LIBBEY INC, 10-K filed on 2/27/2019
Annual Report
v3.10.0.1
Document and Entity Information - USD ($)
12 Months Ended
Dec. 31, 2018
Feb. 21, 2019
Jun. 30, 2018
Entity Information [Line Items]      
Entity Registrant Name LIBBEY INC    
Entity Central Index Key 0000902274    
Current Fiscal Year End Date --12-31    
Entity Filer Category Accelerated Filer    
Document Type 10-K    
Document Period End Date Dec. 31, 2018    
Document Fiscal Year Focus 2018    
Document Fiscal Period Focus FY    
Amendment Flag false    
Entity Common Stock, Shares Outstanding   22,157,700  
Entity Well-known Seasoned Issuer No    
Entity Voluntary Filers No    
Entity Current Reporting Status Yes    
Entity Public Float     $ 177,382,478
Entity Emerging Growth Company false    
Entity Small Business true    
Entity Shell Company false    
v3.10.0.1
Consolidated Balance Sheets - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
ASSETS    
Cash and cash equivalents $ 25,066 $ 24,696
Accounts receivable — net 83,977 89,997
Inventories — net 192,103 187,886
Prepaid and other current assets 16,522 12,550
Total current assets 317,668 315,129
Pension asset 0 2,939
Purchased intangible assets — net 13,385 14,565
Goodwill 84,412 84,412
Deferred income taxes 26,090 24,892
Other assets 7,660 9,627
Property, plant and equipment — net 264,960 265,675
Total assets 714,175 717,239
LIABILITIES AND SHAREHOLDERS' EQUITY    
Accounts payable 74,836 78,346
Salaries and wages 27,924 27,409
Accrued liabilities 43,728 43,920
Accrued income taxes 3,639 1,862
Pension liability (current portion) 3,282 2,185
Non-pension post-retirement benefits (current portion) 3,951 4,185
Long-term debt due within one year 4,400 7,485
Total current liabilities 161,760 165,392
Long-term debt 393,300 376,905
Pension liability 45,206 43,555
Non-pension post-retirement benefits 43,015 49,758
Deferred income taxes 2,755 1,850
Other long-term liabilities 18,246 12,885
Total liabilities 664,282 650,345
Contingencies (note 17)
Shareholders’ equity:    
Common stock, par value $.01 per share, 50,000,000 shares authorized, 22,157,220 shares issued in 2018 (22,018,010 shares issued in 2017) 222 220
Capital in excess of par value 335,517 333,011
Retained deficit (171,441) (161,165)
Accumulated other comprehensive loss (114,405) (105,172)
Total shareholders’ equity 49,893 66,894
Total liabilities and shareholders’ equity $ 714,175 $ 717,239
v3.10.0.1
Consolidated Balance Sheets Parentheticals - $ / shares
Dec. 31, 2018
Dec. 31, 2017
Common stock, par value $ 0.01 $ 0.01
Common stock, shares authorized 50,000,000 50,000,000
Common stock, shares issued 22,157,220 22,018,010
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Consolidated Statements of Operations - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Total Revenues $ 801,093 $ 785,156
Cost of sales 646,202 631,115
Gross profit 154,891 154,041
Selling, general and administrative expenses 127,851 126,205
Goodwill impairment 0 79,700
Income (loss) from operations 27,040 (51,864)
Other income (expense) (2,764) (5,306)
Earnings (loss) before interest and income taxes 24,276 (57,170)
Interest expense 21,979 20,400
Income (loss) before income taxes 2,297 (77,570)
Provision for income taxes 10,253 15,798
Net loss $ (7,956) $ (93,368)
Net loss per share:    
Basic $ (0.36) $ (4.24)
Diluted $ (0.36) $ (4.24)
Weighted average shares:    
Basic 22,180,102 22,030,672
Diluted 22,180,102 22,030,672
Dividends declared per share $ 0.1175 $ 0.47
Net sales    
Total Revenues $ 797,858 $ 781,828
Freight billed to customers    
Total Revenues $ 3,235 $ 3,328
v3.10.0.1
Consolidated Statements of Comprehensive Income (Loss) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Net loss $ (7,956) $ (93,368)
Other comprehensive income (loss):    
Pension and other post-retirement benefit adjustments, net of tax 1,041 7,514
Change in fair value of derivative instruments, net of tax (2,942) 866
Foreign currency translation adjustments, net of tax (7,057) 11,645
Other comprehensive income (loss), net of tax (8,958) 20,025
Comprehensive income (loss) $ (16,914) $ (73,343)
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Consolidated Statements of Shareholders' Equity - USD ($)
$ in Thousands
Total
Common Stock
Capital in Excess of Par Value
Retained Deficit
Accumulated Other Comprehensive Loss
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Cumulative-effect adjustment | Accounting Standards Update 2016-09 $ 2,310   $ 127 $ 2,183  
Balance, value at Dec. 31, 2016 145,119 $ 219 329,722 (59,625) $ (125,197)
Balance, shares at Dec. 31, 2016   21,864,541      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss (93,368)     (93,368)  
Other comprehensive income (loss) 20,025       20,025
Stock compensation expense 3,372   3,372    
Stock issued, value 418 $ 1 417    
Stock issued, shares   153,469      
Stock withheld for employee taxes (627)   (627)    
Dividends (10,355)     (10,355)  
Balance value at Dec. 31, 2017 66,894 $ 220 333,011 (161,165) (105,172)
Balance, shares at Dec. 31, 2017   22,018,010      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Cumulative-effect adjustment | Accounting Standards Update 2017-12 0     275 (275)
Net loss (7,956)     (7,956)  
Other comprehensive income (loss) (8,958)       (8,958)
Stock compensation expense 2,746   2,746    
Stock issued, value 98 $ 2 96    
Stock issued, shares   139,210      
Stock withheld for employee taxes (336)   (336)    
Dividends (2,595)     (2,595)  
Balance value at Dec. 31, 2018 $ 49,893 $ 222 $ 335,517 $ (171,441) $ (114,405)
Balance, shares at Dec. 31, 2018   22,157,220      
v3.10.0.1
Consolidated Statements of Cash Flows - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Operating activities:    
Net loss $ (7,956) $ (93,368)
Adjustments to reconcile net loss to net cash provided by operating activities:    
Depreciation and amortization 44,333 45,544
Goodwill impairment 0 79,700
Change in accounts receivable 5,203 (2,698)
Change in inventories (6,424) (13,443)
Change in accounts payable (4,759) 5,574
Accrued interest and amortization of discounts and finance fees 1,158 1,318
Pension & non-pension post-retirement benefits, net (283) 1,680
Accrued liabilities & prepaid expenses 267 2,737
Income taxes 3,591 13,121
Share-based compensation expense 2,827 3,460
Other operating activities (1,087) 1,683
Net cash provided by operating activities 36,870 45,308
Investing activities:    
Additions to property, plant and equipment (45,087) (47,628)
Net cash used in investing activities (45,087) (47,628)
Financing activities:    
Borrowings on ABL credit facility 129,769 34,086
Repayments on ABL credit facility (109,901) (34,086)
Other repayments (3,077) (632)
Repayments on Term Loan B (4,400) (24,400)
Stock options exercised 5 466
Taxes paid on distribution of equity awards (336) (627)
Dividends (2,595) (10,355)
Other financing activities 0 334
Net cash provided by (used in) financing activities 9,465 (35,214)
Effect of exchange rate fluctuations on cash (878) 1,219
Increase (decrease) in cash 370 (36,315)
Cash & cash equivalents at beginning of year 24,696 61,011
Cash & cash equivalents at end of year 25,066 24,696
Supplemental disclosure of cash flow information:    
Cash paid during the year for interest, net of capitalized interest 20,091 18,638
Cash paid during the year for income taxes $ 8,514 $ 3,371
v3.10.0.1
Description of the Business
12 Months Ended
Dec. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Description of the Business
Description of the Business
Libbey is a leading global manufacturer and marketer of glass tableware products. We produce glass tableware in five countries and sell to customers in over 100 countries. We design and market, under our Libbey®, Libbey Signature®, Master's Reserve®, Crisa®, Royal Leerdam®, World® Tableware, Syracuse® China and Crisal Glass® brand names (among others), an extensive line of high-quality glass tableware, ceramic dinnerware, metal flatware, hollowware and serveware items for sale primarily in the foodservice, retail and business-to-business channels of distribution. Our sales force presents our tabletop products to the global marketplace in a coordinated fashion. We own and operate two glass tableware manufacturing plants in the United States as well as glass tableware manufacturing plants in Mexico (Libbey Mexico), the Netherlands (Libbey Holland), Portugal (Libbey Portugal) and China (Libbey China). In addition, we import tabletop products from overseas in order to complement our line of manufactured items. The combination of manufacturing and procurement allows us to compete in the global tabletop market by offering an extensive product line at competitive prices.
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Significant Accounting Policies
12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]  
Significant Accounting Policies
Significant Accounting Policies
Basis of Presentation The Consolidated Financial Statements include Libbey Inc. and its majority-owned subsidiaries (collectively, Libbey or the Company). Our fiscal year end is December 31st. The preparation of financial statements and related disclosures in conformity with United States generally accepted accounting principles (U.S. GAAP) requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and accompanying notes. Actual results could differ materially from management’s estimates.

Revenue Recognition Our customer contracts generally include a single performance obligation, the shipment of specified products, and are recognized at a point in time when control of the product has transferred to the customer. Transfer of control primarily takes place when risk of loss transfers in accordance with applicable shipping terms. Revenue is recognized based on the consideration specified in a contract with the customer, and is measured as the amount of consideration to which we expect to be entitled in exchange for transferring goods or providing services. When applicable, the transaction price includes estimates of variable consideration. We estimate provisions for rebates, customer incentives, allowances, returns and discounts based on the terms of the contracts, historical experience and anticipated customer purchases during the rebate period as sales occur. We continually evaluate the adequacy of these methods used, adjusting our estimates when the amount of consideration to which we expect to be entitled changes. Refund liabilities are included in accrued liabilities on the Consolidated Balance Sheet. Our payment terms are based on customary business practices and can vary by region and customer type, but are generally 0-90 days. Since the term between invoicing and expected payment is less than a year, we do not adjust the transaction price for the effects of a financing component. Taxes collected from customers are excluded from revenues and credited directly to obligations to the appropriate governmental agencies. For contracts with a duration of less than one year, we follow an allowable practical expedient and expense contract acquisition costs when incurred. We do not have any costs to obtain or fulfill a contract that are capitalized under ASC Topic 340-40. For further disclosure on revenue see New Accounting Standards - Adopted below and note 18.

Cost of Sales Cost of sales includes cost to manufacture and/or purchase products, warehouse, shipping and delivery costs and other costs. Shipping and delivery costs associated with outbound freight after control of a product has transferred to a customer are accounted for as a fulfillment cost and are included in cost of sales. In addition, reimbursement of certain pre-production costs is considered a development activity and is included in cost of sales.

Cash and Cash Equivalents We consider all highly liquid investments purchased with an original or remaining maturity of less than three months at the date of purchase to be cash equivalents. Cash and cash equivalents are maintained with various financial institutions.

Accounts Receivable and Allowance for Doubtful Accounts We record trade receivables when revenue is recorded in accordance with our revenue recognition policy and relieve accounts receivable when payments are received from customers. The allowance for doubtful accounts is established through charges to the provision for bad debts. We regularly evaluate the adequacy of the allowance for doubtful accounts based on historical trends in collections and write-offs, our judgment as to the probability of collecting accounts and our evaluation of business risk. This evaluation is inherently subjective, as it requires estimates that are susceptible to revision as more information becomes available. Accounts are determined to be uncollectible when the debt is deemed to be worthless or only recoverable in part and are written off at that time through a charge against the allowance. Generally, we do not require collateral on our accounts receivable.

Inventory Valuation Inventories are valued at the lower of cost or market. The last-in, first-out (LIFO) method is used for our U.S. glass inventories, which represented 34.9 percent and 32.2 percent of our total inventories in 2018 and 2017, respectively. The remaining inventories are valued using either the first-in, first-out (FIFO) or average cost method. For those inventories valued on the LIFO method, the excess of FIFO cost over LIFO, was $15.9 million and $13.4 million in 2018 and 2017, respectively. Cost includes the cost of materials, direct labor, in-bound freight and the applicable share of manufacturing overhead.

Purchased Intangible Assets and Goodwill Financial Accounting Standards Board Accounting Standards Codification™ ("FASB ASC") Topic 350 - "Intangibles-Goodwill and other" ("FASB ASC 350") requires goodwill and purchased indefinite life intangible assets to be reviewed for impairment annually, or more frequently if impairment indicators arise. Intangible assets with lives restricted by contractual, legal or other means will continue to be amortized over their useful lives. As of October 1st of each year, we update our separate impairment evaluations for both goodwill and indefinite life intangible assets. For further disclosure on goodwill and intangibles, see note 4.

Software We account for software in accordance with FASB ASC 350. Software represents the costs of internally developed and/or purchased software for internal use. Capitalized costs include software packages, installation and internal labor costs of employees devoted to the software development project. Costs incurred to modify existing software, providing significant enhancements and creating additional functionality are also capitalized. Once a project is complete, we estimate the useful life of the internal-use software, generally amortizing these costs over a five-year period.

Property, Plant and Equipment Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally 3 to 14 years for equipment and furnishings and 10 to 40 years for buildings and improvements. Maintenance and repairs are expensed as incurred.
Long-lived assets to be held and used are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Measurement of an impairment loss for long-lived assets that we expect to hold and use is based on the fair value of the asset. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less costs to sell. See note 5 for further disclosure.
Self-Insurance Reserves Self-insurance reserves reflect the estimated liability for group health and workers' compensation claims not covered by third-party insurance. We accrue estimated losses based on actuarial models and assumptions as well as our historical loss experience. Workers' compensation accruals are recorded at the estimated ultimate payout amounts based on individual case estimates. In addition, we record estimates of incurred-but-not-reported losses based on actuarial models.
Pension and Non-pension Post-retirement Benefits We account for pension and non-pension post-retirement benefits in accordance with FASB ASC Topic 715 - "Compensation-Retirement Benefits" ("FASB ASC 715"). FASB ASC 715 requires recognition of the over-funded or under-funded status of pension and other post-retirement benefit plans on the balance sheet. Under FASB ASC 715, gains and losses, prior service costs and credits and any remaining prior transaction amounts that have not yet been recognized through net periodic benefit cost are recognized in accumulated other comprehensive loss, net of tax effect where appropriate. The service cost component of pension and post-retirement benefit costs is reported within income from operations while the non-service cost components of net benefit cost (interest costs, expected return on assets, amortization of prior service costs, settlement charges and other costs) are recorded in other income (expense).
The U.S. pension plans cover most hourly U.S.-based employees (excluding new hires at Shreveport after December 15, 2008 and at Toledo after September 30, 2010) and those salaried U.S.-based employees hired before January 1, 2006. Effective January 1, 2013, we ceased annual company contribution credits to the cash balance accounts in our Libbey U.S. Salaried Pension Plan and SERP. The non-U.S. pension plans cover the employees of our wholly-owned subsidiary in Mexico. For further discussion see note 8.
We also provide certain post-retirement healthcare and life insurance benefits covering substantially all U.S. and Canadian salaried employees hired before January 1, 2004 and a majority of our union hourly employees (excluding employees hired at Shreveport after December 15, 2008 and at Toledo after September 30, 2010). Employees are generally eligible for benefits upon reaching a certain age and completion of a specified number of years of creditable service. Benefits for most hourly retirees are determined by collective bargaining. Under a cross-indemnity agreement, Owens-Illinois, Inc. assumed liability for the non-pension, post-retirement benefit of our retirees who had retired as of June 24, 1993. Therefore, the benefits related to these retirees are not included in our liability. For further discussion see note 9.
Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax attribute carry-forwards. Deferred income tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. A valuation allowance is recorded when it is more likely than not that some portion or all of the deferred income tax assets will not be realized. Deferred income tax assets and liabilities are determined separately for each tax paying component in which we conduct our operations or otherwise incur taxable income or losses.

We are subject to income taxes in the U.S. and various foreign jurisdictions. Management judgment is required in evaluating our tax positions and determining our provision for income taxes. Throughout the course of business, there are numerous transactions and calculations for which the ultimate tax determination is uncertain. When management believes uncertain tax positions may be challenged despite our belief that the tax return positions are supportable, we record unrecognized tax benefits as liabilities in accordance with the requirements of ASC 740. When our judgment with respect to these uncertain tax positions changes as a result of a change in facts and circumstances, such as the outcome of a tax audit, we adjust these liabilities through increases or decreases to the income tax provision. For further discussion see note 7.
Derivatives We account for derivatives in accordance with FASB ASC Topic 815 "Derivatives and Hedging" ("FASB ASC 815"). We hold derivative financial instruments to hedge certain of our interest rate risks associated with long-term debt and commodity price risks associated with forecasted future natural gas requirements. These derivatives qualify for hedge accounting since the hedges are highly effective, and we have designated and documented contemporaneously the hedging relationships involving these derivative instruments. While we intend to continue to meet the conditions for hedge accounting, if we do not believe that forecasted transactions would occur, the changes in the fair value of the derivatives used as hedges would be reflected in earnings. Cash flows from hedges of debt, interest rate swaps and natural gas contracts are classified as operating activities. For further discussion see note 12.
Environmental In accordance with U.S. GAAP, we recognize environmental clean-up liabilities on an undiscounted basis when loss is probable and can be reasonably estimated. The cost of the clean-up is estimated by financial and legal specialists based on current law. Such estimates are based primarily upon the estimated cost of investigation and remediation required, and the likelihood that, where applicable, other potentially responsible parties will not be able to fulfill their commitments at the sites where the Company may be jointly and severally liable.
Foreign Currency Translation Assets and liabilities of non-U.S. subsidiaries that operate in a local currency environment, where that local currency is the functional currency, are translated to U.S. dollars at exchange rates in effect at the balance sheet date, with the resulting translation adjustments directly recorded to a separate component of accumulated other comprehensive loss. Income and expense accounts are translated at average exchange rates during the year. The effect of exchange rate changes on transactions denominated in currencies other than the functional currency is recorded in other income (expense). For further detail see note 16.
Stock-Based Compensation Expense We account for stock-based compensation expense in accordance with FASB ASC Topic 718, “Compensation — Stock Compensation,” ("FASB ASC 718") and FASB ASC Topic 505-50, “Equity-Based Payments to Non-Employees” ("FASB ASC 505-50"). Stock-based compensation cost is measured based on the fair value of the equity instruments issued. FASB ASC 718 and 505-50 apply to all of our outstanding, unvested, stock-based payment awards.
Treasury Stock Treasury Stock purchases are recorded at cost. During 2018 and 2017, we did not purchase treasury stock. At December 31, 2018, we had 941,250 shares of common stock available for repurchase, as authorized by our Board of Directors.
Research and Development Research and development costs are charged to selling, general and administrative expense in the Consolidated Statements of Operations when incurred. Expenses for 2018 and 2017 were $3.6 million and $3.0 million, respectively.
Advertising Costs We expense all advertising costs as incurred. Expenses for 2018 and 2017 were $6.1 million and $5.3 million, respectively.
Computation of Earnings (Loss) Per Share of Common Stock Basic earnings (loss) per share of common stock is computed using the weighted average number of shares of common stock outstanding during the period. Diluted earnings (loss) per share of common stock is computed using the weighted average number of shares of common stock outstanding plus the dilutive effects of equity-based compensation outstanding during the period using the treasury stock method.
Reclassifications In connection with our adoption of ASU 2017-07, certain pension and non-pension expense amounts in the prior year's financial statements have been reclassified to conform with the current year presentation. See New Accounting Standards - Adopted below.
New Accounting Standards - Adopted

Each change to U.S. GAAP is established by the Financial Accounting Standards Board (FASB) in the form of an accounting standards update (ASU) to the FASB’s Accounting Standards Codification (ASC). We consider the applicability and impact of all ASUs. ASUs not listed below were assessed and either were determined to be not applicable or are expected to have minimal impact on the Company’s Consolidated Financial Statements.

