Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Jan. 31, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | SCL | ||
Entity Registrant Name | STEPAN COMPANY | ||
Entity Well Known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Central Index Key | 0000094049 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Tax Identification Number | 36-1823834 | ||
Entity File Number | 1-4462 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Address, Address Line One | 1101 Skokie Boulevard | ||
Entity Address, Address Line Two | Suite 500 | ||
Entity Address, City or Town | Northbrook | ||
Entity Address, State or Province | IL | ||
Entity Address, Postal Zip Code | 60062 | ||
City Area Code | 847 | ||
Local Phone Number | 446-7500 | ||
Security Exchange Name | NYSE | ||
Title of 12(b) Security | Common Stock, $1 par value | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Interactive Data Current | Yes | ||
Entity Common Stock, Shares Outstanding | 22,421,100 | ||
Entity Public Float | $ 2,582,080,839 | ||
ICFR Auditor Attestation Flag | true | ||
Auditor Name | DELOITTE & TOUCHE LLP | ||
Auditor Location | Chicago, Illinois | ||
Auditor Firm ID | 34 | ||
Documents Incorporated by Reference | Documents Incorporated by Reference Part of Form 10-K Document Incorporated Part III, Items 10-14 Portions of the Proxy Statement for Annual Meeting of Stockholders expected to be held April 26, 2022. * Based on reported ownership by all directors and executive officers at June 30, 2021. |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Income Statement [Abstract] | ||||
Net Sales (Note 1) | [1] | $ 2,345,966,000 | $ 1,869,750,000 | $ 1,858,745,000 |
Cost of Sales | 1,950,156,000 | 1,486,137,000 | 1,519,031,000 | |
Gross Profit | 395,810,000 | 383,613,000 | 339,714,000 | |
Operating Expenses: | ||||
Selling (Note 1) | 59,186,000 | 55,543,000 | 56,956,000 | |
Administrative (Note 1) | 92,906,000 | 87,362,000 | 82,577,000 | |
Research, development and technical services (Note 1) | 62,689,000 | 57,986,000 | 55,037,000 | |
Deferred compensation expense (Note 12) | 6,895,000 | 9,988,000 | 15,140,000 | |
Total Operating expenses | 221,676,000 | 210,879,000 | 209,710,000 | |
Business restructuring and loss on asset disposition (Note 22) | (3,353,000) | (1,212,000) | (2,744,000) | |
Operating Income | 170,781,000 | 171,522,000 | 127,260,000 | |
Other Income (Expense): | ||||
Interest, net (Note 6) | (5,753,000) | (5,409,000) | (5,932,000) | |
Other, net (Note 8) | 7,509,000 | 4,954,000 | 4,571,000 | |
Nonoperating Income (Expense), Total | 1,756,000 | (455,000) | (1,361,000) | |
Income Before Provision for Income Taxes | 172,537,000 | 171,067,000 | 125,899,000 | |
Provision for Income Taxes (Note 9) | 34,642,000 | 43,411,000 | 22,798,000 | |
Net Income | 137,895,000 | 127,656,000 | 103,101,000 | |
Net (Income) Loss Attributable to Noncontrolling Interest (Note 1) | (91,000) | (886,000) | 28,000 | |
Net Income Attributable to Stepan Company | $ 137,804,000 | $ 126,770,000 | $ 103,129,000 | |
Net Income Per Common Share Attributable to Stepan Company (Note 18): | ||||
Basic | $ 6.01 | $ 5.52 | $ 4.47 | |
Diluted | $ 5.92 | $ 5.45 | $ 4.42 | |
Shares Used to Compute Net Income Per Common Share Attributable to Stepan Company (Note 18): | ||||
Basic | 22,922 | 22,949 | 23,054 | |
Diluted | 23,287 | 23,256 | 23,316 | |
[1] | Net sales are attributed to countries based on the location of the Company legal entity making the sale. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net Income | $ 137,895 | $ 127,656 | $ 103,101 |
Other Comprehensive Income: | |||
Foreign currency translation adjustments (Note 19) | (28,154) | (2,973) | 4,425 |
Defined benefit pension plans: | |||
Net actuarial gain (loss) arising in period (net of tax expense of $2,661, tax benefit of $265 and tax expense of $1,263 for 2021, 2020 and 2019, respectively) | 8,188 | (996) | 4,112 |
Amortization of prior service cost included in pension expense (net of taxes of $4, $3 and $3 for 2021, 2020 and 2019, respectively) | 8 | 8 | 9 |
Amortization of actuarial loss included in pension expense (net of taxes of $1,157, $1,089 and $657 for 2021, 2020 and 2019, respectively) | 3,643 | 3,332 | 2,082 |
Net defined benefit pension plan activity (Note 19) | 11,839 | 2,344 | 6,203 |
Cash flow hedges: | |||
Reclassifications to income in period | (9) | (9) | (9) |
Net cash flow hedge activity (Note 19) | (9) | (9) | (9) |
Other Comprehensive Income | (16,324) | (638) | 10,619 |
Comprehensive Income | 121,571 | 127,018 | 113,720 |
Comprehensive Income Attributable to Noncontrolling Interest | (122) | (959) | 47 |
Comprehensive Income Attributable to Stepan Company | $ 121,449 | $ 126,059 | $ 113,767 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net actuarial gain (loss) arising in period, tax expense (benefit) | $ 2,661 | $ (265) | $ 1,263 |
Amortization of prior service cost included in pension expense, tax | 4 | 3 | 3 |
Amortization of actuarial loss included in pension expense, tax | $ 1,157 | $ 1,089 | $ 657 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Current Assets: | ||
Cash and cash equivalents | $ 159,186,000 | $ 349,938,000 |
Receivables, less allowances of $10,157 in 2021 and $10,133 in 2020 | 419,542,000 | 301,318,000 |
Inventories (Note 5) | 305,538,000 | 218,783,000 |
Other current assets | 29,102,000 | 35,612,000 |
Total current assets | 913,368,000 | 905,651,000 |
Property, Plant and Equipment: | ||
Land | 50,675,000 | 27,135,000 |
Buildings and improvements | 260,809,000 | 248,234,000 |
Machinery and equipment | 1,541,925,000 | 1,476,675,000 |
Construction in progress | 237,548,000 | 120,606,000 |
Property, Plant and Equipment, Gross | 2,090,957,000 | 1,872,650,000 |
Less: Accumulated depreciation | (1,240,353,000) | (1,189,983,000) |
Property, plant and equipment, net | 850,604,000 | 682,667,000 |
Goodwill, net (Note 4) | 97,187,000 | 27,972,000 |
Other intangible assets, net (Note 4) | 60,784,000 | 24,068,000 |
Long-term investments (Note 2) | 34,495,000 | 30,652,000 |
Operating lease assets (Note 7) | 69,612,000 | 62,421,000 |
Other non-current assets | 39,562,000 | 18,905,000 |
Total Assets | 2,065,612,000 | 1,752,336,000 |
Current Liabilities: | ||
Current maturities of long-term debt (Note 6) | 40,718,000 | 37,857,000 |
Accounts payable | 323,362,000 | 236,750,000 |
Accrued liabilities (Note 14) | 136,396,000 | 141,947,000 |
Total current liabilities | 500,476,000 | 416,554,000 |
Deferred income taxes (Note 9) | 12,491,000 | 20,745,000 |
Long-term debt, less current maturities (Note 6) | 322,862,000 | 160,812,000 |
Non-current operating lease liability (Note 7) | 56,668,000 | 51,567,000 |
Other non-current liabilities (Note 15) | 98,922,000 | 114,293,000 |
Commitments and Contingencies (Note 16) | ||
Equity (Note 10): | ||
Common stock, $1 par value; 60,000,000 authorized shares; 26,760,714 issued shares in 2021 and 26,658,032 issued shares in 2020 | 26,761,000 | 26,658,000 |
Additional paid-in capital | 220,820,000 | 206,716,000 |
Accumulated other comprehensive loss (Note 19) | (153,236,000) | (136,881,000) |
Retained earnings | 1,133,550,000 | 1,023,829,000 |
Less: Common treasury stock, at cost, 4,340,729 shares in 2021 and 4,185,242 shares in 2020 | (153,702,000) | (133,629,000) |
Total Stepan Company stockholders’ equity | 1,074,193,000 | 986,693,000 |
Noncontrolling interest | 1,672,000 | |
Total equity | 1,074,193,000 | 988,365,000 |
Total Liabilities and Equity | $ 2,065,612,000 | $ 1,752,336,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Allowances | $ 10,157 | $ 10,133 |
Common stock, par value | $ 1 | $ 1 |
Common stock, shares authorized | 60,000,000 | 60,000,000 |
Common stock, shares issued | 26,760,714 | 26,658,032 |
Treasury stock, shares | 4,340,729 | 4,185,242 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash Flows From Operating Activities | |||
Net income | $ 137,895,000 | $ 127,656,000 | $ 103,101,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 90,876,000 | 81,860,000 | 78,701,000 |
Deferred compensation | 6,895,000 | 9,988,000 | 15,140,000 |
Realized and unrealized gain on long-term investments | (2,289,000) | (3,143,000) | (3,955,000) |
Stock-based compensation | 11,716,000 | 10,080,000 | 8,872,000 |
Deferred income taxes | (33,605,000) | (4,506,000) | (5,016,000) |
Other non-cash items | 2,158,000 | 3,068,000 | 2,240,000 |
Changes in assets and liabilities, excluding effects of acquisitions: | |||
Receivables, net | (104,231,000) | (23,417,000) | 4,894,000 |
Inventories | (79,258,000) | (15,358,000) | 28,460,000 |
Other current assets | (1,434,000) | (13,927,000) | (680,000) |
Accounts payable and accrued liabilities | 44,414,000 | 55,739,000 | (15,084,000) |
Pension liabilities | (1,729,000) | (612,000) | (790,000) |
Environmental and legal liabilities | 450,000 | (3,021,000) | 2,519,000 |
Deferred revenues | 277,000 | 10,809,000 | 26,000 |
Net Cash Provided By Operating Activities | 72,135,000 | 235,216,000 | 218,428,000 |
Cash Flows From Investing Activities | |||
Expenditures for property, plant and equipment | (194,482,000) | (125,792,000) | (105,572,000) |
Proceeds from asset disposition | 4,149,000 | ||
Asset acquisition (Note 20) | (3,503,000) | (2,040,000) | |
Business acquisitions, net of cash acquired (Note 20) | (184,473,000) | (13,519,000) | (9,000,000) |
Other, net | 1,480,000 | 2,317,000 | 1,905,000 |
Net Cash Used In Investing Activities | (376,829,000) | (139,034,000) | (112,667,000) |
Cash Flows From Financing Activities | |||
Revolving debt and bank overdrafts, net (Note 6) | 2,861,000 | (7,495,000) | |
Other debt borrowings (Note 6) | 200,000,000 | ||
Other debt repayments (Note 6) | (37,858,000) | (23,571,000) | (46,429,000) |
Dividends paid | (28,083,000) | (25,405,000) | (23,097,000) |
Company stock repurchased | (16,969,000) | (15,253,000) | (13,184,000) |
Stock option exercises | 1,369,000 | 2,926,000 | 3,037,000 |
Other, net | (3,987,000) | (3,631,000) | (3,326,000) |
Net Cash (Used In) Provided By Financing Activities | 117,333,000 | (64,934,000) | (90,494,000) |
Effect of Exchange Rate Changes on Cash | (3,391,000) | 3,307,000 | (78,000) |
Net Increase (Decrease) in Cash and Cash Equivalents | (190,752,000) | 34,555,000 | 15,189,000 |
Cash and Cash Equivalents at Beginning of Year | 349,938,000 | 315,383,000 | 300,194,000 |
Cash and Cash Equivalents at End of Year | 159,186,000 | 349,938,000 | 315,383,000 |
Supplemental Cash Flow Information | |||
Cash payments of income taxes, net of refunds/payments | 92,867,000 | 39,017,000 | 29,331,000 |
Cash payments of interest | $ 9,542,000 | $ 9,329,000 | $ 12,250,000 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Common Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Noncontrolling Interests [Member] | |
Beginning Balance at Dec. 31, 2018 | $ 808,185 | $ 26,309 | $ 182,881 | $ (97,389) | $ (141,483) | $ 837,107 | $ 760 | |
Issuance of common stock under stock option plan | 3,037 | 60 | 2,977 | |||||
Purchase of common stock | (13,184) | (13,184) | ||||||
Stock-based and deferred compensation | 3,835 | 124 | 7,277 | (3,566) | ||||
Net income | 103,101 | 103,129 | (28) | |||||
Other comprehensive income | 10,619 | 10,638 | (19) | |||||
Cash dividends paid: | ||||||||
Common stock | (23,097) | (23,097) | ||||||
Other | [1] | (5,325) | 5,325 | |||||
Ending Balance at Dec. 31, 2019 | 892,496 | 26,493 | 193,135 | (114,139) | (136,170) | 922,464 | 713 | |
Issuance of common stock under stock option plan | 2,926 | 48 | 2,878 | |||||
Purchase of common stock | (15,253) | (15,253) | ||||||
Stock-based and deferred compensation | 6,583 | 117 | 10,703 | (4,237) | ||||
Net income | 127,656 | 126,770 | 886 | |||||
Other comprehensive income | (638) | (711) | 73 | |||||
Cash dividends paid: | ||||||||
Common stock | (25,405) | (25,405) | ||||||
Ending Balance at Dec. 31, 2020 | 988,365 | 26,658 | 206,716 | (133,629) | (136,881) | 1,023,829 | 1,672 | |
Issuance of common stock under stock option plan | 1,369 | 20 | 1,349 | |||||
Purchase of common stock | (16,969) | (16,969) | ||||||
Stock-based and deferred compensation | 9,734 | 83 | 12,755 | (3,104) | ||||
Net income | 137,895 | 137,804 | 91 | |||||
Other comprehensive income | (16,324) | (16,355) | 31 | |||||
Cash dividends paid: | ||||||||
Common stock | (28,083) | (28,083) | ||||||
Other | [2] | (1,794) | $ (1,794) | |||||
Ending Balance at Dec. 31, 2021 | $ 1,074,193 | $ 26,761 | $ 220,820 | $ (153,702) | $ (153,236) | $ 1,133,550 | ||
[1] | Reflects beginning retained earnings adjustment as a result of the Company’s first quarter 2019 adoption of ASU No. 2018-02, Income Statement-Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. | |||||||
[2] | Reflects the derecognition of noncontrolling interest due to the dissolution of the China joint venture. See Note 1, Summary of Significant Accounting Policies , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K). |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Number of shares of common stock issued under stock option plan | 20,435 | 48,389 | 59,799 |
Number of common stock shares purchased | 135,103 | 173,956 | 144,457 |
Common stock | $ 1.250 | $ 1.130 | $ 1.030 |
Common Stock [Member] | |||
Number of shares of common stock issued under stock option plan | 20,435 | 48,389 | 59,799 |
Additional Paid-in Capital [Member] | |||
Number of shares of common stock issued under stock option plan | 20,435 | 48,389 | 59,799 |
Treasury Stock [Member] | |||
Number of common stock shares purchased | 135,103 | 173,956 | 144,457 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies Nature of Operations Stepan Company’s (the Company) operations consist predominantly of the production and sale of specialty and intermediate chemicals, which are sold to other manufacturers for use in a variety of end products. Principal markets for all products are manufacturers of cleaning and washing compounds (including detergents, shampoos, fabric softeners, toothpastes and household cleaners), paints, cosmetics, food, beverages, nutritional supplements, agricultural products, plastics, furniture, automotive equipment, insulation and refrigeration. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires Company management to make estimates and assumptions that affect the reported amounts of assets, liabilities, income and expenses at the date of the financial statements and to provide disclosures of contingent assets, liabilities and related amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Principles of Consolidation The consolidated financial statements include the accounts of the Company and all wholly and majority-owned subsidiaries in which the Company exercises controlling influence. The equity method is used to account for investments in which the Company exercises significant but noncontrolling influence. Intercompany balances and transactions are eliminated in consolidation. Prior to the fourth quarter of 2021, the Company had an 80 percent ownership interest in the Nanjing Stepan Jinling Chemical Limited Liability Company (a joint venture) and exercised controlling influence over the entity. As a result, the China joint venture results were included in the Company’s consolidated financial statements. The partner’s interest in the joint venture’s net income was reported in the net income attributable to noncontrolling interest line of the consolidated statements of income and its interest in the net assets of the joint venture was reported in the noncontrolling interest line (a component of equity separate from Company equity) of the consolidated balance sheets. The joint venture was dissolved during the fourth quarter of 2021. Business Combinations The Company makes acquisitions from time to time. When such acquisitions occur, the Company applies the accounting guidance per FASB ASC Topic 805, Business Combinations In some instances, the purchase price allocation of an acquisition is not complete by the end of a reporting period. This situation most typically arises when an acquisition is complex and/or completed very close to the end of a reporting period and all necessary information is not available by the end of the reporting period in which the acquisition occurs. In these instances, the Company reports provisional amounts for any incomplete items and makes subsequent adjustments as necessary information becomes available or determines that additional information is not obtainable. Any subsequent adjustments could have a material impact on the Company’s financial condition or results of operations as they could impact the initial fair values assigned to intangible assets and property, plant and equipment and/or their estimated economic lives. ASC 805 requires purchase price allocations to be finalized within one year from the acquisition date. Cash and Cash Equivalents The Company considers all highly liquid investments with purchased maturities of three months or less to be cash equivalents. At December 31, 2021, the Company’s cash and cash equivalents totaled $159,186,000 including $46,689,000 in money market funds, each of which was rated AAAm by Standard and Poor’s, Aaa-mf by Moody’s and AAAmmf by Fitch. Cash in U.S. demand deposit accounts totaled $25,253,000 and cash of the Company’s non-U.S. subsidiaries held outside the U.S. totaled $87,244,000 as of December 31, 2021. At December 31, 2020, the Company’s cash and cash equivalents totaled $349,938,000 including $123,695,000 in money market funds, each of which was rated AAAm by Standard and Poor’s, Aaa-mf by Moody’s and AAAmmf by Fitch. Cash in U.S. demand deposit accounts totaled $ 76,164,000 and cash of the Company’s non-U.S. subsidiaries held outside the U.S. totaled $ 150,079,000 as of December 31, 2020. Receivables and Credit Risk/Losses Receivables are stated net of allowances for doubtful accounts and other allowances and primarily include trade receivables from customers, as well as nontrade receivables from suppliers, governmental tax agencies and others. The Company is exposed to both credit risk and losses on accounts receivable balances. The Company’s credit risk and loss exposure predominately relates to the sale of products to its customers. When extending credit to customers the Company evaluates a customer’s credit worthiness based on a combination of qualitative and quantitative factors, inclusive of, but not limited to, a customer’s credit rating from external providers, financial condition and past payment experience. The Company performs credit reviews on all customers at inception and on a scheduled basis thereafter dependent on customer risk and the level of credit extended. Payment terms extended are short term in duration, typically ranging from 30 to 60 days. The majority of the Company’s sales are made to large companies that are able to weather periodic changes in economic conditions. This risk of losses is further mitigated by the Company’s diverse customer base, which is dispersed over various geographic regions and industrial sectors. No single customer comprised more than 10 percent of the Company’s consolidated net sales in 2021, 2020 or 2019. The Company maintains allowances for potential credit losses. With the adoption of ASU No. 2016-13, Financial Instruments – Credit Losses, The following is an analysis of the allowance for doubtful accounts and other accounts receivable allowances for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Balance at January 1 $ 10,133 $ 9,325 $ 9,654 Provision charged to income 943 864 29 Accounts written off, net of recoveries (919 ) (56 ) (358 ) Balance at December 31 $ 10,157 $ 10,133 $ 9,325 Inventories Inventories are valued at cost, which is not in excess of market value, and include material, labor and plant overhead costs. Currently, the first in, first out (FIFO) method is used to determine the cost of the Company’s inventory. Property, Plant and Equipment Depreciation of property, plant and equipment is provided on a straight-line basis over the estimated useful lives of the assets. Lives used for calculating depreciation are generally 30 years for buildings and 15 years for building improvements. For assets classified as machinery and equipment, lives generally used for calculating depreciation expense range from 10 to 15 years for manufacturing equipment, five to 10 years for furniture and fixtures, three to five years for vehicles and three to 10 years for computer equipment and software. Manufacturing of chemicals is capital intensive and a large majority of the assets included within machinery and equipment represent manufacturing equipment. Major renewals and betterments are capitalized in the property accounts, while maintenance and repairs ($75,351,000, $69,234,000, and $58,464,000 in 2021, 2020 and 2019, respectively), which do not renew or extend the life of the respective assets, are charged to operations as incurred. Land is not depreciated. The cost of property retired or sold, and the related accumulated depreciation, are removed from the accounts and any resulting gain or loss is reflected in income. Long-lived assets are reviewed for impairment when conditions exist that indicate the carrying amount of the assets may not be fully recoverable. Such conditions could include significant adverse changes in the business environment, significant declines in forecasted operations or an approved plan to discontinue an asset or an asset group before the end of its useful life. Included in the computer equipment and software component of machinery and equipment are costs related to the acquisition and development of internal-use software. Capitalized costs for internal-use software include external direct costs of materials and services consumed in obtaining and developing the software. For development projects where major internal resources are committed, payroll and payroll-related costs incurred during the application development phase of the project are also capitalized. The capitalized costs are amortized over the useful lives of the software, which are generally three to 10 years. Costs incurred in the preliminary project phase are expensed. The Company adopted ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40) Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract Interest charges on borrowings applicable to major construction projects are capitalized. Fair Value Measurements GAAP defines fair value 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. Furthermore, GAAP establishes a framework, in the form of a three-level hierarchy, for measuring fair value that prioritizes the inputs to valuation techniques used to measure fair value. The following describes the hierarchy levels: Level 1 - quoted prices in active markets for identical assets and liabilities. Level 2 - inputs other than quoted prices included within Level 1 that are directly or indirectly observable for the asset or liability, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. Level 3 - unobservable inputs which reflect the entity’s own assumptions about the assumptions market participants use in pricing the assets and liabilities. The Company applies the fair value measurement provisions of GAAP to any of its financial assets and liabilities that are carried at fair value on the consolidated balance sheets (see Note 2, Fair Value Measurements (included in Item 8 of this Form 10-K) Fair Value Measurements (included in Item 8 of this Form 10-K) Postretirement Benefit Plans (included in Item 8 of this Form 10-K) The Company also applies fair value measurements to nonfinancial assets and liabilities recorded in conjunction with business combinations and as part of impairment reviews for goodwill and other long-lived assets. Revenue Recognition The Company’s contracts typically have a single performance obligation that is satisfied at the time product is shipped and control passes to the customer. For a small portion of the business, performance obligations are deemed satisfied when product is delivered to a customer location. For arrangements where the Company consigns product to a customer location, revenue is recognized when the customer uses the inventory. The Company accounts for shipping and handling as activities to fulfill a promise to transfer a good. As such, shipping and handling fees billed to customers in a sales transaction are recorded in Net Sales and shipping and handling costs incurred are recorded in Cost of Sales. Volume and cash discounts due customers are estimated and recorded in the same period as the sales to which the discounts relate and are reported as reductions of revenue in the consolidated statements of income. See Note 21 , Revenue from Contracts with Customers , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for more details. Cost of Sales Cost of sales is comprised of raw material costs (including inbound freight expense to deliver the raw materials), manufacturing plant labor expenses and various manufacturing overhead expenses, such as utilities, maintenance, operating supplies, amortization and manufacturing asset depreciation expenses. Cost of sales also includes outbound shipping and handling expenses, inter-plant transfer costs, warehouse expenses and rail car rental expenses. Operating Expenses Selling expense is comprised of salaries and related fringe benefit expenses for marketing and sales personnel and operating costs, such as outside agent commissions, automobile rental and travel-related expenses, which support the sales and marketing functions. Bad debt charges and any depreciation expenses related to marketing assets (e.g., computers) are also classified as selling expense. Administrative expense is comprised of salaries and related fringe benefit expenses and operating costs for the Company’s various administrative functions, which include information services, finance, legal, and human resources. The majority of environmental remediation expenses are also classified as administrative expense. The Company’s research and development costs are expensed as incurred. These expenses are aimed at discovery and commercialization of new knowledge with the intent that such effort will be useful in developing a new product or in bringing about a significant improvement to an existing product or process. Total research and development expenses were $38,778,000, $35,999,000, and $34,139,000 Compensation expense or income related to the Company’s deferred compensation plans is presented in the deferred compensation expense line in the Consolidated Statements of Income. For more details, see Note 12, Deferred Compensation, (included in Item 8 of this Form 10-K) Environmental Expenditures Environmental expenditures that relate to current operations are typically recorded in cost of sales. Expenditures that mitigate or prevent environmental contamination and that benefit future operations are capitalized as assets and depreciated on a straight-line basis over the estimated useful lives of the assets, which are typically 10 years. Estimated future expenditures that relate to an existing condition caused by past operations, and which do not contribute to current or future revenue generation, are recorded as liabilities, with the corresponding charge typically recorded in administrative expenses, when environmental assessments and/or remedial efforts are probable and the cost or range of possible costs can be reasonably estimated. When no amount within the range is a better estimate than any other amount, the minimum amount in the range is accrued. Estimating the possible costs of remediation requires making assumptions related to the nature and extent of contamination and the methods and resulting costs of remediation. Some of the factors on which the Company bases its estimates include information provided by feasibility studies, potentially responsible party negotiations and the development of remedial action plans. Legal costs related to environmental matters are expensed as incurred. See Note 16, Contingencies (included in Item 8 of this Form 10-K) Goodwill and Other Intangible Assets The Company’s intangible assets include patents, agreements not to compete, trademarks, customer lists and relationships, technological and manufacturing know-how, supply contracts and goodwill, all of which were acquired as part of business or product line acquisitions. Intangible assets other than goodwill are determined to have either finite or indefinite useful lives. The Company currently has no indefinite-life intangible assets other than goodwill. The values for intangible assets with finite lives are amortized over the useful lives of the assets. Currently, the useful lives for the Company’s finite-lived intangible assets are as follows: patents – 15 years; non-compete agreements – three years; trademarks – eight to 11 years; customer relationships – 12 to 20 years and know-how – seven to 20 years. In addition, finite-life intangible assets are tested for impairment when events or changes in circumstances indicate that the carrying value of an intangible asset may not be recoverable. Goodwill is not amortized but is tested for impairment at least annually, or more frequently, if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit to which goodwill relates below the reporting unit’s carrying value. See Note 4, Goodwill and Other Intangibles the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for detailed information about goodwill and other intangible assets. Income Taxes Income taxes are accounted for under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. Deferred tax assets are recognized to the extent that we believe these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. Uncertain tax positions are recorded in accordance with ASC 740, Income Taxes The Company recognizes interest and penalties related to unrecognized tax benefits within the income tax expense line in the accompanying Consolidated Statement of Operations. Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheet. See Note 9 , Income Taxes (included in Item 8 of this Form 10-K) Translation of Foreign Currencies For the Company’s consolidated foreign subsidiaries whose functional currency is the local foreign currency, assets and liabilities are translated into U.S. dollars at exchange rates in effect at year end and revenues and expenses are translated at average exchange rates for the year. Any resulting translation adjustments are included in the consolidated balance sheets in the accumulated other comprehensive loss line of stockholders’ equity. Gains or losses on foreign currency transactions are reflected in the other, net caption of the consolidated statements of income. The Company has four foreign subsidiaries whose functional currencies are the U.S. dollar. For these subsidiaries, nonmonetary assets and liabilities are translated at historical rates, monetary assets and liabilities are translated at exchange rates in effect at year end, revenues and expenses are translated at average exchange rates for the year and translation gains and losses are included in the other, net caption of the consolidated statements of income. Stock-Based Compensation The Company grants stock options, stock awards (including performance-based stock awards) and SARs to certain employees under its incentive compensation plans. The Company calculates the fair values of stock options, stock awards and SARs on the date such instruments are granted. The fair values of the stock options and stock awards are then recognized as compensation expense over the vesting periods of the instruments. The Company’s SARs granted prior to 2015 are cash-settled, and SARs granted in 2015 and later are stock-settled. The cash-settled SARs are accounted for as liabilities that must be re-measured at fair value at the end of each reporting period. Compensation expense for each reporting period is calculated as the period-to-period change (or portion of the change, depending on the proportion of the vesting period that has been completed at the reporting date) in the fair value of the cash-settled SARs. Compensation expense for the stock-settled SARs is calculated in the same way as compensation expense for stock options. See Note 11, Stock-based Compensation (included in Item 8 of this Form 10-K) Earnings Per Share Basic earnings per share amounts are computed as net income attributable to the Company divided by the weighted-average number of common shares outstanding. Diluted earnings per share amounts are based on the weighted-average number of common shares outstanding plus the weighted-average of net common shares (under the treasury stock method) that would be outstanding assuming the exercise of outstanding stock options and stock-settled SARs, the vesting of unvested stock awards that have no performance or market condition and the issuance of contingent performance stock awards. See Note 18, Earnings Per Share (included in Item 8 of this Form 10-K) Comprehensive Income and Accumulated Other Comprehensive Income Comprehensive income includes net income and all other non-owner changes in equity that are not reported in net income. Comprehensive income is disclosed in the consolidated statements of comprehensive income. Accumulated other comprehensive income (AOCI) is reported as a component of stockholders’ equity in the Company’s consolidated balance sheets. See Note 19, Accumulated Other Comprehensive Income (Loss) (included in Item 8 of this Form 10-K) Segment Reporting The Company reports financial and descriptive information about its reportable operating segments. Operating segments are components of the Company that have separate financial information that is regularly evaluated by the chief operating decision maker to assess segment performance and allocate resources. The Company discloses segment revenue, operating income, assets, capital expenditures and depreciation and amortization expenses. Enterprise-wide financial information about the geographic locations in which the Company earns revenues and holds assets is also disclosed. See Note 17, Segment Reporting (included in Item 8 of this Form 10-K) Derivative Instruments Derivative instruments are recognized in the consolidated balance sheets as either assets or liabilities measured at fair value. For derivative instruments that are not designated as hedging instruments, changes in the fair values of the derivative instruments are recognized currently in earnings. For derivative instruments designated as hedging instruments, depending on the nature of the hedge, changes in the fair values of the derivative instruments are either offset in earnings against changes in the fair values of the hedged items or recognized in AOCI until the hedged transaction is recognized in earnings. At the time a hedging relationship is designated, the Company establishes the method it will use for assessing the effectiveness of the hedge and the measurement approach for determining the ineffective aspect of the hedge. Company policy prohibits the use of derivative instruments for trading or speculative purposes. See Note 3, Derivative Instruments (included in Item 8 of this Form 10-K) At December 31, 2021, the Company held open forward contracts for the purchase of 1.4 million dekatherms of natural gas in 2022 at a cost of $5,712,000. The Company uses forward contracts to minimize its exposure to volatile natural gas prices. Because the Company anticipates taking delivery of the natural gas for use in its operations, the forward contracts qualify for the normal purchase exception provided under U.S. GAAP for derivative instruments. The Company has elected the exception for such contracts. As a result, the forward contracts are not accounted for as derivative instruments. The cost of natural gas is charged to expense at the time the natural gas is delivered and used. Recent Accounting Pronouncements In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848) Facilitation of the Effect of Reference Rate Reform on Financial Reporting In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805) Accounting for Contract Assets and Contract Liabilities from Contracts with Customers , Revenue from Contracts with Customers 606 to recognize and measure contract assets and contract liabilities in a business combination. The amendments in this update are effective for fiscal years beginning after December 31, 2022 and should be applied prospectively. The Company is in the process of assessing the impact that adoption of ASU No. 2021-08 may have on its financial position, results of operations and cash flows. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 2. Fair Value Measurements The following were the financial instruments held by the Company at December 31, 2021 and 2020, and the methods and assumptions used to estimate the instruments’ fair values: Cash and cash equivalents Carrying value approximated fair value because of the short maturity of the instruments. Fair value of cash and cash equivalents is a Level 1 measurement. Derivative assets and liabilities Derivative assets and liabilities include the foreign currency exchange contracts discussed in Note 3, Derivative Instruments (included in Item 8 of this Form 10-K) See the table that follows the financial instrument descriptions for the reported fair values of derivative assets and liabilities. Long-term investments Long-term investments include the mutual fund assets the Company held to fund a portion of its deferred compensation liabilities and all of its non-qualified supplemental executive defined contribution obligations. See the defined contribution plans section of Note 13, Postretirement Benefit Plans (included in Item 8 of this Form 10-K) See the table that follows the financial instrument descriptions for the reported fair value of long-term investments. Debt obligations The fair value of debt with original maturities greater than one year reflects the combined present values of scheduled principal and interest payments for each of the various loans, individually discounted at rates equivalent to those which could be obtained by the Company for new debt issues with durations equal to the average life to maturity of each loan. The fair values of the remaining Company debt obligations approximated their carrying values due to the short-term nature of the debt. The Company’s fair value measurements for debt fall within Level 2 of the fair value hierarchy. At December 31, 2021 and 2020, the fair values and related carrying values of debt, including current maturities, were as follows (the fair value and carrying value amounts are presented without regard to unamortized debt issuance costs of $710,000, and $617,000 (In thousands) December 31 2021 2020 Fair value $ 369,456 $ 210,370 Carrying value 364,290 199,286 The following tables present financial assets and liabilities, excluding cash and cash equivalents, measured on a recurring basis at fair value as of December 31, 2021 and 2020, and the level within the fair value hierarchy in which the fair value measurement falls: (In thousands) December 2021 Level 1 Level 2 Level 3 Mutual fund assets $ 34,495 $ 34,495 $ — $ — Derivative assets: Foreign currency contracts 436 — 436 — Total assets at fair value $ 34,931 $ 34,495 $ 436 $ — Derivative liabilities: Foreign currency contracts $ 338 $ — $ 338 $ — (In thousands) December 2020 Level 1 Level 2 Level 3 Mutual fund assets $ 30,652 $ 30,652 $ — $ — Derivative assets: Foreign currency contracts 335 — 335 — Total assets at fair value $ 30,987 $ 30,652 $ 335 $ — Derivative liabilities: Foreign currency contracts $ 566 $ — $ 566 $ — |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | 3. Derivative Instruments The Company is exposed to certain risks relating to its ongoing business operations. The primary risk managed by the use of derivative instruments is foreign currency exchange risk. The Company holds forward foreign currency exchange contracts that are not designated as any type of accounting hedge as defined by U.S. generally accepted accounting principles. The Company uses these contracts to manage its exposure to exchange rate fluctuations on certain Company subsidiary cash, accounts receivable, accounts payable and other obligation balances that are denominated in currencies other than the entities’ functional currencies. The forward foreign exchange contracts are recognized on the balance sheet as either an asset or a liability measured at fair value. Gains and losses arising from recording the foreign exchange contracts at fair value are reported in earnings as offsets to the losses and gains reported in earnings arising from the re-measurement of the receivable and payable balances into the applicable functional currencies. At December 31, 2021 and 2020, the Company had open forward foreign currency exchange contracts, all with durations of one to three months, to buy or sell foreign currencies with a U.S. dollar equivalent of $51,542,000 and $48,336,000, respectively. The fair values of the derivative instruments held by the Company on December 31, 2021, and December 31, 2020, are disclosed in Note 2, Fair Value Measurements (included in Item 8 of this Form 10-K) Accumulated Other Comprehensive Income (Loss (included in Item 8 of this Form 10-K) |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | 4. The changes in the carrying value of goodwill for the years ended December 31, 2021 and 2020, were as follows: (In thousands) Surfactants Segment Polymer Segment Specialty Products Segment Total 2021 2020 2021 2020 2021 2020 2021 2020 Balance as of January 1 Goodwill $ 25,537 $ 23,664 $ 5,419 $ 5,406 $ 483 $ 483 $ 31,439 $ 29,553 Accumulated impairment loss (3,467 ) (3,467 ) — — — — (3,467 ) (3,467 ) Goodwill, net 22,070 20,197 5,419 5,406 483 483 27,972 26,086 Goodwill acquired (1) — 4,225 72,467 — — — 72,467 4,225 Goodwill measurement period adjustment (1) 940 (336 ) — — — — 940 (336 ) Foreign currency translation (788 ) (2,016 ) (3,404 ) 13 — — (4,192 ) (2,003 ) Balance as of December 31 Goodwill 25,689 25,537 74,482 5,419 483 483 100,654 31,439 Accumulated impairment loss (3,467 ) (3,467 ) — — — — (3,467 ) (3,467 ) Goodwill, net $ 22,222 $ 22,070 $ 74,482 $ 5,419 $ 483 $ 483 $ 97,187 $ 27,972 (1) See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for information regarding the goodwill acquired in a business combination. The Company tests its goodwill balances for impairment in the second quarter of each calendar year. The 2021 and 2020 tests indicated no impairment. The following table presents the components of other intangible assets, all of which have finite lives, as of December 31, 2021 and 2020. The year-over-year changes in gross carrying values mainly resulted from acquisitions that took place in 2021 and the effects of foreign currency translation. (In thousands) Gross Carrying Value Accumulated Amortization December 31 December 31 2021 2020 2021 2020 Other Intangible Assets: Patents (2) $ 7,411 $ 7,411 $ 6,139 $ 5,713 Non-compete agreements (2) 594 623 404 270 Trademarks (2) 12,013 4,087 4,160 2,905 Customer lists/relationships (2) 44,447 21,424 9,557 6,842 Supply contract 1,472 1,579 1,472 1,579 Know-how (1)(2) 27,029 14,183 10,450 7,930 Total $ 92,966 $ 49,307 $ 32,182 $ 25,239 (1) Know-how includes intellectual property rights covering proprietary information, written formulae, trade secrets or secret processes, inventions and developmental products (whether patentable or not), discoveries, improvements, compositions, manufacturing processes, manuals, specifications and technical data (2) The 2020 balances include intangible assets acquired as part of the Company’s Clariant (Mexico) and Logos Technologies acquisitions in 2020. The 2021 balances include intangible assets acquired as part of the Company’s INVISTA acquisition in January 2021. See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for additional details. Aggregate amortization expense for the years ended December 31, 2021, 2020 and 2019, was $7,292,000, $3,621,000, and $3,399,000, respectively. Estimated amortization expense for identifiable intangibles assets for each of the five succeeding fiscal years is as follows: (In thousands) For year ended 12/31/22 $ 6,918 For year ended 12/31/23 6,891 For year ended 12/31/24 6,609 For year ended 12/31/25 6,168 For year ended 12/31/26 5,845 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | 5. Inventories The composition of inventories was as follows: December 31 (In thousands) 2021 2020 Finished products $ 184,010 $ 148,878 Raw materials 121,528 69,905 Total inventories $ 305,538 $ 218,783 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | 6. Debt Debt comprised the following at December 31, 2021 and 2020: (In thousands) Maturity Dates December 31, 2021 December 31, 2020 Unsecured private placement notes 3.95% (net of unamortized debt issuance cost of $230 and $273 for 2021 and 2020, respectively) 2022-2027 $ 85,485 $ 99,727 3.86% (net of unamortized debt issuance cost of 181 and $236 for 2021 and 2020, respectively) 2022-2025 56,962 71,193 4.86% (net of unamortized debt issuance cost of $69 and $108 for 2021 and 2020 respectively) 2022-2023 18,502 27,749 2.30% (net of unamortized debt issuance cost of $100 and $0 for 2021 and 2020, respectively) 2024-2028 49,900 — 2.37% (net of unamortized debt issuance cost of $108 and $0 for 2021 and 2020, respectively) 2024-2028 49,892 — 2.73% (net of unamortized debt issuance cost of $22 and $0 for 2021 and 2020, respectively) 2025-2031 99,978 — Debt of foreign subsidiaries Unsecured bank debt, foreign currency 2022 2,861 — Total debt $ 363,580 $ 198,669 Less current maturities 40,718 37,857 Long-term debt $ 322,862 $ 160,812 The Company’s long-term debt financing is currently comprised of certain unsecured private placement notes issued to insurance companies, totaling $360,719,000 as of December 31, 2021. These notes are denominated in U.S. dollars and have fixed interest rates ranging from 2.30 percent to 4.86 percent. The notes had original maturities of seven to 12 years with mandatory amortization of principal beginning four, five and six years after issuance. The Company will be required to make amortization payments on the currently outstanding notes from 2022 to 2031. On June 10, 2021, the Company entered into the Prudential note purchase agreement pursuant to which it issued and sold $50,000,000 in aggregate principal amount of its Series 2021-A Notes. The Series 2021-A Notes bear interest at a fixed rate of 2.30%, with interest to be paid semi-annually and with equal annual principal payments beginning on June 10, 2024 and continuing through final maturity on June 10, 2028. On December 10, 2021, pursuant to the Prudential note purchase agreement, the Company issued and sold $ 50,000,000 in aggregate principal amount of its Series 2021-D Notes. The Series 2021-D Notes bear interest at a fixed rate of 2.73 %, with interest to be paid semi-annually and with equal annual principal payments beginning on December 10, 2025 and continuing through final maturity on December 10, 2031. On June 10, 2021, the Company entered into the NYL note purchase agreement pursuant to which, on September 23, 2021, the Company issued and sold $50,000,000 in aggregate principal amount of its Series 2021-B Notes. The Series 2021-B Notes bear interest at a fixed rate of 2.37% with interest to be paid semi-annually and with equal annual principal payments beginning on September 23, 2024 and continuing through final maturity on September 23, 2028. On December 10, 2021, pursuant to the NYL note purchase agreement, the Company issued and sold $50,000,000 in aggregate principal amount of its Series 2021-C Notes. The Series 2021-C Notes bear interest at a fixed rate of 2.73% with interest to be paid semi-annually and with equal annual principal payments beginning on December 10, 2025 and continuing through final maturity on December 10, 2031. The proceeds of the issuance of the Series 2021-A Notes, Series 2021-B Notes, Series 2021-C Notes and Series 2021-D Notes are being used for capital expenditures, to pay down existing debt and for other corporate purposes. The Prudential note purchase agreement and the NYL note purchase agreement require the maintenance of certain financial ratios, contain covenants that are substantially similar to the Company’s existing long-term debt and provide for customary events of default. The Company has a committed $350,000,000 multi-currency revolving credit agreement that expires on January 30, 2023. The Company maintains import letters of credit and standby letters of credit under its workers’ compensation insurance agreements and for other purposes, as needed from time to time, which are issued under the revolving credit agreement. As of December 31, 2021, the Company had outstanding letters of credit totaling $6,720,000 and no outstanding borrowings under the revolving credit agreement. There was $343,280,000 Loans under the credit agreement may be incurred, at the discretion of the Company, with terms to maturity of one month, three months or six months. The Company may choose from two interest rate options: (1) LIBOR applicable to each currency plus spreads ranging from 1.25 percent to 1.875 percent, depending on the Company’s net leverage ratio, or (2) the prime rate plus 0.25 percent to 0.875 percent, depending on the Company’s net leverage ratio. The credit agreement requires the Company to pay a commitment fee ranging from 0.15 percent to 0.325 percent per annum, which also depends on the Company’s net leverage ratio. The credit agreement requires the maintenance of certain financial ratios and compliance with certain other covenants that are similar to the Company’s existing debt agreements, including net worth, interest coverage and leverage financial covenants and limitations on restricted payments, indebtedness and liens. The Company’s foreign subsidiaries had $2,861,000 of unsecured debt at December 31, 2021. The Company’s loan agreements contain provisions, which, among others, require maintenance of certain financial ratios and place limitations on additional debt, investments and payment of dividends. Based on the loan agreement provisions that place limitations on dividend payments, unrestricted retained earnings (i.e., retained earnings available for dividend distribution) were $468,095,000 and $373,884,000 at December 31, 2021 and 2020, respectively. Debt at December 31, 2021, matures as follows: $40,718,000 in 2022; $37,857,000 in 2023; $48,572,000 in 2024; $62,858,000 in 2025; $48,572,000 in 2026 and $125,713,000 after 2026. Debt maturing in 2022 includes $37,857,000 of scheduled repayments under long-term debt agreements. . Net interest expense for the years ended December 31, 2021, 2020 and 2019, comprised the following: (In thousands) 2021 2020 2019 Interest expense $ 10,145 $ 9,859 $ 12,744 Interest income (1,255 ) (2,171 ) (5,717 ) 8,890 7,688 7,027 Capitalized interest (3,137 ) (2,279 ) (1,095 ) Interest expense, net $ 5,753 $ 5,409 $ 5,932 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | 7. Leases The Company’s operating leases are primarily comprised of real estate, railcar, storage tank, warehouse, auto, trailer and manufacturing/office equipment leases. Real estate and railcars comprise approximately 60 percent and 25 percent, respectively, of the Company’s consolidated right of use (ROU) asset balance. Except for real estate, typical lease terms range from one to ten years. Real estate lease terms typically range from one to fifty years . The Company’s four principal real estate leases consist of the office lease for the corporate headquarters in Northbrook, Illinois and land leases in the Philippines, Singapore and Lake Providence, Louisiana . As of December 31, 2021, the Company had railcar and storage tank leases valued at approximately $ 1,208,000 , that had not commenced. These leases will commence in the first quarter of 2022. As most of the Company’s leases do not provide an implicit borrowing rate, the Company uses its incremental borrowing rate (IBR) based on the information available at the commencement date in determining the present value of lease payments. IBRs were specifically determined for the United States, Philippines, Singapore, Brazil and China, typically for five-year increments. The U.S. IBR was used for all other countries as the leases in these countries are not material. The total value of leases that reside in the five countries identified above represents approximately 98 percent of the Company’s consolidated ROU asset balance. Lease cost is recognized in both the Cost of Sales and Operating Expenses sections of the Consolidated Statements of Income. (In thousands) Year ended December 31, 2021 Year ended December 31, 2020 Lease Cost Operating lease cost $ 15,630 $ 11,821 Short-term lease cost 6,570 4,922 Variable lease cost 892 1,135 Total lease cost $ 23,092 $ 17,878 Other Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow from operating leases $ 14,885 $ 11,843 Right-of-use assets obtained in exchange for operating lease liabilities 19,610 27,766 The following table outlines maturities of lease liabilities as of December 31, 2021: (In thousands) Undiscounted Cash Flows: 2022 $ 15,573 2023 12,679 2024 8,055 2025 5,946 2026 4,329 Subsequent to 2026 36,439 Total Undiscounted Cash Flows $ 83,021 Less: Imputed interest (12,447 ) Present value $ 70,574 Current operating lease liabilities (1) 13,906 Non-current operating lease liabilities 56,668 Total lease liabilities $ 70,574 (1) This item is included in Accrued liabilities line on the Company’s Consolidated Balance Sheet. Weighted-average remaining lease term-operating leases 10 Years Weighted-average discount rate-operating leases 2.9 % |
Other, Net
Other, Net | 12 Months Ended |
Dec. 31, 2021 | |
Other Income And Expenses [Abstract] | |
Other, Net | 8. Other, Net Other, net in the Consolidated Statements of Income included the following for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Foreign exchange gains $ 501 $ 1,367 $ 123 Investment income 2,886 1,681 968 Realized and unrealized gains on investments 2,289 3,143 3,955 Net periodic benefit cost 302 (874 ) (351 ) Other retirement obligation 559 (363 ) (694 ) Gain on sale of asset — — 570 Gain on dissolution of the China joint venture 972 — — Other, net $ 7,509 $ 4,954 $ 4,571 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 9. Income Taxes The provisions for taxes on income and the related income before taxes for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) 2021 2020 2019 Taxes on Income Federal Current $ 35,057 $ 21,889 $ 9,998 Deferred (25,653 ) (3,453 ) (2,879 ) State Current 9,320 4,305 2,248 Deferred (6,556 ) (562 ) (1,783 ) Foreign Current 23,870 21,723 15,568 Deferred (1,396 ) (491 ) (354 ) Total $ 34,642 $ 43,411 $ 22,798 Income before Taxes Domestic $ 77,696 $ 81,906 $ 63,399 Foreign 94,841 89,161 62,500 Total $ 172,537 $ 171,067 $ 125,899 The variations between the effective and statutory U.S. federal income tax rates are summarized as follows: (In thousands) 2021 Amount % 2020 Amount % 2019 Amount % Federal income tax provision at statutory tax rate $ 36,233 21.0 $ 35,924 21.0 $ 26,439 21.0 State income tax provision, less applicable federal tax benefit (1) 2,184 1.3 2,956 1.7 367 0.3 Foreign income taxed at different rates 2,356 1.4 1,964 1.1 623 0.5 U.S. taxation of foreign earnings (2) (134 ) (0.1 ) 4,134 2.4 2,349 1.9 Unrecognized tax benefits 1,775 1.0 1,454 0.8 2,954 2.3 Prior years return to provision true-up (3) (3,314 ) (1.9 ) (588 ) (0.3 ) (1,740 ) (1.4 ) Stock based compensation, excess tax benefits (1,287 ) (0.7 ) (1,816 ) (1.1 ) (1,633 ) (1.3 ) U.S. tax credits (4) (2,692 ) (1.6 ) (1,831 ) (1.1 ) (6,412 ) (5.1 ) Non-deductible expenses and other items, net (479 ) (0.3 ) 1,214 0.9 (149 ) (0.1 ) Total income tax provision $ 34,642 20.1 $ 43,411 25.4 $ 22,798 18.1 (1) For 2019, amount includes incremental state research credits for the tax years 2015 - 2019 that were identified as part of a research and development tax credit study. (2) Includes cost of global intangible low-taxed income (GILTI) in 2021, 2020 and 2019 plus other taxes paid or withheld on cash repatriated from foreign countries in 2021, 2020 and 2019. For 2021, includes the benefit of separate limitation loss foreign tax credit attributes, related to prior years, that were utilized in 2021. ( 3 ) For 2021, amount resulted from a higher federal research credit, higher foreign-derived intangible income (FDII), and lower GILTI related to the 2020 tax year. ( 4 ) For 2019, amount includes incremental federal research credits for 2015 - 2019 that were identified as part of a research and development tax credit study. Also includes a federal tax rate change due to the classification of certain 2016 and 2017 depreciable fixed assets as deductible research costs. At December 31, 2021 and 2020, the tax effects of significant temporary differences representing deferred tax assets and liabilities were as follows: (In thousands) 2021 2020 Deferred Tax Assets: Pensions $ 537 $ 4,935 Deferred revenue 3,444 3,073 Other accruals and reserves 13,331 14,960 Legal and environmental accruals 7,385 7,055 Deferred compensation 16,210 16,222 Bad debt and rebate reserves 2,706 2,821 Non-U.S. subsidiaries net operating loss carryforwards 1,494 2,495 Amortization of intangibles 5,092 — Inventories 3,108 — Tax credit carryforwards 2,829 4,713 $ 56,136 $ 56,274 Deferred Tax Liabilities: Depreciation $ (42,299 ) $ (62,986 ) Unrealized foreign exchange loss (2,908 ) (2,444 ) Amortization of intangibles — (842 ) Inventories — (2,504 ) Other (1,614 ) (386 ) $ (46,821 ) $ (69,162 ) Valuation Allowance $ (862 ) $ (896 ) Net Deferred Tax Assets (Liabilities) $ 8,453 $ (13,784 ) Reconciliation to Consolidated Balance Sheet: Non-current deferred tax assets (in other non-current assets) 20,944 6,961 Non-current deferred tax liabilities (12,491 ) (20,745 ) Net Deferred Tax Assets (Liabilities) $ 8,453 $ (13,784 ) Earnings generated by a foreign subsidiary are presumed to ultimately be transferred to the parent company. Therefore, the establishment of deferred taxes may be required with respect to the excess of the investment value for financial reporting over the tax basis of investments in those foreign subsidiaries (also referred to as book-over-tax outside basis differences). A company may overcome this presumption and forgo recording a deferred tax liability in its financial statements if it can assert that management has the intent and ability to indefinitely reinvest the earnings of its foreign subsidiaries. Pursuant to the 2017 U.S. Tax Cuts and Jobs Act (Tax Act) The Company evaluated its indefinite reinvestment assertion with regards to certain accumulated foreign earnings as of December 31, 2021. The Company does not consider the undistributed earnings of its Canadian subsidiary to be indefinitely reinvested in foreign operations to the extent of the subsidiary’s paid-up capital (PUC) as determined under Canadian tax law which is used to determine tax-free distributions for Canadian tax purposes. The Company also does not consider the undistributed earnings of one of its Dutch subsidiaries, and one of its Singapore subsidiaries to be indefinitely reinvested in foreign operations. A distribution from any of these subsidiaries should not result in any significant foreign taxes to the extent of the distribution limitations discussed above and therefore, the Company has not recognized a deferred tax liability for these undistributed earnings as of December 31, 2021. In 2021, the Company dissolved its China joint venture that prior to dissolution had not been considered indefinitely reinvested. The dissolution resulted in $142,000 of additional income tax expense in 2021. its remaining foreign subsidiaries to be indefinitely reinvested in foreign operations. At this time, the determination of deferred tax liabilities on this amount is not practicable . The Company had non-U.S. tax loss carryforwards of $3,351,000 (pretax) as of December 31, 2021, and $6,551,000 as of December 31, 2020, that are available for use by the Company between 2022 and 2029. The Company had tax credit carryforwards of $2,829,000 as of December 31, 2021, and $4,713,000 as of December 31, 2020, that are available for use by the Company between 2022 and 2034. The Company had non-U.S. capital loss carryforwards of $638,000 as of December 31, 2021, and $633,000 as of December 31, 2020. The Company’s capital loss carryforwards do not expire. As of December 31, 2021, and 2020, the Company had valuation allowances of $862,000 and $896,000, respectively, which were attributable to deferred tax assets in Canada, India, the Philippines and Singapore. The realization of deferred tax assets is dependent on the generation of sufficient taxable income in the appropriate tax jurisdictions. The Company believes that it is more likely than not that the related deferred tax assets will not be realized. As of December 31, 2021, 2020 and 2019, unrecognized tax benefits totaled $7,292,000, $4,735,000 and $3,273,000, respectively. The amount of unrecognized tax benefits that, if recognized, would favorably affect the Company’s effective income tax rate in any future periods, net of the federal benefit on state issues, was approximately $6,973,000, $4,545,000 and $3,105,000 at December 31, 2021, 2020 and 2019, respectively. The Company does not believe that the amount of unrecognized tax benefits related to its current uncertain tax positions will change significantly over the next 12 months. The Company recognizes accrued interest and penalties related to unrecognized tax benefits as income tax expense. In 2021, the Company recognized net interest and penalty expense of $260,000 compared to $31,000 of net interest and penalty expense in 2020 and $19,000 of net interest and penalty expense in 2019. At December 31, 2021 the liability for interest and penalties was $340,000 compared to $80,000 at December 31, 2020. The Company files income tax returns in the U.S. federal jurisdiction and various states and foreign jurisdictions. The Company is not subject to U.S. federal income tax examinations by tax authorities for years before 2016. Some foreign jurisdictions and various U.S. states jurisdictions may be subject to examination back to 2014. During 2021, the Internal Revenue Service started its audit of the 2016-2019 tax years. As of December 31, 2021, these audits were still open and the Company had not been notified of any significant proposed adjustments. Below are reconciliations of the January 1 and December 31 balances of unrecognized tax benefits for 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Unrecognized tax benefits, opening balance $ 4,735 $ 3,273 $ 168 Gross increases – tax positions in prior period 938 190 2,760 Gross increases – current period tax positions 1,662 1,288 355 Foreign currency translation (14 ) 15 7 Lapse of statute of limitations (29 ) (31 ) (17 ) Unrecognized tax benefits, ending balance $ 7,292 $ 4,735 $ 3,273 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Stockholders' Equity | 10. Stockholders’ Equity At December 31, 2021 and 2020, treasury stock consisted of 4,340,729 shares and 4,185,242 shares of common stock, respectively. During 2021, 135,103 shares of Company common stock were purchased in the open market. In addition, 26,875 shares were received to settle employees’ minimum statutory withholding taxes related to performance stock awards, exercised SARs and deferred compensation distributions. Also, 6,491 shares of treasury stock were distributed to participants under the Company’s deferred compensation plan. |
Stock-based Compensation
