OSHKOSH CORP, 10-Q filed on 1/25/2018
Quarterly Report
Document and Entity Information
3 Months Ended
Dec. 31, 2017
Jan. 18, 2018
Document and Entity Information [Abstract]
 
 
Entity Registrant Name
OSHKOSH CORP 
 
Entity Central Index Key
0000775158 
 
Current Fiscal Year End Date
--09-30 
 
Entity Filer Category
Large Accelerated Filer 
 
Document Type
10-Q 
 
Document Period End Date
Dec. 31, 2017 
 
Document Fiscal Year Focus
2018 
 
Document Fiscal Period Focus
Q1 
 
Amendment Flag
false 
 
Entity Common Stock, Shares Outstanding
 
74,645,959 
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Income Statement [Abstract]
 
 
Net sales
$ 1,586.3 
$ 1,211.4 
Cost of sales
1,344.1 
1,011.7 
Gross income
242.2 
199.7 
Operating expenses:
 
 
Selling, general and administrative
157.8 
151.0 
Amortization of purchased intangibles
10.6 
12.5 
Total operating expenses
168.4 
163.5 
Operating income
73.8 
36.2 
Other income (expense):
 
 
Interest expense
(15.4)
(14.7)
Interest income
1.7 
0.8 
Miscellaneous, net
0.5 
1.3 
Income before income taxes and equity in earnings of unconsolidated affiliates
60.6 
23.6 
Provision for income taxes
4.7 
5.2 
Income before equity in earnings of unconsolidated affiliates
55.9 
18.4 
Equity in earnings of unconsolidated affiliates
0.5 
0.8 
Net income
$ 56.4 
$ 19.2 
Earnings per share attributable to common shareholders:
 
 
Basic earnings per share (in dollars per share)
$ 0.75 
$ 0.26 
Diluted earnings per share (in dollars per share)
$ 0.74 
$ 0.26 
Cash dividends declared per share on common stock (in dollars per share)
$ 0.24 
$ 0.21 
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Statement of Comprehensive Income [Abstract]
 
 
Net income
$ 56.4 
$ 19.2 
Other comprehensive income (loss), net of tax:
 
 
Employee pension and postretirement benefits
0.5 
0.8 
Currency translation adjustments
2.1 
(30.4)
Total other comprehensive income (loss), net of tax
2.6 
(29.6)
Comprehensive income (loss)
$ 59.0 
$ (10.4)
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Current assets:
 
 
Cash and cash equivalents
$ 379.1 
$ 447.0 
Receivables, net
1,229.4 
1,306.3 
Inventories, net
1,219.9 
1,198.4 
Other current assets
88.2 
88.1 
Total current assets
2,916.6 
3,039.8 
Property, plant and equipment, net
458.0 
469.9 
Goodwill
1,015.8 
1,013.0 
Purchased intangible assets, net
497.3 
507.8 
Other long-term assets
74.4 
68.4 
Total assets
4,962.1 
5,098.9 
Current liabilities:
 
 
Revolving credit facilities and current maturities of long-term debt
29.7 
23.0 
Accounts payable
554.8 
651.0 
Customer advances
551.3 
513.4 
Payroll-related obligations
129.6 
191.8 
Other current liabilities
300.0 
303.9 
Total current liabilities
1,565.4 
1,683.1 
Long-term debt, less current maturities
803.4 
807.9 
Other long-term liabilities
299.9 
300.5 
Commitments and contingencies
   
   
Shareholders' equity:
 
 
Preferred Stock ($.01 par value; 2,000,000 shares authorized; none issued and outstanding)
0 
0 
Common Stock ($.01 par value; 300,000,000 shares authorized; 92,101,465 shares issued)
0.9 
0.9 
Additional paid-in capital
799.3 
802.2 
Retained earnings
2,438.2 
2,399.8 
Accumulated other comprehensive loss
(122.4)
(125.0)
Common Stock in treasury, at cost (17,477,614 and 17,088,224 shares, respectively)
(822.6)
(770.5)
Total shareholders’ equity
2,293.4 
2,307.4 
Total liabilities and shareholders' equity
$ 4,962.1 
$ 5,098.9 
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)
Dec. 31, 2017
Sep. 30, 2017
Stockholders' Equity, Number of Shares, Par Value and Other Disclosures [Abstract]
 
 
Preferred Stock, par value (in dollars per share)
$ 0.01 
$ 0.01 
Preferred Stock, shares authorized
2,000,000 
2,000,000 
Preferred Stock, shares issued
0 
0 
Preferred Stock, shares outstanding
0 
0 
Common Stock, par value (in dollars per share)
$ 0.01 
$ 0.01 
Common Stock, shares authorized
300,000,000 
300,000,000 
Common Stock, shares issued
92,101,465 
92,101,465 
Common Stock in treasury, shares
17,477,614 
17,088,224 
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (USD $)
In Millions, unless otherwise specified
Total
Common Stock
Additional Paid-In Capital
Retained Earnings
Accumulated Other Comprehensive Income (Loss)
Common Stock in Treasury, at Cost
Balance at Sep. 30, 2016
$ 1,976.5 
$ 0.9 
$ 782.3 
$ 2,177.0 
$ (175.0)
$ (808.7)
Changes in Equity
 
 
 
 
 
 
Net income
19.2 
 
 
19.2 
 
 
Employee pension and postretirement benefits, net of tax
0.8 
 
 
 
0.8 
 
Currency translation adjustments
(30.4)
 
 
 
(30.4)
 
Cash dividends
(15.6)
 
 
(15.6)
 
 
Exercise of stock options
26.2 
 
5.7 
 
 
20.5 
Stock-based compensation expense
6.5 
 
6.5 
 
 
 
Payment of earned performance shares
0 
 
(1.3)
 
 
1.3 
Shares tendered for taxes on stock-based compensation
(3.0)
 
 
 
 
(3.0)
Other
0.1 
 
(3.1)
 
 
3.2 
Balance at Dec. 31, 2016
1,980.3 
0.9 
790.1 
2,180.6 
(204.6)
(786.7)
Balance at Sep. 30, 2017
2,307.4 
0.9 
802.2 
2,399.8 
(125.0)
(770.5)
Changes in Equity
 
 
 
 
 
 
Net income
56.4 
 
 
56.4 
 
 
Employee pension and postretirement benefits, net of tax
0.5 
 
 
 
0.5 
 
Currency translation adjustments
2.1 
 
 
 
2.1 
 
Cash dividends
(18.0)
 
 
(18.0)
 
 
Repurchases of Common Stock
(63.7)
 
 
 
 
(63.7)
Exercise of stock options
8.6 
 
(1.8)
 
 
10.4 
Stock-based compensation expense
7.5 
 
7.5 
 
 
 
Payment of earned performance shares
0 
 
(2.7)
 
 
2.7 
Shares tendered for taxes on stock-based compensation
(7.4)
 
 
 
 
(7.4)
Other
0 
 
(5.9)
 
 
5.9 
Balance at Dec. 31, 2017
$ 2,293.4 
$ 0.9 
$ 799.3 
$ 2,438.2 
$ (122.4)
$ (822.6)
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Statement of Stockholders' Equity [Abstract]
 
 
Employee pension and postretirement benefits, net of tax
$ 0.2 
$ 0.5 
Cash dividends declared per share on common stock (in dollars per share)
$ 0.24 
$ 0.21 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Operating activities:
 
 
Net income
$ 56.4 
$ 19.2 
Depreciation and amortization
31.4 
32.1 
Stock-based compensation expense
7.5 
6.5 
Deferred income taxes
(27.8)
8.4 
Gain on sale of assets
(0.6)
(0.3)
Foreign currency transaction (gains) losses
(0.8)
0.4 
Other non-cash adjustments
0.9 
0.8 
Changes in operating assets and liabilities
(37.8)
16.7 
Net cash provided by operating activities
29.2 
83.8 
Investing activities:
 
 
Additions to property, plant and equipment
(18.7)
(14.2)
Additions to equipment held for rental
(1.2)
(12.9)
Proceeds from sale of equipment held for rental
2.5 
5.3 
Other investing activities
(0.8)
(0.2)
Net cash used by investing activities
(18.2)
(22.0)
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
6.5 
0 
Repayments of debt (original maturities greater than three months)
(5.0)
(20.0)
Repurchases of Common Stock
(71.1)
(3.0)
Dividends paid
(18.0)
(15.6)
Proceeds from exercise of stock options
8.6 
26.2 
Net cash used by financing activities
(79.0)
(12.4)
Effect of exchange rate changes on cash
0.1 
(1.7)
Increase (decrease) in cash and cash equivalents
(67.9)
47.7 
Cash and cash equivalents at beginning of period
447.0 
321.9 
Cash and cash equivalents at end of period
379.1 
369.6 
Supplemental disclosures:
 
 
Cash paid for interest
6.8 
6.6 
Cash paid for income taxes
$ 0.8 
$ 22.5 
Basis of Presentation
Basis of Presentation
Basis of Presentation

In the opinion of management, the accompanying unaudited Condensed Consolidated Financial Statements contain all adjustments (which include normal recurring adjustments, unless otherwise noted) necessary to present fairly the financial position, results of operations and cash flows for the periods presented. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States (U.S. GAAP) have been condensed or omitted pursuant to the rules and regulations of the U.S. Securities and Exchange Commission. These Condensed Consolidated Financial Statements should be read in conjunction with the audited financial statements and notes thereto included in the Annual Report on Form 10-K of Oshkosh Corporation for the year ended September 30, 2017. The interim results are not necessarily indicative of results for the full year. “Oshkosh” refers to Oshkosh Corporation not including its subsidiaries and “the Company” refers to Oshkosh Corporation and its subsidiaries.
New Accounting Standards
New Accounting Standards
New Accounting Standards

In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606), and the FASB has since issued several amendments to this standard, which clarifies the principles for recognizing revenue. This guidance requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard supersedes all existing U.S. GAAP guidance on revenue recognition and is expected to require the use of more judgment and result in additional disclosures. The new standard is effective for annual reporting periods beginning after December 15, 2017. Early adoption is permitted. The Company plans to adopt the standard on October 1, 2018. The Company has elected to adopt the new revenue recognition standard following the modified retrospective approach, as permitted by the standard. This approach will result in an adjustment to retained earnings for the cumulative effect of initially applying the new standard on its adoption date.

The Company has assembled a cross-functional team with representation from all segments that is dedicated to the implementation of this new accounting standard. The team, with the support of a project management office, is focused on executing a multi-phase plan that will culminate with the adoption of the standard. The cross-functional team focused on concluding and documenting key accounting positions during the three months ended December 31, 2017. The Company's Audit Committee has been receiving regular briefings on the implementation team's progress and potential implications related to adoption of the new standard. The internal control and process changes necessary to comply with the requirements of the new standard as well as its financial impact remain under evaluation.

In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330), Simplifying the Measurement of Inventory. ASU 2015-11 is part of the FASB’s initiative to simplify accounting standards. The guidance requires an entity to recognize inventory within the scope of the standard at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The Company adopted ASU 2015-11 on October 1, 2017. The adoption of ASU 2015-11 did not have a material impact on the Company's consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which requires lessees to reflect most leases on their balance sheet as lease liabilities with a corresponding right-of-use asset, while leaving presentation of lease expense in the statement of income largely unchanged. The standard also eliminates the real-estate specific provisions that exist under current U.S. GAAP and modifies the classification criteria and accounting lessors must apply to sales-type and direct financing leases. The Company will be required to adopt ASU 2016-02 as of October 1, 2019. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-02 on the Company's consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. The standard requires a change in the measurement approach for credit losses on financial assets measured on an amortized cost basis from an incurred loss method to an expected loss method, thereby eliminating the requirement that a credit loss be considered probable to impact the valuation of a financial asset measured on an amortized cost basis. The standard requires the measurement of expected credit losses to be based on relevant information about past events, including historical experience, current conditions, and a reasonable and supportable forecast that affects the collectibility of the related financial asset. The Company will be required to adopt ASU 2016-13 as of October 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-13 on the Company's consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740), Intra-Entity Transfers of Assets Other Than Inventory. The standard requires that an entity recognize the income tax consequences of an intra-entity transfer of an asset when the transfer occurs as opposed to when the asset is transferred to an outside party as required under current U.S. GAAP. The standard does not apply to intra-entity transfers of inventory, which will continue to follow current U.S. GAAP. The Company will be required to adopt ASU 2016-16 as of October 1, 2018. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-16 on the Company's consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment. The standard simplifies the measurement of goodwill impairment by eliminating the requirement that an entity compute the implied fair value of goodwill based on the fair values of its assets and liabilities to measure impairment. Instead, goodwill impairment will be measured as the difference between the fair value of the reporting unit and the carrying value of the reporting unit. The standard also clarifies the treatment of the income tax effect of tax deductible goodwill when measuring goodwill impairment loss. The Company will be required to adopt ASU 2017-04 as of October 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2017-04 on the Company's consolidated financial statements.

In March 2017, the FASB issued ASU 2017-07, Compensation - Retirement Benefits (Topic 715), Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The standard requires that an entity report the service cost component of net periodic pension and postretirement cost in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The remaining components of net benefit costs are required to be presented in the income statement separately from the service component and outside a subtotal of income from operations, if one is presented. The amendment further allows only the service cost component of net periodic pension and postretirement costs to be eligible for capitalization, when applicable. The Company will be required to adopt ASU 2017-07 as of October 1, 2018. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2017-07 on the Company's consolidated financial statements.

In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815), Targeted Improvements to Accounting for Hedging Activities. The standard more closely aligns hedge accounting with risk management strategies, simplifies the application of hedge accounting, and increases transparency as to the scope and results of hedging programs. The amendments expand and refine hedge accounting for both nonfinancial and financial risk components and align the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The Company adopted ASU 2017-12 on October 1, 2017. The adoption of ASU 2017-12 did not have a material impact on the Company's consolidated financial statements.
Receivables
Receivables
    Receivables

Receivables consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
U.S. government:
 
 
 
Amounts billed
$
64.3

 
$
137.8

Costs and profits not billed
233.4

 
137.9

 
297.7

 
275.7

Other trade receivables
890.7

 
985.4

Finance receivables
13.9

 
5.8

Notes receivable
24.8

 
34.2

Other receivables
43.0

 
46.3

 
1,270.1

 
1,347.4

Less allowance for doubtful accounts
(14.5
)
 
(18.3
)
 
$
1,255.6

 
$
1,329.1



Classification of receivables in the Condensed Consolidated Balance Sheets consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Current receivables
$
1,229.4

 
$
1,306.3

Long-term receivables (included in “Other long-term assets”)
26.2

 
22.8

 
$
1,255.6

 
$
1,329.1


Finance and notes receivable aging and accrual status consisted of the following (in millions):
 
Finance Receivables
 
Notes Receivable
 
December 31, 2017
 
September 30, 2017
 
December 31, 2017
 
September 30, 2017
Aging of receivables that are past due:
 
 
 
 
 
 
 
Greater than 30 days and less than 60 days
$
—

 
$
—

 
$
—

 
$
—

Greater than 60 days and less than 90 days
—

 
—

 
—

 
—

Greater than 90 days
2.1

 
2.1

 
0.2

 
0.2

 
 
 
 
 
 
 
 
Receivables on nonaccrual status
3.6

 
3.7

 
20.1

 
21.3

Receivables past due 90 days or more and still accruing
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
Receivables subject to general reserves
1.8

 
2.1

 
—

 
—

Allowance for doubtful accounts
(0.1
)
 
—

 
—

 
—

Receivables subject to specific reserves
12.1

 
3.7

 
24.8

 
34.2

Allowance for doubtful accounts
(1.4
)
 
(1.5
)
 
(6.1
)
 
(10.0
)


Finance Receivables: Finance receivables represent sales-type leases resulting from the sale of the Company's products and the purchase of finance receivables from lenders pursuant to customer defaults under program agreements with finance companies. Finance receivables originated by the Company generally include a residual value component. Residual values are determined based on the expectation that the underlying equipment will have a minimum fair market value at the end of the lease term. This residual value accrues to the Company at the end of the lease. The Company uses its experience and knowledge as an original equipment manufacturer and participant in end markets for the related products along with third-party studies to estimate residual values. The Company monitors these values for impairment on a periodic basis and reflects any resulting reductions in value in current earnings.

Delinquency is the primary indicator of credit quality of finance receivables. The Company maintains a general allowance for finance receivables considered doubtful of future collection based upon historical experience. Additional allowances are established based upon the Company’s perception of the quality of the finance receivables, including the length of time the receivables are past due, past experience of collectibility and underlying economic conditions. In circumstances where the Company believes collectibility is no longer reasonably assured, a specific allowance is recorded to reduce the net recognized receivable to the amount reasonably expected to be collected. Finance receivables are written off if management determines that the specific borrower does not have the ability to repay the loan amounts due in full. The terms of the finance agreements generally give the Company the ability to take possession of the underlying collateral. The Company may incur losses in excess of recorded allowances if the financial condition of its customers were to deteriorate or the full amount of any anticipated proceeds from the sale of the collateral supporting its customers’ financial obligations is not realized.

Notes Receivable: Notes receivable include amounts related to refinancing of trade accounts and finance receivables. As of December 31, 2017, approximately 70% of the notes receivable balance outstanding was due from two parties. The Company routinely evaluates the creditworthiness of its customers and establishes reserves where the Company believes collectibility is no longer reasonably assured. Certain notes receivable are collateralized by a security interest in the underlying assets and/or other assets owned by the debtor. The Company may incur losses in excess of recorded allowances if the financial condition of its customers were to deteriorate or the full amount of any anticipated proceeds from the sale of the collateral supporting its customers' financial obligations is not realized.

Quality of Finance and Notes Receivable: The Company does not accrue interest income on finance and notes receivable in circumstances where the Company believes collectibility is no longer reasonably assured. Any cash payments received on nonaccrual finance and notes receivable are applied first to the principal balances. The Company does not resume accrual of interest income until the customer has shown that it is capable of meeting its financial obligations by making timely payments over a sustained period of time. The Company determines past due or delinquency status based upon the due date of the receivable.

Receivables subject to specific reserves also include loans that the Company has modified in troubled debt restructurings as a concession to customers experiencing financial difficulty. To minimize the economic loss, the Company may modify certain finance and notes receivable. Modifications generally consist of restructured payment terms and time frames in which no payments are required. At December 31, 2017, restructured finance and notes receivables were $3.0 million and $6.1 million, respectively. Losses on troubled debt restructurings were not significant during the three months ended December 31, 2017 and 2016.

Changes in the Company’s allowance for doubtful accounts by type of receivable were as follows (in millions):
 
Three Months Ended December 31, 2017
 
Three Months Ended December 31, 2016
 
Finance
 
Notes
 
Trade and Other
 
Total
 
Finance
 
Notes
 
Trade and Other
 
Total
Allowance for doubtful accounts at beginning of period
$
1.5

 
$
10.0

 
$
6.8

 
$
18.3

 
$
1.0

 
$
13.0

 
$
7.2

 
$
21.2

Provision for doubtful accounts, net of recoveries
—

 
(4.0
)
 
0.2

 
(3.8
)
 
1.1

 
(0.6
)
 
(0.5
)
 
—

Charge-off of accounts
—

 
—

 
(0.1
)
 
(0.1
)
 
—

 
(0.1
)
 
(0.2
)
 
(0.3
)
Foreign currency translation
—

 
0.1

 
—

 
0.1

 
—

 
(0.7
)
 
—

 
(0.7
)
Allowance for doubtful accounts at end of period
$
1.5

 
$
6.1

 
$
6.9

 
$
14.5

 
$
2.1

 
$
11.6

 
$
6.5

 
$
20.2



Inventories
Inventories
Inventories

Inventories consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Raw materials
$
606.0

 
$
578.1

Partially finished products
347.3

 
336.6

Finished products
378.5

 
398.1

Inventories at FIFO cost
1,331.8

 
1,312.8

Less: Progress/performance-based payments on U.S. government contracts
(27.6
)
 
(31.6
)
          Excess of FIFO cost over LIFO cost
(84.3
)
 
(82.8
)
 
$
1,219.9

 
$
1,198.4



Title to all inventories related to U.S. government contracts, which provide for progress or performance-based payments, vests with the U.S. government to the extent of unliquidated progress or performance-based payments.
Property, Plant and Equipment
Property, Plant and Equipment
Property, Plant and Equipment

Property, plant and equipment consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Land and land improvements
$
58.1

 
$
58.5

Buildings
298.2

 
298.5

Machinery and equipment
657.6

 
652.2

Software and related costs
151.7

 
149.6

Equipment on operating lease to others
28.8

 
30.0

 
1,194.4

 
1,188.8

Less accumulated depreciation
(736.4
)
 
(718.9
)
 
$
458.0

 
$
469.9



Depreciation expense was $20.1 million and $18.9 million for the three months ended December 31, 2017 and 2016, respectively. Capitalized interest was insignificant for all reported periods.

