the generation of sufficient future taxable income of the appropriate character. Although realization is not assured, we do not establish a valuation allowance when we believe it is more likely than not that a net deferred tax asset will be realized. | ||
We only recognize a tax benefit after concluding that it is more likely than not that the benefit will be sustained upon audit by the respective taxing authority based solely on the technical merits of the associated tax position. Once the recognition threshold is met, we recognize a tax benefit measured as the largest amount of the tax benefit that, in our judgment, is greater than 50% likely to be realized. Interest and penalties related to income tax liabilities under current accounting guidance for uncertain tax positions are included in income tax expense. | ||
We have designated the undistributed earnings of substantially all of our foreign operations as indefinitely invested and as a result we do not provide for deferred income taxes on the unremitted earnings of these subsidiaries. Our foreign earnings are computed under U.S. federal tax earnings and profits, or E&P, principles. In general, to the extent our financial reporting book basis over tax basis of a foreign subsidiary exceeds these E&P amounts, deferred taxes have not been provided as they are essentially permanent in duration. The determination of the amount of such unrecognized deferred tax liability is not practicable. We provide for deferred income taxes on our undistributed earnings of foreign operations that are not deemed to be indefinitely invested. | ||
Accumulated Other Comprehensive (Loss) Income | Accumulated Other Comprehensive (Loss) Income | |
Accumulated other comprehensive (loss) income is comprised principally of foreign currency translation adjustments, amounts related to the revaluation of our euro-denominated senior notes which were designated as a hedge of our net investment in foreign operations in 2014, a realized loss on a forward starting interest rate swap entered into in 2014 which was designated as a cash flow hedge, and deferred income taxes related to the aforementioned items. | ||
Foreign Currency Translation | Foreign Currency Translation | |
The assets and liabilities of all foreign subsidiaries were prepared in their respective functional currencies and translated into U.S. Dollars based on the current exchange rate in effect at the balance sheet dates, while income and expenses were translated at average exchange rates for the periods presented. Translation adjustments are reflected as a separate component of equity. | ||
Foreign exchange transaction losses were $3.7 million, $10.6 million and $4.9 million for the years ended December 31, 2014, 2013 and 2012, respectively, and are included in Other (expenses) income, net, in our consolidated statements of income. | ||
Derivative Financial Instruments | Derivative Financial Instruments | |
We manage our foreign currency exposures by balancing certain assets and liabilities denominated in foreign currencies and through the use of foreign currency forward contracts from time to time, which generally expire within one year. The principal objective of such contracts is to minimize the financial impact of changes in foreign currency exchange rates. While these contracts are subject to fluctuations in value, such fluctuations are generally expected to be offset by changes in the value of the underlying foreign currency exposures being hedged. Unless otherwise noted, gains and losses on foreign currency forward contracts are recognized currently in Other (expenses) income, net, and generally do not have a significant impact on results of operations. | ||
We may also enter into interest rate swaps, collars or similar instruments from time to time, with the objective of reducing interest rate volatility relating to our borrowing costs. | ||
The counterparties to these contractual agreements are major financial institutions with which we generally have other financial relationships. We are exposed to credit loss in the event of nonperformance by these counterparties. However, we do not anticipate nonperformance by the counterparties. We do not utilize financial instruments for trading or other speculative purposes. At December 31, 2014 and 2013, we had outstanding foreign currency forward contracts with notional values totaling $479.9 million and $321.4 million, respectively. Our foreign currency forward contracts outstanding at December 31, 2014 and 2013 have not been designated as hedging instruments under Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging. | ||
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements | |
In February 2013, the Financial Accounting Standards Board (“FASB”) issued accounting guidance that requires entities that have obligations resulting from joint and several liability arrangements and for which the total amount is fixed at the reporting date to measure such obligations as the sum of (a) the amount the entity agreed to pay on the basis of its arrangement among its co-obligors, and (b) any additional amount the reporting entity expects to pay on behalf of its co-obligors. Entities are also required to disclose the nature, amount and any other relevant information about such obligations. These amendments became effective on January 1, 2014 and had no impact on our consolidated financial statements. | ||
In March 2013, the FASB issued accounting guidance that clarifies a parent company’s accounting for the cumulative foreign currency translation adjustment when the parent sells a part or all of its investment in a foreign entity. The guidance clarifies that the sale of an investment in a foreign entity includes both (a) events that result in the loss of a controlling financial interest in a foreign entity, and (b) events that result in an acquirer obtaining control of an acquiree in which it held an equity interest immediately before the acquisition date (sometimes also referred to as a step acquisition). Accordingly, the cumulative foreign currency translation adjustment should be released into net income upon the occurrence of those events. These amendments became effective on January 1, 2014 and had no impact on our accounting for the sale of our antioxidant, ibuprofen and propofol businesses and assets in 2014. | ||
In July 2013, the FASB issued accounting guidance designed to reduce diversity in practice of financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. These new requirements became effective on January 1, 2014 and did not have a material effect on our consolidated financial statements. | ||
In April 2014, the FASB issued accounting guidance that changes the criteria for reporting discontinued operations and modifies related disclosure requirements to provide users of financial statements with more information about the assets, liabilities, revenues and expenses of discontinued operations. The guidance modifies the definition of discontinued operations by limiting its scope to disposals of components of an entity that represent strategic shifts that have (or will have) a major effect on an entity’s operations and financial results. Additionally, these new requirements require entities to disclose the pretax profit or loss related to disposals of significant components that do not qualify as discontinued operations. These new requirements become effective for public entities in annual periods beginning on or after December 15, 2014 and interim periods within those years. The impact of these new requirements is dependent on the nature of dispositions, if any, after adoption. | ||
In May 2014, the FASB issued accounting guidance designed to enhance comparability of revenue recognition practices across entities, industries, jurisdictions and capital markets. The core principle of the guidance is that revenue recognized from a transaction or event that arises from a contract with a customer should reflect the consideration to which an entity expects to be entitled in exchange for goods or services provided. To achieve that core principle the new guidance sets forth a five-step revenue recognition model that will need to be applied consistently to all contracts with customers, except those that are within the scope of other topics in the ASC. Also required are new disclosures to help users of financial statements better understand the nature, amount, timing and uncertainty of revenues and cash flows from contracts with customers. The new disclosures include qualitative and quantitative information about contracts with customers, significant judgments made in applying the revenue guidance, and assets recognized related to the costs to obtain or fulfill a contract. These new requirements become effective for annual and interim reporting periods beginning after December 15, 2016, and early adoption is prohibited. We are assessing the impact of these new requirements on our financial statements. | ||
In June 2014, the FASB issued accounting guidance which clarifies the proper method of accounting for share-based payments when the terms of an award provide that a performance target could be achieved after the requisite service period. The accounting guidance requires that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. The performance target should not be reflected in estimating the grant-date fair value of the award. Compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. These new requirements become effective for annual and interim reporting periods beginning after December 15, 2015, and early adoption is permitted. We do not expect this guidance to have a significant impact on our financial statements. | ||
In February 2015, the FASB issued accounting guidance that changes the analysis that reporting entities must perform to determine whether certain types of legal entities should be consolidated. Specifically, the amendments affect (a) limited partnerships and similar legal entities; (b) the consolidation analysis of reporting entities that are involved with variable interest entities, particularly those that have fee arrangements and related party relationships; and (c) certain investment funds. These amendments are effective for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015. We are assessing the impact of these amendments on our financial statements. |
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ||||||||||||
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures | A summary of results of discontinued operations is as follows (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Net sales | $ | 154,273 | $ | 222,146 | $ | 226,266 | ||||||
(Loss) income from discontinued operations | $ | (90,439 | ) | $ | 5,985 | $ | 6,381 | |||||
Income tax (benefit) expense | (20,908 | ) | 1,877 | 2,100 | ||||||||
(Loss) income from discontinued operations (net of tax) | $ | (69,531 | ) | $ | 4,108 | $ | 4,281 | |||||
Supplemental_Cash_Flow_Informa1
Supplemental Cash Flow Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Supplemental Cash Flow Information [Abstract] | ||||||||||||
Supplemental Information Related to Consolidated Statements of Cash Flows | Supplemental information related to the consolidated statements of cash flows is as follows (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Cash paid during the year for: | ||||||||||||
Income taxes (net of refunds of $6,035, $14,296 and $1,849 in 2014, 2013 and 2012, respectively) | $ | 56,174 | $ | 51,772 | $ | 112,442 | ||||||
Interest (net of capitalization) | $ | 33,604 | $ | 29,629 | $ | 31,144 | ||||||
Supplemental non-cash disclosures related to exit of phosphorus flame retardants business: | ||||||||||||
Decrease in property, plant and equipment | $ | — | $ | — | $ | (41,120 | ) | |||||
Decrease in accumulated depreciation | — | — | (17,870 | ) | ||||||||
Decrease in other intangibles, net of amortization | — | — | (27,384 | ) | ||||||||
Increase in accumulated other comprehensive income | — | — | 12,268 | |||||||||
Supplemental non-cash disclosures related to defined benefit pension plan net curtailment gain: | ||||||||||||
Decrease in accumulated other comprehensive income | $ | — | $ | — | $ | (4,507 | ) | |||||
Supplemental non-cash disclosures related to other restructuring charges: | ||||||||||||
Decrease in property, plant and equipment | $ | — | $ | — | $ | (5,002 | ) | |||||
Decrease in accumulated depreciation | — | — | (1,588 | ) | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ||||||||||||
Calculation of Basic and Diluted Earnings Per Share | Basic and diluted earnings per share from continuing operations are calculated as follows (in thousands, except per share amounts): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Basic earnings per share from continuing operations | ||||||||||||
Numerator: | ||||||||||||
Net income from continuing operations | $ | 230,437 | $ | 435,726 | $ | 325,846 | ||||||
Net income from continuing operations attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Net income from continuing operations attributable to Albemarle Corporation | $ | 202,847 | $ | 409,063 | $ | 307,255 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares for basic earnings per share | 78,696 | 83,839 | 89,189 | |||||||||
Basic earnings per share from continuing operations | $ | 2.57 | $ | 4.88 | $ | 3.44 | ||||||
Diluted earnings per share from continuing operations | ||||||||||||
Numerator: | ||||||||||||
Net income from continuing operations | $ | 230,437 | $ | 435,726 | $ | 325,846 | ||||||
Net income from continuing operations attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Net income from continuing operations attributable to Albemarle Corporation | $ | 202,847 | $ | 409,063 | $ | 307,255 | ||||||
Denominator: | ||||||||||||
Weighted-average common shares for basic earnings per share | 78,696 | 83,839 | 89,189 | |||||||||
Incremental shares under stock compensation plans | 406 | 483 | 695 | |||||||||
Weighted-average common shares for diluted earnings per share | 79,102 | 84,322 | 89,884 | |||||||||
Diluted earnings per share from continuing operations | $ | 2.57 | $ | 4.85 | $ | 3.42 | ||||||
Other_Accounts_Receivable_Tabl
Other Accounts Receivable (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Receivables [Abstract] | ||||||||
Other Accounts Receivable | Other accounts receivable consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Value added tax/consumption tax | $ | 23,205 | $ | 21,956 | ||||
Other | 26,218 | 23,138 | ||||||
Total | $ | 49,423 | $ | 45,094 | ||||
Other_Current_Assets_Tables
Other Current Assets (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Other Assets [Abstract] | ||||||||
Other Current Assets | Other current assets consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Deferred income taxes—current(a) | $ | 1,801 | $ | 3,912 | ||||
Income tax receivables | 22,837 | 26,310 | ||||||
Prepaid expenses | 41,448 | 47,447 | ||||||
Total | $ | 66,086 | $ | 77,669 | ||||
(a) | See Note 19, “Income Taxes.” |
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2014 | |||||||||||
Property, Plant and Equipment [Abstract] | |||||||||||
Property, Plant and Equipment, at Cost | Property, plant and equipment, at cost, consist of the following at December 31, 2014 and 2013 (in thousands): | ||||||||||
Useful | December 31, | ||||||||||
Lives | |||||||||||
(Years) | 2014 | 2013 | |||||||||
Land | — | $ | 56,249 | $ | 63,153 | ||||||
Land improvements | 5 – 30 | 49,099 | 52,452 | ||||||||
Buildings and improvements | 10 – 45 | 214,364 | 235,929 | ||||||||
Machinery and equipment(a) | 2 – 19 | 1,443,154 | 1,731,247 | ||||||||
Machinery and equipment (major plant components)(b) | 20 – 45 | 663,297 | 688,284 | ||||||||
Long-term mineral rights and production equipment costs | 7 – 60 | 85,888 | 85,514 | ||||||||
Construction in progress | — | 108,619 | 115,505 | ||||||||
Total | $ | 2,620,670 | $ | 2,972,084 | |||||||
(a) | Consists primarily of (1) short-lived production equipment components, office and building equipment and other equipment with estimated lives ranging 2 – 7 years, and (2) production process equipment (intermediate components) with estimated lives ranging 8 – 19 years. | ||||||||||
(b) | Consists primarily of (1) production process equipment (major unit components) with estimated lives ranging 20 – 29 years, and (2) production process equipment (infrastructure and other) with estimated lives ranging 30 – 45 years. |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Investments [Abstract] | |||||||||||||
Investment Balances | The following table details our investment balances at December 31, 2014 and 2013 (in thousands). | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Joint ventures | $ | 169,891 | $ | 187,843 | |||||||||
Nonmarketable securities | 177 | 534 | |||||||||||
Marketable equity securities | 23,974 | 23,801 | |||||||||||
Total | $ | 194,042 | $ | 212,178 | |||||||||
Ownership Positions in Significant Unconsolidated Investments | Our ownership positions in significant unconsolidated investments are shown below: | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
* | Nippon Aluminum Alkyls - a joint venture with Mitsui Chemicals, Inc. that produces aluminum alkyls | 50 | % | 50 | % | 50 | % | ||||||
* | Magnifin Magnesiaprodukte GmbH & Co. KG - a joint venture with Radex Heraklith Industriebeteiligung AG that produces specialty magnesium hydroxide products | 50 | % | 50 | % | 50 | % | ||||||
* | Nippon Ketjen Company Limited - a joint venture with Sumitomo Metal Mining Company Limited that produces refinery catalysts | 50 | % | 50 | % | 50 | % | ||||||
* | Eurecat S.A. - a joint venture with IFP Investissements for refinery catalysts regeneration services | 50 | % | 50 | % | 50 | % | ||||||
* | Fábrica Carioca de Catalisadores S.A. - a joint venture with Petrobras Quimica S.A. - PETROQUISA that produces catalysts and includes catalysts research and product development activities | 50 | % | 50 | % | 50 | % | ||||||
* | Stannica, LLC - a joint venture with PMC Group, Inc. that produces tin stabilizers | 50 | % | 50 | % | 50 | % | ||||||
Summary of Assets, Liabilities and Results of Operations for Significant Unconsolidated Joint Ventures | The following summary lists our assets, liabilities and results of operations for our significant unconsolidated joint ventures presented herein (in thousands): | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Summary of Balance Sheet Information: | |||||||||||||
Current assets | $ | 246,795 | $ | 313,446 | |||||||||
Noncurrent assets | 181,509 | 198,776 | |||||||||||
Total assets | $ | 428,304 | $ | 512,222 | |||||||||
Current liabilities | $ | 81,613 | $ | 100,469 | |||||||||
Noncurrent liabilities | 63,585 | 77,734 | |||||||||||
Total liabilities | $ | 145,198 | $ | 178,203 | |||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Summary of Statements of Income Information: | |||||||||||||
Net sales | $ | 609,728 | $ | 598,459 | $ | 601,233 | |||||||
Gross profit | $ | 167,156 | $ | 169,406 | $ | 165,650 | |||||||
Income before income taxes | $ | 102,764 | $ | 101,652 | $ | 105,329 | |||||||
Net income | $ | 72,247 | $ | 71,294 | $ | 71,561 | |||||||
Other_Assets_Tables
Other Assets (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Other Assets, Noncurrent [Abstract] | ||||||||
Other Assets | Other assets consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Deferred income taxes—noncurrent(a) | $ | 62,440 | $ | 65,667 | ||||
Assets related to unrecognized tax benefits(a) | 22,100 | 25,730 | ||||||
Long-term advances to joint ventures(b) | 34,084 | 25,124 | ||||||
Deferred financing costs(c) | 23,583 | 4,150 | ||||||
Other | 18,749 | 39,558 | ||||||
Total | $ | 160,956 | $ | 160,229 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 9, “Investments.” | |||||||
(c) | See Note 13, “Long-Term Debt.” |
Goodwill_and_Other_Intangibles1
Goodwill and Other Intangibles (Tables) | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ||||||||||||||||||||||||||||
Changes in Goodwill by Operating Segment | The following table summarizes the changes in goodwill by operating segment for the years ended December 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||
Performance Chemicals | Catalyst Solutions | Total | ||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 43,519 | $ | 233,447 | $ | 276,966 | ||||||||||||||||||||||
Foreign currency translation adjustments | 84 | 7,153 | 7,237 | |||||||||||||||||||||||||
Balance at December 31, 2013 | 43,603 | 240,600 | 284,203 | |||||||||||||||||||||||||
Divestitures(a) | — | (15,088 | ) | (15,088 | ) | |||||||||||||||||||||||
Foreign currency translation adjustments | (1,321 | ) | (24,532 | ) | (25,853 | ) | ||||||||||||||||||||||
Balance at December 31, 2014 | $ | 42,282 | $ | 200,980 | $ | 243,262 | ||||||||||||||||||||||
(a) | In 2014 we reduced Catalyst Solutions segment goodwill by $15.1 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||||||
Other Intangibles | Other intangibles consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||
Customer Lists and Relationships | Trade Names (a) | Patents and Technology | Land Use Rights | Manufacturing Contracts and Supply/Service Agreements | Other | Total | ||||||||||||||||||||||
Gross Asset Value | ||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | 85,167 | $ | 26,943 | $ | 47,876 | $ | 6,203 | $ | 8,523 | $ | 23,412 | $ | 198,124 | ||||||||||||||
Foreign currency translation adjustments and other | 1,259 | (36 | ) | 867 | 173 | (185 | ) | 216 | 2,294 | |||||||||||||||||||
Balance at December 31, 2013 | 86,426 | 26,907 | 48,743 | 6,376 | 8,338 | 23,628 | 200,418 | |||||||||||||||||||||
Acquisitions (b) | — | — | 5,228 | — | — | — | 5,228 | |||||||||||||||||||||
Divestitures (c) | (34,892 | ) | (8,171 | ) | (11,316 | ) | (4,929 | ) | (4,474 | ) | (4,758 | ) | (68,540 | ) | ||||||||||||||
Foreign currency translation adjustments and other | (3,055 | ) | (1,181 | ) | (2,257 | ) | (40 | ) | — | (700 | ) | (7,233 | ) | |||||||||||||||
Balance at December 31, 2014 | $ | 48,479 | $ | 17,555 | $ | 40,398 | $ | 1,407 | $ | 3,864 | $ | 18,170 | $ | 129,873 | ||||||||||||||
Accumulated Amortization | ||||||||||||||||||||||||||||
Balance at December 31, 2012 | $ | (31,484 | ) | $ | (8,486 | ) | $ | (38,778 | ) | $ | (1,079 | ) | $ | (6,512 | ) | $ | (17,321 | ) | $ | (103,660 | ) | |||||||
Amortization | (4,332 | ) | (995 | ) | (797 | ) | (166 | ) | (647 | ) | (1,129 | ) | (8,066 | ) | ||||||||||||||
Foreign currency translation adjustments and other | (172 | ) | 511 | (779 | ) | (23 | ) | 185 | (211 | ) | (489 | ) | ||||||||||||||||
Balance at December 31, 2013 | (35,988 | ) | (8,970 | ) | (40,354 | ) | (1,268 | ) | (6,974 | ) | (18,661 | ) | (112,215 | ) | ||||||||||||||
Amortization | (2,839 | ) | (824 | ) | (388 | ) | (42 | ) | (368 | ) | (1,276 | ) | (5,737 | ) | ||||||||||||||
Divestitures (c) | 14,487 | 1,539 | 5,738 | (100 | ) | 4,164 | 1,756 | 27,584 | ||||||||||||||||||||
Foreign currency translation adjustments and other | 1,409 | 343 | 2,173 | 3 | — | 692 | 4,620 | |||||||||||||||||||||
Balance at December 31, 2014 | $ | (22,931 | ) | $ | (7,912 | ) | $ | (32,831 | ) | $ | (1,407 | ) | $ | (3,178 | ) | $ | (17,489 | ) | $ | (85,748 | ) | |||||||
Net Book Value at December 31, 2013 | $ | 50,438 | $ | 17,937 | $ | 8,389 | $ | 5,108 | $ | 1,364 | $ | 4,967 | $ | 88,203 | ||||||||||||||
Net Book Value at December 31, 2014 | $ | 25,548 | $ | 9,643 | $ | 7,567 | $ | — | $ | 686 | $ | 681 | $ | 44,125 | ||||||||||||||
(a) | Trade names include a gross carrying amount of $9.2 million for an indefinite-lived intangible asset. | |||||||||||||||||||||||||||
(b) | Increase in Patents and Technology relates to a purchase accounting adjustment in connection with our acquisition of Cambridge Chemical Company, Ltd. | |||||||||||||||||||||||||||
(c) | In 2014 we reduced intangible assets by $68.5 million and related accumulated amortization by $27.6 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||||||
Total Estimated Amortization Expense of Other Intangibles for Next Five Fiscal Years | Total estimated amortization expense of other intangibles for the next five fiscal years is as follows (in thousands): | |||||||||||||||||||||||||||
Estimated Amortization Expense | ||||||||||||||||||||||||||||
2015 | $ | 3,482 | ||||||||||||||||||||||||||
2016 | $ | 3,050 | ||||||||||||||||||||||||||
2017 | $ | 2,858 | ||||||||||||||||||||||||||
2018 | $ | 2,682 | ||||||||||||||||||||||||||
2019 | $ | 2,567 | ||||||||||||||||||||||||||
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Payables and Accruals [Abstract] | ||||||||
Accrued Expenses | Accrued expenses consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Employee benefits, payroll and related taxes | $ | 49,072 | $ | 42,035 | ||||
Taxes other than income taxes and payroll taxes | 10,101 | 9,747 | ||||||
Deferred revenue | 10,370 | 17,896 | ||||||
Deferred income taxes—current(a) | 6,806 | 2,853 | ||||||
Accrued sales commissions | 7,768 | 7,241 | ||||||
Accrued interest payable | 13,212 | 7,716 | ||||||
Accrued utilities | 7,510 | 8,608 | ||||||
Reduction in force accruals(b) | 4,039 | 39,104 | ||||||
Aluminum alkyl supply capacity reduction(b) | 15,777 | — | ||||||
Other | 41,519 | 41,216 | ||||||
Total | $ | 166,174 | $ | 176,416 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 20, “Restructuring and Other.” |
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Debt Disclosure [Abstract] | ||||||||
Long-Term Debt | Long-term debt consists of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
1.875% Senior notes, net of unamortized discount of $6,605 at December 31, 2014 | $ | 844,315 | $ | — | ||||
3.00% Senior notes, net of unamortized discount of $306 at December 31, 2014 | 249,694 | — | ||||||
4.15% Senior notes, net of unamortized discount of $1,439 at December 31, 2014 | 423,561 | — | ||||||
4.50% Senior notes, net of unamortized discount of $1,871 at December 31, 2014 and $2,186 at December 31, 2013 | 348,129 | 347,814 | ||||||
5.10% Senior notes, net of unamortized discount of $3 at December 31, 2014 and $36 at December 31, 2013 | 324,997 | 324,964 | ||||||
5.45% Senior notes, net of unamortized discount of $1,029 at December 31, 2014 | 348,971 | — | ||||||
Commercial paper notes | 367,178 | 363,000 | ||||||
Fixed rate foreign borrowings | 1,958 | 7,879 | ||||||
Variable-rate foreign bank loans | 25,139 | 34,910 | ||||||
Miscellaneous | 189 | 297 | ||||||
Total long-term debt | 2,934,131 | 1,078,864 | ||||||
Less amounts due within one year | 711,096 | 24,554 | ||||||
Long-term debt, less current portion | $ | 2,223,035 | $ | 1,054,310 | ||||
Other_Noncurrent_Liabilities_T
Other Noncurrent Liabilities (Tables) | 12 Months Ended | |||||||
Dec. 31, 2014 | ||||||||
Disclosure Other Noncurrent Liabilities [Abstract] | ||||||||
Other Noncurrent Liabilities | Other noncurrent liabilities consist of the following at December 31, 2014 and 2013 (in thousands): | |||||||
December 31, | ||||||||
2014 | 2013 | |||||||
Liabilities related to uncertain tax positions(a) | $ | 25,340 | $ | 29,834 | ||||
Executive deferred compensation plan obligation | 22,168 | 23,030 | ||||||
Deferred revenue—long-term | 2,010 | 2,444 | ||||||
Environmental liabilities(b) | 4,841 | 9,213 | ||||||
Asset retirement obligations(b) | 15,085 | 16,930 | ||||||
Other | 18,261 | 29,159 | ||||||
Total | $ | 87,705 | $ | 110,610 | ||||
(a) | See Note 19, “Income Taxes.” | |||||||
(b) | See Note 16, “Commitments and Contingencies.” |
Stockbased_Compensation_Expens1
Stock-based Compensation Expense (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Share-based Compensation [Abstract] | |||||||||||||
Fixed-Price Stock Options | The following table summarizes information about the Company’s fixed-price stock options as of and for the year ended December 31, 2014: | ||||||||||||
Shares | Weighted-Average Exercise Price | Weighted-Average Remaining Contractual Term (Years) | Aggregate Intrinsic Value | ||||||||||
(in thousands) | |||||||||||||
Outstanding at December 31, 2013 | 1,369,116 | $ | 47.55 | 7 | $ | 22,795 | |||||||
Granted | 222,939 | 63.84 | |||||||||||
Exercised | (77,546 | ) | 34.99 | ||||||||||
Forfeited | (26,133 | ) | 64.93 | ||||||||||
Expired | (4,133 | ) | 62.6 | ||||||||||
Outstanding at December 31, 2014 | 1,484,243 | $ | 50.3 | 6.5 | $ | 17,887 | |||||||
Exercisable at December 31, 2014 | 958,599 | $ | 42.33 | 5.4 | $ | 17,887 | |||||||
Weighted-Average Assumptions used to Estimate Fair Value of Each Option Granted | The fair value of each option granted during the years ended December 31, 2014, 2013 and 2012 was estimated on the date of grant using the Black-Scholes option-pricing model with the following weighted-average assumptions: | ||||||||||||
Year Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Dividend yield | 1.71 | % | 1.58 | % | 1.59 | % | |||||||
Volatility | 33.03 | % | 33.55 | % | 34.04 | % | |||||||
Average expected life (years) | 6 | 6 | 6 | ||||||||||
Risk-free interest rate | 2.94 | % | 2.18 | % | 2.05 | % | |||||||
Fair value of options granted | $ | 19.56 | $ | 19.73 | $ | 20 | |||||||
Activity in Performance Unit Awards | The following table summarizes activity in performance unit awards as of and for the year ended December 31, 2014: | ||||||||||||
Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
Nonvested, beginning of period | 371,403 | $ | 63.08 | ||||||||||
Granted | 300,644 | 66.83 | |||||||||||
Vested | (116,620 | ) | 58.02 | ||||||||||
Forfeited | (99,409 | ) | 65.97 | ||||||||||
Nonvested, end of period | 456,018 | 66.21 | |||||||||||
Activity in Non-Performance Based Restricted Stock Awards | The following table summarizes activity in non-performance based restricted stock and restricted stock unit awards as of and for the year ended December 31, 2014: | ||||||||||||
Shares | Weighted-Average Grant Date Fair Value Per Share | ||||||||||||
Nonvested, beginning of period | 111,195 | $ | 59.32 | ||||||||||
Granted | 44,811 | 60.96 | |||||||||||
Vested | (32,850 | ) | 60.75 | ||||||||||
Forfeited | (17,868 | ) | 48.93 | ||||||||||
Nonvested, end of period | 105,288 | 61.34 | |||||||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ||||||||||||||||||||||||
Activity in Recorded Environmental Liabilities Activity | We had the following activity in our recorded environmental liabilities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Balance, beginning of year | $ | 16,599 | $ | 20,322 | $ | 12,359 | ||||||||||||||||||
Expenditures | (4,548 | ) | (3,013 | ) | (1,451 | ) | ||||||||||||||||||
Divestitures | (1,954 | ) | — | — | ||||||||||||||||||||
Changes in estimates recorded to earnings and other | 34 | (902 | ) | 227 | ||||||||||||||||||||
Exit of phosphorus flame retardants business | — | — | 8,700 | |||||||||||||||||||||
Foreign currency translation | (896 | ) | 192 | 487 | ||||||||||||||||||||
Balance, end of year | 9,235 | 16,599 | 20,322 | |||||||||||||||||||||
Less amounts reported in Accrued expenses | 4,394 | 7,386 | 3,109 | |||||||||||||||||||||
Amounts reported in Other noncurrent liabilities | $ | 4,841 | $ | 9,213 | $ | 17,213 | ||||||||||||||||||
Future Non-Cancelable Minimum Lease Payments for Next Five Years and Thereafter | The following schedule details the future non-cancelable minimum lease payments for the next five years and thereafter (in thousands): | |||||||||||||||||||||||
Minimum Operating Lease Payments | ||||||||||||||||||||||||
2015 | $ | 8,045 | ||||||||||||||||||||||
2016 | $ | 5,674 | ||||||||||||||||||||||
2017 | $ | 4,638 | ||||||||||||||||||||||
2018 | $ | 2,551 | ||||||||||||||||||||||
2019 | $ | 2,029 | ||||||||||||||||||||||
Thereafter | $ | 4,036 | ||||||||||||||||||||||
Letters of Credit and Guarantee Agreements | The following table summarizes our letters of credit and guarantee agreements (in thousands): | |||||||||||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | Thereafter | |||||||||||||||||||
Letters of credit and other guarantees | $ | 17,774 | $ | 3,528 | $ | 4,011 | $ | 1,187 | $ | 14 | $ | 3,629 | ||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||
Amount of Income Tax (Expense) Benefit Allocated to Component of Other Comprehensive Income (Loss) | The components and activity in Accumulated other comprehensive (loss) income consisted of the following during the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||||||||||||||
Foreign Currency Translation(a) | Pension and Post-Retirement Benefits(b) | Net Investment Hedge(c) | Interest Rate Swap(d) | Other | Total | |||||||||||||||||||
Balance at December 31, 2011 | $ | 56,245 | $ | 5,060 | $ | — | $ | — | $ | (976 | ) | $ | 60,329 | |||||||||||
Current period change | 26,846 | (6,533 | ) | — | — | 212 | 20,525 | |||||||||||||||||
Tax benefit (expense) | 2,026 | 2,462 | — | — | (78 | ) | 4,410 | |||||||||||||||||
Balance at December 31, 2012 | 85,117 | 989 | — | — | (842 | ) | 85,264 | |||||||||||||||||
Current period change | 29,539 | (781 | ) | — | — | 214 | 28,972 | |||||||||||||||||