Stock-based Compensation | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-based Compensation | 11. Stock-based Compensation On December 31, 2021, the Company had outstanding stock options, stock awards and stock appreciation rights (SARs) awarded under its 2011 Incentive Compensation Plan (2011 Plan). Stock options, stock awards and SARs are currently granted to Company executives and other key employees. In addition, stock awards are currently granted to non-employee directors of the Company. The 2011 Plan authorized the award of 2,600,000 shares of the Company’s common stock for stock options, SARs and stock awards. At December 31, 2021, there were 528,479 shares available for grant under the 2011 Plan. Compensation expense recorded in the consolidated statements of income for all plans was $11,716,000, $10,080,000, and $8,872,000 for the years ended December 31, 2021, 2020 and 2019, respectively. The increase in stock-based compensation in 2021 versus 2020 was primarily due to higher compensation expenses related to performance awards. Management’s assessment that higher profitability performance targets for certain grants would be achieved led to the increase of compensation expenses for performance awards. The total income tax benefit recognized in the income statement for share-based compensation arrangements was $2,867,000, $2,390,000, and $1,501,000 Stock Options Under all plans, stock option awards are granted with an exercise price equal to the market price of the Company’s stock at the date of grant. The market price is defined and calculated as the average of the opening and closing prices for Company common stock on the grant date as reported in the New York Stock Exchange – Composite Transactions. Stock option awards granted prior to 2017 generally cliff vest after two years. Starting in 2017, stock options have a three-year one-third For the Years Ended December 31 2021 2020 2019 Expected dividend yield 1.30% 1.31% 1.32% Expected volatility 31.81% 26.00% 26.98% Expected term 7.3 years 7.3 years 7.3 years Risk-free interest rate 0.96% 1.47% 2.53% A summary of stock option activity for the year ended December 31, 2021 is presented below: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic ($000) Options Outstanding at January 1, 2021 392,550 $ 74.24 Granted 66,352 123.70 Exercised (20,435 ) 66.95 Forfeited (2,501 ) 107.86 Outstanding at December 31, 2021 435,966 81.92 6.18 $ 18,474 Vested or expected to vest at December 31, 2021 429,507 81.42 6.14 18,415 Exercisable at December 31, 2021 363,297 75.34 5.67 17,783 The weighted-average grant-date fair values of options awarded during the years ended December 31, 2021, 2020 and 2019, were $36.49, $25.90, and $26.49, respectively. The total intrinsic values of options exercised during the years ended December 31, 2021, 2020, and 2019 were $1,287,000, $2,534,000, and $2,518,000, respectively. As of December 31, 2021, the total unrecognized compensation cost for unvested stock options was $2,229,000. That cost is expected to be recognized over a weighted-average period of 1.7 years. Cash received from stock option exercises under the Company’s stock option plans for the years ended December 31, 2021, 2020, and 2019 was $1,369,000, $2,926,000, and $3,037,000, respectively. The actual tax benefit realized for the tax deductions from stock option exercises totaled $172,000, $339,000, and $348,000 for the years ended December 31, 2021, 2020 and 2019, respectively. Stock Awards In 2019, 2020, and 2021, the Company granted stock awards under the 2011 Plan. Most Company stock awards are granted in the form of performance awards. The performance stock awards vest only upon the Company’s achievement of certain Board of Directors approved levels of financial performance by the end of specified measurement periods. The number of Company shares of common stock ultimately distributed, if any, is contingent upon the Company’s actual financial performance attained by the end of the measurement period relative to the Board of Directors approved targets. The fair value of performance stock awards equals the grant-date market price of the Company’s common stock, discounted for the estimated amount of dividends that would not be received during the measurement period. Compensation expense is recorded each reporting period based on the probable number of awards that will ultimately vest given the projected level of financial performance. If at the end of the measurement period the performance objectives are not met, no compensation cost is recognized and any compensation expense recorded in prior periods is reversed. Periodically, the Company also grants stock awards that have no performance conditions associated with their vesting. These stock awards vest based on the service time established for the given grant. In addition, the Company grants stock awards that have no performance conditions associated with their vesting to non-employee directors of the Company. A summary of stock award activity for the year ended December 31, 2021, is presented below: Shares Weighted-Average Grant Date Fair Value Stock Awards Unvested at January 1, 2021 107,351 $ 94.66 Granted 40,127 119.76 Vested (48,613 ) 88.93 Forfeited/Modified due to change of assumptions 4,413 82.30 Unvested at December 31, 2021 103,278 61.30 The weighted-average grant-date fair values of stock awards granted during the years ended December 31, 2021, 2020 and 2019, were $119.76, $98.46, and $89.12, respectively. As of December 31, 2021, under the current Company assumption as to the number of stock award shares that will vest at the measurement periods ended December 31, 2022 and 2023, there was $4,971,000 of unrecognized compensation cost for unvested stock awards. That cost is expected to be recognized over a period of 1.6 years. SARs At December 31, 2021, the Company had both cash-settled and Company stock-settled SARs outstanding. SARs granted prior to 2015 are cash-settled, and SARs granted in 2015 and later are stock-settled. SARs granted prior to 2017 cliff vest after two years. Starting in 2017, SARs have a three-year one-third The following is a summary of SARs activity for the year ended December 31, 2021: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value ($000) SARs Outstanding at January 1, 2021 653,498 $ 80.64 Granted 143,104 123.68 Exercised (62,118 ) 65.97 Forfeited (7,497 ) 107.86 Outstanding at December 31, 2021 726,987 90.06 6.83 $ 24,885 The weighted-average grant-date fair values of SARs granted during the years 2021, 2020 and 2019 were $36.49, $25.88, and $26.43, respectively. The fair value for each SARs award was estimated using the Black-Scholes valuation model incorporating the same assumptions as noted for stock options. As of December 31, 2021, and 2020, the liability for cash-settled SARs recorded on the consolidated balance sheet (non-current liabilities) was $1,502,000 and $2,368,000, respectively. At December 31, 2021, there was $4,828,000 In general, it is the Company’s policy to issue new shares of its common stock upon the exercise of stock options and stock-settled SARs or the vesting of stock awards. |
Deferred Compensation
Deferred Compensation | 12 Months Ended |
Dec. 31, 2021 | |
Compensation Related Costs [Abstract] | |
Deferred Compensation | 12. Deferred Compensation The Company sponsors deferred compensation plans that allow management employees to defer receipt of their annual bonuses and outside directors to defer receipt of their fees until retirement, departure from the Company or as otherwise elected. Compensation expense and the related deferred compensation obligation are recorded when the underlying compensation is earned. Over time, the deferred obligation may increase or decrease based on the performance results of investment options chosen by the plan participants. The investment options include Company common stock and a limited selection of mutual funds. The Company maintains sufficient shares of treasury stock to cover the equivalent number of shares that result from participants elections of the Company common stock investment option. As a result, the Company periodically purchases its common shares in the open market or in private transactions. The Company purchases shares of the applicable mutual funds to fund the portion of its deferred compensation liabilities tied to such investments. Some plan distributions may be made in cash or Company common stock at the option of the participant. Other plan distributions can only be made in Company common stock. For deferred compensation obligations that may be settled in cash or Company common stock at the option of the participant, the Company must record appreciation in the market values of the investment choices made by participants as additional compensation expense. Conversely, declines in the market values of the investment choices reduce compensation expense. Increases and decreases of compensation expense that result from fluctuations in the underlying investments are recorded as part of operating expenses in the consolidated statements of income. The obligations that must be settled only in Company common stock are treated as equity instruments; therefore, fluctuations in the market price of the underlying Company stock do not affect earnings. The additional compensation expense or income resulting from the changes in the market values and earnings of the selected investment options was $6,895,000 expense in 2021, $9,988,000 expense in 2020 and $15,140,000 expense in 2019. The main factor in the decrease of the 2021 deferred compensation expense versus 2020 deferred compensation expense was a $4.97 per share decrease in the market price of the Company’s common stock in 2021 versus a $16.88 per share increase in the price of stock in 2020. The Company’s deferred compensation liability was $61,219,000 |
Postretirement Benefit Plans
Postretirement Benefit Plans | 12 Months Ended |
Dec. 31, 2021 | |
Compensation And Retirement Disclosure [Abstract] | |
Postretirement Benefit Plans | 13. Postretirement Benefit Plans Defined Benefit Plans The Company sponsors various funded qualified and unfunded non-qualified defined benefit pension plans, the most significant of which cover employees in the U.S. and U.K. locations. The various U.S. defined benefit pension plans were amended during the years 2005-2008 to freeze the plans by stopping the accrual of service benefits. The U.K. defined benefit pension plan was frozen in 2006. Benefits earned through the freeze dates are available to participants when they retire, in accordance with the terms of the plans. The Company established defined contribution plans to replace the frozen defined benefit pension plans. Obligations and Funded Status at December 31 (In thousands) United States United Kingdom 2021 2020 2021 2020 Change in benefit obligation Benefit obligation at beginning of year $ 187,371 $ 176,499 $ 25,526 $ 21,850 Interest cost 4,671 5,668 357 445 Actuarial loss (income) (8,682 ) 13,327 (1,171 ) 3,032 Benefits paid (8,497 ) (8,123 ) (1,198 ) (657 ) Foreign exchange impact — — (238 ) 856 Benefit obligation at end of year $ 174,863 $ 187,371 $ 23,276 $ 25,526 (In thousands) United States United Kingdom 2021 2020 2021 2020 Change in plan assets Fair value of plan assets at beginning of year $ 175,336 $ 160,423 $ 28,504 $ 24,357 Actual return on plan assets 11,459 22,738 (78 ) 3,320 Employer contributions 276 298 526 526 Benefits paid (8,497 ) (8,123 ) (1,198 ) (657 ) Foreign exchange impact — — (290 ) 958 Fair value of plan assets at end of year $ 178,574 $ 175,336 $ 27,464 $ 28,504 Over (Under) funded status at end of year $ 3,711 $ (12,035 ) $ 4,188 $ 2,978 The amounts recognized in the consolidated balance sheets at December 31 consisted of: (In thousands) United States United Kingdom 2021 2020 2021 2020 Non-current asset $ 7,166 $ 3,470 $ 4,188 $ 2,978 Current liability (290 ) (288 ) — — Non-current liability (3,165 ) (15,217 ) — — Net amount recognized $ 3,711 $ (12,035 ) $ 4,188 $ 2,978 The amounts recognized in accumulated other comprehensive income at December 31 consisted of: (In thousands) United States United Kingdom 2021 2020 2021 2020 Net actuarial loss $ 19,508 $ 33,745 $ 3,767 $ 4,653 Below is information for pension plans with projected benefit obligations in excess of plan assets at December 31: (In thousands) United States United Kingdom 2021 2020 2021 2020 Projected benefit obligation $ — $ 146,848 $ — $ — Accumulated benefit obligation — 146,848 — — Fair value of plan assets — 135,070 — — Components of Net Periodic Benefit Cost and Other Amounts Recognized in Other Comprehensive Income Net periodic benefit costs for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) United States United Kingdom 2021 2020 2019 2021 2020 2019 Interest cost $ 4,671 $ 5,668 $ 6,616 $ 357 $ 445 $ 554 Expected return on plan assets (10,348 ) (9,747 ) (9,450 ) (320 ) (548 ) (787 ) Amortization of net actuarial loss 4,444 4,262 2,490 129 79 244 Net periodic benefit cost $ (1,233 ) $ 183 $ (344 ) $ 166 $ (24 ) $ 11 Other changes in plan assets and benefit obligations recognized in other comprehensive income for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) United States United Kingdom 2021 2020 2019 2021 2020 2019 Net actuarial (gain) loss $ (9,793 ) $ 336 $ (5,174 ) $ (757 ) $ 272 $ (1,144 ) Amortization of net actuarial loss (4,444 ) (4,262 ) (2,490 ) (129 ) (79 ) (244 ) Total recognized in other comprehensive income $ (14,237 ) $ (3,926 ) $ (7,664 ) $ (886 ) $ 193 $ (1,388 ) Total recognized in net periodic benefit cost and other comprehensive income $ (15,470 ) $ (3,743 ) $ (8,008 ) $ (720 ) $ 169 $ (1,377 ) Estimated Future Benefit Payments (In thousands) United States United Kingdom 2022 $ 8,949 $ 551 2023 9,283 594 2024 9,601 624 2025 9,829 652 2026 9,982 697 2027-2031 50,512 4,044 Assumptions The weighted-average assumptions used to determine benefit obligations at December 31 were as follows: United States United Kingdom 2021 2020 2021 2020 Discount rate 2.90 % 2.60 % 1.80 % 1.40 % The weighted-average assumptions used to determine net periodic benefit costs for years ended December 31 were as follows: United States United Kingdom 2021 2020 2019 2021 2020 2019 Discount rate 2.60 % 3.30 % 4.30 % 1.40 % 2.10 % 2.80 % Expected long-term return on plan assets 6.75 % 6.75 % 6.75 % 1.13 % 2.30 % 3.82 % In addition to the above assumptions, the Company uses a market-related value of assets approach to calculate the expected return on plan assets component of U.S. net periodic benefit cost. The market-related value equals the fair value of plan assets with five-year smoothing of asset gains or losses. Asset gains are subtracted or losses added in the following way: 80 percent of the prior year’s gain or loss; 60 percent of the second preceding year’s gain or loss; 40 percent of the third preceding year’s gain or loss; and 20 percent of the fourth preceding year’s gain or loss. Gains or losses for the year are calculated as the difference between the expected fair value of assets and the actual fair value of assets. Investment Strategies and Policies U.S. Plans Plan assets are predominantly invested using a combination of active and passive investment strategies. An investment management firm hires and monitors underlying investment management firms for each asset category. Equity managers within each category cover a range of investment styles and approaches, including both active and passive, and are combined in a way that controls for capitalization, style biases, and country exposure versus benchmark indexes. While active equity managers focus primarily on stock selection to improve returns, fixed income managers seek to reduce the volatility of the plan’s funded status by matching the duration with the plan’s liability while seeking to improve returns through security selection, sector allocation and yield curve management. Real estate exposure is now categorized within mid cap equity. Risk is diversified among multiple asset categories, managers, styles, and securities. The investment management firm recommends asset allocations based on the time horizon available for investment, funded status, the nature of the plan cash flows and liabilities and other factors. The asset allocation targets are approved by the Company’s Plan Committee. Allowable investment categories include: Equities: Common stocks of large, medium, and small companies (company stock), including both U.S. and non-U.S. based companies. The long-term target allocation for equities, excluding Company stock, is approximately 25 Fixed Income (Debt): Bonds or notes issued or guaranteed by the U.S. government, and to a lesser extent, by non-U.S. governments, or by their agencies or branches, mortgage-backed securities, including collateralized mortgage obligations, corporate bonds, municipal bonds and dollar-denominated debt securities issued in the U.S. by non-U.S. banks and corporations. A small percentage of the fixed income assets may be in debt securities that are below investment grade. The target allocation for fixed income is 63 percent. The fixed income portfolio has a duration similar to the plan’s liability stream and is designated to perform consistent with the movement of the plan’s liabilities. Employer Securities: The retirement plans also hold shares of the Company’s common stock, which are purchased or sold by the trustee from time to time, as directed by the Plan Committee. At the direction of the Plan Committee, the plans sold 31,362 In addition to these primary investment types, excess cash may be invested in futures in order to efficiently achieve more fully invested portfolio positions. Otherwise, a small number of investment managers may make limited use of derivatives, including futures contracts, options on futures and interest rate swaps in place of direct investment in securities to efficiently achieve equivalent market positions. Derivatives are not used to leverage portfolios. The target allocation for cash is two percent of plan assets. U.K. Plan The objective of the U.K. defined benefit pension fund investment strategy is to maximize the long-term rate of return on plan assets within a medium level of risk in order to minimize the cost of providing pension benefits. To that end, the plan assets are invested in an actively managed pooled fund of funds that diversifies its holdings among equity securities, debt securities, property and cash. Essentially, the plan is to hold equity instruments to back the benefits of participants yet to retire and bonds and cash to back current pensioners. Although there are no formal target allocations for the plan assets, the overall strategy is to achieve a mix of investments for long-term growth and near-term benefit payments with a wide diversification of asset types. Equity securities are selected from U.K., European, U.S. and emerging market companies. Bonds include U.K. and other countries’ government notes and corporate debt of U.K and non-U.K. companies. There are no specific prohibited investments, but the current managed fund will not allocate assets to derivatives or other financial hedging instruments. Plan trustees meet regularly with the fund manager to assess the fund’s performance and to reassess investment strategy. At December 31, 2021, the pension asset allocation was 13 percent equities, 74 percent fixed income, four percent insurance contracts, and nine percent cash. Included in plan assets are insurance contracts purchased by the plan trustees to provide pension payments for specific retirees. In past years, at the time a plan participant retired, the plan trustee would periodically purchase insurance contracts to cover the future payments due the retiree. This practice is no longer followed. The contracts are revocable, and the related plan obligations are not considered settled. Therefore, the plan assets and obligations include the insured amounts. Plan Assets U.S. Plans The Company’s asset allocations for its U.S. pension plans at December 31, 2021 and 2020, by asset category, were as follows: December 31, 2021 (In thousands) Level 1 Level 2 Level 3 Total Cash and Cash Equivalents $ 10,918 $ — $ — $ 10,918 Equity Securities U.S. Equities 25,083 — — 25,083 Non-U.S. Equities 12,544 — — 12,544 Employer Securities 25,204 — — 25,204 Total Equities 62,831 — — 62,831 Fixed Income Securities U.S. Corporate Bonds — 69,073 — 69,073 U.S. Government and Agency Bonds 20,072 2,845 — 22,917 Other Bonds — 12,835 — 12,835 Total Fixed Income 20,072 84,753 — 104,825 Total $ 93,821 $ 84,753 $ — $ 178,574 December 31, 2020 (In thousands) Level 1 Level 2 Level 3 Total Cash and Cash Equivalents $ 7,056 $ — $ — $ 7,056 Equity Securities U.S. Equities 54,805 — — 54,805 Non-U.S. Equities 23,155 — — 23,155 Employer Securities 27,938 — — 27,938 Total Equities 105,898 — — 105,898 Fixed Income Securities U.S. Corporate Bonds — 41,489 — 41,489 U.S. Government and Agency Bonds 11,152 1,570 — 12,722 Other Bonds — 8,171 — 8,171 Total Fixed Income 11,152 51,230 — 62,382 Total $ 124,106 $ 51,230 $ — $ 175,336 Plan Asset Valuation Methodology Following is a description of the valuation methodologies used for plan assets measured at fair value. Individual equity securities, including employer securities, are valued by Standard & Poor’s Securities Evaluations as determined by quoted market prices on the New York Stock Exchange or other active markets. Both market pricing and future cash flow analysis may be used in the pricing process as follows: Level 1 – Equities are valued according to the exchange-quoted market prices of the underlying investments. Level 1 fixed income securities are U.S. government securities and are valued according to quoted prices from active markets. Level 2 – Fixed income investments without equivalent trading exchanges are valued primarily through a technique known as “future cash flow approach” which is based on what bondholders can reasonably expect to receive based upon an issuer’s current financial condition. Pricing analysts prepare cash-flow forecasts and utilize one or two pricing models to arrive at an evaluated price. Evaluated bid modeling includes factors such as the interest rate on the coupon, maturity, rating, cash flow projections and other factors. Level 3 – no investments held during 2021 or 2020 were categorized as Level 3. U.K. Plan The Company’s asset allocations for its U.K. pension plans at December 31, 2021 and 2020, by asset category, were as follows: December 31, 2021 (In thousands) Level 1 Level 2 Level 3 Total Cash — $ 2,414 $ — $ 2,414 Equity Securities Pooled Pension Funds — 3,715 — 3,715 Fixed Income Pooled Pension Funds — 20,332 — 20,332 Insurance Contracts — — 1,003 1,003 Total $ — $ 26,461 $ 1,003 $ 27,464 December 31, 2020 (In thousands) Level 1 Level 2 Level 3 Total Cash $ — $ 2,576 $ — $ 2,576 Equity Securities Pooled Pension Funds — 3,603 — 3,603 Fixed Income Pooled Pension Funds — 21,166 — 21,166 Insurance Contracts — — 1,159 1,159 Total $ — $ 27,345 $ 1,159 $ 28,504 Units of each of the pooled funds are valued by the trustee based on quoted market prices of the underlying investments (the underlying assets are either exchange traded or have readily available markets). Fair value changes within asset categories for which fair value measurements use significant unobservable inputs (Level 3) were as follows during 2021 and 2020: (In thousands) Insurance Fair value, December 31, 2019 $ 1,205 Sale proceeds (benefit payments) (119 ) Change in unrealized gain 41 Foreign exchange impact 32 Fair value, December 31, 2020 $ 1,159 Sale proceeds (benefit payments) (131 ) Change in unrealized gain (15 ) Foreign exchange impact (10 ) Fair value, December 31, 2021 $ 1,003 Long-term Rate of Return for Plan Assets U.S. Plans The overall expected long-term rate of return on assets of 6.75 percent that was used to develop the 2021 pension expense is based on plan asset allocation, capital markets forecasts and expected benefits of active investment management. For fixed income, the expected return is 4.13 percent. This assumption includes the yield on the five-year zero-coupon U.S. Treasury bond as the base rate along with historical data from the U.S. Treasury yield curve. For equities, the expected return is 7.81 percent for U.S. and international equities. This return is based on a blended average of three different statistical models that each incorporates multiple factors including, for example, inflation, Gross Domestic Product and the Fed Funds Target Rate. The overall investment return forecast reflects the target allocations and the capital markets forecasts for each asset category, plus a premium for active asset management expected over the long-term. U.K. Plan The overall expected long-term return on plan assets is a weighted-average of the expected long-term returns for equity securities, debt securities and other assets. The redemption yield at the measurement date on U.K. government fixed interest bonds and the yield on corporate bonds are used as proxies for the return on the debt portfolio. The returns for equities and property are estimated as a premium of 3.7 percent added to the risk-free rate. Cash is assumed to have a long-term return of percent. Other Defined Benefit Plans The Company maintains funded and unfunded defined benefit plans in other foreign locations. The liabilities and expenses associated with these plans, individually and collectively, are not material to the Company’s consolidated financial statements. Discount rates for these plans are determined based on local interest rates and plan participant data. Cash Flows As a result of pension funding relief included in the Highway and Transportation Funding Act of 2014, the Company does not expect to make any 2022 contributions to the funded U.S. qualified defined benefit plans. The Company expects to contribute $290,000 Defined Contribution Plans The Company sponsors retirement savings defined contribution retirement plans that cover eligible U.S. and U.K. employees. The Company’s U.S. retirement plans include two qualified plans, one of which is a 401(k) plan and one of which is an employee stock ownership plan, and one non-qualified supplemental executive plan. Prior to 2018, the Company made profit sharing contributions into the qualified retirement plans for its U.S. employees and starting in 2018 made profit sharing contributions into the qualified retirement plans for U.S. employees and for certain non-U.S. employees. Profit sharing contributions were determined using a formula applied to Company earnings. In 2019, 2020 and 2021, profit sharing contributions for U.S. employees were made to the employee stock ownership plan. Profit sharing contributions are allocated to participant accounts on the basis of participant base earnings Defined contribution expenses for the Company’s qualified defined contribution plans and statutory profit sharing contributions were as follows: (In thousands) 2021 2020 2019 Retirement contributions $ 8,134 $ 8,035 $ 7,328 Profit sharing contributions 5,081 6,107 4,702 Total $ 13,215 $ 14,142 $ 12,030 The Company has a rabbi trust to fund the obligations of its non-qualified supplemental executive defined contribution plans (supplemental plans). The trust comprises various mutual fund investments selected by the participants of the supplemental plans. In accordance with the accounting guidance for rabbi trust arrangements, the assets of the trust and the obligations of the supplemental plans are reported on the Company’s consolidated balance sheet. The Company elected the fair value option for the mutual fund investment assets so that offsetting changes in the mutual fund values and defined contribution plan obligations would be recorded in earnings in the same period. Therefore, the mutual funds are reported at fair value with any subsequent changes in fair value recorded in the income statement. The supplemental plan liabilities increase (i.e., supplemental plan expense is recognized) when the value of the trust assets appreciate and decrease (i.e., supplemental plan income is recognized) when the value of the trust assets declines. At December 31, 2021 and 2020, the trust asset balances were $2,146,000 and $1,778,000, respectively, and the supplemental plan liability balances were $2,221,000 and $1,853,000, respectively. The differences between the trust asset balances and the supplemental liability balances were due to estimated liabilities that were not funded until after the end of the year when the actual liabilities were determined. Certain foreign locations are required by law to make profit sharing contributions to employees based on statutory formulas. For the years ended December 31, 2021, 2020 and 2019, the Company recognized $219,000, $1,679,000 and $935,000, respectively, of statutory profit sharing expense that is included in the table above. In all Company locations, approximately 77 percent of union and non-union employees are eligible for either the Company’s sponsored or statutory profit sharing contributions and 100 percent of U.S. based union and non-union employees are eligible for the Company’s sponsored profit sharing contribution. |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Payables And Accruals [Abstract] | |
Accrued Liabilities | 14. Accrued Liabilities The composition of accrued liabilities was as follows: December 31 (In thousands) 2021 2020 Accrued payroll and benefits $ 70,983 $ 79,070 Accrued customer rebates 21,030 23,628 Other accrued liabilities 44,383 39,249 Total accrued liabilities $ 136,396 $ 141,947 |
Other Non-Current Liabilities
Other Non-Current Liabilities | 12 Months Ended |