Equipment on operating lease to others represents the cost of equipment shipped to customers for whom the Company has guaranteed the residual value and equipment on short-term leases. These transactions are accounted for as operating leases with the related assets capitalized and depreciated over their estimated economic lives of five to ten years. Cost less accumulated depreciation for equipment on operating lease at December 31, 2017 and September 30, 2017 was $19.8 million and $21.6 million, respectively.
Goodwill and Purchased Intangible Assets
Goodwill and Purchased Intangible Assets
Goodwill and Purchased Intangible Assets

Goodwill and other indefinite-lived intangible assets are not amortized, but are reviewed for impairment annually or more frequently if potential interim indicators exist that could result in impairment. The Company performs its annual impairment test in the fourth quarter of its fiscal year.

The following table presents changes in goodwill during the three months ended December 31, 2017 (in millions):
 
Access
Equipment
 
Fire &
Emergency
 
Commercial
 
Total
Net goodwill at September 30, 2017
$
885.9

 
$
106.1

 
$
21.0

 
$
1,013.0

Foreign currency translation
2.9

 
—

 
(0.1
)
 
2.8

Net goodwill at December 31, 2017
$
888.8

 
$
106.1

 
$
20.9

 
$
1,015.8



The following table presents details of the Company’s goodwill allocated to the reportable segments (in millions):
 
December 31, 2017
 
September 30, 2017
 
Gross
 
Accumulated
Impairment
 
Net
 
Gross
 
Accumulated
Impairment
 
Net
Access equipment
$
1,820.9

 
$
(932.1
)
 
$
888.8

 
$
1,818.0

 
$
(932.1
)
 
$
885.9

Fire & emergency
108.1

 
(2.0
)
 
106.1

 
108.1

 
(2.0
)
 
106.1

Commercial
196.8

 
(175.9
)
 
20.9

 
196.9

 
(175.9
)
 
21.0

 
$
2,125.8

 
$
(1,110.0
)
 
$
1,015.8

 
$
2,123.0

 
$
(1,110.0
)
 
$
1,013.0



Details of the Company’s total purchased intangible assets are as follows (in millions):
 
December 31, 2017
 
Weighted-
Average
Life (in years)
 
Gross
 
Accumulated
Amortization
 
Net
Amortizable intangible assets:
 
 
 
 
 
 
 
Distribution network
39.1
 
$
55.4

 
$
(29.8
)
 
$
25.6

Technology-related
11.9
 
104.7

 
(101.2
)
 
3.5

Customer relationships
12.8
 
555.0

 
(476.3
)
 
78.7

Other
16.4
 
16.5

 
(14.8
)
 
1.7

 
14.4
 
731.6

 
(622.1
)
 
109.5

Non-amortizable trade names
 
 
387.8

 
—

 
387.8

 
 
 
$
1,119.4

 
$
(622.1
)
 
$
497.3


 
September 30, 2017
 
Weighted-
Average
Life (in years)
 
Gross
 
Accumulated
Amortization
 
Net
Amortizable intangible assets:
 
 
 
 
 
 
 
Distribution network
39.1
 
$
55.4

 
$
(29.5
)
 
$
25.9

Technology-related
11.9
 
104.7

 
(99.7
)
 
5.0

Customer relationships
12.8
 
555.0

 
(467.6
)
 
87.4

Other
16.3
 
16.4

 
(14.7
)
 
1.7

 
14.4
 
731.5

 
(611.5
)
 
120.0

Non-amortizable trade names
 
 
387.8

 
—

 
387.8

 
 
 
$
1,119.3

 
$
(611.5
)
 
$
507.8



The estimated future amortization expense of purchased intangible assets for the remainder of fiscal 2018 and the five years succeeding September 30, 2018 are as follows: 2018 (remaining nine months) - $27.7 million; 2019 - $36.9 million; 2020 - $11.0 million; 2021 - $5.3 million; 2022 - $4.9 million; and 2023 - $3.5 million.
Credit Agreements
Credit Agreements
Credit Agreements

The Company was obligated under the following debt instruments (in millions):
 
December 31, 2017
 
Principal
 
Debt Issuance Costs
 
Debt, Net
Senior Secured Term Loan
$
330.0

 
$
(0.7
)
 
$
329.3

5.375% Senior Notes due March 2022
250.0

 
(3.3
)
 
246.7

5.375% Senior Notes due March 2025
250.0

 
(2.6
)
 
247.4

 
$
830.0

 
$
(6.6
)
 
823.4

Less current maturities
 
 
 
 
(20.0
)
 
 
 


 
$
803.4

 
 
 
 
 
 
Other short-term debt
 
 
 
 
$
9.7

Current maturities of long-term debt
 
 
 
 
20.0

 
 
 


 
$
29.7



 
September 30, 2017
 
Principal
 
Debt Issuance Costs
 
Debt, Net
Senior Secured Term Loan
$
335.0

 
$
(0.8
)
 
$
334.2

5.375% Senior Notes due March 2022
250.0

 
(3.5
)
 
246.5

5.375% Senior Notes due March 2025
250.0

 
(2.8
)
 
247.2

 
$
835.0

 
$
(7.1
)
 
827.9

Less current maturities
 
 
 
 
(20.0
)
 
 
 
 
 
$
807.9

 
 
 
 
 
 
Other short-term debt
 
 
 
 
$
3.0

Current maturities of long-term debt
 
 
 
 
20.0

 
 
 
 
 
$
23.0



In March 2014, the Company entered into an Amended and Restated Credit Agreement with various lenders (the “Credit Agreement”). The Credit Agreement provides for (i) a revolving credit facility (Revolving Credit Facility) that matures in March 2019 with an initial maximum aggregate amount of availability of $600 million and (ii) a $400 million term loan (Term Loan) due in quarterly principal installments of $5 million with a balloon payment of $310 million due at maturity in March 2019. In January 2015, the Company entered into an agreement with lenders under the Credit Agreement that increased the Revolving Credit Facility to an aggregate maximum amount of $850 million. At December 31, 2017, outstanding letters of credit of $94.9 million reduced available capacity under the Revolving Credit Facility to $755.1 million.

The Company’s obligations under the Credit Agreement are guaranteed by certain of its domestic subsidiaries, and the Company will guarantee the obligations of certain of its subsidiaries under the Credit Agreement. Subject to certain exceptions, the Credit Agreement is collateralized by (i) a first-priority perfected lien and security interests in substantially all of the personal property of the Company, each material subsidiary of the Company and each subsidiary guarantor, (ii) mortgages upon certain real property of the Company and certain of its domestic subsidiaries and (iii) a pledge of the equity of each material subsidiary of the Company.

Under the Credit Agreement, the Company must pay (i) an unused commitment fee ranging from 0.225% to 0.35% per annum of the average daily unused portion of the aggregate revolving credit commitments under the Credit Agreement and (ii) a fee ranging from 0.625% to 2.00% per annum of the maximum amount available to be drawn for each letter of credit issued and outstanding under the Credit Agreement.

Borrowings under the Credit Agreement bear interest at a variable rate equal to (i) LIBOR plus a specified margin, which may be adjusted upward or downward depending on whether certain criteria are satisfied, or (ii) for dollar-denominated loans only, the base rate (which is the highest of (a) the administrative agent’s prime rate, (b) the federal funds rate plus 0.50% or (c) the sum of 1% plus one-month LIBOR) plus a specified margin, which may be adjusted upward or downward depending on whether certain criteria are satisfied. At December 31, 2017, the interest spread on the Revolving Credit Facility and Term Loan was 150 basis points. The weighted-average interest rate on borrowings outstanding under the Term Loan at December 31, 2017 was 2.85%.

The Credit Agreement contains various restrictions and covenants, including requirements that the Company maintain certain financial ratios at prescribed levels and restrictions, subject to certain exceptions, on the ability of the Company and certain of its subsidiaries to consolidate or merge, create liens, incur additional indebtedness, dispose of assets, consummate acquisitions and make investments in joint ventures and foreign subsidiaries.

The Credit Agreement contains the following financial covenants:
•
Leverage Ratio: A maximum leverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated indebtedness to consolidated net income before interest, taxes, depreciation, amortization, non-cash charges and certain other items (EBITDA)) as of the last day of any fiscal quarter of 4.50 to 1.00.
•
Interest Coverage Ratio: A minimum interest coverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated EBITDA to the Company’s consolidated cash interest expense) as of the last day of any fiscal quarter of 2.50 to 1.00.
•
Senior Secured Leverage Ratio: A maximum senior secured leverage ratio (defined as, with certain adjustments, the ratio of the Company’s consolidated secured indebtedness to the Company’s consolidated EBITDA) of 3.00 to 1.00.

With certain exceptions, the Company may elect to have the collateral pledged in connection with the Credit Agreement released during any period that the Company maintains an investment grade corporate family rating from either S&P Global Ratings or Moody’s Investor Service. During any such period when the collateral has been released, the Company’s leverage ratio as of the last day of any fiscal quarter must not be greater than 3.75 to 1.00, and the Company would not be subject to any additional requirement to limit its senior secured leverage ratio.

The Company was in compliance with the financial covenants contained in the Credit Agreement as of December 31, 2017.

Additionally, with certain exceptions, the Credit Agreement limits the ability of the Company to pay dividends and other distributions, including repurchases of shares of its Common Stock. However, so long as no event of default exists under the Credit Agreement or would result from such payment, the Company may pay dividends and other distributions after March 3, 2010 in an aggregate amount not exceeding the sum of:
i.
50% of the consolidated net income of the Company and its subsidiaries (or if such consolidated net income is a deficit, minus 100% of such deficit), accrued on a cumulative basis during the period beginning on January 1, 2010 and ending on the last day of the fiscal quarter immediately preceding the date of the applicable proposed dividend or distribution; and
ii.
100% of the aggregate net proceeds received by the Company subsequent to March 3, 2010 either as a contribution to its common equity capital or from the issuance and sale of its Common Stock.

In February 2014, the Company issued $250.0 million of 5.375% unsecured senior notes due March 1, 2022 (the “2022 Senior Notes”). In March 2015, the Company issued $250.0 million of 5.375% unsecured senior notes due March 1, 2025 (the “2025 Senior Notes”). The proceeds of both note issuances were used to repay existing outstanding notes of the Company. The Company has the option to redeem the 2022 Senior Notes and the 2025 Senior Notes for a premium after March 1, 2017 and March 1, 2020, respectively.

The 2022 Senior Notes and the 2025 Senior Notes were issued pursuant to separate indentures (the “Indentures”) among the Company, the subsidiary guarantors named therein and a trustee. The Indentures contain customary affirmative and negative covenants. Certain of the Company’s subsidiaries jointly, severally, fully and unconditionally guarantee the Company’s obligations under the 2022 Senior Notes and 2025 Senior Notes. See Note 20 of the Notes to Condensed Consolidated Financial Statements for separate financial information of the subsidiary guarantors.

The fair value of the long-term debt is estimated based upon Level 2 inputs to reflect market rate of the Company’s debt. At December 31, 2017, the fair value of the 2022 Senior Notes and the 2025 Senior Notes was estimated to be $257 million ($260 million at September 30, 2017) and $264 million ($264 million at September 30, 2017), respectively. The fair value of the Term Loan approximated book value at both December 31, 2017 and September 30, 2017. See Note 11 of the Notes to Condensed Consolidated Financial Statements for the definition of a Level 2 input.
Warranties
Warranties
Warranties

The Company’s products generally carry explicit warranties that extend from six months to five years, based on terms that are generally accepted in the marketplace. Selected components (such as engines, transmissions, tires, etc.) included in the Company’s end products may include manufacturers’ warranties. These manufacturers’ warranties are generally passed on to the end customer of the Company’s products, and the customer would generally deal directly with the component manufacturer.

The Company offers a variety of extended warranty programs. The premiums received for an extended warranty are generally deferred until after the expiration of the standard warranty period. The unearned premium is then recognized in income over the term of the extended warranty period in proportion to the costs that are expected to be incurred. Unamortized extended warranty premiums totaled $30.8 million and $29.4 million at December 31, 2017 and 2016, respectively.

Changes in the Company’s warranty liability and unearned extended warranty premiums were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Balance at beginning of period
$
98.8

 
$
89.6

Warranty provisions
12.0

 
10.7

Settlements made
(12.8
)
 
(11.9
)
Changes in liability for pre-existing warranties, net
1.2

 
(1.1
)
Premiums received
2.6

 
2.8

Amortization of premiums received
(2.6
)
 
(2.9
)
Foreign currency translation
0.1

 
(1.0
)
Balance at end of period
$
99.3

 
$
86.2



Provisions for estimated warranty and other related costs are recorded at the time of sale and are periodically adjusted to reflect actual experience. Certain warranty and other related claims involve matters of dispute that ultimately are resolved by negotiation, arbitration or litigation. At times, warranty issues arise that are beyond the scope of the Company's historical experience. It is reasonably possible that additional warranty and other related claims could arise from disputes or other matters in excess of amounts accrued; however, the Company does not expect that any such amounts, while not determinable, would have a material effect on the Company's consolidated financial condition, results of operations or cash flows.
Guarantee Arrangements
Guarantee Arrangements
Guarantee Arrangements

The Company is party to multiple agreements whereby at December 31, 2017 it guaranteed an aggregate of $665.3 million in indebtedness of customers. The Company estimated that its maximum loss exposure under these contracts at December 31, 2017 was $122.8 million. Under the terms of these and various related agreements and upon the occurrence of certain events, the Company generally has the ability to, among other things, take possession of the underlying collateral. If the financial condition of the customers were to deteriorate and result in their inability to make payments, then loss provisions in excess of amounts provided for at inception may be required. While the Company does not expect to experience losses under these agreements that are materially in excess of the amounts reserved, it cannot provide any assurance that the financial condition of the third parties will not deteriorate resulting in the third parties’ inability to meet their obligations. In the event that this occurs, the Company cannot guarantee that the collateral underlying the agreements will be sufficient to avoid losses materially in excess of the amounts reserved. Any losses under these guarantees would generally be mitigated by the value of any underlying collateral, including financed equipment, and are generally subject to the finance company's ability to provide the Company clear title to foreclosed equipment and other conditions. During periods of economic weakness, collateral values generally decline and can contribute to higher exposure to losses.

Changes in the Company’s credit guarantee liability were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Balance at beginning of period
$
9.1

 
$
8.4

Provision for new credit guarantees
1.3

 
0.6

Changes for pre-existing guarantees, net
—

 
0.1

Amortization of previous guarantees
(0.6
)
 
(0.5
)
Foreign currency translation
—

 
(0.1
)
Balance at end of period
$
9.8

 
$
8.5

Shareholders' Equity
Shareholders' Equity
Shareholders' Equity

On August 31, 2015, the Company's Board of Directors increased the Company's Common Stock repurchase authorization by 10,000,000 shares, increasing the repurchase authorization to 10,299,198 shares. The Company repurchased 748,000 shares of Common Stock under this authorization during the three months ended December 31, 2017 at a cost of $63.7 million. The Company did not repurchase any shares under this authorization during the three months ended December 31, 2016. As of December 31, 2017, the Company repurchased 3,534,624 shares under this authorization at a cost of $175.7 million. The Company had 6,764,574 shares of Common Stock remaining under this repurchase authorization as of December 31, 2017. The Company is restricted by its Credit Agreement from repurchasing shares in certain situations. See Note 7 of the Notes to Condensed Consolidated Financial Statements for information regarding these restrictions.
Fair Value Measurement
Fair Value Measurement
Fair Value Measurement

FASB Accounting Standards Codification (ASC) Topic 820, Fair Value Measurements and Disclosures, defines fair value as the price that would be received to sell an asset or paid to transfer a liability (i.e., exit price) in an orderly transaction between market participants at the measurement date. FASB ASC Topic 820 requires disclosures that categorize assets and liabilities measured at fair value into one of three different levels depending on the assumptions (i.e., inputs) used in the valuation. Level 1 provides the most reliable measure of fair value, while Level 3 generally requires significant management judgment.

The three levels are defined as follows:
Level 1:
Unadjusted quoted prices in active markets for identical assets or liabilities.
Level 2:
Observable inputs other than quoted prices in active markets for identical assets or liabilities, such as quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities in inactive markets.
Level 3:
Unobservable inputs reflecting management's own assumptions about the inputs used in pricing the asset or liability.

There were no transfers of assets between levels during the three months ended December 31, 2017.

The fair values of the Company’s financial assets and liabilities were as follows (in millions):
 
Level 1
 
Level 2
 
Level 3
 
Total
December 31, 2017
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
SERP plan assets (a)
$
22.2

 
$
—

 
$
—

 
$
22.2

Foreign currency exchange derivatives (b)
—

 
0.8

 
—

 
0.8

Interest rate contracts (c)
—

 
0.3

 
—

 
0.3

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Foreign currency exchange derivatives (b)
$
—

 
$
0.9

 
$
—

 
$
0.9

Interest rate contracts (c)
—

 
0.2

 
—

 
0.2

 
 
 
 
 
 
 
 
September 30, 2017
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
SERP plan assets (a)
$
21.7

 
$
—

 
$
—

 
$
21.7

Foreign currency exchange derivatives (b)
—

 
0.5

 
—

 
0.5

Interest rate contracts (c)
—

 
0.3

 
—

 
0.3

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Foreign currency exchange derivatives (b)
$
—

 
$
1.2

 
$
—

 
$
1.2

Interest rate contracts (c)
—

 
0.7

 
—

 
0.7

_________________________
(a) 
Represents investments in a rabbi trust for the Company's non-qualified supplemental executive retirement plan (SERP). The fair values of these investments are determined using a market approach. Investments include mutual funds for which quoted prices in active markets are available. The Company records changes in the fair value of investments in “Miscellaneous, net” in the Condensed Consolidated Statements of Income.
(b) 
Based on observable market transactions of forward currency prices.
(c) 
Based on observable market transactions of interest rate swap prices.
Stock-Based Compensation
Stock-Based Compensation
Stock-Based Compensation

In February 2017, the Company’s shareholders approved the 2017 Incentive Stock and Awards Plan (the “2017 Stock Plan”). The 2017 Stock Plan replaced the 2009 Incentive Stock and Awards Plan (as amended, the “2009 Stock Plan”). While no new awards will be granted under the 2009 Stock Plan or its predecessor, the 2004 Incentive Stock and Awards Plan, awards previously made under these two plans that were outstanding as of the approval date of the 2017 Stock Plan will remain outstanding and continue to be governed by the provisions of the respective stock plan under which they were issued. At December 31, 2017, the Company had reserved 8,175,910 shares of Common Stock available for issuance to provide for the exercise of outstanding stock options and the issuance of Common Stock under incentive compensation awards, including awards issued prior to the effective date of the 2017 Stock Plan.

The Company recognizes stock-based compensation expense over the requisite service period for vesting of an award, or to an employee's eligible retirement date, if earlier and applicable. Total stock-based compensation expense, including cash-based liability awards, for the three months ended December 31, 2017 and 2016 was $8.5 million ($6.6 million net of tax) and $7.9 million ($5.0 million net of tax), respectively.
Restructuring and Other Charges
Restructuring and Other Charges
Restructuring and Other Charges

In September 2016, the Company committed to transition its access equipment aftermarket parts distribution network to a third party logistics company. This initiative is intended to improve customer service levels, increase operational efficiency and allow the Company to reallocate resources to invest in future growth. The Company expected to incur cash charges related to severance costs and other employment-related benefits of approximately $3.0 million related to this decision, of which $0.2 million and $0.7 million was incurred in the three months ended December 31, 2017 and December 31, 2016, respectively.