Tax benefit (expense) | 1,809 | 279 | — | — | (79 | ) | 2,009 | |||||||||||||||||
Balance at December 31, 2013 | 116,465 | 487 | — | — | (707 | ) | 116,245 | |||||||||||||||||
Current period change | (163,456 | ) | (772 | ) | 17,971 | (33,091 | ) | 217 | (179,131 | ) | ||||||||||||||
Tax benefit (expense) | (5,273 | ) | 285 | (6,587 | ) | 12,129 | (81 | ) | 473 | |||||||||||||||
Balance at December 31, 2014 | $ | (52,264 | ) | $ | — | $ | 11,384 | $ | (20,962 | ) | $ | (571 | ) | $ | (62,413 | ) | ||||||||
(a) | Current period change for the year ended December 31, 2012 includes $12.3 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.” Current period change for the year ended December 31, 2014 includes $17.8 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.” | |||||||||||||||||||||||
(b) | Current period change for the year ended December 31, 2012 includes $6.5 million related to a supplemental executive retirement plan settlement in connection with the retirement of our former CEO and executive chairman, and ($4.5) million related to various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. | |||||||||||||||||||||||
(c) | Current period change for the year ended December 31, 2014 includes $12.8 million related to the revaluation of our euro-denominated senior notes and a $5.2 million gain on the settlement of related foreign currency forward contracts, both of which were designated as a hedge of our net investment in foreign operations. See Note 13, “Long-Term Debt” for additional information about these transactions. | |||||||||||||||||||||||
(d) | Current period change for the year ended December 31, 2014 includes a realized loss of ($33.4) million on the settlement of our forward starting interest rate swap which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 13, “Long-Term Debt” for additional information about this interest rate swap. | |||||||||||||||||||||||
Components and Activity in Accumulated Other Comprehensive Income, Net of Deferred Income Taxes | In accordance with accounting guidance issued by the FASB in February 2013 which became effective for us in the first quarter of 2013 on a prospective basis, below is information about amounts reclassified from accumulated other comprehensive (loss) income, net of deferred income taxes, for the years ended December 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||
Foreign Currency Translation(a) | Pension and Post-Retirement Benefits(b) | Net Investment Hedge | Interest Rate Swap(c) | Other | Total | |||||||||||||||||||
Accumulated other comprehensive income (loss) - balance at December 31, 2012 | $ | 85,117 | $ | 989 | $ | — | $ | — | $ | (842 | ) | $ | 85,264 | |||||||||||
Other comprehensive income (loss) before reclassifications | 31,704 | — | — | — | (2 | ) | 31,702 | |||||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | — | (502 | ) | — | — | 137 | (365 | ) | ||||||||||||||||
Other comprehensive income (loss), net of tax | 31,704 | (502 | ) | — | — | 135 | 31,337 | |||||||||||||||||
Other comprehensive income attributable to noncontrolling interests | (356 | ) | — | — | — | — | (356 | ) | ||||||||||||||||
Accumulated other comprehensive income (loss) - balance at December 31, 2013 | $ | 116,465 | $ | 487 | $ | — | $ | — | $ | (707 | ) | $ | 116,245 | |||||||||||
Other comprehensive (loss) income before reclassifications | (151,059 | ) | — | 11,384 | (21,174 | ) | — | (160,849 | ) | |||||||||||||||
Amounts reclassified from accumulated other comprehensive income (loss) | (17,750 | ) | (487 | ) | — | 212 | 136 | (17,889 | ) | |||||||||||||||
Other comprehensive (loss) income, net of tax | (168,809 | ) | (487 | ) | 11,384 | (20,962 | ) | 136 | (178,738 | ) | ||||||||||||||
Other comprehensive loss attributable to noncontrolling interests | 80 | — | — | — | — | 80 | ||||||||||||||||||
Accumulated other comprehensive (loss) income - balance at December 31, 2014 | $ | (52,264 | ) | $ | — | $ | 11,384 | $ | (20,962 | ) | $ | (571 | ) | $ | (62,413 | ) | ||||||||
(a) | Amounts reclassified from accumulated other comprehensive income (loss) for the year ended December 31, 2014 are included in (Loss) income from discontinued operations (net of tax) and resulted from the release of cumulative foreign currency translation adjustments into earnings upon the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.” | |||||||||||||||||||||||
(b) | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income consists of amortization of prior service benefit, which is a component of pension and postretirement benefits cost (credit). See Note 18, “Pension Plans and Other Postretirement Benefits.” | |||||||||||||||||||||||
(c) | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income is included in interest expense. See Note 13, “Long-Term Debt.” |
Pension_Plans_and_Other_Postre1
Pension Plans and Other Postretirement Benefits (Tables) | 12 Months Ended | |||||||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||||||
Financial Assets Accounted for at Fair Value on Recurring Basis | The following table sets forth the assets of our pension and postretirement plans that were accounted for at fair value on a recurring basis as of December 31, 2014 (in thousands): | |||||||||||||||||||||||
31-Dec-14 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||||||||||
Pension Assets: | ||||||||||||||||||||||||
Domestic Equity(a) | $ | 169,581 | $ | 169,581 | $ | — | $ | — | ||||||||||||||||
International Equity(b) | 85,007 | 85,007 | — | — | ||||||||||||||||||||
Fixed Income(c) | 268,911 | 255,828 | 13,083 | — | ||||||||||||||||||||
Absolute Return(d) | 80,740 | — | — | 80,740 | ||||||||||||||||||||
Cash | 3,455 | 3,455 | — | — | ||||||||||||||||||||
Total Pension Assets | $ | 607,694 | $ | 513,871 | $ | 13,083 | $ | 80,740 | ||||||||||||||||
Postretirement Assets: | ||||||||||||||||||||||||
Fixed Income(c) | $ | 4,439 | $ | — | $ | 4,439 | $ | — | ||||||||||||||||
(a) | Consists primarily of U.S. stock funds that track or are actively managed and measured against the S&P 500 index. | |||||||||||||||||||||||
(b) | Consists primarily of international equity funds which invest in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | |||||||||||||||||||||||
(c) | Consists primarily of debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | |||||||||||||||||||||||
(d) | Consists primarily of funds with holdings in private investment companies. See additional information about the Absolute Return investments below. | |||||||||||||||||||||||
The following table sets forth the assets of our pension and postretirement plans that were accounted for at fair value on a recurring basis as of December 31, 2013 (in thousands): | ||||||||||||||||||||||||
31-Dec-13 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||||||||||
Pension Assets: | ||||||||||||||||||||||||
Domestic Equity(a) | $ | 167,627 | $ | 167,627 | $ | — | $ | — | ||||||||||||||||
International Equity(b) | 70,609 | 70,609 | — | — | ||||||||||||||||||||
Fixed Income(c) | 248,095 | 237,151 | 10,944 | — | ||||||||||||||||||||
Absolute Return(d) | 125,137 | 1,538 | — | 123,599 | ||||||||||||||||||||
Cash | 5,077 | 5,077 | — | — | ||||||||||||||||||||
Total Pension Assets | $ | 616,545 | $ | 482,002 | $ | 10,944 | $ | 123,599 | ||||||||||||||||
Postretirement Assets: | ||||||||||||||||||||||||
Fixed Income(c) | $ | 5,620 | $ | — | $ | 5,620 | $ | — | ||||||||||||||||
(a) | Consists primarily of U.S. stock funds that track or are actively managed and measured against the S&P 500 index. | |||||||||||||||||||||||
(b) | Consists primarily of an international equity fund which invests in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | |||||||||||||||||||||||
(c) | Consists primarily of mutual funds that hold debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | |||||||||||||||||||||||
(d) | Consists primarily of funds with holdings in private investment companies. See additional information about the Absolute Return investments below. | |||||||||||||||||||||||
Changes in Fair Value of Plans Level 3 Assets | The table below sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2014 (in thousands): | |||||||||||||||||||||||
Absolute Return: | Year Ended December 31, 2014 | |||||||||||||||||||||||
Beginning Balance | $ | 123,599 | ||||||||||||||||||||||
Total losses relating to assets sold during the period(a) | (10,112 | ) | ||||||||||||||||||||||
Total unrealized gains relating to assets still held at the reporting date(a) | 13,144 | |||||||||||||||||||||||
Purchases | 50,506 | |||||||||||||||||||||||
Sales | (96,397 | ) | ||||||||||||||||||||||
Ending Balance | $ | 80,740 | ||||||||||||||||||||||
(a) | These (losses) gains are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. | |||||||||||||||||||||||
The table below sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the year ended December 31, 2013 (in thousands): | ||||||||||||||||||||||||
Absolute Return: | Year Ended December 31, 2013 | |||||||||||||||||||||||
Beginning Balance | $ | 70,829 | ||||||||||||||||||||||
Total gains relating to assets sold during the period(a) | 994 | |||||||||||||||||||||||
Total unrealized losses relating to assets still held at the reporting date(a) | (4,511 | ) | ||||||||||||||||||||||
Purchases | 76,643 | |||||||||||||||||||||||
Sales | (20,356 | ) | ||||||||||||||||||||||
Ending Balance | $ | 123,599 | ||||||||||||||||||||||
(a) | These gains (losses) are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. | |||||||||||||||||||||||
Current Forecast of Benefit Payments, which Reflect Expected Future Service | The current forecast of benefit payments, which reflect expected future service, amounts to (in millions): | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Postretirement Benefits | ||||||||||||||||||||||
2015 | $ | 41.6 | $ | 40.1 | $ | 5 | ||||||||||||||||||
2016 | $ | 40.6 | $ | 39.1 | $ | 4.9 | ||||||||||||||||||
2017 | $ | 42.5 | $ | 40.1 | $ | 4.6 | ||||||||||||||||||
2018 | $ | 45.2 | $ | 43.8 | $ | 4.4 | ||||||||||||||||||
2019 | $ | 43.4 | $ | 41.9 | $ | 4.2 | ||||||||||||||||||
2020-2024 | $ | 230.8 | $ | 216.7 | $ | 19.1 | ||||||||||||||||||
Total Pension Benefits | ||||||||||||||||||||||||
Reconciliation of Benefit Obligations, Plan Assets and Funded Status of Plans | The following provides a reconciliation of benefit obligations, plan assets and funded status of the plans, as well as a summary of significant assumptions for our pension benefit plans (in thousands): | |||||||||||||||||||||||
Year Ended December 31, 2014 | Year Ended December 31, 2013 | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 678,582 | $ | 629,337 | $ | 762,395 | $ | 714,158 | ||||||||||||||||
Service cost | 8,775 | 7,029 | 13,962 | 12,177 | ||||||||||||||||||||
Interest cost | 32,062 | 30,491 | 29,883 | 28,406 | ||||||||||||||||||||
Actuarial loss (gain) | 141,228 | 130,887 | (88,392 | ) | (85,774 | ) | ||||||||||||||||||
Benefits paid | (41,779 | ) | (37,866 | ) | (41,132 | ) | (39,630 | ) | ||||||||||||||||
Divestitures(a) | (30,226 | ) | (30,226 | ) | — | — | ||||||||||||||||||
Employee contributions | 283 | — | 320 | — | ||||||||||||||||||||
Foreign exchange (gain) loss | (6,161 | ) | — | 1,546 | — | |||||||||||||||||||
Benefit obligation at December 31 | $ | 782,764 | $ | 729,652 | $ | 678,582 | $ | 629,337 | ||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 616,545 | $ | 605,604 | $ | 563,303 | $ | 554,179 | ||||||||||||||||
Actual return on plan assets | 54,195 | 53,696 | 83,853 | 83,499 | ||||||||||||||||||||
Employer contributions | 9,982 | 7,042 | 9,790 | 7,556 | ||||||||||||||||||||
Benefits paid | (41,779 | ) | (37,866 | ) | (41,132 | ) | (39,630 | ) | ||||||||||||||||
Divestitures(a) | (30,226 | ) | (30,226 | ) | — | — | ||||||||||||||||||
Employee contributions | 283 | — | 320 | — | ||||||||||||||||||||
Foreign exchange (loss) gain | (1,306 | ) | — | 411 | — | |||||||||||||||||||
Fair value of plan assets at December 31 | $ | 607,694 | $ | 598,250 | $ | 616,545 | $ | 605,604 | ||||||||||||||||
Funded status at December 31 | $ | (175,070 | ) | $ | (131,402 | ) | $ | (62,037 | ) | $ | (23,733 | ) | ||||||||||||
(a) | Reduction in benefit obligations and plan assets is in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations” for additional information about this transaction. | |||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||
Amounts recognized in consolidated balance sheets: | ||||||||||||||||||||||||
Current liabilities (accrued expenses) | $ | (4,535 | ) | $ | (3,219 | ) | $ | (4,390 | ) | $ | (2,856 | ) | ||||||||||||
Noncurrent liabilities (pension benefits) | (170,534 | ) | (128,183 | ) | (57,647 | ) | (20,877 | ) | ||||||||||||||||
Net pension liability | $ | (175,069 | ) | $ | (131,402 | ) | $ | (62,037 | ) | $ | (23,733 | ) | ||||||||||||
Amounts recognized in accumulated other comprehensive (loss) income: | ||||||||||||||||||||||||
Prior service benefit | $ | (607 | ) | $ | (286 | ) | $ | 70 | $ | 441 | ||||||||||||||
Net amount recognized | $ | (607 | ) | $ | (286 | ) | $ | 70 | $ | 441 | ||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 4.03 | % | 4.19 | % | 5 | % | 5.14 | % | ||||||||||||||||
Rate of compensation increase | 3.4 | % | — | % | 2.78 | % | 3.5 | % | ||||||||||||||||
Components of Pension Benefits Expense | The components of pension benefits cost (credit) are as follows (in thousands): | |||||||||||||||||||||||
Year Ended | Year Ended | Year Ended | ||||||||||||||||||||||
31-Dec-14 | 31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||
Service cost | $ | 8,775 | $ | 7,029 | $ | 13,962 | $ | 12,177 | $ | 12,741 | $ | 11,274 | ||||||||||||
Interest cost | 32,062 | 30,491 | 29,883 | 28,406 | 31,636 | 29,843 | ||||||||||||||||||
Expected return on assets | (40,141 | ) | (39,714 | ) | (39,392 | ) | (38,975 | ) | (44,752 | ) | (44,342 | ) | ||||||||||||
Actuarial loss (gain)(a) | 126,975 | 116,705 | (132,916 | ) | (130,297 | ) | 72,550 | 65,603 | ||||||||||||||||
Amortization of prior service benefit | (677 | ) | (727 | ) | (689 | ) | (741 | ) | (757 | ) | (812 | ) | ||||||||||||
Total net pension benefits cost (credit) | $ | 126,994 | $ | 113,784 | $ | (129,152 | ) | $ | (129,430 | ) | $ | 71,418 | $ | 61,566 | ||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 5 | % | 5.14 | % | 4.04 | % | 4.1 | % | 5.04 | % | 5.07 | % | ||||||||||||
Expected return on plan assets | 6.86 | % | 6.91 | % | 7.2 | % | 7.25 | % | 8.19 | % | 8.25 | % | ||||||||||||
Rate of compensation increase | 2.78 | % | 3.5 | % | 3.37 | % | 3.5 | % | 3.96 | % | 4.11 | % | ||||||||||||
(a) | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $5.8 million (recorded in the second quarter of 2012) for pension plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. | |||||||||||||||||||||||
Estimated Amounts to Be Amortized from Accumulated Other Comprehensive Income | The estimated amounts to be amortized from accumulated other comprehensive loss into net periodic pension costs during 2015 are as follows (in thousands): | |||||||||||||||||||||||
Total Pension Benefits | Domestic Pension Benefits | |||||||||||||||||||||||
Amortization of prior service benefit | $ | 126 | $ | 75 | ||||||||||||||||||||
Total Postretirement Benefits | ||||||||||||||||||||||||
Reconciliation of Benefit Obligations, Plan Assets and Funded Status of Plans | The following provides a reconciliation of benefit obligations, plan assets and funded status of the plans, as well as a summary of significant assumptions for our postretirement benefit plans (in thousands): | |||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | |||||||||||||||||||||||
Change in benefit obligations: | ||||||||||||||||||||||||
Benefit obligation at January 1 | $ | 62,832 | $ | 70,787 | ||||||||||||||||||||
Service cost | 216 | 309 | ||||||||||||||||||||||
Interest cost | 3,040 | 2,764 | ||||||||||||||||||||||
Actuarial loss (gain) | 3,741 | (6,165 | ) | |||||||||||||||||||||
Benefits paid | (5,329 | ) | (4,863 | ) | ||||||||||||||||||||
Benefit obligation at December 31 | $ | 64,500 | $ | 62,832 | ||||||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||
Fair value of plan assets at January 1 | $ | 5,620 | $ | 6,611 | ||||||||||||||||||||
Actual return on plan assets | 214 | 368 | ||||||||||||||||||||||
Employer contributions | 3,934 | 3,504 | ||||||||||||||||||||||
Benefits paid | (5,329 | ) | (4,863 | ) | ||||||||||||||||||||
Fair value of plan assets at December 31 | $ | 4,439 | $ | 5,620 | ||||||||||||||||||||
Funded status at December 31 | $ | (60,061 | ) | $ | (57,212 | ) | ||||||||||||||||||
December 31, | ||||||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | |||||||||||||||||||||||
Amounts recognized in consolidated balance sheets: | ||||||||||||||||||||||||
Current liabilities (accrued expenses) | $ | (3,637 | ) | $ | (3,309 | ) | ||||||||||||||||||
Noncurrent liabilities (postretirement benefits) | (56,424 | ) | (53,903 | ) | ||||||||||||||||||||
Net postretirement liability | $ | (60,061 | ) | $ | (57,212 | ) | ||||||||||||||||||
Amounts recognized in accumulated other comprehensive (loss) income: | ||||||||||||||||||||||||
Prior service benefit | $ | 334 | $ | 429 | ||||||||||||||||||||
Net amount recognized | $ | 334 | $ | 429 | ||||||||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 4.15 | % | 5.03 | % | ||||||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | ||||||||||||||||||||
Components of Pension Benefits Expense | The components of postretirement benefits cost (credit) are as follows (in thousands): | |||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2014 | 2013 | 2012 | ||||||||||||||||||||||
Total Other Postretirement Benefits | Total Other Postretirement Benefits | Total Other Postretirement Benefits | ||||||||||||||||||||||
Service cost | $ | 216 | $ | 309 | $ | 274 | ||||||||||||||||||
Interest cost | 3,040 | 2,764 | 3,172 | |||||||||||||||||||||
Expected return on assets | (342 | ) | (413 | ) | (488 | ) | ||||||||||||||||||
Actuarial loss (gain)(a) | 3,868 | (6,120 | ) | 3,161 | ||||||||||||||||||||
Amortization of prior service benefit | (95 | ) | (95 | ) | (95 | ) | ||||||||||||||||||
Total net postretirement benefits cost (credit) | $ | 6,687 | $ | (3,555 | ) | $ | 6,024 | |||||||||||||||||
Weighted-average assumption percentages: | ||||||||||||||||||||||||
Discount rate | 5.03 | % | 4 | % | 5.1 | % | ||||||||||||||||||
Expected return on plan assets | 7 | % | 7 | % | 7 | % | ||||||||||||||||||
Rate of compensation increase | 3.5 | % | 3.5 | % | 4 | % | ||||||||||||||||||
(a) | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $4.4 million (recorded in the second quarter of 2012) for postretirement plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. | |||||||||||||||||||||||
Estimated Amounts to Be Amortized from Accumulated Other Comprehensive Income | The estimated amounts to be amortized from accumulated other comprehensive loss into net periodic postretirement costs during 2015 are as follows (in thousands): | |||||||||||||||||||||||
Total Other Postretirement Benefits | ||||||||||||||||||||||||
Amortization of prior service benefit | $ | (95 | ) |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ||||||||||||
Components of Income Tax Expense Benefit | Income from continuing operations before income taxes and equity in net income of unconsolidated investments, and current and deferred income tax expense (benefit) are composed of the following (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments: | ||||||||||||
Domestic | $ | 45,689 | $ | 351,731 | $ | 311,195 | ||||||
Foreign | 167,490 | 186,711 | 57,017 | |||||||||
Total | $ | 213,179 | $ | 538,442 | $ | 368,212 | ||||||
Current income tax expense: | ||||||||||||
Federal | $ | 36,708 | $ | 53,953 | $ | 67,022 | ||||||
State | 3,209 | 2,195 | 6,107 | |||||||||
Foreign | 25,700 | 18,414 | 19,672 | |||||||||
Total | $ | 65,617 | $ | 74,562 | $ | 92,801 | ||||||
Deferred income tax expense (benefit): | ||||||||||||
Federal | $ | (32,890 | ) | $ | 69,817 | $ | 928 | |||||
State | (1,139 | ) | 2,416 | 648 | ||||||||
Foreign | (13,104 | ) | (12,350 | ) | (13,944 | ) | ||||||
Total | $ | (47,133 | ) | $ | 59,883 | $ | (12,368 | ) | ||||
Total income tax expense | $ | 18,484 | $ | 134,445 | $ | 80,433 | ||||||
Significant Differences Between United States Federal Statutory Rate and Effective Income Tax Rate | The reconciliation of the U.S. federal statutory rate to the effective income tax rate is as follows: | |||||||||||
% of Income Before Income Taxes | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Federal statutory rate | 35 | % | 35 | % | 35 | % | ||||||
State taxes, net of federal tax benefit | 0.2 | 0.7 | 1.4 | |||||||||
Change in valuation allowance(a) | 1 | (2.2 | ) | 3.4 | ||||||||
Impact of foreign earnings, net(b) | (23.6 | ) | (10.3 | ) | (6.3 | ) | ||||||
Depletion | (2.4 | ) | (0.9 | ) | (1.3 | ) | ||||||
Revaluation of unrecognized tax benefits/reserve requirements(c) | (0.6 | ) | (0.1 | ) | (1.7 | ) | ||||||
Domestic Manufacturing tax deduction(d) | (2.2 | ) | (0.9 | ) | (3.8 | ) | ||||||
Undistributed earnings of foreign subsidiaries(b) | (0.3 | ) | 2.9 | (4.9 | ) | |||||||
Other items, net | 1.6 | 0.8 | — | |||||||||
Effective income tax rate | 8.7 | % | 25 | % | 21.8 | % | ||||||
(a) | During 2013, the Avonmouth, United Kingdom legal entity was dissolved, therefore the corresponding valuation allowance and deferred tax assets were written off. During 2012, a valuation allowance was established for $15.9 million as a result of the planned shut-down of our Avonmouth, United Kingdom legal entity in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.” | |||||||||||
(b) | In prior years, we designated the undistributed earnings of substantially all of our foreign subsidiaries as indefinitely invested. The benefit of the lower tax rates in the jurisdictions for which we made this designation are reflected in our effective income tax rate. During 2014, 2013 and 2012, we received distributions of $12.6 million, $12.3 million and $56.9 million, respectively, from various foreign subsidiaries and joint ventures, and realized an expense (benefit), net of foreign tax credits, of $2.8 million, $2.4 million and $(1.8) million, respectively, related to the repatriation of these high taxed earnings. We have asserted, for all periods being reported, indefinite investment of our share of the income of JBC, a Free Zones company under the laws of the Hashemite Kingdom of Jordan. The applicable provisions of the Jordanian law, and applicable regulations thereunder, do not have a termination provision and the exemption is indefinite. As a Free Zones company, JBC is not subject to income taxes on the profits of products exported from Jordan, and currently, substantially all of the profits are from exports. This gave us a rate benefit of 12.4%, 4.5%, and 5.8% for 2014, 2013, and 2012, respectively. The rate has also benefited from rate differences in various countries including Belgium, and the Netherlands. In 2012, undistributed foreign subsidiary earnings were primarily impacted by a $17.4 million change related to the closure of our Avonmouth, United Kingdom site in connection with our exit of the phosphorus flame retardants business. | |||||||||||
(c) | During 2014, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2009 through 2010 which provided a net benefit of approximately $2.5 million. During 2012, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2008 which provided a net benefit of $5.2 million. | |||||||||||
(d) | During 2012, we amended the calculation of the domestic manufacturing tax deduction for the year 2010 and filed the 2011 tax return. As a result, in 2012 we recognized tax benefits of $1.5 million and $3.0 million related to the 2010 and 2011 tax years, respectively. | |||||||||||
Deferred Income Tax Assets and Liabilities Recorded on Consolidated Balance Sheets | The deferred income tax assets and liabilities recorded on the consolidated balance sheets as of December 31, 2014 and 2013 consist of the following (in thousands): | |||||||||||
December 31, | ||||||||||||
2014 | 2013 | |||||||||||
Deferred tax assets: | ||||||||||||
Postretirement benefits other than pensions | $ | 221 | $ | 300 | ||||||||
Accrued employee benefits | 20,834 | 31,089 | ||||||||||
Operating loss carryovers | 82,017 | 88,614 | ||||||||||
Pensions | 79,113 | 37,172 | ||||||||||
Tax credit carryovers | 34,469 | 35,170 | ||||||||||
Undistributed earnings of foreign subsidiaries | 540 | — | ||||||||||
Other | 21,845 | 15,447 | ||||||||||
Gross deferred tax assets | 239,039 | 207,792 | ||||||||||
Valuation allowance | (30,768 | ) | (33,757 | ) | ||||||||
Deferred tax assets | 208,271 | 174,035 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Depreciation | (184,548 | ) | (213,575 | ) | ||||||||
Foreign currency translation adjustments | (4,752 | ) | (3,104 | ) | ||||||||
Undistributed earnings of foreign subsidiaries | — | (71 | ) | |||||||||
Other | (18,420 | ) | (19,747 | ) | ||||||||
Deferred tax liabilities | (207,720 | ) | (236,497 | ) | ||||||||
Net deferred tax assets (liabilities) | $ | 551 | $ | (62,462 | ) | |||||||
Classification in the consolidated balance sheets: | ||||||||||||
Current deferred tax assets | $ | 1,801 | $ | 3,912 | ||||||||
Current deferred tax liabilities | (6,806 | ) | (2,853 | ) | ||||||||
Noncurrent deferred tax assets | 62,440 | 65,667 | ||||||||||
Noncurrent deferred tax liabilities | (56,884 | ) | (129,188 | ) | ||||||||
Net deferred tax assets (liabilities) | $ | 551 | $ | (62,462 | ) | |||||||
Changes in Balance of Deferred Tax Asset Valuation Allowance | Changes in the balance of our deferred tax asset valuation allowance are as follows (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at January 1 | $ | (33,757 | ) | $ | (49,562 | ) | $ | (36,419 | ) | |||
Additions | (1,895 | ) | (4,359 | ) | (20,182 | ) | ||||||
Deductions | 4,884 | 20,164 | 7,039 | |||||||||
Balance at December 31 | $ | (30,768 | ) | $ | (33,757 | ) | $ | (49,562 | ) | |||
Reconciliation of Total Gross Liability Related to Uncertain Tax Positions | The following is a reconciliation of our total gross liability related to uncertain tax positions for 2014, 2013 and 2012 (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance at January 1 | $ | 29,143 | $ | 28,398 | $ | 29,789 | ||||||
Additions for tax positions related to prior years | — | — | 4,242 | |||||||||
Reductions for tax positions related to prior years | (214 | ) | (348 | ) | — | |||||||
Additions for tax positions related to current year | 2,232 | 2,061 | 3,639 | |||||||||
Lapses in statutes of limitations | (5,057 | ) | (473 | ) | (10,057 | ) | ||||||
Foreign currency translation adjustment | (1,135 | ) | (495 | ) | 785 | |||||||
Balance at December 31 | $ | 24,969 | $ | 29,143 | $ | 28,398 | ||||||
Restructuring_and_Other_Tables
Restructuring and Other (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Restructuring and Related Activities [Abstract] | ||||||||||||
Restructuring and Other Charges Reported in Consolidated Statements of Income | Restructuring and other charges, net, reported in the consolidated statements of income for the years ended December 31, 2014, 2013 and 2012 consist of the following (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Charges in connection with aluminum alkyl supply capacity reduction(a) | $ | 23,521 | $ | — | $ | — | ||||||
Charges in connection with global business realignment(b) | — | 33,361 | — | |||||||||
Exit of phosphorus flame retardants business(c) | — | — | 100,777 | |||||||||
Defined benefit pension plan curtailment gain, net(d) | — | — | (4,507 | ) | ||||||||
Employer contribution to defined contribution plan(d) | — | — | 10,081 | |||||||||
Other, net(e) | 2,426 | — | 5,334 | |||||||||
Total Restructuring and other charges, net | $ | 25,947 | $ | 33,361 | $ | 111,685 | ||||||
(a) | In 2014, we initiated action to reduce high cost supply capacity of certain aluminum alkyl products, primarily through the termination of a third party manufacturing contract. Based on the contract termination, we estimated costs of approximately $14.0 million ($9.3 million after income taxes) in the first quarter and $6.5 million ($4.3 million after income taxes) in the fourth quarter for contract termination and volume commitments. Additionally, in the first quarter of 2014 we recorded an impairment charge of $3.0 million ($1.9 million after income taxes) for certain capital project costs also related to aluminum alkyls capacity which we do not expect to recover. | |||||||||||
(b) | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. | |||||||||||
(c) | In the second quarter of 2012, we recorded net charges amounting to $94.7 million ($73.6 million after income taxes), and in the fourth quarter we recorded net charges amounting to $6.1 million ($2.5 million after income taxes), in connection with our exit of the phosphorus flame retardants business, whose products were sourced mainly at our Avonmouth, United Kingdom and Nanjing, China manufacturing sites. The charges are comprised mainly of non-cash items consisting of net asset write-offs of approximately $57 million and write-offs of foreign currency translation adjustments of approximately $12 million, as well as accruals for future cash costs associated with related severance programs of approximately $22 million, estimated site remediation costs of approximately $9 million, other estimated exit costs of approximately $3 million, partly offset by a gain of approximately $2 million related to the sale of our Nanjing, China manufacturing site. Payments under this restructuring plan are substantially complete. | |||||||||||
(d) | In the fourth quarter of 2012, we recorded a net curtailment gain of $4.5 million ($2.9 million after income taxes) and a one-time employer contribution to the Company’s defined contribution plan of $10.1 million ($6.4 million after income taxes), both in connection with various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. See Note 18, “Pension Plans and Other Postretirement Benefits.” | |||||||||||
(e) | The amount for 2014 mainly consists of $3.3 million ($2.1 million after income taxes) recorded in the second quarter for certain multi-product facility project costs that we do not expect to recover in future periods, net of other credits recorded in the fourth quarter. In the fourth quarter of 2012 we recorded charges amounting to $5.3 million ($4.3 million after income taxes) related to changes in product sourcing and other items. | |||||||||||
Schedule of Restructuring Reserve by Type of Cost | We had the following activity in our recorded workforce reduction liabilities for the years ended December 31, 2014, 2013 and 2012 (in thousands): | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
Balance, beginning of year | $ | 39,104 | $ | 15,898 | $ | 4,780 | ||||||
Workforce reduction charges(a) | 1,948 | 33,361 | 21,640 | |||||||||
Payments | (35,139 | ) | (8,915 | ) | (10,929 | ) | ||||||
Amount reversed to income(b) | (1,200 | ) | (1,209 | ) | (45 | ) | ||||||
Foreign currency translation | (674 | ) | (31 | ) | 452 | |||||||
Balance, end of year | 4,039 | 39,104 | 15,898 | |||||||||
Less amounts reported in Accrued expenses | 4,039 | 39,104 | 14,428 | |||||||||
Amounts reported in Other noncurrent liabilities | $ | — | $ | — | $ | 1,470 | ||||||
(a) | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income. | |||||||||||
The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above. | ||||||||||||
The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | ||||||||||||
(b) | Amounts reversed to income reflect adjustments based on actual timing and amount of final settlements. |
Fair_Value_of_Financial_Instru1
Fair Value of Financial Instruments (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Fair Value of Long-Term Debt | ||||||||||||||||
December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Recorded Amount | Fair Value | Recorded Amount | Fair Value | |||||||||||||
(In thousands) | ||||||||||||||||
Long-term debt | $ | 2,934,131 | $ | 2,994,935 | $ | 1,078,864 | $ | 1,109,878 | ||||||||
Fair_Value_Measurement_Tables
Fair Value Measurement (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ||||||||||||||||
Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis | The following tables set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis as of December 31, 2014 and 2013 (in thousands): | |||||||||||||||
31-Dec-14 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Investments under executive deferred compensation plan (a) | $ | 22,168 | $ | 22,168 | $ | — | $ | — | ||||||||
Private equity securities (b) | $ | 1,806 | $ | 21 | $ | — | $ | 1,785 | ||||||||
Foreign currency forward contracts (c) | $ | 631 | $ | — | $ | 631 | $ | — | ||||||||
Pension assets (d) | $ | 607,694 | $ | 513,871 | $ | 13,083 | $ | 80,740 | ||||||||
Postretirement assets (d) | $ | 4,439 | $ | — | $ | 4,439 | $ | — | ||||||||
Liabilities: | ||||||||||||||||
Obligations under executive deferred compensation plan (a) | $ | 22,168 | $ | 22,168 | $ | — | $ | — | ||||||||