Dec. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Other Non-Current Liabilities | 15. Other Non-Current Liabilities The composition of other non-current liabilities was as follows: December 31 (In thousands) 2021 2020 Deferred revenue $ 9,979 $ 11,276 Environmental and legal matters 17,663 17,921 Deferred compensation liability 50,122 51,508 Pension liability 4,552 17,229 Other non-current liabilities 16,606 16,359 Total other non-current liabilities $ 98,922 $ 114,293 |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 16. Contingencies There are a variety of legal proceedings pending or threatened against the Company that occur in the normal course of the Company’s business, the majority of which relate to environmental assessment, protection and remediation matters. Some of these proceedings may result in fines, penalties, judgments or costs being assessed against the Company at some future time. The Company’s operations are subject to extensive local, state and federal regulations, including the U.S. Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA) and the Superfund amendments of 1986 (Superfund) as well as comparable regulations applicable to the Company’s foreign locations. Over the years, the Company has received requests for information related to or has been named by government authorities as a potentially responsible party (PRP) at a number of sites where cleanup costs have been or may be incurred by the Company under CERCLA and similar state statutes. In addition, damages are being claimed against the Company in general liability actions for alleged personal injury or property damage in the case of some disposal and plant sites. The Company believes that it has made adequate provisions for the costs it is likely to incur with respect to these sites and claims. In determining the appropriate level of environmental reserves, the Company considers several factors such as information obtained from investigatory studies; changes in the scope of remediation; the interpretation, application and enforcement of laws and regulations; changes in the costs of remediation programs; the development of alternative cleanup technologies and methods; and the relative level of the Company’s involvement at various sites for which the Company is allegedly associated. The level of annual expenditures for remedial, monitoring and investigatory activities will change in the future as major components of planned remediation activities are completed and the scope, timing and costs of existing activities are changed. As of December 31, 2021, the Company estimated a range of possible environmental losses and legal losses of $23,127,000 For certain sites, the Company has responded to information requests made by federal, state or local government agencies but has received no response confirming or denying the Company’s stated positions. As such, estimates of the total costs, or range of possible costs, of remediation, if any, or the Company’s share of such costs, if any, cannot be determined with respect to these sites. Consequently, the Company is unable to predict the effect thereof on the Company’s financial position, cash flows and results of operations. Based upon the Company’s present knowledge with respect to its involvement at these sites, the possibility of other viable entities’ responsibilities for cleanup, and the extended period over which any costs would be incurred, management believes that the Company has no material liability at these sites and that these matters, individually and in the aggregate, will not have a material effect on the Company’s financial position. However, in the event of one or more adverse determinations with respect to such sites in any annual or interim period, the effect on the Company’s cash flows and results of operations for those periods could be material. Following are summaries of the Company’s major contingencies at December 31, 2021: Maywood, New Jersey Site The Company’s property in Maywood, New Jersey and property formerly owned by the Company adjacent to its current site and other nearby properties (collectively, the Maywood site) were listed on the National Priorities List in September 1993 pursuant to the provisions of CERCLA because of alleged chemical contamination. Pursuant to (i) a September 21, 1987 Administrative Order on Consent entered into between the U.S. Environmental Protection Agency (USEPA) and the Company for property formerly owned by the Company at the Maywood site and (ii) the issuance of an order on November 12, 2004 by the USEPA to the Company for property currently owned by the Company at the Maywood site, the Company has completed various Remedial Investigation Feasibility Studies (RI/FS), and on September 24, 2014, USEPA issued its Record of Decision (ROD) for chemically-contaminated soil at the Maywood site, which requires the Company to perform remedial cleanup of the soil and buried waste. The USEPA has not yet issued a ROD for chemically-contaminated groundwater at the Maywood site. Based on the most current information available, the Company believes its recorded liability is reasonable having considered the range of estimated costs of remediation for the Maywood site. The estimate of the cost of remediation for the Maywood site could change as the Company continues to hold discussions with the USEPA, as the design of the remedial action is finalized, if a groundwater ROD is issued or if other PRPs are identified. The ultimate amount for which the Company is liable could differ materially from the Company’s current recorded liability. In April 2015, the Company entered into an Administrative Settlement Agreement and Administrative Order on Consent with USEPA which requires payment of certain costs and performance of certain investigative and design work for chemically-contaminated soil. In addition, under the terms of a settlement agreement reached on November 12, 2004, the U.S. Department of Justice and the Company agreed to fulfill the terms of a Cooperative Agreement reached in 1985. Under the Cooperative Agreement, the United States is responsible for the removal of radioactive waste at the Maywood site, including past and future remediation costs at the site. As such, the Company recorded no liability related to this settlement agreement. D’Imperio Property Site During the mid-1970’s, Jerome Lightman and the Lightman Drum Company disposed of hazardous substances generated by the Company at several sites in New Jersey, including the D’Imperio site. The Company was named as a PRP in an October 2, 1998 lawsuit in the U.S. District Court for the District of New Jersey that involved the D’Imperio Site. In 2021, the PRPs were provided with updated remediation cost estimates by the PRP group technical consultant and project manager which the Company considered in its determination of its range of estimated possible losses and liability balance. The changes in range of possible losses and liability balance were immaterial. Remediation work continues at the D’Imperio site. Based on current information, the Company believes that its recorded liability is reasonable having considered the range of estimated cost of remediation for the D’Imperio site. Depending on the ultimate cost of the remediation at this site, the amount for which the Company is liable could differ materially from the current recorded liability. Wilmington Site The Company is currently contractually obligated to contribute to the environmental response costs associated with the Company’s formerly-owned site in Wilmington, Massachusetts (the Wilmington site). Remediation at this site is being managed by its current owner to whom the Company sold the property in 1980. Under the Company’s October 1, 1993 agreement with the current owner of the Wilmington site, once total site remediation costs exceed certain levels, the Company is obligated to contribute up to five percent of future response costs associated with this site with no limitation on the ultimate amount of contributions. The Company has paid the current owner $3,243,000 for the Company’s portion of environmental response costs at the Wilmington site through December 31, 2021. The Company has recorded a liability for its portion of the estimated remediation costs for the site. Depending on the ultimate cost of the remediation at this site, the amount for which the Company is liable could differ materially from the current recorded liability. The Company and other prior owners of the Wilmington site also entered into an agreement in April 2004 waiving certain statute of limitations defenses for claims that may be filed by the Town of Wilmington, Massachusetts, in connection with this site. While the Company has denied any liability for any such claims, the Company agreed to this waiver while the parties continue to discuss the resolution of any potential claim which may be filed. Other U.S. Sites Through the regular environmental monitoring of its plant production sites, the Company discovered levels of chemical contamination that were above thresholds allowed by law at its Millsdale, Illinois and Fieldsboro, New Jersey plants. The Company voluntarily reported its results to the applicable state environmental agencies. As a result, the Company is required to perform self-remediation of the affected areas. Based on current information, the Company believes that its recorded liability for the remediation of the affected areas is appropriate based on an estimate of expected costs. However, actual costs could differ materially from current recorded liabilities. |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Reporting | 17. Segment Reporting The Company has three reportable segments: Surfactants, Polymers and Specialty Products. Each segment provides distinct products and requires separate management due to unique markets, technologies and production processes. Surfactants are used in a variety of consumer and industrial cleaning and disinfection products as well as in agricultural products, lubricating ingredients, oil field chemicals and other specialized applications. Polymers are used primarily in plastics, building materials, refrigeration systems and CASE applications. Specialty Products are used in food, flavoring, nutritional supplement and pharmaceutical applications. The Company evaluates the performance of its segments and allocates resources based on operating income before interest expense, other income/expense items and income tax provision. The accounting policies of the reportable segments are the same as those described in the summary of significant accounting policies. The following is segment data for the three years ended December 31, 2021, 2020 and 2019: (In thousands) Surfactants Polymers Specialty Products Segment Totals 2021 Net sales $ 1,562,795 $ 713,440 $ 69,731 $ 2,345,966 Operating income 165,999 73,591 14,178 253,768 Assets 1,245,207 556,799 78,100 1,880,106 Capital expenditures 154,953 29,077 4,976 189,006 Depreciation and amortization expenses 51,375 30,598 5,836 87,809 2020 Net sales $ 1,351,686 $ 452,277 $ 65,787 $ 1,869,750 Operating income 169,101 68,214 13,966 251,281 Assets 1,018,555 361,219 92,964 1,472,738 Capital expenditures 88,484 26,719 5,960 121,163 Depreciation and amortization expenses 49,429 22,873 5,686 77,988 2019 Net sales $ 1,272,723 $ 512,347 $ 73,675 $ 1,858,745 Operating income 122,780 69,567 16,415 208,762 Assets 907,032 338,179 86,718 1,331,929 Capital expenditures 69,725 29,188 4,441 103,354 Depreciation and amortization expenses 48,422 22,151 5,483 76,056 Below are reconciliations of segment data to the consolidated financial statements: (In thousands) 2021 2020 2019 Operating income - segment totals $ 253,768 $ 251,281 $ 208,762 Business restructuring and asset disposition (1) (3,353 ) (1,212 ) (2,744 ) Unallocated corporate expenses (2) (79,634 ) (78,547 ) (78,758 ) Total operating income 170,781 171,522 127,260 Interest expense, net (5,753 ) (5,409 ) (5,932 ) Other, net 7,509 4,954 4,571 Consolidated income before income taxes $ 172,537 $ 171,067 $ 125,899 Assets - segment totals $ 1,880,106 $ 1,472,738 $ 1,331,929 Unallocated corporate assets 185,506 279,598 247,438 Consolidated assets $ 2,065,612 $ 1,752,336 $ 1,579,367 Capital expenditures - segment totals $ 189,006 $ 121,163 $ 103,354 Unallocated corporate expenditures 5,476 4,629 2,218 Consolidated capital expenditures $ 194,482 $ 125,792 $ 105,572 Depreciation and amortization expenses – segment totals $ 87,809 $ 77,988 $ 76,056 Unallocated corporate depreciation expenses 3,067 3,872 2,645 Consolidated depreciation and amortization expenses $ 90,876 $ 81,860 $ 78,701 (1) See Note 22, Business Restructuring (2) Unallocated corporate expenses are primarily comprised of corporate administrative expenses (e.g., corporate finance, legal, human resources, information systems, deferred compensation and environmental remediation) that are not included in segment operating income and not used to evaluate segment performance . Below is certain Company-wide geographic data for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Net sales (1) United States $ 1,297,650 $ 1,117,695 $ 1,115,993 France 179,746 141,516 145,933 Poland 198,883 147,289 156,391 United Kingdom 208,780 93,115 96,842 Brazil 136,799 105,639 102,590 Mexico 127,944 100,763 83,160 All other countries 196,164 163,733 157,836 Total $ 2,345,966 $ 1,869,750 $ 1,858,745 Long-lived assets (2) United States $ 668,362 $ 499,260 $ 462,199 Netherlands 85,931 — — Germany 41,438 39,759 30,084 Singapore 23,507 25,815 28,741 Brazil 35,294 35,786 46,740 China 30,991 27,300 27,201 United Kingdom 38,634 24,335 21,551 Mexico 45,384 39,482 21,959 All other countries 39,034 42,970 42,280 Total $ 1,008,575 $ 734,707 $ 680,755 (1) Net sales are attributed to countries based on the location of the Company legal entity making the sale. (2) Includes net property, plant and equipment, goodwill and other intangible assets. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 18. Earnings Per Share Below is the computation of basic and diluted earnings per share for the years ended December 31, 2021, 2020 and 2019: (In thousands, except per share amounts) 2021 2020 2019 Computation of Basic Earnings per Share Net income attributable to Stepan Company $ 137,804 $ 126,770 $ 103,129 Weighted-average number of shares outstanding 22,922 22,949 23,054 Basic earnings per share $ 6.01 $ 5.52 $ 4.47 Computation of Diluted Earnings per Share Net income attributable to Stepan Company $ 137,804 $ 126,770 $ 103,129 Weighted-average number of shares outstanding 22,922 22,949 23,054 Add weighted-average net shares from assumed exercise of options (under treasury share method) (1) 138 112 97 Add weighted-average net shares related to unvested stock awards (under treasury share method) 1 1 2 Add weighted-average net shares from assumed exercise of SARs (under treasury share method) 166 145 125 Add weighted-average contingently issuable net shares related to performance stock awards (under treasury share method) 60 49 38 Weighted-average shares applicable to diluted earnings 23,287 23,256 23,316 Diluted earnings per share $ 5.92 $ 5.45 $ 4.42 (1) Options/SARs to purchase 103,182, 127,434 and 107,125 shares of common stock were excluded from the computations of diluted earnings per share for the years ended December 31, 2021, 2020 and 2019, respectively. The options’/SARs’ exercise prices were greater than the average market price for the common stock and inclusion of the instruments would have had an antidilutive effect on the computations of the earnings per share. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | 19. Accumulated Other Comprehensive Income (Loss) Below is the change in the Company’s accumulated other comprehensive income (loss) (AOCI) balance by component (net of income taxes) for the years ended December 31, 2021, 2020 and 2019: (In thousands) Foreign Currency Translation Adjustments Defined Benefit Pension Plan Adjustments Cash Flow Hedge Adjustments Total Balance at December 31, 2018 $ (108,481 ) $ (33,083 ) $ 81 $ (141,483 ) Other comprehensive income before reclassifications 4,444 4,112 — 8,556 Amounts reclassified from AOCI — 2,091 (9 ) 2,082 Remeasurement adjustment related to the Tax Act (1) — (5,325 ) 0 (5,325 ) Net current period other comprehensive income 4,444 878 (9 ) 5,313 Balance at December 31, 2019 $ (104,037 ) $ (32,205 ) $ 72 $ (136,170 ) Other comprehensive income before reclassifications (3,046 ) (996 ) — (4,042 ) Amounts reclassified from AOCI — 3,340 (9 ) 3,331 Net current period other comprehensive income (3,046 ) 2,344 (9 ) (711 ) Balance at December 31, 2020 $ (107,083 ) $ (29,861 ) $ 63 $ (136,881 ) Other comprehensive income before reclassifications (28,185 ) 8,188 — (19,997 ) Amounts reclassified from AOCI — 3,651 (9 ) 3,642 Net current period other comprehensive income (28,185 ) 11,839 (9 ) (16,355 ) Balance at December 31, 2021 $ (135,268 ) $ (18,022 ) $ 54 $ (153,236 ) (1) Represents reclassification of the stranded tax effects resulting from the U.S. Tax Cuts and Jobs Act (Tax Act) from accumulated other comprehensive income (loss) to retained earnings in accordance with ASU 2018-02. Amounts reclassified out of AOCI for the three years ended December 31, 2021, 2020 and 2019, is displayed below: Amounts Reclassified from AOCI (1) (In thousands) Affected Line Item in Consolidated 2021 2020 2019 Statements of Income Amortization of defined pension items: Prior service cost $ (12 ) $ (11 ) $ (12 ) Actuarial loss (4,800 ) (4,421 ) (2,739 ) $ (4,812 ) (4,432 ) (2,751 ) Total before tax (2) 1,161 1,092 660 Tax benefit $ (3,651 ) $ (3,340 ) $ (2,091 ) Net of tax Gains and losses on cash flow hedges: Foreign exchange contracts $ 9 $ 9 $ 9 Cost of sales 9 9 9 Total before tax — — — Tax benefit $ 9 $ 9 $ 9 Net of tax Total reclassifications for the period $ (3,642 ) $ (3,331 ) $ (2,082 ) Net of tax (1) Amounts in parentheses denote expense to statement of income. (2) This component of accumulated other comprehensive income is included in the computation of net periodic benefit cost (see Note 13, Postretirement Benefit Plans , of the notes to the Company’s consolidated financial statements for details regarding net periodic benefit costs for the Company’s U.S. and U.K. defined benefit plans). |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2021 | |
Business Combinations [Abstract] | |
Acquisitions | 20. Acquisitions 2021 Acquisitions INVISTA Acquisition On January 29, 2021, the Company and its wholly-owned subsidiaries Stepan Holdings Netherlands B.V. and Stepan UK Limited (collectively, “Stepan”) entered into a Stock and Asset Purchase Agreement with Arteva Specialties B.V., INV Performance Surfaces, LLC, INVISTA Textiles (U.K.) Limited, INV Management Services, LLC, and INVISTA Equities, LLC (collectively, “INVISTA”) to acquire INVISTA's aromatic polyester polyol business and associated assets. Included in the transaction were two manufacturing sites, one in Wilmington, North Carolina (U.S.) and the other in Vlissingen, Netherlands, along with intellectual property, customer relationships, inventory and working capital. This acquisition expanded the Company’s manufacturing capabilities in both the United States and Europe and enhances its business continuity capabilities for the market. The Company believes that INVISTA’s available spare capacity, combined with debottlenecking opportunities for both plants, will allow Stepan to support future market growth in a capital efficient way. The purchase price was $165,000,000, plus $21,560,000 of working capital and $3,000,000 of associated value-added taxes (VAT), and was paid in cash. Immaterial working capital adjustments were finalized and paid during the second quarter of 2021. The working capital acquired included $5,900,000 of cash. The acquisition has been accounted for as a business combination, and the acquired operations are included in the Company’s Polymer segment in 2021. The assets acquired and liabilities assumed as part of the acquisition were measured and recorded at estimated fair value. The principle valuation techniques employed included cost and market approaches (PP&E), relief from royalty method under the income approach (trade name and technology/know-how) and multi-period excess earnings method under the income approach (customer relationships). The Company finalized the purchase price allocation during the third quarter of 2021. The following table summarizes the purchase price allocation for the major components of the acquisition: (In thousands) Assets: Property, plant and equipment $ 54,200 Identifiable intangibles assets 46,000 Goodwill 64,800 Total assets acquired $ 165,000 The acquired goodwill includes proprietary and intellectual property, brand recognition, business continuity benefits and marketing, manufacturing and supply chain synergies of the new business with the Company’s existing Polymer business. The acquired goodwill has been assigned to the Polymers segment and is deductible for tax purposes. Identifiable intangible assets included technology and manufacturing know-how ($ 13,000,000 ), trademarks ($ 8,000,000 ) and customer relationships ($ 25,000,000 ). The amortization periods for know-how and trademarks have been estimated to be in the range of 7 to 8 years . The amortization period for customer relationships has been estimated to be in the range of 12 to 14 years . As of December 31, 2021, in addition to the purchase price, the Company also paid $ of acquisition-related expenses that primarily included legal, consulting, valuation and accounting services. For the twelve months ended December 31, 2021, the Company incurred $ of acquisition-related expenses. These costs were included in the Administrative expenses line in the Company’s condensed consolidated statement of income. The following table reflects pro forma financial information prepared under the assumption that the acquisition of the INVISTA aromatic polyester polyol business occurred on January 1, 2020. Pro Forma Financial Information Unaudited Twelve Months Ended December 31 (In thousands) 2021 2020 Net Sales $ 2,358,405 $ 1,971,750 Net Income Attributable to Stepan Company $ 140,869 $ 133,291 The supplemental pro forma information is presented for illustrative purposes only and may not be indicative of the consolidated results that would have been achieved by the Company had the acquisition occurred on January 1, 2020. Furthermore, future results may vary materially from the results reflected in the pro forma information. The pro forma results include adjustments primarily related to amortization of acquired intangible assets, depreciation of the fair value adjustment related to acquired plant assets, tax expense and management assumptions related to INVISTA’s legacy carved-out financial statements. In addition, non-recurring adjustments to pro forma net income include $1,890,000 of acquisition-related expenses. Such expenses were excluded from 2021 pro forma net income and included in 2020 pro forma net income. Fermentation Plant Acquisition On February 2, 2021, the Company acquired a fermentation plant, located in Lake Providence, Louisiana (U.S.). The Company believes this plant complements the rhamnolipid-based bio-surfactant technology the Company acquired from Logos Technologies in March 2020. Fermentation is a new platform technology for the Company and the Company is focusing efforts to further develop, integrate, produce and commercialize these unique surfactants moving forward. Bio-surfactants, produced via fermentation, are attractive due to their biodegradability, low toxicity, and in some cases, unique antimicrobial properties. These bio-surfactants offer synergies in several strategic end use markets including oilfield, agriculture, personal care and household, industrial and institutional. The acquisition of this industrial scale fermentation plant represents the latest step in the Company’s bio-surfactant commercialization efforts. The purchase price was $3,500,000 and was paid in cash. This acquisition has been accounted for as an asset acquisition. 2020 Acquisitions Clariant (Mexico) Acquisition On September 17, 2020, the Company through its subsidiaries in Mexico, acquired Clariant (Mexico) S.A. de C.V.’s (Clariant) anionic business located in Santa Clara, Mexico. The acquisition did not include the purchase of a manufacturing site. The business acquired has been integrated into the Company’s two existing manufacturing sites in Mexico (Matamoros and Ecatepec). The purchase price of the acquisition was $14,000,000, plus associated value-added taxes (VAT). As of December 31, 2021, $14,308,000, inclusive of $308,000 net VAT, had been paid with cash on hand. The acquisition was accounted for as a business combination and the assets were measured and recorded at their estimated fair value. The acquired goodwill is not tax deductible. All assets acquired are included in the Company’s Surfactants segment. The following table summarizes the purchase price allocation for the acquisition: (In thousands) Assets: Identifiable intangible assets: Customer lists $ 8,000 Trademarks and know-how 1,300 Non-compete agreement 300 Goodwill 5,165 Property, plant and equipment 175 Total assets acquired $ 14,940 Liabilities: Other non-current liabilities 940 Total liabilities assumed 940 Net assets acquired $ 14,000 Logos Technologies Acquisition On March 13, 2020, the Company acquired certain assets of Logos Technologies LLC's NatSurFact® business, a rhamnolipid-based line of bio-surfactants derived from renewable sources. These bio-surfactants offer synergies in several strategic end use markets including oilfield, agriculture, personal care and household, industrial and institutional. The acquisition was accounted for as an asset acquisition. The purchase price of the acquisition was $2,040,000 and was paid with cash on hand. All assets acquired are included in the Company’s Surfactants segment. The assets acquired were primarily intangibles, including trademarks and know-how ($1,392,000) and patents ($464,000). Additionally, $184,000 of laboratory equipment was acquired. 2019 Acquisition On December 17, 2019, the Company acquired an oilfield demulsifier product line. The purchase price of the acquisition was $9,000,000 and was paid with cash on hand. This acquisition was accounted for as a business combination and the assets were measured and recorded at their estimated fair values. The primary assets acquired were intangibles, mostly comprised of goodwill ($3,161,000), product know-how ($3,300,000) and customer relationships ($1,900,000). A small amount of inventory was also acquired. All of the acquired assets are included within the Company’s Surfactants segment. The average amortization period for the identifiable intangibles assets is 20 years. Pro forma financial information has not been included because revenues and earnings of the Company’s consolidated entity would not have been materially different than reported had the acquisition date been January 1, 2019. The acquired business did not impact the Company’s 2019 financial results. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | 21. Revenue from Contracts with Customers The Company deems a contract with a customer to exist when a purchase order is received from a customer for a specified quantity of product or products and the Company acknowledges receipt of such purchase order. In some instances the Company has entered into manufacturing supply agreements with customers but these agreements typically do not bind a customer to any purchase volume requirements and thus an obligation is not created until the customer submits a purchase order to the Company. The Company’s contracts typically have a single performance obligation that is satisfied at the time product is shipped and control passes to the customer. For a small portion of the business, performance obligations are deemed satisfied when product is delivered to a customer location. As of December 31, 2021, the Company had $1,376,000 of contract liabilities and no contract assets. A contract liability would typically arise when an advance or deposit is received from a customer before the Company recognizes revenue. In practice, this is rare as it would require a customer to make a payment prior to a performance obligation being satisfied. When such situations do arise, the Company m aintain s a deferred revenue liability until the time a performance obligation has been satisfied. The Company recognized $ 773,000 of revenue in the current period from pre-existing contract liabilities at December 31, 20 2 0 . During 202 0 the Company recognized $ 10,709,000 of d eferred revenue associated with a payment received to defray the cost of capital expenditures necessary to service a customer’s future product needs. This deferred revenue will be recognized over the period of the contract . As of December 31 , 2021, no revenue has been recognized from this contract . The tables below provide a geographic disaggregation of net sales for the years ended December 31, 2021, 2020 and 2019. The Company’s business segmentation by geographic region most effectively captures the nature and economic characteristics of the Company’s revenue streams impacted by economic factors. 2021 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 904,469 $ 364,382 $ 59,461 $ 1,328,312 Europe 288,735 302,137 9,152 600,024 Latin America 299,601 3,823 1,118 304,542 Asia 69,990 43,098 — 113,088 Total $ 1,562,795 $ 713,440 $ 69,731 $ 2,345,966 2020 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 826,841 $ 265,700 $ 56,455 1,148,996 Europe 234,631 147,289 9,332 391,252 Latin America 234,568 2,498 — 237,066 Asia 55,646 36,790 — 92,436 Total $ 1,351,686 $ 452,277 $ 65,787 $ 1,869,750 2019 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 766,341 $ 314,549 $ 61,501 1,142,391 Europe 240,711 158,455 12,174 411,340 Latin America 212,405 3,304 — 215,709 Asia 53,266 36,039 — 89,305 Total $ 1,272,723 $ 512,347 $ 73,675 $ 1,858,745 |
Business Restructuring and Asse
Business Restructuring and Asset Disposition | 12 Months Ended |
Dec. 31, 2021 | |
Restructuring And Related Activities [Abstract] | |
Business Restructuring and Asset Disposition | 22. Business Restructuring and Asset Disposition 2019 Restructuring In 2019, the Company restructured its Specialty Products office in the Netherlands and eliminated select positions from the site’s supply chain, quality control and research and development areas. This restructuring was designed to better align the number of personnel with current business requirements and reduce costs at the site. As a result, severance and early lease termination expenses of $554,000 and $122,000, respectively, were recognized during the year ended December 31, 2019. 2018 Restructuring During the third quarter of 2018, the Company approved a plan to shut down surfactants operations at its German plant site. As of December 31, 2021, an aggregate of $2,392,000 shut down related expense had been recognized at the site. This aggregate expense is comprised of $1,404,000 of asset and spare part write downs recognized in 2018 and $988,000 of cumulative decommissioning costs. The Company recognized $79,000 and $909,000 in decommissioning expenses in 2020 and 2019, respectively. 2016 Restructuring In May 2016, the Company announced plans to shut down its Long Mills, Ontario, Canada (Longford Mills) manufacturing facility, a part of the Surfactant reportable segment, by December 31, 2016. The shutdown plan was implemented to improve the Company’s asset utilization in North America and to reduce the Company’s fixed cost base. Manufacturing operations at the Longford Mills plant ceased by the end of 2016, and production of goods manufactured at the facility was transferred to the Company’s other North American production sites. As of December 31, 2021, $9,250,000 of aggregate restructuring expense had been recognized, reflecting $1,644,000 of termination benefits for approximately 30 employees and $7,606,000 for other expenses, principally site decommissioning costs. The Company recognized restructuring expenses of $633,000, $1,133,000 and $1,410,000 in 2021, 2020 and 2019, respectively. Asset Disposition In the fourth quarter 2021, the Company sold one of its corporate headquarter buildings and recognized a $2,720,000 loss on the sale of the building. The loss is reflected in the Business restructuring and asset disposition line on the Company’s consolidated statements of income. |
Insurance Recovery
Insurance Recovery | 12 Months Ended |
Dec. 31, 2021 | |
Insurance Recovery [Abstract] | |
Insurance Recovery | 23. Insurance Recovery Millsdale, Illinois site On January 19, 2020, the Company experienced a power disruption that impacted its Millsdale, Illinois facility. This power outage combined with below freezing temperatures, led to significant production and operational challenges that impacted both Surfactants and Polymers produced at the site. The Millsdale facility operated on a partial basis and used existing inventories to serve its customers. On February 17, 2020, power outage-related operational issues impacted the Millsdale site’s waste water treatment plant and forced the Company to stop production at the site. As a result, the Company declared force majeure for the supply of phthalic anhydride (Polymers) and certain surfactant product lines. All production lines were fully operational prior to the end of the 2020 first quarter. During the second half of 2020, the Company finalized an insurance settlement related to this incident and recognized an $18,000,000 pre-tax insurance recovery. This insurance recovery was recognized as a reduction of expenses within cost of sales in the consolidated financial statement of income for the year ended December 31, 2020. The Surfactant and Polymer segments recorded $5,200,000 and $12,800,000, respectively, in insurance recovery. Ecatepec, Mexico site The Company received insurance recovery proceeds of $8,965,000 in December 2019 for damaged equipment, incremental supply chain expenses and business interruption losses pertaining to the first quarter 2019 sulfonation equipment failure at the Company’s plant in Ecatepec, Mexico. The insurance recovery was recorded as reduction of cost of sales in the consolidated statement of income for the year ended December 31, 2019. |
Customer Claims
Customer Claims | 12 Months Ended |
Dec. 31, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Customer Claims | 24. Customer Claims In the fourth quarter of 2016, the Company established a reserve for two customer claims, which alleged that product manufactured by the Company may have caused performance problems with the customers’ products. The combined amount of the reserve was $7,367,000, which was recorded as a reduction of net sales in the year ended December 31, 2016. Both claims related to the Company’s Surfactant segment. In the fourth quarter of 2017, the Company paid $2,709,000 for one of the claims and reversed the remainder of the reserve for the claim. The claim reversal was recorded within net sales. The second claim for $703,000 was paid in the second quarter of 2019 and was covered by insurance. |
Noncash Investing and Financing
Noncash Investing and Financing Activities | 12 Months Ended |
Dec. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Noncash Investing and Financing Activities | 25. Noncash Investing and Financing Activities Noncash investing activities included liabilities (accounts payable) incurred for property, plant and equipment expenditures of approximately $36,588,000, $17,946,000, and $16,890,000 that were unpaid at December 31, 2021, 2020 and 2019, respectively. Noncash financing activities included 60,132 shares of Company common stock (valued at $7,286,000), 58,282 shares of Company common stock (valued at $5,485,000) and 96,095 shares of Company common stock (valued at $8,893,000) issued in connection with the Company’s stock award plan in 2021, 2020 and 2019, respectively. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Nature of Operations | Nature of Operations Stepan Company’s (the Company) operations consist predominantly of the production and sale of specialty and intermediate chemicals, which are sold to other manufacturers for use in a variety of end products. Principal markets for all products are manufacturers of cleaning and washing compounds (including detergents, shampoos, fabric softeners, toothpastes and household cleaners), paints, cosmetics, food, beverages, nutritional supplements, agricultural products, plastics, furniture, automotive equipment, insulation and refrigeration. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires Company management to make estimates and assumptions that affect the reported amounts of assets, liabilities, income and expenses at the date of the financial statements and to provide disclosures of contingent assets, liabilities and related amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and all wholly and majority-owned subsidiaries in which the Company exercises controlling influence. The equity method is used to account for investments in which the Company exercises significant but noncontrolling influence. Intercompany balances and transactions are eliminated in consolidation. Prior to the fourth quarter of 2021, the Company had an 80 percent ownership interest in the Nanjing Stepan Jinling Chemical Limited Liability Company (a joint venture) and exercised controlling influence over the entity. As a result, the China joint venture results were included in the Company’s consolidated financial statements. The partner’s interest in the joint venture’s net income was reported in the net income attributable to noncontrolling interest line of the consolidated statements of income and its interest in the net assets of the joint venture was reported in the noncontrolling interest line (a component of equity separate from Company equity) of the consolidated balance sheets. The joint venture was dissolved during the fourth quarter of 2021. |