In January 2017, the access equipment segment announced it had committed to certain restructuring plans as part of simplification activities in support of the Company’s MOVE strategy. The plans include the closure of its manufacturing plant and pre-delivery inspection facilities in Belgium, the streamlining of telehandler product offerings to a reduced range in Europe, the transfer of remaining European telehandler manufacturing to the Company’s facility in Romania and reductions in engineering staff supporting European telehandlers, including the closure of the UK-based engineering facility. The announced plans also include the move of North American telehandler production from Ohio to facilities in Pennsylvania. The Company recognized $3.1 million of restructuring costs under this program in the three months ended December 31, 2017 and expects another $4 million to be recognized in fiscal 2018.

The Company had originally expected total implementation costs for the September 2016 and January 2017 access equipment segment restructuring actions to be between $48 million and $53 million. The Company made significant progress on implementing these actions in fiscal 2017 however, during the three months ended December 31, 2017, the Company experienced issues that caused operational inefficiencies resulting in additional costs. The Company now expects total costs for these actions to be approximately $73 million, including approximately $30 million of operating costs. During the three months ended December 31, 2017, the access equipment segment recognized $13.0 million of operational costs related to these actions, and the Company expects another $6 million to be recognized in fiscal 2018.

In December 2017, the commercial segment announced it will undertake certain restructuring actions to realign a portion of the business under three product platforms. The Company expects to incur approximately $4.0 million of total restructuring-related costs in connection with the plan, which primarily consists of employee severance and termination benefits costs and one-time costs associated with the exit of underperforming branch facilities. The Company recognized $2.5 million of the costs in the three months ended December 31, 2017 and expects the remaining amount to be recognized in fiscal 2018.

Pre-tax restructuring charges for the three months ended December 31, 2017 were as follows (in millions):
 
Cost of Sales
 
Selling, General and Administrative Expenses
 
Total
Access equipment
$
3.3

 
$
—

 
$
3.3

Commercial
0.6

 
1.9

 
2.5

Total
$
3.9

 
$
1.9

 
$
5.8


Pre-tax restructuring charges for the three months ended December 31, 2016 were as follows (in millions):
 
Cost of Sales
 
Selling, General and Administrative Expenses
 
Total
Access equipment
$
0.7

 
$
—

 
$
0.7

Commercial
—

 
0.4

 
0.4

Total
$
0.7

 
$
0.4

 
$
1.1



Changes in the Company's restructuring reserves, included within “Other current liabilities” in the Condensed Consolidated Balance Sheets, were as follows (in millions):

 
Employee Severance and Termination Benefits
 
Property, Plant and Equipment Impairment
 
Other Costs
 
Total
Balance at September 30, 2017
$
19.8

 
$
—

 
$
1.0

 
$
20.8

Restructuring provision
3.7

 
1.0

 
1.1

 
5.8

Utilized - cash
(7.0
)
 
—

 
(1.0
)
 
(8.0
)
Utilized - noncash
—

 
(1.0
)
 
—

 
(1.0
)
Foreign currency translation
0.3

 
—

 
—

 
0.3

Balance at December 31, 2017
$
16.8


$
—

 
$
1.1


$
17.9


 
Employee Severance and Termination Benefits
Balance at September 30, 2016
$
0.9

Restructuring provision
1.1

Utilized - cash
(0.3
)
Balance at December 31, 2016
$
1.7

Employee Benefit Plans
Employee Benefit Plans
Employee Benefit Plans

Components of net periodic pension benefit cost were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Components of net periodic benefit cost
 
 
 
Service cost
$
3.1

 
$
3.3

Interest cost
4.5

 
4.4

Expected return on plan assets
(5.0
)
 
(4.5
)
Amortization of prior service cost
0.4

 
0.4

Amortization of net actuarial loss
0.5

 
1.0

Net periodic benefit cost
$
3.5

 
$
4.6



Components of net periodic other post-employment benefit cost were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Components of net periodic benefit cost
 
 
 
Service cost
$
0.9

 
$
0.6

Interest cost
0.5

 
0.4

Amortization of prior service cost
(0.2
)
 
(0.2
)
Amortization of net actuarial loss
—

 
0.1

Net periodic benefit cost
$
1.2

 
$
0.9

Income Taxes
Income Taxes
Income Taxes

The Company recorded income tax expense of $4.7 million for the three months ended December 31, 2017, or 7.8% of pre-tax income, compared to $5.2 million, or 21.8% of pre-tax income, for the three months ended December 31, 2016. Results for the three months ended December 31, 2017 were favorably impacted by $10.3 million of net discrete tax benefits, including a $3.3 million benefit related to share-based compensation tax deductions, and a $6.5 million net benefit related to new tax legislation in the United States. Results for the three months ended December 31, 2016 were favorably impacted by $2.8 million of discrete tax benefits, including $2.1 million of tax benefits related to the release of valuation allowances on deferred tax assets for state net operating loss carryforwards and $0.7 million related to the release of valuation allowances on deferred taxes on federal capital loss carryforwards.

On December 22, 2017, the U.S. Tax Cuts and Jobs Act (the “Tax Reform Act”) was signed into law by President Trump. The Tax Reform Act significantly revised the U.S. corporate income tax regime by, among other things, lowering the U.S. corporate tax rate from 35% to 21% effective January 1, 2018, while also repealing the deduction for domestic production activities, implementing a territorial tax system and imposing a repatriation tax on deemed repatriated earnings of foreign subsidiaries. U.S. GAAP requires that the impact of tax legislation be recognized in the period in which the law was enacted. As a result of the Tax Reform Act, the Company recorded a tax benefit of $23.9 million due to a remeasurement of deferred tax assets and liabilities and a tax charge of $17.4 million due to the transition tax on deemed repatriation of deferred foreign income, in the three months ended December 31, 2017. Both of the tax benefit and the tax charge represent provisional amounts and the Company’s current best estimates. Any adjustments recorded to the provisional amounts through the first quarter of fiscal 2019 will be included in income from operations as an adjustment to tax expense. The provisional amounts incorporate assumptions made based upon the Company’s current interpretation of the Tax Reform Act and may change as the Company receives additional clarification and implementation guidance.

Because of the complexity of the new Global Intangible Low-Taxed Income (GILTI) tax rules, the Company continues to evaluate this provision of the Tax Reform Act and the application of ASC 740, Income Taxes. Under U.S. GAAP, the Company is allowed to make an accounting policy choice of either (1) treating taxes due on future U.S. inclusions in taxable income related to GILTI as a current-period expense when incurred (the “period cost method”) or (2) factoring such amounts into the Company's measurement of its deferred taxes (the “deferred method”). The Company's selection of an accounting policy with respect to the new GILTI tax rules will depend, in part, on analyzing its global income to determine whether it expects to have future U.S. inclusions in taxable income related to GILTI and, if so, what the impact is expected to be. Whether the Company expects to have future U.S. inclusions in taxable income related to GILTI depends on not only the Company's current structure and estimated future results of global operations, but also its intent and ability to modify its structure. The Company's currently in the process of analyzing its structure and, as a result, is not yet able to reasonably estimate the effect of this provision of the Tax Reform Act. Therefore, the Company has not made any adjustments related to potential GILTI tax in its financial statements and has not made a policy decision regarding whether to record deferred tax on GILTI.

The Company’s liability for gross unrecognized tax benefits, excluding related interest and penalties, was $37.3 million and $37.2 million as of December 31, 2017 and September 30, 2017, respectively. As of December 31, 2017, net unrecognized tax benefits, excluding interest and penalties, of $21.1 million would affect the Company’s net income if recognized.

The Company recognizes accrued interest and penalties, if any, related to unrecognized tax benefits in the “Provision for income taxes” in the Condensed Consolidated Statements of Income. During the three months ended December 31, 2017 and 2016, the Company recognized costs of $0.3 million and $0.4 million, respectively, related to interest and penalties. At December 31, 2017, the Company had accruals for the payment of interest and penalties of $10.2 million. During the next twelve months, it is reasonably possible that federal, state and foreign tax audit resolutions could reduce net unrecognized tax benefits by approximately $3.0 million because the Company’s tax positions are sustained on audit, the Company agrees to their disallowance or the statutes of limitations close.
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)

Changes in accumulated other comprehensive income (loss) by component were as follows (in millions):
 
Three Months Ended December 31, 2017
 
Employee
Pension and Postretirement Benefits, Net of Tax
 
Cumulative Translation Adjustments
 
Derivative Instruments
 
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period
$
(46.2
)
 
$
(78.6
)
 
$
(0.2
)
 
$
(125.0
)
Other comprehensive income (loss) before reclassifications
—

 
2.1

 
—

 
2.1

Amounts reclassified from accumulated other
comprehensive income (loss)
0.5

 
—

 
—

 
0.5

Net current period other comprehensive income (loss)
0.5


2.1


—

 
2.6

Balance at end of period
$
(45.7
)

$
(76.5
)

$
(0.2
)

$
(122.4
)

 
Three Months Ended December 31, 2016
 
Employee
Pension and Postretirement Benefits, Net of Tax
 
Cumulative Translation Adjustments
 
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period
$
(73.9
)
 
$
(101.1
)
 
$
(175.0
)
Other comprehensive income (loss) before reclassifications
—

 
(30.4
)
 
(30.4
)
Amounts reclassified from accumulated other comprehensive income (loss)
0.8

 
—

 
0.8

Net current period other comprehensive income (loss)
0.8

 
(30.4
)
 
(29.6
)
Balance at end of period
$
(73.1
)
 
$
(131.5
)
 
$
(204.6
)

Reclassifications out of accumulated other comprehensive income (loss) included in the computation of net periodic pension and postretirement benefit cost (refer to Note 14 of the Notes to Condensed Consolidated Financial Statements for additional details regarding employee benefit plans) were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Amortization of employee pension and postretirement benefits items
 
 
 
Prior service costs
$
0.2

 
$
0.2

Actuarial losses
0.5

 
1.1

Total before tax
0.7

 
1.3

Tax benefit
(0.2
)
 
(0.5
)
Net of tax
$
0.5

 
$
0.8

Earnings Per Share
Earnings Per Share
Earnings Per Share

The calculation of basic and diluted earnings per common share was as follows:
 
Three Months Ended 
 December 31,
 
2017
 
2016
Basic Earnings Per Share:
 
 
 
Weighted-average common shares outstanding
74,846,829

 
74,280,377
 
 
 
 
Diluted Earnings Per Share:
 
 
 
Basic weighted-average common shares outstanding
74,846,829

 
74,280,377

Dilutive stock options and other equity-based compensation awards
1,177,636

 
1,104,540

Diluted weighted-average common shares outstanding
76,024,465

 
75,384,917



Options not included in the computation of diluted earnings per share attributable to common shareholders because they would have been anti-dilutive were as follows:
 
Three Months Ended 
 December 31,
 
2017
 
2016
Stock options
261,675

 
393,975

Contingencies, Significant Estimates and Concentrations
Contingencies, Significant Estimates and Concentrations
Contingencies, Significant Estimates and Concentrations

Personal Injury Actions and Other - Product and general liability claims are made against the Company from time to time in the ordinary course of business. The Company is generally self-insured for future claims up to $5.0 million per claim. Accordingly, a reserve is maintained for the estimated costs of such claims. At December 31, 2017 and September 30, 2017, the estimated net liabilities for product and general liability claims totaled $40.0 million and $39.1 million, respectively. There is inherent uncertainty as to the eventual resolution of unsettled claims. Management, however, believes that any losses in excess of established reserves will not have a material effect on the Company’s financial condition, results of operations or cash flows.

Market Risks - The Company was contingently liable under bid, performance and specialty bonds totaling $630.3 million and $598.4 million at December 31, 2017 and September 30, 2017, respectively. Open standby letters of credit issued by the Company’s banks in favor of third parties totaled $94.9 million and $96.9 million at December 31, 2017 and September 30, 2017, respectively.

Other Matters - The Company is subject to environmental matters and legal proceedings and claims, including patent, antitrust, product liability, breach of contract, warranty and state dealership regulation compliance proceedings, that arise in the ordinary course of business. Although the final results of all such matters and claims cannot be predicted with certainty, management believes that the ultimate resolution of all such matters and claims will not have a material effect on the Company’s financial condition, results of operations or cash flows. Actual results could vary, among other things, due to the uncertainties involved in litigation.

Major contracts for military systems are performed over extended periods of time and are subject to changes in scope of work and delivery schedules. Pricing negotiations on changes and settlement of claims often extend over prolonged periods of time. The Company’s ultimate profitability on such contracts may depend on the eventual outcome of an equitable settlement of contractual issues with the Company’s customers.

The Company was one of several bidders on a large, multi-year military truck solicitation for the Canadian government. The Company's bid was not selected, and the Company subsequently submitted a legal challenge of that conclusion. In May 2016, the Canadian International Trade Tribunal (the “Tribunal”) ruled in the Company's favor in connection with that challenge. In December 2017, the Tribunal issued its determination outlining the compensation to which the Company is entitled as a result of the challenge. Due to the expectation that the Canadian government will appeal this matter, the Company has not recognized any gain for this matter as it is not yet realized or realizable.
Business Segment Information
Business Segment Information
Business Segment Information

The Company is organized into four reportable segments based on the internal organization used by the President and Chief Executive Officer for making operating decisions and measuring performance and based on the similarity of customers served, common management, common use of facilities and economic results attained.

In accordance with FASB ASC Topic 280, Segment Reporting, for purposes of business segment performance measurement, the Company does not allocate to individual business segments costs or items that are of a non-operating nature or organizational or functional expenses of a corporate nature. The caption “Corporate” includes corporate office expenses, share-based compensation, costs of certain business initiatives and shared services or operations benefiting multiple segments, and results of insignificant operations. Identifiable assets of the business segments exclude general corporate assets, which principally consist of cash and cash equivalents, certain property, plant and equipment, and certain other assets pertaining to corporate activities. Intersegment sales generally include amounts invoiced by a segment for work performed for another segment. Amounts are based on actual work performed and agreed-upon pricing, which is intended to be reflective of the contribution made by the supplying business segment.

Selected financial information concerning the Company’s reportable segments and product lines is as follows (in millions):
 
Three Months Ended December 31,
 
2017
 
2016
 
External
Customers
 
Inter-
segment
 
Net
Sales
 
External
Customers
 
Inter-
segment
 
Net
Sales
Access equipment
 
 
 
 
 
 
 
 
 
 
 
Aerial work platforms
$
323.5

 
$
—

 
$
323.5

 
$
233.7

 
$
—

 
$
233.7

Telehandlers
129.5

 
—

 
129.5

 
93.3

 
—

 
93.3

Other
175.2

 
—

 
175.2

 
162.2

 
—

 
162.2

Total access equipment
628.2

 
—

 
628.2

 
489.2

 
—

 
489.2

 
 
 
 
 
 
 
 
 
 
 
 
Defense
493.2

 
0.3

 
493.5

 
294.2

 
0.3

 
294.5

 
 
 
 
 
 
 
 
 
 
 
 
Fire & emergency
224.9

 
4.2

 
229.1

 
229.1

 
3.4

 
232.5

 
 
 
 
 
 
 
 
 
 
 
 
Commercial
 
 
 
 
 
 
 
 
 
 
 
Concrete placement
111.5

 
—

 
111.5

 
84.4

 
—

 
84.4

Refuse collection
101.2

 
—

 
101.2

 
92.2

 
—

 
92.2

Other
27.0

 
1.7

 
28.7

 
21.5

 
1.1

 
22.6

Total commercial
239.7

 
1.7

 
241.4

 
198.1

 
1.1

 
199.2

Corporate and intersegment eliminations
0.3

 
(6.2
)
 
(5.9
)
 
0.8

 
(4.8
)
 
(4.0
)
Consolidated
$
1,586.3

 
$
—

 
$
1,586.3

 
$
1,211.4

 
$
—

 
$
1,211.4



 
Three Months Ended 
 December 31,
 
2017
 
2016
Operating income (loss):
 
 
 
Access equipment
$
13.8

 
$
24.4

Defense
65.2

 
23.8

Fire & emergency
25.1

 
17.0

Commercial
8.3

 
4.6

Corporate
(38.6
)
 
(33.6
)
Consolidated
73.8

 
36.2

Interest expense, net of interest income
(13.7
)
 
(13.9
)
Miscellaneous other income
0.5

 
1.3

Income before income taxes and equity in earnings of unconsolidated affiliates
$
60.6

 
$
23.6

 

 
December 31,
 
September 30,
 
2017

2017
Identifiable assets:
 
 
 
Access equipment:
 
 
 
U.S.
$
1,884.5

 
$
1,905.5

Europe
525.0

 
541.0

Rest of the World
242.0

 
246.1

Total access equipment
2,651.5

 
2,692.6

Defense:
 
 
 
U.S.
818.0

 
775.1

Rest of the World
6.5

 
7.0

Total defense
824.5

 
782.1

Fire & emergency - U.S.
526.9

 
552.6

Commercial:
 
 
 
U.S.
359.4

 
377.3

Rest of the World
41.2

 
42.3

Total commercial
400.6

 
419.6

Corporate:
 
 
 
U.S. (a)
457.5

 
543.9

Rest of the World (b)
101.1

 
108.1

Total corporate
558.6

 
652.0

Consolidated
$
4,962.1

 
$
5,098.9


_________________________
(a) 
Primarily includes cash and short-term investments.
(b) 
Primarily includes a corporate-led manufacturing facility that supports multiple operating segments.

The following table presents net sales by geographic region based on product shipment destination (in millions):
 
Three Months Ended December 31,
 
2017
 
2016
Net sales:
 
 
 
United States
$
1,233.2

 
$
1,018.3

Other North America
43.5

 
35.7

Europe, Africa and Middle East
235.5

 
71.6

Rest of the World
74.1

 
85.8

Consolidated
$
1,586.3

 
$
1,211.4

Separate Financial Information of Subsidiary Guarantors of Indebtedness
Separate Financial Information of Subsidiary Guarantors of Indebtedness
Separate Financial Information of Subsidiary Guarantors of Indebtedness

The 2022 Senior Notes and the 2025 Senior Notes are jointly, severally, fully and unconditionally guaranteed on a senior unsecured basis by all of the Company’s 100% owned existing and future subsidiaries that from time to time guarantee obligations under the Credit Agreement, with certain exceptions (the “Guarantors”).