On January 1, 2018, we adopted ASU 2014-09, Revenue From Contracts With Customers and all related amendments, also known as ASC Topic 606, using the modified retrospective method. There was no cumulative effect adjustment required as a result of initially applying the new standard to existing contracts at adoption on January 1, 2018, and we expect the impact of adopting the new standard to be immaterial to our Consolidated Statement of Operations on an ongoing basis. Additionally, there was no impact to our Consolidated Balance Sheets. The enhanced disclosure requirements are included in note 18, Revenue. Results for reporting periods beginning on or after January 1, 2018, are presented under ASC Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our previous accounting under ASC Topic 605.

On January 1, 2018, we adopted ASU 2017-07, Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post-retirement Benefit Cost. ASU 2017-07 improves the presentation of net periodic pension and post-retirement benefit costs. We retrospectively adopted the presentation requirement that the service cost component of pension and post-retirement benefit costs be reported within income from operations. The other components of net benefit cost (interest costs, expected return on assets, amortization of prior service costs, settlement charges and other costs) have been reclassified from cost of sales and selling, general and administrative expenses to other income (expense). On a prospective basis, only the service cost component will be capitalized in inventory or property, plant and equipment, when applicable. The effect of the retrospective presentation change related to the net periodic pension and non-pension benefit costs (credits) on our Consolidated Statement of Operations was as follows:
 
 
Year ended December 31, 2017
(dollars in thousands)
 
Previously Reported
 
Reclassification
 
As Revised
Cost of sales
 
$
634,185

 
$
(3,070
)
 
$
631,115

Selling, general and administrative expenses
 
124,926

 
1,279

 
126,205

Other income (expense)
 
(3,515
)
 
(1,791
)
 
(5,306
)


On January 1, 2018, we early adopted ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. ASU 2017-12 amended the hedge accounting rules to simplify the application of hedge accounting guidance and better portray the economic results of risk management activities in the financial statements. As of January 1, 2018, we recorded a $0.3 million reduction to our retained deficit and an increase in accumulated other comprehensive loss related to our natural gas swap contracts in Mexico that were previously not designated as hedging instruments. On a prospective basis, the change in fair value of these derivatives will be recognized in other comprehensive income (loss) rather than other income (expense) within the Consolidated Statement of Operations. Results and disclosures for reporting periods beginning on or after January 1, 2018, are presented under the new guidance within ASU 2017-12, while prior period amounts and disclosures are not adjusted and continue to be reported in accordance with our previous accounting. See note 12, Derivatives, for further details and disclosures.

On December 31, 2018, we early adopted ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans. This update modifies the annual disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. ASU 2018-14 removes disclosures that are no longer deemed cost beneficial and adds the following disclosure requirements: 1) weighted-average interest crediting rates for cash balance plans; and 2) an explanation of the reasons for significant gains/losses related to changes in the benefit obligation during the period. The update also clarifies the requirements when entities aggregate disclosures for two or more plans. The new disclosure requirements were applied on a retrospective basis and are included in note 8, Pension, and note 9, Non-pension Post-retirement Benefits.

On December 31, 2018, we early adopted ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. This standard allows an optional reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. Consequently, the stranded tax effects resulting from the Tax Cuts and Jobs Act will be eliminated, resulting in the reporting of more useful information to financial statement users. ASU 2018-02 relates to only the reclassification of the income tax effects of the Tax Cuts and Jobs Act. The underlying guidance requiring that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. ASU 2018-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early application permitted. We elected not to reclassify the stranded tax effects related to the Tax Cuts and Jobs Act. The adoption did not have an impact on our Consolidated Financial Statements.

New Accounting Standards - Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which requires a lessee to recognize on the balance sheet right-of-use assets and corresponding liabilities for leases with lease terms of more than 12 months. Leases will be classified as either finance or operating leases, with classification affecting the pattern of expense recognition in the income statement. The new guidance also clarifies the definition of a lease and disclosure requirements. ASU 2016-02 is effective for us in the first quarter of 2019. ASU 2016-02 requires lessees and lessors to apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach does not require any transition accounting for leases that expired before the earliest comparative period presented. In the third quarter of 2018, the FASB approved an optional transition method permitting an entity to apply the transition provisions of ASU 2016-02 at its adoption date instead of at the earliest comparative period presented in the financial statements. Since this optional adoption method eases the transition burden, we plan to elect it and record a cumulative effect adjustment as of January 1, 2019, without restatement of the previously reported comparative periods. We anticipate recording additional assets and liabilities on the balance sheet similar to the amount of the total present value of our future undiscounted minimum operating lease payments as shown in note 15 of these Consolidated Financial Statements. Additionally, the adoption of this ASU is not expected to have a material impact on our consolidated results of operations or cash flows. We have elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, permits us to carry forward our prior conclusions for lease identification and lease classification on existing contracts. We also made an accounting policy election to keep short-term leases off of the balance sheet for all classes of underlying assets. We continue to evaluate the related disclosures in the new lease guidance. We utilized a comprehensive approach to review our lease portfolio, selected a system for managing our leases, completed system implementation, updated our internal controls and conducted training on our new process.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This standard introduces a new approach to estimating credit losses on certain types of financial instruments, including trade receivables, and modifies the impairment model for available-for-sale debt securities. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early application permitted. We are currently assessing the impact that this standard will have on our Consolidated Financial Statements.

In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. This standard aligns the requirements for capitalizing implementation costs in a cloud computing arrangement service contract with the requirements for capitalizing implementation costs incurred for internal-use software. The new guidance also prescribes the balance sheet, income statement and cash flow classification of the capitalized implementation costs and related amortization expense, and requires additional quantitative and qualitative disclosures. ASU 2018-15 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early application permitted. We are currently assessing the impact that this standard will have on our Consolidated Financial Statements.
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Balance Sheet Details
12 Months Ended
Dec. 31, 2018
Balance Sheet Details [Abstract]  
Balance Sheet Details
Balance Sheet Details
The following table provides detail of selected balance sheet items:
December 31,
(dollars in thousands)
 
2018
 
2017
Accounts receivable:
 
 
 
 
Trade receivables
 
$
82,521

 
$
88,786

Other receivables
 
1,456

 
1,211

Total accounts receivable, less allowances of $8,538 and $9,051
 
$
83,977

 
$
89,997

 
 
 
 
 
Inventories:
 
 
 
 
Finished goods
 
$
175,074

 
$
170,774

Work in process
 
1,363

 
1,485

Raw materials
 
4,026

 
3,906

Repair parts
 
10,116

 
10,240

Operating supplies
 
1,524

 
1,481

Total inventories, less loss provisions of $9,453 and $10,308
 
$
192,103

 
$
187,886

 
 
 
 
 
Accrued liabilities:
 
 
 
 
Accrued incentives
 
$
19,359

 
$
19,728

Other accrued liabilities
 
24,369

 
24,192

Total accrued liabilities
 
$
43,728

 
$
43,920

 
 
 
 
 
v3.10.0.1
Purchased Intangible Assets and Goodwill
12 Months Ended
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Purchased Intangible Assets and Goodwill
Purchased Intangible Assets and Goodwill

Purchased Intangibles

Changes in purchased intangibles balances are as follows:
(dollars in thousands)
 
2018
 
2017
Beginning balance
 
$
14,565

 
$
15,225

Amortization
 
(1,049
)
 
(1,073
)
Foreign currency impact
 
(131
)
 
413

Ending balance
 
$
13,385

 
$
14,565



Purchased intangible assets are composed of the following:
December 31,
(dollars in thousands)
 
2018
 
2017
Indefinite life intangible assets
 
$
12,035

 
$
12,120

Definite life intangible assets, net of accumulated amortization of $20,006 and $19,093
 
1,350

 
2,445

Total
 
$
13,385

 
$
14,565



Amortization expense for definite life intangible assets was $1.0 million and $1.1 million for years 2018 and 2017, respectively.

Indefinite life intangible assets are composed of trade names and trademarks that have an indefinite life and are therefore individually tested for impairment on an annual basis, or more frequently in certain circumstances where impairment indicators arise, in accordance with FASB ASC 350. Our measurement date for impairment testing is October 1st of each year. When performing our test for impairment of individual indefinite life intangible assets, we use a relief from royalty method to determine the fair market value that is compared to the carrying value of the indefinite life intangible asset. The inputs used for this analysis are considered Level 3 inputs in the fair value hierarchy. See note 14 for further discussion of the fair value hierarchy. Our October 1st review for 2018 and 2017 did not indicate impairment of our indefinite life intangible assets.

The remaining definite life intangible assets at December 31, 2018 consist of customer relationships that are amortized over a period ranging from 13 to 20 years. The weighted average remaining life on the definite life intangible assets is 4.3 years at December 31, 2018.

Future estimated amortization expense of definite life intangible assets is as follows (dollars in thousands):
2019
2020
2021
2022
2023
 
$564
$157
$157
$157
$157
 


Goodwill

Changes in goodwill balances are as follows:
 
 
2018
 
2017
(dollars in thousands)
 
U.S. & Canada
 
Latin America
 
Total
 
U.S. & Canada
 
Latin America
 
Total
Beginning balance:
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
 
$
43,872

 
$
125,681

 
$
169,553

 
$
43,872

 
$
125,681

 
$
169,553

Accumulated impairment losses
 
(5,441
)
 
(79,700
)
 
(85,141
)
 
(5,441
)
 

 
(5,441
)
Net beginning balance
 
38,431

 
45,981

 
84,412

 
38,431

 
125,681

 
164,112

Impairment
 

 

 

 

 
(79,700
)
 
(79,700
)
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
 
43,872

 
125,681

 
169,553

 
43,872

 
125,681

 
169,553

Accumulated impairment losses
 
(5,441
)
 
(79,700
)
 
(85,141
)
 
(5,441
)
 
(79,700
)
 
(85,141
)
Net ending balance
 
$
38,431

 
$
45,981

 
$
84,412

 
$
38,431

 
$
45,981

 
$
84,412



Goodwill impairment tests are completed for each reporting unit on an annual basis, or more frequently in certain circumstances where impairment indicators arise. The inputs used for this analysis are considered Level 2 and Level 3 inputs in the fair value hierarchy. See note 14 for further discussion of the fair value hierarchy.

When performing our test for impairment, we measure each reporting unit's fair value using a combination of "income" and "market" approaches on a shipping point basis. The income approach calculates the fair value of the reporting unit based on a discounted cash flow analysis, incorporating the weighted average cost of capital of a hypothetical third-party buyer. Significant estimates in the income approach include the following: discount rate; expected financial outlook and profitability of the reporting unit's business; and foreign currency impacts (Level 3 inputs). Discount rates use the weighted average cost of capital for companies within our peer group, adjusted for specific company risk premium factors. The market approach uses the "Guideline Company" method, which calculates the fair value of the reporting unit based on a comparison of the reporting unit to comparable publicly traded companies. Significant estimates in the market approach model include identifying similar companies with comparable business factors such as size, growth, profitability, risk and return on investment, assessing comparable multiples, as well as consideration of control premiums (Level 2 inputs). The blended approach assigns a 70 percent weighting to the income approach and 30 percent to the market approach (Level 3 input). The higher weighting is given to the income approach due to some limitations of publicly available peer information used in the market approach. The blended fair value of both approaches is then compared to the carrying value, and to the extent that fair value exceeds the carrying value, no impairment exists. However, to the extent the carrying value exceeds the fair value, an impairment is recorded.

The results of our October 1, 2018 annual impairment test indicated the estimated fair values of all reporting units that have goodwill were in excess of their carrying values, with the Mexico reporting unit's excess fair value exceeding carrying value by approximately 15 percent. The reporting unit within the U.S. and Canada reporting segment, which consists of two aggregated components, had an estimated fair value over carrying value of greater than 50 percent.

As part of our on-going assessment of goodwill at September 30, 2017, we noted that third quarter 2017 sales, profitability and cash flow of our Mexico reporting unit (within the Latin America reporting segment) significantly underperformed in comparison to the forecast, and expectations for the fourth quarter of 2017 were lowered as well. These factors, as well as continuing competitive pressures, long-term weakness of the Mexican peso relative to the U.S. dollar, and an increase in the discount rate of 70 basis points from December 31, 2016 to September 30, 2017, contributed to increased pressure on the outlook of the reporting unit. As a result, we determined a triggering event had occurred for our Mexico reporting unit. Accordingly, an interim impairment test was performed, indicating that the carrying value exceeded its fair value, and in accordance with the early adoption of ASU 2017-04, we recorded a non-cash impairment charge of $79.7 million during the third quarter of 2017.

As the impairment assessment performed at September 30, 2017 resulted in the fair value of the Mexico reporting unit equaling its carrying value, there was no further impairment as of October 1, 2017. The results of our review performed as of October 1, 2017 also did not indicate an impairment for our other reporting unit with goodwill.
v3.10.0.1
Property, Plant and Equipment
12 Months Ended
Dec. 31, 2018
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
Property, Plant and Equipment

Property, plant and equipment consists of the following:
December 31,
(dollars in thousands)
 
2018
 
2017
Land
 
$
20,374

 
$
20,859

Buildings
 
109,470

 
107,659

Machinery and equipment
 
531,838

 
505,978

Furniture and fixtures
 
15,668

 
15,391

Software
 
25,218

 
24,464

Construction in progress
 
24,945

 
12,933

Gross property, plant and equipment
 
727,513

 
687,284

Less accumulated depreciation
 
462,553

 
421,609

Net property, plant and equipment
 
$
264,960

 
$
265,675



Depreciation expense was $43.2 million and $44.4 million for the years 2018 and 2017, respectively.
v3.10.0.1
Borrowings
12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]  
Borrowings
Borrowings

Borrowings consist of the following:
December 31,
(dollars in thousands)
 
Interest Rate
 
Maturity Date
 
2018
 
2017
Borrowings under ABL Facility
 
floating
(2) 
December 7, 2022 (1)
 
$
19,868

 
$

Term Loan B
 
floating
(3) 
April 9, 2021
 
380,200

 
384,600

AICEP Loan
 
0.00%
 
July 30, 2018
 

 
3,085

Total borrowings
 
400,068

 
387,685

Less — unamortized discount and finance fees
 
2,368

 
3,295

Total borrowings — net
 
397,700

 
384,390

Less — long term debt due within one year
 
4,400

 
7,485

Total long-term portion of borrowings — net
 
$
393,300

 
$
376,905

___________________________
(1) Maturity date will be January 9, 2021, if Term Loan B is not refinanced by this date.
(2) The interest rate for the ABL Facility is comprised of several different borrowings at various rates. The weighted average rate of all ABL Facility borrowings was 1.94 percent at December 31, 2018.
(3) See interest rate swaps under "Term Loan B" below and note 12.
Annual maturities for all of our total borrowings for the next five years and beyond are as follows:
2019
2020
2021
2022
2023
Thereafter
 
$4,400
$4,400
$391,268
$—
$—
$—
 


Amended and Restated ABL Credit Agreement

Libbey Glass and Libbey Europe entered into an Amended and Restated Credit Agreement, dated as of February 8, 2010 and amended as of April 29, 2011, May 18, 2012, April 9, 2014 and December 7, 2017 (as amended, the ABL Facility), with a group of four financial institutions. The ABL Facility provides for borrowings of up to $100.0 million, subject to certain borrowing base limitations, reserves and outstanding letters of credit.

All borrowings under the ABL Facility are secured by:
a first-priority security interest in substantially all of the existing and future personal property of Libbey Glass and its domestic subsidiaries (ABL Priority Collateral);
a first-priority security interest in:
100 percent of the stock of Libbey Glass and 100 percent of the stock of substantially all of Libbey Glass’s present and future direct and indirect domestic subsidiaries;
100 percent of the non-voting stock of substantially all of Libbey Glass’s first-tier present and future foreign subsidiaries; and
65 percent of the voting stock of substantially all of Libbey Glass’s first-tier present and future foreign subsidiaries;
a first-priority security interest in substantially all proceeds and products of the property and assets described above; and
a second-priority security interest in substantially all of the owned real property, equipment and fixtures in the United States of Libbey Glass and its domestic subsidiaries, subject to certain exceptions and permitted liens (Term Priority Collateral).

Additionally, borrowings by Libbey Europe under the ABL Facility are secured by:
a first-priority lien on substantially all of the existing and future real and personal property of Libbey Europe and its Dutch subsidiaries; and
a first-priority security interest in:
100 percent of the stock of Libbey Europe and 100 percent of the stock of substantially all of the Dutch subsidiaries; and
100 percent (or a lesser percentage in certain circumstances) of the outstanding stock issued by the first-tier foreign subsidiaries of Libbey Europe and its Dutch subsidiaries.
Swingline borrowings are limited to $10.0 million, with swingline borrowings for Libbey Europe being limited to the U.S. equivalent of $5.0 million. Loans comprising each CBFR (CB Floating Rate) Borrowing, including each Swingline Loan, bear interest at the CB Floating Rate plus the Applicable Rate, and euro-denominated swingline borrowings (Eurocurrency Loans) bear interest calculated at the Netherlands swingline rate, as defined in the ABL Facility, subject to a LIBOR floor of 0.0 percent. The Applicable Rates for CBFR Loans and Eurocurrency Loans vary depending on our aggregate remaining availability. The Applicable Rates for CBFR Loans and Eurocurrency Loans were 0.50 percent and 1.50 percent, respectively, at December 31, 2018. Libbey pays a quarterly Commitment Fee, as defined by the ABL Facility, on the total credit provided under the ABL Facility. The Commitment Fee was 0.25 percent at December 31, 2018. No compensating balances are required by the ABL Facility. The ABL Facility does not require compliance with a fixed charge coverage ratio covenant, unless aggregate unused availability falls below $10.0 million. If our aggregate unused ABL availability were to fall below $10.0 million, the fixed charge coverage ratio requirement would be 1:00 to 1:00. Libbey Glass and Libbey Europe have the option to increase the ABL Facility by $25.0 million. At December 31, 2018, Libbey Glass and Libbey Europe had outstanding borrowings under the ABL Facility of $3.5 million and $16.4 million, respectively. There were no Libbey Glass or Libbey Europe borrowings under the facility at December 31, 2017. Interest is payable on the last day of the interest period, which can range from one month to six months depending on the maturity of each individual borrowing on the ABL facility.

The borrowing base under the ABL Facility is determined by a monthly analysis of the eligible accounts receivable and inventory. The borrowing base is the sum of (a) 85 percent of eligible accounts receivable and (b) the lesser of (i) 85 percent of the net orderly liquidation value (NOLV) of eligible inventory, (ii) 65 percent of eligible inventory, or (iii) $75.0 million.