31-Dec-13 | Quoted Prices in Active Markets for Identical Items (Level 1) | Quoted Prices in Active Markets for Similar Items (Level 2) | Unobservable Inputs (Level 3) | |||||||||||||
Assets: | ||||||||||||||||
Investments under executive deferred compensation plan (a) | $ | 23,030 | $ | 23,030 | $ | — | $ | — | ||||||||
Private equity securities (b) | $ | 771 | $ | 21 | $ | — | $ | 750 | ||||||||
Foreign currency forward contracts (c) | $ | 161 | $ | — | $ | 161 | $ | — | ||||||||
Pension assets (d) | $ | 616,545 | $ | 482,002 | $ | 10,944 | $ | 123,599 | ||||||||
Postretirement assets (d) | $ | 5,620 | $ | — | $ | 5,620 | $ | — | ||||||||
Liabilities: | ||||||||||||||||
Obligations under executive deferred compensation plan (a) | $ | 23,030 | $ | 23,030 | $ | — | $ | — | ||||||||
(a) | We maintain an EDCP that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trust”) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1. | |||||||||||||||
(b) | Primarily consists of private equity securities classified as available-for-sale and are reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other (expenses) income, net, in our consolidated statements of income. Holdings in private equity securities are typically valued using the net asset valuations provided by the underlying private investment companies and as such are classified within Level 3. | |||||||||||||||
(c) | As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates, which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. Unless otherwise noted, these derivative financial instruments are not designated as hedging instruments under ASC 815, Derivatives and Hedging. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. | |||||||||||||||
(d) | See Note 18 “Pension Plans and Other Postretirement Benefits” for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. | |||||||||||||||
The following table presents the fair value reconciliation of private equity securities Level 3 assets measured at fair value on a recurring basis for the periods indicated: | ||||||||||||||||
Year Ended December 31, | ||||||||||||||||
2014 | 2013 | |||||||||||||||
Beginning balance | $ | 750 | $ | — | ||||||||||||
Total unrealized gains included in earnings relating to assets still held at the reporting date | 35 | — | ||||||||||||||
Purchases | 1,000 | 750 | ||||||||||||||
Ending balance | $ | 1,785 | $ | 750 | ||||||||||||
Operating_Segments_and_Geograp1
Operating Segments and Geographic Area Information (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2014 | ||||||||||||
Segment Reporting [Abstract] | ||||||||||||
Summarized Financial Information by Reportable Segments | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Net sales: | ||||||||||||
Performance Chemicals | $ | 1,351,596 | $ | 1,392,664 | $ | 1,451,247 | ||||||
Catalyst Solutions | 1,093,952 | 1,001,606 | 1,067,907 | |||||||||
Total net sales | $ | 2,445,548 | $ | 2,394,270 | $ | 2,519,154 | ||||||
Segment operating profit: | ||||||||||||
Performance Chemicals | $ | 306,616 | $ | 334,275 | $ | 410,359 | ||||||
Catalyst Solutions | 224,407 | 194,322 | 230,648 | |||||||||
Total segment operating profit | 531,023 | 528,597 | 641,007 | |||||||||
Equity in net income of unconsolidated investments: | ||||||||||||
Performance Chemicals | 10,068 | 8,875 | 6,416 | |||||||||
Catalyst Solutions | 25,674 | 22,854 | 31,651 | |||||||||
Total equity in net income of unconsolidated investments | 35,742 | 31,729 | 38,067 | |||||||||
Net income attributable to noncontrolling interests: | ||||||||||||
Performance Chemicals | (27,590 | ) | (26,663 | ) | (18,571 | ) | ||||||
Corporate & other | — | — | (20 | ) | ||||||||
Total net income attributable to noncontrolling interests | (27,590 | ) | (26,663 | ) | (18,591 | ) | ||||||
Segment income: | ||||||||||||
Performance Chemicals | 289,094 | 316,487 | 398,204 | |||||||||
Catalyst Solutions | 250,081 | 217,176 | 262,299 | |||||||||
Total segment income | 539,175 | 533,663 | 660,503 | |||||||||
Corporate & other(a) | (203,620 | ) | 81,439 | (129,559 | ) | |||||||
Restructuring and other charges, net(b) | (25,947 | ) | (33,361 | ) | (111,685 | ) | ||||||
Acquisition and integration related costs(c) | (30,158 | ) | — | — | ||||||||
Interest and financing expenses | (41,358 | ) | (31,559 | ) | (32,800 | ) | ||||||
Other (expenses) income, net | (16,761 | ) | (6,674 | ) | 1,229 | |||||||
Income tax expense | (18,484 | ) | (134,445 | ) | (80,433 | ) | ||||||
(Loss) income from discontinued operations (net of tax) | (69,531 | ) | 4,108 | 4,281 | ||||||||
Net income attributable to Albemarle Corporation | $ | 133,316 | $ | 413,171 | $ | 311,536 | ||||||
(a) | For the years ended December 31, 2014, 2013 and 2012, Corporate & other includes $(127.2) million, $143.1 million and $(68.0) million, respectively, of pension and OPEB plan (costs) credits (including mark-to-market actuarial gains and losses). | |||||||||||
(b) | See Note 20, “Restructuring and Other.” | |||||||||||
(c) | See Note 23, “Acquisitions.” | |||||||||||
Goodwill and Identifiable Assets by Reportable Segments | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Identifiable assets: | ||||||||||||
Performance Chemicals | $ | 1,042,177 | $ | 1,129,838 | $ | 1,110,006 | ||||||
Catalyst Solutions | 1,375,202 | 1,695,120 | 1,572,883 | |||||||||
Corporate & other(a) | 2,805,724 | 759,839 | 754,402 | |||||||||
Total identifiable assets | $ | 5,223,103 | $ | 3,584,797 | $ | 3,437,291 | ||||||
Goodwill: | ||||||||||||
Performance Chemicals | $ | 42,282 | $ | 43,603 | $ | 43,519 | ||||||
Catalyst Solutions | 200,980 | 240,600 | 233,447 | |||||||||
Total goodwill | $ | 243,262 | $ | 284,203 | $ | 276,966 | ||||||
(a) | As of December 31, 2014, Corporate & other included net proceeds received from the issuance of the 2014 Senior Notes, which, together with borrowings from our Commercial Paper Notes, Term Loan and Cash Bridge Facility, were used to finance the cash portion of the Merger Consideration, pay related fees and expenses and repay our senior notes which matured on February 1, 2015. See Note 13, “Long-Term Debt” and Note 23 “Acquisitions” for additional details about these transactions. | |||||||||||
Depreciation Amortization and Capital Expenditures by Reportable Segments | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Depreciation and amortization: | ||||||||||||
Performance Chemicals | $ | 48,233 | $ | 43,472 | $ | 37,831 | ||||||
Catalyst Solutions | 49,622 | 49,656 | 47,155 | |||||||||
Discontinued Operations | 3,165 | 12,054 | 12,120 | |||||||||
Corporate & other | 2,552 | 2,188 | 1,914 | |||||||||
Total depreciation and amortization | $ | 103,572 | $ | 107,370 | $ | 99,020 | ||||||
Capital expenditures: | ||||||||||||
Performance Chemicals | $ | 48,831 | $ | 94,506 | $ | 156,648 | ||||||
Catalyst Solutions | 61,721 | 60,326 | 122,746 | |||||||||
Corporate & other | 24 | 514 | 1,479 | |||||||||
Total capital expenditures | $ | 110,576 | $ | 155,346 | $ | 280,873 | ||||||
Net Sales | ||||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Net Sales: | ||||||||||||
United States | $ | 884,373 | $ | 933,182 | $ | 959,571 | ||||||
Foreign(a) | 1,561,175 | 1,461,088 | 1,559,583 | |||||||||
Total | $ | 2,445,548 | $ | 2,394,270 | $ | 2,519,154 | ||||||
(a) | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | |||||||||||
Long-Lived Assets | ||||||||||||
As of December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Long-Lived Assets: | ||||||||||||
United States | $ | 698,863 | $ | 748,719 | $ | 735,269 | ||||||
Netherlands | 167,965 | 193,775 | 192,540 | |||||||||
Jordan | 227,805 | 227,818 | 209,133 | |||||||||
Brazil | 59,474 | 78,078 | 85,353 | |||||||||
Germany | 75,813 | 86,175 | 72,797 | |||||||||
China | 5,310 | 41,858 | 39,542 | |||||||||
France | 37,347 | 34,523 | 32,305 | |||||||||
Korea | 80,362 | 86,827 | 81,962 | |||||||||
United Kingdom | 3,665 | 3,665 | — | |||||||||
Other foreign countries | 48,819 | 47,139 | 33,598 | |||||||||
Total | $ | 1,405,423 | $ | 1,548,577 | $ | 1,482,499 | ||||||
Net Sales to External Customers in Each of Segments | Net sales to external customers by product category in each of the segments consists of the following: | |||||||||||
Year Ended December 31, | ||||||||||||
2014 | 2013 | 2012 | ||||||||||
(In thousands) | ||||||||||||
Performance Chemicals: | ||||||||||||
Fire Safety Solutions | $ | 607,477 | $ | 620,972 | $ | 665,293 | ||||||
Specialty Chemicals | 520,297 | 520,998 | 519,606 | |||||||||
Fine Chemistry Services | 223,822 | 250,694 | 266,348 | |||||||||
Total Performance Chemicals | $ | 1,351,596 | $ | 1,392,664 | $ | 1,451,247 | ||||||
Catalyst Solutions: | ||||||||||||
Refinery Catalyst Solutions | $ | 844,221 | $ | 768,837 | $ | 794,933 | ||||||
Performance Catalyst Solutions | 249,731 | 232,769 | 272,974 | |||||||||
Total Catalyst Solutions | $ | 1,093,952 | $ | 1,001,606 | $ | 1,067,907 | ||||||
Consolidating_Guarantor_Financ1
Consolidating Guarantor Financial Information (Tables) | 12 Months Ended | |||||||||||||||||||
Dec. 31, 2014 | ||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||||||||||||||||||||
Condensed Balance Sheet | Consolidating Balance Sheet | |||||||||||||||||||
December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Assets | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 1,930,802 | $ | — | $ | 558,966 | $ | — | $ | 2,489,768 | ||||||||||
Trade accounts receivable, less allowance for doubtful accounts | 91,849 | — | 293,363 | — | 385,212 | |||||||||||||||
Other accounts receivable | 19,033 | — | 30,390 | — | 49,423 | |||||||||||||||
Intergroup receivable | 74,102 | — | 18,097 | (92,199 | ) | — | ||||||||||||||
Inventories | 201,006 | — | 171,543 | (14,188 | ) | 358,361 | ||||||||||||||
Other current assets | 45,901 | — | 25,111 | (4,926 | ) | 66,086 | ||||||||||||||
Total current assets | 2,362,693 | — | 1,097,470 | (111,313 | ) | 3,348,850 | ||||||||||||||
Property, plant and equipment, at cost | 1,726,690 | — | 893,980 | — | 2,620,670 | |||||||||||||||
Less accumulated depreciation and amortization | 1,047,372 | — | 341,430 | — | 1,388,802 | |||||||||||||||
Net property, plant and equipment | 679,318 | — | 552,550 | — | 1,231,868 | |||||||||||||||
Investments | 73,500 | — | 120,542 | — | 194,042 | |||||||||||||||
Investment in subsidiaries | 1,551,071 | — | — | (1,551,071 | ) | — | ||||||||||||||
Other assets | 35,837 | — | 125,119 | — | 160,956 | |||||||||||||||
Goodwill | 49,212 | — | 194,050 | — | 243,262 | |||||||||||||||
Other intangibles, net of amortization | 20,834 | — | 23,291 | — | 44,125 | |||||||||||||||
Total assets | $ | 4,772,465 | $ | — | $ | 2,113,022 | $ | (1,662,384 | ) | $ | 5,223,103 | |||||||||
Liabilities and Equity | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 122,479 | $ | — | $ | 109,226 | $ | — | $ | 231,705 | ||||||||||
Intergroup payable | 18,097 | — | 74,102 | (92,199 | ) | — | ||||||||||||||
Accrued expenses | 84,619 | — | 81,555 | — | 166,174 | |||||||||||||||
Current portion of long-term debt | 692,280 | — | 18,816 | — | 711,096 | |||||||||||||||
Dividends payable | 21,458 | — | — | — | 21,458 | |||||||||||||||
Income taxes payable | 1,396 | — | 7,944 | 113 | 9,453 | |||||||||||||||
Total current liabilities | 940,329 | — | 291,643 | (92,086 | ) | 1,139,886 | ||||||||||||||
Long-term debt | 2,214,755 | — | 8,280 | — | 2,223,035 | |||||||||||||||
Postretirement benefits | 56,424 | — | — | — | 56,424 | |||||||||||||||
Pension benefits | 128,238 | — | 42,296 | — | 170,534 | |||||||||||||||
Other noncurrent liabilities | 51,936 | — | 35,769 | — | 87,705 | |||||||||||||||
Deferred income taxes | 21,318 | — | 35,566 | — | 56,884 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Equity: | ||||||||||||||||||||
Albemarle Corporation shareholders’ equity: | ||||||||||||||||||||
Common stock | 780 | — | 6,808 | (6,808 | ) | 780 | ||||||||||||||
Additional paid-in capital | 10,447 | — | 553,172 | (553,172 | ) | 10,447 | ||||||||||||||
Accumulated other comprehensive loss | (62,413 | ) | — | (51,073 | ) | 51,073 | (62,413 | ) | ||||||||||||
Retained earnings | 1,410,651 | — | 1,061,391 | (1,061,391 | ) | 1,410,651 | ||||||||||||||
Total Albemarle Corporation shareholders’ equity | 1,359,465 | — | 1,570,298 | (1,570,298 | ) | 1,359,465 | ||||||||||||||
Noncontrolling interests | — | — | 129,170 | — | 129,170 | |||||||||||||||
Total equity | 1,359,465 | — | 1,699,468 | (1,570,298 | ) | 1,488,635 | ||||||||||||||
Total liabilities and equity | $ | 4,772,465 | $ | — | $ | 2,113,022 | $ | (1,662,384 | ) | $ | 5,223,103 | |||||||||
Condensed Consolidating Balance Sheet | ||||||||||||||||||||
December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Assets | ||||||||||||||||||||
Current assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Trade accounts receivable, less allowance for doubtful accounts | 149,834 | — | 297,030 | — | 446,864 | |||||||||||||||
Other accounts receivable | 11,812 | — | 33,282 | — | 45,094 | |||||||||||||||
Intergroup receivable | 88,090 | — | 28,433 | (116,523 | ) | — | ||||||||||||||
Inventories | 219,390 | — | 234,975 | (18,316 | ) | 436,049 | ||||||||||||||
Other current assets | 52,457 | — | 28,979 | (3,767 | ) | 77,669 | ||||||||||||||
Total current assets | 610,059 | — | 1,011,462 | (138,606 | ) | 1,482,915 | ||||||||||||||
Property, plant and equipment, at cost | 1,999,398 | — | 972,686 | — | 2,972,084 | |||||||||||||||
Less accumulated depreciation and amortization | 1,268,205 | — | 346,810 | — | 1,615,015 | |||||||||||||||
Net property, plant and equipment | 731,193 | — | 625,876 | — | 1,357,069 | |||||||||||||||
Investments | 69,616 | — | 142,562 | — | 212,178 | |||||||||||||||
Investment in subsidiaries | 1,611,662 | — | — | (1,611,662 | ) | — | ||||||||||||||
Other assets | 18,621 | — | 141,608 | — | 160,229 | |||||||||||||||
Goodwill | 49,212 | — | 234,991 | — | 284,203 | |||||||||||||||
Other intangibles, net of amortization | 35,003 | — | 53,200 | — | 88,203 | |||||||||||||||
Total assets | $ | 3,125,366 | $ | — | $ | 2,209,699 | $ | (1,750,268 | ) | $ | 3,584,797 | |||||||||
Liabilities and Equity | ||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||
Accounts payable | $ | 107,781 | $ | — | $ | 100,400 | $ | — | $ | 208,181 | ||||||||||
Intergroup payable | 28,433 | — | 88,090 | (116,523 | ) | — | ||||||||||||||
Accrued expenses | 92,273 | — | 84,143 | 176,416 | ||||||||||||||||
Current portion of long-term debt | 99 | — | 24,455 | — | 24,554 | |||||||||||||||
Dividends payable | 19,197 | — | — | — | 19,197 | |||||||||||||||
Income taxes payable | 2,364 | — | 5,651 | — | 8,015 | |||||||||||||||
Total current liabilities | 250,147 | — | 302,739 | (116,523 | ) | 436,363 | ||||||||||||||
Long-term debt | 1,035,977 | — | 18,333 | — | 1,054,310 | |||||||||||||||
Postretirement benefits | 53,903 | — | — | — | 53,903 | |||||||||||||||
Pension benefits | 20,931 | — | 36,716 | — | 57,647 | |||||||||||||||
Other noncurrent liabilities | 61,095 | — | 49,515 | — | 110,610 | |||||||||||||||
Deferred income taxes | 75,952 | — | 53,236 | — | 129,188 | |||||||||||||||
Commitments and contingencies | ||||||||||||||||||||
Equity: | ||||||||||||||||||||
Albemarle Corporation shareholders’ equity: | ||||||||||||||||||||
Common stock | 801 | — | 6,807 | (6,807 | ) | 801 | ||||||||||||||
Additional paid-in capital | 9,957 | — | 549,265 | (549,265 | ) | 9,957 | ||||||||||||||
Accumulated other comprehensive income | 116,245 | — | 111,038 | (111,038 | ) | 116,245 | ||||||||||||||
Retained earnings | 1,500,358 | — | 966,635 | (966,635 | ) | 1,500,358 | ||||||||||||||
Total Albemarle Corporation shareholders’ equity | 1,627,361 | — | 1,633,745 | (1,633,745 | ) | 1,627,361 | ||||||||||||||
Noncontrolling interests | — | — | 115,415 | — | 115,415 | |||||||||||||||
Total equity | 1,627,361 | — | 1,749,160 | (1,633,745 | ) | 1,742,776 | ||||||||||||||
Total liabilities and equity | $ | 3,125,366 | $ | — | $ | 2,209,699 | $ | (1,750,268 | ) | $ | 3,584,797 | |||||||||
Condensed Income Statement | Consolidating Statement of Income | |||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,565,965 | $ | — | $ | 1,565,241 | $ | (685,658 | ) | $ | 2,445,548 | |||||||||
Cost of goods sold | 1,095,072 | — | 1,269,415 | (689,787 | ) | 1,674,700 | ||||||||||||||
Gross profit | 470,893 | — | 295,826 | 4,129 | 770,848 | |||||||||||||||
Selling, general and administrative expenses | 252,098 | — | 103,037 | — | 355,135 | |||||||||||||||
Research and development expenses | 55,856 | — | 32,454 | — | 88,310 | |||||||||||||||
Restructuring and other charges, net | 9,871 | — | 16,076 | — | 25,947 | |||||||||||||||
Acquisition and integration related costs | 30,158 | — | — | — | 30,158 | |||||||||||||||
Intercompany service fee | 26,123 | — | (26,123 | ) | — | — | ||||||||||||||
Operating profit | 96,787 | — | 170,382 | 4,129 | 271,298 | |||||||||||||||
Interest and financing expenses | (41,361 | ) | — | 3 | — | (41,358 | ) | |||||||||||||
Other expenses, net | (10,534 | ) | — | (6,227 | ) | — | (16,761 | ) | ||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 44,892 | — | 164,158 | 4,129 | 213,179 | |||||||||||||||
Income tax expense | 5,464 | — | 11,513 | 1,507 | 18,484 | |||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 39,428 | — | 152,645 | 2,622 | 194,695 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 6,956 | — | 28,786 | — | 35,742 | |||||||||||||||
Net income from continuing operations | 46,384 | — | 181,431 | 2,622 | 230,437 | |||||||||||||||
Loss from discontinued operations (net of tax) | (19,373 | ) | — | (50,158 | ) | — | (69,531 | ) | ||||||||||||
Equity in undistributed earnings of subsidiaries | 106,305 | — | — | (106,305 | ) | — | ||||||||||||||
Net income | 133,316 | — | 131,273 | (103,683 | ) | 160,906 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (27,590 | ) | — | (27,590 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 133,316 | $ | — | $ | 103,683 | $ | (103,683 | ) | $ | 133,316 | |||||||||
Condensed Consolidating Statement of Comprehensive Loss | ||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 133,316 | $ | — | $ | 131,273 | $ | (103,683 | ) | $ | 160,906 | |||||||||
Total other comprehensive loss, net of tax | (178,658 | ) | — | (163,199 | ) | 163,119 | (178,738 | ) | ||||||||||||
Comprehensive loss | (45,342 | ) | — | (31,926 | ) | 59,436 | (17,832 | ) | ||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (27,510 | ) | — | (27,510 | ) | |||||||||||||
Comprehensive loss attributable to Albemarle Corporation | $ | (45,342 | ) | $ | — | $ | (59,436 | ) | $ | 59,436 | $ | (45,342 | ) | |||||||
Condensed Consolidating Statement of Income | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,563,483 | $ | — | $ | 1,437,664 | $ | (606,877 | ) | $ | 2,394,270 | |||||||||
Cost of goods sold | 1,025,989 | — | 1,131,158 | (613,348 | ) | 1,543,799 | ||||||||||||||
Gross profit | 537,494 | — | 306,506 | 6,471 | 850,471 | |||||||||||||||
Selling, general and administrative expenses | 60,818 | — | 97,371 | — | 158,189 | |||||||||||||||
Research and development expenses | 51,794 | — | 30,452 | — | 82,246 | |||||||||||||||
Restructuring and other charges, net | 23,880 | — | 9,481 | — | 33,361 | |||||||||||||||
Intercompany service fee | 18,038 | — | (18,038 | ) | — | — | ||||||||||||||
Operating profit | 382,964 | — | 187,240 | 6,471 | 576,675 | |||||||||||||||
Interest and financing expenses | (33,537 | ) | — | 1,978 | — | (31,559 | ) | |||||||||||||
Intergroup interest and financing expenses | (87 | ) | — | 87 | — | — | ||||||||||||||
Other (expenses) income, net | (9,281 | ) | — | 2,607 | — | (6,674 | ) | |||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 340,059 | — | 191,912 | 6,471 | 538,442 | |||||||||||||||
Income tax expense | 128,645 | — | 3,436 | 2,364 | 134,445 | |||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 211,414 | — | 188,476 | 4,107 | 403,997 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 6,940 | — | 24,789 | — | 31,729 | |||||||||||||||
Net income from continuing operations | 218,354 | — | 213,265 | 4,107 | 435,726 | |||||||||||||||
Income (loss) from discontinued operations (net of tax) | 6,906 | — | (2,798 | ) | — | 4,108 | ||||||||||||||
Equity in undistributed earnings of subsidiaries | 187,911 | — | — | (187,911 | ) | — | ||||||||||||||
Net income | 413,171 | — | 210,467 | (183,804 | ) | 439,834 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (26,663 | ) | — | (26,663 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 413,171 | $ | — | $ | 183,804 | $ | (183,804 | ) | $ | 413,171 | |||||||||
Condensed Consolidating Statement of Comprehensive Income (Loss) | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 413,171 | $ | — | $ | 210,467 | $ | (183,804 | ) | $ | 439,834 | |||||||||
Total other comprehensive income (loss), net of tax | 30,981 | — | (264,363 | ) | 264,719 | 31,337 | ||||||||||||||
Comprehensive income (loss) | 444,152 | — | (53,896 | ) | 80,915 | 471,171 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (27,019 | ) | — | (27,019 | ) | |||||||||||||
Comprehensive income (loss) attributable to Albemarle Corporation | $ | 444,152 | $ | — | $ | (80,915 | ) | $ | 80,915 | $ | 444,152 | |||||||||
Condensed Consolidating Statement of Income | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net sales | $ | 1,726,884 | $ | — | $ | 1,560,043 | $ | (767,773 | ) | $ | 2,519,154 | |||||||||
Cost of goods sold | 1,093,330 | — | 1,297,875 | (770,894 | ) | 1,620,311 | ||||||||||||||
Gross profit | 633,554 | — | 262,168 | 3,121 | 898,843 | |||||||||||||||
Selling, general and administrative expenses | 204,029 | — | 104,427 | — | 308,456 | |||||||||||||||
Research and development expenses | 47,763 | — | 31,156 | — | 78,919 | |||||||||||||||
Restructuring and other charges, net | 12,711 | — | 98,974 | — | 111,685 | |||||||||||||||
Intercompany service fee | 26,132 | — | (26,132 | ) | — | — | ||||||||||||||
Operating profit | 342,919 | — | 53,743 | 3,121 | 399,783 | |||||||||||||||
Interest and financing expenses | (33,193 | ) | — | 393 | — | (32,800 | ) | |||||||||||||
Other (expenses) income, net | (2,731 | ) | — | 3,960 | — | 1,229 | ||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 306,995 | — | 58,096 | 3,121 | 368,212 | |||||||||||||||
Income tax expense (benefit) | 80,444 | — | (1,150 | ) | 1,139 | 80,433 | ||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 226,551 | — | 59,246 | 1,982 | 287,779 | |||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 8,863 | — | 29,204 | — | 38,067 | |||||||||||||||
Net income from continuing operations | 235,414 | — | 88,450 | 1,982 | 325,846 | |||||||||||||||
Income (loss) from discontinued operations (net of tax) | 8,987 | — | (4,706 | ) | — | 4,281 | ||||||||||||||
Equity in undistributed earnings of subsidiaries | 67,135 | — | — | (67,135 | ) | — | ||||||||||||||
Net income | 311,536 | — | 83,744 | (65,153 | ) | 330,127 | ||||||||||||||
Net income attributable to noncontrolling interests | — | — | (18,591 | ) | — | (18,591 | ) | |||||||||||||
Net income attributable to Albemarle Corporation | $ | 311,536 | $ | — | $ | 65,153 | $ | (65,153 | ) | $ | 311,536 | |||||||||
Condensed Consolidating Statement of Comprehensive Income | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Net income | $ | 311,536 | $ | — | $ | 83,744 | $ | (65,153 | ) | $ | 330,127 | |||||||||
Total other comprehensive income, net of tax | 24,935 | — | 44,721 | (44,824 | ) | 24,832 | ||||||||||||||
Comprehensive income | 336,471 | — | 128,465 | (109,977 | ) | 354,959 | ||||||||||||||
Comprehensive income attributable to noncontrolling interests | — | — | (18,488 | ) | — | (18,488 | ) | |||||||||||||
Comprehensive income attributable to Albemarle Corporation | $ | 336,471 | $ | — | $ | 109,977 | $ | (109,977 | ) | $ | 336,471 | |||||||||
Condensed Cash Flow Statement | Consolidating Statement Of Cash Flows | |||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 227,426 | — | 273,176 | (7,993 | ) | 492,609 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (81,624 | ) | — | (28,952 | ) | — | (110,576 | ) | ||||||||||||
Cash proceeds from divestitures, net | 97,523 | — | 7,195 | — | 104,718 | |||||||||||||||
Payment for settlement of interest rate swap | (33,425 | ) | — | — | — | (33,425 | ) | |||||||||||||
Sales of (investments in) marketable securities, net | 668 | — | (19 | ) | — | 649 | ||||||||||||||
Long-term advances to joint ventures | — | — | (7,499 | ) | — | (7,499 | ) | |||||||||||||
Net cash used in investing activities | (16,858 | ) | — | (29,275 | ) | — | (46,133 | ) | ||||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Proceeds from issuance of senior notes | 1,888,197 | — | — | — | 1,888,197 | |||||||||||||||
Repayments of long-term debt | (108 | ) | — | (5,909 | ) | — | (6,017 | ) | ||||||||||||
Other borrowings (repayments), net | 4,178 | — | (10,003 | ) | — | (5,825 | ) | |||||||||||||
Dividends paid to shareholders | (84,102 | ) | — | — | — | (84,102 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (15,535 | ) | — | (15,535 | ) | |||||||||||||
Intercompany dividends paid | — | — | (7,993 | ) | 7,993 | — | ||||||||||||||
Repurchases of common stock | (150,000 | ) | — | — | — | (150,000 | ) | |||||||||||||
Proceeds from exercise of stock options | 2,713 | — | — | — | 2,713 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 826 | — | — | — | 826 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (3,284 | ) | — | — | — | (3,284 | ) | |||||||||||||
Debt financing costs | (17,644 | ) | — | — | — | (17,644 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 1,640,776 | — | (39,440 | ) | 7,993 | 1,609,329 | ||||||||||||||
Net effect of foreign exchange on cash and cash equivalents | (9,018 | ) | — | (34,258 | ) | — | (43,276 | ) | ||||||||||||
Increase in cash and cash equivalents | 1,842,326 | — | 170,203 | — | 2,012,529 | |||||||||||||||
Cash and cash equivalents at end of year | $ | 1,930,802 | $ | — | $ | 558,966 | $ | — | $ | 2,489,768 | ||||||||||
Condensed Consolidating Statement Of Cash Flows | ||||||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 145,999 | $ | — | $ | 331,697 | $ | — | $ | 477,696 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 270,179 | — | 177,806 | (15,126 | ) | 432,859 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (79,441 | ) | — | (75,905 | ) | — | (155,346 | ) | ||||||||||||
Cash payments related to acquisitions and other | (250 | ) | — | (2,315 | ) | — | (2,565 | ) | ||||||||||||
Sales of (investments in) marketable securities, net | 186 | — | (17 | ) | — | 169 | ||||||||||||||
Proceeds from intercompany investing related activity | 47,393 | — | 43,850 | (91,243 | ) | — | ||||||||||||||
Intercompany investing related payments | — | — | (43,850 | ) | 43,850 | — | ||||||||||||||
Net cash used in investing activities | (32,112 | ) | — | (78,237 | ) | (47,393 | ) | (157,742 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of long-term debt | (117,097 | ) | — | (18,636 | ) | — | (135,733 | ) | ||||||||||||
Proceeds from borrowings of long-term debt | 117,000 | — | — | — | 117,000 | |||||||||||||||
Other borrowings, net | 363,000 | — | 35,544 | — | 398,544 | |||||||||||||||
Dividends paid to shareholders | (78,107 | ) | — | — | — | (78,107 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (10,014 | ) | — | (10,014 | ) | |||||||||||||
Intercompany dividends paid | — | — | (15,126 | ) | 15,126 | — | ||||||||||||||
Repurchases of common stock | (582,298 | ) | — | — | — | (582,298 | ) | |||||||||||||
Proceeds from exercise of stock options | 5,553 | — | — | — | 5,553 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 3,266 | — | — | — | 3,266 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (6,149 | ) | — | — | — | (6,149 | ) | |||||||||||||
Debt financing costs | (108 | ) | — | — | — | (108 | ) | |||||||||||||
Proceeds from intercompany financing related activity | 43,850 | — | — | (43,850 | ) | — | ||||||||||||||
Intercompany financing related payments | (43,850 | ) | — | (47,393 | ) | 91,243 | — | |||||||||||||
Net cash used in financing activities | (294,940 | ) | — | (55,625 | ) | 62,519 | (288,046 | ) | ||||||||||||
Net effect of foreign exchange on cash and cash equivalents | (650 | ) | — | 13,122 | — | 12,472 | ||||||||||||||
(Decrease) increase in cash and cash equivalents | (57,523 | ) | — | 57,066 | — | (457 | ) | |||||||||||||
Cash and cash equivalents at end of year | $ | 88,476 | $ | — | $ | 388,763 | $ | — | $ | 477,239 | ||||||||||
Condensed Consolidating Statement Of Cash Flows | ||||||||||||||||||||
Year Ended December 31, 2012 | ||||||||||||||||||||
(In Thousands) | Issuer | Guarantor Subsidiaries | Non-Guarantor Subsidiaries | Consolidating Adjustments | Consolidated Total | |||||||||||||||
Cash and cash equivalents at beginning of year | $ | 47,018 | $ | — | $ | 422,398 | $ | — | $ | 469,416 | ||||||||||
Cash flows from operating activities: | ||||||||||||||||||||
Net cash provided by operating activities | 342,173 | — | 189,511 | (42,918 | ) | 488,766 | ||||||||||||||
Cash flows from investing activities: | ||||||||||||||||||||
Capital expenditures | (136,299 | ) | — | (144,574 | ) | — | (280,873 | ) | ||||||||||||
Cash payments related to acquisitions and other | (3,072 | ) | — | (288 | ) | — | (3,360 | ) | ||||||||||||
Cash proceeds from divestitures, net | — | — | 9,646 | — | 9,646 | |||||||||||||||
Investments in marketable securities, net | (1,607 | ) | — | (8 | ) | — | (1,615 | ) | ||||||||||||
Long-term advances to joint ventures | (2,459 | ) | — | (22,500 | ) | — | (24,959 | ) | ||||||||||||
Proceeds from intercompany investing related activity | 39,851 | — | — | (39,851 | ) | — | ||||||||||||||
Intercompany investing related payments | (33,809 | ) | — | — | 33,809 | — | ||||||||||||||
Net cash used in investing activities | (137,395 | ) | — | (157,724 | ) | (6,042 | ) | (301,161 | ) | |||||||||||
Cash flows from financing activities: | ||||||||||||||||||||
Repayments of long-term debt | (86 | ) | — | (14,304 | ) | — | (14,390 | ) | ||||||||||||
Other borrowings (repayments), net | 144 | — | (49,565 | ) | — | (49,421 | ) | |||||||||||||
Dividends paid to shareholders | (69,113 | ) | — | — | — | (69,113 | ) | |||||||||||||
Dividends paid to noncontrolling interests | — | — | (7,628 | ) | — | (7,628 | ) | |||||||||||||
Intercompany dividends paid | — | — | (42,918 | ) | 42,918 | — | ||||||||||||||
Repurchases of common stock | (63,575 | ) | — | — | — | (63,575 | ) | |||||||||||||
Proceeds from exercise of stock options | 21,148 | — | — | — | 21,148 | |||||||||||||||
Excess tax benefits realized from stock-based compensation arrangements | 14,809 | — | — | — | 14,809 | |||||||||||||||
Withholding taxes paid on stock-based compensation award distributions | (9,124 | ) | — | — | — | (9,124 | ) | |||||||||||||
Proceeds from intercompany financing related activity | — | — | 33,809 | (33,809 | ) | — | ||||||||||||||
Intercompany financing related payments | — | — | (39,851 | ) | 39,851 | — | ||||||||||||||
Net cash used in financing activities | (105,797 | ) | — | (120,457 | ) | 48,960 | (177,294 | ) | ||||||||||||
Net effect of foreign exchange on cash and cash equivalents | — | — | (2,031 | ) | — | (2,031 | ) | |||||||||||||
Increase (decrease) in cash and cash equivalents | 98,981 | — | (90,701 | ) | — | 8,280 | ||||||||||||||
Cash and cash equivalents at end of year | $ | 145,999 | $ | — | $ | 331,697 | $ | — | $ | 477,696 | ||||||||||
Quarterly_Financial_Summary_Un1
Quarterly Financial Summary (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||||
Quarterly Financial Summary | ||||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||
2014 | ||||||||||||||||
Net sales | $ | 599,843 | $ | 604,721 | $ | 642,418 | $ | 598,566 | ||||||||
Gross profit | $ | 195,599 | $ | 207,363 | $ | 205,446 | $ | 162,440 | ||||||||
Restructuring and other charges, net(a) | $ | 17,000 | $ | 3,332 | $ | 293 | $ | 5,322 | ||||||||
Acquisition and integration related costs(b) | $ | — | $ | 4,843 | $ | 10,261 | $ | 15,054 | ||||||||
Net income (loss) from continuing operations | $ | 66,004 | $ | 89,404 | $ | 88,019 | $ | (12,990 | ) | |||||||
Loss from discontinued operations (net of tax)(c) | (1,769 | ) | (60,025 | ) | (6,679 | ) | (1,058 | ) | ||||||||
Net income attributable to noncontrolling interests | (7,652 | ) | (6,932 | ) | (8,546 | ) | (4,460 | ) | ||||||||
Net income (loss) attributable to Albemarle Corporation | $ | 56,583 | $ | 22,447 | $ | 72,794 | $ | (18,508 | ) | |||||||
Basic earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.73 | $ | 1.05 | $ | 1.02 | $ | (0.22 | ) | |||||||
Discontinued operations | (0.02 | ) | (0.76 | ) | (0.09 | ) | (0.02 | ) | ||||||||
$ | 0.71 | $ | 0.29 | $ | 0.93 | $ | (0.24 | ) | ||||||||
Shares used to compute basic earnings per share | 79,735 | 78,662 | 78,244 | 78,144 | ||||||||||||
Diluted earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.73 | $ | 1.04 | $ | 1.01 | $ | (0.22 | ) | |||||||
Discontinued operations | (0.02 | ) | (0.76 | ) | (0.08 | ) | (0.02 | ) | ||||||||
$ | 0.71 | $ | 0.28 | $ | 0.93 | $ | (0.24 | ) | ||||||||