Under the Indentures governing the 2022 Senior Notes and 2025 Senior Notes, a Guarantor’s guarantee of such Senior Notes will be automatically and unconditionally released and will terminate upon the following customary circumstances: (i) the sale of such Guarantor or substantially all of the assets of such Guarantor if such sale complies with the Indentures; (ii) if such Guarantor no longer guarantees certain other indebtedness of the Company; or (iii) the defeasance or satisfaction and discharge of the Indentures. The following condensed supplemental consolidating financial information reflects the summarized financial information of Oshkosh Corporation, the Guarantors on a combined basis and Oshkosh Corporation’s non-guarantor subsidiaries on a combined basis (in millions):

Condensed Consolidating Statement of Income and Comprehensive Income
For the Three Months Ended December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net sales
$
—

 
$
1,372.2

 
$
267.9

 
$
(53.8
)
 
$
1,586.3

Cost of sales
(0.9
)
 
1,153.0

 
245.7

 
(53.7
)
 
1,344.1

Gross income (loss)
0.9

 
219.2

 
22.2

 
(0.1
)
 
242.2

Selling, general and administrative expenses
37.8

 
90.3

 
29.7

 
—

 
157.8

Amortization of purchased intangibles
—

 
9.2

 
1.4

 
—

 
10.6

Operating income (loss)
(36.9
)
 
119.7

 
(8.9
)
 
(0.1
)
 
73.8

Interest expense
(19.0
)
 
(13.5
)
 
(0.8
)
 
17.9

 
(15.4
)
Interest income
1.3

 
8.0

 
10.3

 
(17.9
)
 
1.7

Miscellaneous, net
25.2

 
(62.0
)
 
37.3

 
—

 
0.5

Income (loss) before income taxes
(29.4
)
 
52.2

 
37.9

 
(0.1
)
 
60.6

Provision for (benefit from) income taxes
3.0

 
36.6

 
(35.1
)
 
0.2

 
4.7

Income (loss) before equity in earnings of affiliates
(32.4
)
 
15.6

 
73.0

 
(0.3
)
 
55.9

Equity in earnings of consolidated subsidiaries
88.8

 
57.1

 
(31.6
)
 
(114.3
)
 
—

Equity in earnings of unconsolidated affiliates
—

 
—

 
0.5

 
—

 
0.5

Net income
56.4

 
72.7

 
41.9

 
(114.6
)
 
56.4

Other comprehensive income (loss), net of tax
2.6

 
0.2

 
2.2

 
(2.4
)
 
2.6

Comprehensive income
$
59.0

 
$
72.9

 
$
44.1

 
$
(117.0
)
 
$
59.0



Condensed Consolidating Statement of Income and Comprehensive Income
For the Three Months Ended December 31, 2016
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net sales
$
—

 
$
1,049.8

 
$
202.9

 
$
(41.3
)
 
$
1,211.4

Cost of sales
(0.8
)
 
874.5

 
179.5

 
(41.5
)
 
1,011.7

Gross income
0.8

 
175.3

 
23.4

 
0.2

 
199.7

Selling, general and administrative expenses
31.6

 
91.5

 
27.9

 
—

 
151.0

Amortization of purchased intangibles
—

 
9.6

 
2.9

 
—

 
12.5

Operating income (loss)
(30.8
)
 
74.2

 
(7.4
)
 
0.2

 
36.2

Interest expense
(13.6
)
 
(13.6
)
 
(0.5
)
 
13.0

 
(14.7
)
Interest income
0.7

 
4.1

 
9.0

 
(13.0
)
 
0.8

Miscellaneous, net
22.5

 
(52.2
)
 
31.0

 
—

 
1.3

Income (loss) before income taxes
(21.2
)
 
12.5

 
32.1

 
0.2

 
23.6

Provision for (benefit from) income taxes
(5.1
)
 
3.0

 
7.2

 
0.1

 
5.2

Income (loss) before equity in earnings of affiliates
(16.1
)
 
9.5

 
24.9

 
0.1

 
18.4

Equity in earnings of consolidated subsidiaries
35.3

 
15.7

 
(10.7
)
 
(40.3
)
 
—

Equity in earnings of unconsolidated affiliates
—

 
—

 
0.8

 
—

 
0.8

Net income
19.2

 
25.2

 
15.0

 
(40.2
)
 
19.2

Other comprehensive income (loss), net of tax
(29.6
)
 
(0.9
)
 
(29.2
)
 
30.1

 
(29.6
)
Comprehensive income
$
(10.4
)
 
$
24.3

 
$
(14.2
)
 
$
(10.1
)
 
$
(10.4
)


Condensed Consolidating Balance Sheet
As of December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Assets
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
347.3

 
$
6.0

 
$
25.8

 
$
—

 
$
379.1

Receivables, net
22.8

 
996.9

 
258.9

 
(49.2
)
 
1,229.4

Inventories, net
—

 
802.4

 
417.5

 
—

 
1,219.9

Other current assets
45.9

 
31.4

 
10.9

 
—

 
88.2

Total current assets
416.0

 
1,836.7

 
713.1

 
(49.2
)
 
2,916.6

Investment in and advances to consolidated subsidiaries
3,209.0

 
1,411.3

 
(84.3
)
 
(4,536.0
)
 
—

Intercompany receivables
47.9

 
260.1

 
1,975.8

 
(2,283.8
)
 
—

Intangible assets, net
—

 
900.2

 
612.9

 
—

 
1,513.1

Other long-term assets
107.6

 
268.7

 
156.1

 
—

 
532.4

Total assets
$
3,780.5

 
$
4,677.0

 
$
3,373.6

 
$
(6,869.0
)
 
$
4,962.1

 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders' Equity
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
7.3

 
$
433.5

 
$
162.8

 
$
(48.8
)
 
$
554.8

Customer advances
—

 
548.0

 
3.3

 
—

 
551.3

Other current liabilities
104.4

 
240.6

 
114.7

 
(0.4
)
 
459.3

Total current liabilities
111.7

 
1,222.1

 
280.8

 
(49.2
)
 
1,565.4

Long-term debt, less current maturities
803.4

 
—

 
—

 
—

 
803.4

Intercompany payables
468.4

 
1,767.5

 
47.9

 
(2,283.8
)
 
—

Other long-term liabilities
103.6

 
184.3

 
12.0

 
—

 
299.9

Total shareholders' equity
2,293.4

 
1,503.1

 
3,032.9

 
(4,536.0
)
 
2,293.4

Total liabilities and shareholders' equity
$
3,780.5

 
$
4,677.0

 
$
3,373.6

 
$
(6,869.0
)
 
$
4,962.1


Condensed Consolidating Balance Sheet
As of September 30, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Assets
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
399.5

 
$
4.6

 
$
42.9

 
$
—

 
$
447.0

Receivables, net
28.3

 
1,025.5

 
316.1

 
(63.6
)
 
1,306.3

Inventories, net
—

 
819.3

 
379.1

 
—

 
1,198.4

Other current assets
45.4

 
31.9

 
10.8

 
—

 
88.1

Total current assets
473.2

 
1,881.3

 
748.9

 
(63.6
)
 
3,039.8

Investment in and advances to consolidated subsidiaries
3,138.3

 
1,340.4

 
(59.6
)
 
(4,419.1
)
 
—

Intercompany receivables
48.0

 
261.6

 
1,971.8

 
(2,281.4
)
 
—

Intangible assets, net
—

 
909.5

 
611.3

 
—

 
1,520.8

Other long-term assets
69.1

 
242.9

 
226.3

 
—

 
538.3

Total assets
$
3,728.6

 
$
4,635.7

 
$
3,498.7

 
$
(6,764.1
)
 
$
5,098.9

 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders' Equity
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
11.6

 
$
517.2

 
$
176.4

 
$
(54.2
)
 
$
651.0

Customer advances
—

 
510.7

 
2.7

 
—

 
513.4

Other current liabilities
105.2

 
304.9

 
118.0

 
(9.4
)
 
518.7

Total current liabilities
116.8

 
1,332.8

 
297.1

 
(63.6
)
 
1,683.1

Long-term debt, less current maturities
807.9

 
—

 
—

 
—

 
807.9

Intercompany payables
452.9

 
1,780.5

 
48.0

 
(2,281.4
)
 
—

Other long-term liabilities
43.6

 
134.1

 
122.8

 
—

 
300.5

Total shareholders' equity
2,307.4

 
1,388.3

 
3,030.8

 
(4,419.1
)
 
2,307.4

Total liabilities and shareholders' equity
$
3,728.6

 
$
4,635.7

 
$
3,498.7

 
$
(6,764.1
)
 
$
5,098.9



Condensed Consolidating Statement of Cash Flows
For the Three Months Ended December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net cash provided (used) by operating activities
$
(5.8
)
 
$
(4.4
)
 
$
39.4

 
$
—

 
$
29.2

 
 
 
 
 
 
 
 
 
 
Investing activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1.5
)
 
(11.7
)
 
(5.5
)
 
—

 
(18.7
)
Additions to equipment held for rental
—

 
—

 
(1.2
)
 
—

 
(1.2
)
Proceeds from sale of equipment held for rental
—

 
—

 
2.5

 
—

 
2.5

Intercompany investing
—

 
13.0

 
(58.9
)
 
45.9

 
—

Other investing activities
(0.7
)
 
(0.1
)
 
—

 
—

 
(0.8
)
Net cash provided (used) by investing activities
(2.2
)
 
1.2

 
(63.1
)
 
45.9

 
(18.2
)
 
 
 
 
 
 
 
 
 
 
Financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from issuance of debt (original maturities greater than three months)
—

 
—

 
6.5

 
—

 
6.5

Repayments of debt (original maturities greater than three months)
(5.0
)
 
—

 
—

 
—

 
(5.0
)
Repurchases of Common Stock
(71.1
)
 
—

 
—

 
—

 
(71.1
)
Dividends paid
(18.0
)
 
—

 
—

 
—

 
(18.0
)
Proceeds from exercise of stock options
8.6

 
—

 
—

 
—

 
8.6

Intercompany financing
41.3

 
4.6

 
—

 
(45.9
)
 
—

Net cash provided (used) by financing activities
(44.2
)
 
4.6

 
6.5

 
(45.9
)
 
(79.0
)
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash
—

 
—

 
0.1

 
—

 
0.1

Increase (decrease) in cash and cash equivalents
(52.2
)
 
1.4

 
(17.1
)
 
—

 
(67.9
)
Cash and cash equivalents at beginning of period
399.5

 
4.6

 
42.9

 
—

 
447.0

Cash and cash equivalents at end of period
$
347.3

 
$
6.0

 
$
25.8

 
$
—

 
$
379.1


Condensed Consolidating Statement of Cash Flows
For the Three Months Ended December 31, 2016
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net cash provided (used) by operating activities
$
(42.8
)
 
$
67.0

 
$
59.6

 
$
—

 
$
83.8

 
 
 
 
 
 
 
 
 
 
Investing activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(0.4
)
 
(9.1
)
 
(4.7
)
 
—

 
(14.2
)
Additions to equipment held for rental
—

 
—

 
(12.9
)
 
—

 
(12.9
)
Proceeds from sale of equipment held for rental
—

 
—

 
5.3

 
—

 
5.3

Intercompany investing
—

 
498.1

 
(39.0
)
 
(459.1
)
 
—

Other investing activities
(0.2
)
 
—

 
—

 
—

 
(0.2
)
Net cash provided (used) by investing activities
(0.6
)
 
489.0

 
(51.3
)
 
(459.1
)
 
(22.0
)
 
 
 
 
 
 
 
 
 
 
Financing activities:
 
 
 
 
 
 
 
 
 
Repayments of debt (original maturities greater than three months)
(20.0
)
 
—

 
—

 
—

 
(20.0
)
Repurchases of Common Stock
(3.0
)
 
—

 
—

 
—

 
(3.0
)
Dividends paid
(15.6
)
 
—

 
—

 
—

 
(15.6
)
Proceeds from exercise of stock options
26.2

 
—

 
—

 
—

 
26.2

Intercompany financing
93.9

 
(553.0
)
 
—

 
459.1

 
—

Net cash provided (used) by financing activities
81.5

 
(553.0
)
 
—

 
459.1

 
(12.4
)
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash
—

 
(0.2
)
 
(1.5
)
 
—

 
(1.7
)
Increase in cash and cash equivalents
38.1

 
2.8

 
6.8

 
—

 
47.7

Cash and cash equivalents at beginning of period
285.4

 
1.7

 
34.8

 
—

 
321.9

Cash and cash equivalents at end of period
$
323.5

 
$
4.5


$
41.6


$
—

 
$
369.6

New Accounting Standards (Policies)
New Accounting Standards
New Accounting Standards

In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606), and the FASB has since issued several amendments to this standard, which clarifies the principles for recognizing revenue. This guidance requires an entity to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The standard supersedes all existing U.S. GAAP guidance on revenue recognition and is expected to require the use of more judgment and result in additional disclosures. The new standard is effective for annual reporting periods beginning after December 15, 2017. Early adoption is permitted. The Company plans to adopt the standard on October 1, 2018. The Company has elected to adopt the new revenue recognition standard following the modified retrospective approach, as permitted by the standard. This approach will result in an adjustment to retained earnings for the cumulative effect of initially applying the new standard on its adoption date.

The Company has assembled a cross-functional team with representation from all segments that is dedicated to the implementation of this new accounting standard. The team, with the support of a project management office, is focused on executing a multi-phase plan that will culminate with the adoption of the standard. The cross-functional team focused on concluding and documenting key accounting positions during the three months ended December 31, 2017. The Company's Audit Committee has been receiving regular briefings on the implementation team's progress and potential implications related to adoption of the new standard. The internal control and process changes necessary to comply with the requirements of the new standard as well as its financial impact remain under evaluation.

In July 2015, the FASB issued ASU 2015-11, Inventory (Topic 330), Simplifying the Measurement of Inventory. ASU 2015-11 is part of the FASB’s initiative to simplify accounting standards. The guidance requires an entity to recognize inventory within the scope of the standard at the lower of cost or net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The Company adopted ASU 2015-11 on October 1, 2017. The adoption of ASU 2015-11 did not have a material impact on the Company's consolidated financial statements.

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which requires lessees to reflect most leases on their balance sheet as lease liabilities with a corresponding right-of-use asset, while leaving presentation of lease expense in the statement of income largely unchanged. The standard also eliminates the real-estate specific provisions that exist under current U.S. GAAP and modifies the classification criteria and accounting lessors must apply to sales-type and direct financing leases. The Company will be required to adopt ASU 2016-02 as of October 1, 2019. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-02 on the Company's consolidated financial statements.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. The standard requires a change in the measurement approach for credit losses on financial assets measured on an amortized cost basis from an incurred loss method to an expected loss method, thereby eliminating the requirement that a credit loss be considered probable to impact the valuation of a financial asset measured on an amortized cost basis. The standard requires the measurement of expected credit losses to be based on relevant information about past events, including historical experience, current conditions, and a reasonable and supportable forecast that affects the collectibility of the related financial asset. The Company will be required to adopt ASU 2016-13 as of October 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-13 on the Company's consolidated financial statements.

In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740), Intra-Entity Transfers of Assets Other Than Inventory. The standard requires that an entity recognize the income tax consequences of an intra-entity transfer of an asset when the transfer occurs as opposed to when the asset is transferred to an outside party as required under current U.S. GAAP. The standard does not apply to intra-entity transfers of inventory, which will continue to follow current U.S. GAAP. The Company will be required to adopt ASU 2016-16 as of October 1, 2018. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2016-16 on the Company's consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350), Simplifying the Test for Goodwill Impairment. The standard simplifies the measurement of goodwill impairment by eliminating the requirement that an entity compute the implied fair value of goodwill based on the fair values of its assets and liabilities to measure impairment. Instead, goodwill impairment will be measured as the difference between the fair value of the reporting unit and the carrying value of the reporting unit. The standard also clarifies the treatment of the income tax effect of tax deductible goodwill when measuring goodwill impairment loss. The Company will be required to adopt ASU 2017-04 as of October 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2017-04 on the Company's consolidated financial statements.

In March 2017, the FASB issued ASU 2017-07, Compensation - Retirement Benefits (Topic 715), Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost. The standard requires that an entity report the service cost component of net periodic pension and postretirement cost in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. The remaining components of net benefit costs are required to be presented in the income statement separately from the service component and outside a subtotal of income from operations, if one is presented. The amendment further allows only the service cost component of net periodic pension and postretirement costs to be eligible for capitalization, when applicable. The Company will be required to adopt ASU 2017-07 as of October 1, 2018. Early adoption is permitted. The Company is currently evaluating the impact of ASU 2017-07 on the Company's consolidated financial statements.

In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815), Targeted Improvements to Accounting for Hedging Activities. The standard more closely aligns hedge accounting with risk management strategies, simplifies the application of hedge accounting, and increases transparency as to the scope and results of hedging programs. The amendments expand and refine hedge accounting for both nonfinancial and financial risk components and align the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. The Company adopted ASU 2017-12 on October 1, 2017. The adoption of ASU 2017-12 did not have a material impact on the Company's consolidated financial statements.


Receivables (Tables)
Schedule of receivables 
Receivables consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
U.S. government:
 
 
 
Amounts billed
$
64.3

 
$
137.8

Costs and profits not billed
233.4

 
137.9

 
297.7

 
275.7

Other trade receivables
890.7

 
985.4

Finance receivables
13.9

 
5.8

Notes receivable
24.8

 
34.2

Other receivables
43.0

 
46.3

 
1,270.1

 
1,347.4

Less allowance for doubtful accounts
(14.5
)
 
(18.3
)
 
$
1,255.6

 
$
1,329.1

Classification of receivables in the condensed consolidated balance sheets 
Classification of receivables in the Condensed Consolidated Balance Sheets consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Current receivables
$
1,229.4

 
$
1,306.3

Long-term receivables (included in “Other long-term assets”)
26.2

 
22.8

 
$
1,255.6

 
$
1,329.1


Schedule of finance and notes receivable aging and accrual status 
Finance and notes receivable aging and accrual status consisted of the following (in millions):
 
Finance Receivables
 
Notes Receivable
 
December 31, 2017
 
September 30, 2017
 
December 31, 2017
 
September 30, 2017
Aging of receivables that are past due:
 
 
 
 
 
 
 
Greater than 30 days and less than 60 days
$
—

 
$
—

 
$
—

 
$
—

Greater than 60 days and less than 90 days
—

 
—

 
—

 
—

Greater than 90 days
2.1

 
2.1

 
0.2

 
0.2

 
 
 
 
 
 
 
 
Receivables on nonaccrual status
3.6

 
3.7

 
20.1

 
21.3

Receivables past due 90 days or more and still accruing
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
Receivables subject to general reserves
1.8

 
2.1

 
—

 
—

Allowance for doubtful accounts
(0.1
)
 
—

 
—

 
—

Receivables subject to specific reserves
12.1

 
3.7

 
24.8

 
34.2

Allowance for doubtful accounts
(1.4
)
 
(1.5
)
 
(6.1
)
 
(10.0
)
Schedule of allowance for doubtful accounts 
Changes in the Company’s allowance for doubtful accounts by type of receivable were as follows (in millions):
 
Three Months Ended December 31, 2017
 
Three Months Ended December 31, 2016
 
Finance
 
Notes
 
Trade and Other
 
Total
 
Finance
 
Notes
 
Trade and Other
 
Total
Allowance for doubtful accounts at beginning of period
$
1.5

 
$
10.0

 
$
6.8

 
$
18.3

 
$
1.0

 
$
13.0

 
$
7.2

 
$
21.2

Provision for doubtful accounts, net of recoveries
—

 
(4.0
)
 
0.2

 
(3.8
)
 
1.1

 
(0.6
)
 
(0.5
)
 
—

Charge-off of accounts
—

 
—

 
(0.1
)
 
(0.1
)
 
—

 
(0.1
)
 
(0.2
)
 
(0.3
)
Foreign currency translation
—

 
0.1

 
—

 
0.1

 
—

 
(0.7
)
 
—

 
(0.7
)
Allowance for doubtful accounts at end of period
$
1.5

 
$
6.1

 
$
6.9

 
$
14.5

 
$
2.1

 
$
11.6

 
$
6.5

 
$
20.2

Inventories (Tables)
Schedule of inventory
Inventories consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Raw materials
$
606.0

 
$
578.1

Partially finished products
347.3

 
336.6

Finished products
378.5

 
398.1

Inventories at FIFO cost
1,331.8

 
1,312.8

Less: Progress/performance-based payments on U.S. government contracts
(27.6
)
 
(31.6
)
          Excess of FIFO cost over LIFO cost
(84.3
)
 
(82.8
)
 
$
1,219.9

 
$
1,198.4

Property, Plant and Equipment (Tables)
Schedule of property, plant and equipment
Property, plant and equipment consisted of the following (in millions):
 
December 31,
 
September 30,
 
2017
 
2017
Land and land improvements
$
58.1

 
$
58.5

Buildings
298.2

 
298.5

Machinery and equipment
657.6

 
652.2

Software and related costs
151.7

 
149.6

Equipment on operating lease to others
28.8

 
30.0

 
1,194.4

 
1,188.8

Less accumulated depreciation
(736.4
)
 
(718.9
)
 
$
458.0

 
$
469.9

Goodwill and Purchased Intangible Assets (Tables)
Schedule of changes in goodwill 
The following table presents changes in goodwill during the three months ended December 31, 2017 (in millions):
 