At December 31, 2018, the available borrowing base under the ABL Facility was offset by a $0.5 million rent reserve. The ABL Facility also provides for the issuance of up to $15.0 million of letters of credit that, when outstanding, are applied against the $100.0 million limit. At December 31, 2018, $8.0 million in letters of credit were outstanding. Remaining unused availability under the ABL Facility was $71.6 million at December 31, 2018, compared to $91.9 million under the ABL Facility at December 31, 2017.
Term Loan B
On April 9, 2014, Libbey Glass consummated its $440.0 million Senior Secured Term Loan B of Libbey Glass due 2021 (Term Loan B). The net proceeds of the Term Loan B were $438.9 million, after the 0.25 percent original issue discount of $1.1 million. The Term Loan B had related fees of approximately $6.7 million that will be amortized to interest expense over the life of the loan.

The Term Loan B is evidenced by a Senior Secured Credit Agreement, dated April 9, 2014 (Credit Agreement), between Libbey Glass, the Company, the domestic subsidiaries of Libbey Glass listed as guarantors therein (Subsidiary Guarantors and together with the Company, Guarantors), and the lenders. Under the terms of the Credit Agreement, aggregate principal of $1.1 million is due on the last business day of each quarter. The Term Loan B bears interest at the rate of LIBOR plus 3.0 percent, subject to a LIBOR floor of 0.75 percent. The interest rate was 5.39 percent per year at December 31, 2018 and 4.43 percent at December 31, 2017, and will mature on April 9, 2021. Although the Credit Agreement does not contain financial covenants, the Credit Agreement contains other covenants that restrict the ability of Libbey Glass and the Guarantors to, among other things:

incur, assume or guarantee additional indebtedness;
pay dividends, make certain investments or other restricted payments;
create liens;
enter into affiliate transactions;
merge or consolidate, or otherwise dispose of all or substantially all the assets of Libbey Glass and the Guarantors; and
transfer or sell assets.

We may voluntarily prepay, in whole or in part, the Term Loan B without premium or penalty but with accrued interest. Beginning with the year-ended December 31, 2015, the Credit Agreement requires us to make an annual mandatory prepayment offer to lenders of 0.0 to 50.0 percent of our excess cash flow, depending on our excess cash flow and leverage ratios as defined in the Credit Agreement. The calculation is made at the end of each year and the mandatory prepayment offer to lenders is made no later than ten business days after the filing of our annual compliance certificate to the lenders. The amount of any required mandatory prepayment offer is reduced by the amounts of any optional prepayments we made during the applicable year or prior to the prepayment offer in the year the offer is required to be made.

The Credit Agreement provides for customary events of default. In the case of an event of default as defined in the Credit Agreement, all of the outstanding Term Loan B will become due and payable immediately without further action or notice. The Term Loan B and the related guarantees under the Credit Agreement are secured by (i) first priority liens on the Term Priority Collateral and (ii) second priority liens on the ABL Collateral.

On April 1, 2015 and September 24, 2018, we executed interest rate swaps on our Term Loan B as part of our risk management strategy to mitigate the risks involved with fluctuating interest rates. The interest rate swaps effectively convert a portion of our Term Loan B debt from a variable interest rate to a fixed interest rate, thus reducing the impact of interest rate changes on future income. See note 12 for further discussion on the interest rate swaps.
AICEP Loan
From time to time since July 2012, Libbey Portugal has entered into loan agreements with Agencia para Investmento Comercio Externo de Portugal, EPE (AICEP), the Portuguese Agency for investment and external trade. This loan was fully repaid in July 2018, and the interest rate was 0.0 percent.
Notes Payable
We have an overdraft line of credit for a maximum of €0.8 million. At December 31, 2018 and 2017, there were no borrowings under the facility, which had an interest rate of 1.50 percent. Interest with respect to the note is paid monthly.
v3.10.0.1
Income Taxes
12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Income Taxes
Income Taxes

The provisions for income taxes were calculated based on the following components of income (loss) before income taxes:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
United States
 
$
(12,682
)
 
$
(65,224
)
Non-U.S. 
 
14,979

 
(12,346
)
Total income (loss) before income taxes
 
$
2,297

 
$
(77,570
)


The current and deferred provisions (benefit) for income taxes were:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Current:
 
 
 
 
U.S. federal
 
$
1,945

 
$
(183
)
Non-U.S. 
 
6,780

 
4,517

U.S. state and local
 
694

 
834

Total current income tax provision
 
9,419

 
5,168

 
 
 
 
 
Deferred:
 
 
 
 
U.S. federal
 
687

 
9,950

Non-U.S. 
 
310

 
1,190

U.S. state and local
 
(163
)
 
(510
)
Total deferred income tax provision
 
834

 
10,630

 
 
 
 
 
Total:
 
 
 
 
U.S. federal
 
2,632

 
9,767

Non-U.S. 
 
7,090

 
5,707

U.S. state and local
 
531

 
324

Total income tax provision
 
$
10,253

 
$
15,798



U.S. income and foreign withholding taxes have not been recognized on the excess of the amount for financial reporting over the tax basis of investments in foreign subsidiaries that is indefinitely reinvested outside of the United States. This amount becomes taxable upon a repatriation of assets from the subsidiary or a sale or liquidation of the subsidiary. The amount of such temporary differences totaled $14.6 million and $11.4 million as of December 31, 2018 and 2017, respectively. The amount of unrecognized deferred income tax liability on this temporary difference is $3.0 million and $2.4 million as of December 31, 2018 and 2017, respectively.

Reconciliation from the statutory U.S. federal income tax rate to the consolidated effective income tax rate was as follows:
Year ended December 31,
 
2018
 
2017
Statutory U.S. federal income tax rate
 
21.0

%
 
35.0

%
Increase (decrease) in rate due to:
 
 
 
 
 
 
   Non-U.S. income tax differential
 
19.9

 
 
1.2

 
   U.S. state and local income taxes, net of related U.S. federal income taxes
 
22.6

 
 
0.1

 
   U.S. federal credits
 
(9.8
)
 
 
0.3

 
   Permanent adjustments
 
27.7

 
 
0.6

 
   Foreign withholding taxes
 
75.9

 
 
(2.0
)
 
   Valuation allowances
 
143.5

 
 
(4.4
)
 
   Unrecognized tax benefits
 
48.4

 
 
(3.9
)
 
   Impact of foreign exchange
 
71.6

 
 
(1.6
)
 
   Impact of legislative changes
 

 
 
(8.7
)
 
   Goodwill impairment
 

 
 
(36.0
)
 
   Other
 
25.6

 
 
(1.0
)
 
Consolidated effective income tax rate
 
446.4

%
 
(20.4
)
%


Deferred income tax assets and liabilities: Deferred income tax assets and liabilities result from temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and from income tax carryovers and credits. The significant components of our deferred income tax assets and liabilities are as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Deferred income tax assets:
 
 
 
 
Pension
 
$
9,722

 
$
8,108

Non-pension post-retirement benefits
 
11,712

 
13,385

Other accrued liabilities
 
16,477

 
13,213

Receivables
 
1,994

 
2,118

Net operating loss and charitable contribution carryforwards
 
14,143

(a)
16,599

Tax credits
 
13,373

(b)
13,288

Total deferred income tax assets
 
67,421

(c)
66,711

Valuation allowances
 
(22,068
)
 
(19,076
)
Net deferred income tax assets
 
45,353

 
47,635

 
 
 
 
 
Deferred income tax liabilities:
 
 
 
 
Property, plant and equipment
 
15,332

 
18,246

Inventories
 
1,699

 
1,639

Intangibles and other
 
4,987

 
4,708

Total deferred income tax liabilities
 
22,018

 
24,593

Net deferred income tax asset
 
$
23,335

 
$
23,042


___________________________
(a)
At December 31, 2018, U.S. operating loss carryforwards of $3.9 million expire between 2019 and 2038, and non-U.S. operating loss carryforwards of $10.2 million expire between 2021 and 2027.
(b)
At December 31, 2018, U.S. general business credit carryforwards of $3.0 million expire between 2024 and 2038. U.S. AMT credits of $1.3 million and the foreign credits of $9.0 million do not expire.
(c)
In order to fully realize our U.S. deferred tax assets as of December 31, 2018, the Company needs to generate approximately $151.9 million of future taxable income.

Valuation Allowances: We currently have a valuation allowance in place on our deferred income tax assets in the Netherlands. We intend to maintain this allowance until a period of sustainable income is achieved and management concludes it is more likely than not that those deferred income tax assets will be realized.

A valuation allowance has been recorded against the deferred tax asset related to the limitation on the U.S. deduction for interest expense. Management concluded that it is not more likely than not that the disallowed interest expense for 2018 can be utilized in future years, due to IRS guidance that was issued in the fourth quarter of 2018. In addition, partial valuation allowances have been recorded against state operating loss carryforwards.

Uncertain Tax Positions: The Company and its subsidiaries are subject to examination by various countries' tax authorities. These examinations may lead to proposed or assessed adjustments to our taxes. In August 2016, one of our Mexican subsidiaries received a tax assessment from the Mexican tax authority (SAT) related to the audit of its 2010 tax year. The amount assessed was approximately 3 billion Mexican pesos, which was equivalent to approximately $157 million U.S. dollars as of the date of the assessment. The Company has filed an administrative appeal with SAT requesting that the assessment be fully nullified. We are awaiting the outcome of the appeal. Management, in consultation with external legal counsel, believes that if contested in the Mexican court system, it is more likely than not that the Company would prevail on all significant components of the assessment. Management intends to continue to vigorously contest all significant components of the assessment in the Mexican courts if they are not nullified at the administrative appeal level. We believe that our tax reserves related to uncertain tax positions are adequate at this time.

A reconciliation of the beginning and ending gross unrecognized tax benefits, excluding interest and penalties, is as follows:
(dollars in thousands)
 
2018
 
2017
Beginning balance
 
$
5,007

 
$
3,521

Additions based on tax positions related to the current year
 
438

 
435

Additions for tax positions of prior years
 
9

 
1,735

Reductions for tax positions of prior years
 
(1,698
)
 
(468
)
Changes due to lapse of statute of limitations
 
513

 
279

Reductions due to settlements with tax authorities
 
(57
)
 
(495
)
Ending balance
 
$
4,212

 
$
5,007



We recognize interest and penalties related to unrecognized tax benefits in the provision for income taxes. Other disclosures relating to unrecognized tax benefits are as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate
 
$
5,283

 
$
4,107

Interest, net of tax benefit, accrued in the Consolidated Balance Sheets
 
$
1,027

 
$
572

Penalties, accrued in the Consolidated Balance Sheets
 
$
43

 
$
38

Interest expense recognized in the Consolidated Statements of Operations
 
$
523

 
$
506

Penalties expense (benefit) recognized in the Consolidated Statements of Operations
 
$
5

 
$
(67
)


Based upon the outcome of tax examinations, judicial proceedings, other settlements with taxing jurisdictions, or expiration of statutes of limitations, it is reasonably possible that the ultimate resolution of these unrecognized tax benefits may result in a payment that is materially different from the current estimate of the tax liabilities. It is also reasonably possible that gross unrecognized tax benefits may decrease within the next twelve months by approximately $4.1 million due to settlements with tax authorities.

Other Matters: We file income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. As of December 31, 2018, the tax years that remained subject to examination by major tax jurisdictions were as follows:
Jurisdiction
 
Open Years
Canada
 
2015
2018
China
 
2008
2018
Mexico (excluding 2011 which is closed)
 
2010
2018
Netherlands
 
2016
2018
Portugal
 
2008
2018
United States (excluding 2013 which is closed)
 
2011
2018


United States Tax Reform: The Tax Cuts and Jobs Act (the Act), signed into law on December 22, 2017, changed many aspects of the U.S. tax code, by reducing the corporate income tax rate from 35 percent to 21 percent, shifting to a territorial tax system with a related one-time transition tax on accumulated, unremitted earnings of foreign subsidiaries, limiting interest deductions, allowing the current expensing of certain capital expenditures, and numerous other changes that applied prospectively beginning in 2018. We recorded a charge of $6.7 million in the fourth quarter of 2017, principally related to re-measurement of the net U.S. deferred income tax assets at the 21 percent tax rate. We applied the guidance in SAB 118 when accounting for the enactment date effects of the Act in 2017 and throughout 2018. As of December 31, 2018, we completed our accounting for all the enactment date income tax effects of the Act. There were no material revisions to the taxes recorded at December 31, 2017.

The Act subjects a U.S. shareholder to tax on Global Intangible Low-Taxed Income (GILTI) earned by certain foreign entities. The FASB Staff Q&A Topic 740, No. 5 "Accounting for Global Low-Taxed Income", states that an entity may make an accounting policy election to either recognize deferred taxes for temporary basis differences expected to reverse as GILTI in future years or to provide for the tax expense related to GILTI in the year the tax expense is incurred as a period expense. We have elected to account for GILTI as a period expense when incurred.
v3.10.0.1
Pension
12 Months Ended
Dec. 31, 2018
Retirement Benefits [Abstract]  
Pension
Pension

We have pension plans covering the majority of our employees. Benefits generally are based on compensation and length of service for salaried employees and job grade and length of service for hourly employees. In addition, we have an unfunded supplemental employee retirement plan (SERP) that covers salaried U.S.-based employees of Libbey hired before January 1, 2006. The U.S. pension plans cover the salaried U.S.-based employees of Libbey hired before January 1, 2006, and most hourly U.S.-based employees (excluding employees hired at Shreveport after December 15, 2008, and at Toledo after September 30, 2010). Effective January 1, 2013, we ceased annual company contribution credits to the cash balance accounts in our Libbey U.S. Salaried Pension Plan and SERP. The non-U.S. pension plans cover the employees of our wholly owned subsidiary in Mexico and are unfunded.

Effect on Operations
The components of our net pension expense, including the SERP, are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Service cost (benefits earned during the period)
 
$
4,009

 
$
3,916

 
$
1,142

 
$
1,085

 
$
5,151

 
$
5,001

Interest cost on projected benefit obligation
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Expected return on plan assets
 
(22,658
)
 
(22,479
)
 

 

 
(22,658
)
 
(22,479
)
Amortization of unrecognized:
 
 
 
 
 
 
 
 
 
 
 
 
Prior service cost (credit)
 
1

 
236

 
(201
)
 
(204
)
 
(200
)
 
32

Actuarial loss
 
6,472

 
5,232

 
622

 
594

 
7,094

 
5,826

Settlement charge
 

 
245

 
92

 

 
92

 
245

Pension expense
 
$
439

 
$
937

 
$
4,639

 
$
4,224

 
$
5,078

 
$
5,161



In 2018 and 2017, the pension settlement charges were triggered by excess lump sum distributions taken by employees, which required us to record unrecognized gains and losses in our pension plan accounts. The non-service cost components of pension expense are included in other income (expense) on the Consolidated Statements of Operations. See note 16 for additional information.

Actuarial Assumptions
The assumptions used to determine net periodic pension expense for each year and the benefit obligations at December 31st were as follows:
 
 
U.S. Plans
 
Non-U.S. Plans
 
 
2018
 
2017
 
2018
 
2017
Net periodic pension expense:
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
3.64%
to
3.69%
 
4.18%
to
4.23%
 
9.40%
 
9.30%
Expected long-term rate of return on plan assets
 
7.00%
 
7.00%
 
Not applicable
 
Not applicable
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable
Benefit obligations:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
4.31%
to
4.33%
 
3.64%
to
3.69%
 
10.60%
 
9.40%
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable


The discount rate enables us to estimate the present value of expected future cash flows on the measurement date. The rate used reflects a rate of return on high-quality fixed income investments that match the duration of expected benefit payments at our December 31 measurement date. The discount rate at December 31 is used to measure the year-end benefit obligations and the earnings effects for the subsequent year. A higher discount rate decreases the present value of benefit obligations and decreases pension expense.

To determine the expected long-term rate of return on plan assets for our funded plans, we consider the current and expected asset allocations, as well as historical and expected returns on various categories of plan assets. At December 31, 2018, the expected long-term rate of return on plan assets is 6.50 percent, which will be used to measure the earnings effects for 2019.

The cash balance interest crediting rate, which applies only to the U.S. Salaried Plan, enables us to calculate the benefit obligation through projecting future interest credits on cash balance accounts between the measurement date and a participant’s assumed retirement date. The rate adjusts annually and is the 30-year Treasury rate in effect as of October in the preceding plan year, subject to a minimum of 5 percent. A lower cash balance interest crediting rate assumption decreases the benefit obligation and decreases pension expense.

Future benefits are assumed to increase in a manner consistent with past experience of the plans except for the Libbey U.S. Salaried Pension Plan and SERP as discussed above, which, to the extent benefits are based on compensation, includes assumed compensation increases as presented above. Amortization included in net pension expense is based on the average remaining service of employees.

We account for our defined benefit pension plans on an expense basis that reflects actuarial funding methods. The actuarial valuations require significant estimates and assumptions to be made by management, primarily with respect to the discount rate and expected long-term return on plan assets. These assumptions are all susceptible to changes in market conditions. The discount rate is based on a selected settlement portfolio from a universe of high quality bonds. In determining the expected long-term rate of return on plan assets, we consider historical market and portfolio rates of return, asset allocations and expectations of future rates of return. We evaluate these critical assumptions on our annual measurement date of December 31st. Other assumptions involving demographic factors such as retirement age, mortality and turnover are evaluated periodically and are updated to reflect our experience. Actual results in any given year often will differ from actuarial assumptions because of demographic, economic and other factors.

For our U.S. pension plans, we use the RP 2014 Sex Distinct Mortality Tables, as released by the Society of Actuaries, to determine our projected benefit obligations. Beginning annually in 2015, the Society of Actuaries has published new generational projection scales reflecting additional years of mortality experience, and we have adopted these updates in each respective year.

Projected Benefit Obligation (PBO) and Fair Value of Assets

The changes in the projected benefit obligations and fair value of plan assets are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Change in projected benefit obligation:
 
 
 
 
 
 
 
 
 
 
 
 
Projected benefit obligation, beginning of year
 
$
354,053

 
$
336,648

 
$
31,967

 
$
28,161

 
$
386,020

 
$
364,809

Service cost
 
4,009

 
3,916

 
1,142

 
1,085

 
5,151

 
5,001

Interest cost
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Exchange rate fluctuations
 

 

 
138

 
1,214

 
138

 
1,214

Actuarial (gain) loss
 
(28,481
)
 
22,991

 
(3,056
)
 
1,409

 
(31,537
)
 
24,400

Settlements paid
 

 
(281
)
 

 

 

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Projected benefit obligation, end of year
 
$
322,594

 
$
354,053

 
$
29,978

 
$
31,967

 
$
352,572

 
$
386,020

 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of plan assets:
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets, beginning of year
 
$
343,219

 
$
318,414

 
$

 
$

 
$
343,219

 
$
318,414

Actual return on plan assets
 
(19,533
)
 
47,595

 

 

 
(19,533
)
 
47,595

Employer contributions
 

 
499

 
3,197

 
2,651

 
3,197

 
3,150

Settlements paid
 

 
(281
)
 

 

 

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Fair value of plan assets, end of year
 
$
304,084

 
$
343,219

 
$

 
$

 
$
304,084

 
$
343,219

 
 
 
 
 
 
 
 
 
 
 
 
 
Funded ratio
 
94.3
%
 
96.9
%
 
%
 
%
 
86.2
%
 
88.9
%
Funded status and net accrued pension benefit cost
 
$
(18,510
)
 
$
(10,834
)
 
$
(29,978
)
 
$
(31,967
)
 
$
(48,488
)
 
$
(42,801
)


The U.S. defined benefit pension plans experienced actuarial (gains) losses of $(28.5) million and $23.0 million for the years ended December 31, 2018 and 2017, respectively, primarily driven by assumption changes in the discount rate used to determine the benefit obligations.