Shares used to compute diluted earnings per share | 80,112 | 79,091 | 78,659 | 78,545 | ||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | |||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||
2013 | ||||||||||||||||
Net sales | $ | 586,597 | $ | 576,842 | $ | 591,196 | $ | 639,635 | ||||||||
Gross profit | $ | 195,911 | $ | 191,670 | $ | 209,611 | $ | 253,279 | ||||||||
Restructuring and other charges, net(a) | $ | — | $ | — | $ | — | $ | 33,361 | ||||||||
Net income from continuing operations | $ | 87,681 | $ | 88,500 | $ | 97,313 | $ | 162,232 | ||||||||
Income (loss) from discontinued operations (net of tax) | 1,835 | 2,628 | 531 | (886 | ) | |||||||||||
Net income attributable to noncontrolling interests | (5,529 | ) | (8,389 | ) | (7,332 | ) | (5,413 | ) | ||||||||
Net income attributable to Albemarle Corporation | $ | 83,987 | $ | 82,739 | $ | 90,512 | $ | 155,933 | ||||||||
Basic earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.93 | $ | 0.95 | $ | 1.1 | $ | 1.93 | ||||||||
Discontinued operations | 0.02 | 0.03 | 0.01 | (0.01 | ) | |||||||||||
$ | 0.95 | $ | 0.98 | $ | 1.11 | $ | 1.92 | |||||||||
Shares used to compute basic earnings per share | 88,719 | 84,028 | 81,385 | 81,226 | ||||||||||||
Diluted earnings (loss) per share: | ||||||||||||||||
Continuing operations | $ | 0.92 | $ | 0.95 | $ | 1.1 | $ | 1.92 | ||||||||
Discontinued operations | 0.02 | 0.03 | 0.01 | (0.01 | ) | |||||||||||
$ | 0.94 | $ | 0.98 | $ | 1.11 | $ | 1.91 | |||||||||
Shares used to compute diluted earnings per share | 89,236 | 84,489 | 81,852 | 81,713 | ||||||||||||
(a) | See Note 20, “Restructuring and Other.” | |||||||||||||||
(b) | See Note 23, “Acquisitions.” | |||||||||||||||
(c) | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.” |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
segment | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Number of operating segments | 2 | ||
Foreign exchange transaction gains (losses) | $3,700,000 | $10,600,000 | $4,900,000 |
Maximum remaining expiration period for foreign currency forward contracts | 1 year | ||
Derivative, notional amount | $479,900,000 | $321,400,000 | |
Minimum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Ownership percentage | 20.00% | ||
Definite-lived intangible assets useful life | 5 years | ||
Maximum | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Ownership percentage | 50.00% | ||
Definite-lived intangible assets useful life | 25 years | ||
Planned Major Maintenance Activities | |||
Summary Of Significant Accounting Policies [Line Items] | |||
Property, plant and equipment, useful life | 12 months |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jan. 15, 2015 | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||||||
Cash proceeds from divestitures, net | $7,700,000 | $104,718,000 | $0 | $9,646,000 | |||||||||||||
(Loss) income from discontinued operations (net of tax) | -1,058,000 | [1] | -6,679,000 | [1] | -60,025,000 | [1] | -1,769,000 | [1] | -886,000 | 531,000 | 2,628,000 | 1,835,000 | -69,531,000 | 4,108,000 | 4,281,000 | ||
Loss on disposal of businesses | 85,515,000 | 0 | 0 | ||||||||||||||
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||||||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||||||
Cash proceeds from divestitures, net | 104,700,000 | ||||||||||||||||
Net sales | 154,273,000 | 222,146,000 | 226,266,000 | ||||||||||||||
(Loss) income from discontinued operations | -90,439,000 | 5,985,000 | 6,381,000 | ||||||||||||||
Income tax (benefit) expense | -20,908,000 | 1,877,000 | 2,100,000 | ||||||||||||||
(Loss) income from discontinued operations (net of tax) | -69,531,000 | 4,108,000 | 4,281,000 | ||||||||||||||
Loss on disposal of businesses | 85,500,000 | ||||||||||||||||
Loss on disposal of businesses, net of tax | 65,700,000 | ||||||||||||||||
Cumulative foreign currency translation gains included in pre-tax impairment charge | 17,800,000 | ||||||||||||||||
Discontinued Operations | Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||||||||||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||||||||||
Post-closing adjustment, cash received | $7,600,000 | ||||||||||||||||
[1] | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.†|
Supplemental_Cash_Flow_Informa2
Supplemental Cash Flow Information - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Cash Flow Supplemental Disclosures [Line Items] | |||
Income taxes (net of refunds of $6,035, $14,296 and $1,849 in 2014, 2013 and 2012, respectively) | $56,174 | $51,772 | $112,442 |
Interest (net of capitalization) | 33,604 | 29,629 | 31,144 |
Phosphorous Flame Retardant Business Exit | |||
Cash Flow Supplemental Disclosures [Line Items] | |||
Decrease in property, plant and equipment | 0 | 0 | -41,120 |
Decrease in accumulated depreciation | 0 | 0 | -17,870 |
Decrease in other intangibles, net of amortization | 0 | 0 | -27,384 |
Increase in accumulated other comprehensive income | 0 | 0 | 12,268 |
Other Restructuring Charges | |||
Cash Flow Supplemental Disclosures [Line Items] | |||
Decrease in property, plant and equipment | 0 | 0 | -5,002 |
Decrease in accumulated depreciation | 0 | 0 | -1,588 |
Pension Curtailment Gains Losses | |||
Cash Flow Supplemental Disclosures [Line Items] | |||
Increase in accumulated other comprehensive income | $0 | $0 | ($4,507) |
Supplemental_Cash_Flow_Informa3
Supplemental Cash Flow Information - Additional Information Income Tax Refunds (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Supplemental Cash Flow Elements [Abstract] | |||
Income taxes, refunds | $6,035 | $14,296 | $1,849 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share [Abstract] | |||||||||||
Net income from continuing operations | ($12,990) | $88,019 | $89,404 | $66,004 | $162,232 | $97,313 | $88,500 | $87,681 | $230,437 | $435,726 | $325,846 |
Net income from continuing operations attributable to noncontrolling interests | -27,590 | -26,663 | -18,591 | ||||||||
Net income from continuing operations attributable to Albemarle Corporation | $202,847 | $409,063 | $307,255 | ||||||||
Weighted-average common shares for basic earnings per share | 78,144 | 78,244 | 78,662 | 79,735 | 81,226 | 81,385 | 84,028 | 88,719 | 78,696 | 83,839 | 89,189 |
Basic earnings per share from continuing operations (in dollars per share) | ($0.22) | $1.02 | $1.05 | $0.73 | $1.93 | $1.10 | $0.95 | $0.93 | $2.57 | $4.88 | $3.44 |
Incremental shares under stock compensation plans | 406 | 483 | 695 | ||||||||
Weighted-average common shares for diluted earnings per share | 78,545 | 78,659 | 79,091 | 80,112 | 81,713 | 81,852 | 84,489 | 89,236 | 79,102 | 84,322 | 89,884 |
Diluted earnings per share from continuing operations (in dollars per share) | ($0.22) | $1.01 | $1.04 | $0.73 | $1.92 | $1.10 | $0.95 | $0.92 | $2.57 | $4.85 | $3.42 |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | |||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Feb. 03, 2014 | Apr. 30, 2014 | 1-May-14 | 10-May-13 | Nov. 17, 2014 | Dec. 19, 2013 | Feb. 12, 2013 | Oct. 13, 2011 | |
tranche | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Common stock equivalents not included in computation of diluted earnings per share (in dollars per shares) | 662,259 | ||||||||||
Preferred stock, shares authorized (in shares) | 15,000,000 | ||||||||||
Payment for repurchase of common stock | $150,000,000 | $582,298,000 | $63,575,000 | ||||||||
Shares available for repurchase | 3,749,340 | ||||||||||
Common Stock | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Shares repurchased (in shares) | 2,190,254 | 9,198,056 | 1,092,767 | ||||||||
Maximum | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Stock repurchase program, number of shares authorized to be repurchased (in shares) | 15,000,000 | 5,000,000 | |||||||||
Restricted Stock | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Number of shares containing nonforfeitable rights to dividends | 5,600 | ||||||||||
Merrill Lynch | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Forward purchase contract adjustment to fair value (in dollars per share) | $0.77 | ||||||||||
Stock repurchase program, authorized amount | 50,000,000 | ||||||||||
Number of tranches | 2 | ||||||||||
Authorized amount per tranche purchased | 25,000,000 | ||||||||||
Merrill Lynch | Initial Delivery | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Payment for repurchase of common stock | 50,000,000 | ||||||||||
Repurchase of common stock shares (in shares) | 623,248 | ||||||||||
Stock repurchased during period, value | 40,000,000 | ||||||||||
Merrill Lynch | Final Settlement | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Repurchase of common stock shares (in shares) | 150,504 | ||||||||||
Merrill Lynch | Total | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Repurchase of common stock shares (in shares) | 773,752 | ||||||||||
JP Morgan | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Forward purchase contract adjustment to fair value (in dollars per share) | $1.01 | ||||||||||
Stock repurchase program, authorized amount | 100,000,000 | ||||||||||
Number of tranches | 2 | ||||||||||
Authorized amount per tranche purchased | 50,000,000 | ||||||||||
JP Morgan | Initial Delivery | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Payment for repurchase of common stock | 100,000,000 | 450,000,000 | |||||||||
Repurchase of common stock shares (in shares) | 1,193,317 | 5,680,921 | |||||||||
Stock repurchased during period, value | $80,000,000 | $360,000,000 | |||||||||
JP Morgan | Final Settlement | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Repurchase of common stock shares (in shares) | 223,185 | 1,384,011 | |||||||||
JP Morgan | Total | Accelerated Share Repurchase Agreement | |||||||||||
Earnings Per Share Disclosure [Line Items] | |||||||||||
Repurchase of common stock shares (in shares) | 1,416,502 | 7,064,932 |
Other_Accounts_Receivable_Deta
Other Accounts Receivable (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Receivables [Abstract] | ||
Value added tax/consumption tax | $23,205 | $21,956 |
Other | 26,218 | 23,138 |
Total | $49,423 | $45,094 |
Inventories_Additional_Informa
Inventories - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Millions, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
Percentage of LIFO inventory | 28.00% | 28.00% |
Inventories stated on LIFO basis | $100.70 | $121.90 |
Excess of replacement costs over stated LIFO value | $43 | $41.70 |
Other_Current_Assets_Detail
Other Current Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Other Assets [Abstract] | ||||
Deferred income taxes—current | $1,801 | [1] | $3,912 | [1] |
Income tax receivables | 22,837 | 26,310 | ||
Prepaid expenses | 41,448 | 47,447 | ||
Total | $66,086 | $77,669 | ||
[1] | See Note 19, “Income Taxes.†|
Property_Plant_and_Equipment_a
Property, Plant and Equipment, at Cost (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | ||
Property, Plant and Equipment [Line Items] | ||||
Land | 56,249 | $63,153 | ||
Land improvements | 49,099 | 52,452 | ||
Buildings and improvements | 214,364 | 235,929 | ||
Machinery and equipment | 1,443,154 | [1] | 1,731,247 | [1] |
Machinery and equipment (major plant components) | 663,297 | [2] | 688,284 | [2] |
Long-term mineral rights and production equipment costs | 85,888 | 85,514 | ||
Long-term mineral rights and production equipment costs | 108,619 | 115,505 | ||
Total | 2,620,670 | $2,972,084 | ||
Land improvements | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 5 years | |||
Land improvements | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 30 years | |||
Buildings and improvements | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 10 years | |||
Buildings and improvements | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 45 years | |||
Machinery and equipment | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 2 years | |||
Machinery and equipment | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 19 years | |||
Machinery and equipment (major plant components) | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 20 years | |||
Machinery and equipment (major plant components) | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 45 years | |||
Long-term mineral rights and production equipment costs | Minimum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 7 years | |||
Long-term mineral rights and production equipment costs | Maximum | ||||
Property, Plant and Equipment [Line Items] | ||||
Property, plant and equipment, useful life | 60 years | |||
[1] | Consists primarily of (1) short-lived production equipment components, office and building equipment and other equipment with estimated lives ranging 2 – 7 years, and (2) production process equipment (intermediate components) with estimated lives ranging 8 – 19 years. | |||
[2] | Consists primarily of (1) production process equipment (major unit components) with estimated lives ranging 20 – 29 years, and (2) production process equipment (infrastructure and other) with estimated lives ranging 30 – 45 years. |
Property_Plant_and_Equipment_a1
Property, Plant and Equipment, at Cost Footnote (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Minimum | Short-lived production equipment components, office and building equipment and other equipment | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 2 years |
Minimum | Production process equipment (intermediate components) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 8 years |
Minimum | Production process equipment (major unit components) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 20 years |
Minimum | Production process equipment (infrastructure and other) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 30 years |
Maximum | Short-lived production equipment components, office and building equipment and other equipment | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 7 years |
Maximum | Production process equipment (intermediate components) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 19 years |
Maximum | Production process equipment (major unit components) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 29 years |
Maximum | Production process equipment (infrastructure and other) | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 45 years |
Recovered_Sheet1
Property, Plant and Equipment - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||
Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | |
Property, Plant and Equipment [Line Items] | |||||
Depreciation | $97,900,000 | $99,300,000 | $88,300,000 | ||
Interest capitalized on significant capital projects | 2,400,000 | 6,100,000 | 5,800,000 | ||
Cash proceeds from divestitures, net | 7,700,000 | 104,718,000 | 0 | 9,646,000 | |
Cash proceeds from sale of land | 1,900,000 | ||||
Phosphorous Flame Retardant Business Exit | |||||
Property, Plant and Equipment [Line Items] | |||||
Reduction in net assets from business exit or disposal | 57,000,000 | ||||
Gain related to the sale of Nanjing, China manufacturing site | 2,000,000 | 2,000,000 | |||
Phosphorous Flame Retardant Business Exit | Property Plant and Equipment | |||||
Property, Plant and Equipment [Line Items] | |||||
Reduction in net assets from business exit or disposal | 30,900,000 | ||||
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||||
Property, Plant and Equipment [Line Items] | |||||
Depreciation | 2,300,000 | 8,600,000 | 8,700,000 | ||
Reduction in net assets from business exit or disposal | 100,000,000 | ||||
Cash proceeds from divestitures, net | $104,700,000 |
Investment_Balances_Detail
Investment Balances (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Investments [Abstract] | ||
Joint ventures | $169,891 | $187,843 |
Nonmarketable securities | 177 | 534 |
Marketable equity securities | 23,974 | 23,801 |
Total | $194,042 | $212,178 |
Investments_Ownership_Position
Investments - Ownership Positions in Significant Unconsolidated (Detail) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Nippon Aluminum Alkyls | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Magnifin Magnesiaprodukte GmbH & Co. KG | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Nippon Ketjen Company Limited | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Eurecat S.A. | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Fabrica Carioca de Catalisadores S.A. | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Stannica, LLC | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 50.00% | 50.00% | 50.00% |
Investments_Summary_of_Assets_
Investments - Summary of Assets, Liabilities and Results of Operations for Significant Unconsolidated Joint Ventures (Detail) (Significant Unconsolidated Joint Ventures, USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Significant Unconsolidated Joint Ventures | |||
Schedule of Investments [Line Items] | |||
Current assets | $246,795 | $313,446 | |
Noncurrent assets | 181,509 | 198,776 | |
Total assets | 428,304 | 512,222 | |
Current liabilities | 81,613 | 100,469 | |
Noncurrent liabilities | 63,585 | 77,734 | |
Total liabilities | 145,198 | 178,203 | |
Net sales | 609,728 | 598,459 | 601,233 |
Gross profit | 167,156 | 169,406 | 165,650 |
Income before income taxes | 102,764 | 101,652 | 105,329 |
Net income | $72,247 | $71,294 | $71,561 |
Investments_Additional_Informa
Investments - Additional Information (Detail) | 12 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | |||
USD ($) | USD ($) | USD ($) | Significant Unconsolidated Joint Venture | Significant Unconsolidated Joint Venture | Significant Unconsolidated Joint Venture | Joint Venture Saudi Organometallic Chemicals Company | Joint Venture Saudi Organometallic Chemicals Company | Joint Venture Saudi Organometallic Chemicals Company | Joint Venture Saudi Organometallic Chemicals Company | Eurecat S.A. | Eurecat S.A. | Eurecat S.A. | Nippon Aluminum Alkyls | Nippon Aluminum Alkyls | Nippon Aluminum Alkyls | Magnifin Magnesiaprodukte GmbH & Co. KG | Magnifin Magnesiaprodukte GmbH & Co. KG | Magnifin Magnesiaprodukte GmbH & Co. KG | Nippon Ketjen Company Limited | Nippon Ketjen Company Limited | Nippon Ketjen Company Limited | Eurecat S.A. | Eurecat S.A. | Eurecat S.A. | Fabrica Carioca de Catalisadores S.A. | Fabrica Carioca de Catalisadores S.A. | Fabrica Carioca de Catalisadores S.A. | Stannica, LLC | Stannica, LLC | Stannica, LLC | Stannica Llc | Stannica Llc | Benefit Protection Trust | Benefit Protection Trust | |||
USD ($) | USD ($) | USD ($) | SAR | USD ($) | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | |||||||||||||||||||||||||
Schedule of Investments [Line Items] | |||||||||||||||||||||||||||||||||||||
Investment in significant unconsolidated joint ventures | $154,400,000 | $172,900,000 | |||||||||||||||||||||||||||||||||||
Equity in net income of unconsolidated investments (net of tax) | 35,742,000 | 31,729,000 | 38,067,000 | 35,400,000 | 31,500,000 | 37,000,000 | |||||||||||||||||||||||||||||||
Undistributed earnings from equity method investees | 112,900,000 | 117,100,000 | |||||||||||||||||||||||||||||||||||
Dividends received from unconsolidated investments | 40,688,000 | 21,632,000 | 26,908,000 | 39,600,000 | 20,500,000 | 25,600,000 | |||||||||||||||||||||||||||||||
Investments in unconsolidated joint ventures exceeded the amount of underlying equity in net assets | 7,000,000 | 8,400,000 | |||||||||||||||||||||||||||||||||||
Excess amount paid for joint ventures remaining to be amortized | 1,000,000 | 1,400,000 | |||||||||||||||||||||||||||||||||||
Carrying value of unconsolidated investment | 0 | 0 | 6,200,000 | 5,500,000 | |||||||||||||||||||||||||||||||||
Marketable equity securities | 23,974,000 | 23,801,000 | 22,200,000 | 23,000,000 | |||||||||||||||||||||||||||||||||
Long-term advances to joint ventures | 7,499,000 | 0 | 24,959,000 | 28,100,000 | 22,500,000 | 1,900,000 | |||||||||||||||||||||||||||||||
Long-term advances to joint ventures | $34,084,000 | [1] | $25,124,000 | [1] | $7,500,000 | $2,300,000 | $2,600,000 | ||||||||||||||||||||||||||||||
Ownership percentage | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | |||||||||||||||||
Interest rate margin over LIBOR | 1.28% | ||||||||||||||||||||||||||||||||||||
Interest rate percentage | 1.53% | 1.52% | |||||||||||||||||||||||||||||||||||
Long-term advances to joint venture, maturity date | 31-Dec-21 | ||||||||||||||||||||||||||||||||||||
[1] | See Note 9, “Investments.†|
Other_Assets_Detail
Other Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | ||
In Thousands, unless otherwise specified | ||||
Other Assets, Noncurrent [Abstract] | ||||
Deferred income taxes-noncurrent | $62,440 | [1] | $65,667 | [1] |
Assets related to unrecognized tax benefits | 22,100 | [1] | 25,730 | [1] |
Long-term advances to joint ventures | 34,084 | [2] | 25,124 | [2] |
Deferred financing costs | 23,583 | [3] | 4,150 | [3] |
Other | 18,749 | 39,558 | ||
Total | $160,956 | $160,229 | ||
[1] | See Note 19, “Income Taxes.†| |||
[2] | See Note 9, “Investments.†| |||
[3] | See Note 13, “Long-Term Debt.†|
Goodwill_and_Other_Intangibles2
Goodwill and Other Intangibles - Changes in Goodwill by Operating Segment (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | |
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | $284,203 | $276,966 | |
Foreign currency translation adjustments | -25,853 | 7,237 | |
Divestitures(a) | -15,088 | [1] | |
Goodwill, Ending Balance | 243,262 | 284,203 | |
Performance Chemicals | |||
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | 43,603 | 43,519 | |
Foreign currency translation adjustments | -1,321 | 84 | |
Goodwill, Ending Balance | 42,282 | 43,603 | |
Catalyst Solutions | |||
Goodwill [Roll Forward] | |||
Goodwill, Beginning Balance | 240,600 | 233,447 | |
Foreign currency translation adjustments | -24,532 | 7,153 | |
Divestitures(a) | -15,088 | [1] | |
Goodwill, Ending Balance | 200,980 | 240,600 | |
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||
Goodwill [Roll Forward] | |||
Divestitures(a) | ($15,088) | ||
[1] | In 2014 we reduced Catalyst Solutions segment goodwill by $15.1 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations†for additional information about this transaction. |
Goodwill_and_Other_Intangibles3
Goodwill and Other Intangibles - Changes in Goodwill by Operating Segment Footnote (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | |
Goodwill [Line Items] | ||
Goodwill, Written off Related to Sale of Business Unit | $15,088 | [1] |
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | ||
Goodwill [Line Items] | ||
Goodwill, Written off Related to Sale of Business Unit | $15,088 | |
[1] | In 2014 we reduced Catalyst Solutions segment goodwill by $15.1 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations†for additional information about this transaction. |
Goodwill_and_Other_Intangibles4
Goodwill and Other Intangibles - Other Intangibles (Detail) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | $200,418 | $198,124 | |||
Foreign currency translation adjustments and other | -7,233 | 2,294 | |||
Acquisitions | 5,228 | ||||
Divestitures (c) | -68,540 | [1] | |||
Gross Asset Value, Ending Balance | 129,873 | 200,418 | 198,124 | ||
Accumulated Amortization, Beginning Balance | -112,215 | -103,660 | |||
Amortization | -5,737 | -8,066 | -10,700 | ||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -27,584 | [1] | |||
Foreign currency translation adjustments and other | 4,620 | -489 | |||
Accumulated Amortization, Ending Balance | -85,748 | -112,215 | -103,660 | ||
Net Book Value | 44,125 | 88,203 | |||
Customer Lists and Relationships | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 86,426 | 85,167 | |||
Foreign currency translation adjustments and other | -3,055 | 1,259 | |||
Divestitures (c) | -34,892 | ||||
Gross Asset Value, Ending Balance | 48,479 | 86,426 | |||
Accumulated Amortization, Beginning Balance | -35,988 | -31,484 | |||
Amortization | -2,839 | -4,332 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -14,487 | ||||
Foreign currency translation adjustments and other | 1,409 | -172 | |||
Accumulated Amortization, Ending Balance | -22,931 | -35,988 | |||
Net Book Value | 25,548 | 50,438 | |||
Trade Names | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 26,907 | [2] | 26,943 | [2] | |
Foreign currency translation adjustments and other | -1,181 | -36 | |||
Divestitures (c) | -8,171 | ||||
Gross Asset Value, Ending Balance | 17,555 | [2] | 26,907 | [2] | |
Accumulated Amortization, Beginning Balance | -8,970 | -8,486 | |||
Amortization | -824 | -995 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -1,539 | ||||
Foreign currency translation adjustments and other | 343 | 511 | |||
Accumulated Amortization, Ending Balance | -7,912 | -8,970 | |||
Net Book Value | 9,643 | 17,937 | |||
Patents and Technology | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 48,743 | 47,876 | |||
Foreign currency translation adjustments and other | -2,257 | 867 | |||
Divestitures (c) | -11,316 | ||||
Gross Asset Value, Ending Balance | 40,398 | 48,743 | |||
Accumulated Amortization, Beginning Balance | -40,354 | -38,778 | |||
Amortization | -388 | -797 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -5,738 | ||||
Foreign currency translation adjustments and other | 2,173 | -779 | |||
Accumulated Amortization, Ending Balance | -32,831 | -40,354 | |||
Net Book Value | 7,567 | 8,389 | |||
Land Use Rights | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 6,376 | 6,203 | |||
Foreign currency translation adjustments and other | -40 | 173 | |||
Divestitures (c) | -4,929 | ||||
Gross Asset Value, Ending Balance | 1,407 | 6,376 | |||
Accumulated Amortization, Beginning Balance | -1,268 | -1,079 | |||
Amortization | -42 | -166 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -100 | ||||
Foreign currency translation adjustments and other | 3 | -23 | |||
Accumulated Amortization, Ending Balance | -1,407 | -1,268 | |||
Net Book Value | 0 | 5,108 | |||
Manufacturing Contracts and Supply/Service Agreements | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 8,338 | 8,523 | |||
Foreign currency translation adjustments and other | 0 | -185 | |||
Divestitures (c) | -4,474 | ||||
Gross Asset Value, Ending Balance | 3,864 | 8,338 | |||
Accumulated Amortization, Beginning Balance | -6,974 | -6,512 | |||
Amortization | -368 | -647 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -4,164 | ||||
Foreign currency translation adjustments and other | 0 | 185 | |||
Accumulated Amortization, Ending Balance | -3,178 | -6,974 | |||
Net Book Value | 686 | 1,364 | |||
Other | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Gross Asset Value, Beginning Balance | 23,628 | 23,412 | |||
Foreign currency translation adjustments and other | -700 | 216 | |||
Divestitures (c) | -4,758 | ||||
Gross Asset Value, Ending Balance | 18,170 | 23,628 | |||
Accumulated Amortization, Beginning Balance | -18,661 | -17,321 | |||
Amortization | -1,276 | -1,129 | |||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -1,756 | ||||
Foreign currency translation adjustments and other | 692 | -211 | |||
Accumulated Amortization, Ending Balance | -17,489 | -18,661 | |||
Net Book Value | 681 | 4,967 | |||
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Divestitures (c) | -68,540 | ||||
Amortization | -900 | -3,500 | -3,400 | ||
Removal of Accumulated Amortization of Intangible Assets From Impairment | -27,584 | ||||
Cambridge Chemical Company | Patents and Technology | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Acquisitions | $5,228 | [3] | |||
[1] | In 2014 we reduced intangible assets by $68.5 million and related accumulated amortization by $27.6 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations†for additional information about this transaction. | ||||
[2] | Trade names include a gross carrying amount of $9.2 million for an indefinite-lived intangible asset. | ||||
[3] | Increase in Patents and Technology relates to a purchase accounting adjustment in connection with our acquisition of Cambridge Chemical Company, Ltd. |
Goodwill_and_Other_Intangibles5
Goodwill and Other Intangibles - Other Intangibles Footnotes (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | ||
Finite-Lived Intangible Assets [Line Items] | ||
Divestitures | $68,540,000 | [1] |
Intangible assets, accumulated amortization, reduction | 27,584,000 | [1] |
Trade Names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-lived intangible asset, gross carrying amount | 9,200,000 | |
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | ||
Finite-Lived Intangible Assets [Line Items] | ||
Divestitures | 68,540,000 | |
Intangible assets, accumulated amortization, reduction | $27,584,000 | |
[1] | In 2014 we reduced intangible assets by $68.5 million and related accumulated amortization by $27.6 million in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations†for additional information about this transaction. |
Goodwill_and_Other_Intangibles6
Goodwill and Other Intangibles - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | $5,737 | $8,066 | $10,700 |
Minimum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 5 years | ||
Maximum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 25 years | ||
Customer Lists and Relationships | |||
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | 2,839 | 4,332 | |
Customer Lists and Relationships | Minimum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 15 years | ||
Customer Lists and Relationships | Maximum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 25 years | ||
Trade Names | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 11 years | ||
Amortization of other intangible assets | 824 | 995 | |
Patents and Technology | |||
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | 388 | 797 | |
Patents and Technology | Minimum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 17 years | ||
Patents and Technology | Maximum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 20 years | ||
Land Use Rights | |||
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | 42 | 166 | |
Manufacturing Contracts and Supply/Service Agreements | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 6 years | ||
Amortization of other intangible assets | 368 | 647 | |
Other | |||
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | 1,276 | 1,129 | |
Other | Minimum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 5 years | ||
Other | Maximum | |||
Other Intangible Assets [Line Items] | |||
Finite-lived intangible assets, useful life | 15 years | ||
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||
Other Intangible Assets [Line Items] | |||
Amortization of other intangible assets | $900 | $3,500 | $3,400 |
Goodwill_and_Other_Intangibles7
Goodwill and Other Intangibles - Total Estimated Amortization Expense of Other Intangibles for Next Five Fiscal Years (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2015 | $3,482 |
2016 | 3,050 |
2017 | 2,858 |
2018 | 2,682 |
2019 | $2,567 |
Accrued_Expenses_Detail
Accrued Expenses (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | |||||
Payables and Accruals [Abstract] | |||||
Employee benefits, payroll and related taxes | $49,072 | $42,035 | |||
Taxes other than income taxes and payroll taxes | 10,101 | 9,747 | |||
Deferred revenue | 10,370 | 17,896 | |||
Current deferred tax liabilities | 6,806 | [1] | 2,853 | [1] | |
Accrued sales commissions | 7,768 | 7,241 | |||
Accrued interest payable | 13,212 | 7,716 | |||
Accrued utilities | 7,510 | 8,608 | |||
Reduction in force accruals | 4,039 | [2] | 39,104 | [2] | 14,428 |
Accrual related to termination of manufacturing contract | 15,777 | [2] | 0 | [2] | |
Other | 41,519 | 41,216 | |||
Total | $166,174 | $176,416 | |||
[1] | See Note 19, “Income Taxes.†| ||||
[2] | See Note 20, “Restructuring and Other.†|
LongTerm_Debt_Detail
Long-Term Debt (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ||
Commercial paper classified as current | $367,178,000 | |
Commercial paper classified as long term | 363,000,000 | |
Fixed-rate foreign borrowings | 1,958,000 | 7,879,000 |
Variable-rate foreign bank loans | 25,139,000 | 34,910,000 |
Miscellaneous | 189,000 | 297,000 |
Total long-term debt | 2,934,131,000 | 1,078,864,000 |
Less amounts due within one year | 711,096,000 | 24,554,000 |
Long-term debt, less current portion | 2,223,035,000 | 1,054,310,000 |
1.875% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | 844,315,000 | 0 |
3.00% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | 249,694,000 | 0 |
4.15% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | 423,561,000 | 0 |
4.50% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | 348,129,000 | 347,814,000 |
5.10% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | 324,997,000 | 324,964,000 |
5.45% Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior notes | $348,971,000 | $0 |
LongTerm_Debt_Interest_Rates_D
Long-Term Debt Interest Rates (Detail) (USD $) | Dec. 31, 2014 | Dec. 08, 2014 | Nov. 24, 2014 | Dec. 31, 2013 | Dec. 10, 2010 | Jan. 20, 2005 |
In Thousands, unless otherwise specified | ||||||
1.875% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | $6,605 | |||||