Access
Equipment
 
Fire &
Emergency
 
Commercial
 
Total
Net goodwill at September 30, 2017
$
885.9

 
$
106.1

 
$
21.0

 
$
1,013.0

Foreign currency translation
2.9

 
—

 
(0.1
)
 
2.8

Net goodwill at December 31, 2017
$
888.8

 
$
106.1

 
$
20.9

 
$
1,015.8

Schedule of company's goodwill allocated to the reportable segments 
The following table presents details of the Company’s goodwill allocated to the reportable segments (in millions):
 
December 31, 2017
 
September 30, 2017
 
Gross
 
Accumulated
Impairment
 
Net
 
Gross
 
Accumulated
Impairment
 
Net
Access equipment
$
1,820.9

 
$
(932.1
)
 
$
888.8

 
$
1,818.0

 
$
(932.1
)
 
$
885.9

Fire & emergency
108.1

 
(2.0
)
 
106.1

 
108.1

 
(2.0
)
 
106.1

Commercial
196.8

 
(175.9
)
 
20.9

 
196.9

 
(175.9
)
 
21.0

 
$
2,125.8

 
$
(1,110.0
)
 
$
1,015.8

 
$
2,123.0

 
$
(1,110.0
)
 
$
1,013.0

Schedule of purchased intangible assets 
Details of the Company’s total purchased intangible assets are as follows (in millions):
 
December 31, 2017
 
Weighted-
Average
Life (in years)
 
Gross
 
Accumulated
Amortization
 
Net
Amortizable intangible assets:
 
 
 
 
 
 
 
Distribution network
39.1
 
$
55.4

 
$
(29.8
)
 
$
25.6

Technology-related
11.9
 
104.7

 
(101.2
)
 
3.5

Customer relationships
12.8
 
555.0

 
(476.3
)
 
78.7

Other
16.4
 
16.5

 
(14.8
)
 
1.7

 
14.4
 
731.6

 
(622.1
)
 
109.5

Non-amortizable trade names
 
 
387.8

 
—

 
387.8

 
 
 
$
1,119.4

 
$
(622.1
)
 
$
497.3


 
September 30, 2017
 
Weighted-
Average
Life (in years)
 
Gross
 
Accumulated
Amortization
 
Net
Amortizable intangible assets:
 
 
 
 
 
 
 
Distribution network
39.1
 
$
55.4

 
$
(29.5
)
 
$
25.9

Technology-related
11.9
 
104.7

 
(99.7
)
 
5.0

Customer relationships
12.8
 
555.0

 
(467.6
)
 
87.4

Other
16.3
 
16.4

 
(14.7
)
 
1.7

 
14.4
 
731.5

 
(611.5
)
 
120.0

Non-amortizable trade names
 
 
387.8

 
—

 
387.8

 
 
 
$
1,119.3

 
$
(611.5
)
 
$
507.8

Credit Agreements (Tables)
Schedule of debt instruments
The Company was obligated under the following debt instruments (in millions):
 
December 31, 2017
 
Principal
 
Debt Issuance Costs
 
Debt, Net
Senior Secured Term Loan
$
330.0

 
$
(0.7
)
 
$
329.3

5.375% Senior Notes due March 2022
250.0

 
(3.3
)
 
246.7

5.375% Senior Notes due March 2025
250.0

 
(2.6
)
 
247.4

 
$
830.0

 
$
(6.6
)
 
823.4

Less current maturities
 
 
 
 
(20.0
)
 
 
 


 
$
803.4

 
 
 
 
 
 
Other short-term debt
 
 
 
 
$
9.7

Current maturities of long-term debt
 
 
 
 
20.0

 
 
 


 
$
29.7



 
September 30, 2017
 
Principal
 
Debt Issuance Costs
 
Debt, Net
Senior Secured Term Loan
$
335.0

 
$
(0.8
)
 
$
334.2

5.375% Senior Notes due March 2022
250.0

 
(3.5
)
 
246.5

5.375% Senior Notes due March 2025
250.0

 
(2.8
)
 
247.2

 
$
835.0

 
$
(7.1
)
 
827.9

Less current maturities
 
 
 
 
(20.0
)
 
 
 
 
 
$
807.9

 
 
 
 
 
 
Other short-term debt
 
 
 
 
$
3.0

Current maturities of long-term debt
 
 
 
 
20.0

 
 
 
 
 
$
23.0

Warranties (Tables)
Schedule of changes in warranty liability and unearned extended warranty premiums
Changes in the Company’s warranty liability and unearned extended warranty premiums were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Balance at beginning of period
$
98.8

 
$
89.6

Warranty provisions
12.0

 
10.7

Settlements made
(12.8
)
 
(11.9
)
Changes in liability for pre-existing warranties, net
1.2

 
(1.1
)
Premiums received
2.6

 
2.8

Amortization of premiums received
(2.6
)
 
(2.9
)
Foreign currency translation
0.1

 
(1.0
)
Balance at end of period
$
99.3

 
$
86.2

Guarantee Arrangements (Tables)
Schedule of provision for losses on customer guarantees

Changes in the Company’s credit guarantee liability were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Balance at beginning of period
$
9.1

 
$
8.4

Provision for new credit guarantees
1.3

 
0.6

Changes for pre-existing guarantees, net
—

 
0.1

Amortization of previous guarantees
(0.6
)
 
(0.5
)
Foreign currency translation
—

 
(0.1
)
Balance at end of period
$
9.8

 
$
8.5

Fair Value Measurement (Tables)
Schedule of fair values of financial assets and liabilities
The fair values of the Company’s financial assets and liabilities were as follows (in millions):
 
Level 1
 
Level 2
 
Level 3
 
Total
December 31, 2017
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
SERP plan assets (a)
$
22.2

 
$
—

 
$
—

 
$
22.2

Foreign currency exchange derivatives (b)
—

 
0.8

 
—

 
0.8

Interest rate contracts (c)
—

 
0.3

 
—

 
0.3

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Foreign currency exchange derivatives (b)
$
—

 
$
0.9

 
$
—

 
$
0.9

Interest rate contracts (c)
—

 
0.2

 
—

 
0.2

 
 
 
 
 
 
 
 
September 30, 2017
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
SERP plan assets (a)
$
21.7

 
$
—

 
$
—

 
$
21.7

Foreign currency exchange derivatives (b)
—

 
0.5

 
—

 
0.5

Interest rate contracts (c)
—

 
0.3

 
—

 
0.3

 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Foreign currency exchange derivatives (b)
$
—

 
$
1.2

 
$
—

 
$
1.2

Interest rate contracts (c)
—

 
0.7

 
—

 
0.7

_________________________
(a) 
Represents investments in a rabbi trust for the Company's non-qualified supplemental executive retirement plan (SERP). The fair values of these investments are determined using a market approach. Investments include mutual funds for which quoted prices in active markets are available. The Company records changes in the fair value of investments in “Miscellaneous, net” in the Condensed Consolidated Statements of Income.
(b) 
Based on observable market transactions of forward currency prices.
(c) 
Based on observable market transactions of interest rate swap prices.
Restructuring and Other Charges (Tables)
Restructuring and related costs 

Pre-tax restructuring charges for the three months ended December 31, 2017 were as follows (in millions):
 
Cost of Sales
 
Selling, General and Administrative Expenses
 
Total
Access equipment
$
3.3

 
$
—

 
$
3.3

Commercial
0.6

 
1.9

 
2.5

Total
$
3.9

 
$
1.9

 
$
5.8


Pre-tax restructuring charges for the three months ended December 31, 2016 were as follows (in millions):
 
Cost of Sales
 
Selling, General and Administrative Expenses
 
Total
Access equipment
$
0.7

 
$
—

 
$
0.7

Commercial
—

 
0.4

 
0.4

Total
$
0.7

 
$
0.4

 
$
1.1

Schedule of restructuring reserve by type of cost 
Changes in the Company's restructuring reserves, included within “Other current liabilities” in the Condensed Consolidated Balance Sheets, were as follows (in millions):

 
Employee Severance and Termination Benefits
 
Property, Plant and Equipment Impairment
 
Other Costs
 
Total
Balance at September 30, 2017
$
19.8

 
$
—

 
$
1.0

 
$
20.8

Restructuring provision
3.7

 
1.0

 
1.1

 
5.8

Utilized - cash
(7.0
)
 
—

 
(1.0
)
 
(8.0
)
Utilized - noncash
—

 
(1.0
)
 
—

 
(1.0
)
Foreign currency translation
0.3

 
—

 
—

 
0.3

Balance at December 31, 2017
$
16.8


$
—

 
$
1.1


$
17.9


 
Employee Severance and Termination Benefits
Balance at September 30, 2016
$
0.9

Restructuring provision
1.1

Utilized - cash
(0.3
)
Balance at December 31, 2016
$
1.7

Employee Benefit Plans (Tables)
Schedule of net periodic benefit cost
Components of net periodic pension benefit cost were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Components of net periodic benefit cost
 
 
 
Service cost
$
3.1

 
$
3.3

Interest cost
4.5

 
4.4

Expected return on plan assets
(5.0
)
 
(4.5
)
Amortization of prior service cost
0.4

 
0.4

Amortization of net actuarial loss
0.5

 
1.0

Net periodic benefit cost
$
3.5

 
$
4.6



Components of net periodic other post-employment benefit cost were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Components of net periodic benefit cost
 
 
 
Service cost
$
0.9

 
$
0.6

Interest cost
0.5

 
0.4

Amortization of prior service cost
(0.2
)
 
(0.2
)
Amortization of net actuarial loss
—

 
0.1

Net periodic benefit cost
$
1.2

 
$
0.9

Accumulated Other Comprehensive Income (Loss) (Tables)
Schedule of accumulated other comprehensive income (loss) 
Changes in accumulated other comprehensive income (loss) by component were as follows (in millions):
 
Three Months Ended December 31, 2017
 
Employee
Pension and Postretirement Benefits, Net of Tax
 
Cumulative Translation Adjustments
 
Derivative Instruments
 
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period
$
(46.2
)
 
$
(78.6
)
 
$
(0.2
)
 
$
(125.0
)
Other comprehensive income (loss) before reclassifications
—

 
2.1

 
—

 
2.1

Amounts reclassified from accumulated other
comprehensive income (loss)
0.5

 
—

 
—

 
0.5

Net current period other comprehensive income (loss)
0.5


2.1


—

 
2.6

Balance at end of period
$
(45.7
)

$
(76.5
)

$
(0.2
)

$
(122.4
)

 
Three Months Ended December 31, 2016
 
Employee
Pension and Postretirement Benefits, Net of Tax
 
Cumulative Translation Adjustments
 
Accumulated Other Comprehensive Income (Loss)
Balance at beginning of period
$
(73.9
)
 
$
(101.1
)
 
$
(175.0
)
Other comprehensive income (loss) before reclassifications
—

 
(30.4
)
 
(30.4
)
Amounts reclassified from accumulated other comprehensive income (loss)
0.8

 
—

 
0.8

Net current period other comprehensive income (loss)
0.8

 
(30.4
)
 
(29.6
)
Balance at end of period
$
(73.1
)
 
$
(131.5
)
 
$
(204.6
)

Schedule of amounts recognized in other comprehensive income (loss) 
Reclassifications out of accumulated other comprehensive income (loss) included in the computation of net periodic pension and postretirement benefit cost (refer to Note 14 of the Notes to Condensed Consolidated Financial Statements for additional details regarding employee benefit plans) were as follows (in millions):
 
Three Months Ended 
 December 31,
 
2017
 
2016
Amortization of employee pension and postretirement benefits items
 
 
 
Prior service costs
$
0.2

 
$
0.2

Actuarial losses
0.5

 
1.1

Total before tax
0.7

 
1.3

Tax benefit
(0.2
)
 
(0.5
)
Net of tax
$
0.5

 
$
0.8

Earnings Per Share (Tables)
Schedule of earnings per share, basic and diluted 
The calculation of basic and diluted earnings per common share was as follows:
 
Three Months Ended 
 December 31,
 
2017
 
2016
Basic Earnings Per Share:
 
 
 
Weighted-average common shares outstanding
74,846,829

 
74,280,377
 
 
 
 
Diluted Earnings Per Share:
 
 
 
Basic weighted-average common shares outstanding
74,846,829

 
74,280,377

Dilutive stock options and other equity-based compensation awards
1,177,636

 
1,104,540

Diluted weighted-average common shares outstanding
76,024,465

 
75,384,917

Schedule of antidilutive securities excluded from computation of earnings per share 
Options not included in the computation of diluted earnings per share attributable to common shareholders because they would have been anti-dilutive were as follows:
 
Three Months Ended 
 December 31,
 
2017
 
2016
Stock options
261,675

 
393,975

Business Segment Information (Tables)
Schedule of net sales by product lines and reportable segments 
Selected financial information concerning the Company’s reportable segments and product lines is as follows (in millions):
 
Three Months Ended December 31,
 
2017
 
2016
 
External
Customers
 
Inter-
segment
 
Net
Sales
 
External
Customers
 
Inter-
segment
 
Net
Sales
Access equipment
 
 
 
 
 
 
 
 
 
 
 
Aerial work platforms
$
323.5

 
$
—

 
$
323.5

 
$
233.7

 
$
—

 
$
233.7

Telehandlers
129.5

 
—

 
129.5

 
93.3

 
—

 
93.3

Other
175.2

 
—

 
175.2

 
162.2

 
—

 
162.2

Total access equipment
628.2

 
—

 
628.2

 
489.2

 
—

 
489.2

 
 
 
 
 
 
 
 
 
 
 
 
Defense
493.2

 
0.3

 
493.5

 
294.2

 
0.3

 
294.5

 
 
 
 
 
 
 
 
 
 
 
 
Fire & emergency
224.9

 
4.2

 
229.1

 
229.1

 
3.4

 
232.5

 
 
 
 
 
 
 
 
 
 
 
 
Commercial
 
 
 
 
 
 
 
 
 
 
 
Concrete placement
111.5

 
—

 
111.5

 
84.4

 
—

 
84.4

Refuse collection
101.2

 
—

 
101.2

 
92.2

 
—

 
92.2

Other
27.0

 
1.7

 
28.7

 
21.5

 
1.1

 
22.6

Total commercial
239.7

 
1.7

 
241.4

 
198.1

 
1.1

 
199.2

Corporate and intersegment eliminations
0.3

 
(6.2
)
 
(5.9
)
 
0.8

 
(4.8
)
 
(4.0
)
Consolidated
$
1,586.3

 
$
—

 
$
1,586.3

 
$
1,211.4

 
$
—

 
$
1,211.4



Schedule of income (loss) from continuing operations by product lines and reportable segments 
 
Three Months Ended 
 December 31,
 
2017
 
2016
Operating income (loss):
 
 
 
Access equipment
$
13.8

 
$
24.4

Defense
65.2

 
23.8

Fire & emergency
25.1

 
17.0

Commercial
8.3

 
4.6

Corporate
(38.6
)
 
(33.6
)
Consolidated
73.8

 
36.2

Interest expense, net of interest income
(13.7
)
 
(13.9
)
Miscellaneous other income
0.5

 
1.3

Income before income taxes and equity in earnings of unconsolidated affiliates
$
60.6

 
$
23.6

Schedule of identifiable assets by business segments and by geographical segments 
 
December 31,
 
September 30,
 
2017

2017
Identifiable assets:
 
 
 
Access equipment:
 
 
 
U.S.
$
1,884.5

 
$
1,905.5

Europe
525.0

 
541.0

Rest of the World
242.0

 
246.1

Total access equipment
2,651.5

 
2,692.6

Defense:
 
 
 
U.S.
818.0

 
775.1

Rest of the World
6.5

 
7.0

Total defense
824.5

 
782.1

Fire & emergency - U.S.
526.9

 
552.6

Commercial:
 
 
 
U.S.
359.4

 
377.3

Rest of the World
41.2

 
42.3

Total commercial
400.6

 
419.6

Corporate:
 
 
 
U.S. (a)
457.5

 
543.9

Rest of the World (b)
101.1

 
108.1

Total corporate
558.6

 
652.0

Consolidated
$
4,962.1

 
$
5,098.9


_________________________
(a) 
Primarily includes cash and short-term investments.
(b) 
Primarily includes a corporate-led manufacturing facility that supports multiple operating segments.

Schedule of net sales by geographical segments 
The following table presents net sales by geographic region based on product shipment destination (in millions):
 
Three Months Ended December 31,
 
2017
 
2016
Net sales:
 
 
 
United States
$
1,233.2

 
$
1,018.3

Other North America
43.5

 
35.7

Europe, Africa and Middle East
235.5

 
71.6

Rest of the World
74.1

 
85.8

Consolidated
$
1,586.3

 
$
1,211.4

Separate Financial Information of Subsidiary Guarantors of Indebtedness (Tables)
Schedule of condensed consolidating statements of income and comprehensive income 
Condensed Consolidating Statement of Income and Comprehensive Income
For the Three Months Ended December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net sales
$
—

 
$
1,372.2

 
$
267.9

 
$
(53.8
)
 
$
1,586.3

Cost of sales
(0.9
)
 
1,153.0

 
245.7

 
(53.7
)
 
1,344.1

Gross income (loss)
0.9

 
219.2

 
22.2

 
(0.1
)
 
242.2

Selling, general and administrative expenses
37.8

 
90.3

 
29.7

 
—

 
157.8

Amortization of purchased intangibles
—

 
9.2

 
1.4

 
—

 
10.6

Operating income (loss)
(36.9
)
 
119.7

 
(8.9
)
 
(0.1
)
 
73.8

Interest expense
(19.0
)
 
(13.5
)
 
(0.8
)
 
17.9

 
(15.4
)
Interest income
1.3

 
8.0

 
10.3

 
(17.9
)
 
1.7

Miscellaneous, net
25.2

 
(62.0
)
 
37.3

 
—

 
0.5

Income (loss) before income taxes
(29.4
)
 
52.2

 
37.9

 
(0.1
)
 
60.6

Provision for (benefit from) income taxes
3.0

 
36.6

 
(35.1
)
 
0.2

 
4.7

Income (loss) before equity in earnings of affiliates
(32.4
)
 
15.6

 
73.0

 
(0.3
)
 
55.9

Equity in earnings of consolidated subsidiaries
88.8

 
57.1

 
(31.6
)
 
(114.3
)
 
—

Equity in earnings of unconsolidated affiliates
—

 
—

 
0.5

 
—

 
0.5

Net income
56.4

 
72.7

 
41.9

 
(114.6
)
 
56.4

Other comprehensive income (loss), net of tax
2.6

 
0.2

 
2.2

 
(2.4
)
 
2.6

Comprehensive income
$
59.0

 
$
72.9

 
$
44.1

 
$
(117.0
)
 
$
59.0



Condensed Consolidating Statement of Income and Comprehensive Income
For the Three Months Ended December 31, 2016
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net sales
$
—

 
$
1,049.8

 
$
202.9

 
$
(41.3
)
 
$
1,211.4

Cost of sales
(0.8
)
 
874.5

 
179.5

 
(41.5
)
 
1,011.7

Gross income
0.8

 
175.3

 
23.4

 
0.2

 
199.7

Selling, general and administrative expenses
31.6

 
91.5

 
27.9

 
—

 
151.0

Amortization of purchased intangibles
—

 
9.6

 
2.9

 
—

 
12.5

Operating income (loss)
(30.8
)
 
74.2

 
(7.4
)
 
0.2

 
36.2

Interest expense
(13.6
)
 
(13.6
)
 
(0.5
)
 
13.0

 
(14.7
)
Interest income
0.7

 
4.1

 
9.0

 
(13.0
)
 
0.8

Miscellaneous, net
22.5

 
(52.2
)
 
31.0

 
—

 
1.3

Income (loss) before income taxes
(21.2
)
 
12.5

 
32.1

 
0.2

 
23.6

Provision for (benefit from) income taxes
(5.1
)
 
3.0

 
7.2

 
0.1

 
5.2

Income (loss) before equity in earnings of affiliates
(16.1
)
 
9.5

 
24.9

 
0.1

 
18.4

Equity in earnings of consolidated subsidiaries
35.3

 
15.7

 
(10.7
)
 