The non-U.S. defined benefit pension plans experienced actuarial (gains) losses of $(3.1) million and $1.4 million for the years ended December 31, 2018 and 2017, respectively, primarily driven by assumption changes in the discount rate and demographic experience used to determine the benefit obligations.

The current portion of the pension liability reflects the amount of expected benefit payments that are greater than the plan assets on a plan-by-plan basis. The net accrued pension benefit liability at December 31st represents underfunded (including unfunded) pension benefits, and is included in the Consolidated Balance Sheets as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Pension asset
 
$

 
$
2,939

Pension liability (current portion)
 
(3,282
)
 
(2,185
)
Pension liability
 
(45,206
)
 
(43,555
)
Net accrued pension liability
 
$
(48,488
)
 
$
(42,801
)








The cumulative pretax amounts recognized in accumulated other comprehensive loss (AOCI) as of December 31 are as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Net actuarial loss
 
$
105,468

 
$
98,228

 
$
8,732

 
$
12,378

 
$
114,200

 
$
110,606

Prior service cost (credit)
 

 
1

 
(2,447
)
 
(2,636
)
 
(2,447
)
 
(2,635
)
Total cost in AOCI
 
$
105,468

 
$
98,229

 
$
6,285

 
$
9,742

 
$
111,753

 
$
107,971



Estimated contributions for 2019, as well as, contributions made in 2018 and 2017 to the pension plans are as follows:
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
Estimated contributions in 2019
 
$
138

 
$
3,310

 
$
3,448

Contributions made in 2018
 
$

 
$
3,197

 
$
3,197

Contributions made in 2017
 
$
499

 
$
2,651

 
$
3,150



It is difficult to estimate future cash contributions to the pension plans, as such amounts are a function of actual investment returns, withdrawals from the plans, changes in interest rates and other factors uncertain at this time. It is possible that greater cash contributions may be required in 2019 than the amounts in the above table. Although a decline in market conditions, changes in current pension law and uncertainties regarding significant assumptions used in the actuarial valuations may have a material impact in future required contributions to our pension plans, we currently do not expect funding requirements to have a material adverse impact on current or future liquidity.

Pension benefit payment amounts are anticipated to be paid from the plans (including the SERP) as follows:
Year
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
2019
 
$
19,836

 
$
3,310

 
$
23,146

2020
 
$
20,046

 
$
2,220

 
$
22,266

2021
 
$
20,211

 
$
2,536

 
$
22,747

2022
 
$
20,465

 
$
2,549

 
$
23,014

2023
 
$
20,750

 
$
2,540

 
$
23,290

2024-2028
 
$
103,988

 
$
14,431

 
$
118,419



Projected and Accumulated Benefit Obligations in Excess of Plan Assets

The projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension plans with a projected and accumulated benefit obligation in excess of plan assets at December 31, 2018 and 2017 were as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Projected benefit obligation
 
$
322,594

 
$
268,887

 
$
29,978

 
$
31,967

 
$
352,572

 
$
300,854

Accumulated benefit obligation
 
$
322,594

 
$
268,887

 
$
26,717

 
$
27,055

 
$
349,311

 
$
295,942

Fair value of plan assets
 
$
304,084

 
$
255,115

 
$

 
$

 
$
304,084

 
$
255,115



Plan Assets

Our investment strategy is to control and manage investment risk through diversification across asset classes and investment styles, within established target asset allocation ranges. The investment risk of the assets is limited by appropriate diversification both within and between asset classes. Assets are diversified among a mix of traditional investments in equity and fixed income instruments, as well as alternative investments including real estate and hedge funds. It would be anticipated that a modest allocation to short-term investments would exist within the plans, since each investment manager is likely to hold some short-term investments in the portfolio with the goal of ensuring that sufficient liquidity will be available to meet expected cash flow requirements.

Our investment valuation policy is to state the investments at fair value. Primarily all investments are valued at their respective net asset value (NAV) as a practical expedient and calculated by the Trustee. The real estate, equity securities and fixed income investments are held in a Group Trust which is valued at the unit prices established by the Trustee and are valued using NAV as a practical expedient. Underlying equity securities (including large and small cap domestic and international equities), for which market quotations are readily available, are valued at the last reported readily available sales price on their principal exchange on the valuation date or official close for certain markets. Fixed income investments are valued on a basis of valuations furnished by a trustee-approved pricing service, which determines valuations for normal institutional-size trading units of such securities which are generally recognized at fair value as determined in good faith by the Trustee. The fair value of investments in real estate funds is based on valuation of the fund as determined by periodic appraisals of the underlying investments owned by the respective fund. Investments in registered investment companies are valued at quoted market prices. Collective pooled funds, if any, are recorded using NAV practical expedients. Short-term investments are valued at their respective NAV and have no redemption restrictions. The hedge fund investments using NAV as a practical expedient are valued by using estimated month-end NAV and performance numbers provided by the fund administrator. The Plan is required to provide a month’s advance written notice to liquidate its entire share in the Group Trust. Certain investments in the hedge funds can only be liquidated on either a quarterly or semi-annual basis, require advance notification and are subject to audit holdback provisions.

Investments measured at NAV as a practical expedient for fair value have been excluded from the fair value hierarchy, in accordance with U.S. GAAP. The table below presents our U.S. pension plan assets at fair value.
December 31,
(dollars in thousands)
 
Measured at NAV as a practical expedient
 
Target Allocation
 
2018
 
2017
 
2019
Short-term investments
 
$
9,796

 
$
8,061

 
3
%
Real estate
 
6,198

 
16,390

 
2
%
Equity securities
 
108,952

 
156,434

 
40
%
Debt securities
 
146,080

 
125,671

 
45
%
Hedge funds
 
33,058

 
36,663

 
10
%
Total
 
$
304,084

 
$
343,219

 
100
%


Other Retirement Plans

We sponsor the Libbey Inc. Salary and Hourly 401(k) plans (the Plans) to provide retirement benefits for our U.S. employees. As allowed under Section 401(k) of the Internal Revenue Code, the Plans provide for tax-deferred wage contributions for eligible employees. For the Salary Plan, we match 100 percent on the first 6 percent of pretax contributions from eligible earnings on a per pay basis. For the Hourly Plan, we match 50 percent of the first 6 percent of pretax contributions from eligible earnings on a per pay basis. All matching contributions are invested according to the employees' deferral elections and vest immediately. Our matching contributions to all U.S. Plans totaled $3.8 million and $3.6 million in 2018 and 2017, respectively.

Libbey Holland makes cash contributions to the Pensioenfonds voor de Grafische Bedrijven (“PGB”), an industry wide pension fund, as participating employees earn pension benefits. These related costs are expensed as incurred and amounted to $2.0 million and $1.9 million in 2018 and 2017, respectively.
v3.10.0.1
Non-pension Post-retirement Benefits
12 Months Ended
Dec. 31, 2018
Retirement Benefits [Abstract]  
Non-pension Post-retirement Benefits
Non-pension Post-retirement Benefits

We provide certain retiree healthcare and life insurance benefits covering our U.S. and Canadian salaried employees hired before January 1, 2004 and a majority of our union hourly employees (excluding employees hired at Shreveport after December 15, 2008, and at Toledo after September 30, 2010). Employees are generally eligible for benefits upon retirement and completion of a specified number of years of creditable service. Benefits for most hourly retirees are determined by collective bargaining. The U.S. non-pension, post-retirement plans cover the hourly and salaried U.S.-based employees of Libbey (excluding those mentioned above). The non-U.S., non-pension, post-retirement plans cover the retirees and active employees of Libbey who are located in Canada. The post-retirement benefit plans are unfunded.

Effect on Operations

The provision for our non-pension, post-retirement, benefit expense consists of the following:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Service cost
 
$
604

 
$
631

 
$
1

 
$
1

 
$
605

 
$
632

Interest cost on projected benefit obligation
 
1,822

 
2,104

 
38

 
44

 
1,860

 
2,148

Amortization of unrecognized:
 
 
 
 
 
 
 
 
 
 
 
 
Prior service credit
 
(282
)
 
(201
)
 

 

 
(282
)
 
(201
)
Actuarial gain
 
(209
)
 
(257
)
 
(64
)
 
(59
)
 
(273
)
 
(316
)
Non-pension post-retirement benefit expense (income)
 
$
1,935

 
$
2,277

 
$
(25
)
 
$
(14
)
 
$
1,910

 
$
2,263



The non-service cost components of benefit expense above are included in other income (expense) on the Consolidated Statements of Operations. See note 16 for additional information.

Actuarial Assumptions

The significant assumptions used for each year and at December 31st were as follows:
 
U.S. Plans
 
Non-U.S. Plans
 
2018
 
2017
 
2018
 
2017
Net periodic benefit expense
 
 
 
 
 
 
 
Discount rate
3.60
%
 
4.05
%
 
3.26
%
 
3.48
%
Non-pension post-retirement benefit obligation
 
 
 
 
 
 
 
Discount rate
4.27
%
 
3.60
%
 
3.52
%
 
3.26
%
Weighted average assumed healthcare cost trend rates
 
 
 
 
 
 
 
Healthcare cost trend rate assumed for next year
6.25
%
 
6.50
%
 
6.25
%
 
6.50
%
Ultimate healthcare trend rate
5.00
%
 
5.00
%
 
5.00
%
 
5.00
%
Year the ultimate healthcare trend rate is reached
2024

 
2024

 
2024

 
2024



We use various actuarial assumptions, including the discount rate and the expected trend in healthcare costs, to estimate the costs and benefit obligations for our retiree health plan. The discount rate is determined based on high-quality fixed income investments that match the duration of expected retiree medical benefits at our December 31 measurement date to establish the discount rate. The discount rate at December 31 is used to measure the year-end benefit obligations and the earnings effects for the subsequent year. The healthcare cost trend rate represents our expected annual rates of change in the cost of healthcare benefits. The trend rate noted above represents a forward projection of healthcare costs as of the measurement date.

Accumulated Post-retirement Benefit Obligation
The components of our non-pension, post-retirement, benefit obligation are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Change in accumulated non-pension post-retirement benefit obligation:
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation, beginning of year
 
$
52,648

 
$
58,921

 
$
1,295

 
$
1,344

 
$
53,943

 
$
60,265

Service cost
 
604

 
631

 
1

 
1

 
605

 
632

Interest cost
 
1,822

 
2,104

 
38

 
44

 
1,860

 
2,148

Plan participants' contributions
 
512

 
525

 

 

 
512

 
525

Actuarial gain
 
(5,305
)
 
(5,483
)
 
(106
)
 
(108
)
 
(5,411
)
 
(5,591
)
Exchange rate fluctuations
 

 

 
(96
)
 
90

 
(96
)
 
90

Benefits paid
 
(4,382
)
 
(4,050
)
 
(65
)
 
(76
)
 
(4,447
)
 
(4,126
)
Benefit obligation, end of year
 
$
45,899

 
$
52,648

 
$
1,067

 
$
1,295

 
$
46,966

 
$
53,943

 
 
 
 
 
 
 
 
 
 
 
 
 
Funded status and accrued benefit cost
 
$
(45,899
)
 
$
(52,648
)
 
$
(1,067
)
 
$
(1,295
)
 
$
(46,966
)
 
$
(53,943
)


The U.S. non-pension, post-retirement, benefit plans experienced actuarial gains of $5.3 million in 2018 primarily due to lower than expected healthcare costs and the updated discount rate. Actuarial gains in the U.S. of $5.5 million in 2017 were primarily driven by assumption changes related to lower than expected healthcare costs and demographic gains, partially offset by losses from the updated discount rate.

The total accrued non-pension, post-retirement, benefits liability at December 31st represents unfunded post-retirement benefits and is included in the Consolidated Balance Sheets as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Non-pension post-retirement benefits (current portion)
 
$
3,951

 
$
4,185

Non-pension post-retirement benefits
 
43,015

 
49,758

Total non-pension post-retirement benefits liability
 
$
46,966

 
$
53,943



The cumulative pretax amounts recognized in AOCI as of December 31 are as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Net actuarial gain
 
$
(5,176
)
 
$
(80
)
 
$
(806
)
 
$
(832
)
 
$
(5,982
)
 
$
(912
)
Prior service credit
 
(980
)
 
(1,262
)
 

 

 
(980
)
 
(1,262
)
Total credit in AOCI
 
$
(6,156
)
 
$
(1,342
)
 
$
(806
)
 
$
(832
)
 
$
(6,962
)
 
$
(2,174
)


Non-pension, post-retirement, benefit payments, net of estimated future Medicare Part D subsidy payments and future retiree contributions, are anticipated to be paid as follows:
Fiscal Year
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
2019
 
$
3,888

 
$
146

 
$
4,034

2020
 
$
3,879

 
$
141

 
$
4,020

2021
 
$
3,761

 
$
130

 
$
3,891

2022
 
$
3,746

 
$
120

 
$
3,866

2023
 
$
3,593

 
$
108

 
$
3,701

2024-2028
 
$
15,739

 
$
254

 
$
15,993

v3.10.0.1
Net Income per Share of Common Stock
12 Months Ended
Dec. 31, 2018
Earnings Per Share [Abstract]  
Net Loss per Share of Common Stock
Net Loss per Share of Common Stock
The following table sets forth the computation of basic and diluted loss per share:
Year ended December 31,
(dollars in thousands, except earnings per share)
 
2018
 
2017
Numerator for loss per share:
 
 
 
 
Net loss that is available to common shareholders
 
$
(7,956
)
 
$
(93,368
)
 
 
 

 
 

Denominator for basic loss per share:
 
 
 
 
Weighted average shares outstanding
 
22,180,102

 
22,030,672

 
 
 
 
 
Denominator for diluted loss per share:
 
 
 
 
Effect of stock options and restricted stock units
 

 

Adjusted weighted average shares and assumed conversions
 
22,180,102

 
22,030,672

 
 
 
 
 
Basic loss per share
 
$
(0.36
)
 
$
(4.24
)
 
 
 
 
 
Diluted loss per share
 
$
(0.36
)
 
$
(4.24
)
 
 
 
 
 
Anti-dilutive shares excluded from computation of diluted loss per share
 
1,285,307

 
1,075,175



When applicable, diluted shares outstanding is calculated using the weighted-average number of common shares outstanding plus the dilutive effects of equity-based compensation outstanding during the period using the treasury stock method.
v3.10.0.1
Employee Stock Benefit Plans
12 Months Ended
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Abstract]  
Employee Stock Benefit Plans
Employee Stock Benefit Plans    

We have two equity participation plans, the Amended and Restated Libbey Inc. 2006 Omnibus Incentive Plan and the Libbey Inc. 2016 Omnibus Incentive Plan, which we refer to as the Omnibus Plans. Up to a total of 2,960,000 and 1,200,000 shares of Libbey Inc. common stock are authorized for issuance as equity-based compensation under the 2006 and 2016 Omnibus Plans, respectively. Under the Omnibus Plans, grants of equity-based compensation may take the form of stock, stock options, stock appreciation rights, performance shares or units, restricted stock or restricted stock units (RSUs) or other stock-based awards. Employees and directors are eligible for awards under these plans. The vesting period of stock options and RSUs is generally four years with one quarter of the award vesting each year. We grant non-employee members of our Board of Directors shares of stock that vest immediately. Awards are subject to alternate vesting plans for death, disability, retirement eligibility and involuntary termination. All grants of equity-based compensation are amortized using a ratable straight-line method over the vesting period and are recorded in selling, general and administrative expenses in the Consolidated Statements of Operations. Shares of common stock to be issued under the plans are made available through authorized and unissued Libbey common stock. As of December 31, 2018, shares available to be issued under the 2006 and 2016 Omnibus Incentive Plans were 784,139 and 184,093, respectively. In addition, we have a limited number of outstanding stock appreciation rights and cash-settled RSUs that are immaterial and will be settled in cash.

The Black-Scholes option-pricing model is used to estimate the grant-date fair value for stock options. The exercise price of each stock option equals the closing market price of our common stock on the date of grant. The maximum term is ten years. Grant-date fair value for RSUs is measured based on the closing market price of the stock at date of grant less the present value of expected dividends over the vesting period, as dividends are not payable on unvested RSUs.

The following table summarizes award activity for the current fiscal year:
 
 
Stock Options
 
Stock and RSUs
 
 
Shares
 
Weighted-average Exercise Price
(per share)
 
Shares / Units
 
Weighted-average Grant Date Fair Value
(per share)
Outstanding balance at December 31, 2017
 
762,550

 
$
16.91

 
354,204

 
$
15.30

Granted
 

 
 
 
596,688

 
$
5.50

Exercised or vested
 
(5,300
)
 
$
1.01

 
(200,612
)
 
$
13.04

Forfeited or expired
 
(166,678
)
 
$
17.74

 
(57,351
)
 
$
13.53

Outstanding balance at December 31, 2018
 
590,572

 
$
16.82

 
692,929

 
$
7.66

Exercisable at December 31, 2018
 
344,233

 
$
18.94

 
 
 
 


Since all stock options are under water at December 31, 2018, there is no intrinsic value for stock options outstanding or exercisable. At December 31, 2018, the weighted-average remaining contractual life for stock options outstanding and stock options exercisable is 6.6 years and 5.6 years, respectively. The intrinsic value for share-based instruments is defined as the difference between the current market value and the exercise price.

As of December 31, 2018, unrecognized compensation expense related to nonvested stock options and nonvested RSUs is $0.1 million and $1.8 million, respectively, which is expected to be recognized over the weighted average period of 1.3 years for stock options and 1.7 years for RSUs.

The following table summarizes award expensing and fair value information for the periods presented:
Year ended December 31,
(dollars in thousands, except grant date fair values and assumptions)
 
2018
 
2017
Total stock compensation expense
 
$
2,827

 
$
3,460

Total fair value of stock, stock options and RSUs vested
 
$
3,371

 
$
2,643

Weighted average grant date fair value of stock options granted
 
Not applicable
 
$
3.00

Weighted average grant date fair value of stock and RSUs granted
 
$
5.50

 
$
10.38

Intrinsic value of stock options exercised
 
$
38

 
$
17

Intrinsic value of stock and RSUs vested
 
$
1,230

 
$
1,918

 
 
 
 
 
Weighted-average assumptions for stock option grants:
 
 
 
 
Risk-free interest
 
Not applicable
 
2.07
%
Expected term
 
Not applicable
 
5.8 years

Expected volatility
 
Not applicable
 
38.54
%
Dividend yield
 
Not applicable
 
4.32
%


The risk-free interest rate is based on the U.S. Treasury yield curve at the time of grant and has a term equal to the expected life. The expected term represents the period of time the stock options are expected to be outstanding. We use the actual historical exercise activity for determining the expected term. Expected volatility is calculated based on Libbey's daily stock closing prices for a period equal to the expected life of the award. The dividend yield is calculated as the ratio based on our most recent historical dividend payments per share of common stock at the grant date to the stock price on the date of grant.
v3.10.0.1
Derivatives
12 Months Ended
Dec. 31, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives
Derivatives

We utilize derivative financial instruments to hedge certain interest rate risks associated with our long-term debt and commodity price risks associated with forecasted future natural gas requirements. These derivatives, except for the natural gas contracts used in our Mexican manufacturing facilities prior to 2018, qualify for hedge accounting since the hedges are highly effective, and we have designated and documented contemporaneously the hedging relationships involving these derivative instruments. While we intend to continue to meet the conditions for hedge accounting, if hedges do not qualify as highly effective or if we do not believe that forecasted transactions would occur, the changes in the fair value of the derivatives used as hedges would be reflected in our earnings. Our contracts with counterparties generally contain right of offset provisions. These provisions effectively reduce our exposure to credit risk in situations where the Company has gain and loss positions outstanding with a single counterparty. It is our policy to offset on the Consolidated Balance Sheets the amounts recognized for derivative instruments executed with the same counterparty under a master netting agreement.