Debt instrument, interest rate | 1.88% | 1.88% | ||||
3.00% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | 306 | |||||
Debt instrument, interest rate | 3.00% | 3.00% | ||||
4.15% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | 1,439 | |||||
Debt instrument, interest rate | 4.15% | 4.15% | ||||
4.50% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | 1,871 | 2,186 | ||||
Debt instrument, interest rate | 4.50% | 4.50% | 4.50% | |||
5.10% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | 3 | 36 | ||||
Debt instrument, interest rate | 5.10% | 5.10% | 5.10% | |||
5.45% Senior Notes | ||||||
Debt Instrument [Line Items] | ||||||
Unamortized discount | $1,029 | |||||
Debt instrument, interest rate | 5.45% | 5.45% |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) | 12 Months Ended | 12 Months Ended | 0 Months Ended | 11 Months Ended | 11 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 0 Months Ended | 12 Months Ended | 12 Months Ended | 0 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 08, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Jan. 20, 2005 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 10, 2010 | Dec. 31, 2014 | Nov. 24, 2014 | Dec. 31, 2014 | Nov. 24, 2014 | Jan. 22, 2014 | Dec. 31, 2014 | Nov. 24, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2014 | 29-May-13 | Feb. 07, 2014 | Dec. 31, 2014 | Dec. 22, 2014 | Feb. 07, 2014 | Sep. 22, 2011 | Dec. 31, 2014 | Dec. 31, 2014 | Jan. 12, 2015 | Dec. 31, 2014 | Dec. 02, 2014 | Dec. 31, 2014 | Aug. 15, 2014 | Aug. 15, 2014 | Aug. 15, 2014 | Aug. 15, 2014 | Dec. 31, 2014 | Jan. 22, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 02, 2014 | Dec. 02, 2014 | Nov. 24, 2014 | Nov. 24, 2014 | |
USD ($) | USD ($) | USD ($) | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | 1.875% Senior Notes | 1.875% Senior Notes | Commercial Paper | 5.10% Senior Notes | 5.10% Senior Notes | 5.10% Senior Notes | 4.50% Senior Notes | 4.50% Senior Notes | 4.50% Senior Notes | 3.00% Senior Notes | 3.00% Senior Notes | 4.15% Senior Notes | 4.15% Senior Notes | 4.15% Senior Notes | 5.45% Senior Notes | 5.45% Senior Notes | Twenty Fourteen Senior Notes, Term Loan and Revolving Credit Facility | Domestic Financial Institution Agreement | Domestic Financial Institution Agreement | Domestic Financial Institution Agreement | Foreign Credit Line U.S. Dollar- Euro Denominated Borrowings | Foreign Credit Line U.S. Dollar- Euro Denominated Borrowings | Yen Denominated Credit Lines | Yen Denominated Credit Lines | Yen Denominated Credit Lines | Other Foreign Credit Lines | Other Foreign Credit Lines | Minimum | Maximum | Maximum | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Revolving Credit Facility | Subsequent Event | Bridge Loan | Bridge Loan | Short-term Debt | Short-term Debt | Short-term Debt | Short-term Debt | Short-term Debt | Interest Rate Swap | Interest Rate Swap | Forward Contracts | Forward Contracts | Federal funds rate [Member] | London Interbank Offered Rate (LIBOR) [Member] | Net Investment Hedge | Net Investment Hedge | |
USD ($) | USD ($) | Construction Borrowings Related To Foreign Plant | Construction Borrowings Related To Foreign Plant | Short-term Debt | Short-term Debt | USD ($) | EUR (€) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | payment | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | JPY (¥) | USD ($) | USD ($) | Foreign Subsidiaries | Joint Venture Jordan Bromine Company Limited | Joint Venture Jordan Bromine Company Limited | Commercial Paper | USD ($) | USD ($) | USD ($) | Minimum | Maximum | Rockwood Holdings, Inc. | USD ($) | Senior Unsecured Cash Bridge Facility | Term Loan | Term Loan | Term Loan | Minimum | Maximum | JP Morgan | JP Morgan | USD ($) | USD ($) | Bridge Loan | Bridge Loan | Forward Contracts | Forward Contracts | |||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | Construction Borrowings Related To Foreign Plant | Construction Borrowings Related To Foreign Plant | USD ($) | Revolving Credit Facility | USD ($) | USD ($) | Term Loan | Term Loan | USD ($) | USD ($) | Senior Unsecured Cash Bridge Facility | Senior Unsecured Cash Bridge Facility | tranche | EUR (€) | ||||||||||||||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, 2015 | $711,100,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, 2016 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, 2017 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, 2018 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, 2019 | 258,300,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Aggregate annual maturities of long-term debt, thereafter | 1,975,900,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate margin | 1.30% | 0.90% | 1.50% | 1.50% | 1.13% | 2.00% | 0.50% | 1.00% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt covenant ratio, maximum debt to EBITDA | 3.5 | 4.5 | 4.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt covenant ratio, maximum debt to EBITDA, quarterly reduction following completion of merger, number of quarters | 4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt covenant ratio, maximum debt to EBITDA, quarterly reduction following completion of merger | 0.25 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt covenant | 20.00% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial paper classified as current | 367,178,000 | 367,200,000 | 750,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Principal amount of debt | 700,000,000 | 325,000,000 | 350,000,000 | 250,000,000 | 425,000,000 | 350,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt instrument, interest rate | 1.47% | 1.88% | 1.88% | 5.10% | 5.10% | 5.10% | 4.50% | 4.50% | 4.50% | 3.00% | 3.00% | 4.15% | 4.15% | 5.45% | 5.45% | 2.09% | 5.50% | |||||||||||||||||||||||||||||||||||||||||||||
Interest rate of debt, effective percentage | 2.10% | 5.19% | 4.70% | 3.18% | 5.06% | 5.50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative, notional amount | 479,900,000 | 321,400,000 | 325,000,000 | 479,900,000 | 321,400,000 | 700,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative, fixed interest rate | 3.28% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payment for settlement of interest rate swap | 33,425,000 | 0 | 0 | 33,400,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months | 3,300,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of tranches | 2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative notional amount per tranche | 350,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income (loss) before reclassifications, before tax | 12,800,000 | 5,200,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revolving credit facility, maximum borrowing capacity | 60,000,000 | 48,000,000 | 48,000,000 | 37,300,000 | 4,500,000,000 | 67,800,000 | 60,000,000 | 1,000,000,000 | 750,000,000 | 750,000,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Weighted average interest rate | 0.79% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bridge loan fees | 19,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bridge loan fees expensed in period | 16,700,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred financing costs incurred - 2014 Sr. Notes, Term Loan and Revolving Credit Facility | 18,900,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt financing costs paid | 17,644,000 | 108,000 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average interest rate on borrowings | 0.89% | 1.49% | 0.50% | 0.50% | 0.52% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Borrowings outstanding under credit facility | 8,300,000 | 16,400,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revolving senior credit facility, remaining borrowings | 632,800,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total long-term debt | 2,934,131,000 | 1,078,864,000 | 18,800,000 | 26,400,000 | 2,000,000 | 7,900,000 | 16,800,000 | 18,500,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Additional borrowing capacity amount | $7,600,000 | $1,150,000,000 | $1,000,000,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Number of semi annual coupon payments | 20 |
Other_Noncurrent_Liabilities_D
Other Noncurrent Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | |||||
Disclosure Other Noncurrent Liabilities [Abstract] | |||||
Liabilities related to uncertain tax positions | $25,340 | [1] | $29,834 | [1] | |
Executive deferred compensation plan obligation | 22,168 | 23,030 | |||
Deferred revenue—long-term | 2,010 | 2,444 | |||
Environmental liabilities | 4,841 | [2] | 9,213 | [2] | 17,213 |
Asset retirement obligations | 15,085 | [2] | 16,930 | [2] | |
Other | 18,261 | 29,159 | |||
Total | $87,705 | $110,610 | |||
[1] | See Note 19, “Income Taxes.†| ||||
[2] | See Note 16, “Commitments and Contingencies.†|
Stockbased_Compensation_Expens2
Stock-based Compensation Expense - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 20, 2010 | 7-May-13 | |
Share Based Compensation [Line Items] | |||||
Stock options granted during the period (in shares) | 222,939 | 297,924 | 263,200 | ||
Common stock (in shares) | 150,000,000 | 150,000,000 | |||
Stock-based compensation | $14,267,000 | $10,164,000 | $15,211,000 | ||
Tax benefits recognized related to stock based compensation | 5,200,000 | 3,700,000 | 5,600,000 | ||
Intrinsic value of stock options exercised | 2,400,000 | 7,000,000 | 37,400,000 | ||
Proceeds from stock option exercised | 2,713,000 | 5,553,000 | 21,148,000 | ||
Tax benefit from stock option exercised | 800,000 | ||||
Minimum | |||||
Share Based Compensation [Line Items] | |||||
Share-based awards vesting period | 1 year | ||||
Maximum | |||||
Share Based Compensation [Line Items] | |||||
Share-based awards vesting period | 5 years | ||||
Stock options, term | 10 years | ||||
Albemarle Corporation 2008 Incentive Plan | |||||
Share Based Compensation [Line Items] | |||||
Increase in number of shares available for issuance under incentive plan (in shares) | 4,470,000 | ||||
Reduced incentive plan awards number of shares for each share (in shares) | 1.6 | ||||
Shares available for grant (in shares) | 3,032,741 | ||||
Albemarle Corporation 2008 Incentive Plan | Maximum | |||||
Share Based Compensation [Line Items] | |||||
Number of shares available for issuance under incentive plan (in shares) | 7,470,000 | ||||
Non Employee Directors, Plan | |||||
Share Based Compensation [Line Items] | |||||
Common stock (in shares) | 500,000 | ||||
Shares available for grant (in shares) | 473,000 | ||||
Non Employee Directors, Plan | Maximum | |||||
Share Based Compensation [Line Items] | |||||
Fair market value of shares issued per director per year | 150,000 | ||||
Stock Options | |||||
Share Based Compensation [Line Items] | |||||
Share-based awards vesting period | 3 years | ||||
Performance Unit Awards | |||||
Share Based Compensation [Line Items] | |||||
Performance unit award payout percentage | 200.00% | 200.00% | |||
Compensation cost not yet recognized for nonvested share | 13,400,000 | ||||
Remaining weighted average period for recognition of compensation cost years | 1 year 6 months | ||||
Fair value vested, total | 7,400,000 | 14,500,000 | 18,300,000 | ||
Granted (in dollars per share) | 20,100,000 | 16,900,000 | 19,700,000 | ||
Fair value of performance units earned in current year, related to awards granted in prior years | 6,300,000 | 8,900,000 | |||
Number of common stock share for each performance unit (in shares) | 1 | ||||
Performance Unit Awards | Minimum | |||||
Share Based Compensation [Line Items] | |||||
Performance unit award payout percentage | 0.00% | ||||
Specific performance criteria period | 1 year | ||||
Performance Unit Awards | Maximum | |||||
Share Based Compensation [Line Items] | |||||
Performance unit award payout percentage | 200.00% | ||||
Specific performance criteria period | 3 years | ||||
Stock Options | |||||
Share Based Compensation [Line Items] | |||||
Compensation cost not yet recognized for nonvested share | 6,800,000 | ||||
Remaining weighted average period for recognition of compensation cost years | 2 years 4 months 24 days | ||||
Restricted Stock And Restricted Stock Units | |||||
Share Based Compensation [Line Items] | |||||
Compensation cost not yet recognized for nonvested share | 3,200,000 | ||||
Remaining weighted average period for recognition of compensation cost years | 2 years | ||||
Fair value vested, total | 2,100,000 | 3,200,000 | 7,400,000 | ||
Granted (in dollars per share) | $2,700,000 | $3,400,000 | $2,900,000 | ||
Restricted Stock And Restricted Stock Units | Minimum | |||||
Share Based Compensation [Line Items] | |||||
Share-based awards vesting period | 1 year | ||||
Restricted Stock And Restricted Stock Units | Maximum | |||||
Share Based Compensation [Line Items] | |||||
Share-based awards vesting period | 5 years | ||||
Two Year Measurement Period | |||||
Share Based Compensation [Line Items] | |||||
Percentage of award distributed | 50.00% | ||||
One Year Vesting Period Thereafter | |||||
Share Based Compensation [Line Items] | |||||
Percentage of award distributed | 50.00% |
Stockbased_Compensation_Expens3
Stock-based Compensation Expense - Fixed-Price Stock Options (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Shares | ||
Outstanding Shares,Beginning Balance (in shares) | 1,369,116 | |
Granted (in shares) | 222,939 | |
Exercised (in shares) | -77,546 | |
Forfeited (in shares) | -26,133 | |
Expired (in shares) | -4,133 | |
Outstanding Shares, Ending Balance (in shares) | 1,484,243 | 1,369,116 |
Exercisable, Ending Balance (in shares) | 958,599 | |
Weighted-Average Exercise Price | ||
Outstanding Weighted-Average Exercise Price, Beginning Balance (in dollars per share) | $47.55 | |
Granted (in dollars per share) | $63.84 | |
Exercised (in dollars per share) | $34.99 | |
Forfeited (in dollars per share) | $64.93 | |
Expired (in dollars per share) | $62.60 | |
Outstanding Weighted-Average Exercise (in dollars per share)Price, Ending Balance | $50.30 | $47.55 |
Exercisable Weighted-Average Exercise Price, Ending Balance (in dollars per share) | $42.33 | |
Weighted-Average Remaining Contractual Term (Years) | ||
Weighted-Averaged Remaining Contractual Term, Beginning Balance | 6 years 6 months | 7 years |
Weighted-Averaged Remaining Contractual Term, Ending Balance | 6 years 6 months | 7 years |
Exercisable Weighted-Average Remaining Contractual Term, Ending Balance | 5 years 4 months 24 days | |
Aggregate Intrinsic Value | ||
Outstanding Aggregate Intrinsic Value, Beginning Balance | $22,795 | |
Outstanding Aggregate Intrinsic Value, Ending Balance | 17,887 | 22,795 |
Exercisable Aggregate Intrinsic Value, Ending Balance | $17,887 |
Stockbased_Compensation_Expens4
Stock-based Compensation Expense - Weighted-Average Assumptions used to Estimate Fair Value of Each Option Granted (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Share-based Compensation [Abstract] | |||
Dividend yield | 1.71% | 1.58% | 1.59% |
Volatility | 33.03% | 33.55% | 34.04% |
Average expected life (years) | 6 years | 6 years | 6 years |
Risk-free interest rate | 2.94% | 2.18% | 2.05% |
Fair value of options granted | $19.56 | $19.73 | $20 |
Stockbased_Compensation_Expens5
Stock-based Compensation Expense - Activity in Performance Unit Awards (Detail) (Performance Unit Awards, USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Performance Unit Awards | |
Shares | |
Nonvested, beginning of period (in shares) | 371,403 |
Granted (in shares) | 300,644 |
Vested (in shares) | -116,620 |
Forfeited (in shares) | -99,409 |
Nonvested, end of period (in shares) | 456,018 |
Weighted Average Grant Date Fair Value | |
Nonvested, beginning of period (in dollars per share) | $63.08 |
Granted (in dollars per share) | $66.83 |
Vested (in dollars per share) | $58.02 |
Forfeited (in dollars per share) | $65.97 |
Nonvested, end of period (in dollars per share) | $66.21 |
Stockbased_Compensation_Expens6
Stock-based Compensation Expense - Activity in Non-Performance Based Restricted Stock Awards (Detail) (Restricted Stock And Restricted Stock Units, USD $) | 12 Months Ended | ||
In Millions, except Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Restricted Stock And Restricted Stock Units | |||
Shares | |||
Nonvested, beginning of period (in shares) | 111,195 | ||
Granted (in shares) | 44,811 | ||
Granted (in dollars per share) | $60.96 | ||
Vested (in shares) | -32,850 | ||
Forfeited (in shares) | -17,868 | ||
Nonvested, end of period (in shares) | 105,288 | 111,195 | |
Weighted Average Grant Date Fair Value | |||
Nonvested, beginning of period (in dollars per share) | $59.32 | ||
Granted (in dollars per share) | $2.70 | $3.40 | $2.90 |
Vested (in dollars per share) | $60.75 | ||
Forfeited (in dollars per share) | $48.93 | ||
Nonvested, end of period (in dollars per share) | $61.34 | $59.32 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
Jun. 30, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Commitments and Contingencies Disclosure [Line Items] | |||||
Potential revision on future environmental remediation costs before tax | $12,000,000 | ||||
Estimated site remediation liabilities | 9,235,000 | 16,599,000 | 20,322,000 | 12,359,000 | |
Exit of phosphorus flame retardants business | 8,700,000 | 0 | 0 | 8,700,000 | |
Rental expenses related to capital and operating lease | 31,900,000 | 30,700,000 | 33,100,000 | ||
Asset retirement obligation relating to property plant and equipment | 15,100,000 | 16,900,000 | |||
Bergheim, Germany Site | |||||
Commitments and Contingencies Disclosure [Line Items] | |||||
Estimated site remediation liabilities | 5,100,000 | ||||
Pledged land and housing facilities | 5,400,000 | ||||
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |||||
Commitments and Contingencies Disclosure [Line Items] | |||||
Rental expenses related to capital and operating lease | $1,300,000 | $1,600,000 | $1,400,000 |
Commitments_and_Contingencies_2
Commitments and Contingencies - Activity in Recorded Environmental Liabilities (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Accrual for Environmental Loss Contingencies [Roll Forward] | ||||||
Balance, beginning of year | $16,599 | $20,322 | $12,359 | |||
Expenditures | -4,548 | -3,013 | -1,451 | |||
Divestitures | -1,954 | 0 | 0 | |||
Changes in estimates recorded to earnings and other | 34 | -902 | 227 | |||
Exit of phosphorus flame retardants business | 8,700 | 0 | 0 | 8,700 | ||
Foreign currency translation | -896 | 192 | 487 | |||
Balance, end of year | 9,235 | 16,599 | 20,322 | |||
Less amounts reported in Accrued expenses | 4,394 | 7,386 | 3,109 | |||
Amounts reported in Other noncurrent liabilities | $4,841 | [1] | $9,213 | [1] | $17,213 | |
[1] | See Note 16, “Commitments and Contingencies.†|
Commitments_and_Contingencies_3
Commitments and Contingencies - Future Non-Cancelable Minimum Lease Payments for Next Five Years and Thereafter (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Minimum Operating Lease Payments | |
2015 | $8,045 |
2016 | 5,674 |
2017 | 4,638 |
2018 | 2,551 |
2019 | 2,029 |
Thereafter | $4,036 |
Commitments_and_Contingencies_4
Commitments and Contingencies - Letters of Credit and Guarantee Agreements (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Commitments and Contingencies Disclosure [Abstract] | |
2015 | $17,774 |
2016 | 3,528 |
2017 | 4,011 |
2018 | 1,187 |
2019 | 14 |
Thereafter | $3,629 |
Commitments_and_Contingencies_5
Commitments and Contingencies Settlement of Litigation (Details) (U.S. Environmental Protection Agency 2006 Notice of Violation, USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2014 |
U.S. Environmental Protection Agency 2006 Notice of Violation | |
Loss Contingencies [Line Items] | |
Litigation Settlement, Amount | $332 |
Civil Penalty, Waived | $112 |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Components and Activity in Accumulated Other Comprehensive Income (Loss) (Net of Deferred Income Taxes) (Detail) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | $116,245 | $85,264 | $60,329 | ||
Current Period Change | -179,131 | 28,972 | 20,525 | ||
Tax benefit (expense) | 473 | 2,009 | 4,410 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -62,413 | 116,245 | 85,264 | ||
Foreign Currency Translation | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 116,465 | 85,117 | 56,245 | ||
Current Period Change | -163,456 | [1] | 29,539 | 26,846 | [1] |
Tax benefit (expense) | -5,273 | 1,809 | 2,026 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -52,264 | 116,465 | 85,117 | ||
Pension and Postretirement Benefits | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 487 | 989 | 5,060 | ||
Current Period Change | -772 | -781 | -6,533 | [2] | |
Tax benefit (expense) | 285 | 279 | 2,462 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | 0 | 487 | 989 | ||
Net Investment Hedge | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 0 | 0 | 0 | ||
Current Period Change | 17,971 | [3] | 0 | 0 | |
Tax benefit (expense) | -6,587 | 0 | 0 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | 11,384 | 0 | 0 | ||
Interest Rate Swap | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 0 | 0 | 0 | ||
Current Period Change | -33,091 | [4] | 0 | 0 | |
Tax benefit (expense) | 12,129 | 0 | 0 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -20,962 | 0 | 0 | ||
Other | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | -707 | -842 | -976 | ||
Current Period Change | 217 | 214 | 212 | ||
Tax benefit (expense) | -81 | -79 | -78 | ||
Accumulated other comprehensive income (loss) - Total - Ending Balance | ($571) | ($707) | ($842) | ||
[1] | Current period change for the year ended December 31, 2012 includes $12.3 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.†Current period change for the year ended December 31, 2014 includes $17.8 million related to a non-cash write-off of foreign currency translation adjustments from Accumulated other comprehensive (loss) income in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.†| ||||
[2] | Current period change for the year ended December 31, 2012 includes $6.5 million related to a supplemental executive retirement plan settlement in connection with the retirement of our former CEO and executive chairman, and ($4.5) million related to various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. | ||||
[3] | Current period change for the year ended December 31, 2014 includes $12.8 million related to the revaluation of our euro-denominated senior notes and a $5.2 million gain on the settlement of related foreign currency forward contracts, both of which were designated as a hedge of our net investment in foreign operations. See Note 13, “Long-Term Debt†for additional information about these transactions. | ||||
[4] | Current period change for the year ended December 31, 2014 includes a realized loss of ($33.4) million on the settlement of our forward starting interest rate swap which was designated and accounted for as a cash flow hedge under ASC 815, Derivatives and Hedging. See Note 13, “Long-Term Debt†for additional information about this interest rate swap. |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) - Components and Activity in Accumulated Other Comprehensive Income (Loss) (Net of Deferred Income Taxes) (Footnotes) (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Amendment amount of certain U.S. pension and defined contribution plans that were approved by Board of Directors | ($4.50) | |
Supplemental Executive Retirement Plan | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Supplemental Employee Retirement plan settlement amount in connection with former CEO and executive chairman | 6.5 | |
Foreign Currency Translation | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Write-offs of foreign currency translation adjustments of phosphorous flame retardants business | 17.8 | 12.3 |
1.875% Senior Notes | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss) before reclassifications, before tax | 12.8 | |
1.875% Senior Notes | Net Investment Hedge | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss) before reclassifications, before tax | 12.8 | |
Forward Contracts | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss) before reclassifications, before tax | 5.2 | |
Forward Contracts | Net Investment Hedge | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss) before reclassifications, before tax | 5.2 | |
Interest Rate Swap | Interest Rate Swap | JP Morgan | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss) before reclassifications, before tax | ($33.40) |
Accumulated_Other_Comprehensiv4
Accumulated Other Comprehensive Income (Loss) - Reclassifications in Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | $116,245 | $85,264 | $60,329 | |||
Other comprehensive income (loss) before reclassifications | -160,849 | 31,702 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | -17,889 | -365 | ||||
Total other comprehensive (loss) income, net of tax | -178,738 | 31,337 | 24,832 | |||
Other comprehensive (income) loss attributable to noncontrolling interests | 80 | -356 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -62,413 | 116,245 | 85,264 | |||
Foreign Currency Translation | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 116,465 | 85,117 | 56,245 | |||
Other comprehensive income (loss) before reclassifications | -151,059 | 31,704 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | -17,750 | [1] | 0 | |||
Total other comprehensive (loss) income, net of tax | -168,809 | 31,704 | ||||
Other comprehensive (income) loss attributable to noncontrolling interests | 80 | -356 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -52,264 | 116,465 | 56,245 | |||
Pension and Postretirement Benefits | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 487 | 989 | 5,060 | |||
Other comprehensive income (loss) before reclassifications | 0 | 0 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | -487 | [2] | -502 | [2] | ||
Total other comprehensive (loss) income, net of tax | -487 | -502 | ||||
Other comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | 0 | 487 | 5,060 | |||
Net Investment Hedge | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 0 | 0 | 0 | |||
Other comprehensive income (loss) before reclassifications | 11,384 | 0 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 0 | 0 | ||||
Total other comprehensive (loss) income, net of tax | 11,384 | 0 | ||||
Other comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | 11,384 | 0 | 0 | |||
Interest Rate Swap | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | 0 | 0 | 0 | |||
Other comprehensive income (loss) before reclassifications | -21,174 | 0 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 212 | [3] | 0 | |||
Total other comprehensive (loss) income, net of tax | -20,962 | 0 | ||||
Other comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | -20,962 | 0 | 0 | |||
Other | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Accumulated other comprehensive income (loss) - Total - Beginning Balance | -707 | -842 | ||||
Other comprehensive income (loss) before reclassifications | 0 | -2 | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 136 | 137 | ||||
Total other comprehensive (loss) income, net of tax | 136 | 135 | ||||
Other comprehensive (income) loss attributable to noncontrolling interests | 0 | 0 | ||||
Accumulated other comprehensive income (loss) - Total - Ending Balance | ($571) | ($707) | ||||
[1] | Amounts reclassified from accumulated other comprehensive income (loss) for the year ended December 31, 2014 are included in (Loss) income from discontinued operations (net of tax) and resulted from the release of cumulative foreign currency translation adjustments into earnings upon the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2, “Discontinued Operations.†| |||||
[2] | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income consists of amortization of prior service benefit, which is a component of pension and postretirement benefits cost (credit). See Note 18, “Pension Plans and Other Postretirement Benefits.†| |||||
[3] | The pre-tax portion of amounts reclassified from accumulated other comprehensive (loss) income is included in interest expense. See Note 13, “Long-Term Debt.†|
Pension_Plans_and_Other_Postre2
Pension Plans and Other Postretirement Benefits - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 2 Months Ended | 3 Months Ended | 1 Months Ended | |||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2012 | Dec. 31, 2005 | Dec. 31, 2013 | Feb. 27, 2015 | Jun. 30, 2012 | Dec. 31, 2012 | |||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Net curtailment gain | ($4,500,000) | ($4,507,000) | [1] | |||||||||||
Defined contribution plan, employer matching contribution percentage | 5.00% | |||||||||||||
Discretionary contribution | 10,100,000 | 10,081,000 | [1] | |||||||||||
Accumulated benefit obligation for defined benefit pension plans | 776,600,000 | 669,100,000 | 776,600,000 | 669,100,000 | ||||||||||
Post retirement medical benefit available to U.S. employees, change of age group, current range | under age 50 | |||||||||||||
Age group for capping of retiree medical premium | age 50 and above | |||||||||||||
Actuarial (gain) loss | 112,600,000 | 2,800,000 | 15,400,000 | -139,000,000 | ||||||||||
Change in percentage of broad asset class targets | 10.00% | |||||||||||||
Assumed rate of increase in the pre-65 capita cost of covered health care benefits for U.S. retirees | 0.00% | |||||||||||||
Assumed rate of increase in the post-65 per capita cost of covered health care benefits for U.S. retirees | 0.00% | |||||||||||||
Accrued postemployment benefit liability | 800,000 | 800,000 | 800,000 | 800,000 | ||||||||||
Traditional Long Equity Holdings | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Target allocations percentage of assets | 65.00% | |||||||||||||
Diversified Asset Classes | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Target allocations percentage of assets | 35.00% | |||||||||||||
Domestic Pension Benefits | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Actuarial (gain) loss | 116,705,000 | 65,603,000 | [2] | -130,297,000 | ||||||||||
Weighted-average expected rate of return on plan assets | 6.91% | 8.25% | 7.25% | |||||||||||
Rate of compensation increase | 0.00% | 3.50% | 0.00% | 3.50% | ||||||||||
Employer contribution | 7,042,000 | 7,556,000 | ||||||||||||
Projected benefit obligation recognized | 729,652,000 | 629,337,000 | 714,158,000 | 729,652,000 | 714,158,000 | 629,337,000 | 714,158,000 | |||||||
Domestic Pension Benefits | Subsequent Event | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Weighted-average expected rate of return on plan assets | 6.89% | |||||||||||||
Total Postretirement Benefits | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Actuarial (gain) loss | 3,868,000 | 3,161,000 | [3] | -6,120,000 | ||||||||||
Weighted-average expected rate of return on plan assets | 7.00% | 7.00% | 7.00% | |||||||||||
Rate of compensation increase | 3.50% | 3.50% | 3.50% | 3.50% | ||||||||||
Employer contribution | 3,934,000 | 3,504,000 | ||||||||||||
Projected benefit obligation recognized | 64,500,000 | 62,832,000 | 70,787,000 | 64,500,000 | 70,787,000 | 62,832,000 | 70,787,000 | |||||||
Total Postretirement Benefits | Subsequent Event | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Weighted-average expected rate of return on plan assets | 7.00% | |||||||||||||
Domestic Pension Plan of Foreign Entity [Member] | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Employer contribution | 13,900,000 | 21,600,000 | 13,300,000 | |||||||||||
Foreign Pension Plans, Defined Benefit | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Weighted-average expected rate of return on plan assets | 4.00% | 4.35% | ||||||||||||
Total Pension Benefits | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Actuarial (gain) loss | 126,975,000 | 72,550,000 | [2] | -132,916,000 | ||||||||||
Weighted-average expected rate of return on plan assets | 6.86% | 8.19% | 7.20% | |||||||||||
Rate of compensation increase | 3.40% | 2.78% | 3.40% | 2.78% | ||||||||||
Employer contribution | 9,982,000 | 9,790,000 | ||||||||||||
Expect contributions to benefit plans in 2015 | 5,000,000 | |||||||||||||
Projected benefit obligation recognized | 782,764,000 | 678,582,000 | 762,395,000 | 782,764,000 | 762,395,000 | 678,582,000 | 762,395,000 | |||||||
Supplemental Executive Retirement Plan | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Employer contribution | 14,100,000 | |||||||||||||
Expect contributions to benefit plans in 2015 | 3,200,000 | |||||||||||||
Expenses related to benefit | 7,300,000 | 10,300,000 | -1,500,000 | |||||||||||
Projected benefit obligation recognized | 26,400,000 | 21,800,000 | 26,400,000 | 21,800,000 | ||||||||||
U.S. Postretirement Benefit Plan | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Expected premium contribution | 4,000,000 | 4,000,000 | ||||||||||||
Restatement Adjustment | Pension Plan Actuarial Gain Correction | Total Postretirement Benefits | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Actuarial (gain) loss | 4,400,000 | |||||||||||||