(40.3
)
 
—

Equity in earnings of unconsolidated affiliates
—

 
—

 
0.8

 
—

 
0.8

Net income
19.2

 
25.2

 
15.0

 
(40.2
)
 
19.2

Other comprehensive income (loss), net of tax
(29.6
)
 
(0.9
)
 
(29.2
)
 
30.1

 
(29.6
)
Comprehensive income
$
(10.4
)
 
$
24.3

 
$
(14.2
)
 
$
(10.1
)
 
$
(10.4
)


Condensed consolidating balance sheet 
Condensed Consolidating Balance Sheet
As of December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Assets
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
347.3

 
$
6.0

 
$
25.8

 
$
—

 
$
379.1

Receivables, net
22.8

 
996.9

 
258.9

 
(49.2
)
 
1,229.4

Inventories, net
—

 
802.4

 
417.5

 
—

 
1,219.9

Other current assets
45.9

 
31.4

 
10.9

 
—

 
88.2

Total current assets
416.0

 
1,836.7

 
713.1

 
(49.2
)
 
2,916.6

Investment in and advances to consolidated subsidiaries
3,209.0

 
1,411.3

 
(84.3
)
 
(4,536.0
)
 
—

Intercompany receivables
47.9

 
260.1

 
1,975.8

 
(2,283.8
)
 
—

Intangible assets, net
—

 
900.2

 
612.9

 
—

 
1,513.1

Other long-term assets
107.6

 
268.7

 
156.1

 
—

 
532.4

Total assets
$
3,780.5

 
$
4,677.0

 
$
3,373.6

 
$
(6,869.0
)
 
$
4,962.1

 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders' Equity
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
7.3

 
$
433.5

 
$
162.8

 
$
(48.8
)
 
$
554.8

Customer advances
—

 
548.0

 
3.3

 
—

 
551.3

Other current liabilities
104.4

 
240.6

 
114.7

 
(0.4
)
 
459.3

Total current liabilities
111.7

 
1,222.1

 
280.8

 
(49.2
)
 
1,565.4

Long-term debt, less current maturities
803.4

 
—

 
—

 
—

 
803.4

Intercompany payables
468.4

 
1,767.5

 
47.9

 
(2,283.8
)
 
—

Other long-term liabilities
103.6

 
184.3

 
12.0

 
—

 
299.9

Total shareholders' equity
2,293.4

 
1,503.1

 
3,032.9

 
(4,536.0
)
 
2,293.4

Total liabilities and shareholders' equity
$
3,780.5

 
$
4,677.0

 
$
3,373.6

 
$
(6,869.0
)
 
$
4,962.1


Condensed Consolidating Balance Sheet
As of September 30, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Assets
 
 
 
 
 
 
 
 
 
Current assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
399.5

 
$
4.6

 
$
42.9

 
$
—

 
$
447.0

Receivables, net
28.3

 
1,025.5

 
316.1

 
(63.6
)
 
1,306.3

Inventories, net
—

 
819.3

 
379.1

 
—

 
1,198.4

Other current assets
45.4

 
31.9

 
10.8

 
—

 
88.1

Total current assets
473.2

 
1,881.3

 
748.9

 
(63.6
)
 
3,039.8

Investment in and advances to consolidated subsidiaries
3,138.3

 
1,340.4

 
(59.6
)
 
(4,419.1
)
 
—

Intercompany receivables
48.0

 
261.6

 
1,971.8

 
(2,281.4
)
 
—

Intangible assets, net
—

 
909.5

 
611.3

 
—

 
1,520.8

Other long-term assets
69.1

 
242.9

 
226.3

 
—

 
538.3

Total assets
$
3,728.6

 
$
4,635.7

 
$
3,498.7

 
$
(6,764.1
)
 
$
5,098.9

 
 
 
 
 
 
 
 
 
 
Liabilities and Shareholders' Equity
 
 
 
 
 
 
 
 
 
Current liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
11.6

 
$
517.2

 
$
176.4

 
$
(54.2
)
 
$
651.0

Customer advances
—

 
510.7

 
2.7

 
—

 
513.4

Other current liabilities
105.2

 
304.9

 
118.0

 
(9.4
)
 
518.7

Total current liabilities
116.8

 
1,332.8

 
297.1

 
(63.6
)
 
1,683.1

Long-term debt, less current maturities
807.9

 
—

 
—

 
—

 
807.9

Intercompany payables
452.9

 
1,780.5

 
48.0

 
(2,281.4
)
 
—

Other long-term liabilities
43.6

 
134.1

 
122.8

 
—

 
300.5

Total shareholders' equity
2,307.4

 
1,388.3

 
3,030.8

 
(4,419.1
)
 
2,307.4

Total liabilities and shareholders' equity
$
3,728.6

 
$
4,635.7

 
$
3,498.7

 
$
(6,764.1
)
 
$
5,098.9

Condensed consolidating statement of cash flows 
Condensed Consolidating Statement of Cash Flows
For the Three Months Ended December 31, 2017
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net cash provided (used) by operating activities
$
(5.8
)
 
$
(4.4
)
 
$
39.4

 
$
—

 
$
29.2

 
 
 
 
 
 
 
 
 
 
Investing activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(1.5
)
 
(11.7
)
 
(5.5
)
 
—

 
(18.7
)
Additions to equipment held for rental
—

 
—

 
(1.2
)
 
—

 
(1.2
)
Proceeds from sale of equipment held for rental
—

 
—

 
2.5

 
—

 
2.5

Intercompany investing
—

 
13.0

 
(58.9
)
 
45.9

 
—

Other investing activities
(0.7
)
 
(0.1
)
 
—

 
—

 
(0.8
)
Net cash provided (used) by investing activities
(2.2
)
 
1.2

 
(63.1
)
 
45.9

 
(18.2
)
 
 
 
 
 
 
 
 
 
 
Financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from issuance of debt (original maturities greater than three months)
—

 
—

 
6.5

 
—

 
6.5

Repayments of debt (original maturities greater than three months)
(5.0
)
 
—

 
—

 
—

 
(5.0
)
Repurchases of Common Stock
(71.1
)
 
—

 
—

 
—

 
(71.1
)
Dividends paid
(18.0
)
 
—

 
—

 
—

 
(18.0
)
Proceeds from exercise of stock options
8.6

 
—

 
—

 
—

 
8.6

Intercompany financing
41.3

 
4.6

 
—

 
(45.9
)
 
—

Net cash provided (used) by financing activities
(44.2
)
 
4.6

 
6.5

 
(45.9
)
 
(79.0
)
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash
—

 
—

 
0.1

 
—

 
0.1

Increase (decrease) in cash and cash equivalents
(52.2
)
 
1.4

 
(17.1
)
 
—

 
(67.9
)
Cash and cash equivalents at beginning of period
399.5

 
4.6

 
42.9

 
—

 
447.0

Cash and cash equivalents at end of period
$
347.3

 
$
6.0

 
$
25.8

 
$
—

 
$
379.1


Condensed Consolidating Statement of Cash Flows
For the Three Months Ended December 31, 2016
 
Oshkosh
Corporation
 
Guarantor
Subsidiaries
 
Non-Guarantor
Subsidiaries
 
Eliminations
 
Total
Net cash provided (used) by operating activities
$
(42.8
)
 
$
67.0

 
$
59.6

 
$
—

 
$
83.8

 
 
 
 
 
 
 
 
 
 
Investing activities:
 
 
 
 
 
 
 
 
 
Additions to property, plant and equipment
(0.4
)
 
(9.1
)
 
(4.7
)
 
—

 
(14.2
)
Additions to equipment held for rental
—

 
—

 
(12.9
)
 
—

 
(12.9
)
Proceeds from sale of equipment held for rental
—

 
—

 
5.3

 
—

 
5.3

Intercompany investing
—

 
498.1

 
(39.0
)
 
(459.1
)
 
—

Other investing activities
(0.2
)
 
—

 
—

 
—

 
(0.2
)
Net cash provided (used) by investing activities
(0.6
)
 
489.0

 
(51.3
)
 
(459.1
)
 
(22.0
)
 
 
 
 
 
 
 
 
 
 
Financing activities:
 
 
 
 
 
 
 
 
 
Repayments of debt (original maturities greater than three months)
(20.0
)
 
—

 
—

 
—

 
(20.0
)
Repurchases of Common Stock
(3.0
)
 
—

 
—

 
—

 
(3.0
)
Dividends paid
(15.6
)
 
—

 
—

 
—

 
(15.6
)
Proceeds from exercise of stock options
26.2

 
—

 
—

 
—

 
26.2

Intercompany financing
93.9

 
(553.0
)
 
—

 
459.1

 
—

Net cash provided (used) by financing activities
81.5

 
(553.0
)
 
—

 
459.1

 
(12.4
)
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash
—

 
(0.2
)
 
(1.5
)
 
—

 
(1.7
)
Increase in cash and cash equivalents
38.1

 
2.8

 
6.8

 
—

 
47.7

Cash and cash equivalents at beginning of period
285.4

 
1.7

 
34.8

 
—

 
321.9

Cash and cash equivalents at end of period
$
323.5

 
$
4.5


$
41.6


$
—

 
$
369.6

Receivables (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2016
U.S. government:
 
 
 
 
Amounts billed
$ 64.3 
$ 137.8 
 
 
Costs and profits not billed
233.4 
137.9 
 
 
Contract receivables
297.7 
275.7 
 
 
Other trade receivables
890.7 
985.4 
 
 
Finance receivables
13.9 
5.8 
 
 
Notes receivable
24.8 
34.2 
 
 
Other receivables
43.0 
46.3 
 
 
Receivables, gross
1,270.1 
1,347.4 
 
 
Less allowance for doubtful accounts
(14.5)
(18.3)
(20.2)
(21.2)
Receivables, net
1,255.6 
1,329.1 
 
 
Classification of receivables
 
 
 
 
Current receivables
1,229.4 
1,306.3 
 
 
Long-term receivables (included in “Other long-term assets”)
$ 26.2 
$ 22.8 
 
 
Receivables (Details 2) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Change in allowance for doubtful accounts
 
 
 
Allowance for doubtful accounts at beginning of period
$ 18.3 
$ 21.2 
 
Provision for doubtful accounts, net of recoveries
(3.8)
0 
 
Charge-off of accounts
(0.1)
(0.3)
 
Foreign currency translation
0.1 
(0.7)
 
Allowance for doubtful accounts at end of period
14.5 
20.2 
 
Finance Receivable
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Receivables on nonaccrual status
3.6 
 
3.7 
Receivables past due 90 days or more and still accruing
0 
 
0 
Receivables subject to general reserves
1.8 
 
2.1 
Allowance for doubtful accounts
(0.1)
 
0 
Receivables subject to specific reserves
12.1 
 
3.7 
Allowance for doubtful accounts
(1.4)
 
(1.5)
Change in allowance for doubtful accounts
 
 
 
Allowance for doubtful accounts at beginning of period
1.5 
1.0 
 
Provision for doubtful accounts, net of recoveries
0 
1.1 
 
Charge-off of accounts
0 
0 
 
Foreign currency translation
0 
0 
 
Allowance for doubtful accounts at end of period
1.5 
2.1 
 
Finance Receivable |
Greater than 30 days and less than 60 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
0 
 
0 
Finance Receivable |
Greater than 60 days and less than 90 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
0 
 
0 
Finance Receivable |
Greater than 90 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
2.1 
 
2.1 
Notes Receivable
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Receivables on nonaccrual status
20.1 
 
21.3 
Receivables past due 90 days or more and still accruing
0 
 
0 
Receivables subject to general reserves
0 
 
0 
Allowance for doubtful accounts
0 
 
0 
Receivables subject to specific reserves
24.8 
 
34.2 
Allowance for doubtful accounts
(6.1)
 
(10.0)
Change in allowance for doubtful accounts
 
 
 
Allowance for doubtful accounts at beginning of period
10.0 
13.0 
 
Provision for doubtful accounts, net of recoveries
(4.0)
(0.6)
 
Charge-off of accounts
0 
(0.1)
 
Foreign currency translation
0.1 
(0.7)
 
Allowance for doubtful accounts at end of period
6.1 
11.6 
 
Notes Receivable |
Greater than 30 days and less than 60 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
0 
 
0 
Notes Receivable |
Greater than 60 days and less than 90 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
0 
 
0 
Notes Receivable |
Greater than 90 days
 
 
 
Accounts, Notes, Loans and Financing Receivable [Line Items]
 
 
 
Aging of receivables that are past due:
0.2 
 
0.2 
Trade and Other Receivable
 
 
 
Change in allowance for doubtful accounts
 
 
 
Allowance for doubtful accounts at beginning of period
6.8 
7.2 
 
Provision for doubtful accounts, net of recoveries
0.2 
(0.5)
 
Charge-off of accounts
(0.1)
(0.2)
 
Foreign currency translation
0 
0 
 
Allowance for doubtful accounts at end of period
$ 6.9 
$ 6.5 
 
Receivables (Details 3) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Party
Notes Receivable |
Credit concentration
 
Finance and notes receivables
 
Receivables due from third parties (as a percent)
70.00% 
Notes Receivable, Concentration Risk, Number of Parties
2 
Restructured finance receivables
 
Finance and notes receivables
 
Financing receivable, modifications, recorded investment
$ 3.0 
Restructured notes receivables
 
Finance and notes receivables
 
Financing receivable, modifications, recorded investment
$ 6.1 
Inventories (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Inventory Disclosure [Abstract]
 
 
Raw materials
$ 606.0 
$ 578.1 
Partially finished products
347.3 
336.6 
Finished products
378.5 
398.1 
Inventories at FIFO cost
1,331.8 
1,312.8 
Less: Progress/performance-based payments on U.S. government contracts
(27.6)
(31.6)
Excess of FIFO cost over LIFO cost
(84.3)
(82.8)
Inventory net
$ 1,219.9 
$ 1,198.4 
Property, Plant and Equipment (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
$ 1,194.4 
 
$ 1,188.8 
Less accumulated depreciation
(736.4)
 
(718.9)
Property, plant and equipment, net
458.0 
 
469.9 
Depreciation expenses
20.1 
18.9 
 
Land and land improvements
 
 
 
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
58.1 
 
58.5 
Buildings
 
 
 
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
298.2 
 
298.5 
Machinery and equipment
 
 
 
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
657.6 
 
652.2 
Software and related costs
 
 
 
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
151.7 
 
149.6 
Equipment on operating lease to others
 
 
 
Property, plant and equipment
 
 
 
Property, plant and equipment, gross
28.8 
 
30.0 
Equipment on operating lease, net
$ 19.8 
 
$ 21.6 
Equipment on operating lease to others |
Minimum
 
 
 
Property, plant and equipment
 
 
 
Estimated useful life (in years)
5 years 
 
 
Equipment on operating lease to others |
Maximum
 
 
 
Property, plant and equipment
 
 
 
Estimated useful life (in years)
10 years 
 
 
Goodwill and Purchased Intangible Assets (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Changes in goodwill
 
Net goodwill at the beginning of the period
$ 1,013.0 
Foreign currency translation
2.8 
Net goodwill at the end of the period
1,015.8 
Access Equipment
 
Changes in goodwill
 
Net goodwill at the beginning of the period
885.9 
Foreign currency translation
2.9 
Net goodwill at the end of the period
888.8 
Fire & Emergency
 
Changes in goodwill
 
Net goodwill at the beginning of the period
106.1 
Foreign currency translation
0 
Net goodwill at the end of the period
106.1 
Commercial
 
Changes in goodwill
 
Net goodwill at the beginning of the period
21.0 
Foreign currency translation
(0.1)
Net goodwill at the end of the period
$ 20.9 
Goodwill and Purchased Intangible Assets (Details 2) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Details of the Company's goodwill allocated to the reportable segments
 
 
Gross
$ 2,125.8 
$ 2,123.0 
Accumulated Impairment
(1,110.0)
(1,110.0)
Net
1,015.8 
1,013.0 
Access Equipment
 
 
Details of the Company's goodwill allocated to the reportable segments
 
 
Gross
1,820.9 
1,818.0 
Accumulated Impairment
(932.1)
(932.1)
Net
888.8 
885.9 
Fire & Emergency
 
 
Details of the Company's goodwill allocated to the reportable segments
 
 
Gross
108.1 
108.1 
Accumulated Impairment
(2.0)
(2.0)
Net
106.1 
106.1 
Commercial
 
 
Details of the Company's goodwill allocated to the reportable segments
 
 
Gross
196.8 
196.9 
Accumulated Impairment
(175.9)
(175.9)
Net
$ 20.9 
$ 21.0 
Goodwill and Purchased Intangible Assets (Details 3) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2017
Sep. 30, 2017
Purchased intangible assets
 
 
Weighted- Average Life (in years)
14 years 5 months 
14 years 5 months 
Gross
$ 731.6 
$ 731.5 
Accumulated Amortization
(622.1)
(611.5)
Net
109.5 
120.0 
Non-amortizable trade names
387.8 
387.8 
Intangible assets excluding goodwill, gross
1,119.4 
1,119.3 
Purchased intangible assets, net
497.3 
507.8 
Future amortization expense of purchased intangible assets for the five years succeeding fiscal year 2017
 
 
2018 (remaining nine months)
27.7 
 
2019
36.9 
 
2020
11.0 
 
2021
5.3 
 
2022
4.9 
 
2023
3.5 
 
Distribution network
 
 
Purchased intangible assets
 
 
Weighted- Average Life (in years)
39 years 1 month 
39 years 1 month 
Gross
55.4 
55.4 
Accumulated Amortization
(29.8)
(29.5)
Net
25.6 
25.9 
Technology-related
 
 
Purchased intangible assets
 
 
Weighted- Average Life (in years)
11 years 11 months 
11 years 11 months 
Gross
104.7 
104.7 
Accumulated Amortization
(101.2)
(99.7)
Net
3.5 
5.0 
Customer relationships
 
 
Purchased intangible assets
 
 
Weighted- Average Life (in years)
12 years 9 months 
12 years 9 months 
Gross
555.0 
555.0 
Accumulated Amortization
(476.3)
(467.6)
Net
78.7 
87.4 
Other
 
 
Purchased intangible assets
 
 
Weighted- Average Life (in years)
16 years 5 months 
16 years 4 months 
Gross
16.5 
16.4 
Accumulated Amortization
(14.8)
(14.7)
Net
$ 1.7 
$ 1.7 
Credit Agreements (Details) (USD $)
3 Months Ended 1 Months Ended 1 Months Ended 3 Months Ended
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2017
Credit agreement
Dec. 31, 2017
Credit agreement
Minimum
Dec. 31, 2017
Credit agreement
Maximum
Dec. 31, 2017
Senior Secured Term Loan
Sep. 30, 2017
Senior Secured Term Loan
Mar. 21, 2014
Senior Secured Term Loan
Dec. 31, 2017
Revolving credit facility
Jan. 31, 2015
Revolving credit facility
Mar. 21, 2014
Revolving credit facility
Feb. 28, 2014
5.375% Senior Notes due March 2022
Dec. 31, 2017
5.375% Senior Notes due March 2022
Sep. 30, 2017
5.375% Senior Notes due March 2022
Mar. 31, 2015
5.375% Senior Notes due March 2025
Dec. 31, 2017
5.375% Senior Notes due March 2025
Sep. 30, 2017
5.375% Senior Notes due March 2025
Dec. 31, 2017
Letter of credit
Dec. 31, 2017
Credit agreement - dollar-denominated loans
Federal funds rate
Dec. 31, 2017
Credit agreement - dollar-denominated loans
LIBOR
Long term debt
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument interest rate (as a percent)
 
 
 
 
 
 
 
 
 
 
 
5.375% 
5.375% 
5.375% 
5.375% 
5.375% 
5.375% 
 
 
 
Principal
$ 830,000,000 
$ 835,000,000 
 
 
 
$ 330,000,000 
$ 335,000,000 
 
 
 
 
 
$ 250,000,000 
$ 250,000,000 
 
$ 250,000,000 
$ 250,000,000 
 
 
 
Debt Issuance Costs
(6,600,000)
(7,100,000)
 