Business Combinations | Business Combinations The Company makes acquisitions from time to time. When such acquisitions occur, the Company applies the accounting guidance per FASB ASC Topic 805, Business Combinations In some instances, the purchase price allocation of an acquisition is not complete by the end of a reporting period. This situation most typically arises when an acquisition is complex and/or completed very close to the end of a reporting period and all necessary information is not available by the end of the reporting period in which the acquisition occurs. In these instances, the Company reports provisional amounts for any incomplete items and makes subsequent adjustments as necessary information becomes available or determines that additional information is not obtainable. Any subsequent adjustments could have a material impact on the Company’s financial condition or results of operations as they could impact the initial fair values assigned to intangible assets and property, plant and equipment and/or their estimated economic lives. ASC 805 requires purchase price allocations to be finalized within one year from the acquisition date. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with purchased maturities of three months or less to be cash equivalents. At December 31, 2021, the Company’s cash and cash equivalents totaled $159,186,000 including $46,689,000 in money market funds, each of which was rated AAAm by Standard and Poor’s, Aaa-mf by Moody’s and AAAmmf by Fitch. Cash in U.S. demand deposit accounts totaled $25,253,000 and cash of the Company’s non-U.S. subsidiaries held outside the U.S. totaled $87,244,000 as of December 31, 2021. At December 31, 2020, the Company’s cash and cash equivalents totaled $349,938,000 including $123,695,000 in money market funds, each of which was rated AAAm by Standard and Poor’s, Aaa-mf by Moody’s and AAAmmf by Fitch. Cash in U.S. demand deposit accounts totaled $ 76,164,000 and cash of the Company’s non-U.S. subsidiaries held outside the U.S. totaled $ 150,079,000 as of December 31, 2020. |
Receivables and Credit Risk/Losses | Receivables and Credit Risk/Losses Receivables are stated net of allowances for doubtful accounts and other allowances and primarily include trade receivables from customers, as well as nontrade receivables from suppliers, governmental tax agencies and others. The Company is exposed to both credit risk and losses on accounts receivable balances. The Company’s credit risk and loss exposure predominately relates to the sale of products to its customers. When extending credit to customers the Company evaluates a customer’s credit worthiness based on a combination of qualitative and quantitative factors, inclusive of, but not limited to, a customer’s credit rating from external providers, financial condition and past payment experience. The Company performs credit reviews on all customers at inception and on a scheduled basis thereafter dependent on customer risk and the level of credit extended. Payment terms extended are short term in duration, typically ranging from 30 to 60 days. The majority of the Company’s sales are made to large companies that are able to weather periodic changes in economic conditions. This risk of losses is further mitigated by the Company’s diverse customer base, which is dispersed over various geographic regions and industrial sectors. No single customer comprised more than 10 percent of the Company’s consolidated net sales in 2021, 2020 or 2019. The Company maintains allowances for potential credit losses. With the adoption of ASU No. 2016-13, Financial Instruments – Credit Losses, The following is an analysis of the allowance for doubtful accounts and other accounts receivable allowances for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Balance at January 1 $ 10,133 $ 9,325 $ 9,654 Provision charged to income 943 864 29 Accounts written off, net of recoveries (919 ) (56 ) (358 ) Balance at December 31 $ 10,157 $ 10,133 $ 9,325 |
Inventories | Inventories Inventories are valued at cost, which is not in excess of market value, and include material, labor and plant overhead costs. Currently, the first in, first out (FIFO) method is used to determine the cost of the Company’s inventory. |
Property, Plant and Equipment | Property, Plant and Equipment Depreciation of property, plant and equipment is provided on a straight-line basis over the estimated useful lives of the assets. Lives used for calculating depreciation are generally 30 years for buildings and 15 years for building improvements. For assets classified as machinery and equipment, lives generally used for calculating depreciation expense range from 10 to 15 years for manufacturing equipment, five to 10 years for furniture and fixtures, three to five years for vehicles and three to 10 years for computer equipment and software. Manufacturing of chemicals is capital intensive and a large majority of the assets included within machinery and equipment represent manufacturing equipment. Major renewals and betterments are capitalized in the property accounts, while maintenance and repairs ($75,351,000, $69,234,000, and $58,464,000 in 2021, 2020 and 2019, respectively), which do not renew or extend the life of the respective assets, are charged to operations as incurred. Land is not depreciated. The cost of property retired or sold, and the related accumulated depreciation, are removed from the accounts and any resulting gain or loss is reflected in income. Long-lived assets are reviewed for impairment when conditions exist that indicate the carrying amount of the assets may not be fully recoverable. Such conditions could include significant adverse changes in the business environment, significant declines in forecasted operations or an approved plan to discontinue an asset or an asset group before the end of its useful life. Included in the computer equipment and software component of machinery and equipment are costs related to the acquisition and development of internal-use software. Capitalized costs for internal-use software include external direct costs of materials and services consumed in obtaining and developing the software. For development projects where major internal resources are committed, payroll and payroll-related costs incurred during the application development phase of the project are also capitalized. The capitalized costs are amortized over the useful lives of the software, which are generally three to 10 years. Costs incurred in the preliminary project phase are expensed. The Company adopted ASU No. 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40) Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract Interest charges on borrowings applicable to major construction projects are capitalized. |
Fair Value Measurements | Fair Value Measurements GAAP defines fair value 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. Furthermore, GAAP establishes a framework, in the form of a three-level hierarchy, for measuring fair value that prioritizes the inputs to valuation techniques used to measure fair value. The following describes the hierarchy levels: Level 1 - quoted prices in active markets for identical assets and liabilities. Level 2 - inputs other than quoted prices included within Level 1 that are directly or indirectly observable for the asset or liability, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. Level 3 - unobservable inputs which reflect the entity’s own assumptions about the assumptions market participants use in pricing the assets and liabilities. The Company applies the fair value measurement provisions of GAAP to any of its financial assets and liabilities that are carried at fair value on the consolidated balance sheets (see Note 2, Fair Value Measurements (included in Item 8 of this Form 10-K) Fair Value Measurements (included in Item 8 of this Form 10-K) Postretirement Benefit Plans (included in Item 8 of this Form 10-K) The Company also applies fair value measurements to nonfinancial assets and liabilities recorded in conjunction with business combinations and as part of impairment reviews for goodwill and other long-lived assets. |
Revenue Recognition | Revenue Recognition The Company’s contracts typically have a single performance obligation that is satisfied at the time product is shipped and control passes to the customer. For a small portion of the business, performance obligations are deemed satisfied when product is delivered to a customer location. For arrangements where the Company consigns product to a customer location, revenue is recognized when the customer uses the inventory. The Company accounts for shipping and handling as activities to fulfill a promise to transfer a good. As such, shipping and handling fees billed to customers in a sales transaction are recorded in Net Sales and shipping and handling costs incurred are recorded in Cost of Sales. Volume and cash discounts due customers are estimated and recorded in the same period as the sales to which the discounts relate and are reported as reductions of revenue in the consolidated statements of income. See Note 21 , Revenue from Contracts with Customers , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for more details. |
Cost of Sales | Cost of Sales Cost of sales is comprised of raw material costs (including inbound freight expense to deliver the raw materials), manufacturing plant labor expenses and various manufacturing overhead expenses, such as utilities, maintenance, operating supplies, amortization and manufacturing asset depreciation expenses. Cost of sales also includes outbound shipping and handling expenses, inter-plant transfer costs, warehouse expenses and rail car rental expenses. |
Operating Expenses | Operating Expenses Selling expense is comprised of salaries and related fringe benefit expenses for marketing and sales personnel and operating costs, such as outside agent commissions, automobile rental and travel-related expenses, which support the sales and marketing functions. Bad debt charges and any depreciation expenses related to marketing assets (e.g., computers) are also classified as selling expense. Administrative expense is comprised of salaries and related fringe benefit expenses and operating costs for the Company’s various administrative functions, which include information services, finance, legal, and human resources. The majority of environmental remediation expenses are also classified as administrative expense. The Company’s research and development costs are expensed as incurred. These expenses are aimed at discovery and commercialization of new knowledge with the intent that such effort will be useful in developing a new product or in bringing about a significant improvement to an existing product or process. Total research and development expenses were $38,778,000, $35,999,000, and $34,139,000 Compensation expense or income related to the Company’s deferred compensation plans is presented in the deferred compensation expense line in the Consolidated Statements of Income. For more details, see Note 12, Deferred Compensation, (included in Item 8 of this Form 10-K) |
Environmental Expenditures | Environmental Expenditures Environmental expenditures that relate to current operations are typically recorded in cost of sales. Expenditures that mitigate or prevent environmental contamination and that benefit future operations are capitalized as assets and depreciated on a straight-line basis over the estimated useful lives of the assets, which are typically 10 years. Estimated future expenditures that relate to an existing condition caused by past operations, and which do not contribute to current or future revenue generation, are recorded as liabilities, with the corresponding charge typically recorded in administrative expenses, when environmental assessments and/or remedial efforts are probable and the cost or range of possible costs can be reasonably estimated. When no amount within the range is a better estimate than any other amount, the minimum amount in the range is accrued. Estimating the possible costs of remediation requires making assumptions related to the nature and extent of contamination and the methods and resulting costs of remediation. Some of the factors on which the Company bases its estimates include information provided by feasibility studies, potentially responsible party negotiations and the development of remedial action plans. Legal costs related to environmental matters are expensed as incurred. See Note 16, Contingencies (included in Item 8 of this Form 10-K) |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The Company’s intangible assets include patents, agreements not to compete, trademarks, customer lists and relationships, technological and manufacturing know-how, supply contracts and goodwill, all of which were acquired as part of business or product line acquisitions. Intangible assets other than goodwill are determined to have either finite or indefinite useful lives. The Company currently has no indefinite-life intangible assets other than goodwill. The values for intangible assets with finite lives are amortized over the useful lives of the assets. Currently, the useful lives for the Company’s finite-lived intangible assets are as follows: patents – 15 years; non-compete agreements – three years; trademarks – eight to 11 years; customer relationships – 12 to 20 years and know-how – seven to 20 years. In addition, finite-life intangible assets are tested for impairment when events or changes in circumstances indicate that the carrying value of an intangible asset may not be recoverable. Goodwill is not amortized but is tested for impairment at least annually, or more frequently, if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit to which goodwill relates below the reporting unit’s carrying value. See Note 4, Goodwill and Other Intangibles the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for detailed information about goodwill and other intangible assets. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. Deferred tax assets are recognized to the extent that we believe these assets are more likely than not to be realized. In making such a determination, we consider all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If we determine that we would be able to realize our deferred tax assets in the future in excess of their net recorded amount, we would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. Uncertain tax positions are recorded in accordance with ASC 740, Income Taxes The Company recognizes interest and penalties related to unrecognized tax benefits within the income tax expense line in the accompanying Consolidated Statement of Operations. Accrued interest and penalties are included within the related tax liability line in the Consolidated Balance Sheet. See Note 9 , Income Taxes (included in Item 8 of this Form 10-K) |
Translation of Foreign Currencies | Translation of Foreign Currencies For the Company’s consolidated foreign subsidiaries whose functional currency is the local foreign currency, assets and liabilities are translated into U.S. dollars at exchange rates in effect at year end and revenues and expenses are translated at average exchange rates for the year. Any resulting translation adjustments are included in the consolidated balance sheets in the accumulated other comprehensive loss line of stockholders’ equity. Gains or losses on foreign currency transactions are reflected in the other, net caption of the consolidated statements of income. The Company has four foreign subsidiaries whose functional currencies are the U.S. dollar. For these subsidiaries, nonmonetary assets and liabilities are translated at historical rates, monetary assets and liabilities are translated at exchange rates in effect at year end, revenues and expenses are translated at average exchange rates for the year and translation gains and losses are included in the other, net caption of the consolidated statements of income. |
Stock-Based Compensation | Stock-Based Compensation The Company grants stock options, stock awards (including performance-based stock awards) and SARs to certain employees under its incentive compensation plans. The Company calculates the fair values of stock options, stock awards and SARs on the date such instruments are granted. The fair values of the stock options and stock awards are then recognized as compensation expense over the vesting periods of the instruments. The Company’s SARs granted prior to 2015 are cash-settled, and SARs granted in 2015 and later are stock-settled. The cash-settled SARs are accounted for as liabilities that must be re-measured at fair value at the end of each reporting period. Compensation expense for each reporting period is calculated as the period-to-period change (or portion of the change, depending on the proportion of the vesting period that has been completed at the reporting date) in the fair value of the cash-settled SARs. Compensation expense for the stock-settled SARs is calculated in the same way as compensation expense for stock options. See Note 11, Stock-based Compensation (included in Item 8 of this Form 10-K) |
Earnings Per Share | Earnings Per Share Basic earnings per share amounts are computed as net income attributable to the Company divided by the weighted-average number of common shares outstanding. Diluted earnings per share amounts are based on the weighted-average number of common shares outstanding plus the weighted-average of net common shares (under the treasury stock method) that would be outstanding assuming the exercise of outstanding stock options and stock-settled SARs, the vesting of unvested stock awards that have no performance or market condition and the issuance of contingent performance stock awards. See Note 18, Earnings Per Share (included in Item 8 of this Form 10-K) |
Comprehensive Income and Accumulated Other Comprehensive Income | Comprehensive Income and Accumulated Other Comprehensive Income Comprehensive income includes net income and all other non-owner changes in equity that are not reported in net income. Comprehensive income is disclosed in the consolidated statements of comprehensive income. Accumulated other comprehensive income (AOCI) is reported as a component of stockholders’ equity in the Company’s consolidated balance sheets. See Note 19, Accumulated Other Comprehensive Income (Loss) (included in Item 8 of this Form 10-K) |
Segment Reporting | Segment Reporting The Company reports financial and descriptive information about its reportable operating segments. Operating segments are components of the Company that have separate financial information that is regularly evaluated by the chief operating decision maker to assess segment performance and allocate resources. The Company discloses segment revenue, operating income, assets, capital expenditures and depreciation and amortization expenses. Enterprise-wide financial information about the geographic locations in which the Company earns revenues and holds assets is also disclosed. See Note 17, Segment Reporting (included in Item 8 of this Form 10-K) |
Derivative Instruments | Derivative Instruments Derivative instruments are recognized in the consolidated balance sheets as either assets or liabilities measured at fair value. For derivative instruments that are not designated as hedging instruments, changes in the fair values of the derivative instruments are recognized currently in earnings. For derivative instruments designated as hedging instruments, depending on the nature of the hedge, changes in the fair values of the derivative instruments are either offset in earnings against changes in the fair values of the hedged items or recognized in AOCI until the hedged transaction is recognized in earnings. At the time a hedging relationship is designated, the Company establishes the method it will use for assessing the effectiveness of the hedge and the measurement approach for determining the ineffective aspect of the hedge. Company policy prohibits the use of derivative instruments for trading or speculative purposes. See Note 3, Derivative Instruments (included in Item 8 of this Form 10-K) At December 31, 2021, the Company held open forward contracts for the purchase of 1.4 million dekatherms of natural gas in 2022 at a cost of $5,712,000. The Company uses forward contracts to minimize its exposure to volatile natural gas prices. Because the Company anticipates taking delivery of the natural gas for use in its operations, the forward contracts qualify for the normal purchase exception provided under U.S. GAAP for derivative instruments. The Company has elected the exception for such contracts. As a result, the forward contracts are not accounted for as derivative instruments. The cost of natural gas is charged to expense at the time the natural gas is delivered and used. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848) Facilitation of the Effect of Reference Rate Reform on Financial Reporting In October 2021, the FASB issued ASU No. 2021-08, Business Combinations (Topic 805) Accounting for Contract Assets and Contract Liabilities from Contracts with Customers , Revenue from Contracts with Customers 606 to recognize and measure contract assets and contract liabilities in a business combination. The amendments in this update are effective for fiscal years beginning after December 31, 2022 and should be applied prospectively. The Company is in the process of assessing the impact that adoption of ASU No. 2021-08 may have on its financial position, results of operations and cash flows. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Allowance for Doubtful Accounts and Other Accounts Receivable Allowance | The following is an analysis of the allowance for doubtful accounts and other accounts receivable allowances for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Balance at January 1 $ 10,133 $ 9,325 $ 9,654 Provision charged to income 943 864 29 Accounts written off, net of recoveries (919 ) (56 ) (358 ) Balance at December 31 $ 10,157 $ 10,133 $ 9,325 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Values and Related Carrying Values of Debt | At December 31, 2021 and 2020, the fair values and related carrying values of debt, including current maturities, were as follows (the fair value and carrying value amounts are presented without regard to unamortized debt issuance costs of $710,000, and $617,000 (In thousands) December 31 2021 2020 Fair value $ 369,456 $ 210,370 Carrying value 364,290 199,286 |
Financial Assets and Liabilities, Excluding Cash and Cash Equivalents, Measured on a Recurring Basis at Fair Value | The following tables present financial assets and liabilities, excluding cash and cash equivalents, measured on a recurring basis at fair value as of December 31, 2021 and 2020, and the level within the fair value hierarchy in which the fair value measurement falls: (In thousands) December 2021 Level 1 Level 2 Level 3 Mutual fund assets $ 34,495 $ 34,495 $ — $ — Derivative assets: Foreign currency contracts 436 — 436 — Total assets at fair value $ 34,931 $ 34,495 $ 436 $ — Derivative liabilities: Foreign currency contracts $ 338 $ — $ 338 $ — (In thousands) December 2020 Level 1 Level 2 Level 3 Mutual fund assets $ 30,652 $ 30,652 $ — $ — Derivative assets: Foreign currency contracts 335 — 335 — Total assets at fair value $ 30,987 $ 30,652 $ 335 $ — Derivative liabilities: Foreign currency contracts $ 566 $ — $ 566 $ — |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Value of Goodwill | The changes in the carrying value of goodwill for the years ended December 31, 2021 and 2020, were as follows: (In thousands) Surfactants Segment Polymer Segment Specialty Products Segment Total 2021 2020 2021 2020 2021 2020 2021 2020 Balance as of January 1 Goodwill $ 25,537 $ 23,664 $ 5,419 $ 5,406 $ 483 $ 483 $ 31,439 $ 29,553 Accumulated impairment loss (3,467 ) (3,467 ) — — — — (3,467 ) (3,467 ) Goodwill, net 22,070 20,197 5,419 5,406 483 483 27,972 26,086 Goodwill acquired (1) — 4,225 72,467 — — — 72,467 4,225 Goodwill measurement period adjustment (1) 940 (336 ) — — — — 940 (336 ) Foreign currency translation (788 ) (2,016 ) (3,404 ) 13 — — (4,192 ) (2,003 ) Balance as of December 31 Goodwill 25,689 25,537 74,482 5,419 483 483 100,654 31,439 Accumulated impairment loss (3,467 ) (3,467 ) — — — — (3,467 ) (3,467 ) Goodwill, net $ 22,222 $ 22,070 $ 74,482 $ 5,419 $ 483 $ 483 $ 97,187 $ 27,972 (1) See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for information regarding the goodwill acquired in a business combination. |
Components of Other Intangible Assets and Changes in Gross Carrying Values | The following table presents the components of other intangible assets, all of which have finite lives, as of December 31, 2021 and 2020. The year-over-year changes in gross carrying values mainly resulted from acquisitions that took place in 2021 and the effects of foreign currency translation. (In thousands) Gross Carrying Value Accumulated Amortization December 31 December 31 2021 2020 2021 2020 Other Intangible Assets: Patents (2) $ 7,411 $ 7,411 $ 6,139 $ 5,713 Non-compete agreements (2) 594 623 404 270 Trademarks (2) 12,013 4,087 4,160 2,905 Customer lists/relationships (2) 44,447 21,424 9,557 6,842 Supply contract 1,472 1,579 1,472 1,579 Know-how (1)(2) 27,029 14,183 10,450 7,930 Total $ 92,966 $ 49,307 $ 32,182 $ 25,239 (1) Know-how includes intellectual property rights covering proprietary information, written formulae, trade secrets or secret processes, inventions and developmental products (whether patentable or not), discoveries, improvements, compositions, manufacturing processes, manuals, specifications and technical data (2) The 2020 balances include intangible assets acquired as part of the Company’s Clariant (Mexico) and Logos Technologies acquisitions in 2020. The 2021 balances include intangible assets acquired as part of the Company’s INVISTA acquisition in January 2021. See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for additional details. |
Estimated Amortization Expense for Identifiable Intangibles Assets | Estimated amortization expense for identifiable intangibles assets for each of the five succeeding fiscal years is as follows: (In thousands) For year ended 12/31/22 $ 6,918 For year ended 12/31/23 6,891 For year ended 12/31/24 6,609 For year ended 12/31/25 6,168 For year ended 12/31/26 5,845 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Composition of Inventories | The composition of inventories was as follows: December 31 (In thousands) 2021 2020 Finished products $ 184,010 $ 148,878 Raw materials 121,528 69,905 Total inventories $ 305,538 $ 218,783 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt comprised the following at December 31, 2021 and 2020: (In thousands) Maturity Dates December 31, 2021 December 31, 2020 Unsecured private placement notes 3.95% (net of unamortized debt issuance cost of $230 and $273 for 2021 and 2020, respectively) 2022-2027 $ 85,485 $ 99,727 3.86% (net of unamortized debt issuance cost of 181 and $236 for 2021 and 2020, respectively) 2022-2025 56,962 71,193 4.86% (net of unamortized debt issuance cost of $69 and $108 for 2021 and 2020 respectively) 2022-2023 18,502 27,749 2.30% (net of unamortized debt issuance cost of $100 and $0 for 2021 and 2020, respectively) 2024-2028 49,900 — 2.37% (net of unamortized debt issuance cost of $108 and $0 for 2021 and 2020, respectively) 2024-2028 49,892 — 2.73% (net of unamortized debt issuance cost of $22 and $0 for 2021 and 2020, respectively) 2025-2031 99,978 — Debt of foreign subsidiaries Unsecured bank debt, foreign currency 2022 2,861 — Total debt $ 363,580 $ 198,669 Less current maturities 40,718 37,857 Long-term debt $ 322,862 $ 160,812 |
Schedule of Net Interest Expense | Net interest expense for the years ended December 31, 2021, 2020 and 2019, comprised the following: (In thousands) 2021 2020 2019 Interest expense $ 10,145 $ 9,859 $ 12,744 Interest income (1,255 ) (2,171 ) (5,717 ) 8,890 7,688 7,027 Capitalized interest (3,137 ) (2,279 ) (1,095 ) Interest expense, net $ 5,753 $ 5,409 $ 5,932 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Schedule of Lease Cost Included in Cost of Sale and Operating Expenses | Lease cost is recognized in both the Cost of Sales and Operating Expenses sections of the Consolidated Statements of Income. (In thousands) Year ended December 31, 2021 Year ended December 31, 2020 Lease Cost Operating lease cost $ 15,630 $ 11,821 Short-term lease cost 6,570 4,922 Variable lease cost 892 1,135 Total lease cost $ 23,092 $ 17,878 Other Information Cash paid for amounts included in the measurement of lease liabilities: Operating cash flow from operating leases $ 14,885 $ 11,843 Right-of-use assets obtained in exchange for operating lease liabilities 19,610 27,766 |
Schedule of Maturities of Lease Liabilities | (In thousands) Undiscounted Cash Flows: 2022 $ 15,573 2023 12,679 2024 8,055 2025 5,946 2026 4,329 Subsequent to 2026 36,439 Total Undiscounted Cash Flows $ 83,021 Less: Imputed interest (12,447 ) Present value $ 70,574 Current operating lease liabilities (1) 13,906 Non-current operating lease liabilities 56,668 Total lease liabilities $ 70,574 (1) This item is included in Accrued liabilities line on the Company’s Consolidated Balance Sheet. |
Schedule of Operating Leases Weighted Average, Remaining Lease Term and Discount Rate | Weighted-average remaining lease term-operating leases 10 Years Weighted-average discount rate-operating leases 2.9 % |
Other, Net (Tables)
Other, Net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Other Income And Expenses [Abstract] | |
Other Net in Consolidated Statements of Income | Other, net in the Consolidated Statements of Income included the following for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Foreign exchange gains $ 501 $ 1,367 $ 123 Investment income 2,886 1,681 968 Realized and unrealized gains on investments 2,289 3,143 3,955 Net periodic benefit cost 302 (874 ) (351 ) Other retirement obligation 559 (363 ) (694 ) Gain on sale of asset — — 570 Gain on dissolution of the China joint venture 972 — — Other, net $ 7,509 $ 4,954 $ 4,571 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision for Taxes on Income and Other Related Income Before Taxes | The provisions for taxes on income and the related income before taxes for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) 2021 2020 2019 Taxes on Income Federal Current $ 35,057 $ 21,889 $ 9,998 Deferred (25,653 ) (3,453 ) (2,879 ) State Current 9,320 4,305 2,248 Deferred (6,556 ) (562 ) (1,783 ) Foreign Current 23,870 21,723 15,568 Deferred (1,396 ) (491 ) (354 ) Total $ 34,642 $ 43,411 $ 22,798 Income before Taxes Domestic $ 77,696 $ 81,906 $ 63,399 Foreign 94,841 89,161 62,500 Total $ 172,537 $ 171,067 $ 125,899 |
Summary of Variations Between the Effective and Statutory U.S. Federal Income Tax Rates | The variations between the effective and statutory U.S. federal income tax rates are summarized as follows: (In thousands) 2021 Amount % 2020 Amount % 2019 Amount % Federal income tax provision at statutory tax rate $ 36,233 21.0 $ 35,924 21.0 $ 26,439 21.0 State income tax provision, less applicable federal tax benefit (1) 2,184 1.3 2,956 1.7 367 0.3 Foreign income taxed at different rates 2,356 1.4 1,964 1.1 623 0.5 U.S. taxation of foreign earnings (2) (134 ) (0.1 ) 4,134 2.4 2,349 1.9 Unrecognized tax benefits 1,775 1.0 1,454 0.8 2,954 2.3 Prior years return to provision true-up (3) (3,314 ) (1.9 ) (588 ) (0.3 ) (1,740 ) (1.4 ) Stock based compensation, excess tax benefits (1,287 ) (0.7 ) (1,816 ) (1.1 ) (1,633 ) (1.3 ) U.S. tax credits (4) (2,692 ) (1.6 ) (1,831 ) (1.1 ) (6,412 ) (5.1 ) Non-deductible expenses and other items, net (479 ) (0.3 ) 1,214 0.9 (149 ) (0.1 ) Total income tax provision $ 34,642 20.1 $ 43,411 25.4 $ 22,798 18.1 (1) For 2019, amount includes incremental state research credits for the tax years 2015 - 2019 that were identified as part of a research and development tax credit study. (2) Includes cost of global intangible low-taxed income (GILTI) in 2021, 2020 and 2019 plus other taxes paid or withheld on cash repatriated from foreign countries in 2021, 2020 and 2019. For 2021, includes the benefit of separate limitation loss foreign tax credit attributes, related to prior years, that were utilized in 2021. ( 3 ) For 2021, amount resulted from a higher federal research credit, higher foreign-derived intangible income (FDII), and lower GILTI related to the 2020 tax year. ( 4 ) For 2019, amount includes incremental federal research credits for 2015 - 2019 that were identified as part of a research and development tax credit study. Also includes a federal tax rate change due to the classification of certain 2016 and 2017 depreciable fixed assets as deductible research costs. |