Restatement Adjustment | Pension Plan Actuarial Gain Correction | Total Pension Benefits | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Actuarial (gain) loss | 5,800,000 | [2] | ||||||||||||
2004 Defined Contribution Plan | U.S. Postretirement Benefit Plan | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Discretionary contribution | 10,100,000 | |||||||||||||
Annual premiums and related costs pertaining to defined contribution plan | 8,400,000 | 14,800,000 | 8,800,000 | |||||||||||
Employee Savings Plan | Foreign Postretirement Benefit Plan | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Annual premiums and related costs pertaining to defined contribution plan | 10,100,000 | 9,500,000 | 10,300,000 | |||||||||||
Employee Savings Plan | U.S. Postretirement Benefit Plan | ||||||||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||||||||
Annual premiums and related costs pertaining to defined contribution plan | $10,000,000 | $9,500,000 | $10,600,000 | |||||||||||
[1] | In the fourth quarter of 2012, we recorded a net curtailment gain of $4.5 million ($2.9 million after income taxes) and a one-time employer contribution to the Company’s defined contribution plan of $10.1 million ($6.4 million after income taxes), both in connection with various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. See Note 18, “Pension Plans and Other Postretirement Benefits.†| |||||||||||||
[2] | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $5.8 million (recorded in the second quarter of 2012) for pension plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. | |||||||||||||
[3] | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $4.4 million (recorded in the second quarter of 2012) for postretirement plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. |
Pension_Plans_and_Other_Postre3
Pension Plans and Other Postretirement Benefits - Reconciliation of Benefit Obligations, Plan Assets and Funded Status of Plans, as well as Summary of Significant Assumptions for Benefit Plans (Detail) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Total Postretirement Benefits | |||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Benefit obligation, beginning balance | $62,832 | $70,787 | |||
Service cost | 216 | 309 | 274 | ||
Interest cost | 3,040 | 2,764 | 3,172 | ||
Actuarial loss (gain) | 3,741 | -6,165 | |||
Benefits paid | -5,329 | -4,863 | |||
Benefit obligation, ending balance | 64,500 | 62,832 | 70,787 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Fair value of plan assets, beginning balance | 5,620 | [1] | 6,611 | ||
Actual return on plan assets | 214 | 368 | |||
Employer contributions | 3,934 | 3,504 | |||
Benefits paid | -5,329 | -4,863 | |||
Fair value of plan assets, Ending Balance | 4,439 | [1] | 5,620 | [1] | 6,611 |
Funded status | -60,061 | -57,212 | |||
Current liabilities (accrued expenses) | -3,637 | -3,309 | |||
Noncurrent liabilities (pension benefits) | -56,424 | -53,903 | |||
Net pension liability | -60,061 | -57,212 | |||
Prior service benefit | 334 | 429 | |||
Net amount recognized | 334 | 429 | |||
Weighted-average assumption percentages: | |||||
Discount Rate | 4.15% | 5.03% | |||
Rate of compensation increase | 3.50% | 3.50% | |||
Domestic Pension Benefits | |||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Benefit obligation, beginning balance | 629,337 | 714,158 | |||
Service cost | 7,029 | 12,177 | 11,274 | ||
Interest cost | 30,491 | 28,406 | 29,843 | ||
Actuarial loss (gain) | 130,887 | -85,774 | |||
Benefits paid | -37,866 | -39,630 | |||
Divestitures(a) | -30,226 | [2] | 0 | ||
Employee contributions | 0 | 0 | |||
Foreign exchange (gain) loss | 0 | 0 | |||
Benefit obligation, ending balance | 729,652 | 629,337 | 714,158 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Fair value of plan assets, beginning balance | 605,604 | 554,179 | |||
Actual return on plan assets | 53,696 | 83,499 | |||
Employer contributions | 7,042 | 7,556 | |||
Benefits paid | -37,866 | -39,630 | |||
Divestitures(a) | -30,226 | [2] | 0 | ||
Employee contributions | 0 | 0 | |||
Foreign exchange (loss) gain | 0 | 0 | |||
Fair value of plan assets, Ending Balance | 598,250 | 605,604 | 554,179 | ||
Funded status | -131,402 | -23,733 | |||
Current liabilities (accrued expenses) | -3,219 | -2,856 | |||
Noncurrent liabilities (pension benefits) | -128,183 | -20,877 | |||
Net pension liability | -131,402 | -23,733 | |||
Prior service benefit | -286 | 441 | |||
Net amount recognized | -286 | 441 | |||
Weighted-average assumption percentages: | |||||
Discount Rate | 4.19% | 5.14% | |||
Rate of compensation increase | 0.00% | 3.50% | |||
Total Pension Benefits | |||||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||||
Benefit obligation, beginning balance | 678,582 | 762,395 | |||
Service cost | 8,775 | 13,962 | 12,741 | ||
Interest cost | 32,062 | 29,883 | 31,636 | ||
Actuarial loss (gain) | 141,228 | -88,392 | |||
Benefits paid | -41,779 | -41,132 | |||
Divestitures(a) | -30,226 | [2] | 0 | ||
Employee contributions | 283 | 320 | |||
Foreign exchange (gain) loss | -6,161 | 1,546 | |||
Benefit obligation, ending balance | 782,764 | 678,582 | 762,395 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Fair value of plan assets, beginning balance | 616,545 | [1] | 563,303 | ||
Actual return on plan assets | 54,195 | 83,853 | |||
Employer contributions | 9,982 | 9,790 | |||
Benefits paid | -41,779 | -41,132 | |||
Divestitures(a) | -30,226 | [2] | 0 | ||
Employee contributions | 283 | 320 | |||
Foreign exchange (loss) gain | -1,306 | 411 | |||
Fair value of plan assets, Ending Balance | 607,694 | [1] | 616,545 | [1] | 563,303 |
Funded status | -175,070 | -62,037 | |||
Current liabilities (accrued expenses) | -4,535 | -4,390 | |||
Noncurrent liabilities (pension benefits) | -170,534 | -57,647 | |||
Net pension liability | -175,069 | -62,037 | |||
Prior service benefit | -607 | 70 | |||
Net amount recognized | ($607) | $70 | |||
Weighted-average assumption percentages: | |||||
Discount Rate | 4.03% | 5.00% | |||
Rate of compensation increase | 3.40% | 2.78% | |||
[1] | See Note 18 “Pension Plans and Other Postretirement Benefits†for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. | ||||
[2] | Reduction in benefit obligations and plan assets is in connection with the sale of our antioxidant, ibuprofen and propofol businesses and assets which closed on September 1, 2014. See Note 2 “Discontinued Operations†for additional information about this transaction. |
Pension_Plans_and_Other_Postre4
Pension Plans and Other Postretirement Benefits - Components of Pension Benefits Expense (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||||
Actuarial (gain) loss | $112,600 | $2,800 | $15,400 | ($139,000) | ||||
Total Pension Benefits | ||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||
Service cost | 8,775 | 13,962 | 12,741 | |||||
Interest cost | 32,062 | 29,883 | 31,636 | |||||
Expected return on assets | -40,141 | -39,392 | -44,752 | |||||
Actuarial (gain) loss | 126,975 | -132,916 | 72,550 | [1] | ||||
Amortization of prior service benefit | -677 | -689 | -757 | |||||
Total net pension benefits cost (credit) | 126,994 | -129,152 | 71,418 | |||||
Weighted-average assumption percentages: | ||||||||
Discount rate | 5.00% | 4.04% | 5.04% | |||||
Expected return on plan assets | 6.86% | 7.20% | 8.19% | |||||
Rate of compensation increase | 2.78% | 3.37% | 3.96% | |||||
Domestic Pension Benefits | ||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||
Service cost | 7,029 | 12,177 | 11,274 | |||||
Interest cost | 30,491 | 28,406 | 29,843 | |||||
Expected return on assets | -39,714 | -38,975 | -44,342 | |||||
Actuarial (gain) loss | 116,705 | -130,297 | 65,603 | [1] | ||||
Amortization of prior service benefit | -727 | -741 | -812 | |||||
Total net pension benefits cost (credit) | $113,784 | ($129,430) | $61,566 | |||||
Weighted-average assumption percentages: | ||||||||
Discount rate | 5.14% | 4.10% | 5.07% | |||||
Expected return on plan assets | 6.91% | 7.25% | 8.25% | |||||
Rate of compensation increase | 3.50% | 3.50% | 4.11% | |||||
[1] | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $5.8 million (recorded in the second quarter of 2012) for pension plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. |
Pension_Plans_and_Other_Postre5
Pension Plans and Other Postretirement Benefits - Estimated Amounts to Be Amortized from Accumulated Other Comprehensive Income into Net Periodic Benefit Costs (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2015 |
Total Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | ($95) | ($95) | ($95) | |
Total Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | -677 | -689 | -757 | |
Domestic Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | -727 | -741 | -812 | |
Forecast for 2013 | Total Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | -95 | |||
Forecast for 2013 | Total Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | 126 | |||
Forecast for 2013 | Domestic Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Amortization of prior service benefit | $75 |
Pension_Plans_and_Other_Postre6
Pension Plans and Other Postretirement Benefits - Components of Postretirement Benefits Expense (Income) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||||
Actuarial (gain) loss | $112,600 | $2,800 | $15,400 | ($139,000) | ||||
Total Postretirement Benefits | ||||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||||
Service cost | 216 | 309 | 274 | |||||
Interest cost | 3,040 | 2,764 | 3,172 | |||||
Expected return on assets | -342 | -413 | -488 | |||||
Actuarial (gain) loss | 3,868 | -6,120 | 3,161 | [1] | ||||
Amortization of prior service benefit | -95 | -95 | -95 | |||||
Total net pension benefits (credit) cost | $6,687 | ($3,555) | $6,024 | |||||
Weighted-average assumption percentages: | ||||||||
Discount rate | 5.03% | 4.00% | 5.10% | |||||
Expected return on plan assets | 7.00% | 7.00% | 7.00% | |||||
Rate of compensation increase | 3.50% | 3.50% | 4.00% | |||||
[1] | In the second quarter of 2013, we identified that our consolidated statement of income for the year ended December 31, 2012 included a correction of $4.4 million (recorded in the second quarter of 2012) for postretirement plan actuarial gains that related to 2011. This amount was deemed to be not material with respect to our financial statements for the year ended December 31, 2012 and any prior period financial statements. |
Pension_Plans_and_Other_Postre7
Pension Plans and Other Postretirement Benefits - Financial Assets Accounted for at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Investments under executive deferred compensation plan | $22,168 | [1] | $23,030 | [1] | |
Private equity securities | 1,806 | [2] | 771 | [2] | |
Foreign currency forward contracts, assets | 631 | [3] | 161 | [3] | |
Obligations under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Total Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 607,694 | [4] | 616,545 | [4] | 563,303 |
Total Pension Benefits | Domestic Equity Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 169,581 | [5] | 167,627 | [5] | |
Total Pension Benefits | International Equity | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 85,007 | [6] | 70,609 | [7] | |
Total Pension Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 268,911 | [8] | 248,095 | [9] | |
Total Pension Benefits | Absolute Return | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 80,740 | [10] | 125,137 | [10] | |
Total Pension Benefits | Cash | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 3,455 | 5,077 | |||
Total Postretirement Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 4,439 | [4] | 5,620 | [4] | 6,611 |
Total Postretirement Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 4,439 | [8] | 5,620 | [9] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Investments under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Private equity securities | 21 | [2] | 21 | [2] | |
Foreign currency forward contracts, assets | 0 | 0 | |||
Obligations under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 513,871 | [4] | 482,002 | [4] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | Domestic Equity Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 169,581 | [5] | 167,627 | [5] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | International Equity | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 85,007 | [6] | 70,609 | [7] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 255,828 | [8] | 237,151 | [9] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | Absolute Return | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [10] | 1,538 | [10] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | Cash | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 3,455 | 5,077 | |||
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Postretirement Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | 0 | |||
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Postretirement Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [8] | 0 | ||
Quoted Prices in Active Markets for Similar Items (Level 2) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Investments under executive deferred compensation plan | 0 | 0 | |||
Private equity securities | 0 | 0 | |||
Foreign currency forward contracts, assets | 631 | [3] | 161 | [3] | |
Obligations under executive deferred compensation plan | 0 | 0 | |||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 13,083 | [4] | 10,944 | [4] | |
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | Domestic Equity Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [5] | 0 | ||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | International Equity | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [6] | 0 | ||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 13,083 | [8] | 10,944 | [9] | |
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | Absolute Return | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [10] | 0 | ||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | Cash | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | 0 | |||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Postretirement Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 4,439 | [4] | 5,620 | [4] | |
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Postretirement Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 4,439 | [8] | 5,620 | [9] | |
Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Investments under executive deferred compensation plan | 0 | 0 | |||
Private equity securities | 1,785 | [2] | 750 | ||
Foreign currency forward contracts, assets | 0 | 0 | |||
Obligations under executive deferred compensation plan | 0 | 0 | |||
Unobservable Inputs (Level 3) | Total Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 80,740 | [4] | 123,599 | [4] | 70,829 |
Unobservable Inputs (Level 3) | Total Pension Benefits | Domestic Equity Securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [5] | 0 | ||
Unobservable Inputs (Level 3) | Total Pension Benefits | International Equity | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [6] | 0 | ||
Unobservable Inputs (Level 3) | Total Pension Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | [8] | 0 | ||
Unobservable Inputs (Level 3) | Total Pension Benefits | Absolute Return | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 80,740 | [10] | 123,599 | [10] | |
Unobservable Inputs (Level 3) | Total Pension Benefits | Cash | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | ||||
Unobservable Inputs (Level 3) | Total Postretirement Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | 0 | 0 | |||
Unobservable Inputs (Level 3) | Total Postretirement Benefits | Fixed Income | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair value of plan assets | $0 | [8] | $0 | ||
[1] | We maintain an EDCP that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trustâ€) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1. | ||||
[2] | Primarily consists of private equity securities classified as available-for-sale and are reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other (expenses) income, net, in our consolidated statements of income. Holdings in private equity securities are typically valued using the net asset valuations provided by the underlying private investment companies and as such are classified within Level 3. | ||||
[3] | As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates, which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. Unless otherwise noted, these derivative financial instruments are not designated as hedging instruments under ASC 815, Derivatives and Hedging. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. | ||||
[4] | See Note 18 “Pension Plans and Other Postretirement Benefits†for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. | ||||
[5] | Consists primarily of U.S. stock funds that track or are actively managed and measured against the S&P 500 index. | ||||
[6] | Consists primarily of international equity funds which invest in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | ||||
[7] | Consists primarily of an international equity fund which invests in common stocks and other securities whose value is based on an international equity index or an underlying equity security or basket of equity securities. | ||||
[8] | Consists primarily of debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | ||||
[9] | Consists primarily of mutual funds that hold debt obligations issued by governments, corporations, municipalities and other borrowers. Also includes insurance policies. | ||||
[10] | Consists primarily of funds with holdings in private investment companies. See additional information about the Absolute Return investments below. |
Pension_Plans_and_Other_Postre8
Pension Plans and Other Postretirement Benefits - Changes in Fair Value of Plans Level 3 Assets (Detail) (Total Pension Benefits, USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Fair value of plan assets, beginning balance | $563,303 | ||||
Fair value of plan assets, Ending Balance | 607,694 | [1] | 616,545 | [1] | 563,303 |
Unobservable Inputs (Level 3) | |||||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||||
Fair value of plan assets, beginning balance | 123,599 | [1] | 70,829 | ||
Total gains (losses) relating to assets sold during the period | -10,112 | [2] | 994 | [3] | |
Total unrealized gains (losses) included in earnings relating to assets still held at the reporting date | 13,144 | [2] | -4,511 | [3] | |
Purchases | 50,506 | 76,643 | |||
Sales | -96,397 | -20,356 | |||
Fair value of plan assets, Ending Balance | $80,740 | [1] | $123,599 | [1] | |
[1] | See Note 18 “Pension Plans and Other Postretirement Benefits†for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. | ||||
[2] | These (losses) gains are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. | ||||
[3] | These gains (losses) are recognized in the consolidated balance sheets and are included as changes in plan assets in the tables above. |
Pension_Plans_and_Other_Postre9
Pension Plans and Other Postretirement Benefits - Current Forecast of Benefit Payments which Reflect Expected Future Service (Detail) (USD $) | Dec. 31, 2014 |
In Millions, unless otherwise specified | |
Total Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2015 | $41.60 |
2016 | 40.6 |
2017 | 42.5 |
2018 | 45.2 |
2019 | 43.4 |
2020-2024 | 230.8 |
Domestic Pension Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2015 | 40.1 |
2016 | 39.1 |
2017 | 40.1 |
2018 | 43.8 |
2019 | 41.9 |
2020-2024 | 216.7 |
Total Postretirement Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2015 | 5 |
2016 | 4.9 |
2017 | 4.6 |
2018 | 4.4 |
2019 | 4.2 |
2020-2024 | $19.10 |
Income_Taxes_Components_of_Inc
Income Taxes - Components of Income Tax Expense Benefit (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income from continuing operations before income taxes and equity in net income of unconsolidated investments: | |||
Domestic | $45,689 | $351,731 | $311,195 |
Foreign | 167,490 | 186,711 | 57,017 |
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 213,179 | 538,442 | 368,212 |
Current income tax expense: | |||
Federal | 36,708 | 53,953 | 67,022 |
State | 3,209 | 2,195 | 6,107 |
Foreign | 25,700 | 18,414 | 19,672 |
Total | 65,617 | 74,562 | 92,801 |
Deferred income tax expense (benefit): | |||
Federal | -32,890 | 69,817 | 928 |
State | -1,139 | 2,416 | 648 |
Foreign | -13,104 | -12,350 | -13,944 |
Total | -47,133 | 59,883 | -12,368 |
Total income tax expense | $18,484 | $134,445 | $80,433 |
Income_Taxes_Significant_Diffe
Income Taxes - Significant Differences Between U.S. Federal Statutory Rate and Effective Income Tax Rate (Detail) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Income Tax Disclosure [Abstract] | ||||||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |||
State taxes, net of federal tax benefit | 0.20% | 0.70% | 1.40% | |||
Change in valuation allowance | 1.00% | -2.20% | [1] | 3.40% | [1] | |
Impact of foreign earnings, net | -23.60% | [2] | -10.30% | [2] | -6.30% | [2] |
Depletion | -2.40% | -0.90% | -1.30% | |||
Revaluation of unrecognized tax benefits/reserve requirements | -0.60% | [3] | -0.10% | -1.70% | [3] | |
Domestic Manufacturing tax deduction | -2.20% | -0.90% | -3.80% | [4] | ||
Undistributed earnings of foreign subsidiaries | -0.30% | [2] | 2.90% | [2] | -4.90% | [2] |
Other items, net | 1.60% | 0.80% | 0.00% | |||
Effective income tax rate | 8.70% | 25.00% | 21.80% | |||
[1] | During 2013, the Avonmouth, United Kingdom legal entity was dissolved, therefore the corresponding valuation allowance and deferred tax assets were written off. During 2012, a valuation allowance was established for $15.9 million as a result of the planned shut-down of our Avonmouth, United Kingdom legal entity in connection with our exit of the phosphorus flame retardants business. See Note 20, “Restructuring and Other.†| |||||
[2] | In prior years, we designated the undistributed earnings of substantially all of our foreign subsidiaries as indefinitely invested. The benefit of the lower tax rates in the jurisdictions for which we made this designation are reflected in our effective income tax rate. During 2014, 2013 and 2012, we received distributions of $12.6 million, $12.3 million and $56.9 million, respectively, from various foreign subsidiaries and joint ventures, and realized an expense (benefit), net of foreign tax credits, of $2.8 million, $2.4 million and $(1.8) million, respectively, related to the repatriation of these high taxed earnings. We have asserted, for all periods being reported, indefinite investment of our share of the income of JBC, a Free Zones company under the laws of the Hashemite Kingdom of Jordan. The applicable provisions of the Jordanian law, and applicable regulations thereunder, do not have a termination provision and the exemption is indefinite. As a Free Zones company, JBC is not subject to income taxes on the profits of products exported from Jordan, and currently, substantially all of the profits are from exports. This gave us a rate benefit of 12.4%, 4.5%, and 5.8% for 2014, 2013, and 2012, respectively. The rate has also benefited from rate differences in various countries including Belgium, and the Netherlands. In 2012, undistributed foreign subsidiary earnings were primarily impacted by a $17.4 million change related to the closure of our Avonmouth, United Kingdom site in connection with our exit of the phosphorus flame retardants business. | |||||
[3] | During 2014, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2009 through 2010 which provided a net benefit of approximately $2.5 million. During 2012, we released various tax reserves primarily related to the expiration of the applicable U.S. federal statute of limitations for 2008 which provided a net benefit of $5.2 million. | |||||
[4] | During 2012, we amended the calculation of the domestic manufacturing tax deduction for the year 2010 and filed the 2011 tax return. As a result, in 2012 we recognized tax benefits of $1.5 million and $3.0 million related to the 2010 and 2011 tax years, respectively. |
Income_Taxes_Significant_Diffe1
Income Taxes - Significant Differences Between U.S. Federal Statutory Rate and Effective Income Tax Rate Footnote (Detail) (USD $) | 12 Months Ended | ||||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||
Schedule Of Effective Tax Rates Line Items | |||||||
Valuation Allowance | $30,768,000 | $33,757,000 | $49,562,000 | $36,419,000 | |||
Proceeds from various foreign subsidiaries and joint ventures related to repatriation of high taxed earnings | 12,600,000 | 12,300,000 | 56,900,000 | ||||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | 2,800,000 | 2,400,000 | -1,800,000 | ||||
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Percent | 23.60% | [1] | 10.30% | [1] | 6.30% | [1] | |
Net benefit from release of tax reserves | 2,500,000 | 5,200,000 | |||||
Recognized Tax Benefits Related To Tax Year 2010 | |||||||
Schedule Of Effective Tax Rates Line Items | |||||||
Recognized tax benefits related to deduction for qualified production activity | 1,500,000 | ||||||
Recognized Tax Benefits Related To Tax Year 2011 | |||||||
Schedule Of Effective Tax Rates Line Items | |||||||
Recognized tax benefits related to deduction for qualified production activity | 3,000,000 | ||||||
Phosphorous Flame Retardant Business Exit | |||||||
Schedule Of Effective Tax Rates Line Items | |||||||
Impact on undistributed foreign subsidiaries earnings | 17,400,000 | ||||||
Avonmouth, United Kingdom | |||||||
Schedule Of Effective Tax Rates Line Items | |||||||
Valuation Allowance | $15,900,000 | ||||||
Jordan Bromine Company Limited | |||||||
Schedule Of Effective Tax Rates Line Items | |||||||
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Percent | 12.40% | 4.50% | 5.80% | ||||
[1] | In prior years, we designated the undistributed earnings of substantially all of our foreign subsidiaries as indefinitely invested. The benefit of the lower tax rates in the jurisdictions for which we made this designation are reflected in our effective income tax rate. During 2014, 2013 and 2012, we received distributions of $12.6 million, $12.3 million and $56.9 million, respectively, from various foreign subsidiaries and joint ventures, and realized an expense (benefit), net of foreign tax credits, of $2.8 million, $2.4 million and $(1.8) million, respectively, related to the repatriation of these high taxed earnings. We have asserted, for all periods being reported, indefinite investment of our share of the income of JBC, a Free Zones company under the laws of the Hashemite Kingdom of Jordan. The applicable provisions of the Jordanian law, and applicable regulations thereunder, do not have a termination provision and the exemption is indefinite. As a Free Zones company, JBC is not subject to income taxes on the profits of products exported from Jordan, and currently, substantially all of the profits are from exports. This gave us a rate benefit of 12.4%, 4.5%, and 5.8% for 2014, 2013, and 2012, respectively. The rate has also benefited from rate differences in various countries including Belgium, and the Netherlands. In 2012, undistributed foreign subsidiary earnings were primarily impacted by a $17.4 million change related to the closure of our Avonmouth, United Kingdom site in connection with our exit of the phosphorus flame retardants business. |
Income_Taxes_Deferred_Income_T
Income Taxes - Deferred Income Tax Assets and Liabilities Recorded on Consolidated Balance Sheets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||
In Thousands, unless otherwise specified | ||||||
Deferred tax assets: | ||||||
Postretirement benefits other than pensions | $221 | $300 | ||||
Accrued employee benefits | 20,834 | 31,089 | ||||
Operating loss carryovers | 82,017 | 88,614 | ||||
Pensions | 79,113 | 37,172 | ||||
Tax credit carryovers | 34,469 | 35,170 | ||||
Undistributed earnings of foreign subsidiaries | 540 | 0 | ||||
Other | 21,845 | 15,447 | ||||
Gross deferred tax assets | 239,039 | 207,792 | ||||
Valuation allowance | -30,768 | -33,757 | -49,562 | -36,419 | ||
Deferred tax assets | 208,271 | 174,035 | ||||
Deferred tax liabilities: | ||||||
Depreciation | -184,548 | -213,575 | ||||
Foreign currency translation adjustments | -4,752 | -3,104 | ||||
Undistributed earnings of foreign subsidiaries | 0 | -71 | ||||
Other | -18,420 | -19,747 | ||||
Deferred tax liabilities | -207,720 | -236,497 | ||||
Net deferred tax assets (liabilities) | 551 | -62,462 | ||||
Current deferred tax assets | 1,801 | 3,912 | ||||
Current deferred tax liabilities | -6,806 | [1] | -2,853 | [1] | ||
Noncurrent deferred tax assets | 62,440 | 65,667 | ||||
Noncurrent deferred tax liabilities | -56,884 | -129,188 | ||||
Net deferred tax assets (liabilities) | $551 | ($62,462) | ||||
[1] | See Note 19, “Income Taxes.†|
Income_Taxes_Changes_in_Balanc
Income Taxes - Changes in Balance of Deferred Tax Asset Valuation Allowance (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Deferred Tax Asset Valuation Allowance [Roll Forward] | |||
Beginning Balance | ($33,757) | ($49,562) | ($36,419) |
Additions | -1,895 | -4,359 | -20,182 |
Deductions | 4,884 | 20,164 | 7,039 |
Ending Balance | ($30,768) | ($33,757) | ($49,562) |
Income_Taxes_Income_Tax_Additi
Income Taxes - Income Tax - Additional Information (Detail) (USD $) | 12 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |||
Income Taxes [Line Items] | ||||||
Valuation allowance on deferred tax asset | 30,768,000 | $33,757,000 | $49,562,000 | $36,419,000 | ||
Statutory Accounting Practices, Portion of Excess Retained Earnings Not Taxed | 900,000,000 | |||||
Unrecognized tax benefits, income tax penalties and interest accrued | 300,000 | 700,000 | ||||
Assets offsetting unrecognized tax benefits | 22,100,000 | 25,700,000 | ||||
Unrecognized tax benefits net of offsetting assets | 2,900,000 | 3,400,000 | ||||
Deferred tax assets carryover, valuation allowance | 30,768,000 | 33,757,000 | 49,562,000 | 36,419,000 | ||
Liabilities related to uncertain tax position | 25,340,000 | [1] | 29,834,000 | [1] | ||
Unrecognized tax benefits | 24,969,000 | 29,143,000 | 28,398,000 | 29,789,000 | ||
Maximum decrease in the liability related to uncertain tax positions | 700,000 | |||||
Domestic Country | ||||||
Income Taxes [Line Items] | ||||||
Domestic credit available to offset future payments of income taxes | 35,800,000 | |||||
Valuation allowance on deferred tax asset | 2,900,000 | |||||
Net operating loss carryovers | 27,700,000 | |||||
Deferred tax assets carryover, valuation allowance | 2,900,000 | |||||
Foreign Country | ||||||
Income Taxes [Line Items] | ||||||
Valuation allowance on deferred tax asset | 2,500,000 | |||||
Net operating loss carryovers | 258,700,000 | |||||
Operating loss carryover, valuation allowance | 93,100,000 | |||||
Deferred tax assets carryover, valuation allowance | 2,500,000 | |||||
Minimum | Domestic Country | ||||||
Income Taxes [Line Items] | ||||||
Tax credit carryforward expiration year | 2016 | |||||
Operating loss carryforwards, expiration date | 1-Jan-20 | |||||
Maximum | Domestic Country | ||||||
Income Taxes [Line Items] | ||||||
Tax credit carryforward expiration year | 2024 | |||||
Operating loss carryforwards, expiration date | 31-Dec-27 | |||||
[1] | See Note 19, “Income Taxes.†|
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Total Gross Liability Related to Uncertain Tax Positions (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Beginning Balance | $29,143 | $28,398 | $29,789 |
Additions for tax positions related to prior years | 0 | 0 | 4,242 |
Reductions for tax positions related to prior years | -214 | -348 | 0 |
Additions for tax positions related to current year | 2,232 | 2,061 | 3,639 |
Lapses in statutes of limitations | -5,057 | -473 | -10,057 |
Foreign currency translation adjustment | -1,135 | -495 | 785 |
Ending Balance | $24,969 | $29,143 | $28,398 |
Restructuring_and_Other_Additi
Restructuring and Other - Additional Information (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Restructuring And Other [Line Items] | |
Charitable contribution | $8 |
Charitable contribution, after income taxes | 5.1 |
Settlement of Litigation | |
Restructuring And Other [Line Items] | |
Gain of settlement of litigation | 8.1 |
Gain of settlement of litigation, after income taxes | 5.1 |
Estimated reimbursement of related legal fees | $0.90 |
Restructuring_and_Other_Restru
Restructuring and Other - Restructuring and Other Charges Reported in Consolidated Statements of Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | ||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | ||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||||||||
Severance costs | $33,400 | $1,948 | [1] | $33,361 | [1],[2] | $21,640 | [1] | ||||||||||||||
Defined benefit pension plan curtailment gain, net | -4,500 | -4,507 | [3] | ||||||||||||||||||
Employer discretionary contribution to defined contribution plan | 10,100 | 10,081 | [3] | ||||||||||||||||||