Prior to January 1, 2018, our derivatives used to reduce economic volatility of natural gas prices in Mexico were not designated as cash flow hedges. All mark-to-market changes on these derivatives were reflected in other income (expense). On January 1, 2018, we adopted ASU 2017-12 for hedge accounting. Under this new guidance, we apply contractually specified component hedging to all of our natural gas hedges. This allows us to record changes in fair value for outstanding natural gas derivatives to other comprehensive income (loss) beginning January 1, 2018. See note 2 for additional details on the adoption of ASU 2017-12.

We do not believe we are exposed to more than a nominal amount of credit risk in our natural gas hedges and interest rate swaps as the counterparties are established financial institutions. The counterparties for the derivative agreements are rated BBB+ or better as of December 31, 2018, by Standard and Poor’s.

Fair Values

The following table provides the fair values of our derivative financial instruments for the periods presented:
December 31,
(dollars in thousands)
 
 
 
Fair Value of Derivative Assets
 
Balance Sheet Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Interest rate swaps
 
Prepaid and other current assets
 
$
1,425

 
$

Interest rate swaps
 
Other assets
 

 
646

Natural gas contracts
 
Prepaid and other current assets
 
226

 

Natural gas contracts
 
Other assets
 
39

 

Total designated
 
 
 
1,690

 
646

Derivatives not designated as hedging instruments:
 
 
 
 
Total undesignated
 
 
 

 

Total derivative assets
 
 
 
$
1,690

 
$
646

 
 
 
 
 
 
 
December 31,
(dollars in thousands)
 
 
 
Fair Value of Derivative Liabilities
 
Balance Sheet Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Interest rate swaps
 
Accrued liabilities
 
$

 
$
213

Interest rate swaps
 
Other long-term liabilities
 
5,713

 

Natural gas contracts
 
Accrued liabilities
 

 
220

Natural gas contracts
 
Other long-term liabilities
 

 
7

Total designated
 
 
 
5,713

 
440

Derivatives not designated as hedging instruments:
 
 
 
 
Natural gas contracts
 
Accrued liabilities
 

 
264

Natural gas contracts
 
Other long-term liabilities
 

 
12

Total undesignated
 
 
 

 
276

Total derivative liabilities
 
 
 
$
5,713

 
$
716



The following table presents cash settlements (paid) received related to the below derivatives:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Natural gas contracts
 
$
426

 
$
(47
)
Interest rate swaps
 
159

 
(1,836
)
Total
 
$
585

 
$
(1,883
)


The following table provides a summary of the impacts of derivative gain (loss) on the Consolidated Statements of Operations and other comprehensive income (OCI):
Year ended December 31,
(dollars in thousands)
 
Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Effective portion of derivative gain (loss) recognized in OCI:
 
 
 
 
 
 
Natural gas contracts
 
OCI
 
$
1,194

 
$
(1,019
)
Interest rate swaps
 
OCI
 
(4,436
)
 
733

Total
 
$
(3,242
)
 
$
(286
)
 
 
 
 
 
 
 
Effective portion of derivative gain (loss) reclassified from accumulated OCI to current earnings:
 
 
 
 
 
 
Natural gas contracts
 
Cost of Sales
 
$
426

 
$
(45
)
Interest rate swaps
 
Interest expense
 
285

 
(1,735
)
Total
 
$
711

 
$
(1,780
)
 
 
 
 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
 
Gain (loss) recognized in current earnings:
 
 
 
 
 
 
Natural gas contracts
 
Other income (expense)
 

 
(1,036
)
Total
 
$

 
$
(1,036
)


Natural Gas Contracts

We use natural gas swap contracts related to forecasted future North American natural gas requirements. The objective of these commodity contracts is to limit the fluctuations in prices paid due to price movements in the underlying commodity. We consider our forecasted natural gas requirements in determining the quantity of natural gas to hedge. We combine the forecasts with historical observations to establish the percentage of forecast eligible to be hedged, typically ranging from 40 percent to 70 percent of our anticipated requirements, 18 months in the future, or more, depending on market conditions. The fair values of these instruments are determined from market quotes.

The following table presents the notional amount of our natural gas derivatives on the Consolidated Balance Sheets:
 
 
 
 
Notional Amounts
Derivative Types
 
Unit of Measure
 
December 31, 2018
 
December 31, 2017
Natural gas contracts
 
Millions of British Thermal Units (MMBTUs)
 
3,150,000

 
2,480,000



Hedge accounting is applied only when the derivative is deemed to be highly effective at offsetting changes in fair values or anticipated cash flows of the hedged item or transaction. For hedged forecasted transactions, hedge accounting is discontinued if the forecasted transaction is no longer probable to occur, and any previously deferred gains or losses would be recorded to earnings immediately. Changes in the fair value of these hedges are recorded in other comprehensive income (loss). As the natural gas contracts mature, the accumulated gains (losses) for the respective contracts are reclassified from accumulated other comprehensive loss to current expense in cost of sales in our Consolidated Statements of Operations.

Based on our current valuation, we estimate that accumulated gains for natural gas currently carried in accumulated other comprehensive loss that will be reclassified into earnings over the next twelve months will result in $0.2 million of gain to our Consolidated Statements of Operations.

Interest Rate Swaps

The table below lists the interest rate swaps we executed as part of our risk management strategy to mitigate the risks associated with the fluctuating interest rates under our Term Loan B. The interest rate swaps effectively convert a portion of our Term Loan B debt from a variable interest rate to a fixed interest rate, thus reducing the impact of interest rate changes on future income.
Swap execution date
 
Effective date
 
Expiration date
 
Notional amount
 
Fixed swap rate
 
April 1, 2015
 
January 11, 2016
 
January 9, 2020
 
$220.0 million
 
4.85
%
 
September 24, 2018
 
January 9, 2020
 
January 9, 2025
 
$200.0 million
 
6.19
%
(1) 
________________________
(1) 
Upon refinancing our Term Loan B, the fixed interest rate will be 3.19 percent plus the new refinanced credit spread.

Our interest rate swaps are valued using the market standard methodology of netting the discounted expected future variable cash receipts and the discounted future fixed cash payments. The variable cash receipts are based on an expectation of future interest rates derived from observed market interest rate forward curves.

Our interest rate swaps qualify and are designated as cash flow hedges at December 31, 2018, and are accounted for under FASB ASC 815 "Derivatives and Hedging". Hedge accounting is applied only when the derivative is deemed to be highly effective at offsetting changes in fair values or anticipated cash flows of the hedged item or transaction. For hedged forecasted transactions, hedge accounting is discontinued if the forecasted transaction is no longer probable to occur, and any previously deferred gains or losses are recorded to earnings immediately. Changes in the fair value of these hedges are recorded in other comprehensive income (loss). Based on our current valuation, we estimate that $1.4 million will be reclassified into earnings over the next twelve months, resulting in a reduction to interest expense in our Consolidated Statements of Operations.
v3.10.0.1
Accumulated Other Comprehensive Income (Loss)
12 Months Ended
Dec. 31, 2018
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]  
Accumulated Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss) (AOCI), net of tax, is as follows:
(dollars in thousands)
 
Foreign Currency Translation
 
Derivative Instruments
 
Pension and Other Post-retirement Benefits
 
Total
Accumulated
Comprehensive Loss
Balance on December 31, 2016
 
$
(27,828
)
 
$
(515
)
 
$
(96,854
)
 
$
(125,197
)
 
 
 
 
 
 
 
 
 
Amounts recognized into AOCI
 
12,835

 
(286
)
 
6,307

 
18,856

Currency impact
 

 

 
(152
)
 
(152
)
  Amounts reclassified from AOCI
 

 
1,780

(1) 
5,586

(2) 
7,366

Tax effect
 
(1,190
)
 
(628
)
 
(4,227
)
 
(6,045
)
Other comprehensive income (loss), net of tax
 
11,645


866


7,514


20,025

Balance on December 31, 2017
 
(16,183
)
 
351

 
(89,340
)

(105,172
)
 
 
 
 
 
 
 
 
 
Cumulative-effect adjustment for the adoption of ASU 2017-12
 

 
(275
)
 

 
(275
)
 
 
 
 
 
 
 
 
 
Amounts recognized into AOCI
 
(7,057
)
 
(3,242
)
 
(5,245
)
 
(15,544
)
Currency impact
 

 

 
(164
)
 
(164
)
  Amounts reclassified from AOCI
 

 
(711
)
(1) 
6,431

(2) 
5,720

Tax effect
 

 
1,011

 
19

 
1,030

Other comprehensive income (loss), net of tax
 
(7,057
)
 
(2,942
)
 
1,041

 
(8,958
)
Balance on December 31, 2018
 
$
(23,240
)
 
$
(2,866
)
 
$
(88,299
)
 
$
(114,405
)

_________________________
(1) 
We reclassified natural gas contracts through cost of sales and the interest rate swaps through interest expense on the Consolidated Statements of Operations. See note 12 for additional information.
(2) 
We reclassified the net pension and non-pension post-retirement benefits amortization and settlement charges through other income (expense) on the Consolidated Statements of Operations. See notes 8 and 9 for additional information.
v3.10.0.1
Fair Value
12 Months Ended
Dec. 31, 2018
Fair Value Disclosures [Abstract]  
Fair Value
Fair Value

Fair value is the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. The fair value hierarchy prioritizes the inputs used in measuring fair value into three broad levels as follows:

Level 1 — Quoted prices in active markets for identical assets or liabilities;
Level 2 — Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and
Level 3 — Unobservable inputs based on our own assumptions.

The fair value of our derivative financial instruments by level is as follows:
 
 
Fair Value at
 
Fair Value at
Asset / (Liability
(dollars in thousands)
 
December 31, 2018
 
December 31, 2017
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Commodity futures natural gas contracts
 
$

 
$
265

 
$

 
$
265

 
$

 
$
(503
)
 
$

 
$
(503
)
Interest rate swaps
 

 
(4,288
)
 

 
(4,288
)
 

 
433

 

 
433

Net derivative asset (liability)
 
$

 
$
(4,023
)
 
$

 
$
(4,023
)
 
$

 
$
(70
)
 
$

 
$
(70
)


The fair values of our commodity futures natural gas contracts are determined using observable market inputs. The fair value of our interest rate swaps are based on the market standard methodology of netting the discounted expected future variable cash receipts and the discounted future fixed cash payments. The variable cash receipts are based on an expectation of future interest rates derived from observed market interest rate forward curves. Since these inputs are observable in active markets over the terms that the instruments are held, the derivatives are classified as Level 2 in the hierarchy. We also evaluate Company and counterparty risk in determining fair values. The commodity futures natural gas contracts and interest rate swaps are hedges of either recorded assets or liabilities or anticipated transactions. Changes in values of the underlying hedged assets and liabilities or anticipated transactions are not reflected in the above table.

Financial instruments carried at cost on the Consolidated Balance Sheets, as well as the related fair values, are as follows:
 
 
 
 
December 31, 2018
 
December 31, 2017
(dollars in thousands)
 
Fair Value
Hierarchy Level
 
Carrying Amount
 
Fair Value
 
Carrying Amount
 
Fair Value
Term Loan B
 
Level 2
 
$
380,200

 
$
362,141

 
$
384,600

 
$
370,178



The fair value of our Term Loan B has been calculated based on quoted market prices for the same or similar issues, and the fair value of our ABL Facility approximates carrying value due to variable rates. The fair value of our other immaterial debt approximates carrying value at December 31, 2017. The fair value of our cash and cash equivalents, accounts receivable and accounts payable approximate their carrying value due to their short term nature.
v3.10.0.1
Operating Leases
12 Months Ended
Dec. 31, 2018
Leases [Abstract]  
Operating Leases
Operating Leases

Rental expense for all non-cancelable operating leases was $18.9 million and $17.0 million in 2018 and 2017, respectively.

Future minimum rentals under operating leases are as follows (dollars in thousands):
2019
 
2020
 
2021
 
2022
 
2023
 
2024 and
thereafter
 
$15,407
 
$13,787
 
$10,339
 
$9,143
 
$8,551
 
$20,755
 
v3.10.0.1
Other Income (Expense)
12 Months Ended
Dec. 31, 2018
Other Income and Expenses [Abstract]  
Other Income (Expense)
Other Income (Expense)
Items included in other income (expense) in the Consolidated Statements of Operations are as follows:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Gain (loss) on currency transactions
 
$
(1,454
)
 
$
(2,788
)
(Loss) on mark-to-market natural gas contracts
 

 
(1,036
)
Pension and non-pension benefits, excluding service cost
 
(1,232
)
 
(1,791
)
Other non-operating income (expense)
 
(78
)
 
309

Other income (expense)
 
$
(2,764
)
 
$
(5,306
)
v3.10.0.1
Contingencies
12 Months Ended
Dec. 31, 2018
Commitments and Contingencies Disclosure [Abstract]  
Contingencies
Contingencies

Legal Proceedings

From time to time, we are identified as a "potentially responsible party" (PRP) under the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (CERCLA) and/or similar state laws that impose liability without regard to fault for costs and damages relating to the investigation and clean-up of contamination resulting from releases or threatened releases of hazardous substances. We are also subject to similar laws in some of the countries where our facilities are located. Our environmental, health, and safety department monitors compliance with applicable laws on a global basis.

On October 30, 2009, the United States Environmental Protection Agency ("U.S. EPA") designated Syracuse China Company ("Syracuse China"), our wholly-owned subsidiary, as one of eight PRPs with respect to the Lower Ley Creek sub-site of the Onondaga Lake Superfund site located near the ceramic dinnerware manufacturing facility that Syracuse China operated from 1995 to 2009 in Syracuse, New York. As a PRP, we may be required to pay a share of the costs of investigation and remediation of the Lower Ley Creek sub-site.

U.S. EPA has completed its Remedial Investigation (RI), Feasibility Study (FS), Risk Assessment (RA) and Proposed Remedial Action Plan (PRAP). U.S. EPA issued its Record of Decision (RoD) on September 30, 2014. The RoD indicates that U.S. EPA's estimate of the undiscounted cost of remediation ranges between approximately $17.0 million (assuming local disposal of contaminated sediments is feasible) and approximately $24.8 million (assuming local disposal is not feasible). However, the RoD acknowledges that the final cost of the cleanup will depend upon the actual volume of contaminated material, the degree to which it is contaminated, and where the excavated soil and sediment is properly disposed. In connection with the General Motors Corporation (“GM”) bankruptcy, U.S. EPA recovered $22.0 million from Motors Liquidation Company (MLC), the successor to GM. If the cleanup costs do not exceed the amount recovered by U.S. EPA from MLC, Syracuse China may suffer no loss. If and to the extent the cleanup costs exceed the amount recovered by U.S. EPA from MLC, it is not yet known whether other PRPs will be added to the current group of PRPs or how any excess costs may be allocated among the PRPs.

On March 3, 2015, the EPA issued to the PRPs notices and requests to negotiate performance of the remedial design (RD), work. The notices contemplate that any agreement to perform the RD work would be memorialized in an Administrative Order on Consent (AOC). On July 14, 2016, the PRPs entered into an AOC to perform the RD work. The EPA and PRPs anticipate that the RD work will produce additional information from which the feasibility of a local disposal option and the cleanup costs can be better determined. The EPA has declined to advance the GM Settlement Funds for the RD work, instead conditioning use of those funds to reimburse for the RD work upon the successful completion of the RD work and the finalization of an AOC to perform the remedial action work.

In connection with the above proceedings relating to the Lower Ley Creek sub-site, an estimated environmental liability of $0.7 million and a recoverable amount of $0.4 million in other assets have been recorded in the Consolidated Balance Sheet at December 31, 2018. An estimated liability of $0.8 million and a recoverable amount of $0.4 million in other assets have been recorded in the Consolidated Balance Sheet at December 31, 2017. Immaterial amounts have been recorded in cost of sales in the Consolidated Statements of Operations during 2018 and 2017. Although we cannot predict the ultimate outcome of these proceedings, we believe that these environmental proceedings will not have a material adverse impact on our financial condition, results of operations or liquidity.

On October 26, 2018, Revitalizing Auto Communities Environmental Response Trust (“RACER Trust”) and RACER Properties LLC filed a complaint in the United States District Court for the Northern District of New York against our wholly-owned subsidiaries Syracuse China Company and Libbey Glass Inc. (collectively, “SCC”) and more than 30 other companies. RACER Properties LLC is the owner of a former GM manufacturing facility located in Onondaga County, New York, and the RACER Trust, established pursuant to a 2010 Environmental Response Trust Consent Decree and Settlement Agreement approved by the U.S. Bankruptcy Court (the "2010 Trust Consent Decree"), was created to clean up and reposition for development certain properties owned by the former GM. The complaint alleges that SCC and the other defendants are jointly and severally liable, along with the plaintiffs, for the remediation of polychlorinated biphenyls (“PCBs”) and certain other hazardous substances in soils and sediments in Upper Ley Creek between Town Line Road and the Route 11 Bridge in Onondaga County, New York (the “Upper Ley Creek sub-site”). The Upper Ley Creek sub-site is located immediately upstream of the Lower Ley Creek sub-site.

Pursuant to a 2015 Consent Order with the New York State Department of Environmental Conservation (“NYSDEC”), the RACER Trust committed to undertake certain remedial work with respect to the Upper Ley Creek sub-site utilizing funds set aside for this purpose by the Bankruptcy Court.  According to the complaint, the NYSDEC has directed the RACER Trust to investigate a 22-acre area of land on the north side of Upper Ley Creek that is allegedly outside of the original geographic scope of the remedial work contemplated by the 2010 Trust Consent Decree. The complaint alleges that if additional remediation in that area becomes necessary, the remediation budget for the Upper Ley Creek sub-site could increase to as much as approximately $93.5 million.

If SCC is determined to be a PRP for the Upper Ley Creek sub-site, SCC may be required to pay a share of the costs of investigation and remediation of the Upper Ley Creek sub-site. SCC intends to defend this action vigorously and is currently evaluating its legal options. We cannot predict the ultimate outcome of this proceeding, and the amount that SCC may ultimately be required to pay is currently not reasonably estimable.