 
 
(700,000)
(800,000)
 
 
 
 
 
(3,300,000)
(3,500,000)
 
(2,600,000)
(2,800,000)
 
 
 
Debt, Net
823,400,000 
827,900,000 
 
 
 
329,300,000 
334,200,000 
400,000,000 
 
 
 
 
246,700,000 
246,500,000 
 
247,400,000 
247,200,000 
 
 
 
Long term debt net of current maturities
803,400,000 
807,900,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Short-term Borrowings
9,700,000 
3,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current maturities of long-term debt
(20,000,000)
(20,000,000)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revolving line of credit and current maturities of long-term debt
29,700,000 
23,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maximum borrowing capacity
 
 
 
 
 
 
 
 
 
850,000,000 
600,000,000 
 
 
 
 
 
 
 
 
 
Quarterly principal installment, at commencement
 
 
 
 
 
5,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Payment due at maturity
 
 
 
 
 
310,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Letters of credit outstanding
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
94,900,000 
 
 
Available borrowing capacity
 
 
 
 
 
 
 
 
755,100,000 
 
 
 
 
 
 
 
 
 
 
 
Revolving credit facility, unused commitment fee rate (as a percent)
 
 
 
0.225% 
0.35% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Letter of credit fees percentage on available borrowing capacity, low end of range (as a percent)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.625% 
 
 
Letter of credit fees percentage on available borrowing capacity, high end of range (as a percent)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2.00% 
 
 
Interest spread in basis points (as a percent)
 
 
1.50% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.50% 
1.00% 
Weighted-average interest rate (as a percent)
 
 
 
 
 
2.85% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maximum leverage ratio
 
 
4.50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Minimum interest coverage ratio
 
 
2.50 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Maximum senior secured leverage ratio
 
 
3.00 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt instrument, covenant terms, senior secured leverage ratio without collateral
 
 
3.75 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Dividend payment restriction under credit agreement
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of consolidated net income of the Company and its subsidiaries accrued on a cumulative basis during the period beginning on January 1, 2010 and ending on the last day of the fiscal quarter
 
 
50.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of consolidated net deficit of the Company and its subsidiaries accrued on a cumulative basis during the period beginning on January 1, 2010 and ending on the last day of the fiscal quarter
 
 
100.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of aggregate net proceeds received by the Company subsequent to March 3, 2010 as a contribution to its common equity or from the issuance and sale of its Common Stock
 
 
100.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Debt issued
 
 
 
 
 
 
 
 
 
 
 
250,000,000 
 
 
250,000,000 
 
 
 
 
 
Fair value of debt
 
 
 
 
 
 
 
 
 
 
 
 
$ 257,000,000 
$ 260,000,000 
 
$ 264,000,000 
$ 264,000,000 
 
 
 
Warranties (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Product Warranty Liability [Line Items]
 
 
Extended product warranty accrual
$ 30.8 
$ 29.4 
Changes in warranty liability
 
 
Balance at beginning of period
98.8 
89.6 
Warranty provisions
12.0 
10.7 
Settlements made
(12.8)
(11.9)
Changes in liability for pre-existing warranties, net
1.2 
(1.1)
Premiums received
2.6 
2.8 
Amortization of premiums received
(2.6)
(2.9)
Foreign currency translation
0.1 
(1.0)
Balance at end of period
$ 99.3 
$ 86.2 
Minimum
 
 
Product Warranty Liability [Line Items]
 
 
Product warranty term
6 months 
 
Maximum
 
 
Product Warranty Liability [Line Items]
 
 
Product warranty term
5 years 
 
Guarantee Arrangements (Details) (Indirect guarantee of deferred payment and lease payment agreements member, USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Indirect guarantee of deferred payment and lease payment agreements member
 
 
Guarantee Obligations
 
 
Guarantee obligations, maximum exposure
$ 665.3 
 
Aggregate amount of indebtedness which the Company is a party to through guarantee agreements
122.8 
 
Changes in provision for loss on customer guarantees
 
 
Balance at beginning of period
9.1 
8.4 
Provision for new credit guarantees
1.3 
0.6 
Changes for pre-existing guarantees, net
0 
0.1 
Amortization of previous guarantees
(0.6)
(0.5)
Guarantee Obligations Currency Translation Increase (Decrease)
0 
(0.1)
Balance at end of period
$ 9.8 
$ 8.5 
Shareholders' Equity (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 28 Months Ended
Dec. 31, 2017
Dec. 31, 2017
Aug. 31, 2015
Stockholders' Equity Note [Abstract]
 
 
 
Number of shares of common stock authorized for buyback (in shares)
 
 
10,000,000 
Remaining number of shares authorized to be repurchased (in shares)
6,764,574 
6,764,574 
10,299,198 
Treasury stock, shares, acquired (in shares)
748,000 
3,534,624 
 
Treasury stock cumulative value acquired cost method
 
$ 175.7 
 
Treasury Stock, Value, Acquired, Cost Method
$ 63.7 
 
 
Fair Value Measurement (Details) (Fair value measured on recurring basis, USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Assets:
 
 
SERP plan assets
$ 22.2 1
$ 21.7 1
Foreign currency exchange derivatives
0.8 2
0.5 2
Interest rate contracts
0.3 3
0.3 3
Liabilities:
 
 
Foreign currency exchange derivatives
0.9 2
1.2 2
Interest rate contracts
0.2 3
0.7 3
Level 1
 
 
Assets:
 
 
SERP plan assets
22.2 1
21.7 1
Foreign currency exchange derivatives
0 2
0 2
Interest rate contracts
0 3
0 3
Liabilities:
 
 
Foreign currency exchange derivatives
0 2
0 2
Interest rate contracts
0 3
0 3
Level 2
 
 
Assets:
 
 
SERP plan assets
0 1
0 1
Foreign currency exchange derivatives
0.8 2
0.5 2
Interest rate contracts
0.3 3
0.3 3
Liabilities:
 
 
Foreign currency exchange derivatives
0.9 2
1.2 2
Interest rate contracts
0.2 3
0.7 3
Level 3
 
 
Assets:
 
 
SERP plan assets
0 1
0 1
Foreign currency exchange derivatives
0 2
0 2
Interest rate contracts
0 3
0 3
Liabilities:
 
 
Foreign currency exchange derivatives
0 2
0 2
Interest rate contracts
$ 0 3
$ 0 3
Stock-Based Compensation (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Share-based Compensation Arrangement by Share-based Payment Award
 
 
Stock-based compensation expense
$ 8.5 
$ 7.9 
Stock-based compensation expense, net of tax
$ 6.6 
$ 5.0 
2017 Stock Plan |
Stock options
 
 
Share-based Compensation Arrangement by Share-based Payment Award
 
 
Common stock reserved for issuance stock awards (in shares)
8,175,910 
 
Restructuring and Other Charges (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 3 Months Ended 3 Months Ended 3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Dec. 31, 2017
Selling, General and Administrative Expenses
Dec. 31, 2016
Selling, General and Administrative Expenses
Dec. 31, 2017
Cost of Sales
Dec. 31, 2016
Cost of Sales
Dec. 31, 2017
Employee Severance and Termination Benefits
Dec. 31, 2016
Employee Severance and Termination Benefits
Dec. 31, 2017
Other Costs
Dec. 31, 2017
Access Equipment
Dec. 31, 2016
Access Equipment
Dec. 31, 2017
Access Equipment
Selling, General and Administrative Expenses
Dec. 31, 2016
Access Equipment
Selling, General and Administrative Expenses
Dec. 31, 2017
Access Equipment
Cost of Sales
Dec. 31, 2016
Access Equipment
Cost of Sales
Dec. 31, 2017
Access Equipment
Operating Expense
Dec. 31, 2017
Commercial
Dec. 31, 2016
Commercial
Dec. 6, 2017
Commercial
Dec. 31, 2017
Commercial
Selling, General and Administrative Expenses
Dec. 31, 2016
Commercial
Selling, General and Administrative Expenses
Dec. 31, 2017
Commercial
Cost of Sales
Dec. 31, 2016
Commercial
Cost of Sales
Jan. 26, 2017
Minimum
Access Equipment
Jan. 26, 2017
Maximum
Access Equipment
Dec. 31, 2017
Access Equipment Restructuring Plan 1
Access Equipment
Dec. 31, 2016
Access Equipment Restructuring Plan 1
Access Equipment
Sep. 21, 2016
Access Equipment Restructuring Plan 1
Access Equipment
Dec. 31, 2017
Access Equipment Restructuring Plan 2
Access Equipment
Restructuring Cost and Reserve [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Expected restructuring charges
 
 
 
 
 
 
 
 
 
$ 73.0 
 
 
 
 
 
$ 30.0 
 
 
$ 4.0 
 
 
 
 
$ 48.0 
$ 53.0 
 
 
$ 3.0 
 
Restructuring charges
5.8 
1.1 
1.9 
0.4 
3.9 
0.7 
3.7 
1.1 
1.1 
3.3 
0.7 
0 
0 
3.3 
0.7 
13.0 
2.5 
0.4 
 
1.9 
0.4 
0.6 
0 
 
 
0.2 
0.7 
 
3.1 
Restructuring and Related Cost, Expected Cost Remaining
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 6 
 
 
 
 
 
 
 
 
 
 
 
 
$ 4 
Restructuring and Other Charges (Details 2) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Restructuring Reserve [Roll Forward]
 
 
Beginning Balance
$ 20.8 
 
Restructuring provision
5.8 
1.1 
Utilized - cash
(8.0)
 
Utilized - noncash
(1.0)
 
Foreign currency translation
0.3 
 
Ending Balance
17.9 
 
Employee Severance and Termination Benefits
 
 
Restructuring Reserve [Roll Forward]
 
 
Beginning Balance
19.8 
0.9 
Restructuring provision
3.7 
1.1 
Utilized - cash
(7.0)
(0.3)
Utilized - noncash
0 
 
Foreign currency translation
0.3 
 
Ending Balance
16.8 
1.7 
Property, Plant and Equipment Impairment
 
 
Restructuring Reserve [Roll Forward]
 
 
Beginning Balance
0 
 
Restructuring provision
1.0 
 
Utilized - cash
0 
 
Utilized - noncash
(1.0)
 
Foreign currency translation
0 
 
Ending Balance
0 
 
Other Costs
 
 
Restructuring Reserve [Roll Forward]
 
 
Beginning Balance
1.0 
 
Restructuring provision
1.1 
 
Utilized - cash
(1.0)
 
Utilized - noncash
0 
 
Foreign currency translation
0 
 
Ending Balance
1.1 
 
Access Equipment
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
3.3 
0.7 
Commercial
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
2.5 
0.4 
Cost of Sales
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
3.9 
0.7 
Cost of Sales |
Access Equipment
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
3.3 
0.7 
Cost of Sales |
Commercial
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
0.6 
0 
Selling, General and Administrative Expenses
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
1.9 
0.4 
Selling, General and Administrative Expenses |
Access Equipment
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
0 
0 
Selling, General and Administrative Expenses |
Commercial
 
 
Restructuring Reserve [Roll Forward]
 
 
Restructuring provision
$ 1.9 
$ 0.4 
Employee Benefit Plans (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Pension benefit
 
 
Components of net periodic benefit cost
 
 
Service cost
$ 3.1 
$ 3.3 
Interest cost
4.5 
4.4 
Expected return on plan assets
(5.0)
(4.5)
Amortization of prior service cost
0.4 
0.4 
Amortization of net actuarial loss
0.5 
1.0 
Net periodic benefit cost
3.5 
4.6 
Other post-employment benefit
 
 
Components of net periodic benefit cost
 
 
Service cost
0.9 
0.6 
Interest cost
0.5 
0.4 
Amortization of prior service cost
(0.2)
(0.2)
Amortization of net actuarial loss
0 
0.1 
Net periodic benefit cost
$ 1.2 
$ 0.9 
Income Taxes (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 3 Months Ended 9 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Dec. 31, 2016
State and Local Jurisdiction [Member]
Dec. 31, 2016
Domestic Tax Authority [Member]
Dec. 31, 2017
Tax Reform [Member]
Sep. 30, 2018
Tax Reform [Member]
Valuation allowance, deferred tax asset, increase (decrease), amount
 
 
 
$ (2.1)
$ (0.7)
 
 
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent
35.00% 
 
 
 
 
 
21.00% 
Deferred Federal Income Tax Expense (Benefit)
 
 
 
 
 
23.9 
 
Current Foreign Income Tax Expense (Benefit)
 
 
 
 
 
(17.4)
 
Effective income tax rate (as a percent)
7.80% 
21.80% 
 
 
 
 
 
Income tax expense
4.7 
5.2 
 
 
 
 
 
Income tax expense (benefit), tax credit, discrete items
(10.3)
(2.8)
 
 
 
 
 
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense
3.3 
 
 
 
 
 
 
Other Tax Expense (Benefit)
(6.5)
 
 
 
 
 
 
Gross unrecognized tax benefits, excluding income tax penalties and interest
37.3 
 
37.2 
 
 
 
 
Net unrecognized tax benefits, excluding interest and penalties that would affect the Company's net income if recognized
21.1 
 
 
 
 
 
 
Interest and penalties benefit (cost)
0.3 
0.4 
 
 
 
 
 
Accruals for payment of interest and penalties
10.2 
 
 
 
 
 
 
Estimated reduction in unrecognized tax benefits due to tax audit resolutions during the next twelve months
$ 3.0 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
 
 
Balance at beginning of period
$ 2,307.4 
 
Total other comprehensive income (loss), net of tax
2.6 
(29.6)
Balance at end of period
2,293.4 
 
Employee Pension and Postretirement Benefits, Net of Tax
 
 
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
 
 
Balance at beginning of period
(46.2)
(73.9)
Other comprehensive income (loss) before reclassifications
0 
0 
Amounts reclassified from accumulated other comprehensive income (loss)
0.5 
0.8 
Total other comprehensive income (loss), net of tax
0.5 
0.8 
Balance at end of period
(45.7)
(73.1)
Cumulative Translation Adjustments
 
 
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
 
 
Balance at beginning of period
(78.6)
(101.1)
Other comprehensive income (loss) before reclassifications
2.1 
(30.4)
Amounts reclassified from accumulated other comprehensive income (loss)
0 
0 
Total other comprehensive income (loss), net of tax
2.1 
(30.4)
Balance at end of period
(76.5)
(131.5)
Derivative Instruments
 
 
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
 
 
Balance at beginning of period
(0.2)
 
Other comprehensive income (loss) before reclassifications
0 
 
Amounts reclassified from accumulated other comprehensive income (loss)
0 
 
Total other comprehensive income (loss), net of tax
0 
 
Balance at end of period
(0.2)
 
Accumulated Other Comprehensive Income (Loss)
 
 
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
 
 
Balance at beginning of period
(125.0)
(175.0)
Other comprehensive income (loss) before reclassifications
2.1 
(30.4)
Amounts reclassified from accumulated other comprehensive income (loss)
0.5 
0.8 
Total other comprehensive income (loss), net of tax
2.6 
(29.6)
Balance at end of period
$ (122.4)
$ (204.6)
Accumulated Other Comprehensive Income (Loss) (Details 2) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Employee Pension and Postretirement Benefits, Net of Tax
 
 
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
 
 
Tax benefit
$ 0.2 
$ 0.5 
Net of tax
0.5 
0.8 
Total before tax
0.7 
1.3 
Prior service costs
 
 
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
 
 
Total before tax
0.2 
0.2 
Actuarial losses
 
 
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
 
 
Total before tax
$ 0.5 
$ 1.1 
Earnings Per Share (Details)
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Basic Earnings Per Share:
 
 
Weighted-average common shares outstanding (in shares)
74,846,829 
74,280,377 
Diluted Earnings Per Share:
 
 
Basic weighted-average common shares outstanding (in shares)
74,846,829 
74,280,377 
Dilutive stock options and other equity-based compensation awards (in shares)
1,177,636 
1,104,540 
Diluted weighted-average common shares outstanding (in shares)
76,024,465 
75,384,917 
Earnings Per Share (Details 2)
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Earnings Per Share [Abstract]
 
 
Stock options (in shares)
261,675 
393,975 
Contingencies, Significant Estimates and Concentrations (Details) (USD $)
3 Months Ended
Dec. 31, 2017
Sep. 30, 2017
Personal injury actions and other
 
 
Loss contingencies
 
 
Maximum self-insurance available per claim
$ 5,000,000 
 
Reserve for loss contingencies
40,000,000 
39,100,000 
Performance and specialty bonds
 
 
Loss contingencies
 
 
Commitments and contingencies
630,300,000 
598,400,000 
Standby letters of credit
 
 
Loss contingencies
 
 
Commitments and contingencies
$ 94,900,000 
$ 96,900,000 
Business Segment Information (Details)
3 Months Ended
Dec. 31, 2017
segment
Segment Reporting [Abstract]
 
Number of reportable segments of entity (in segments)
4 
Business Segment Information (Details 2) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Net sales:
 
 
Net sales
$ 1,586.3 
$ 1,211.4 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
73.8 
36.2 
Interest expense, net of interest income
(13.7)
(13.9)
Miscellaneous other income
0.5 
1.3 
Income before income taxes and equity in earnings of unconsolidated affiliates
60.6 
23.6 
Access Equipment
 
 
Net sales:
 
 
Net sales
628.2 
489.2 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
13.8 
24.4 
Access Equipment |
Aerial work platforms
 
 
Net sales:
 
 
Net sales
323.5 
233.7 
Access Equipment |
Telehandlers
 
 
Net sales:
 
 
Net sales
129.5 
93.3 
Access Equipment |
Other
 
 
Net sales:
 
 
Net sales
175.2 
162.2 
Defense
 
 
Net sales:
 
 
Net sales
493.2 
294.2 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
65.2 
23.8 
Fire & Emergency
 
 
Net sales:
 
 
Net sales
224.9 
229.1 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
25.1 
17.0 
Commercial
 
 
Net sales:
 
 
Net sales
239.7 
198.1 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
8.3 
4.6 
Commercial |
Concrete placement
 
 
Net sales:
 
 
Net sales
111.5 
84.4 
Commercial |
Refuse collection
 
 
Net sales:
 
 
Net sales
101.2 
92.2 
Commercial |
Other
 
 
Net sales:
 
 
Net sales
27.0 
21.5 
Intersegment eliminations
 
 
Net sales:
 
 
Net sales
0.3 
0.8 
Operating segments
 
 
Net sales:
 
 
Net sales
1,586.3 
1,211.4 
Operating segments |
Access Equipment
 
 
Net sales:
 
 
Net sales
628.2 
489.2 
Operating segments |
Access Equipment |
Aerial work platforms
 
 
Net sales:
 
 
Net sales
323.5 
233.7 
Operating segments |
Access Equipment |
Telehandlers
 
 
Net sales:
 
 
Net sales
129.5 
93.3 
Operating segments |
Access Equipment |
Other
 
 
Net sales:
 
 
Net sales
175.2 
162.2 
Operating segments |
Defense
 
 
Net sales:
 
 
Net sales
493.5 
294.5 
Operating segments |
Fire & Emergency
 
 
Net sales:
 
 
Net sales
229.1 
232.5 
Operating segments |
Commercial
 
 
Net sales:
 
 
Net sales
241.4 
199.2 
Operating segments |
Commercial |
Concrete placement
 
 
Net sales:
 
 
Net sales
111.5 
84.4 
Operating segments |
Commercial |
Refuse collection
 
 
Net sales:
 
 
Net sales
101.2 
92.2 
Operating segments |
Commercial |
Other
 
 
Net sales:
 
 
Net sales
28.7 
22.6 
Operating segments |
Intersegment eliminations
 
 
Net sales:
 
 
Net sales
(5.9)
(4.0)
Corporate, non-segment
 
 
Operating income (loss) from continuing operations:
 
 
Operating income (loss):
(38.6)
(33.6)
Intersegment eliminations
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Access Equipment
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Access Equipment |
Aerial work platforms
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Access Equipment |
Telehandlers
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Access Equipment |
Other
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Defense
 
 
Net sales:
 