Other, net | 5,300 | 2,426 | [4] | 5,334 | [4] | ||||||||||||||||
Restructuring and other charges, net (Note 20) | 5,322 | [5] | 293 | [5] | 3,332 | [5] | 17,000 | [5] | 33,361 | [5] | 0 | 0 | 0 | 25,947 | [5] | 33,361 | [5] | 111,685 | [5] | ||
Phosphorous Flame Retardant Business Exit | |||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||||||||
Severance costs | 22,000 | ||||||||||||||||||||
Restructuring charges related to exit of business or contract | 6,100 | 100,777 | [6] | 94,700 | |||||||||||||||||
Other, net | 3,000 | ||||||||||||||||||||
Contract Termination | |||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||||||||||
Restructuring charges related to exit of business or contract | $6,500 | $14,000 | $23,521 | [7] | |||||||||||||||||
[1] | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income.The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above.The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | ||||||||||||||||||||
[2] | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. | ||||||||||||||||||||
[3] | In the fourth quarter of 2012, we recorded a net curtailment gain of $4.5 million ($2.9 million after income taxes) and a one-time employer contribution to the Company’s defined contribution plan of $10.1 million ($6.4 million after income taxes), both in connection with various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. See Note 18, “Pension Plans and Other Postretirement Benefits.†| ||||||||||||||||||||
[4] | The amount for 2014 mainly consists of $3.3 million ($2.1 million after income taxes) recorded in the second quarter for certain multi-product facility project costs that we do not expect to recover in future periods, net of other credits recorded in the fourth quarter. In the fourth quarter of 2012 we recorded charges amounting to $5.3 million ($4.3 million after income taxes) related to changes in product sourcing and other items. | ||||||||||||||||||||
[5] | See Note 20, “Restructuring and Other.†| ||||||||||||||||||||
[6] | In the second quarter of 2012, we recorded net charges amounting to $94.7 million ($73.6 million after income taxes), and in the fourth quarter we recorded net charges amounting to $6.1 million ($2.5 million after income taxes), in connection with our exit of the phosphorus flame retardants business, whose products were sourced mainly at our Avonmouth, United Kingdom and Nanjing, China manufacturing sites. The charges are comprised mainly of non-cash items consisting of net asset write-offs of approximately $57 million and write-offs of foreign currency translation adjustments of approximately $12 million, as well as accruals for future cash costs associated with related severance programs of approximately $22 million, estimated site remediation costs of approximately $9 million, other estimated exit costs of approximately $3 million, partly offset by a gain of approximately $2 million related to the sale of our Nanjing, China manufacturing site. Payments under this restructuring plan are substantially complete. | ||||||||||||||||||||
[7] | In 2014, we initiated action to reduce high cost supply capacity of certain aluminum alkyl products, primarily through the termination of a third party manufacturing contract. Based on the contract termination, we estimated costs of approximately $14.0 million ($9.3 million after income taxes) in the first quarter and $6.5 million ($4.3 million after income taxes) in the fourth quarter for contract termination and volume commitments. Additionally, in the first quarter of 2014 we recorded an impairment charge of $3.0 million ($1.9 million after income taxes) for certain capital project costs also related to aluminum alkyls capacity which we do not expect to recover. |
Restructuring_and_Other_Restru1
Restructuring and Other - Restructuring and Other Charges Reported in Consolidated Statements of Income Footnote (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | |||||||||
Jun. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Dec. 31, 2014 | Mar. 31, 2014 | ||||
employee | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Number of employee reduction | 230 | |||||||||||
Workforce reduction charges | $33,400,000 | $1,948,000 | [1] | $33,361,000 | [1],[2] | $21,640,000 | [1] | |||||
Accrual for estimated site remediation costs | -1,954,000 | 0 | 0 | |||||||||
Severance costs net of tax | 21,900,000 | |||||||||||
Other, net | 5,300,000 | 2,426,000 | [3] | 5,334,000 | [3] | |||||||
Defined benefit plan curtailment gain | 4,500,000 | 4,507,000 | [4] | |||||||||
Defined benefit plan curtailment gain, net of tax | 2,900,000 | |||||||||||
Employer discretionary contribution to defined contribution plan | 10,100,000 | 10,081,000 | [4] | |||||||||
Employer discretionary contribution to defined contribution plan, net of tax | 6,400,000 | |||||||||||
Impairment of ongoing project | 3,300,000 | |||||||||||
Impairment of ongoing project, net of tax | 2,100,000 | |||||||||||
Other restructuring costs net of tax | 4,300,000 | |||||||||||
Phosphorous Flame Retardant Business Exit | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Workforce reduction charges | 22,000,000 | |||||||||||
Accrual for estimated site remediation costs | 9,000,000 | |||||||||||
Business exit costs | 6,100,000 | 100,777,000 | [5] | 94,700,000 | ||||||||
Business exit costs, net of tax | 2,500,000 | 73,600,000 | ||||||||||
Reduction in net assets from business exit or disposal | 57,000,000 | |||||||||||
Write-offs of foreign currency translation adjustments of phosphorous flame retardants business | 12,000,000 | |||||||||||
Other, net | 3,000,000 | |||||||||||
Gain related to the sale of Nanjing, China manufacturing site | 2,000,000 | 2,000,000 | ||||||||||
Contract Termination | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Business exit costs | 23,521,000 | [6] | 6,500,000 | 14,000,000 | ||||||||
Asset impairment charges | 3,000,000 | |||||||||||
Asset impairment charges, net of tax | 1,900,000 | |||||||||||
Business exit costs, net of tax | $4,300,000 | $9,300,000 | ||||||||||
[1] | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income.The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above.The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | |||||||||||
[2] | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. | |||||||||||
[3] | The amount for 2014 mainly consists of $3.3 million ($2.1 million after income taxes) recorded in the second quarter for certain multi-product facility project costs that we do not expect to recover in future periods, net of other credits recorded in the fourth quarter. In the fourth quarter of 2012 we recorded charges amounting to $5.3 million ($4.3 million after income taxes) related to changes in product sourcing and other items. | |||||||||||
[4] | In the fourth quarter of 2012, we recorded a net curtailment gain of $4.5 million ($2.9 million after income taxes) and a one-time employer contribution to the Company’s defined contribution plan of $10.1 million ($6.4 million after income taxes), both in connection with various amendments to certain of our U.S. pension and defined contribution plans that were approved by our Board of Directors in the fourth quarter of 2012. See Note 18, “Pension Plans and Other Postretirement Benefits.†| |||||||||||
[5] | In the second quarter of 2012, we recorded net charges amounting to $94.7 million ($73.6 million after income taxes), and in the fourth quarter we recorded net charges amounting to $6.1 million ($2.5 million after income taxes), in connection with our exit of the phosphorus flame retardants business, whose products were sourced mainly at our Avonmouth, United Kingdom and Nanjing, China manufacturing sites. The charges are comprised mainly of non-cash items consisting of net asset write-offs of approximately $57 million and write-offs of foreign currency translation adjustments of approximately $12 million, as well as accruals for future cash costs associated with related severance programs of approximately $22 million, estimated site remediation costs of approximately $9 million, other estimated exit costs of approximately $3 million, partly offset by a gain of approximately $2 million related to the sale of our Nanjing, China manufacturing site. Payments under this restructuring plan are substantially complete. | |||||||||||
[6] | In 2014, we initiated action to reduce high cost supply capacity of certain aluminum alkyl products, primarily through the termination of a third party manufacturing contract. Based on the contract termination, we estimated costs of approximately $14.0 million ($9.3 million after income taxes) in the first quarter and $6.5 million ($4.3 million after income taxes) in the fourth quarter for contract termination and volume commitments. Additionally, in the first quarter of 2014 we recorded an impairment charge of $3.0 million ($1.9 million after income taxes) for certain capital project costs also related to aluminum alkyls capacity which we do not expect to recover. |
Restructuring_and_Other_Activi
Restructuring and Other - Activity in Recorded Workforce Reduction Liabilities (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||
Restructuring Reserve [Roll Forward] | ||||||||
Beginning balance | $39,104 | $15,898 | $4,780 | |||||
Workforce reduction charges | 33,400 | 1,948 | [1] | 33,361 | [1],[2] | 21,640 | [1] | |
Payments | -35,139 | -8,915 | -10,929 | |||||
Amount reversed to income | -1,200 | [3] | -1,209 | [3] | -45 | [3] | ||
Foreign currency translation | -674 | -31 | 452 | |||||
Ending balance | 39,104 | 4,039 | 39,104 | 15,898 | ||||
Less amounts reported in Accrued expenses | 39,104 | [4] | 4,039 | [4] | 39,104 | [4] | 14,428 | |
Amounts reported in Other noncurrent liabilities | $0 | $0 | $0 | $1,470 | ||||
[1] | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income.The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above.The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | |||||||
[2] | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. | |||||||
[3] | Amounts reversed to income reflect adjustments based on actual timing and amount of final settlements. | |||||||
[4] | See Note 20, “Restructuring and Other.†|
Restructuring_and_Other_Activi1
Restructuring and Other - Activity in Recorded Workforce Reduction Liabilities Footnotes (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Restructuring and Related Activities [Abstract] | |||||||
Severance costs | $33,400 | $1,948 | [1] | $33,361 | [1],[2] | $21,640 | [1] |
[1] | The year ended December 31, 2014 includes charges amounting to $1.9 million for retention of certain employees associated with our antioxidant, ibuprofen and propofol businesses which were sold effective September 1, 2014. These workforce reduction charges are recorded in (Loss) income from discontinued operations (net of tax), in our consolidated statements of income.The year ended December 31, 2013 includes charges amounting to $33.4 million in connection with the announced realignment of our operating segments effective January 1, 2014 as described above.The year ended December 31, 2012 includes charges amounting to $21.6 million relating to reduction in force liabilities associated with our exit of the phosphorus flame retardants business noted above. | ||||||
[2] | In connection with the announced realignment of our operating segments effective January 1, 2014, in the fourth quarter of 2013 we initiated a workforce reduction plan which resulted in a reduction of approximately 230 employees worldwide. In the fourth quarter of 2013 we recorded charges of $33.4 million ($21.9 million after income taxes) for termination benefits and other costs related to this workforce reduction plan. Payments under this workforce reduction plan are substantially complete. |
Fair_Value_of_Financial_Instru2
Fair Value of Financial Instruments - Fair Value of Long-Term Debt (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Fair Value Disclosures [Abstract] | ||
Long-term debt, Recorded Amount | $2,934,131 | $1,078,864 |
Long-term debt, Fair Value | $2,994,935 | $1,109,878 |
Fair_Value_of_Financial_Instru3
Fair Value of Financial Instruments - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Derivative, notional amount | $479,900,000 | $321,400,000 | |
Forward Contracts | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Derivative, notional amount | 479,900,000 | 321,400,000 | |
Forward Contracts | Other Accounts Receivable | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Fair value of foreign currency forward contracts, assets | 600,000 | 200,000 | |
Forward Contracts | Other income (expenses), net | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Recognized gains (losses) of foreign currency forward contracts | -17,800,000 | -1,100,000 | 5,100,000 |
Forward Contracts | Other, net | |||
Fair Value, Option, Quantitative Disclosures [Line Items] | |||
Change in the fair value of foreign currency forward contracts | 17,800,000 | 1,100,000 | -5,100,000 |
Cash settlements | ($18,300,000) | ($1,800,000) | $4,800,000 |
Fair_Value_Measurement_Financi
Fair Value Measurement - Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||
In Thousands, unless otherwise specified | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments under executive deferred compensation plan | $22,168 | [1] | $23,030 | [1] | |
Private equity securities | 1,806 | [2] | 771 | [2] | |
Foreign currency forward contracts, assets | 631 | [3] | 161 | [3] | |
Obligations under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Total Pension Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 607,694 | [4] | 616,545 | [4] | 563,303 |
Total Postretirement Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 4,439 | [4] | 5,620 | [4] | 6,611 |
Quoted Prices in Active Markets for Identical Items (Level 1) | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Private equity securities | 21 | [2] | 21 | [2] | |
Foreign currency forward contracts, assets | 0 | 0 | |||
Obligations under executive deferred compensation plan | 22,168 | [1] | 23,030 | [1] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Pension Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 513,871 | [4] | 482,002 | [4] | |
Quoted Prices in Active Markets for Identical Items (Level 1) | Total Postretirement Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 0 | 0 | |||
Quoted Prices in Active Markets for Similar Items (Level 2) | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments under executive deferred compensation plan | 0 | 0 | |||
Private equity securities | 0 | 0 | |||
Foreign currency forward contracts, assets | 631 | [3] | 161 | [3] | |
Obligations under executive deferred compensation plan | 0 | 0 | |||
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Pension Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 13,083 | [4] | 10,944 | [4] | |
Quoted Prices in Active Markets for Similar Items (Level 2) | Total Postretirement Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 4,439 | [4] | 5,620 | [4] | |
Unobservable Inputs (Level 3) | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments under executive deferred compensation plan | 0 | 0 | |||
Private equity securities | 1,785 | [2] | 750 | ||
Foreign currency forward contracts, assets | 0 | 0 | |||
Obligations under executive deferred compensation plan | 0 | 0 | |||
Unobservable Inputs (Level 3) | Total Pension Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | 80,740 | [4] | 123,599 | [4] | 70,829 |
Unobservable Inputs (Level 3) | Total Postretirement Benefits | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Defined benefit plan fair value of plan assets | $0 | $0 | |||
[1] | We maintain an EDCP that was adopted in 2001 and subsequently amended. The purpose of the EDCP is to provide current tax planning opportunities as well as supplemental funds upon the retirement or death of certain of our employees. The EDCP is intended to aid in attracting and retaining employees of exceptional ability by providing them with these benefits. We also maintain a Benefit Protection Trust (the “Trustâ€) that was created to provide a source of funds to assist in meeting the obligations of the EDCP, subject to the claims of our creditors in the event of our insolvency. Assets of the Trust are consolidated in accordance with authoritative guidance. The assets of the Trust consist primarily of mutual fund investments (which are accounted for as trading securities and are marked-to-market on a monthly basis through the consolidated statements of income) and cash and cash equivalents. As such, these assets and obligations are classified within Level 1. | ||||
[2] | Primarily consists of private equity securities classified as available-for-sale and are reported in Investments in the consolidated balance sheets. The changes in fair value are reported in Other (expenses) income, net, in our consolidated statements of income. Holdings in private equity securities are typically valued using the net asset valuations provided by the underlying private investment companies and as such are classified within Level 3. | ||||
[3] | As a result of our global operating and financing activities, we are exposed to market risks from changes in foreign currency exchange rates, which may adversely affect our operating results and financial position. When deemed appropriate, we minimize our risks from foreign currency exchange rate fluctuations through the use of foreign currency forward contracts. Unless otherwise noted, these derivative financial instruments are not designated as hedging instruments under ASC 815, Derivatives and Hedging. The foreign currency forward contracts are valued using broker quotations or market transactions in either the listed or over-the-counter markets. As such, these derivative instruments are classified within Level 2. | ||||
[4] | See Note 18 “Pension Plans and Other Postretirement Benefits†for further information about fair value measurements of our pension and postretirement plan assets, including the reconciliations of the plans’ Level 3 assets. |
Fair_Value_Measurement_Level_3
Fair Value Measurement -Level 3 Reconciliation (Details) (Unobservable Inputs (Level 3), Private Equity Securities, USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Unobservable Inputs (Level 3) | Private Equity Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | $750 | $0 |
Total unrealized gains (losses) included in earnings relating to assets still held at the reporting date | 35 | 0 |
Purchases | 1,000 | 750 |
Ending balance | $1,785 | $750 |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | |||||||||||||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 01, 2013 | Jan. 12, 2015 | Feb. 19, 2015 | |||||||
Business Acquisition [Line Items] | ||||||||||||||||
Cash payments related to acquisitions | $0 | $2,565,000 | $3,360,000 | |||||||||||||
Common stock, par value (in dollars per share) | $0.01 | $0.01 | $0.01 | |||||||||||||
Acquisition and integration related costs (Note 23) | 15,054,000 | [1] | 10,261,000 | [1] | 4,843,000 | [1] | 0 | 30,158,000 | [1] | 0 | [1] | 0 | [1] | |||
Rockwood Holdings, Inc. | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Acquisition and integration related costs (Note 23) | 23,600,000 | |||||||||||||||
Other significant projects | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Acquisition and integration related costs (Note 23) | 6,600,000 | |||||||||||||||
Cambridge Chemical Company | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Consideration transferred | 3,600,000 | |||||||||||||||
Cash payments related to acquisitions | 2,300,000 | |||||||||||||||
Subsequent Event | Rockwood Holdings, Inc. | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Consideration transferred | 5,600,000,000 | |||||||||||||||
Cash payments related to acquisitions | 3,600,000,000 | |||||||||||||||
Cash issued per outstanding share of Rockwood common stock | $50.65 | |||||||||||||||
Equity issued per outstanding share of Rockwood common stock | 0.4803 | |||||||||||||||
Common Stock | Subsequent Event | Rockwood Holdings, Inc. | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Consideration transferred | $2,000,000,000 | |||||||||||||||
Equity consideration, shares issued | 34,110,008 | |||||||||||||||
Appraisal shares | 882,000 | |||||||||||||||
Rockwood Holdings, Inc. | Subsequent Event | Rockwood Holdings, Inc. | ||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||
Common stock, par value (in dollars per share) | $0.01 | |||||||||||||||
[1] | See Note 23, “Acquisitions.†|
Operating_Segments_and_Geograp2
Operating Segments and Geographic Area Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2014 | |
segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Operating_Segments_and_Geograp3
Operating Segments and Geographic Area Information - Summarized Financial Information by Reportable Segments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Net sales | $598,566 | $642,418 | $604,721 | $599,843 | $639,635 | $591,196 | $576,842 | $586,597 | $2,445,548 | [1] | $2,394,270 | [1] | $2,519,154 | [1] | |||||
Total segment operating profit | 271,298 | 576,675 | 399,783 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 35,742 | 31,729 | 38,067 | ||||||||||||||||
Total net income attributable to noncontrolling interests | -4,460 | -8,546 | -6,932 | -7,652 | -5,413 | -7,332 | -8,389 | -5,529 | -27,590 | -26,663 | -18,591 | ||||||||
Segment income: | 539,175 | 533,663 | 660,503 | ||||||||||||||||
Corporate & other | -203,620 | [2] | 81,439 | [2] | -129,559 | [2] | |||||||||||||
Restructuring and other charges, net (Note 20) | -5,322 | [3] | -293 | [3] | -3,332 | [3] | -17,000 | [3] | -33,361 | [3] | 0 | 0 | 0 | -25,947 | [3] | -33,361 | [3] | -111,685 | [3] |
Acquisition and integration related costs | -15,054 | [4] | -10,261 | [4] | -4,843 | [4] | 0 | -30,158 | [4] | 0 | [4] | 0 | [4] | ||||||
Interest and financing expenses | -41,358 | -31,559 | -32,800 | ||||||||||||||||
Other (expenses) income, net | -16,761 | -6,674 | 1,229 | ||||||||||||||||
Income tax expense | -18,484 | -134,445 | -80,433 | ||||||||||||||||
(Loss) income from discontinued operations (net of tax) | -1,058 | [5] | -6,679 | [5] | -60,025 | [5] | -1,769 | [5] | -886 | 531 | 2,628 | 1,835 | -69,531 | 4,108 | 4,281 | ||||
Net income attributable to Albemarle Corporation | -18,508 | 72,794 | 22,447 | 56,583 | 155,933 | 90,512 | 82,739 | 83,987 | 133,316 | 413,171 | 311,536 | ||||||||
Performance Chemicals | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Net sales | 1,351,596 | 1,392,664 | 1,451,247 | ||||||||||||||||
Total segment operating profit | 306,616 | 334,275 | 410,359 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 10,068 | 8,875 | 6,416 | ||||||||||||||||
Total net income attributable to noncontrolling interests | -27,590 | -26,663 | -18,571 | ||||||||||||||||
Segment income: | 289,094 | 316,487 | 398,204 | ||||||||||||||||
Catalyst Solutions | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Net sales | 1,093,952 | 1,001,606 | 1,067,907 | ||||||||||||||||
Total segment operating profit | 224,407 | 194,322 | 230,648 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 25,674 | 22,854 | 31,651 | ||||||||||||||||
Segment income: | 250,081 | 217,176 | 262,299 | ||||||||||||||||
Total segment operating profit | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total segment operating profit | 531,023 | 528,597 | 641,007 | ||||||||||||||||
Corporate & other | |||||||||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||||||||
Total net income attributable to noncontrolling interests | $0 | $0 | ($20) | ||||||||||||||||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | ||||||||||||||||||
[2] | For the years ended December 31, 2014, 2013 and 2012, Corporate & other includes $(127.2) million, $143.1 million and $(68.0) million, respectively, of pension and OPEB plan (costs) credits (including mark-to-market actuarial gains and losses). | ||||||||||||||||||
[3] | See Note 20, “Restructuring and Other.†| ||||||||||||||||||
[4] | See Note 23, “Acquisitions.†| ||||||||||||||||||
[5] | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.†|
Operating_Segments_and_Geograp4
Operating Segments and Geographic Area Information - Summarized Financial Information by Reportable Segments Footnote (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting [Abstract] | |||
Pension and OPEB items | ($127.20) | $143.10 | ($68) |
Operating_Segments_and_Geograp5
Operating Segments and Geographic Area Information - Goodwill and Identifiable Assets by Reportable Segments (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
In Thousands, unless otherwise specified | ||||
Segment Reporting Information [Line Items] | ||||
Identifiable assets: | $5,223,103 | $3,584,797 | $3,437,291 | |
Goodwill | 243,262 | 284,203 | 276,966 | |
Performance Chemicals | ||||
Segment Reporting Information [Line Items] | ||||
Identifiable assets: | 1,042,177 | 1,129,838 | 1,110,006 | |
Goodwill | 42,282 | 43,603 | 43,519 | |
Catalyst Solutions | ||||
Segment Reporting Information [Line Items] | ||||
Identifiable assets: | 1,375,202 | 1,695,120 | 1,572,883 | |
Goodwill | 200,980 | 240,600 | 233,447 | |
Corporate & other | ||||
Segment Reporting Information [Line Items] | ||||
Identifiable assets: | $2,805,724 | [1] | $759,839 | $754,402 |
[1] | As of December 31, 2014, Corporate & other included net proceeds received from the issuance of the 2014 Senior Notes, which, together with borrowings from our Commercial Paper Notes, Term Loan and Cash Bridge Facility, were used to finance the cash portion of the Merger Consideration, pay related fees and expenses and repay our senior notes which matured on February 1, 2015. See Note 13, “Long-Term Debt†and Note 23 “Acquisitions†for additional details about these transactions. |
Operating_Segments_and_Geograp6
Operating Segments and Geographic Area Information - Depreciation Amortization and Capital Expenditures by Reportable Segments (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Depreciation and amortization: | $103,572 | $107,370 | $99,020 |
Capital expenditures: | 110,576 | 155,346 | 280,873 |
Performance Chemicals | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization: | 48,233 | 43,472 | 37,831 |
Capital expenditures: | 48,831 | 94,506 | 156,648 |
Catalyst Solutions | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization: | 49,622 | 49,656 | 47,155 |
Capital expenditures: | 61,721 | 60,326 | 122,746 |
Discontinued Operations | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization: | 3,165 | 12,054 | 12,120 |
Corporate & other | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization: | 2,552 | 2,188 | 1,914 |
Capital expenditures: | $24 | $514 | $1,479 |
Operating_Segments_and_Geograp7
Operating Segments and Geographic Area Information - Net Sales (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | $598,566 | $642,418 | $604,721 | $599,843 | $639,635 | $591,196 | $576,842 | $586,597 | $2,445,548 | [1] | $2,394,270 | [1] | $2,519,154 | [1] |
United States | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 884,373 | 933,182 | 959,571 | |||||||||||
Foreign(a) | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | $1,561,175 | [1] | $1,461,088 | [1] | $1,559,583 | [1] | ||||||||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. |
Operating_Segments_and_Geograp8
Operating Segments and Geographic Area Information - Net Sales Footnote (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Segment Reporting [Abstract] | |||
Sales in any foreign country to total net sales maximum percentage | 10.00% | 10.00% | 10.00% |
Operating_Segments_and_Geograp9
Operating Segments and Geographic Area Information - Long-Lived Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | $1,405,423 | $1,548,577 | $1,482,499 |
United States | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 698,863 | 748,719 | 735,269 |
Netherlands | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 167,965 | 193,775 | 192,540 |
Jordan | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 227,805 | 227,818 | 209,133 |
Brazil | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 59,474 | 78,078 | 85,353 |
Germany | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 75,813 | 86,175 | 72,797 |
China | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 5,310 | 41,858 | 39,542 |
France | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 37,347 | 34,523 | 32,305 |
Korea | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 80,362 | 86,827 | 81,962 |
United Kingdom | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | 3,665 | 3,665 | 0 |
Other foreign countries | |||
Segment Reporting Information [Line Items] | |||
Long-Lived Assets: | $48,819 | $47,139 | $33,598 |
Recovered_Sheet2
Operating Segments and Geographic Area Information - Net Sales to External Customers in Each of Segments (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | $598,566 | $642,418 | $604,721 | $599,843 | $639,635 | $591,196 | $576,842 | $586,597 | $2,445,548 | [1] | $2,394,270 | [1] | $2,519,154 | [1] |
Performance Chemicals | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 1,351,596 | 1,392,664 | 1,451,247 | |||||||||||
Performance Chemicals | Fire Safety Solutions | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 607,477 | 620,972 | 665,293 | |||||||||||
Performance Chemicals | Specialty Chemicals | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 520,297 | 520,998 | 519,606 | |||||||||||
Performance Chemicals | Fine Chemistry Services | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 223,822 | 250,694 | 266,348 | |||||||||||
Catalyst Solutions | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 1,093,952 | 1,001,606 | 1,067,907 | |||||||||||
Catalyst Solutions | Refinery Catalyst Solutions | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | 844,221 | 768,837 | 794,933 | |||||||||||
Catalyst Solutions | Performance Catalyst Solutions | ||||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||||
Net sales | $249,731 | $232,769 | $272,974 | |||||||||||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. |
Consolidating_Guarantor_Financ2
Consolidating Guarantor Financial Information - Additional Information (Details) | Jan. 12, 2015 | Dec. 31, 2014 |
Subsequent Event | Four Point Six Two Five Percent Senior Notes | ||
Guarantor Obligations [Line Items] | ||
Debt instrument, interest rate | 4.63% | |
Guarantor Subsidiaries | ||
Guarantor Obligations [Line Items] | ||
Ownership percentage | 100.00% |
Consolidating_Guarantor_Financ3
Consolidating Guarantor Financial Information - Balance Sheet (Details) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
Current assets: | ||||
Cash and cash equivalents | $2,489,768 | $477,239 | $477,696 | $469,416 |
Trade accounts receivable, less allowance for doubtful accounts | 385,212 | 446,864 | ||
Other accounts receivable | 49,423 | 45,094 | ||
Intergroup receivable | 0 | 0 | ||
Inventories | 358,361 | 436,049 | ||
Other current assets | 66,086 | 77,669 | ||
Total current assets | 3,348,850 | 1,482,915 | ||
Property, plant and equipment, at cost | 2,620,670 | 2,972,084 | ||
Less accumulated depreciation and amortization | 1,388,802 | 1,615,015 | ||
Net property, plant and equipment | 1,231,868 | 1,357,069 | ||
Investments | 194,042 | 212,178 | ||
Investment in subsidiaries | 0 | 0 | ||
Other assets | 160,956 | 160,229 | ||
Goodwill | 243,262 | 284,203 | 276,966 | |
Other intangibles, net of amortization | 44,125 | 88,203 | ||
Total assets | 5,223,103 | 3,584,797 | 3,437,291 | |
Current liabilities: | ||||
Accounts payable | 231,705 | 208,181 | ||
Intergroup payable | 0 | 0 | ||
Accrued expenses | 166,174 | 176,416 | ||
Current portion of long-term debt | 711,096 | 24,554 | ||
Dividends payable | 21,458 | 19,197 | ||
Income taxes payable | 9,453 | 8,015 | ||
Total current liabilities | 1,139,886 | 436,363 | ||
Long-term debt, less current portion | 2,223,035 | 1,054,310 | ||
Postretirement benefits | 56,424 | 53,903 | ||
Pension benefits | 170,534 | 57,647 | ||
Other noncurrent liabilities | 87,705 | 110,610 | ||
Deferred income taxes | 56,884 | 129,188 | ||
Commitments and contingencies (Note 16) | ||||
Equity | ||||
Common stock | 780 | 801 | ||
Additional paid-in capital | 10,447 | 9,957 | ||
Accumulated other comprehensive income (loss) | -62,413 | 116,245 | 85,264 | 60,329 |
Retained earnings | 1,410,651 | 1,500,358 | ||
Total Albemarle Corporation shareholders’ equity | 1,359,465 | 1,627,361 | ||
Noncontrolling interests | 129,170 | 115,415 | ||
Total equity | 1,488,635 | 1,742,776 | 1,932,008 | 1,678,827 |
Total liabilities and equity | 5,223,103 | 3,584,797 | ||
Issuer | ||||
Current assets: | ||||
Cash and cash equivalents | 1,930,802 | 88,476 | 145,999 | 47,018 |
Trade accounts receivable, less allowance for doubtful accounts | 91,849 | 149,834 | ||
Other accounts receivable | 19,033 | 11,812 | ||
Intergroup receivable | 74,102 | 88,090 | ||
Inventories | 201,006 | 219,390 | ||