Schedule Showing Tax Effects of Significant Temporary Differences Representing Deferred Tax Assets and Liabilities | At December 31, 2021 and 2020, the tax effects of significant temporary differences representing deferred tax assets and liabilities were as follows: (In thousands) 2021 2020 Deferred Tax Assets: Pensions $ 537 $ 4,935 Deferred revenue 3,444 3,073 Other accruals and reserves 13,331 14,960 Legal and environmental accruals 7,385 7,055 Deferred compensation 16,210 16,222 Bad debt and rebate reserves 2,706 2,821 Non-U.S. subsidiaries net operating loss carryforwards 1,494 2,495 Amortization of intangibles 5,092 — Inventories 3,108 — Tax credit carryforwards 2,829 4,713 $ 56,136 $ 56,274 Deferred Tax Liabilities: Depreciation $ (42,299 ) $ (62,986 ) Unrealized foreign exchange loss (2,908 ) (2,444 ) Amortization of intangibles — (842 ) Inventories — (2,504 ) Other (1,614 ) (386 ) $ (46,821 ) $ (69,162 ) Valuation Allowance $ (862 ) $ (896 ) Net Deferred Tax Assets (Liabilities) $ 8,453 $ (13,784 ) Reconciliation to Consolidated Balance Sheet: Non-current deferred tax assets (in other non-current assets) 20,944 6,961 Non-current deferred tax liabilities (12,491 ) (20,745 ) Net Deferred Tax Assets (Liabilities) $ 8,453 $ (13,784 ) |
Schedule of Reconciliations of Unrecognized Tax Benefits | Below are reconciliations of the January 1 and December 31 balances of unrecognized tax benefits for 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Unrecognized tax benefits, opening balance $ 4,735 $ 3,273 $ 168 Gross increases – tax positions in prior period 938 190 2,760 Gross increases – current period tax positions 1,662 1,288 355 Foreign currency translation (14 ) 15 7 Lapse of statute of limitations (29 ) (31 ) (17 ) Unrecognized tax benefits, ending balance $ 7,292 $ 4,735 $ 3,273 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Fair Value Assumptions for Stock Options | The following are the weighted-average assumptions used to calculate the grant-date fair values of stock option awards granted in the years ended December 31, 2021, 2020 and 2019: For the Years Ended December 31 2021 2020 2019 Expected dividend yield 1.30% 1.31% 1.32% Expected volatility 31.81% 26.00% 26.98% Expected term 7.3 years 7.3 years 7.3 years Risk-free interest rate 0.96% 1.47% 2.53% |
Summary of Stock Option Activity | A summary of stock option activity for the year ended December 31, 2021 is presented below: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic ($000) Options Outstanding at January 1, 2021 392,550 $ 74.24 Granted 66,352 123.70 Exercised (20,435 ) 66.95 Forfeited (2,501 ) 107.86 Outstanding at December 31, 2021 435,966 81.92 6.18 $ 18,474 Vested or expected to vest at December 31, 2021 429,507 81.42 6.14 18,415 Exercisable at December 31, 2021 363,297 75.34 5.67 17,783 |
Summary of Stock Award Activity | A summary of stock award activity for the year ended December 31, 2021, is presented below: Shares Weighted-Average Grant Date Fair Value Stock Awards Unvested at January 1, 2021 107,351 $ 94.66 Granted 40,127 119.76 Vested (48,613 ) 88.93 Forfeited/Modified due to change of assumptions 4,413 82.30 Unvested at December 31, 2021 103,278 61.30 |
Summary of SARs Activity | The following is a summary of SARs activity for the year ended December 31, 2021: Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value ($000) SARs Outstanding at January 1, 2021 653,498 $ 80.64 Granted 143,104 123.68 Exercised (62,118 ) 65.97 Forfeited (7,497 ) 107.86 Outstanding at December 31, 2021 726,987 90.06 6.83 $ 24,885 |
Postretirement Benefit Plans (T
Postretirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Defined Benefit Plan Disclosure [Line Items] | |
Obligations and Funded Status | Obligations and Funded Status at December 31 (In thousands) United States United Kingdom 2021 2020 2021 2020 Change in benefit obligation Benefit obligation at beginning of year $ 187,371 $ 176,499 $ 25,526 $ 21,850 Interest cost 4,671 5,668 357 445 Actuarial loss (income) (8,682 ) 13,327 (1,171 ) 3,032 Benefits paid (8,497 ) (8,123 ) (1,198 ) (657 ) Foreign exchange impact — — (238 ) 856 Benefit obligation at end of year $ 174,863 $ 187,371 $ 23,276 $ 25,526 (In thousands) United States United Kingdom 2021 2020 2021 2020 Change in plan assets Fair value of plan assets at beginning of year $ 175,336 $ 160,423 $ 28,504 $ 24,357 Actual return on plan assets 11,459 22,738 (78 ) 3,320 Employer contributions 276 298 526 526 Benefits paid (8,497 ) (8,123 ) (1,198 ) (657 ) Foreign exchange impact — — (290 ) 958 Fair value of plan assets at end of year $ 178,574 $ 175,336 $ 27,464 $ 28,504 Over (Under) funded status at end of year $ 3,711 $ (12,035 ) $ 4,188 $ 2,978 |
Schedule of Amounts Recognized in Balance Sheets | The amounts recognized in the consolidated balance sheets at December 31 consisted of: (In thousands) United States United Kingdom 2021 2020 2021 2020 Non-current asset $ 7,166 $ 3,470 $ 4,188 $ 2,978 Current liability (290 ) (288 ) — — Non-current liability (3,165 ) (15,217 ) — — Net amount recognized $ 3,711 $ (12,035 ) $ 4,188 $ 2,978 |
Amounts Recognized in Accumulated Other Comprehensive Income | The amounts recognized in accumulated other comprehensive income at December 31 consisted of: (In thousands) United States United Kingdom 2021 2020 2021 2020 Net actuarial loss $ 19,508 $ 33,745 $ 3,767 $ 4,653 |
Information for Pension Plans with Projected Benefit Obligations in Excess of Plan Assets | Below is information for pension plans with projected benefit obligations in excess of plan assets at December 31: (In thousands) United States United Kingdom 2021 2020 2021 2020 Projected benefit obligation $ — $ 146,848 $ — $ — Accumulated benefit obligation — 146,848 — — Fair value of plan assets — 135,070 — — |
Components of Net Periodic Benefit Cost | Net periodic benefit costs for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) United States United Kingdom 2021 2020 2019 2021 2020 2019 Interest cost $ 4,671 $ 5,668 $ 6,616 $ 357 $ 445 $ 554 Expected return on plan assets (10,348 ) (9,747 ) (9,450 ) (320 ) (548 ) (787 ) Amortization of net actuarial loss 4,444 4,262 2,490 129 79 244 Net periodic benefit cost $ (1,233 ) $ 183 $ (344 ) $ 166 $ (24 ) $ 11 |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income | Other changes in plan assets and benefit obligations recognized in other comprehensive income for the years ended December 31, 2021, 2020 and 2019, were as follows: (In thousands) United States United Kingdom 2021 2020 2019 2021 2020 2019 Net actuarial (gain) loss $ (9,793 ) $ 336 $ (5,174 ) $ (757 ) $ 272 $ (1,144 ) Amortization of net actuarial loss (4,444 ) (4,262 ) (2,490 ) (129 ) (79 ) (244 ) Total recognized in other comprehensive income $ (14,237 ) $ (3,926 ) $ (7,664 ) $ (886 ) $ 193 $ (1,388 ) Total recognized in net periodic benefit cost and other comprehensive income $ (15,470 ) $ (3,743 ) $ (8,008 ) $ (720 ) $ 169 $ (1,377 ) |
Estimated Future Benefit Payments | Estimated Future Benefit Payments (In thousands) United States United Kingdom 2022 $ 8,949 $ 551 2023 9,283 594 2024 9,601 624 2025 9,829 652 2026 9,982 697 2027-2031 50,512 4,044 |
Defined Contribution Expenses for Company's Qualified Defined Contribution Plans and Statutory Profit Sharing Contributions | Defined contribution expenses for the Company’s qualified defined contribution plans and statutory profit sharing contributions were as follows: (In thousands) 2021 2020 2019 Retirement contributions $ 8,134 $ 8,035 $ 7,328 Profit sharing contributions 5,081 6,107 4,702 Total $ 13,215 $ 14,142 $ 12,030 |
United States [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Company's Asset Allocations for its U.S. and U.K Pension Plans | The Company’s asset allocations for its U.S. pension plans at December 31, 2021 and 2020, by asset category, were as follows: December 31, 2021 (In thousands) Level 1 Level 2 Level 3 Total Cash and Cash Equivalents $ 10,918 $ — $ — $ 10,918 Equity Securities U.S. Equities 25,083 — — 25,083 Non-U.S. Equities 12,544 — — 12,544 Employer Securities 25,204 — — 25,204 Total Equities 62,831 — — 62,831 Fixed Income Securities U.S. Corporate Bonds — 69,073 — 69,073 U.S. Government and Agency Bonds 20,072 2,845 — 22,917 Other Bonds — 12,835 — 12,835 Total Fixed Income 20,072 84,753 — 104,825 Total $ 93,821 $ 84,753 $ — $ 178,574 December 31, 2020 (In thousands) Level 1 Level 2 Level 3 Total Cash and Cash Equivalents $ 7,056 $ — $ — $ 7,056 Equity Securities U.S. Equities 54,805 — — 54,805 Non-U.S. Equities 23,155 — — 23,155 Employer Securities 27,938 — — 27,938 Total Equities 105,898 — — 105,898 Fixed Income Securities U.S. Corporate Bonds — 41,489 — 41,489 U.S. Government and Agency Bonds 11,152 1,570 — 12,722 Other Bonds — 8,171 — 8,171 Total Fixed Income 11,152 51,230 — 62,382 Total $ 124,106 $ 51,230 $ — $ 175,336 |
United Kingdom [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Company's Asset Allocations for its U.S. and U.K Pension Plans | The Company’s asset allocations for its U.K. pension plans at December 31, 2021 and 2020, by asset category, were as follows: December 31, 2021 (In thousands) Level 1 Level 2 Level 3 Total Cash — $ 2,414 $ — $ 2,414 Equity Securities Pooled Pension Funds — 3,715 — 3,715 Fixed Income Pooled Pension Funds — 20,332 — 20,332 Insurance Contracts — — 1,003 1,003 Total $ — $ 26,461 $ 1,003 $ 27,464 December 31, 2020 (In thousands) Level 1 Level 2 Level 3 Total Cash $ — $ 2,576 $ — $ 2,576 Equity Securities Pooled Pension Funds — 3,603 — 3,603 Fixed Income Pooled Pension Funds — 21,166 — 21,166 Insurance Contracts — — 1,159 1,159 Total $ — $ 27,345 $ 1,159 $ 28,504 |
Fair Value Changes within Asset Categories for which Fair Value Measurements Use Significant Unobservable Inputs (Level 3) Defined Benefit United States Plans and United Kingdom Plans | Fair value changes within asset categories for which fair value measurements use significant unobservable inputs (Level 3) were as follows during 2021 and 2020: (In thousands) Insurance Fair value, December 31, 2019 $ 1,205 Sale proceeds (benefit payments) (119 ) Change in unrealized gain 41 Foreign exchange impact 32 Fair value, December 31, 2020 $ 1,159 Sale proceeds (benefit payments) (131 ) Change in unrealized gain (15 ) Foreign exchange impact (10 ) Fair value, December 31, 2021 $ 1,003 |
Defined Benefit Plan Periodic Costs [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted-Average Assumptions Used to Determine Benefit Obligations/Net Periodic Benefit Costs | The weighted-average assumptions used to determine net periodic benefit costs for years ended December 31 were as follows: United States United Kingdom 2021 2020 2019 2021 2020 2019 Discount rate 2.60 % 3.30 % 4.30 % 1.40 % 2.10 % 2.80 % Expected long-term return on plan assets 6.75 % 6.75 % 6.75 % 1.13 % 2.30 % 3.82 % |
Benefit Obligation [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Weighted-Average Assumptions Used to Determine Benefit Obligations/Net Periodic Benefit Costs | The weighted-average assumptions used to determine benefit obligations at December 31 were as follows: United States United Kingdom 2021 2020 2021 2020 Discount rate 2.90 % 2.60 % 1.80 % 1.40 % |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Payables And Accruals [Abstract] | |
Composition of Accrued Liabilities | The composition of accrued liabilities was as follows: December 31 (In thousands) 2021 2020 Accrued payroll and benefits $ 70,983 $ 79,070 Accrued customer rebates 21,030 23,628 Other accrued liabilities 44,383 39,249 Total accrued liabilities $ 136,396 $ 141,947 |
Other Non-Current Liabilities (
Other Non-Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Other Liabilities Disclosure [Abstract] | |
Composition of Other Non-Current Liabilities | The composition of other non-current liabilities was as follows: December 31 (In thousands) 2021 2020 Deferred revenue $ 9,979 $ 11,276 Environmental and legal matters 17,663 17,921 Deferred compensation liability 50,122 51,508 Pension liability 4,552 17,229 Other non-current liabilities 16,606 16,359 Total other non-current liabilities $ 98,922 $ 114,293 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Segment Reporting [Abstract] | |
Operating Segment | The following is segment data for the three years ended December 31, 2021, 2020 and 2019: (In thousands) Surfactants Polymers Specialty Products Segment Totals 2021 Net sales $ 1,562,795 $ 713,440 $ 69,731 $ 2,345,966 Operating income 165,999 73,591 14,178 253,768 Assets 1,245,207 556,799 78,100 1,880,106 Capital expenditures 154,953 29,077 4,976 189,006 Depreciation and amortization expenses 51,375 30,598 5,836 87,809 2020 Net sales $ 1,351,686 $ 452,277 $ 65,787 $ 1,869,750 Operating income 169,101 68,214 13,966 251,281 Assets 1,018,555 361,219 92,964 1,472,738 Capital expenditures 88,484 26,719 5,960 121,163 Depreciation and amortization expenses 49,429 22,873 5,686 77,988 2019 Net sales $ 1,272,723 $ 512,347 $ 73,675 $ 1,858,745 Operating income 122,780 69,567 16,415 208,762 Assets 907,032 338,179 86,718 1,331,929 Capital expenditures 69,725 29,188 4,441 103,354 Depreciation and amortization expenses 48,422 22,151 5,483 76,056 |
Reconciliation of Segment Information to Consolidated Financial Statements | Below are reconciliations of segment data to the consolidated financial statements: (In thousands) 2021 2020 2019 Operating income - segment totals $ 253,768 $ 251,281 $ 208,762 Business restructuring and asset disposition (1) (3,353 ) (1,212 ) (2,744 ) Unallocated corporate expenses (2) (79,634 ) (78,547 ) (78,758 ) Total operating income 170,781 171,522 127,260 Interest expense, net (5,753 ) (5,409 ) (5,932 ) Other, net 7,509 4,954 4,571 Consolidated income before income taxes $ 172,537 $ 171,067 $ 125,899 Assets - segment totals $ 1,880,106 $ 1,472,738 $ 1,331,929 Unallocated corporate assets 185,506 279,598 247,438 Consolidated assets $ 2,065,612 $ 1,752,336 $ 1,579,367 Capital expenditures - segment totals $ 189,006 $ 121,163 $ 103,354 Unallocated corporate expenditures 5,476 4,629 2,218 Consolidated capital expenditures $ 194,482 $ 125,792 $ 105,572 Depreciation and amortization expenses – segment totals $ 87,809 $ 77,988 $ 76,056 Unallocated corporate depreciation expenses 3,067 3,872 2,645 Consolidated depreciation and amortization expenses $ 90,876 $ 81,860 $ 78,701 (1) See Note 22, Business Restructuring (2) Unallocated corporate expenses are primarily comprised of corporate administrative expenses (e.g., corporate finance, legal, human resources, information systems, deferred compensation and environmental remediation) that are not included in segment operating income and not used to evaluate segment performance . |
Summary of company-wide geographic data | Below is certain Company-wide geographic data for the years ended December 31, 2021, 2020 and 2019: (In thousands) 2021 2020 2019 Net sales (1) United States $ 1,297,650 $ 1,117,695 $ 1,115,993 France 179,746 141,516 145,933 Poland 198,883 147,289 156,391 United Kingdom 208,780 93,115 96,842 Brazil 136,799 105,639 102,590 Mexico 127,944 100,763 83,160 All other countries 196,164 163,733 157,836 Total $ 2,345,966 $ 1,869,750 $ 1,858,745 Long-lived assets (2) United States $ 668,362 $ 499,260 $ 462,199 Netherlands 85,931 — — Germany 41,438 39,759 30,084 Singapore 23,507 25,815 28,741 Brazil 35,294 35,786 46,740 China 30,991 27,300 27,201 United Kingdom 38,634 24,335 21,551 Mexico 45,384 39,482 21,959 All other countries 39,034 42,970 42,280 Total $ 1,008,575 $ 734,707 $ 680,755 (1) Net sales are attributed to countries based on the location of the Company legal entity making the sale. (2) Includes net property, plant and equipment, goodwill and other intangible assets. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | Below is the computation of basic and diluted earnings per share for the years ended December 31, 2021, 2020 and 2019: (In thousands, except per share amounts) 2021 2020 2019 Computation of Basic Earnings per Share Net income attributable to Stepan Company $ 137,804 $ 126,770 $ 103,129 Weighted-average number of shares outstanding 22,922 22,949 23,054 Basic earnings per share $ 6.01 $ 5.52 $ 4.47 Computation of Diluted Earnings per Share Net income attributable to Stepan Company $ 137,804 $ 126,770 $ 103,129 Weighted-average number of shares outstanding 22,922 22,949 23,054 Add weighted-average net shares from assumed exercise of options (under treasury share method) (1) 138 112 97 Add weighted-average net shares related to unvested stock awards (under treasury share method) 1 1 2 Add weighted-average net shares from assumed exercise of SARs (under treasury share method) 166 145 125 Add weighted-average contingently issuable net shares related to performance stock awards (under treasury share method) 60 49 38 Weighted-average shares applicable to diluted earnings 23,287 23,256 23,316 Diluted earnings per share $ 5.92 $ 5.45 $ 4.42 (1) Options/SARs to purchase 103,182, 127,434 and 107,125 shares of common stock were excluded from the computations of diluted earnings per share for the years ended December 31, 2021, 2020 and 2019, respectively. The options’/SARs’ exercise prices were greater than the average market price for the common stock and inclusion of the instruments would have had an antidilutive effect on the computations of the earnings per share. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Equity [Abstract] | |
Summary of Changes in Accumulated Other Comprehensive Income (Loss) | Below is the change in the Company’s accumulated other comprehensive income (loss) (AOCI) balance by component (net of income taxes) for the years ended December 31, 2021, 2020 and 2019: (In thousands) Foreign Currency Translation Adjustments Defined Benefit Pension Plan Adjustments Cash Flow Hedge Adjustments Total Balance at December 31, 2018 $ (108,481 ) $ (33,083 ) $ 81 $ (141,483 ) Other comprehensive income before reclassifications 4,444 4,112 — 8,556 Amounts reclassified from AOCI — 2,091 (9 ) 2,082 Remeasurement adjustment related to the Tax Act (1) — (5,325 ) 0 (5,325 ) Net current period other comprehensive income 4,444 878 (9 ) 5,313 Balance at December 31, 2019 $ (104,037 ) $ (32,205 ) $ 72 $ (136,170 ) Other comprehensive income before reclassifications (3,046 ) (996 ) — (4,042 ) Amounts reclassified from AOCI — 3,340 (9 ) 3,331 Net current period other comprehensive income (3,046 ) 2,344 (9 ) (711 ) Balance at December 31, 2020 $ (107,083 ) $ (29,861 ) $ 63 $ (136,881 ) Other comprehensive income before reclassifications (28,185 ) 8,188 — (19,997 ) Amounts reclassified from AOCI — 3,651 (9 ) 3,642 Net current period other comprehensive income (28,185 ) 11,839 (9 ) (16,355 ) Balance at December 31, 2021 $ (135,268 ) $ (18,022 ) $ 54 $ (153,236 ) (1) Represents reclassification of the stranded tax effects resulting from the U.S. Tax Cuts and Jobs Act (Tax Act) from accumulated other comprehensive income (loss) to retained earnings in accordance with ASU 2018-02. |
Summary of Amounts Reclassified Out of Accumulated Other Comprehensive Income | Amounts reclassified out of AOCI for the three years ended December 31, 2021, 2020 and 2019, is displayed below: Amounts Reclassified from AOCI (1) (In thousands) Affected Line Item in Consolidated 2021 2020 2019 Statements of Income Amortization of defined pension items: Prior service cost $ (12 ) $ (11 ) $ (12 ) Actuarial loss (4,800 ) (4,421 ) (2,739 ) $ (4,812 ) (4,432 ) (2,751 ) Total before tax (2) 1,161 1,092 660 Tax benefit $ (3,651 ) $ (3,340 ) $ (2,091 ) Net of tax Gains and losses on cash flow hedges: Foreign exchange contracts $ 9 $ 9 $ 9 Cost of sales 9 9 9 Total before tax — — — Tax benefit $ 9 $ 9 $ 9 Net of tax Total reclassifications for the period $ (3,642 ) $ (3,331 ) $ (2,082 ) Net of tax (1) Amounts in parentheses denote expense to statement of income. (2) This component of accumulated other comprehensive income is included in the computation of net periodic benefit cost (see Note 13, Postretirement Benefit Plans , of the notes to the Company’s consolidated financial statements for details regarding net periodic benefit costs for the Company’s U.S. and U.K. defined benefit plans). |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
2021 Acquisitions [Member] | |
Business Acquisition [Line Items] | |
Summary of Purchase Price Allocation for Acquisition | The following table summarizes the purchase price allocation for the major components of the acquisition: (In thousands) Assets: Property, plant and equipment $ 54,200 Identifiable intangibles assets 46,000 Goodwill 64,800 Total assets acquired $ 165,000 |
Summary of Pro forma Financial Information | The following table reflects pro forma financial information prepared under the assumption that the acquisition of the INVISTA aromatic polyester polyol business occurred on January 1, 2020. Pro Forma Financial Information Unaudited Twelve Months Ended December 31 (In thousands) 2021 2020 Net Sales $ 2,358,405 $ 1,971,750 Net Income Attributable to Stepan Company $ 140,869 $ 133,291 |
2020 Acquisitions [Member] | |
Business Acquisition [Line Items] | |
Summary of Purchase Price Allocation for Acquisition | The following table summarizes the purchase price allocation for the acquisition: (In thousands) Assets: Identifiable intangible assets: Customer lists $ 8,000 Trademarks and know-how 1,300 Non-compete agreement 300 Goodwill 5,165 Property, plant and equipment 175 Total assets acquired $ 14,940 Liabilities: Other non-current liabilities 940 Total liabilities assumed 940 Net assets acquired $ 14,000 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Geographic Disaggregation of Net Sales | The tables below provide a geographic disaggregation of net sales for the years ended December 31, 2021, 2020 and 2019. The Company’s business segmentation by geographic region most effectively captures the nature and economic characteristics of the Company’s revenue streams impacted by economic factors. 2021 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 904,469 $ 364,382 $ 59,461 $ 1,328,312 Europe 288,735 302,137 9,152 600,024 Latin America 299,601 3,823 1,118 304,542 Asia 69,990 43,098 — 113,088 Total $ 1,562,795 $ 713,440 $ 69,731 $ 2,345,966 2020 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 826,841 $ 265,700 $ 56,455 1,148,996 Europe 234,631 147,289 9,332 391,252 Latin America 234,568 2,498 — 237,066 Asia 55,646 36,790 — 92,436 Total $ 1,351,686 $ 452,277 $ 65,787 $ 1,869,750 2019 (In thousands) Surfactants Polymers Specialty Products Total Geographic Market North America $ 766,341 $ 314,549 $ 61,501 1,142,391 Europe 240,711 158,455 12,174 411,340 Latin America 212,405 3,304 — 215,709 Asia 53,266 36,039 — 89,305 Total $ 1,272,723 $ 512,347 $ 73,675 $ 1,858,745 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) MMBTU in Millions | 12 Months Ended | ||
Dec. 31, 2021USD ($)MMBTUCustomerSubsidiary | Dec. 31, 2020USD ($)Customer | Dec. 31, 2019USD ($)Customer | |
Summary Of Significant Accounting Policy [Line Items] | |||
Cash and cash equivalents | $ 159,186,000 | $ 349,938,000 | |
Single customer comprised more than 10 percent of the Company's consolidated net sales | Customer | 0 | 0 | 0 |
Cost of maintenance and repairs | $ 75,351,000 | $ 69,234,000 | $ 58,464,000 |
Total research and development expenses | $ 38,778,000 | 35,999,000 | $ 34,139,000 |
Capitalized Environmental expenditures depreciation period | 10 years | ||
Indefinite-life intangible assets | $ 0 | ||
Number of foreign subsidiaries | Subsidiary | 4 | ||
Natural Gas [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Volume in derivative contract | MMBTU | 1.4 | ||
Purchased Contract Price | $ 5,712,000 | ||
Building [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 30 years | ||
Building Improvements [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 15 years | ||
Minimum [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Concentration risk Payment terms extended | 30 days | ||
Percentage of Tax benefit recognized | 50.00% | ||
Minimum [Member] | Patents [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 15 years | ||
Minimum [Member] | Non-compete Agreements [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 3 years | ||
Minimum [Member] | Trademarks [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 8 years | ||
Minimum [Member] | Customer Relationships [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 12 years | ||
Minimum [Member] | Know-how [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 7 years | ||
Minimum [Member] | Manufacturing Equipment [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 10 years | ||
Minimum [Member] | Furniture and Fixtures [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 5 years | ||
Minimum [Member] | Vehicles [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 3 years | ||
Minimum [Member] | Computers Equipment And Software [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 3 years | ||
Maximum [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Concentration risk Payment terms extended | 60 days | ||
Maximum [Member] | Trademarks [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 11 years | ||
Maximum [Member] | Customer Relationships [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 20 years | ||
Maximum [Member] | Know-how [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Finite-lived intangible asset, useful life | 20 years | ||
Maximum [Member] | Manufacturing Equipment [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 15 years | ||
Maximum [Member] | Furniture and Fixtures [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 10 years | ||
Maximum [Member] | Vehicles [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 5 years | ||
Maximum [Member] | Computers Equipment And Software [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Lives used for calculating depreciation expense | 10 years | ||
Money Market Funds [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Cash and cash equivalents | $ 46,689,000 | 123,695,000 | |
Demand Deposit [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Cash and cash equivalents | 25,253,000 | 76,164,000 | |
Non-U.S. Subsidiaries [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Cash and cash equivalents | $ 87,244,000 | $ 150,079,000 | |
Nanjing Stepan Jinling Chemical Limited Liability Company [Member] | |||
Summary Of Significant Accounting Policy [Line Items] | |||
Ownership percentage | 80.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Allowance for Doubtful Accounts and Other Accounts Receivable Allowances (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance For Doubtful Accounts Receivable Rollforward | |||
Allowance, balance at the beginning | $ 10,133 | $ 9,325 | $ 9,654 |
Provision charged to income | 943 | 864 | 29 |
Accounts written off, net of recoveries | (919) | (56) | (358) |
Allowance, balance at ending | $ 10,157 | $ 10,133 | $ 9,325 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value Disclosures [Abstract] | ||
Unamortized debt issuance cost | $ 710,000 | $ 617,000 |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Values and Related Carrying Values of Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Carrying value | $ 364,290 | $ 199,286 |
Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Fair value | $ 369,456 | $ 210,370 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities, Excluding Cash and Cash Equivalents, Measured on a Recurring Basis at Fair Value (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Mutual fund assets | $ 34,495 | $ 30,652 |
Derivative assets: | ||
Foreign currency contracts | 436 | 335 |
Total assets at fair value | 34,931 | 30,987 |
Derivative liabilities: | ||
Foreign currency contracts | 338 | 566 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Mutual fund assets | 34,495 | 30,652 |
Derivative assets: | ||
Total assets at fair value | 34,495 | 30,652 |
Level 2 [Member] | ||
Derivative assets: | ||
Foreign currency contracts | 436 | 335 |
Total assets at fair value | 436 | 335 |
Derivative liabilities: | ||
Foreign currency contracts | $ 338 | $ 566 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Derivative notional amount | $ 51,542,000 | $ 48,336,000 |
Minimum [Member] | ||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Derivative foreign currency exchange contracts durations | 1 month | |
Maximum [Member] | ||
Derivative Instruments And Hedging Activities Disclosures [Line Items] | ||
Derivative foreign currency exchange contracts durations | 3 months |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Value of Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | ||
Goodwill [Line Items] | |||
Goodwill, Beginning Balance | $ 31,439 | $ 29,553 | |
Accumulated impairment loss, Beginning Balance | (3,467) | (3,467) | |
Goodwill net, Beginning Balance | 27,972 | 26,086 | |
Goodwill acquired | [1] | 72,467 | 4,225 |
Goodwill measurement period adjustment | [1] | 940 | (336) |
Foreign currency translation | (4,192) | (2,003) | |
Goodwill, Ending Balance | 100,654 | 31,439 | |
Accumulated impairment loss, Ending Balance | (3,467) | (3,467) | |
Goodwill net, Ending Balance | 97,187 | 27,972 | |
Surfactants Segment [Member] | |||
Goodwill [Line Items] | |||
Goodwill, Beginning Balance | 25,537 | 23,664 | |
Accumulated impairment loss, Beginning Balance | (3,467) | (3,467) | |
Goodwill net, Beginning Balance | 22,070 | 20,197 | |
Goodwill acquired | [1] | 4,225 | |
Goodwill measurement period adjustment | [1] | 940 | (336) |
Foreign currency translation | (788) | (2,016) | |
Goodwill, Ending Balance | 25,689 | 25,537 | |
Accumulated impairment loss, Ending Balance | (3,467) | (3,467) | |
Goodwill net, Ending Balance | 22,222 | 22,070 | |
Polymer Segment [Member] | |||
Goodwill [Line Items] | |||
Goodwill, Beginning Balance | 5,419 | 5,406 | |
Goodwill net, Beginning Balance | 5,419 | 5,406 | |
Goodwill acquired | [1] | 72,467 | |
Foreign currency translation | (3,404) | 13 | |
Goodwill, Ending Balance | 74,482 | 5,419 | |
Goodwill net, Ending Balance | 74,482 | 5,419 | |
Specialty Products Segment [Member] | |||
Goodwill [Line Items] | |||
Goodwill, Beginning Balance | 483 | 483 | |
Goodwill net, Beginning Balance | 483 | 483 | |
Goodwill, Ending Balance | 483 | 483 | |
Goodwill net, Ending Balance | $ 483 | $ 483 | |
[1] | See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for information regarding the goodwill acquired in a business combination. |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Impairment of Goodwill | $ 0 | $ 0 | |
Amortization of Intangible Assets, Total | $ 7,292,000 | $ 3,621,000 | $ 3,399,000 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Components of Other Intangible Assets and Changes in Gross Carrying Values (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | $ 92,966 | $ 49,307 | |
Other Finite-Lived Intangible Assets, Accumulated Amortization | 32,182 | 25,239 | |
Patents [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | [1] | 7,411 | 7,411 |
Other Finite-Lived Intangible Assets, Accumulated Amortization | [1] | 6,139 | 5,713 |
Non-compete Agreements [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | [1] | 594 | 623 |
Other Finite-Lived Intangible Assets, Accumulated Amortization | [1] | 404 | 270 |
Trademarks [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | [1] | 12,013 | 4,087 |
Other Finite-Lived Intangible Assets, Accumulated Amortization | [1] | 4,160 | 2,905 |
Customer Lists/relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | [1] | 44,447 | 21,424 |
Other Finite-Lived Intangible Assets, Accumulated Amortization | [1] | 9,557 | 6,842 |
Know-how [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | [1],[2] | 27,029 | 14,183 |
Other Finite-Lived Intangible Assets, Accumulated Amortization | [1],[2] | 10,450 | 7,930 |
Supply Contract [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Other Finite-Lived Intangible Assets, Gross Carrying Value | 1,472 | 1,579 | |