To the extent that Syracuse China has a liability with respect to the Lower Ley Creek sub-site, including without limitation costs to fund the RD work, or with respect to the Upper Ley Creek sub-site, and to the extent the liability arose prior to our 1995 acquisition of the Syracuse China assets, the liability would be subject to the indemnification provisions contained in the Asset Purchase Agreement between the Company and The Pfaltzgraff Co. (now known as TPC-York, Inc. ("TPC York")) and certain of its subsidiaries. Accordingly, Syracuse China has notified TPC York of its claims for indemnification under the Asset Purchase Agreement. Such costs will be shared up to an aggregate cost of $7.5 million. Of this amount, the Company already has incurred $0.4 million and TPC York remains liable for up to an additional $2.9 million. TPC York already has reimbursed the Company for $1.3 million.

On November 12, 2018, we received notice from the BKK Working Group that Libbey Glass Inc. is a PRP with respect to waste disposal at a former landfill (the "BKK Landfill") in West Covina, California. The BKK Working Group consists of approximately 50 entities who are cooperating with the California Department of Toxic Substances Control to investigate and remediate the BKK Landfill. The BKK Working Group alleges that Libbey Glass Inc., along with over 500 other entities, disposed of manifested waste at the landfill between 1963 and 1984 and therefore may be liable for a portion of the costs incurred. As of the date of this disclosure, Libbey Glass Inc. has not been named a defendant in the related lawsuit. Accordingly, at this time we are evaluating our legal options and have not formed an opinion that an unfavorable outcome is either probable or remote or the range of any potential loss.

Income Taxes

The Company and its subsidiaries are subject to examination by various countries' tax authorities. These examinations may lead to proposed or assessed adjustments to our taxes. Please refer to note 7, Income Taxes, for a detailed discussion on tax contingencies.
v3.10.0.1
Revenue Revenue
12 Months Ended
Dec. 31, 2018
Revenue from Contract with Customer [Abstract]  
Revenue
Revenue

Our primary source of revenue is the sale of glass tableware products manufactured within a Libbey facility as well as globally sourced tabletop products, including glassware, ceramicware, metalware and others. For the year ended December 31, 2018, bad debt expense was immaterial. Additionally, adjustments related to revenue recognized in prior periods was not material for 2018. There were no material contract assets, contract liabilities or deferred contract costs recorded on the Consolidated Balance Sheet as of December 31, 2018.

Disaggregation of Revenue:

The following table presents our net sales disaggregated by business channel:
Year ended December 31,
(dollars in thousands)
 
2018
Foodservice
 
$
327,550

Retail
 
256,646

Business-to-business
 
213,662

Consolidated
 
$
797,858



Each operating segment has revenues across all our business channels. Each channel has a different marketing strategy, customer base and product composition. Over 75 percent of each segment's revenue is derived from the following business channels: U.S. and Canada from foodservice and retail; Latin America from retail and business-to-business; and EMEA from retail and business-to-business.

Foodservice

The majority of our tabletop products sold in the foodservice channel are sold through a network of foodservice distributors. Our strong foodservice distributor network and in-house sales force provide broad coverage to a wide variety of foodservice establishments, including restaurants, bars, hotels and other travel and tourism venues. A high percentage of foodservice sales are replacements, driving a relatively predictable revenue stream.

Retail

Our primary customers in the retail channel include mass merchants, department stores, national retail chains, pure play e-commerce retailers or marketers, retail and wholesale distributors, value-oriented retailers, grocers and specialty housewares stores. We also operate outlet stores in the U.S., Mexico and Portugal.

Business-to-business

Our customers for products sold in the diverse business-to-business channel include beverage companies and custom decorators of glass tableware for promotional purposes and resale. In addition, sales of our products in this channel include products for candle and floral applications, craft industries and gourmet food-packing companies. Our Latin America region also sells blender jars and various OEM products in this channel.
v3.10.0.1
Segments and Geographic Information
12 Months Ended
Dec. 31, 2018
Segment Reporting [Abstract]  
Segments and Geographic Information
Segments and Geographic Information

Our reporting segments align with our regionally focused organizational structure, which we believe enables us to better serve customers across the globe. Under this structure, we report financial results for U.S. and Canada; Latin America; Europe, the Middle East and Africa (EMEA); and Other. Segment results are based primarily on the geographical destination of the sale. Our three reportable segments are defined below. Our operating segment that does not meet the criteria to be a reportable segment is disclosed as Other.

U.S. & Canada—includes sales of manufactured and sourced tableware having an end-market destination in the U.S and Canada, excluding glass products for Original Equipment Manufacturers (OEM), which remain in the Latin America segment.

Latin America—includes primarily sales of manufactured and sourced glass tableware having an end-market destination in Latin America, as well as glass products for OEMs regardless of end-market destination.

EMEA—includes primarily sales of manufactured and sourced glass tableware having an end-market destination in Europe, the Middle East and Africa.

Other—includes primarily sales of manufactured and sourced glass tableware having an end-market destination in Asia Pacific.

Our measure of profit for our reportable segments is Segment Earnings before Interest and Taxes (Segment EBIT) and excludes amounts related to certain items we consider not representative of ongoing operations as well as certain retained corporate costs and other allocations that are not considered by management when evaluating performance. Segment EBIT also includes an allocation of manufacturing costs for inventory produced at a Libbey facility that is located in a region other than the end market in which the inventory is sold. This allocation can fluctuate from year to year based on the relative demands for products produced in regions other than the end markets in which they are sold. We use Segment EBIT, along with net sales and selected cash flow information, to evaluate performance and to allocate resources. Segment EBIT for reportable segments includes an allocation of some corporate expenses based on the costs of services performed.

Certain activities not related to any particular reportable segment are reported within retained corporate costs. These costs include certain headquarter, administrative and facility costs, and other costs that are global in nature and are not allocable to the reporting segments.

The accounting policies of the reportable segments are the same as those described in note 2. We do not have any customers who represent 10 percent or more of total sales. Inter-segment sales are consummated at arm’s length and are reflected at end-market reporting below. It is impracticable to provide revenue by product categories.
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Net Sales:
 
 
 
 
U.S. & Canada
 
$
483,741

 
$
481,797

Latin America
 
148,091

 
144,322

EMEA
 
138,399

 
126,924

Other
 
27,627

 
28,785

Consolidated
 
$
797,858

 
$
781,828

 
 
 
 
 
Segment EBIT:
 
 
 
 
U.S. & Canada
 
$
36,805

 
$
48,044

Latin America
 
12,599

 
6,590

EMEA
 
7,219

 
1,321

Other
 
1,872

 
(3,838
)
Total Segment EBIT
 
$
58,495

 
$
52,117

 
 
 
 
 
Reconciliation of Segment EBIT to Net Loss:
 
 
 
 
Segment EBIT
 
$
58,495

 
$
52,117

Retained corporate costs
 
(31,878
)
 
(27,099
)
Goodwill impairment (note 4)
 

 
(79,700
)
Fees associated with strategic initiative (1)
 
(2,341
)
 

Reorganization charges
 

 
(2,488
)
Interest expense
 
(21,979
)
 
(20,400
)
Provision for income taxes
 
(10,253
)
 
(15,798
)
Net loss
 
$
(7,956
)
 
$
(93,368
)
 
 
 
 
 
Depreciation & Amortization:
 
 
 
 
U.S. & Canada
 
$
13,358

 
$
12,665

Latin America
 
17,457

 
18,576

EMEA
 
7,412

 
7,377

Other
 
4,431

 
5,088

Corporate
 
1,675

 
1,838

Consolidated
 
$
44,333

 
$
45,544

 
 
 
 
 
Capital Expenditures:
 
 
 
 
U.S. & Canada
 
$
22,203

 
$
10,056

Latin America
 
13,527

 
18,520

EMEA
 
5,051

 
17,158

Other
 
745

 
1,226

Corporate
 
3,561

 
668

Consolidated
 
$
45,087

 
$
47,628

______________________________
(1) Legal and professional fees associated with a strategic initiative that was terminated during the third quarter of 2018.
December 31,
(dollars in thousands)
 
2018
 
2017
Segment Assets(1):
 
 
 
 
U.S. & Canada
 
$
152,168

 
$
147,809

Latin America
 
64,166

 
63,093

EMEA
 
46,576

 
48,270

Other
 
13,170

 
18,711

Consolidated
 
$
276,080

 
$
277,883


______________________________
(1) Segment assets are defined as net accounts receivable plus net inventory.

Geographic data for the U.S., Mexico and Other countries for 2018 and 2017 is presented below. Net sales are based on the geographical destination of the sale. The long-lived assets include net property, plant and equipment.
(dollars in thousands)
 
United States
 
Mexico
 
All Other
 
Consolidated
2018
 
 
 
 
 
 
 
 
Net sales
 
$
480,868

 
$
101,656

 
$
215,334

 
$
797,858

Long-lived assets
 
$
99,135

 
$
86,775

 
$
79,050

 
$
264,960

 
 
 
 
 
 
 
 
 
2017
 
 
 
 
 
 
 
 
Net sales
 
$
479,018

 
$
93,370

 
$
209,440

 
$
781,828

Long-lived assets
 
$
89,838

 
$
87,836

 
$
88,001

 
$
265,675

v3.10.0.1
Subsequent Event
12 Months Ended
Dec. 31, 2018
Subsequent Events [Abstract]  
Subsequent Event
Subsequent Event

On February 18, 2019, the Board of Directors of Libbey approved a plan to pursue strategic alternatives with respect to our business in the People’s Republic of China (PRC), including the sale or closure of our manufacturing and distribution facility located in Langfang, PRC. The Board’s decision supports our ongoing efforts to optimize our manufacturing and supply network to deliver customer value and achieve our strategic objectives, including deployment of our capital to better drive shareholder value.
Due to the current level of uncertainty surrounding the ultimate course of action, we are unable, at this time, to estimate an amount or range of amounts of any potential asset impairment charges that we may incur or cash expenditures that may be required as a result of the outcome of the planned strategic review. At such time as we have determined an estimate or range of estimates of any cash and non-cash charges resulting from our planned strategic review, we will report the estimate or range of estimates as required pursuant to Item 2.05 of Form 8-K.
v3.10.0.1
Significant Accounting Policies (Policies)
12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]  
Basis of Presentation
Basis of Presentation The Consolidated Financial Statements include Libbey Inc. and its majority-owned subsidiaries (collectively, Libbey or the Company). Our fiscal year end is December 31st. The preparation of financial statements and related disclosures in conformity with United States generally accepted accounting principles (U.S. GAAP) requires management to make estimates and assumptions that affect the amounts reported in the Consolidated Financial Statements and accompanying notes. Actual results could differ materially from management’s estimates.
Revenue Recognition
Revenue Recognition Our customer contracts generally include a single performance obligation, the shipment of specified products, and are recognized at a point in time when control of the product has transferred to the customer. Transfer of control primarily takes place when risk of loss transfers in accordance with applicable shipping terms. Revenue is recognized based on the consideration specified in a contract with the customer, and is measured as the amount of consideration to which we expect to be entitled in exchange for transferring goods or providing services. When applicable, the transaction price includes estimates of variable consideration. We estimate provisions for rebates, customer incentives, allowances, returns and discounts based on the terms of the contracts, historical experience and anticipated customer purchases during the rebate period as sales occur. We continually evaluate the adequacy of these methods used, adjusting our estimates when the amount of consideration to which we expect to be entitled changes. Refund liabilities are included in accrued liabilities on the Consolidated Balance Sheet. Our payment terms are based on customary business practices and can vary by region and customer type, but are generally 0-90 days. Since the term between invoicing and expected payment is less than a year, we do not adjust the transaction price for the effects of a financing component. Taxes collected from customers are excluded from revenues and credited directly to obligations to the appropriate governmental agencies. For contracts with a duration of less than one year, we follow an allowable practical expedient and expense contract acquisition costs when incurred. We do not have any costs to obtain or fulfill a contract that are capitalized under ASC Topic 340-40.
Cost of Sales
Cost of Sales Cost of sales includes cost to manufacture and/or purchase products, warehouse, shipping and delivery costs and other costs. Shipping and delivery costs associated with outbound freight after control of a product has transferred to a customer are accounted for as a fulfillment cost and are included in cost of sales. In addition, reimbursement of certain pre-production costs is considered a development activity and is included in cost of sales.
Cash and Cash Equivalents
Cash and Cash Equivalents We consider all highly liquid investments purchased with an original or remaining maturity of less than three months at the date of purchase to be cash equivalents. Cash and cash equivalents are maintained with various financial institutions.
Accounts Receivable and Allowance for Doubtful Accounts
Accounts Receivable and Allowance for Doubtful Accounts We record trade receivables when revenue is recorded in accordance with our revenue recognition policy and relieve accounts receivable when payments are received from customers. The allowance for doubtful accounts is established through charges to the provision for bad debts. We regularly evaluate the adequacy of the allowance for doubtful accounts based on historical trends in collections and write-offs, our judgment as to the probability of collecting accounts and our evaluation of business risk. This evaluation is inherently subjective, as it requires estimates that are susceptible to revision as more information becomes available. Accounts are determined to be uncollectible when the debt is deemed to be worthless or only recoverable in part and are written off at that time through a charge against the allowance. Generally, we do not require collateral on our accounts receivable.
Inventory Valuation
Inventory Valuation Inventories are valued at the lower of cost or market. The last-in, first-out (LIFO) method is used for our U.S. glass inventories, which represented 34.9 percent and 32.2 percent of our total inventories in 2018 and 2017, respectively. The remaining inventories are valued using either the first-in, first-out (FIFO) or average cost method. For those inventories valued on the LIFO method, the excess of FIFO cost over LIFO, was $15.9 million and $13.4 million in 2018 and 2017, respectively. Cost includes the cost of materials, direct labor, in-bound freight and the applicable share of manufacturing overhead.
Goodwill and Intangible Assets
Purchased Intangible Assets and Goodwill Financial Accounting Standards Board Accounting Standards Codification™ ("FASB ASC") Topic 350 - "Intangibles-Goodwill and other" ("FASB ASC 350") requires goodwill and purchased indefinite life intangible assets to be reviewed for impairment annually, or more frequently if impairment indicators arise. Intangible assets with lives restricted by contractual, legal or other means will continue to be amortized over their useful lives. As of October 1st of each year, we update our separate impairment evaluations for both goodwill and indefinite life intangible assets.
Goodwill impairment tests are completed for each reporting unit on an annual basis, or more frequently in certain circumstances where impairment indicators arise. The inputs used for this analysis are considered Level 2 and Level 3 inputs in the fair value hierarchy.
Software
Software We account for software in accordance with FASB ASC 350. Software represents the costs of internally developed and/or purchased software for internal use. Capitalized costs include software packages, installation and internal labor costs of employees devoted to the software development project. Costs incurred to modify existing software, providing significant enhancements and creating additional functionality are also capitalized. Once a project is complete, we estimate the useful life of the internal-use software, generally amortizing these costs over a five-year period.
Property, Plant and Equipment
Property, Plant and Equipment Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the assets, generally 3 to 14 years for equipment and furnishings and 10 to 40 years for buildings and improvements. Maintenance and repairs are expensed as incurred.
Long-lived assets to be held and used are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Measurement of an impairment loss for long-lived assets that we expect to hold and use is based on the fair value of the asset. Long-lived assets to be disposed of are reported at the lower of carrying amount or fair value less costs to sell.
Self-Insurance Reserves
Self-Insurance Reserves Self-insurance reserves reflect the estimated liability for group health and workers' compensation claims not covered by third-party insurance. We accrue estimated losses based on actuarial models and assumptions as well as our historical loss experience. Workers' compensation accruals are recorded at the estimated ultimate payout amounts based on individual case estimates. In addition, we record estimates of incurred-but-not-reported losses based on actuarial models.
Pension and Non-pension Post-retirement Benefits
Pension and Non-pension Post-retirement Benefits We account for pension and non-pension post-retirement benefits in accordance with FASB ASC Topic 715 - "Compensation-Retirement Benefits" ("FASB ASC 715"). FASB ASC 715 requires recognition of the over-funded or under-funded status of pension and other post-retirement benefit plans on the balance sheet. Under FASB ASC 715, gains and losses, prior service costs and credits and any remaining prior transaction amounts that have not yet been recognized through net periodic benefit cost are recognized in accumulated other comprehensive loss, net of tax effect where appropriate. The service cost component of pension and post-retirement benefit costs is reported within income from operations while the non-service cost components of net benefit cost (interest costs, expected return on assets, amortization of prior service costs, settlement charges and other costs) are recorded in other income (expense).
The U.S. pension plans cover most hourly U.S.-based employees (excluding new hires at Shreveport after December 15, 2008 and at Toledo after September 30, 2010) and those salaried U.S.-based employees hired before January 1, 2006. Effective January 1, 2013, we ceased annual company contribution credits to the cash balance accounts in our Libbey U.S. Salaried Pension Plan and SERP. The non-U.S. pension plans cover the employees of our wholly-owned subsidiary in Mexico. For further discussion see note 8.
We also provide certain post-retirement healthcare and life insurance benefits covering substantially all U.S. and Canadian salaried employees hired before January 1, 2004 and a majority of our union hourly employees (excluding employees hired at Shreveport after December 15, 2008 and at Toledo after September 30, 2010). Employees are generally eligible for benefits upon reaching a certain age and completion of a specified number of years of creditable service. Benefits for most hourly retirees are determined by collective bargaining. Under a cross-indemnity agreement, Owens-Illinois, Inc. assumed liability for the non-pension, post-retirement benefit of our retirees who had retired as of June 24, 1993. Therefore, the benefits related to these retirees are not included in our liability.
Income Taxes
Income Taxes Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax attribute carry-forwards. Deferred income tax assets and liabilities are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. A valuation allowance is recorded when it is more likely than not that some portion or all of the deferred income tax assets will not be realized. Deferred income tax assets and liabilities are determined separately for each tax paying component in which we conduct our operations or otherwise incur taxable income or losses.
We currently have a valuation allowance in place on our deferred income tax assets in the Netherlands. We intend to maintain this allowance until a period of sustainable income is achieved and management concludes it is more likely than not that those deferred income tax assets will be realized.

A valuation allowance has been recorded against the deferred tax asset related to the limitation on the U.S. deduction for interest expense. Management concluded that it is not more likely than not that the disallowed interest expense for 2018 can be utilized in future years, due to IRS guidance that was issued in the fourth quarter of 2018. In addition, partial valuation allowances have been recorded against state operating loss carryforwards.