Other current assets | 45,901 | 52,457 | ||
Total current assets | 2,362,693 | 610,059 | ||
Property, plant and equipment, at cost | 1,726,690 | 1,999,398 | ||
Less accumulated depreciation and amortization | 1,047,372 | 1,268,205 | ||
Net property, plant and equipment | 679,318 | 731,193 | ||
Investments | 73,500 | 69,616 | ||
Investment in subsidiaries | 1,551,071 | 1,611,662 | ||
Other assets | 35,837 | 18,621 | ||
Goodwill | 49,212 | 49,212 | ||
Other intangibles, net of amortization | 20,834 | 35,003 | ||
Total assets | 4,772,465 | 3,125,366 | ||
Current liabilities: | ||||
Accounts payable | 122,479 | 107,781 | ||
Intergroup payable | 18,097 | 28,433 | ||
Accrued expenses | 84,619 | 92,273 | ||
Current portion of long-term debt | 692,280 | 99 | ||
Dividends payable | 21,458 | 19,197 | ||
Income taxes payable | 1,396 | 2,364 | ||
Total current liabilities | 940,329 | 250,147 | ||
Long-term debt, less current portion | 2,214,755 | 1,035,977 | ||
Postretirement benefits | 56,424 | 53,903 | ||
Pension benefits | 128,238 | 20,931 | ||
Other noncurrent liabilities | 51,936 | 61,095 | ||
Deferred income taxes | 21,318 | 75,952 | ||
Equity | ||||
Common stock | 780 | 801 | ||
Additional paid-in capital | 10,447 | 9,957 | ||
Accumulated other comprehensive income (loss) | -62,413 | 116,245 | ||
Retained earnings | 1,410,651 | 1,500,358 | ||
Total Albemarle Corporation shareholders’ equity | 1,359,465 | 1,627,361 | ||
Noncontrolling interests | 0 | 0 | ||
Total equity | 1,359,465 | 1,627,361 | ||
Total liabilities and equity | 4,772,465 | 3,125,366 | ||
Guarantor Subsidiaries | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Trade accounts receivable, less allowance for doubtful accounts | 0 | 0 | ||
Other accounts receivable | 0 | 0 | ||
Intergroup receivable | 0 | 0 | ||
Inventories | 0 | 0 | ||
Other current assets | 0 | 0 | ||
Total current assets | 0 | 0 | ||
Property, plant and equipment, at cost | 0 | 0 | ||
Less accumulated depreciation and amortization | 0 | 0 | ||
Net property, plant and equipment | 0 | 0 | ||
Investments | 0 | 0 | ||
Investment in subsidiaries | 0 | 0 | ||
Other assets | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other intangibles, net of amortization | 0 | 0 | ||
Total assets | 0 | 0 | ||
Current liabilities: | ||||
Accounts payable | 0 | 0 | ||
Intergroup payable | 0 | 0 | ||
Accrued expenses | 0 | 0 | ||
Current portion of long-term debt | 0 | 0 | ||
Dividends payable | 0 | 0 | ||
Income taxes payable | 0 | 0 | ||
Total current liabilities | 0 | 0 | ||
Long-term debt, less current portion | 0 | 0 | ||
Postretirement benefits | 0 | 0 | ||
Pension benefits | 0 | 0 | ||
Other noncurrent liabilities | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Equity | ||||
Common stock | 0 | 0 | ||
Additional paid-in capital | 0 | 0 | ||
Accumulated other comprehensive income (loss) | 0 | 0 | ||
Retained earnings | 0 | 0 | ||
Total Albemarle Corporation shareholders’ equity | 0 | 0 | ||
Noncontrolling interests | 0 | 0 | ||
Total equity | 0 | 0 | ||
Total liabilities and equity | 0 | 0 | ||
Non-Guarantor Subsidiaries | ||||
Current assets: | ||||
Cash and cash equivalents | 558,966 | 388,763 | 331,697 | 422,398 |
Trade accounts receivable, less allowance for doubtful accounts | 293,363 | 297,030 | ||
Other accounts receivable | 30,390 | 33,282 | ||
Intergroup receivable | 18,097 | 28,433 | ||
Inventories | 171,543 | 234,975 | ||
Other current assets | 25,111 | 28,979 | ||
Total current assets | 1,097,470 | 1,011,462 | ||
Property, plant and equipment, at cost | 893,980 | 972,686 | ||
Less accumulated depreciation and amortization | 341,430 | 346,810 | ||
Net property, plant and equipment | 552,550 | 625,876 | ||
Investments | 120,542 | 142,562 | ||
Investment in subsidiaries | 0 | 0 | ||
Other assets | 125,119 | 141,608 | ||
Goodwill | 194,050 | 234,991 | ||
Other intangibles, net of amortization | 23,291 | 53,200 | ||
Total assets | 2,113,022 | 2,209,699 | ||
Current liabilities: | ||||
Accounts payable | 109,226 | 100,400 | ||
Intergroup payable | 74,102 | 88,090 | ||
Accrued expenses | 81,555 | 84,143 | ||
Current portion of long-term debt | 18,816 | 24,455 | ||
Dividends payable | 0 | 0 | ||
Income taxes payable | 7,944 | 5,651 | ||
Total current liabilities | 291,643 | 302,739 | ||
Long-term debt, less current portion | 8,280 | 18,333 | ||
Postretirement benefits | 0 | 0 | ||
Pension benefits | 42,296 | 36,716 | ||
Other noncurrent liabilities | 35,769 | 49,515 | ||
Deferred income taxes | 35,566 | 53,236 | ||
Equity | ||||
Common stock | 6,808 | 6,807 | ||
Additional paid-in capital | 553,172 | 549,265 | ||
Accumulated other comprehensive income (loss) | -51,073 | 111,038 | ||
Retained earnings | 1,061,391 | 966,635 | ||
Total Albemarle Corporation shareholders’ equity | 1,570,298 | 1,633,745 | ||
Noncontrolling interests | 129,170 | 115,415 | ||
Total equity | 1,699,468 | 1,749,160 | ||
Total liabilities and equity | 2,113,022 | 2,209,699 | ||
Consolidating Adjustments | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Trade accounts receivable, less allowance for doubtful accounts | 0 | 0 | ||
Other accounts receivable | 0 | 0 | ||
Intergroup receivable | -92,199 | -116,523 | ||
Inventories | -14,188 | -18,316 | ||
Other current assets | -4,926 | -3,767 | ||
Total current assets | -111,313 | -138,606 | ||
Property, plant and equipment, at cost | 0 | 0 | ||
Less accumulated depreciation and amortization | 0 | 0 | ||
Net property, plant and equipment | 0 | 0 | ||
Investments | 0 | 0 | ||
Investment in subsidiaries | -1,551,071 | -1,611,662 | ||
Other assets | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other intangibles, net of amortization | 0 | 0 | ||
Total assets | -1,662,384 | -1,750,268 | ||
Current liabilities: | ||||
Accounts payable | 0 | 0 | ||
Intergroup payable | -92,199 | -116,523 | ||
Accrued expenses | 0 | |||
Current portion of long-term debt | 0 | 0 | ||
Dividends payable | 0 | 0 | ||
Income taxes payable | 113 | 0 | ||
Total current liabilities | -92,086 | -116,523 | ||
Long-term debt, less current portion | 0 | 0 | ||
Postretirement benefits | 0 | 0 | ||
Pension benefits | 0 | 0 | ||
Other noncurrent liabilities | 0 | 0 | ||
Deferred income taxes | 0 | 0 | ||
Equity | ||||
Common stock | -6,808 | -6,807 | ||
Additional paid-in capital | -553,172 | -549,265 | ||
Accumulated other comprehensive income (loss) | 51,073 | -111,038 | ||
Retained earnings | -1,061,391 | -966,635 | ||
Total Albemarle Corporation shareholders’ equity | -1,570,298 | -1,633,745 | ||
Noncontrolling interests | 0 | 0 | ||
Total equity | -1,570,298 | -1,633,745 | ||
Total liabilities and equity | ($1,662,384) | ($1,750,268) |
Consolidating_Guarantor_Financ4
Consolidating Guarantor Financial Information - Statement of Income (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||
Net sales | $598,566 | $642,418 | $604,721 | $599,843 | $639,635 | $591,196 | $576,842 | $586,597 | $2,445,548 | [1] | $2,394,270 | [1] | $2,519,154 | [1] | |||||
Cost of goods sold | 1,674,700 | 1,543,799 | 1,620,311 | ||||||||||||||||
Gross profit | 162,440 | 205,446 | 207,363 | 195,599 | 253,279 | 209,611 | 191,670 | 195,911 | 770,848 | 850,471 | 898,843 | ||||||||
Selling, general and administrative expenses | 355,135 | 158,189 | 308,456 | ||||||||||||||||
Research and development expenses | 88,310 | 82,246 | 78,919 | ||||||||||||||||
Restructuring and other charges, net | 5,322 | [2] | 293 | [2] | 3,332 | [2] | 17,000 | [2] | 33,361 | [2] | 0 | 0 | 0 | 25,947 | [2] | 33,361 | [2] | 111,685 | [2] |
Acquisition and integration related costs | 15,054 | [3] | 10,261 | [3] | 4,843 | [3] | 0 | 30,158 | [3] | 0 | [3] | 0 | [3] | ||||||
Intercompany service fee | 0 | 0 | 0 | ||||||||||||||||
Operating profit | 271,298 | 576,675 | 399,783 | ||||||||||||||||
Interest and financing expenses | -41,358 | -31,559 | -32,800 | ||||||||||||||||
Intergroup interest and financing expenses | 0 | ||||||||||||||||||
Other (expenses) income, net | -16,761 | -6,674 | 1,229 | ||||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 213,179 | 538,442 | 368,212 | ||||||||||||||||
Income tax expense (benefit) | 18,484 | 134,445 | 80,433 | ||||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 194,695 | 403,997 | 287,779 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 35,742 | 31,729 | 38,067 | ||||||||||||||||
Net income from continuing operations | -12,990 | 88,019 | 89,404 | 66,004 | 162,232 | 97,313 | 88,500 | 87,681 | 230,437 | 435,726 | 325,846 | ||||||||
(Loss) income from discontinued operations (net of tax) | -1,058 | [4] | -6,679 | [4] | -60,025 | [4] | -1,769 | [4] | -886 | 531 | 2,628 | 1,835 | -69,531 | 4,108 | 4,281 | ||||
Equity in undistributed earnings of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Net income | 160,906 | 439,834 | 330,127 | ||||||||||||||||
Net income attributable to noncontrolling interests | -4,460 | -8,546 | -6,932 | -7,652 | -5,413 | -7,332 | -8,389 | -5,529 | -27,590 | -26,663 | -18,591 | ||||||||
Net income attributable to Albemarle Corporation | -18,508 | 72,794 | 22,447 | 56,583 | 155,933 | 90,512 | 82,739 | 83,987 | 133,316 | 413,171 | 311,536 | ||||||||
Issuer | |||||||||||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||
Net sales | 1,565,965 | 1,563,483 | 1,726,884 | ||||||||||||||||
Cost of goods sold | 1,095,072 | 1,025,989 | 1,093,330 | ||||||||||||||||
Gross profit | 470,893 | 537,494 | 633,554 | ||||||||||||||||
Selling, general and administrative expenses | 252,098 | 60,818 | 204,029 | ||||||||||||||||
Research and development expenses | 55,856 | 51,794 | 47,763 | ||||||||||||||||
Restructuring and other charges, net | 9,871 | 23,880 | 12,711 | ||||||||||||||||
Acquisition and integration related costs | 30,158 | ||||||||||||||||||
Intercompany service fee | 26,123 | 18,038 | 26,132 | ||||||||||||||||
Operating profit | 96,787 | 382,964 | 342,919 | ||||||||||||||||
Interest and financing expenses | -41,361 | -33,537 | -33,193 | ||||||||||||||||
Intergroup interest and financing expenses | -87 | ||||||||||||||||||
Other (expenses) income, net | -10,534 | -9,281 | -2,731 | ||||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 44,892 | 340,059 | 306,995 | ||||||||||||||||
Income tax expense (benefit) | 5,464 | 128,645 | 80,444 | ||||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 39,428 | 211,414 | 226,551 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 6,956 | 6,940 | 8,863 | ||||||||||||||||
Net income from continuing operations | 46,384 | 218,354 | 235,414 | ||||||||||||||||
(Loss) income from discontinued operations (net of tax) | -19,373 | 6,906 | 8,987 | ||||||||||||||||
Equity in undistributed earnings of subsidiaries | 106,305 | 187,911 | 67,135 | ||||||||||||||||
Net income | 133,316 | 413,171 | 311,536 | ||||||||||||||||
Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income attributable to Albemarle Corporation | 133,316 | 413,171 | 311,536 | ||||||||||||||||
Guarantor Subsidiaries | |||||||||||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||
Net sales | 0 | 0 | 0 | ||||||||||||||||
Cost of goods sold | 0 | 0 | 0 | ||||||||||||||||
Gross profit | 0 | 0 | 0 | ||||||||||||||||
Selling, general and administrative expenses | 0 | 0 | 0 | ||||||||||||||||
Research and development expenses | 0 | 0 | 0 | ||||||||||||||||
Restructuring and other charges, net | 0 | 0 | 0 | ||||||||||||||||
Acquisition and integration related costs | 0 | ||||||||||||||||||
Intercompany service fee | 0 | 0 | 0 | ||||||||||||||||
Operating profit | 0 | 0 | 0 | ||||||||||||||||
Interest and financing expenses | 0 | 0 | 0 | ||||||||||||||||
Intergroup interest and financing expenses | 0 | ||||||||||||||||||
Other (expenses) income, net | 0 | 0 | 0 | ||||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 0 | 0 | 0 | ||||||||||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 0 | 0 | 0 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 0 | 0 | 0 | ||||||||||||||||
Net income from continuing operations | 0 | 0 | 0 | ||||||||||||||||
(Loss) income from discontinued operations (net of tax) | 0 | 0 | 0 | ||||||||||||||||
Equity in undistributed earnings of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Net income | 0 | 0 | 0 | ||||||||||||||||
Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income attributable to Albemarle Corporation | 0 | 0 | 0 | ||||||||||||||||
Non-Guarantor Subsidiaries | |||||||||||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||
Net sales | 1,565,241 | 1,437,664 | 1,560,043 | ||||||||||||||||
Cost of goods sold | 1,269,415 | 1,131,158 | 1,297,875 | ||||||||||||||||
Gross profit | 295,826 | 306,506 | 262,168 | ||||||||||||||||
Selling, general and administrative expenses | 103,037 | 97,371 | 104,427 | ||||||||||||||||
Research and development expenses | 32,454 | 30,452 | 31,156 | ||||||||||||||||
Restructuring and other charges, net | 16,076 | 9,481 | 98,974 | ||||||||||||||||
Acquisition and integration related costs | 0 | ||||||||||||||||||
Intercompany service fee | -26,123 | -18,038 | -26,132 | ||||||||||||||||
Operating profit | 170,382 | 187,240 | 53,743 | ||||||||||||||||
Interest and financing expenses | 3 | 1,978 | 393 | ||||||||||||||||
Intergroup interest and financing expenses | 87 | ||||||||||||||||||
Other (expenses) income, net | -6,227 | 2,607 | 3,960 | ||||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 164,158 | 191,912 | 58,096 | ||||||||||||||||
Income tax expense (benefit) | 11,513 | 3,436 | -1,150 | ||||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 152,645 | 188,476 | 59,246 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 28,786 | 24,789 | 29,204 | ||||||||||||||||
Net income from continuing operations | 181,431 | 213,265 | 88,450 | ||||||||||||||||
(Loss) income from discontinued operations (net of tax) | -50,158 | -2,798 | -4,706 | ||||||||||||||||
Equity in undistributed earnings of subsidiaries | 0 | 0 | 0 | ||||||||||||||||
Net income | 131,273 | 210,467 | 83,744 | ||||||||||||||||
Net income attributable to noncontrolling interests | -27,590 | -26,663 | -18,591 | ||||||||||||||||
Net income attributable to Albemarle Corporation | 103,683 | 183,804 | 65,153 | ||||||||||||||||
Consolidating Adjustments | |||||||||||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||||||||||
Net sales | -685,658 | -606,877 | -767,773 | ||||||||||||||||
Cost of goods sold | -689,787 | -613,348 | -770,894 | ||||||||||||||||
Gross profit | 4,129 | 6,471 | 3,121 | ||||||||||||||||
Selling, general and administrative expenses | 0 | 0 | 0 | ||||||||||||||||
Research and development expenses | 0 | 0 | 0 | ||||||||||||||||
Restructuring and other charges, net | 0 | 0 | 0 | ||||||||||||||||
Acquisition and integration related costs | 0 | ||||||||||||||||||
Intercompany service fee | 0 | 0 | 0 | ||||||||||||||||
Operating profit | 4,129 | 6,471 | 3,121 | ||||||||||||||||
Interest and financing expenses | 0 | 0 | 0 | ||||||||||||||||
Intergroup interest and financing expenses | 0 | ||||||||||||||||||
Other (expenses) income, net | 0 | 0 | 0 | ||||||||||||||||
Income from continuing operations before income taxes and equity in net income of unconsolidated investments | 4,129 | 6,471 | 3,121 | ||||||||||||||||
Income tax expense (benefit) | 1,507 | 2,364 | 1,139 | ||||||||||||||||
Income from continuing operations before equity in net income of unconsolidated investments | 2,622 | 4,107 | 1,982 | ||||||||||||||||
Total equity in net income of unconsolidated investments | 0 | 0 | 0 | ||||||||||||||||
Net income from continuing operations | 2,622 | 4,107 | 1,982 | ||||||||||||||||
(Loss) income from discontinued operations (net of tax) | 0 | 0 | 0 | ||||||||||||||||
Equity in undistributed earnings of subsidiaries | -106,305 | -187,911 | -67,135 | ||||||||||||||||
Net income | -103,683 | -183,804 | -65,153 | ||||||||||||||||
Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||||||||||
Net income attributable to Albemarle Corporation | ($103,683) | ($183,804) | ($65,153) | ||||||||||||||||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | ||||||||||||||||||
[2] | See Note 20, “Restructuring and Other.†| ||||||||||||||||||
[3] | See Note 23, “Acquisitions.†| ||||||||||||||||||
[4] | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.†|
Consolidating_Guarantor_Financ5
Consolidating Guarantor Financial Information - Comprehensive Income (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Income Statements, Captions [Line Items] | |||
Net income | $160,906 | $439,834 | $330,127 |
Other comprehensive income (loss) | -178,738 | 31,337 | 24,832 |
Comprehensive income (loss) | -17,832 | 471,171 | 354,959 |
Comprehensive income attributable to noncontrolling interests | -27,510 | -27,019 | -18,488 |
Comprehensive income (loss) attributable to Albemarle Corporation | -45,342 | 444,152 | 336,471 |
Issuer | |||
Condensed Income Statements, Captions [Line Items] | |||
Net income | 133,316 | 413,171 | 311,536 |
Other comprehensive income (loss) | -178,658 | 30,981 | 24,935 |
Comprehensive income (loss) | -45,342 | 444,152 | 336,471 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Albemarle Corporation | -45,342 | 444,152 | 336,471 |
Guarantor Subsidiaries | |||
Condensed Income Statements, Captions [Line Items] | |||
Net income | 0 | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 | 0 |
Comprehensive income (loss) | 0 | 0 | 0 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Albemarle Corporation | 0 | 0 | 0 |
Non-Guarantor Subsidiaries | |||
Condensed Income Statements, Captions [Line Items] | |||
Net income | 131,273 | 210,467 | 83,744 |
Other comprehensive income (loss) | -163,199 | -264,363 | 44,721 |
Comprehensive income (loss) | -31,926 | -53,896 | 128,465 |
Comprehensive income attributable to noncontrolling interests | -27,510 | -27,019 | -18,488 |
Comprehensive income (loss) attributable to Albemarle Corporation | -59,436 | -80,915 | 109,977 |
Consolidating Adjustments | |||
Condensed Income Statements, Captions [Line Items] | |||
Net income | -103,683 | -183,804 | -65,153 |
Other comprehensive income (loss) | 163,119 | 264,719 | -44,824 |
Comprehensive income (loss) | 59,436 | 80,915 | -109,977 |
Comprehensive income attributable to noncontrolling interests | 0 | 0 | 0 |
Comprehensive income (loss) attributable to Albemarle Corporation | $59,436 | $80,915 | ($109,977) |
Consolidating_Guarantor_Financ6
Consolidating Guarantor Financial Information - Cash Flow (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Cash Flow Statements, Captions [Line Items] | |||||
Cash and cash equivalents | $477,696 | $2,489,768 | $477,239 | $477,696 | $469,416 |
Cash flows from operating activities: | |||||
Net cash provided by operating activities | 492,609 | 432,859 | 488,766 | ||
Cash flows from investing activities: | |||||
Capital expenditures | -110,576 | -155,346 | -280,873 | ||
Cash payments related to acquisitions and other | 0 | -2,565 | -3,360 | ||
Cash proceeds from divestitures, net | 7,700 | 104,718 | 0 | 9,646 | |
Payment for settlement of interest rate swap | -33,425 | 0 | 0 | ||
Sales of (investments in) marketable securities, net | 649 | 169 | -1,615 | ||
Long-term advances to joint ventures | -7,499 | 0 | -24,959 | ||
Proceeds from intercompany investing related activity | 0 | 0 | |||
Intercompany investing related payments | 0 | 0 | |||
Net cash used in investing activities | -46,133 | -157,742 | -301,161 | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of senior notes | 1,888,197 | 0 | 0 | ||
Repayments of long-term debt | -6,017 | -135,733 | -14,390 | ||
Proceeds from borrowings of other long-term debt | 0 | 117,000 | 0 | ||
Other (repayments) borrowings, net | -5,825 | 398,544 | -49,421 | ||
Dividends paid to shareholders | -84,102 | -78,107 | -69,113 | ||
Dividends paid to noncontrolling interests | -15,535 | -10,014 | -7,628 | ||
Intercompany dividends paid | 0 | 0 | 0 | ||
Repurchases of common stock | -150,000 | -582,298 | -63,575 | ||
Proceeds from exercise of stock options | 2,713 | 5,553 | 21,148 | ||
Excess tax benefits realized from stock-based compensation arrangements | 826 | 3,266 | 14,809 | ||
Withholding taxes paid on stock-based compensation award distributions | -3,284 | -6,149 | -9,124 | ||
Debt financing costs | -17,644 | -108 | 0 | ||
Proceeds from intercompany financing related activity | 0 | 0 | |||
Intercompany financing related payments | 0 | 0 | |||
Net cash provided by (used in) financing activities | 1,609,329 | -288,046 | -177,294 | ||
Net effect of foreign exchange on cash and cash equivalents | -43,276 | 12,472 | -2,031 | ||
Increase (decrease) in cash and cash equivalents | 2,012,529 | -457 | 8,280 | ||
Issuer | |||||
Condensed Cash Flow Statements, Captions [Line Items] | |||||
Cash and cash equivalents | 145,999 | 1,930,802 | 88,476 | 145,999 | 47,018 |
Cash flows from operating activities: | |||||
Net cash provided by operating activities | 227,426 | 270,179 | 342,173 | ||
Cash flows from investing activities: | |||||
Capital expenditures | -81,624 | -79,441 | -136,299 | ||
Cash payments related to acquisitions and other | -250 | -3,072 | |||
Cash proceeds from divestitures, net | 97,523 | 0 | |||
Payment for settlement of interest rate swap | -33,425 | ||||
Sales of (investments in) marketable securities, net | 668 | 186 | -1,607 | ||
Long-term advances to joint ventures | 0 | -2,459 | |||
Proceeds from intercompany investing related activity | 47,393 | 39,851 | |||
Intercompany investing related payments | 0 | -33,809 | |||
Net cash used in investing activities | -16,858 | -32,112 | -137,395 | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of senior notes | 1,888,197 | ||||
Repayments of long-term debt | -108 | -117,097 | -86 | ||
Proceeds from borrowings of other long-term debt | 117,000 | ||||
Other (repayments) borrowings, net | 4,178 | 363,000 | 144 | ||
Dividends paid to shareholders | -84,102 | -78,107 | -69,113 | ||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||
Intercompany dividends paid | 0 | 0 | 0 | ||
Repurchases of common stock | -150,000 | -582,298 | -63,575 | ||
Proceeds from exercise of stock options | 2,713 | 5,553 | 21,148 | ||
Excess tax benefits realized from stock-based compensation arrangements | 826 | 3,266 | 14,809 | ||
Withholding taxes paid on stock-based compensation award distributions | -3,284 | -6,149 | -9,124 | ||
Debt financing costs | -17,644 | -108 | |||
Proceeds from intercompany financing related activity | 43,850 | 0 | |||
Intercompany financing related payments | -43,850 | 0 | |||
Net cash provided by (used in) financing activities | 1,640,776 | -294,940 | -105,797 | ||
Net effect of foreign exchange on cash and cash equivalents | -9,018 | -650 | 0 | ||
Increase (decrease) in cash and cash equivalents | 1,842,326 | -57,523 | 98,981 | ||
Guarantor Subsidiaries | |||||
Condensed Cash Flow Statements, Captions [Line Items] | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | 0 |
Cash flows from operating activities: | |||||
Net cash provided by operating activities | 0 | 0 | 0 | ||
Cash flows from investing activities: | |||||
Capital expenditures | 0 | 0 | 0 | ||
Cash payments related to acquisitions and other | 0 | 0 | |||
Cash proceeds from divestitures, net | 0 | 0 | |||
Payment for settlement of interest rate swap | 0 | ||||
Sales of (investments in) marketable securities, net | 0 | 0 | 0 | ||
Long-term advances to joint ventures | 0 | 0 | |||
Proceeds from intercompany investing related activity | 0 | 0 | |||
Intercompany investing related payments | 0 | 0 | |||
Net cash used in investing activities | 0 | 0 | 0 | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of senior notes | 0 | ||||
Repayments of long-term debt | 0 | 0 | 0 | ||
Proceeds from borrowings of other long-term debt | 0 | ||||
Other (repayments) borrowings, net | 0 | 0 | 0 | ||
Dividends paid to shareholders | 0 | 0 | 0 | ||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||
Intercompany dividends paid | 0 | 0 | 0 | ||
Repurchases of common stock | 0 | 0 | 0 | ||
Proceeds from exercise of stock options | 0 | 0 | 0 | ||
Excess tax benefits realized from stock-based compensation arrangements | 0 | 0 | 0 | ||
Withholding taxes paid on stock-based compensation award distributions | 0 | 0 | 0 | ||
Debt financing costs | 0 | 0 | |||
Proceeds from intercompany financing related activity | 0 | 0 | |||
Intercompany financing related payments | 0 | 0 | |||
Net cash provided by (used in) financing activities | 0 | 0 | 0 | ||
Net effect of foreign exchange on cash and cash equivalents | 0 | 0 | 0 | ||
Increase (decrease) in cash and cash equivalents | 0 | 0 | 0 | ||
Non-Guarantor Subsidiaries | |||||
Condensed Cash Flow Statements, Captions [Line Items] | |||||
Cash and cash equivalents | 331,697 | 558,966 | 388,763 | 331,697 | 422,398 |
Cash flows from operating activities: | |||||
Net cash provided by operating activities | 273,176 | 177,806 | 189,511 | ||
Cash flows from investing activities: | |||||
Capital expenditures | -28,952 | -75,905 | -144,574 | ||
Cash payments related to acquisitions and other | -2,315 | -288 | |||
Cash proceeds from divestitures, net | 7,195 | 9,646 | |||
Payment for settlement of interest rate swap | 0 | ||||
Sales of (investments in) marketable securities, net | -19 | -17 | -8 | ||
Long-term advances to joint ventures | -7,499 | -22,500 | |||
Proceeds from intercompany investing related activity | 43,850 | 0 | |||
Intercompany investing related payments | -43,850 | 0 | |||
Net cash used in investing activities | -29,275 | -78,237 | -157,724 | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of senior notes | 0 | ||||
Repayments of long-term debt | -5,909 | -18,636 | -14,304 | ||
Proceeds from borrowings of other long-term debt | 0 | ||||
Other (repayments) borrowings, net | -10,003 | 35,544 | -49,565 | ||
Dividends paid to shareholders | 0 | 0 | 0 | ||
Dividends paid to noncontrolling interests | -15,535 | -10,014 | -7,628 | ||
Intercompany dividends paid | -7,993 | -15,126 | -42,918 | ||
Repurchases of common stock | 0 | 0 | 0 | ||
Proceeds from exercise of stock options | 0 | 0 | 0 | ||
Excess tax benefits realized from stock-based compensation arrangements | 0 | 0 | 0 | ||
Withholding taxes paid on stock-based compensation award distributions | 0 | 0 | 0 | ||
Debt financing costs | 0 | 0 | |||
Proceeds from intercompany financing related activity | 0 | 33,809 | |||
Intercompany financing related payments | -47,393 | -39,851 | |||
Net cash provided by (used in) financing activities | -39,440 | -55,625 | -120,457 | ||
Net effect of foreign exchange on cash and cash equivalents | -34,258 | 13,122 | -2,031 | ||
Increase (decrease) in cash and cash equivalents | 170,203 | 57,066 | -90,701 | ||
Consolidating Adjustments | |||||
Condensed Cash Flow Statements, Captions [Line Items] | |||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | 0 |
Cash flows from operating activities: | |||||
Net cash provided by operating activities | -7,993 | -15,126 | -42,918 | ||
Cash flows from investing activities: | |||||
Capital expenditures | 0 | 0 | 0 | ||
Cash payments related to acquisitions and other | 0 | 0 | |||
Cash proceeds from divestitures, net | 0 | 0 | |||
Payment for settlement of interest rate swap | 0 | ||||
Sales of (investments in) marketable securities, net | 0 | 0 | 0 | ||
Long-term advances to joint ventures | 0 | 0 | |||
Proceeds from intercompany investing related activity | -91,243 | -39,851 | |||
Intercompany investing related payments | 43,850 | 33,809 | |||
Net cash used in investing activities | 0 | -47,393 | -6,042 | ||
Cash flows from financing activities: | |||||
Proceeds from issuance of senior notes | 0 | ||||
Repayments of long-term debt | 0 | 0 | 0 | ||
Proceeds from borrowings of other long-term debt | 0 | ||||
Other (repayments) borrowings, net | 0 | 0 | 0 | ||
Dividends paid to shareholders | 0 | 0 | 0 | ||
Dividends paid to noncontrolling interests | 0 | 0 | 0 | ||
Intercompany dividends paid | 7,993 | 15,126 | 42,918 | ||
Repurchases of common stock | 0 | 0 | 0 | ||
Proceeds from exercise of stock options | 0 | 0 | 0 | ||
Excess tax benefits realized from stock-based compensation arrangements | 0 | 0 | 0 | ||
Withholding taxes paid on stock-based compensation award distributions | 0 | 0 | 0 | ||
Debt financing costs | 0 | 0 | |||
Proceeds from intercompany financing related activity | -43,850 | -33,809 | |||
Intercompany financing related payments | 91,243 | 39,851 | |||
Net cash provided by (used in) financing activities | 7,993 | 62,519 | 48,960 | ||
Net effect of foreign exchange on cash and cash equivalents | 0 | 0 | 0 | ||
Increase (decrease) in cash and cash equivalents | $0 | $0 | $0 |
Quarterly_Financial_Summary_De
Quarterly Financial Summary (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Share data in Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | ||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||
Net sales | $598,566,000 | $642,418,000 | $604,721,000 | $599,843,000 | $639,635,000 | $591,196,000 | $576,842,000 | $586,597,000 | $2,445,548,000 | [1] | $2,394,270,000 | [1] | $2,519,154,000 | [1] | |||||
Gross profit | 162,440,000 | 205,446,000 | 207,363,000 | 195,599,000 | 253,279,000 | 209,611,000 | 191,670,000 | 195,911,000 | 770,848,000 | 850,471,000 | 898,843,000 | ||||||||
Restructuring and other charges, net (Note 20) | 5,322,000 | [2] | 293,000 | [2] | 3,332,000 | [2] | 17,000,000 | [2] | 33,361,000 | [2] | 0 | 0 | 0 | 25,947,000 | [2] | 33,361,000 | [2] | 111,685,000 | [2] |
Acquisition and integration related costs (Note 23) | 15,054,000 | [3] | 10,261,000 | [3] | 4,843,000 | [3] | 0 | 30,158,000 | [3] | 0 | [3] | 0 | [3] | ||||||
Net income (loss) from continuing operations | -12,990,000 | 88,019,000 | 89,404,000 | 66,004,000 | 162,232,000 | 97,313,000 | 88,500,000 | 87,681,000 | 230,437,000 | 435,726,000 | 325,846,000 | ||||||||
(Loss) income from discontinued operations (net of tax) | -1,058,000 | [4] | -6,679,000 | [4] | -60,025,000 | [4] | -1,769,000 | [4] | -886,000 | 531,000 | 2,628,000 | 1,835,000 | -69,531,000 | 4,108,000 | 4,281,000 | ||||
Net income attributable to noncontrolling interests | -4,460,000 | -8,546,000 | -6,932,000 | -7,652,000 | -5,413,000 | -7,332,000 | -8,389,000 | -5,529,000 | -27,590,000 | -26,663,000 | -18,591,000 | ||||||||
Net income attributable to Albemarle Corporation | -18,508,000 | 72,794,000 | 22,447,000 | 56,583,000 | 155,933,000 | 90,512,000 | 82,739,000 | 83,987,000 | 133,316,000 | 413,171,000 | 311,536,000 | ||||||||
Actuarial (gain) loss | 112,600,000 | 2,800,000 | 15,400,000 | -139,000,000 | |||||||||||||||
Actuarial (gain) loss, net of income tax | $71,800,000 | $1,800,000 | $9,800,000 | ($88,300,000) | |||||||||||||||
Basic earnings (loss) per share: | |||||||||||||||||||
Basic earnings per share from continuing operations (in dollars per share) | ($0.22) | $1.02 | $1.05 | $0.73 | $1.93 | $1.10 | $0.95 | $0.93 | $2.57 | $4.88 | $3.44 | ||||||||
Basic earnings (loss) per share from discontinued operations (in dollars per share) | ($0.02) | ($0.09) | ($0.76) | ($0.02) | ($0.01) | $0.01 | $0.03 | $0.02 | ($0.88) | $0.05 | $0.05 | ||||||||
Basic earnings per share (in dollars per share) | ($0.24) | $0.93 | $0.29 | $0.71 | $1.92 | $1.11 | $0.98 | $0.95 | $1.69 | $4.93 | $3.49 | ||||||||
Weighted-average common shares outstanding-basic (in shares) | 78,144 | 78,244 | 78,662 | 79,735 | 81,226 | 81,385 | 84,028 | 88,719 | 78,696 | 83,839 | 89,189 | ||||||||
Diluted earnings (loss) per share: | |||||||||||||||||||
Diluted earnings per share from continuing operations (in dollars per share) | ($0.22) | $1.01 | $1.04 | $0.73 | $1.92 | $1.10 | $0.95 | $0.92 | $2.57 | $4.85 | $3.42 | ||||||||
Diluted earnings (loss) per share from discontinued operations (in dollars per share) | ($0.02) | ($0.08) | ($0.76) | ($0.02) | ($0.01) | $0.01 | $0.03 | $0.02 | ($0.88) | $0.05 | $0.05 | ||||||||
Diluted earnings per share (in dollars per share) | ($0.24) | $0.93 | $0.28 | $0.71 | $1.91 | $1.11 | $0.98 | $0.94 | $1.69 | $4.90 | $3.47 | ||||||||
Weighted-average common shares outstanding-diluted (in shares) | 78,545 | 78,659 | 79,091 | 80,112 | 81,713 | 81,852 | 84,489 | 89,236 | 79,102 | 84,322 | 89,884 | ||||||||
[1] | No sales in a foreign country exceed 10% of total net sales. Also, net sales are attributed to countries based upon shipments to final destination. | ||||||||||||||||||
[2] | See Note 20, “Restructuring and Other.†| ||||||||||||||||||
[3] | See Note 23, “Acquisitions.†| ||||||||||||||||||
[4] | Included in Loss from discontinued operations (net of tax) for the year ended December 31, 2014 is $(65.7) million related to the loss on the sale of our antioxidant, ibuprofen and propofol businesses and assets, the majority of which was recorded in the second quarter. See Note 2, “Discontinued Operations.†|
Quarterly_Financial_Summary_Un2
Quarterly Financial Summary (Unaudited) Quarterly Financial Summary Footnote (Detail) (Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations, USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2014 |
Antioxidant, Ibuprofen and Propofol Assets - Discontinued Operations | |
Loss on disposal of businesses, net of tax | ($65.70) |