Other Finite-Lived Intangible Assets, Accumulated Amortization | $ 1,472 | $ 1,579 | |
[1] | The 2020 balances include intangible assets acquired as part of the Company’s Clariant (Mexico) and Logos Technologies acquisitions in 2020. The 2021 balances include intangible assets acquired as part of the Company’s INVISTA acquisition in January 2021. See Note 20, Acquisitions , of the notes to the Company’s consolidated financial statements (included in Item 8 of this Form 10-K) for additional details. | ||
[2] | Know-how includes intellectual property rights covering proprietary information, written formulae, trade secrets or secret processes, inventions and developmental products (whether patentable or not), discoveries, improvements, compositions, manufacturing processes, manuals, specifications and technical data |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Estimated Amortization Expense for Identifiable Intangibles Assets (Detail) $ in Thousands | Dec. 31, 2021USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
For year ended 12/31/22 | $ 6,918 |
For year ended 12/31/23 | 6,891 |
For year ended 12/31/24 | 6,609 |
For year ended 12/31/25 | 6,168 |
For year ended 12/31/26 | $ 5,845 |
Inventories - Composition of In
Inventories - Composition of Inventories (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 184,010 | $ 148,878 |
Raw materials | 121,528 | 69,905 |
Total inventories | $ 305,538 | $ 218,783 |
Debt - Debt (Detail)
Debt - Debt (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | ||
Total debt | $ 363,580 | $ 198,669 |
Less current maturities | 40,718 | 37,857 |
Long-term debt, less current maturities (Note 6) | 322,862 | 160,812 |
Unsecured private placement 3.95% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 85,485 | $ 99,727 |
Debt instrument interest rate percentage | 3.95% | 3.95% |
Unsecured private placement 3.95% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2022 | 2022 |
Unsecured private placement 3.95% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2027 | 2027 |
Unsecured private placement 3.86% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 56,962 | $ 71,193 |
Debt instrument interest rate percentage | 3.86% | 3.86% |
Unsecured private placement 3.86% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2022 | 2022 |
Unsecured private placement 3.86% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2025 | 2025 |
Unsecured private placement 4.86% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 18,502 | $ 27,749 |
Debt instrument interest rate percentage | 4.86% | 4.86% |
Unsecured private placement 4.86% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2022 | 2022 |
Unsecured private placement 4.86% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2023 | 2023 |
Unsecured private placement 2.30% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 49,900 | |
Debt instrument interest rate percentage | 2.30% | 2.30% |
Unsecured private placement 2.30% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2024 | 2024 |
Unsecured private placement 2.30% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2028 | 2028 |
Unsecured private placement 2.37% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 49,892 | |
Debt instrument interest rate percentage | 2.37% | 2.37% |
Unsecured private placement 2.37% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2024 | 2024 |
Unsecured private placement 2.37% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2028 | 2028 |
Unsecured private placement 2.73% note [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 99,978 | |
Debt instrument interest rate percentage | 2.73% | 2.73% |
Unsecured private placement 2.73% note [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2025 | 2025 |
Unsecured private placement 2.73% note [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Maturity Dates | 2031 | 2031 |
Debt of foreign subsidiaries Unsecured bank debt, foreign currency [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $ 2,861 | |
Maturity Dates | 2022 | 2022 |
Debt - Debt (Parenthetical) (De
Debt - Debt (Parenthetical) (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | $ 710,000 | $ 617,000 |
Unsecured private placement 3.95% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | 230,000 | 273,000 |
Unsecured private placement 3.86% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | 181,000 | 236,000 |
Unsecured private placement 4.86% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | 69,000 | 108,000 |
Unsecured private placement 2.30% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | 100,000 | 0 |
Unsecured private placement 2.37% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | 108,000 | 0 |
Unsecured private placement 2.73% note [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized debt issuance cost | $ 22,000 | $ 0 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Dec. 10, 2021 | Sep. 23, 2021 | Jun. 10, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Jan. 30, 2018 |
Debt Instrument [Line Items] | ||||||
Total debt | $ 363,580,000 | $ 198,669,000 | ||||
Line of credit facility, Minimum maturity period | 1 month | |||||
Line of credit facility, maturity period | 3 months | |||||
Line of credit facility, Maximum maturity period | 6 months | |||||
Debt matures in 2022 | $ 40,718,000 | |||||
Debt matures in 2023 | 37,857,000 | |||||
Debt matures in 2024 | 48,572,000 | |||||
Debt matures in 2025 | 62,858,000 | |||||
Debt matures in 2026 | 48,572,000 | |||||
Debt matures after 2026 | 125,713,000 | |||||
Amount of repayments of long-term debt due in next year | $ 37,857,000 | |||||
Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Commitment fee percentage | 0.15% | |||||
Minimum [Member] | LIBOR [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Spread rate | 1.25% | |||||
Minimum [Member] | Prime Rate [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Spread rate | 0.25% | |||||
Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Commitment fee percentage | 0.325% | |||||
Maximum [Member] | LIBOR [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Spread rate | 1.875% | |||||
Maximum [Member] | Prime Rate [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Spread rate | 0.875% | |||||
Unsecured Private Placement Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 360,719,000 | |||||
Debt instrument maturity dates description | The notes had original maturities of seven to 12 years with mandatory amortization of principal beginning four, five and six years after issuance. | |||||
Unsecured Private Placement Notes [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate percentage | 2.30% | |||||
Maturity Dates | 7 years | |||||
Unsecured Private Placement Notes [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument interest rate percentage | 4.86% | |||||
Maturity Dates | 12 years | |||||
Series 2021-A Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 50,000,000 | |||||
Debt instrument interest rate percentage | 2.30% | |||||
Debt instrument, periodic payment | semi-annually | |||||
Debt Instrument, Maturity Date | Jun. 10, 2028 | |||||
Series 2021-D Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 50,000,000 | |||||
Debt instrument interest rate percentage | 2.73% | |||||
Debt instrument, periodic payment | semi-annually | |||||
Debt Instrument, Maturity Date | Dec. 10, 2031 | |||||
Series 2021-B Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 50,000,000 | |||||
Debt instrument interest rate percentage | 2.37% | |||||
Debt instrument, periodic payment | semi-annually | |||||
Debt Instrument, Maturity Date | Sep. 23, 2028 | |||||
Series 2021-C Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 50,000,000 | |||||
Debt instrument interest rate percentage | 2.73% | |||||
Debt instrument, periodic payment | semi-annually | |||||
Debt Instrument, Maturity Date | Dec. 10, 2031 | |||||
Multi Currency Revolving Credit Agreement [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt Instrument, Maturity Date | Jan. 30, 2023 | |||||
Revolving credit agreement | $ 350,000,000 | $ 350,000,000 | ||||
Letters of Credit Outstanding | 6,720,000 | |||||
Outstanding borrowings | 0 | |||||
Unused Revolving credit | 343,280,000 | |||||
Unrestricted retained earnings | 468,095,000 | $ 373,884,000 | ||||
Debt of foreign subsidiaries Unsecured bank debt and Term Loan, foreign currency [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total debt | $ 2,861,000 |
Debt - Schedule of Net Interest
Debt - Schedule of Net Interest Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest Income Expense Net [Abstract] | |||
Interest expense | $ 10,145 | $ 9,859 | $ 12,744 |
Interest income | (1,255) | (2,171) | (5,717) |
Interest expense net of interest income | 8,890 | 7,688 | 7,027 |
Capitalized interest | (3,137) | (2,279) | (1,095) |
Interest expense, net | $ 5,753 | $ 5,409 | $ 5,932 |
Leases - Additional Information
Leases - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2021USD ($)Country | |
Operating Leased Assets [Line Items] | |
Operating Lease, Liability | $ 70,574,000 |
Number of countries leases reside | Country | 5 |
Percentage of value of leases reside | 98.00% |
Minimum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 1 year |
Maximum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 10 years |
Railcars [Member] | |
Operating Leased Assets [Line Items] | |
Percentage of lease asset categories | 60.00% |
Real Estate [Member] | |
Operating Leased Assets [Line Items] | |
Percentage of lease asset categories | 25.00% |
Real Estate [Member] | Minimum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 1 year |
Real Estate [Member] | Maximum [Member] | |
Operating Leased Assets [Line Items] | |
Lessee, operating lease, term of contract | 50 years |
Railcar and Storage Tank Leases [Member] | |
Operating Leased Assets [Line Items] | |
Operating Lease, Liability | $ 1,208,000 |
Leases - Schedule of Lease Cost
Leases - Schedule of Lease Cost Included in Cost of Sale and Operating Expenses (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Lease Cost | ||
Operating lease cost | $ 15,630 | $ 11,821 |
Short-term lease cost | 6,570 | 4,922 |
Variable lease cost | 892 | 1,135 |
Total lease cost | 23,092 | 17,878 |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flow from operating leases | 14,885 | 11,843 |
Right-of-use assets obtained in exchange for operating lease liabilities | $ 19,610 | $ 27,766 |
Leases - Schedule of Maturities
Leases - Schedule of Maturities of Lease Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2022 | $ 15,573 | |
2023 | 12,679 | |
2024 | 8,055 | |
2025 | 5,946 | |
2026 | 4,329 | |
Subsequent to 2026 | 36,439 | |
Total Undiscounted Cash Flows | 83,021 | |
Less: Imputed interest | (12,447) | |
Operating Lease, Liability | 70,574 | |
Current operating lease liabilities | $ 13,906 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued liabilities (Note 14) | |
Non-current operating lease liabilities | $ 56,668 | $ 51,567 |
Total lease liabilities | $ 70,574 |
Leases - Schedule of Operating
Leases - Schedule of Operating Leases Weighted Average, Remaining Lease Term and Discount Rate (Detail) | Dec. 31, 2021 |
Leases [Abstract] | |
Weighted-average remaining lease term-operating leases | 10 years |
Weighted-average discount rate-operating leases | 2.90% |
Other, Net - Other Net in Conso
Other, Net - Other Net in Consolidated Statements of Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other Nonoperating Income Expense [Abstract] | |||
Foreign exchange gains | $ 501 | $ 1,367 | $ 123 |
Investment income | 2,886 | 1,681 | 968 |
Realized and unrealized gains on investments | 2,289 | 3,143 | 3,955 |
Net periodic benefit cost | 302 | (874) | (351) |
Other retirement obligation | 559 | (363) | (694) |
Gain on sale of asset | 570 | ||
Gain on dissolution of the China joint venture | 972 | ||
Other, net | $ 7,509 | $ 4,954 | $ 4,571 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision for Taxes on Income and Other Related Income Before Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Federal | |||
Current | $ 35,057 | $ 21,889 | $ 9,998 |
Deferred | (25,653) | (3,453) | (2,879) |
State | |||
Current | 9,320 | 4,305 | 2,248 |
Deferred | (6,556) | (562) | (1,783) |
Foreign | |||
Current | 23,870 | 21,723 | 15,568 |
Deferred | (1,396) | (491) | (354) |
Total | 34,642 | 43,411 | 22,798 |
Income before Taxes | |||
Domestic | 77,696 | 81,906 | 63,399 |
Foreign | 94,841 | 89,161 | 62,500 |
Income Before Provision for Income Taxes | $ 172,537 | $ 171,067 | $ 125,899 |
Income Taxes - Summary of Varia
Income Taxes - Summary of Variations Between the Effective and Statutory U.S. Federal Income Tax Rates (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Income Tax Disclosure [Abstract] | ||||
Federal income tax provision at statutory tax rate | $ 36,233 | $ 35,924 | $ 26,439 | |
State income tax provision, less applicable federal tax benefit | [1] | 2,184 | 2,956 | 367 |
Foreign income taxed at different rates | 2,356 | 1,964 | 623 | |
U.S. taxation of foreign earnings | [2] | (134) | 4,134 | 2,349 |
Unrecognized tax benefits | 1,775 | 1,454 | 2,954 | |
Prior years return to provision true-up | [3] | (3,314) | (588) | (1,740) |
Stock based compensation, excess tax benefits | (1,287) | (1,816) | (1,633) | |
U.S. tax credits | [4] | (2,692) | (1,831) | (6,412) |
Non-deductible expenses and other items, net | (479) | 1,214 | (149) | |
Total | $ 34,642 | $ 43,411 | $ 22,798 | |
Percentage of Federal income tax provision at statutory tax rate | 21.00% | 21.00% | 21.00% | |
Percentage of state income tax provision, less applicable federal tax benefit | [1] | 1.30% | 1.70% | 0.30% |
Percentage of Foreign income taxed at different rates | 1.40% | 1.10% | 0.50% | |
Percentage of U.S. taxation of foreign earnings | [2] | (0.10%) | 2.40% | 1.90% |
Percentage of Unrecognized tax benefits | 1.00% | 0.80% | 2.30% | |
Percentage of Prior years return to provision true-up | (1.90%) | (0.30%) | (1.40%) | |
Percentage of stock based compensation, excess tax benefits | (0.70%) | (1.10%) | (1.30%) | |
Percentage of U.S. tax credits | [4] | (1.60%) | (1.10%) | (5.10%) |
Non-deductible expenses and other items, net | (0.30%) | 0.90% | (0.10%) | |
Percentage of Total income tax provision | 20.10% | 25.40% | 18.10% | |
[1] | For 2019, amount includes incremental state research credits for the tax years 2015 - 2019 that were identified as part of a research and development tax credit study. | |||
[2] | Includes cost of global intangible low-taxed income (GILTI) in 2021, 2020 and 2019 plus other taxes paid or withheld on cash repatriated from foreign countries in 2021, 2020 and 2019. For 2021, includes the benefit of separate limitation loss foreign tax credit attributes, related to prior years, that were utilized in 2021. | |||
[3] | For 2021, amount resulted from a higher federal research credit, higher foreign-derived intangible income (FDII), and lower GILTI related to the 2020 tax year. | |||
[4] | For 2019, amount includes incremental federal research credits for 2015 - 2019 that were identified as part of a research and development tax credit study. Also includes a federal tax rate change due to the classification of certain 2016 and 2017 depreciable fixed assets as deductible research costs. |
Income Taxes - Schedule Showing
Income Taxes - Schedule Showing Tax Effects of Significant Temporary Differences Representing Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred Tax Assets: | ||
Pensions | $ 537 | $ 4,935 |
Deferred revenue | 3,444 | 3,073 |
Other accruals and reserves | 13,331 | 14,960 |
Legal and environmental accruals | 7,385 | 7,055 |
Deferred compensation | 16,210 | 16,222 |
Bad debt and rebate reserves | 2,706 | 2,821 |
Non-U.S. subsidiaries net operating loss carryforwards | 1,494 | 2,495 |
Inventories | 3,108 | |
Tax credit carryforwards | 2,829 | 4,713 |
Deferred Tax Assets, Gross | 56,136 | 56,274 |
Deferred Tax Liabilities: | ||
Amortization of intangibles | 5,092 | |
Depreciation | (42,299) | (62,986) |
Unrealized foreign exchange loss | (2,908) | (2,444) |
Amortization of intangibles | (842) | |
Inventories | (2,504) | |
Other | (1,614) | (386) |
Deferred Tax Liabilities, Gross | (46,821) | (69,162) |
Valuation Allowance | (862) | (896) |
Net Deferred Tax Assets | 8,453 | |
Net Deferred Tax Liabilities | (13,784) | |
Reconciliation to Consolidated Balance Sheet: | ||
Non-current deferred tax assets (in other non-current assets) | 20,944 | 6,961 |
Non-current deferred tax liabilities | $ (12,491) | $ (20,745) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 12 Months Ended | |||
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Income Tax Disclosure [Abstract] | ||||
Deduction percentage of dividends received from distribution to earnings previously taxed | 100.00% | |||
Cash dividend declared from Philippines entities | $ 20,700,000 | |||
Additional income tax expense | $ 142,000 | $ 2,384,000 | ||
Increase in effective tax rate | 0.014 | |||
Foreign earnings repatriated | 15,340,000 | |||
Tax loss carryforwards | 3,351,000 | $ 6,551,000 | ||
Tax credit carryforwards | 2,829,000 | 4,713,000 | ||
Capital loss carryforwards | 638,000 | 633,000 | ||
Valuation Allowance | 862,000 | 896,000 | ||
Unrecognized tax benefits | 7,292,000 | 4,735,000 | $ 3,273,000 | $ 168,000 |
Unrecognized tax benefits that, if recognized, would impact effective tax rates | 6,973,000 | 4,545,000 | 3,105,000 | |
Net interest and penalty expense (income) | 260,000 | 31,000 | $ (19,000) | |
Income tax liability for interest and penalties | $ 340,000 | $ 80,000 |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliations of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits, opening balance | $ 4,735 | $ 3,273 | $ 168 |
Gross increases – tax positions in prior period | 938 | 190 | 2,760 |
Gross increases – current period tax positions | 1,662 | 1,288 | 355 |
Foreign currency translation | (14) | 15 | 7 |
Lapse of statute of limitations | (29) | (31) | (17) |
Unrecognized tax benefits, ending balance | $ 7,292 | $ 4,735 | $ 3,273 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Class Of Stock [Line Items] | |||
Treasury stock, shares | 4,340,729 | 4,185,242 | |
Shares purchased during period | 135,103 | 173,956 | 144,457 |
Treasury stock distributed under deferred compensation plan | 6,491 | ||
Stock purchased to settle employees statutory withholding taxes relates to performance stock awards and deferred compensation distribution | 26,875 | ||
Open Market Repurchases [Member] | |||
Class Of Stock [Line Items] | |||
Shares purchased during period | 135,103 |
Stock-based Compensation - Addi
Stock-based Compensation - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Shares of common stock authorized for share based payment awards under 2011 Plan | 2,600,000 | ||
Shares available for grant under the 2011 plan | 528,479 | ||
Compensation expenses | $ 11,716,000 | $ 10,080,000 | $ 8,872,000 |
Income tax benefit recognized in the income statement for share-based compensation arrangements | 2,867,000 | 2,390,000 | 1,501,000 |
Proceeds from stock option exercises | $ 1,369,000 | $ 2,926,000 | $ 3,037,000 |
Stock Option [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Period of expiration | 10 years | ||
Weighted-average grant-date fair values of options awarded | $ 36.49 | $ 25.90 | $ 26.49 |
Intrinsic values of options exercised | $ 1,287,000 | $ 2,534,000 | $ 2,518,000 |
Unrecognized compensation cost | $ 2,229,000 | ||
Weighted average period for amortization of unrecognized compensation cost | 1 year 8 months 12 days | ||
Actual tax benefit recognized for the tax deductions from stock based compensation | $ 172,000 | $ 339,000 | $ 348,000 |
Stock Option Granted Prior to 2017 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting period | 2 years | ||
Stock Options Granted in 2017 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Percentage of awards vesting in each year | 33.33% | ||
Performance Stock Award [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Performance stock awards vested | 0 | ||
Stock Awards [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Unrecognized compensation cost | $ 4,971,000 | ||
Weighted average period for amortization of unrecognized compensation cost | 1 year 7 months 6 days | ||
Performance stock awards vested | 48,613 | ||
Weighted-average grant-date fair values of awards granted | $ 119.76 | $ 98.46 | $ 89.12 |
SARs [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Period of expiration | 10 years | ||
Unrecognized compensation cost | $ 4,828,000 | ||
Weighted average period for amortization of unrecognized compensation cost | 1 year 8 months 12 days | ||
Weighted-average grant-date fair values of awards granted | $ 36.49 | $ 25.88 | $ 26.43 |
SARs liability cash-settled | $ 1,502,000 | $ 2,368,000 | |
SARs Granted Prior to 2017 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting period | 2 years | ||
SARs Granted in 2017 [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Percentage of awards vesting in each year | 33.33% |
Stock-based Compensation - Fair
Stock-based Compensation - Fair Value Assumptions for Stock Options (Detail) - Stock Option [Member] | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected dividend yield | 1.30% | 1.31% | 1.32% |
Expected volatility | 31.81% | 26.00% | 26.98% |
Expected term | 7 years 3 months 18 days | 7 years 3 months 18 days | 7 years 3 months 18 days |
Risk-free interest rate | 0.96% | 1.47% | 2.53% |
Stock-based Compensation - Summ
Stock-based Compensation - Summary of Stock Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Shares, Beginning Balance | 392,550 | ||
Granted, Shares | 66,352 | ||
Exercised, Shares | (20,435) | (48,389) | (59,799) |
Forfeited, Shares | (2,501) | ||
Shares, Ending Balance | 435,966 | 392,550 | |
Vested or expected to vest, Shares | 429,507 | ||
Exercisable, Shares | 363,297 | ||
Weighted Average Exercise Price, Beginning Balance | $ 74.24 | ||
Granted, Weighted Average Exercise Price | 123.70 | ||
Exercised, Weighted Average Exercise Price | 66.95 | ||
Forfeited, Weighted Average Exercise Price | 107.86 | ||
Weighted Average Exercise Price, Ending Balance | 81.92 | $ 74.24 | |
Vested or expected to vest, Weighted Average Exercise Price | 81.42 | ||
Exercisable, Weighted Average Exercise Price | $ 75.34 | ||
Weighted Average Remaining Contractual Term, Ending Balance | 6 years 2 months 4 days | ||
Vested or expected to vest, Weighted Average Remaining Contractual Term | 6 years 1 month 20 days | ||
Exercisable, Weighted Average Remaining Contractual Term | 5 years 8 months 1 day | ||
Aggregate Intrinsic Value, Ending Balance | $ 18,474 | ||
Vested or expected to vest, Aggregate Intrinsic Value | 18,415 | ||
Exercisable, Aggregate Intrinsic Value | $ 17,783 |
Stock-based Compensation - Su_2
Stock-based Compensation - Summary of Stock Award Activity (Detail) - Stock Awards [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Shares, Beginning Balance | 107,351 | ||
Granted, Shares | 40,127 | ||
Vested, Shares | (48,613) | ||
Forfeited/Modified due to change of assumptions, Shares | 4,413 | ||
Shares, Ending Balance | 103,278 | 107,351 | |
Unvested Weighted Average Grant Date Fair Value, Beginning Balance | $ 94.66 | ||
Granted, Weighted Average Grant Date Fair Value | 119.76 | $ 98.46 | $ 89.12 |
Vested, Weighted Average Grant Date Fair Value | 88.93 | ||
Forfeited/Modified due to change of assumptions, Weighted Average Grand Date Fair Value | 82.30 | ||
Unvested Weighted Average Grant Date Fair Value, Ending Balance | $ 61.30 | $ 94.66 |
Stock-based Compensation - Su_3
Stock-based Compensation - Summary of SARs Activity (Detail) - SARs [Member] $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($)$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Shares, Beginning Balance | shares | 653,498 |
Granted, Shares | shares | 143,104 |
Exercised, Shares | shares | (62,118) |
Forfeited, Shares | shares | (7,497) |
Shares, Ending Balance | shares | 726,987 |
Weighted Average Exercise Price, Beginning Balance | $ / shares | $ 80.64 |
Granted, Weighted Average Exercise Price | $ / shares | 123.68 |
Exercised, Weighted Average Exercise Price | $ / shares | 65.97 |
Forfeited, Weighted Average Exercise Price | $ / shares | 107.86 |
Weighted Average Exercise Price, Ending balance | $ / shares | $ 90.06 |
Weighted Average Remaining Contractual Term, Ending balance | 6 years 9 months 29 days |
Aggregate Intrinsic Value, Ending balance | $ | $ 24,885 |
Deferred Compensation - Additio
Deferred Compensation - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Deferred compensation | $ 6,895,000 | $ 9,988,000 | $ 15,140,000 |
Deferred compensation liability | $ 61,219,000 | $ 61,558,000 | |
Increase (decrease) in market price of common stock due to deferred compensation | $ (4.97) | $ 16.88 |
Postretirement Benefit Plans -
Postretirement Benefit Plans - Obligations and Funded Status (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
United States [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Benefit obligation at beginning of year | $ 187,371 | $ 176,499 | |
Interest cost | 4,671 | 5,668 | $ 6,616 |
Actuarial loss (income) | (8,682) | 13,327 | |
Benefits paid | (8,497) | (8,123) | |
Benefit obligation at end of year | 174,863 | 187,371 | 176,499 |
Fair value of plan assets at beginning of year | 175,336 | 160,423 | |
Actual return on plan assets | 11,459 | 22,738 | |
Employer contributions | 276 | 298 | |
Benefits paid | (8,497) | (8,123) | |
Fair value of plan assets at end of year | 178,574 | 175,336 | 160,423 |
Over (Under) funded status at end of year | 3,711 | (12,035) | |
United Kingdom [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Benefit obligation at beginning of year | 25,526 | 21,850 | |
Interest cost | 357 | 445 | 554 |
Actuarial loss (income) | (1,171) | 3,032 | |
Benefits paid | (1,198) | (657) | |
Foreign exchange impact | (238) | 856 | |
Benefit obligation at end of year | 23,276 | 25,526 | 21,850 |
Fair value of plan assets at beginning of year | 28,504 | 24,357 | |
Actual return on plan assets | (78) | 3,320 | |
Employer contributions | 526 | 526 | |
Benefits paid | (1,198) | (657) | |
Foreign exchange impact | (290) | 958 | |
Fair value of plan assets at end of year | 27,464 | 28,504 | $ 24,357 |
Over (Under) funded status at end of year | $ 4,188 | $ 2,978 |
Postretirement Benefit Plans _2
Postretirement Benefit Plans - Schedule of Amounts Recognized in Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
United States [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Non-current asset | $ 7,166 | $ 3,470 |
Current liability | (290) | (288) |
Non-current liability | (3,165) | (15,217) |
Net amount recognized | 3,711 | (12,035) |
United Kingdom [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Non-current asset | 4,188 | 2,978 |
Net amount recognized | $ 4,188 | $ 2,978 |
Postretirement Benefit Plans _3
Postretirement Benefit Plans - Amounts Recognized in Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
United States [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Net actuarial loss | $ 19,508 | $ 33,745 |
United Kingdom [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Net actuarial loss | $ 3,767 | $ 4,653 |
Postretirement Benefit Plans _4
Postretirement Benefit Plans - Information for Pension Plans with Projected Benefit Obligations in Excess of Plan Assets (Detail) - United States [Member] $ in Thousands | Dec. 31, 2020USD ($) |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |
Projected benefit obligation | $ 146,848 |
Accumulated benefit obligation | 146,848 |
Fair value of plan assets | $ 135,070 |
Postretirement Benefit Plans _5
Postretirement Benefit Plans - Components of Net Periodic Benefit Cost (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic benefit cost | $ (302) | $ 874 | $ 351 |
United States [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 4,671 | 5,668 | 6,616 |
Expected return on plan assets | (10,348) | (9,747) | (9,450) |
Amortization of net actuarial loss | 4,444 | 4,262 | 2,490 |
Net periodic benefit cost | (1,233) | 183 | (344) |
United Kingdom [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Interest cost | 357 | 445 | 554 |
Expected return on plan assets | (320) | (548) | (787) |
Amortization of net actuarial loss | 129 | 79 | 244 |
Net periodic benefit cost | $ 166 | $ (24) | $ 11 |
Postretirement Benefit Plans _6
Postretirement Benefit Plans - Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
United States [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Net actuarial (gain) loss | $ (9,793) | $ 336 | $ (5,174) |
Amortization of net actuarial loss | (4,444) | (4,262) | (2,490) |
Total recognized in other comprehensive income | (14,237) | (3,926) | (7,664) |
Total recognized in net periodic benefit cost and other comprehensive income | (15,470) | (3,743) | (8,008) |
United Kingdom [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Net actuarial (gain) loss | (757) | 272 | (1,144) |
Amortization of net actuarial loss | (129) | (79) | (244) |
Total recognized in other comprehensive income | (886) | 193 | (1,388) |
Total recognized in net periodic benefit cost and other comprehensive income | $ (720) | $ 169 | $ (1,377) |
Postretirement Benefit Plans _7
Postretirement Benefit Plans - Estimated Future Benefit Payments (Detail) $ in Thousands | Dec. 31, 2021USD ($) |
United States [Member] | |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |
2022 | $ 8,949 |
2023 | 9,283 |
2024 | 9,601 |
2025 | 9,829 |
2026 | 9,982 |
2027-2031 | 50,512 |
United Kingdom [Member] | |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |
2022 | 551 |
2023 | 594 |
2024 | 624 |
2025 | 652 |
2026 | 697 |
2027-2031 | $ 4,044 |
Postretirement Benefit Plans _8
Postretirement Benefit Plans - Weighted-Average Assumptions Used To Determine Benefit Obligations (Detail) | Dec. 31, 2021 | Dec. 31, 2020 |
United States [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Discount rate | 2.90% | 2.60% |
United Kingdom [Member] | ||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | ||
Discount rate | 1.80% | 1.40% |
Postretirement Benefit Plans _9
Postretirement Benefit Plans - The Weighted Average Assumptions Used to Determine Net Periodic Benefit Costs (Detail) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
United States [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Discount rate | 2.60% | 3.30% | 4.30% |
Expected long-term return on plan assets | 6.75% | 6.75% | 6.75% |
United Kingdom [Member] | |||
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |||
Discount rate | 1.40% | 2.10% | 2.80% |
Expected long-term return on plan assets | 1.13% | 2.30% | 3.82% |
Postretirement Benefit Plans_10
Postretirement Benefit Plans - Defined Benefit Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Feb. 24, 2021 | Feb. 24, 2020 | Feb. 21, 2019 | |
Defined Benefit Plan Disclosure [Line Items] | ||||||
Assets gains or losses added for prior year | 80.00% | |||||
Assets gains or losses added for second preceding year | 60.00% | |||||
Assets gains or losses added for third preceding year | 40.00% | |||||
Assets gains or losses added for fourth preceding year | 20.00% | |||||
United States [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Common shares sold to the Company's ESOP trust | 31,362 | 31,706 | 32,299 | |||
Expected long-term rate of return on assets | 6.75% | 6.75% | 6.75% | |||
Expected payment related to qualified plan | $ 0 | |||||
Expected payment related to non-qualified plan | $ 290,000 | |||||
U.K Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Expected long-term rate of return on assets | 1.13% | 2.30% | 3.82% | |||
Percentage of premium estimated return for equities and properties to risk free rate | 3.70% | |||||
Percentage of long term return in cash | 0.10% | |||||
Expected payment related to qualified plan | $ 505,000 | |||||
Equities [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 25.00% | |||||
Percentage of target allocation for investment including stock category | 35.00% | |||||
Expected long-term rate of return on assets | 7.81% | |||||
Equities [Member] | U.K Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 13.00% | |||||
Debt Securities [Member] | United States [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 63.00% | |||||
Debt Securities [Member] | U.K Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 74.00% | |||||
Cash [Member] | United States [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 2.00% | |||||
Cash [Member] | U.K Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 9.00% | |||||