 
Net sales
0.3 
0.3 
Intersegment eliminations |
Fire & Emergency
 
 
Net sales:
 
 
Net sales
4.2 
3.4 
Intersegment eliminations |
Commercial
 
 
Net sales:
 
 
Net sales
1.7 
1.1 
Intersegment eliminations |
Commercial |
Concrete placement
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Commercial |
Refuse collection
 
 
Net sales:
 
 
Net sales
0 
0 
Intersegment eliminations |
Commercial |
Other
 
 
Net sales:
 
 
Net sales
1.7 
1.1 
Intersegment eliminations |
Intersegment eliminations
 
 
Net sales:
 
 
Net sales
$ (6.2)
$ (4.8)
Business Segment Information (Details 3) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Sep. 30, 2017
Revenue and assets by geography
 
 
 
Identifiable assets
$ 4,962.1 
 
$ 5,098.9 
Net sales
1,586.3 
1,211.4 
 
United States
 
 
 
Revenue and assets by geography
 
 
 
Net sales
1,233.2 
1,018.3 
 
Other North America
 
 
 
Revenue and assets by geography
 
 
 
Net sales
43.5 
35.7 
 
Europe, Africa and Middle East
 
 
 
Revenue and assets by geography
 
 
 
Net sales
235.5 
71.6 
 
Rest of the World
 
 
 
Revenue and assets by geography
 
 
 
Net sales
74.1 
85.8 
 
Access Equipment
 
 
 
Revenue and assets by geography
 
 
 
Net sales
628.2 
489.2 
 
Defense
 
 
 
Revenue and assets by geography
 
 
 
Net sales
493.2 
294.2 
 
Fire & Emergency
 
 
 
Revenue and assets by geography
 
 
 
Net sales
224.9 
229.1 
 
Commercial
 
 
 
Revenue and assets by geography
 
 
 
Net sales
239.7 
198.1 
 
Operating segments
 
 
 
Revenue and assets by geography
 
 
 
Net sales
1,586.3 
1,211.4 
 
Operating segments |
Access Equipment
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
2,651.5 
 
2,692.6 
Net sales
628.2 
489.2 
 
Operating segments |
Access Equipment |
United States
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
1,884.5 
 
1,905.5 
Operating segments |
Access Equipment |
Europe
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
525.0 
 
541.0 
Operating segments |
Access Equipment |
Rest of the World
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
242.0 
 
246.1 
Operating segments |
Defense
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
824.5 
 
782.1 
Net sales
493.5 
294.5 
 
Operating segments |
Defense |
United States
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
818.0 
 
775.1 
Operating segments |
Defense |
Rest of the World
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
6.5 
 
7.0 
Operating segments |
Fire & Emergency
 
 
 
Revenue and assets by geography
 
 
 
Net sales
229.1 
232.5 
 
Operating segments |
Fire & Emergency |
United States
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
526.9 
 
552.6 
Operating segments |
Commercial
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
400.6 
 
419.6 
Net sales
241.4 
199.2 
 
Operating segments |
Commercial |
United States
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
359.4 
 
377.3 
Operating segments |
Commercial |
Rest of the World
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
41.2 
 
42.3 
Corporate, non-segment
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
558.6 
 
652.0 
Corporate, non-segment |
United States
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
457.5 1
 
543.9 1
Corporate, non-segment |
Rest of the World
 
 
 
Revenue and assets by geography
 
 
 
Identifiable assets
$ 101.1 2
 
$ 108.1 2
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Condensed Consolidating Statements of Income
 
 
Net sales
$ 1,586.3 
$ 1,211.4 
Cost of sales
1,344.1 
1,011.7 
Gross income
242.2 
199.7 
Selling, general and administrative
157.8 
151.0 
Amortization of purchased intangibles
10.6 
12.5 
Operating income
73.8 
36.2 
Interest expense
(15.4)
(14.7)
Interest income
1.7 
0.8 
Miscellaneous, net
0.5 
1.3 
Income before income taxes and equity in earnings of unconsolidated affiliates
60.6 
23.6 
Provision for income taxes
4.7 
5.2 
Income before equity in earnings of unconsolidated affiliates
55.9 
18.4 
Equity in earnings of consolidated subsidiaries
0 
0 
Equity in earnings of unconsolidated affiliates
0.5 
0.8 
Net income
56.4 
19.2 
Other comprehensive income (loss), net of tax
2.6 
(29.6)
Comprehensive income
59.0 
(10.4)
Reportable legal entities |
Oshkosh Corporation
 
 
Condensed Consolidating Statements of Income
 
 
Net sales
0 
0 
Cost of sales
(0.9)
(0.8)
Gross income
0.9 
0.8 
Selling, general and administrative
37.8 
31.6 
Amortization of purchased intangibles
0 
0 
Operating income
(36.9)
(30.8)
Interest expense
(19.0)
(13.6)
Interest income
1.3 
0.7 
Miscellaneous, net
25.2 
22.5 
Income before income taxes and equity in earnings of unconsolidated affiliates
(29.4)
(21.2)
Provision for income taxes
3.0 
(5.1)
Income before equity in earnings of unconsolidated affiliates
(32.4)
(16.1)
Equity in earnings of consolidated subsidiaries
88.8 
35.3 
Equity in earnings of unconsolidated affiliates
0 
0 
Net income
56.4 
19.2 
Other comprehensive income (loss), net of tax
2.6 
(29.6)
Comprehensive income
59.0 
(10.4)
Reportable legal entities |
Guarantor Subsidiaries
 
 
Condensed Consolidating Statements of Income
 
 
Net sales
1,372.2 
1,049.8 
Cost of sales
1,153.0 
874.5 
Gross income
219.2 
175.3 
Selling, general and administrative
90.3 
91.5 
Amortization of purchased intangibles
9.2 
9.6 
Operating income
119.7 
74.2 
Interest expense
(13.5)
(13.6)
Interest income
8.0 
4.1 
Miscellaneous, net
(62.0)
(52.2)
Income before income taxes and equity in earnings of unconsolidated affiliates
52.2 
12.5 
Provision for income taxes
36.6 
3.0 
Income before equity in earnings of unconsolidated affiliates
15.6 
9.5 
Equity in earnings of consolidated subsidiaries
57.1 
15.7 
Equity in earnings of unconsolidated affiliates
0 
0 
Net income
72.7 
25.2 
Other comprehensive income (loss), net of tax
0.2 
(0.9)
Comprehensive income
72.9 
24.3 
Reportable legal entities |
Non-Guarantor Subsidiaries
 
 
Condensed Consolidating Statements of Income
 
 
Net sales
267.9 
202.9 
Cost of sales
245.7 
179.5 
Gross income
22.2 
23.4 
Selling, general and administrative
29.7 
27.9 
Amortization of purchased intangibles
1.4 
2.9 
Operating income
(8.9)
(7.4)
Interest expense
(0.8)
(0.5)
Interest income
10.3 
9.0 
Miscellaneous, net
37.3 
31.0 
Income before income taxes and equity in earnings of unconsolidated affiliates
37.9 
32.1 
Provision for income taxes
(35.1)
7.2 
Income before equity in earnings of unconsolidated affiliates
73.0 
24.9 
Equity in earnings of consolidated subsidiaries
(31.6)
(10.7)
Equity in earnings of unconsolidated affiliates
0.5 
0.8 
Net income
41.9 
15.0 
Other comprehensive income (loss), net of tax
2.2 
(29.2)
Comprehensive income
44.1 
(14.2)
Eliminations
 
 
Condensed Consolidating Statements of Income
 
 
Net sales
(53.8)
(41.3)
Cost of sales
(53.7)
(41.5)
Gross income
(0.1)
0.2 
Selling, general and administrative
0 
0 
Amortization of purchased intangibles
0 
0 
Operating income
(0.1)
0.2 
Interest expense
17.9 
13.0 
Interest income
(17.9)
(13.0)
Miscellaneous, net
0 
0 
Income before income taxes and equity in earnings of unconsolidated affiliates
(0.1)
0.2 
Provision for income taxes
0.2 
0.1 
Income before equity in earnings of unconsolidated affiliates
(0.3)
0.1 
Equity in earnings of consolidated subsidiaries
(114.3)
(40.3)
Equity in earnings of unconsolidated affiliates
0 
0 
Net income
(114.6)
(40.2)
Other comprehensive income (loss), net of tax
(2.4)
30.1 
Comprehensive income
$ (117.0)
$ (10.1)
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Details 2) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2017
Sep. 30, 2017
Dec. 31, 2016
Sep. 30, 2016
Current assets:
 
 
 
 
Cash and cash equivalents
$ 379.1 
$ 447.0 
$ 369.6 
$ 321.9 
Receivables, net
1,229.4 
1,306.3 
 
 
Inventories, net
1,219.9 
1,198.4 
 
 
Other current assets
88.2 
88.1 
 
 
Total current assets
2,916.6 
3,039.8 
 
 
Investment in and advances to consolidated subsidiaries
0 
0 
 
 
Intercompany receivables
0 
0 
 
 
Intangible assets, net
1,513.1 
1,520.8 
 
 
Other long-term assets
532.4 
538.3 
 
 
Total assets
4,962.1 
5,098.9 
 
 
Current liabilities:
 
 
 
 
Accounts payable
554.8 
651.0 
 
 
Customer advances
551.3 
513.4 
 
 
Other current liabilities
459.3 
518.7 
 
 
Total current liabilities
1,565.4 
1,683.1 
 
 
Long-term debt, less current maturities
803.4 
807.9 
 
 
Intercompany payables
0 
0 
 
 
Other long-term liabilities
299.9 
300.5 
 
 
Total shareholders' equity
2,293.4 
2,307.4 
 
 
Total liabilities and shareholders' equity
4,962.1 
5,098.9 
 
 
Reportable legal entities |
Oshkosh Corporation
 
 
 
 
Current assets:
 
 
 
 
Cash and cash equivalents
347.3 
399.5 
323.5 
285.4 
Receivables, net
22.8 
28.3 
 
 
Inventories, net
0 
0 
 
 
Other current assets
45.9 
45.4 
 
 
Total current assets
416.0 
473.2 
 
 
Investment in and advances to consolidated subsidiaries
3,209.0 
3,138.3 
 
 
Intercompany receivables
47.9 
48.0 
 
 
Intangible assets, net
0 
0 
 
 
Other long-term assets
107.6 
69.1 
 
 
Total assets
3,780.5 
3,728.6 
 
 
Current liabilities:
 
 
 
 
Accounts payable
7.3 
11.6 
 
 
Customer advances
0 
0 
 
 
Other current liabilities
104.4 
105.2 
 
 
Total current liabilities
111.7 
116.8 
 
 
Long-term debt, less current maturities
803.4 
807.9 
 
 
Intercompany payables
468.4 
452.9 
 
 
Other long-term liabilities
103.6 
43.6 
 
 
Total shareholders' equity
2,293.4 
2,307.4 
 
 
Total liabilities and shareholders' equity
3,780.5 
3,728.6 
 
 
Reportable legal entities |
Guarantor Subsidiaries
 
 
 
 
Current assets:
 
 
 
 
Cash and cash equivalents
6.0 
4.6 
4.5 
1.7 
Receivables, net
996.9 
1,025.5 
 
 
Inventories, net
802.4 
819.3 
 
 
Other current assets
31.4 
31.9 
 
 
Total current assets
1,836.7 
1,881.3 
 
 
Investment in and advances to consolidated subsidiaries
1,411.3 
1,340.4 
 
 
Intercompany receivables
260.1 
261.6 
 
 
Intangible assets, net
900.2 
909.5 
 
 
Other long-term assets
268.7 
242.9 
 
 
Total assets
4,677.0 
4,635.7 
 
 
Current liabilities:
 
 
 
 
Accounts payable
433.5 
517.2 
 
 
Customer advances
548.0 
510.7 
 
 
Other current liabilities
240.6 
304.9 
 
 
Total current liabilities
1,222.1 
1,332.8 
 
 
Long-term debt, less current maturities
0 
0 
 
 
Intercompany payables
1,767.5 
1,780.5 
 
 
Other long-term liabilities
184.3 
134.1 
 
 
Total shareholders' equity
1,503.1 
1,388.3 
 
 
Total liabilities and shareholders' equity
4,677.0 
4,635.7 
 
 
Reportable legal entities |
Non-Guarantor Subsidiaries
 
 
 
 
Current assets:
 
 
 
 
Cash and cash equivalents
25.8 
42.9 
41.6 
34.8 
Receivables, net
258.9 
316.1 
 
 
Inventories, net
417.5 
379.1 
 
 
Other current assets
10.9 
10.8 
 
 
Total current assets
713.1 
748.9 
 
 
Investment in and advances to consolidated subsidiaries
(84.3)
(59.6)
 
 
Intercompany receivables
1,975.8 
1,971.8 
 
 
Intangible assets, net
612.9 
611.3 
 
 
Other long-term assets
156.1 
226.3 
 
 
Total assets
3,373.6 
3,498.7 
 
 
Current liabilities:
 
 
 
 
Accounts payable
162.8 
176.4 
 
 
Customer advances
3.3 
2.7 
 
 
Other current liabilities
114.7 
118.0 
 
 
Total current liabilities
280.8 
297.1 
 
 
Long-term debt, less current maturities
0 
0 
 
 
Intercompany payables
47.9 
48.0 
 
 
Other long-term liabilities
12.0 
122.8 
 
 
Total shareholders' equity
3,032.9 
3,030.8 
 
 
Total liabilities and shareholders' equity
3,373.6 
3,498.7 
 
 
Eliminations
 
 
 
 
Current assets:
 
 
 
 
Cash and cash equivalents
0 
0 
0 
0 
Receivables, net
(49.2)
(63.6)
 
 
Inventories, net
0 
0 
 
 
Other current assets
0 
0 
 
 
Total current assets
(49.2)
(63.6)
 
 
Investment in and advances to consolidated subsidiaries
(4,536.0)
(4,419.1)
 
 
Intercompany receivables
(2,283.8)
(2,281.4)
 
 
Intangible assets, net
0 
0 
 
 
Other long-term assets
0 
0 
 
 
Total assets
(6,869.0)
(6,764.1)
 
 
Current liabilities:
 
 
 
 
Accounts payable
(48.8)
(54.2)
 
 
Customer advances
0 
0 
 
 
Other current liabilities
(0.4)
(9.4)
 
 
Total current liabilities
(49.2)
(63.6)
 
 
Long-term debt, less current maturities
0 
0 
 
 
Intercompany payables
(2,283.8)
(2,281.4)
 
 
Other long-term liabilities
0 
0 
 
 
Total shareholders' equity
(4,536.0)
(4,419.1)
 
 
Total liabilities and shareholders' equity
$ (6,869.0)
$ (6,764.1)
 
 
Separate Financial Information of Subsidiary Guarantors of Indebtedness (Details 3) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Condensed financial statements, captions
 
 
Net cash provided (used) by operating activities
$ 29.2 
$ 83.8 
Investing activities:
 
 
Additions to property, plant and equipment
(18.7)
(14.2)
Additions to equipment held for rental
(1.2)
(12.9)
Proceeds from sale of equipment held for rental
2.5 
5.3 
Intercompany investing
0 
0 
Other investing activities
(0.8)
(0.2)
Net cash used by investing activities
(18.2)
(22.0)
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
6.5 
0 
Repayments of debt (original maturities greater than three months)
(5.0)
(20.0)
Repurchases of Common Stock
(71.1)
(3.0)
Dividends paid
(18.0)
(15.6)
Proceeds from exercise of stock options
8.6 
26.2 
Intercompany financing
0 
0 
Net cash used by financing activities
(79.0)
(12.4)
Effect of exchange rate changes on cash
0.1 
(1.7)
Increase (decrease) in cash and cash equivalents
(67.9)
47.7 
Cash and cash equivalents at beginning of period
447.0 
321.9 
Cash and cash equivalents at end of period
379.1 
369.6 
Reportable legal entities |
Oshkosh Corporation
 
 
Condensed financial statements, captions
 
 
Net cash provided (used) by operating activities
(5.8)
(42.8)
Investing activities:
 
 
Additions to property, plant and equipment
(1.5)
(0.4)
Additions to equipment held for rental
0 
0 
Proceeds from sale of equipment held for rental
0 
0 
Intercompany investing
0 
0 
Other investing activities
(0.7)
(0.2)
Net cash used by investing activities
(2.2)
(0.6)
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
0 
 
Repayments of debt (original maturities greater than three months)
(5.0)
(20.0)
Repurchases of Common Stock
(71.1)
(3.0)
Dividends paid
(18.0)
(15.6)
Proceeds from exercise of stock options
8.6 
26.2 
Intercompany financing
41.3 
93.9 
Net cash used by financing activities
(44.2)
81.5 
Effect of exchange rate changes on cash
0 
0 
Increase (decrease) in cash and cash equivalents
(52.2)
38.1 
Cash and cash equivalents at beginning of period
399.5 
285.4 
Cash and cash equivalents at end of period
347.3 
323.5 
Reportable legal entities |
Guarantor Subsidiaries
 
 
Condensed financial statements, captions
 
 
Net cash provided (used) by operating activities
(4.4)
67.0 
Investing activities:
 
 
Additions to property, plant and equipment
(11.7)
(9.1)
Additions to equipment held for rental
0 
0 
Proceeds from sale of equipment held for rental
0 
0 
Intercompany investing
13.0 
498.1 
Other investing activities
(0.1)
0 
Net cash used by investing activities
1.2 
489.0 
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
0 
 
Repayments of debt (original maturities greater than three months)
0 
0 
Repurchases of Common Stock
0 
0 
Dividends paid
0 
0 
Proceeds from exercise of stock options
0 
0 
Intercompany financing
4.6 
(553.0)
Net cash used by financing activities
4.6 
(553.0)
Effect of exchange rate changes on cash
0 
(0.2)
Increase (decrease) in cash and cash equivalents
1.4 
2.8 
Cash and cash equivalents at beginning of period
4.6 
1.7 
Cash and cash equivalents at end of period
6.0 
4.5 
Reportable legal entities |
Non-Guarantor Subsidiaries
 
 
Condensed financial statements, captions
 
 
Net cash provided (used) by operating activities
39.4 
59.6 
Investing activities:
 
 
Additions to property, plant and equipment
(5.5)
(4.7)
Additions to equipment held for rental
(1.2)
(12.9)
Proceeds from sale of equipment held for rental
2.5 
5.3 
Intercompany investing
(58.9)
(39.0)
Other investing activities
0 
0 
Net cash used by investing activities
(63.1)
(51.3)
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
6.5 
 
Repayments of debt (original maturities greater than three months)
0 
0 
Repurchases of Common Stock
0 
0 
Dividends paid
0 
0 
Proceeds from exercise of stock options
0 
0 
Intercompany financing
0 
0 
Net cash used by financing activities
6.5 
0 
Effect of exchange rate changes on cash
0.1 
(1.5)
Increase (decrease) in cash and cash equivalents
(17.1)
6.8 
Cash and cash equivalents at beginning of period
42.9 
34.8 
Cash and cash equivalents at end of period
25.8 
41.6 
Eliminations
 
 
Condensed financial statements, captions
 
 
Net cash provided (used) by operating activities
0 
0 
Investing activities:
 
 
Additions to property, plant and equipment
0 
0 
Additions to equipment held for rental
0 
0 
Proceeds from sale of equipment held for rental
0 
0 
Intercompany investing
45.9 
(459.1)
Other investing activities
0 
0 
Net cash used by investing activities
45.9 
(459.1)
Financing activities:
 
 
Proceeds from issuance of debt (original maturities greater than three months)
0 
 
Repayments of debt (original maturities greater than three months)
0 
0 
Repurchases of Common Stock
0 
0 
Dividends paid
0 
0 
Proceeds from exercise of stock options
0 
0 
Intercompany financing
(45.9)
459.1 
Net cash used by financing activities
(45.9)
459.1 
Effect of exchange rate changes on cash
0 
0 
Increase (decrease) in cash and cash equivalents
0 
0 
Cash and cash equivalents at beginning of period
0 
0 
Cash and cash equivalents at end of period
$ 0 
$ 0