Deferred income tax assets and liabilities result from temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes and from income tax carryovers and credits.
Derivatives
Derivatives We account for derivatives in accordance with FASB ASC Topic 815 "Derivatives and Hedging" ("FASB ASC 815"). We hold derivative financial instruments to hedge certain of our interest rate risks associated with long-term debt and commodity price risks associated with forecasted future natural gas requirements. These derivatives qualify for hedge accounting since the hedges are highly effective, and we have designated and documented contemporaneously the hedging relationships involving these derivative instruments. While we intend to continue to meet the conditions for hedge accounting, if we do not believe that forecasted transactions would occur, the changes in the fair value of the derivatives used as hedges would be reflected in earnings. Cash flows from hedges of debt, interest rate swaps and natural gas contracts are classified as operating activities.
Environmental
Environmental In accordance with U.S. GAAP, we recognize environmental clean-up liabilities on an undiscounted basis when loss is probable and can be reasonably estimated. The cost of the clean-up is estimated by financial and legal specialists based on current law. Such estimates are based primarily upon the estimated cost of investigation and remediation required, and the likelihood that, where applicable, other potentially responsible parties will not be able to fulfill their commitments at the sites where the Company may be jointly and severally liable.
Foreign Currency Translation
Foreign Currency Translation Assets and liabilities of non-U.S. subsidiaries that operate in a local currency environment, where that local currency is the functional currency, are translated to U.S. dollars at exchange rates in effect at the balance sheet date, with the resulting translation adjustments directly recorded to a separate component of accumulated other comprehensive loss. Income and expense accounts are translated at average exchange rates during the year. The effect of exchange rate changes on transactions denominated in currencies other than the functional currency is recorded in other income (expense).
Stock-Based Compensation Expense
Stock-Based Compensation Expense We account for stock-based compensation expense in accordance with FASB ASC Topic 718, “Compensation — Stock Compensation,” ("FASB ASC 718") and FASB ASC Topic 505-50, “Equity-Based Payments to Non-Employees” ("FASB ASC 505-50"). Stock-based compensation cost is measured based on the fair value of the equity instruments issued. FASB ASC 718 and 505-50 apply to all of our outstanding, unvested, stock-based payment awards.
Treasury Stock
Treasury Stock Treasury Stock purchases are recorded at cost.
Research and Development
Research and Development Research and development costs are charged to selling, general and administrative expense in the Consolidated Statements of Operations when incurred.
Advertising Costs
Advertising Costs We expense all advertising costs as incurred.
Computation of Earnings (Loss) Per Share of Common Stock
Computation of Earnings (Loss) Per Share of Common Stock Basic earnings (loss) per share of common stock is computed using the weighted average number of shares of common stock outstanding during the period. Diluted earnings (loss) per share of common stock is computed using the weighted average number of shares of common stock outstanding plus the dilutive effects of equity-based compensation outstanding during the period using the treasury stock method.
Reclassifications
Reclassifications In connection with our adoption of ASU 2017-07, certain pension and non-pension expense amounts in the prior year's financial statements have been reclassified to conform with the current year presentation.
New Accounting Standards
New Accounting Standards - Adopted

Each change to U.S. GAAP is established by the Financial Accounting Standards Board (FASB) in the form of an accounting standards update (ASU) to the FASB’s Accounting Standards Codification (ASC). We consider the applicability and impact of all ASUs. ASUs not listed below were assessed and either were determined to be not applicable or are expected to have minimal impact on the Company’s Consolidated Financial Statements.

On January 1, 2018, we adopted ASU 2014-09, Revenue From Contracts With Customers and all related amendments, also known as ASC Topic 606, using the modified retrospective method. There was no cumulative effect adjustment required as a result of initially applying the new standard to existing contracts at adoption on January 1, 2018, and we expect the impact of adopting the new standard to be immaterial to our Consolidated Statement of Operations on an ongoing basis. Additionally, there was no impact to our Consolidated Balance Sheets. The enhanced disclosure requirements are included in note 18, Revenue. Results for reporting periods beginning on or after January 1, 2018, are presented under ASC Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with our previous accounting under ASC Topic 605.

On January 1, 2018, we adopted ASU 2017-07, Compensation - Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Post-retirement Benefit Cost. ASU 2017-07 improves the presentation of net periodic pension and post-retirement benefit costs. We retrospectively adopted the presentation requirement that the service cost component of pension and post-retirement benefit costs be reported within income from operations. The other components of net benefit cost (interest costs, expected return on assets, amortization of prior service costs, settlement charges and other costs) have been reclassified from cost of sales and selling, general and administrative expenses to other income (expense). On a prospective basis, only the service cost component will be capitalized in inventory or property, plant and equipment, when applicable. The effect of the retrospective presentation change related to the net periodic pension and non-pension benefit costs (credits) on our Consolidated Statement of Operations was as follows:
 
 
Year ended December 31, 2017
(dollars in thousands)
 
Previously Reported
 
Reclassification
 
As Revised
Cost of sales
 
$
634,185

 
$
(3,070
)
 
$
631,115

Selling, general and administrative expenses
 
124,926

 
1,279

 
126,205

Other income (expense)
 
(3,515
)
 
(1,791
)
 
(5,306
)


On January 1, 2018, we early adopted ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. ASU 2017-12 amended the hedge accounting rules to simplify the application of hedge accounting guidance and better portray the economic results of risk management activities in the financial statements. As of January 1, 2018, we recorded a $0.3 million reduction to our retained deficit and an increase in accumulated other comprehensive loss related to our natural gas swap contracts in Mexico that were previously not designated as hedging instruments. On a prospective basis, the change in fair value of these derivatives will be recognized in other comprehensive income (loss) rather than other income (expense) within the Consolidated Statement of Operations. Results and disclosures for reporting periods beginning on or after January 1, 2018, are presented under the new guidance within ASU 2017-12, while prior period amounts and disclosures are not adjusted and continue to be reported in accordance with our previous accounting. See note 12, Derivatives, for further details and disclosures.

On December 31, 2018, we early adopted ASU 2018-14, Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans. This update modifies the annual disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. ASU 2018-14 removes disclosures that are no longer deemed cost beneficial and adds the following disclosure requirements: 1) weighted-average interest crediting rates for cash balance plans; and 2) an explanation of the reasons for significant gains/losses related to changes in the benefit obligation during the period. The update also clarifies the requirements when entities aggregate disclosures for two or more plans. The new disclosure requirements were applied on a retrospective basis and are included in note 8, Pension, and note 9, Non-pension Post-retirement Benefits.

On December 31, 2018, we early adopted ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. This standard allows an optional reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. Consequently, the stranded tax effects resulting from the Tax Cuts and Jobs Act will be eliminated, resulting in the reporting of more useful information to financial statement users. ASU 2018-02 relates to only the reclassification of the income tax effects of the Tax Cuts and Jobs Act. The underlying guidance requiring that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. ASU 2018-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, with early application permitted. We elected not to reclassify the stranded tax effects related to the Tax Cuts and Jobs Act. The adoption did not have an impact on our Consolidated Financial Statements.

New Accounting Standards - Not Yet Adopted

In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which requires a lessee to recognize on the balance sheet right-of-use assets and corresponding liabilities for leases with lease terms of more than 12 months. Leases will be classified as either finance or operating leases, with classification affecting the pattern of expense recognition in the income statement. The new guidance also clarifies the definition of a lease and disclosure requirements. ASU 2016-02 is effective for us in the first quarter of 2019. ASU 2016-02 requires lessees and lessors to apply a modified retrospective transition approach for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The modified retrospective approach does not require any transition accounting for leases that expired before the earliest comparative period presented. In the third quarter of 2018, the FASB approved an optional transition method permitting an entity to apply the transition provisions of ASU 2016-02 at its adoption date instead of at the earliest comparative period presented in the financial statements. Since this optional adoption method eases the transition burden, we plan to elect it and record a cumulative effect adjustment as of January 1, 2019, without restatement of the previously reported comparative periods. We anticipate recording additional assets and liabilities on the balance sheet similar to the amount of the total present value of our future undiscounted minimum operating lease payments as shown in note 15 of these Consolidated Financial Statements. Additionally, the adoption of this ASU is not expected to have a material impact on our consolidated results of operations or cash flows. We have elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, permits us to carry forward our prior conclusions for lease identification and lease classification on existing contracts. We also made an accounting policy election to keep short-term leases off of the balance sheet for all classes of underlying assets. We continue to evaluate the related disclosures in the new lease guidance. We utilized a comprehensive approach to review our lease portfolio, selected a system for managing our leases, completed system implementation, updated our internal controls and conducted training on our new process.

In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. This standard introduces a new approach to estimating credit losses on certain types of financial instruments, including trade receivables, and modifies the impairment model for available-for-sale debt securities. ASU 2016-13 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early application permitted. We are currently assessing the impact that this standard will have on our Consolidated Financial Statements.

In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract. This standard aligns the requirements for capitalizing implementation costs in a cloud computing arrangement service contract with the requirements for capitalizing implementation costs incurred for internal-use software. The new guidance also prescribes the balance sheet, income statement and cash flow classification of the capitalized implementation costs and related amortization expense, and requires additional quantitative and qualitative disclosures. ASU 2018-15 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, with early application permitted. We are currently assessing the impact that this standard will have on our Consolidated Financial Statements.
Indefinite Life Intangible Assets
Indefinite life intangible assets are composed of trade names and trademarks that have an indefinite life and are therefore individually tested for impairment on an annual basis, or more frequently in certain circumstances where impairment indicators arise, in accordance with FASB ASC 350. Our measurement date for impairment testing is October 1st of each year. When performing our test for impairment of individual indefinite life intangible assets, we use a relief from royalty method to determine the fair market value that is compared to the carrying value of the indefinite life intangible asset. The inputs used for this analysis are considered Level 3 inputs in the fair value hierarchy.
Goodwill
When performing our test for impairment, we measure each reporting unit's fair value using a combination of "income" and "market" approaches on a shipping point basis. The income approach calculates the fair value of the reporting unit based on a discounted cash flow analysis, incorporating the weighted average cost of capital of a hypothetical third-party buyer. Significant estimates in the income approach include the following: discount rate; expected financial outlook and profitability of the reporting unit's business; and foreign currency impacts (Level 3 inputs). Discount rates use the weighted average cost of capital for companies within our peer group, adjusted for specific company risk premium factors. The market approach uses the "Guideline Company" method, which calculates the fair value of the reporting unit based on a comparison of the reporting unit to comparable publicly traded companies. Significant estimates in the market approach model include identifying similar companies with comparable business factors such as size, growth, profitability, risk and return on investment, assessing comparable multiples, as well as consideration of control premiums (Level 2 inputs). The blended approach assigns a 70 percent weighting to the income approach and 30 percent to the market approach (Level 3 input). The higher weighting is given to the income approach due to some limitations of publicly available peer information used in the market approach. The blended fair value of both approaches is then compared to the carrying value, and to the extent that fair value exceeds the carrying value, no impairment exists. However, to the extent the carrying value exceeds the fair value, an impairment is recorded.

Pension
We have pension plans covering the majority of our employees. Benefits generally are based on compensation and length of service for salaried employees and job grade and length of service for hourly employees. In addition, we have an unfunded supplemental employee retirement plan (SERP) that covers salaried U.S.-based employees of Libbey hired before January 1, 2006. The U.S. pension plans cover the salaried U.S.-based employees of Libbey hired before January 1, 2006, and most hourly U.S.-based employees (excluding employees hired at Shreveport after December 15, 2008, and at Toledo after September 30, 2010). Effective January 1, 2013, we ceased annual company contribution credits to the cash balance accounts in our Libbey U.S. Salaried Pension Plan and SERP. The non-U.S. pension plans cover the employees of our wholly owned subsidiary in Mexico and are unfunded.
The discount rate enables us to estimate the present value of expected future cash flows on the measurement date. The rate used reflects a rate of return on high-quality fixed income investments that match the duration of expected benefit payments at our December 31 measurement date. The discount rate at December 31 is used to measure the year-end benefit obligations and the earnings effects for the subsequent year. A higher discount rate decreases the present value of benefit obligations and decreases pension expense.

To determine the expected long-term rate of return on plan assets for our funded plans, we consider the current and expected asset allocations, as well as historical and expected returns on various categories of plan assets. At December 31, 2018, the expected long-term rate of return on plan assets is 6.50 percent, which will be used to measure the earnings effects for 2019.

The cash balance interest crediting rate, which applies only to the U.S. Salaried Plan, enables us to calculate the benefit obligation through projecting future interest credits on cash balance accounts between the measurement date and a participant’s assumed retirement date. The rate adjusts annually and is the 30-year Treasury rate in effect as of October in the preceding plan year, subject to a minimum of 5 percent. A lower cash balance interest crediting rate assumption decreases the benefit obligation and decreases pension expense.

Future benefits are assumed to increase in a manner consistent with past experience of the plans except for the Libbey U.S. Salaried Pension Plan and SERP as discussed above, which, to the extent benefits are based on compensation, includes assumed compensation increases as presented above. Amortization included in net pension expense is based on the average remaining service of employees.

We account for our defined benefit pension plans on an expense basis that reflects actuarial funding methods. The actuarial valuations require significant estimates and assumptions to be made by management, primarily with respect to the discount rate and expected long-term return on plan assets. These assumptions are all susceptible to changes in market conditions. The discount rate is based on a selected settlement portfolio from a universe of high quality bonds. In determining the expected long-term rate of return on plan assets, we consider historical market and portfolio rates of return, asset allocations and expectations of future rates of return. We evaluate these critical assumptions on our annual measurement date of December 31st. Other assumptions involving demographic factors such as retirement age, mortality and turnover are evaluated periodically and are updated to reflect our experience. Actual results in any given year often will differ from actuarial assumptions because of demographic, economic and other factors.
Our investment strategy is to control and manage investment risk through diversification across asset classes and investment styles, within established target asset allocation ranges. The investment risk of the assets is limited by appropriate diversification both within and between asset classes. Assets are diversified among a mix of traditional investments in equity and fixed income instruments, as well as alternative investments including real estate and hedge funds. It would be anticipated that a modest allocation to short-term investments would exist within the plans, since each investment manager is likely to hold some short-term investments in the portfolio with the goal of ensuring that sufficient liquidity will be available to meet expected cash flow requirements.

Our investment valuation policy is to state the investments at fair value. Primarily all investments are valued at their respective net asset value (NAV) as a practical expedient and calculated by the Trustee. The real estate, equity securities and fixed income investments are held in a Group Trust which is valued at the unit prices established by the Trustee and are valued using NAV as a practical expedient. Underlying equity securities (including large and small cap domestic and international equities), for which market quotations are readily available, are valued at the last reported readily available sales price on their principal exchange on the valuation date or official close for certain markets. Fixed income investments are valued on a basis of valuations furnished by a trustee-approved pricing service, which determines valuations for normal institutional-size trading units of such securities which are generally recognized at fair value as determined in good faith by the Trustee. The fair value of investments in real estate funds is based on valuation of the fund as determined by periodic appraisals of the underlying investments owned by the respective fund. Investments in registered investment companies are valued at quoted market prices. Collective pooled funds, if any, are recorded using NAV practical expedients. Short-term investments are valued at their respective NAV and have no redemption restrictions. The hedge fund investments using NAV as a practical expedient are valued by using estimated month-end NAV and performance numbers provided by the fund administrator. The Plan is required to provide a month’s advance written notice to liquidate its entire share in the Group Trust. Certain investments in the hedge funds can only be liquidated on either a quarterly or semi-annual basis, require advance notification and are subject to audit holdback provisions.

Non-pension Post-retirement Benefits
We provide certain retiree healthcare and life insurance benefits covering our U.S. and Canadian salaried employees hired before January 1, 2004 and a majority of our union hourly employees (excluding employees hired at Shreveport after December 15, 2008, and at Toledo after September 30, 2010). Employees are generally eligible for benefits upon retirement and completion of a specified number of years of creditable service. Benefits for most hourly retirees are determined by collective bargaining. The U.S. non-pension, post-retirement plans cover the hourly and salaried U.S.-based employees of Libbey (excluding those mentioned above). The non-U.S., non-pension, post-retirement plans cover the retirees and active employees of Libbey who are located in Canada. The post-retirement benefit plans are unfunded.

Fair Value
The fair values of our commodity futures natural gas contracts are determined using observable market inputs. The fair value of our interest rate swaps are based on the market standard methodology of netting the discounted expected future variable cash receipts and the discounted future fixed cash payments. The variable cash receipts are based on an expectation of future interest rates derived from observed market interest rate forward curves. Since these inputs are observable in active markets over the terms that the instruments are held, the derivatives are classified as Level 2 in the hierarchy. We also evaluate Company and counterparty risk in determining fair values. The commodity futures natural gas contracts and interest rate swaps are hedges of either recorded assets or liabilities or anticipated transactions. Changes in values of the underlying hedged assets and liabilities or anticipated transactions are not reflected in the above table.
Segment Reporting
Our measure of profit for our reportable segments is Segment Earnings before Interest and Taxes (Segment EBIT) and excludes amounts related to certain items we consider not representative of ongoing operations as well as certain retained corporate costs and other allocations that are not considered by management when evaluating performance. Segment EBIT also includes an allocation of manufacturing costs for inventory produced at a Libbey facility that is located in a region other than the end market in which the inventory is sold. This allocation can fluctuate from year to year based on the relative demands for products produced in regions other than the end markets in which they are sold. We use Segment EBIT, along with net sales and selected cash flow information, to evaluate performance and to allocate resources. Segment EBIT for reportable segments includes an allocation of some corporate expenses based on the costs of services performed.