Insurance Contracts [Member] | U.K Plans [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Percentage of target allocation for investment category | 4.00% | |||||
U.S. and international equities [Member] | ||||||
Defined Benefit Plan Disclosure [Line Items] | ||||||
Expected long-term rate of return on assets | 4.13% |
Postretirement Benefit Plans_11
Postretirement Benefit Plans - Company's Asset Allocations for its U.S. Pension Plans by Asset Category (Detail) - United States [Member] - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 178,574 | $ 175,336 | $ 160,423 |
Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 93,821 | 124,106 | |
Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 84,753 | 51,230 | |
Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 10,918 | 7,056 | |
Cash and Cash Equivalents [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 10,918 | 7,056 | |
Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 62,831 | 105,898 | |
Equity Securities [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 62,831 | 105,898 | |
U.S. Equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 25,083 | 54,805 | |
U.S. Equities [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 25,083 | 54,805 | |
Non-U.S. Equities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 12,544 | 23,155 | |
Non-U.S. Equities [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 12,544 | 23,155 | |
Employer Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 25,204 | 27,938 | |
Employer Securities [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 25,204 | 27,938 | |
Fixed Income Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 104,825 | 62,382 | |
Fixed Income Securities [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20,072 | 11,152 | |
Fixed Income Securities [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 84,753 | 51,230 | |
U.S. Corporate Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 69,073 | 41,489 | |
U.S. Corporate Bonds [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 69,073 | 41,489 | |
U.S. Government and Agency Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 22,917 | 12,722 | |
U.S. Government and Agency Bonds [Member] | Level 1 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20,072 | 11,152 | |
U.S. Government and Agency Bonds [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 2,845 | 1,570 | |
Other Bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 12,835 | 8,171 | |
Other Bonds [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 12,835 | $ 8,171 |
Postretirement Benefit Plans_12
Postretirement Benefit Plans - Company's Asset Allocations for its U.K. Pension Plans by Asset Category (Detail) - United Kingdom [Member] - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 27,464 | $ 28,504 | $ 24,357 |
Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 26,461 | 27,345 | |
Level 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 1,003 | 1,159 | |
Cash [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 2,414 | 2,576 | |
Cash [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 2,414 | 2,576 | |
Pooled Pension Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 3,715 | 3,603 | |
Pooled Pension Funds [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 3,715 | 3,603 | |
Pooled Fixed Pension Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20,332 | 21,166 | |
Pooled Fixed Pension Funds [Member] | Level 2 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20,332 | 21,166 | |
Insurance Contracts [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 1,003 | 1,159 | |
Insurance Contracts [Member] | Level 3 [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 1,003 | $ 1,159 |
Postretirement Benefit Plans_13
Postretirement Benefit Plans - Fair Value Changes Within Asset Categories for which Fair Value Measurements Use Significant Unobservable Inputs Level 3 (Detail) - Insurance Contracts [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Beginning balance | $ 1,159 | $ 1,205 |
Sale proceeds (benefit payments) | (131) | (119) |
Change in unrealized gain | (15) | 41 |
Foreign exchange impact | (10) | 32 |
Ending balance | $ 1,003 | $ 1,159 |
Postretirement Benefit Plans_14
Postretirement Benefit Plans - Defined Contribution Expenses for Company's Qualified Defined Contribution Plans and Statutory Profit Sharing Contributions (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Total defined contribution expense | $ 13,215 | $ 14,142 | $ 12,030 |
Retirement Contributions [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Total defined contribution expense | 8,134 | 8,035 | 7,328 |
Profit Sharing Contributions [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Total defined contribution expense | $ 5,081 | $ 6,107 | $ 4,702 |
Postretirement Benefit Plans_15
Postretirement Benefit Plans - Defined Contribution Plans - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Supplemental plan liability balances | $ 2,221 | $ 1,853 | |
Defined contribution plan expense | $ 13,215 | 14,142 | $ 12,030 |
Percentage of union and non-union employees eligible for either statutory or Company's sponsored profit sharing contributions | 77.00% | ||
Percentage of us based union and non-union employees eligible for either statutory or Company's sponsored profit sharing contributions | 100.00% | ||
Statutory Plans [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Defined contribution plan expense | $ 219 | 1,679 | $ 935 |
Defined Contribution Plans [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Balance of trust assets | $ 2,146 | $ 1,778 |
Accrued Liabilities - Compositi
Accrued Liabilities - Composition of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Payables And Accruals [Abstract] | ||
Accrued payroll and benefits | $ 70,983 | $ 79,070 |
Accrued customer rebates | 21,030 | 23,628 |
Other accrued liabilities | 44,383 | 39,249 |
Total accrued liabilities | $ 136,396 | $ 141,947 |
Other Non-Current Liabilities -
Other Non-Current Liabilities - Statement of Composition of Other Non Current Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Other Liabilities Disclosure [Abstract] | ||
Deferred revenue | $ 9,979 | $ 11,276 |
Environmental and legal matters | 17,663 | 17,921 |
Deferred compensation liability | 50,122 | 51,508 |
Pension liability | 4,552 | 17,229 |
Other non-current liabilities | 16,606 | 16,359 |
Total other non-current liabilities | $ 98,922 | $ 114,293 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Site Contingency [Line Items] | ||
Environmental losses accrual | $ 23,127,000 | $ 22,884,000 |
Cash expenditures related to legal and environmental matters | $ 3,461,000 | $ 4,483,000 |
Contribution for future response costs | 5.00% | |
Wilmington Site [Member] | ||
Site Contingency [Line Items] | ||
Payment of environmental response costs | $ 3,243,000 | |
Minimum [Member] | ||
Site Contingency [Line Items] | ||
Environmental losses and legal losses | 23,127,000 | |
Maximum [Member] | ||
Site Contingency [Line Items] | ||
Environmental losses and legal losses | $ 41,659,000 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2021Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Reporting - Operating S
Segment Reporting - Operating Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Segment Reporting Information [Line Items] | ||||
Net sales | [1] | $ 2,345,966 | $ 1,869,750 | $ 1,858,745 |
Operating income | 170,781 | 171,522 | 127,260 | |
Assets | 2,065,612 | 1,752,336 | 1,579,367 | |
Capital expenditures | 194,482 | 125,792 | 105,572 | |
Depreciation and amortization expenses | 90,876 | 81,860 | 78,701 | |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2,345,966 | 1,869,750 | 1,858,745 | |
Operating income | 253,768 | 251,281 | 208,762 | |
Assets | 1,880,106 | 1,472,738 | 1,331,929 | |
Capital expenditures | 189,006 | 121,163 | 103,354 | |
Depreciation and amortization expenses | 87,809 | 77,988 | 76,056 | |
Surfactants [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,562,795 | 1,351,686 | 1,272,723 | |
Surfactants [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,562,795 | 1,351,686 | 1,272,723 | |
Operating income | 165,999 | 169,101 | 122,780 | |
Assets | 1,245,207 | 1,018,555 | 907,032 | |
Capital expenditures | 154,953 | 88,484 | 69,725 | |
Depreciation and amortization expenses | 51,375 | 49,429 | 48,422 | |
Polymers [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 713,440 | 452,277 | 512,347 | |
Polymers [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 713,440 | 452,277 | 512,347 | |
Operating income | 73,591 | 68,214 | 69,567 | |
Assets | 556,799 | 361,219 | 338,179 | |
Capital expenditures | 29,077 | 26,719 | 29,188 | |
Depreciation and amortization expenses | 30,598 | 22,873 | 22,151 | |
Specialty Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 69,731 | 65,787 | 73,675 | |
Specialty Products [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 69,731 | 65,787 | 73,675 | |
Operating income | 14,178 | 13,966 | 16,415 | |
Assets | 78,100 | 92,964 | 86,718 | |
Capital expenditures | 4,976 | 5,960 | 4,441 | |
Depreciation and amortization expenses | $ 5,836 | $ 5,686 | $ 5,483 | |
[1] | Net sales are attributed to countries based on the location of the Company legal entity making the sale. |
Segment Reporting - Reconciliat
Segment Reporting - Reconciliation of Segment Information to Consolidated Financial Statements (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Segment Reporting Information [Line Items] | ||||
Operating income | $ 170,781 | $ 171,522 | $ 127,260 | |
Business restructuring and asset disposition | [1] | (3,353) | (1,212) | (2,744) |
Interest expense, net | (5,753) | (5,409) | (5,932) | |
Other, net | 7,509 | 4,954 | 4,571 | |
Consolidated income before income taxes | 172,537 | 171,067 | 125,899 | |
Assets | 2,065,612 | 1,752,336 | 1,579,367 | |
Capital expenditures | 194,482 | 125,792 | 105,572 | |
Depreciation and amortization | 90,876 | 81,860 | 78,701 | |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating income | 253,768 | 251,281 | 208,762 | |
Assets | 1,880,106 | 1,472,738 | 1,331,929 | |
Capital expenditures | 189,006 | 121,163 | 103,354 | |
Depreciation and amortization | 87,809 | 77,988 | 76,056 | |
Segment Reconciling Items [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Unallocated corporate expenses | [2] | (79,634) | (78,547) | (78,758) |
Unallocated corporate assets | 185,506 | 279,598 | 247,438 | |
Unallocated corporate expenditures | 5,476 | 4,629 | 2,218 | |
Unallocated corporate depreciation expenses | $ 3,067 | $ 3,872 | $ 2,645 | |
[1] | See Note 22, Business Restructuring | |||
[2] | Unallocated corporate expenses are primarily comprised of corporate administrative expenses (e.g., corporate finance, legal, human resources, information systems, deferred compensation and environmental remediation) that are not included in segment operating income and not used to evaluate segment performance . |
Segment Reporting - Summary of
Segment Reporting - Summary of Company Wide Geographic Data (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | $ 2,345,966 | $ 1,869,750 | $ 1,858,745 |
Long-lived assets | [2] | 1,008,575 | 734,707 | 680,755 |
United States [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 1,297,650 | 1,117,695 | 1,115,993 |
Long-lived assets | [2] | 668,362 | 499,260 | 462,199 |
France [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 179,746 | 141,516 | 145,933 |
Poland [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 198,883 | 147,289 | 156,391 |
United Kingdom [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 208,780 | 93,115 | 96,842 |
Long-lived assets | [2] | 38,634 | 24,335 | 21,551 |
All Other Countries [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 196,164 | 163,733 | 157,836 |
Long-lived assets | [2] | 39,034 | 42,970 | 42,280 |
Mexico [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 127,944 | 100,763 | 83,160 |
Long-lived assets | [2] | 45,384 | 39,482 | 21,959 |
Brazil [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Net sales | [1] | 136,799 | 105,639 | 102,590 |
Long-lived assets | [2] | 35,294 | 35,786 | 46,740 |
Germany [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Long-lived assets | [2] | 41,438 | 39,759 | 30,084 |
Singapore [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Long-lived assets | [2] | 23,507 | 25,815 | 28,741 |
Netherlands [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Long-lived assets | [2] | 85,931 | ||
China [Member] | ||||
Schedule Of Geographical Segments [Line Items] | ||||
Long-lived assets | [2] | $ 30,991 | $ 27,300 | $ 27,201 |
[1] | Net sales are attributed to countries based on the location of the Company legal entity making the sale. | |||
[2] | Includes net property, plant and equipment, goodwill and other intangible assets. |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Computation of Basic Earnings per Share | ||||
Net income attributable to Stepan Company | $ 137,804 | $ 126,770 | $ 103,129 | |
Weighted-average number of shares outstanding | 22,922 | 22,949 | 23,054 | |
Basic earnings per share | $ 6.01 | $ 5.52 | $ 4.47 | |
Computation of Diluted Earnings per Share | ||||
Net income attributable to Stepan Company | $ 137,804 | $ 126,770 | $ 103,129 | |
Weighted-average number of shares outstanding | 22,922 | 22,949 | 23,054 | |
Add weighted-average net shares related to unvested stock awards (under treasury share method) | 1 | 1 | 2 | |
Weighted-average shares applicable to diluted earnings | 23,287 | 23,256 | 23,316 | |
Diluted earnings per share | $ 5.92 | $ 5.45 | $ 4.42 | |
Stock Option [Member] | ||||
Computation of Diluted Earnings per Share | ||||
Add weighted-average net shares from assumed exercise of options (under treasury share method) | [1] | 138 | 112 | 97 |
Stock Appreciation Rights (SARs) [Member] | ||||
Computation of Diluted Earnings per Share | ||||
Add weighted-average net shares from assumed exercise of options (under treasury share method) | 166 | 145 | 125 | |
Performance Stock Award [Member] | ||||
Computation of Diluted Earnings per Share | ||||
Add weighted-average net shares from assumed exercise of options (under treasury share method) | 60 | 49 | 38 | |
[1] | Options/SARs to purchase 103,182, 127,434 and 107,125 shares of common stock were excluded from the computations of diluted earnings per share for the years ended December 31, 2021, 2020 and 2019, respectively. The options’/SARs’ exercise prices were greater than the average market price for the common stock and inclusion of the instruments would have had an antidilutive effect on the computations of the earnings per share. |
Earnings Per Share - Computat_2
Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Parenthetical) (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Options and Stock Appreciation Rights (SARs) [Member] | |||
Earnings Per Share Basic [Line Items] | |||
Options/SARs to purchase shares of common stock were excluded from the computations of diluted earnings per share | 103,182 | 127,434 | 107,125 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Summary of Changes in Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning Balance | $ 986,693 | ||
Other comprehensive income before reclassifications | (19,997) | $ (4,042) | $ 8,556 |
Amounts reclassified from AOCI | 3,642 | 3,331 | 2,082 |
Remeasurement adjustment related to the Tax Act | (5,325) | ||
Net current period other comprehensive income | (16,355) | (711) | 5,313 |
Ending Balance | 1,074,193 | 986,693 | |
Foreign Currency Translation Adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning Balance | (107,083) | (104,037) | (108,481) |
Other comprehensive income before reclassifications | (28,185) | (3,046) | 4,444 |
Net current period other comprehensive income | (28,185) | (3,046) | 4,444 |
Ending Balance | (135,268) | (107,083) | (104,037) |
Defined Benefit Pension Plan Adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning Balance | (29,861) | (32,205) | (33,083) |
Other comprehensive income before reclassifications | 8,188 | (996) | 4,112 |
Amounts reclassified from AOCI | 3,651 | 3,340 | 2,091 |
Remeasurement adjustment related to the Tax Act | (5,325) | ||
Net current period other comprehensive income | 11,839 | 2,344 | 878 |
Ending Balance | (18,022) | (29,861) | (32,205) |
Cash Flow Hedge Adjustments [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning Balance | 63 | 72 | 81 |
Amounts reclassified from AOCI | (9) | (9) | (9) |
Remeasurement adjustment related to the Tax Act | 0 | ||
Net current period other comprehensive income | (9) | (9) | (9) |
Ending Balance | 54 | 63 | 72 |
AOCI Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Beginning Balance | (136,881) | (136,170) | (141,483) |
Ending Balance | $ (153,236) | $ (136,881) | $ (136,170) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Summary of Amounts Reclassified Out of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Income Before Provision for Income Taxes | $ 172,537 | $ 171,067 | $ 125,899 | |
Tax benefit | (34,642) | (43,411) | (22,798) | |
Cost of Sales | 1,950,156 | 1,486,137 | 1,519,031 | |
Defined Benefit Pension Plan Adjustments [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Prior service cost | [1] | (12) | (11) | (12) |
Actuarial loss | [1] | (4,800) | (4,421) | (2,739) |
Income Before Provision for Income Taxes | [1],[2] | (4,812) | (4,432) | (2,751) |
Tax benefit | [1] | 1,161 | 1,092 | 660 |
Income applicable to common stock | [1] | (3,651) | (3,340) | (2,091) |
Income applicable to common stock | [1] | (3,651) | (3,340) | (2,091) |
Cash Flow Hedge Adjustments [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Income Before Provision for Income Taxes | [1] | 9 | 9 | 9 |
Income applicable to common stock | [1] | 9 | 9 | 9 |
Income applicable to common stock | [1] | 9 | 9 | 9 |
Cash Flow Hedge Adjustments [Member] | Foreign exchange contracts [Member] | Amounts Reclassified From Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Cost of Sales | [1] | 9 | 9 | 9 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||||
Reclassification Adjustment Out Of Accumulated Other Comprehensive Income [Line Items] | ||||
Income applicable to common stock | [1] | (3,642) | (3,331) | (2,082) |
Income applicable to common stock | [1] | $ (3,642) | $ (3,331) | $ (2,082) |
[1] | (1) Amounts in parentheses denote expense to statement of income. | |||
[2] | This component of accumulated other comprehensive income is included in the computation of net periodic benefit cost (see Note 13, Postretirement Benefit Plans , of the notes to the Company’s consolidated financial statements for details regarding net periodic benefit costs for the Company’s U.S. and U.K. defined benefit plans). |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) | Feb. 02, 2021USD ($) | Jan. 29, 2021USD ($)Site | Sep. 17, 2020USD ($) | Mar. 13, 2020USD ($) | Dec. 17, 2019USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Business Acquisition [Line Items] | ||||||||
Payment of working capital | $ 21,560,000 | |||||||
Payment of value added tax | 3,000,000 | |||||||
Cash acquired on working capital | $ 5,900,000 | |||||||
Paid from cash on hand, assets acquired | $ 3,503,000 | $ 2,040,000 | ||||||
Goodwill | 97,187,000 | 27,972,000 | $ 26,086,000 | |||||
Polymer Segment [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Goodwill | 74,482,000 | 5,419,000 | 5,406,000 | |||||
Surfactants Segment [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Goodwill | 22,222,000 | $ 22,070,000 | $ 20,197,000 | |||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | 2021 Acquisitions [Member] | Acquisition-related Costs [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Net income attributable to Stepan Company | 1,890,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Asset purchase agreement date | Jan. 29, 2021 | |||||||
Number of manufacturing site | Site | 2 | |||||||
Purchase price | $ 165,000,000 | |||||||
Acquisition-related expenses | 1,890,000 | |||||||
Goodwill | 64,800,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Legal, Consulting, Valuation and Accounting Services [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Acquisition-related expenses | 3,837,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Technology and Manufacturing Know-how [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 13,000,000 | |||||||
Intangible assets identified related to acquisition | 13,000,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Trademarks [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 8,000,000 | |||||||
Intangible assets identified related to acquisition | 8,000,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Customer Relationships [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 25,000,000 | |||||||
Intangible assets identified related to acquisition | $ 25,000,000 | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Customer Relationships [Member] | Minimum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Weighted average amortization periods of identifiable intangibles assets | 12 years | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Customer Relationships [Member] | Maximum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Weighted average amortization periods of identifiable intangibles assets | 14 years | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Know-how and Trademarks [Member] | Minimum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Weighted average amortization periods of identifiable intangibles assets | 7 years | |||||||
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | Polymer Segment [Member] | 2021 Acquisitions [Member] | Know-how and Trademarks [Member] | Maximum [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Weighted average amortization periods of identifiable intangibles assets | 8 years | |||||||
Fermentation Plant Acquisition | 2021 Acquisitions [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Paid from cash on hand, assets acquired | $ 3,500,000 | |||||||
Clariant (Mexico) [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Purchase price | 14,308,000 | |||||||
Payment of value added tax | $ 308,000 | |||||||
Purchase price | $ 14,000,000 | |||||||
Goodwill | 5,165,000 | |||||||
Clariant (Mexico) [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | Trademarks and Know-how [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 1,300,000 | |||||||
Intangible assets identified related to acquisition | $ 1,300,000 | |||||||
Logos Technologies Asset Acquisition [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Paid from cash on hand, assets acquired | $ 2,040,000 | |||||||
Logos Technologies Asset Acquisition [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | Laboratory Equipment [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Equipment acquired | 184,000 | |||||||
Logos Technologies Asset Acquisition [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | Trademarks and Know-how [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Intangible assets acquired | 1,392,000 | |||||||
Logos Technologies Asset Acquisition [Member] | Surfactants Segment [Member] | 2020 Acquisitions [Member] | Patents [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Intangible assets acquired | $ 464,000 | |||||||
Oilfield Demulsifier Product Line [Member] | Surfactants Segment [Member] | 2019 Acquisition [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Purchase price | $ 9,000,000 | |||||||
Weighted average amortization periods of identifiable intangibles assets | 20 years | |||||||
Goodwill | $ 3,161,000 | |||||||
Oilfield Demulsifier Product Line [Member] | Surfactants Segment [Member] | 2019 Acquisition [Member] | Customer Relationships [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 1,900,000 | |||||||
Intangible assets identified related to acquisition | 1,900,000 | |||||||
Oilfield Demulsifier Product Line [Member] | Surfactants Segment [Member] | 2019 Acquisition [Member] | Product Know-how [Member] | ||||||||
Business Acquisition [Line Items] | ||||||||
Identifiable intangible assets | 3,300,000 | |||||||
Intangible assets identified related to acquisition | $ 3,300,000 |
Acquisitions - Summary of Purch
Acquisitions - Summary of Purchase Price Allocation for Major Components of Acquisition (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Jan. 29, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Assets: | ||||
Goodwill | $ 97,187 | $ 27,972 | $ 26,086 | |
Polymer Segment [Member] | ||||
Assets: | ||||
Goodwill | $ 74,482 | $ 5,419 | $ 5,406 | |
INVISTA Aromatic Polyester Polyol Business Acquisition [Member] | 2021 Acquisitions [Member] | Polymer Segment [Member] | ||||
Assets: | ||||
Property, plant and equipment | $ 54,200 | |||
Identifiable intangibles assets | 46,000 | |||
Goodwill | 64,800 | |||
Total assets acquired | $ 165,000 |
Acquisitions - Summary of Pro f
Acquisitions - Summary of Pro forma Financial Information (Detail) - INVISTA Aromatic Polyester Polyol Business Acquisition [Member] - 2021 Acquisitions [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Business Acquisition [Line Items] | ||
Net Sales | $ 2,358,405 | $ 1,971,750 |
Net Income Attributable to Stepan Company | $ 140,869 | $ 133,291 |
Acquisitions - Summary of Pur_2
Acquisitions - Summary of Purchase Price Allocation for Acquisition (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 17, 2020 | Dec. 31, 2019 |
Assets: | ||||
Goodwill | $ 97,187 | $ 27,972 | $ 26,086 | |
Surfactants Segment [Member] | ||||
Assets: | ||||
Goodwill | $ 22,222 | $ 22,070 | $ 20,197 | |
2020 Acquisitions [Member] | Clariant (Mexico) [Member] | Surfactants Segment [Member] | ||||
Assets: | ||||
Goodwill | $ 5,165 | |||
Property, plant and equipment | 175 | |||
Total assets acquired | 14,940 | |||
Liabilities: | ||||
Other non-current liabilities | 940 | |||
Total liabilities assumed | 940 | |||
Net assets acquired | 14,000 | |||
2020 Acquisitions [Member] | Clariant (Mexico) [Member] | Surfactants Segment [Member] | Customer Lists [Member} | ||||
Assets: | ||||
Identifiable intangible assets | 8,000 | |||
2020 Acquisitions [Member] | Clariant (Mexico) [Member] | Surfactants Segment [Member] | Trademarks and Know-how [Member] | ||||
Assets: | ||||
Identifiable intangible assets | 1,300 | |||
2020 Acquisitions [Member] | Clariant (Mexico) [Member] | Surfactants Segment [Member] | Non-compete Agreements [Member] | ||||
Assets: | ||||
Identifiable intangible assets | $ 300 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Revenue From Contract With Customer [Abstract] | ||
Contract assets | $ 0 | |
Contract liabilities | 1,376,000 | $ 773,000 |
Contract liabilities revenue recognized | $ 0 | $ 10,709,000 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Summary of Geographic Disaggregation of Net Sales (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | [1] | $ 2,345,966 | $ 1,869,750 | $ 1,858,745 |
Polymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 713,440 | 452,277 | 512,347 | |
Specialty Products [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 69,731 | 65,787 | 73,675 | |
Surfactants [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,562,795 | 1,351,686 | 1,272,723 | |
North America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,328,312 | 1,148,996 | 1,142,391 | |
North America [Member] | Polymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 364,382 | 265,700 | 314,549 | |
North America [Member] | Specialty Products [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 59,461 | 56,455 | 61,501 | |
North America [Member] | Surfactants [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 904,469 | 826,841 | 766,341 | |
Europe [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 600,024 | 391,252 | 411,340 | |
Europe [Member] | Polymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 302,137 | 147,289 | 158,455 | |
Europe [Member] | Specialty Products [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 9,152 | 9,332 | 12,174 | |
Europe [Member] | Surfactants [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 288,735 | 234,631 | 240,711 | |
Latin America [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 304,542 | 237,066 | 215,709 | |
Latin America [Member] | Polymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 3,823 | 2,498 | 3,304 | |
Latin America [Member] | Specialty Products [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 1,118 | |||
Latin America [Member] | Surfactants [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 299,601 | 234,568 | 212,405 | |
Asia [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 113,088 | 92,436 | 89,305 | |
Asia [Member] | Polymers [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 43,098 | 36,790 | 36,039 | |
Asia [Member] | Surfactants [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 69,990 | $ 55,646 | $ 53,266 | |
[1] | Net sales are attributed to countries based on the location of the Company legal entity making the sale. |
Business Restructuring and As_2
Business Restructuring and Asset Disposition - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2021USD ($) | Dec. 31, 2021USD ($)Employees | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Restructuring Cost And Reserve [Line Items] | |||||
Restructuring costs | $ 3,353,000 | $ 1,212,000 | $ 2,744,000 | ||
Gain on sale of asset | 570,000 | ||||
Discontinued Operations, Disposed of by Sale | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Gain on sale of asset | $ (2,720,000) | ||||
2019 Restructuring [Member] | Netherlands [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Severance costs | 554,000 | ||||
2019 Restructuring [Member] | Early Termination of Lease Expenses [Member] | Netherlands [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Business restructuring | 122,000 | ||||
2018 Restructuring [Member] | Germany [Member] | Asset and Spare Part [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Restructuring costs | $ 1,404,000 | ||||
2018 Restructuring [Member] | Germany [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Restructuring costs | 2,392,000 | ||||
2018 Restructuring [Member] | Cumulative Decommissioning Costs [Member] | Germany [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Restructuring costs | 988,000 | ||||
2018 Restructuring [Member] | Decommissioning Costs [Member] | Germany [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Restructuring costs | 79,000 | 909,000 | |||
2016 Restructuring [Member] | Longford Mills [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Business restructuring | $ 9,250,000 | ||||
Number positions eliminated | Employees | 30 | ||||
2016 Restructuring [Member] | Decommissioning Costs [Member] | Longford Mills [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Business restructuring | $ 633,000 | $ 1,133,000 | $ 1,410,000 | ||
2016 Restructuring [Member] | Termination Benefits [Member] | Longford Mills [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Business restructuring | 1,644,000 | ||||
2016 Restructuring [Member] | Other Expense [Member] | Longford Mills [Member] | Surfactants [Member] | |||||
Restructuring Cost And Reserve [Line Items] | |||||
Business restructuring | $ 7,606,000 |
Insurance Recovery - Additional
Insurance Recovery - Additional Information (Detail) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | |
Insurance Recovery [Line Items] | |||
Insurance recovery proceeds | $ 18,000,000 | $ 8,965,000 | |
Surfactants Segment [Member] | |||
Insurance Recovery [Line Items] | |||
Insurance recovery proceeds | $ 5,200,000 | ||
Polymer Segment [Member] | |||
Insurance Recovery [Line Items] | |||
Insurance recovery proceeds | $ 12,800,000 |
Customer Claims - Additional In
Customer Claims - Additional Information (Detail) - Surfactants [Member] | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2019USD ($) | Dec. 31, 2017USD ($)Claim | Dec. 31, 2016Claim | Dec. 31, 2016USD ($) | |
Loss Contingencies [Line Items] | ||||
Number of customer claims | Claim | 2 | |||
Insurance claims reserve amount | $ | $ 7,367,000 | |||
Claim paid | $ | $ 703,000 | $ 2,709,000 | ||
Number of claims and reversed | Claim | 1 |
Noncash Investing and Financi_2
Noncash Investing and Financing Activities - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Supplemental Cash Flow Elements [Line Items] | |||
Noncash investing activities, payables incurred for property, plant and equipment expenditures, unpaid | $ 36,588,000 | $ 17,946,000 | $ 16,890,000 |
Common Stock [Member] | Stock Award Plan [Member] | |||
Supplemental Cash Flow Elements [Line Items] | |||
Noncash financing activities shares issued | 60,132 | 58,282 | 96,095 |
Noncash financing activities issued value | $ 7,286,000 | $ 5,485,000 | $ 8,893,000 |