Certain activities not related to any particular reportable segment are reported within retained corporate costs. These costs include certain headquarter, administrative and facility costs, and other costs that are global in nature and are not allocable to the reporting segments.

v3.10.0.1
Significant Accounting Policies (Tables)
12 Months Ended
Dec. 31, 2018
Accounting Policies [Abstract]  
Schedule of New Accounting Pronouncements and Changes in Accounting Principles [Table Text Block]
The effect of the retrospective presentation change related to the net periodic pension and non-pension benefit costs (credits) on our Consolidated Statement of Operations was as follows:
 
 
Year ended December 31, 2017
(dollars in thousands)
 
Previously Reported
 
Reclassification
 
As Revised
Cost of sales
 
$
634,185

 
$
(3,070
)
 
$
631,115

Selling, general and administrative expenses
 
124,926

 
1,279

 
126,205

Other income (expense)
 
(3,515
)
 
(1,791
)
 
(5,306
)
v3.10.0.1
Balance Sheet Details (Tables)
12 Months Ended
Dec. 31, 2018
Balance Sheet Details [Abstract]  
Schedule of Other Assets and Other Liabilities [Table Text Block]
The following table provides detail of selected balance sheet items:
December 31,
(dollars in thousands)
 
2018
 
2017
Accounts receivable:
 
 
 
 
Trade receivables
 
$
82,521

 
$
88,786

Other receivables
 
1,456

 
1,211

Total accounts receivable, less allowances of $8,538 and $9,051
 
$
83,977

 
$
89,997

 
 
 
 
 
Inventories:
 
 
 
 
Finished goods
 
$
175,074

 
$
170,774

Work in process
 
1,363

 
1,485

Raw materials
 
4,026

 
3,906

Repair parts
 
10,116

 
10,240

Operating supplies
 
1,524

 
1,481

Total inventories, less loss provisions of $9,453 and $10,308
 
$
192,103

 
$
187,886

 
 
 
 
 
Accrued liabilities:
 
 
 
 
Accrued incentives
 
$
19,359

 
$
19,728

Other accrued liabilities
 
24,369

 
24,192

Total accrued liabilities
 
$
43,728

 
$
43,920

 
 
 
 
 
v3.10.0.1
Purchased Intangible Assets and Goodwill (Tables)
12 Months Ended
Dec. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]  
Changes in Purchased Intangibles
Changes in purchased intangibles balances are as follows:
(dollars in thousands)
 
2018
 
2017
Beginning balance
 
$
14,565

 
$
15,225

Amortization
 
(1,049
)
 
(1,073
)
Foreign currency impact
 
(131
)
 
413

Ending balance
 
$
13,385

 
$
14,565

Composition of Purchased Intangible Assets
Purchased intangible assets are composed of the following:
December 31,
(dollars in thousands)
 
2018
 
2017
Indefinite life intangible assets
 
$
12,035

 
$
12,120

Definite life intangible assets, net of accumulated amortization of $20,006 and $19,093
 
1,350

 
2,445

Total
 
$
13,385

 
$
14,565

Future Estimated Amortization Expense of Definite Life Intangible Assets
Future estimated amortization expense of definite life intangible assets is as follows (dollars in thousands):
2019
2020
2021
2022
2023
 
$564
$157
$157
$157
$157
 
Changes in Goodwill
Changes in goodwill balances are as follows:
 
 
2018
 
2017
(dollars in thousands)
 
U.S. & Canada
 
Latin America
 
Total
 
U.S. & Canada
 
Latin America
 
Total
Beginning balance:
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
 
$
43,872

 
$
125,681

 
$
169,553

 
$
43,872

 
$
125,681

 
$
169,553

Accumulated impairment losses
 
(5,441
)
 
(79,700
)
 
(85,141
)
 
(5,441
)
 

 
(5,441
)
Net beginning balance
 
38,431

 
45,981

 
84,412

 
38,431

 
125,681

 
164,112

Impairment
 

 

 

 

 
(79,700
)
 
(79,700
)
Ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
 
43,872

 
125,681

 
169,553

 
43,872

 
125,681

 
169,553

Accumulated impairment losses
 
(5,441
)
 
(79,700
)
 
(85,141
)
 
(5,441
)
 
(79,700
)
 
(85,141
)
Net ending balance
 
$
38,431

 
$
45,981

 
$
84,412

 
$
38,431

 
$
45,981

 
$
84,412

v3.10.0.1
Property, Plant and Equipment (Tables)
12 Months Ended
Dec. 31, 2018
Property, Plant and Equipment [Abstract]  
Property, Plant and Equipment
Property, plant and equipment consists of the following:
December 31,
(dollars in thousands)
 
2018
 
2017
Land
 
$
20,374

 
$
20,859

Buildings
 
109,470

 
107,659

Machinery and equipment
 
531,838

 
505,978

Furniture and fixtures
 
15,668

 
15,391

Software
 
25,218

 
24,464

Construction in progress
 
24,945

 
12,933

Gross property, plant and equipment
 
727,513

 
687,284

Less accumulated depreciation
 
462,553

 
421,609

Net property, plant and equipment
 
$
264,960

 
$
265,675

v3.10.0.1
Borrowings (Tables)
12 Months Ended
Dec. 31, 2018
Debt Disclosure [Abstract]  
Schedule of Borrowings
Borrowings consist of the following:
December 31,
(dollars in thousands)
 
Interest Rate
 
Maturity Date
 
2018
 
2017
Borrowings under ABL Facility
 
floating
(2) 
December 7, 2022 (1)
 
$
19,868

 
$

Term Loan B
 
floating
(3) 
April 9, 2021
 
380,200

 
384,600

AICEP Loan
 
0.00%
 
July 30, 2018
 

 
3,085

Total borrowings
 
400,068

 
387,685

Less — unamortized discount and finance fees
 
2,368

 
3,295

Total borrowings — net
 
397,700

 
384,390

Less — long term debt due within one year
 
4,400

 
7,485

Total long-term portion of borrowings — net
 
$
393,300

 
$
376,905

___________________________
(1) Maturity date will be January 9, 2021, if Term Loan B is not refinanced by this date.
(2) The interest rate for the ABL Facility is comprised of several different borrowings at various rates. The weighted average rate of all ABL Facility borrowings was 1.94 percent at December 31, 2018.
(3) See interest rate swaps under "Term Loan B" below and note 12.
Schedule of Annual Maturities of Borrowings
Annual maturities for all of our total borrowings for the next five years and beyond are as follows:
2019
2020
2021
2022
2023
Thereafter
 
$4,400
$4,400
$391,268
$—
$—
$—
 
v3.10.0.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Components of Income (Loss) before Income Taxes, Domestic and Foreign
The provisions for income taxes were calculated based on the following components of income (loss) before income taxes:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
United States
 
$
(12,682
)
 
$
(65,224
)
Non-U.S. 
 
14,979

 
(12,346
)
Total income (loss) before income taxes
 
$
2,297

 
$
(77,570
)
Current and Deferred Provisions (Benefit) for Income Taxes
The current and deferred provisions (benefit) for income taxes were:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Current:
 
 
 
 
U.S. federal
 
$
1,945

 
$
(183
)
Non-U.S. 
 
6,780

 
4,517

U.S. state and local
 
694

 
834

Total current income tax provision
 
9,419

 
5,168

 
 
 
 
 
Deferred:
 
 
 
 
U.S. federal
 
687

 
9,950

Non-U.S. 
 
310

 
1,190

U.S. state and local
 
(163
)
 
(510
)
Total deferred income tax provision
 
834

 
10,630

 
 
 
 
 
Total:
 
 
 
 
U.S. federal
 
2,632

 
9,767

Non-U.S. 
 
7,090

 
5,707

U.S. state and local
 
531

 
324

Total income tax provision
 
$
10,253

 
$
15,798

Reconciliation of Statutory to Effective Income Tax Rate
Reconciliation from the statutory U.S. federal income tax rate to the consolidated effective income tax rate was as follows:
Year ended December 31,
 
2018
 
2017
Statutory U.S. federal income tax rate
 
21.0

%
 
35.0

%
Increase (decrease) in rate due to:
 
 
 
 
 
 
   Non-U.S. income tax differential
 
19.9

 
 
1.2

 
   U.S. state and local income taxes, net of related U.S. federal income taxes
 
22.6

 
 
0.1

 
   U.S. federal credits
 
(9.8
)
 
 
0.3

 
   Permanent adjustments
 
27.7

 
 
0.6

 
   Foreign withholding taxes
 
75.9

 
 
(2.0
)
 
   Valuation allowances
 
143.5

 
 
(4.4
)
 
   Unrecognized tax benefits
 
48.4

 
 
(3.9
)
 
   Impact of foreign exchange
 
71.6

 
 
(1.6
)
 
   Impact of legislative changes
 

 
 
(8.7
)
 
   Goodwill impairment
 

 
 
(36.0
)
 
   Other
 
25.6

 
 
(1.0
)
 
Consolidated effective income tax rate
 
446.4

%
 
(20.4
)
%
Components of Deferred Income Tax Assets and Liabilities
The significant components of our deferred income tax assets and liabilities are as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Deferred income tax assets:
 
 
 
 
Pension
 
$
9,722

 
$
8,108

Non-pension post-retirement benefits
 
11,712

 
13,385

Other accrued liabilities
 
16,477

 
13,213

Receivables
 
1,994

 
2,118

Net operating loss and charitable contribution carryforwards
 
14,143

(a)
16,599

Tax credits
 
13,373

(b)
13,288

Total deferred income tax assets
 
67,421

(c)
66,711

Valuation allowances
 
(22,068
)
 
(19,076
)
Net deferred income tax assets
 
45,353

 
47,635

 
 
 
 
 
Deferred income tax liabilities:
 
 
 
 
Property, plant and equipment
 
15,332

 
18,246

Inventories
 
1,699

 
1,639

Intangibles and other
 
4,987

 
4,708

Total deferred income tax liabilities
 
22,018

 
24,593

Net deferred income tax asset
 
$
23,335

 
$
23,042


___________________________
(a)
At December 31, 2018, U.S. operating loss carryforwards of $3.9 million expire between 2019 and 2038, and non-U.S. operating loss carryforwards of $10.2 million expire between 2021 and 2027.
(b)
At December 31, 2018, U.S. general business credit carryforwards of $3.0 million expire between 2024 and 2038. U.S. AMT credits of $1.3 million and the foreign credits of $9.0 million do not expire.
(c)
In order to fully realize our U.S. deferred tax assets as of December 31, 2018, the Company needs to generate approximately $151.9 million of future taxable income.

Change in Unrecognized Tax Benefits
A reconciliation of the beginning and ending gross unrecognized tax benefits, excluding interest and penalties, is as follows:
(dollars in thousands)
 
2018
 
2017
Beginning balance
 
$
5,007

 
$
3,521

Additions based on tax positions related to the current year
 
438

 
435

Additions for tax positions of prior years
 
9

 
1,735

Reductions for tax positions of prior years
 
(1,698
)
 
(468
)
Changes due to lapse of statute of limitations
 
513

 
279

Reductions due to settlements with tax authorities
 
(57
)
 
(495
)
Ending balance
 
$
4,212

 
$
5,007

Other Unrecognized Tax Benefits Disclosures
We recognize interest and penalties related to unrecognized tax benefits in the provision for income taxes. Other disclosures relating to unrecognized tax benefits are as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate
 
$
5,283

 
$
4,107

Interest, net of tax benefit, accrued in the Consolidated Balance Sheets
 
$
1,027

 
$
572

Penalties, accrued in the Consolidated Balance Sheets
 
$
43

 
$
38

Interest expense recognized in the Consolidated Statements of Operations
 
$
523

 
$
506

Penalties expense (benefit) recognized in the Consolidated Statements of Operations
 
$
5

 
$
(67
)
Tax Years Subject to Income Tax Examination
As of December 31, 2018, the tax years that remained subject to examination by major tax jurisdictions were as follows:
Jurisdiction
 
Open Years
Canada
 
2015
2018
China
 
2008
2018
Mexico (excluding 2011 which is closed)
 
2010
2018
Netherlands
 
2016
2018
Portugal
 
2008
2018
United States (excluding 2013 which is closed)
 
2011
2018
v3.10.0.1
Pension (Tables) - Pension Plan
12 Months Ended
Dec. 31, 2018
Defined Benefit Plan Disclosure [Line Items]  
Components of Net Benefit Costs
The components of our net pension expense, including the SERP, are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Service cost (benefits earned during the period)
 
$
4,009

 
$
3,916

 
$
1,142

 
$
1,085

 
$
5,151

 
$
5,001

Interest cost on projected benefit obligation
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Expected return on plan assets
 
(22,658
)
 
(22,479
)
 

 

 
(22,658
)
 
(22,479
)
Amortization of unrecognized:
 
 
 
 
 
 
 
 
 
 
 
 
Prior service cost (credit)
 
1

 
236

 
(201
)
 
(204
)
 
(200
)
 
32

Actuarial loss
 
6,472

 
5,232

 
622

 
594

 
7,094

 
5,826

Settlement charge
 

 
245

 
92

 

 
92

 
245

Pension expense
 
$
439

 
$
937

 
$
4,639

 
$
4,224

 
$
5,078

 
$
5,161

Schedule of Assumptions Used
The assumptions used to determine net periodic pension expense for each year and the benefit obligations at December 31st were as follows:
 
 
U.S. Plans
 
Non-U.S. Plans
 
 
2018
 
2017
 
2018
 
2017
Net periodic pension expense:
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
3.64%
to
3.69%
 
4.18%
to
4.23%
 
9.40%
 
9.30%
Expected long-term rate of return on plan assets
 
7.00%
 
7.00%
 
Not applicable
 
Not applicable
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable
Benefit obligations:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
 
4.31%
to
4.33%
 
3.64%
to
3.69%
 
10.60%
 
9.40%
Rate of compensation increase
 
Not applicable
 
Not applicable
 
4.30%
 
4.30%
Cash balance interest crediting rate
 
5.50%
 
5.50%
 
Not applicable
 
Not applicable
Schedule of Changes in Projected Benefit Obligation and Fair Value of Plan Assets
The changes in the projected benefit obligations and fair value of plan assets are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Change in projected benefit obligation:
 
 
 
 
 
 
 
 
 
 
 
 
Projected benefit obligation, beginning of year
 
$
354,053

 
$
336,648

 
$
31,967

 
$
28,161

 
$
386,020

 
$
364,809

Service cost
 
4,009

 
3,916

 
1,142

 
1,085

 
5,151

 
5,001

Interest cost
 
12,615

 
13,787

 
2,984

 
2,749

 
15,599

 
16,536

Exchange rate fluctuations
 

 

 
138

 
1,214

 
138

 
1,214

Actuarial (gain) loss
 
(28,481
)
 
22,991

 
(3,056
)
 
1,409

 
(31,537
)
 
24,400

Settlements paid
 

 
(281
)
 

 

 

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Projected benefit obligation, end of year
 
$
322,594

 
$
354,053

 
$
29,978

 
$
31,967

 
$
352,572

 
$
386,020

 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of plan assets:
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets, beginning of year
 
$
343,219

 
$
318,414

 
$

 
$

 
$
343,219

 
$
318,414

Actual return on plan assets
 
(19,533
)
 
47,595

 

 

 
(19,533
)
 
47,595

Employer contributions
 

 
499

 
3,197

 
2,651

 
3,197

 
3,150

Settlements paid
 

 
(281
)
 

 

 

 
(281
)
Benefits paid
 
(19,602
)
 
(23,008
)
 
(3,197
)
 
(2,651
)
 
(22,799
)
 
(25,659
)
Fair value of plan assets, end of year
 
$
304,084

 
$
343,219

 
$

 
$

 
$
304,084

 
$
343,219

 
 
 
 
 
 
 
 
 
 
 
 
 
Funded ratio
 
94.3
%
 
96.9
%
 
%
 
%
 
86.2
%
 
88.9
%
Funded status and net accrued pension benefit cost
 
$
(18,510
)
 
$
(10,834
)
 
$
(29,978
)
 
$
(31,967
)
 
$
(48,488
)
 
$
(42,801
)
Net Accrued Benefit Liability
The current portion of the pension liability reflects the amount of expected benefit payments that are greater than the plan assets on a plan-by-plan basis. The net accrued pension benefit liability at December 31st represents underfunded (including unfunded) pension benefits, and is included in the Consolidated Balance Sheets as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Pension asset
 
$

 
$
2,939

Pension liability (current portion)
 
(3,282
)
 
(2,185
)
Pension liability
 
(45,206
)
 
(43,555
)
Net accrued pension liability
 
$
(48,488
)
 
$
(42,801
)
Amounts Recognized in Accumulated Other Comprehensive Loss
The cumulative pretax amounts recognized in accumulated other comprehensive loss (AOCI) as of December 31 are as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Net actuarial loss
 
$
105,468

 
$
98,228

 
$
8,732

 
$
12,378

 
$
114,200

 
$
110,606

Prior service cost (credit)
 

 
1

 
(2,447
)
 
(2,636
)
 
(2,447
)
 
(2,635
)
Total cost in AOCI
 
$
105,468

 
$
98,229

 
$
6,285

 
$
9,742

 
$
111,753

 
$
107,971

Estimated Contributions to Defined Benefit Plan
Estimated contributions for 2019, as well as, contributions made in 2018 and 2017 to the pension plans are as follows:
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
Estimated contributions in 2019
 
$
138

 
$
3,310

 
$
3,448

Contributions made in 2018
 
$

 
$
3,197

 
$
3,197

Contributions made in 2017
 
$
499

 
$
2,651

 
$
3,150

Anticipated Benefit Payments
Pension benefit payment amounts are anticipated to be paid from the plans (including the SERP) as follows:
Year
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
2019
 
$
19,836

 
$
3,310

 
$
23,146

2020
 
$
20,046

 
$
2,220

 
$
22,266

2021
 
$
20,211

 
$
2,536

 
$
22,747

2022
 
$
20,465

 
$
2,549

 
$
23,014

2023
 
$
20,750

 
$
2,540

 
$
23,290

2024-2028
 
$
103,988

 
$
14,431

 
$
118,419

Projected and Accumulated Benefit Obligations in Excess of Plan Assets
The projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension plans with a projected and accumulated benefit obligation in excess of plan assets at December 31, 2018 and 2017 were as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Projected benefit obligation
 
$
322,594

 
$
268,887

 
$
29,978

 
$
31,967

 
$
352,572

 
$
300,854

Accumulated benefit obligation
 
$
322,594

 
$
268,887

 
$
26,717

 
$
27,055

 
$
349,311

 
$
295,942

Fair value of plan assets
 
$
304,084

 
$
255,115

 
$

 
$

 
$
304,084

 
$
255,115

Plan Asset Fair Value Measurement
Investments measured at NAV as a practical expedient for fair value have been excluded from the fair value hierarchy, in accordance with U.S. GAAP. The table below presents our U.S. pension plan assets at fair value.
December 31,
(dollars in thousands)
 
Measured at NAV as a practical expedient
 
Target Allocation
 
2018
 
2017
 
2019
Short-term investments
 
$
9,796

 
$
8,061

 
3
%
Real estate
 
6,198

 
16,390

 
2
%
Equity securities
 
108,952

 
156,434

 
40
%
Debt securities
 
146,080

 
125,671

 
45
%
Hedge funds
 
33,058

 
36,663

 
10
%
Total
 
$
304,084

 
$
343,219

 
100
%


v3.10.0.1
Non-pension Post-retirement Benefits (Tables)
12 Months Ended
Dec. 31, 2018
Defined Benefit Plan Disclosure [Line Items]  
Components of Nonpension Postretirement Benefit Obligation
The components of our non-pension, post-retirement, benefit obligation are as follows:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Change in accumulated non-pension post-retirement benefit obligation:
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation, beginning of year
 
$
52,648

 
$
58,921

 
$
1,295

 
$
1,344

 
$
53,943

 
$
60,265

Service cost
 
604

 
631

 
1

 
1

 
605

 
632

Interest cost
 
1,822

 
2,104

 
38

 
44

 
1,860

 
2,148

Plan participants' contributions
 
512

 
525

 

 

 
512

 
525

Actuarial gain
 
(5,305
)
 
(5,483
)
 
(106
)
 
(108
)
 
(5,411
)
 
(5,591
)
Exchange rate fluctuations
 

 

 
(96
)
 
90

 
(96
)
 
90

Benefits paid
 
(4,382
)
 
(4,050
)
 
(65
)
 
(76
)
 
(4,447
)
 
(4,126
)
Benefit obligation, end of year
 
$
45,899

 
$
52,648

 
$
1,067

 
$
1,295

 
$
46,966

 
$
53,943

 
 
 
 
 
 
 
 
 
 
 
 
 
Funded status and accrued benefit cost
 
$
(45,899
)
 
$
(52,648
)
 
$
(1,067
)
 
$
(1,295
)
 
$
(46,966
)
 
$
(53,943
)
Non-pension Post-retirement Benefit Plans  
Defined Benefit Plan Disclosure [Line Items]  
Components of Net Benefit Costs
The provision for our non-pension, post-retirement, benefit expense consists of the following:
Year ended December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Service cost
 
$
604

 
$
631

 
$
1

 
$
1

 
$
605

 
$
632

Interest cost on projected benefit obligation
 
1,822

 
2,104

 
38

 
44

 
1,860

 
2,148

Amortization of unrecognized:
 
 
 
 
 
 
 
 
 
 
 
 
Prior service credit
 
(282
)
 
(201
)
 

 

 
(282
)
 
(201
)
Actuarial gain
 
(209
)
 
(257
)
 
(64
)
 
(59
)
 
(273
)
 
(316
)
Non-pension post-retirement benefit expense (income)
 
$
1,935

 
$
2,277

 
$
(25
)
 
$
(14
)
 
$
1,910

 
$
2,263

Schedule of Assumptions Used
The significant assumptions used for each year and at December 31st were as follows:
 
U.S. Plans
 
Non-U.S. Plans
 
2018
 
2017
 
2018
 
2017
Net periodic benefit expense
 
 
 
 
 
 
 
Discount rate
3.60
%
 
4.05
%
 
3.26
%
 
3.48
%
Non-pension post-retirement benefit obligation
 
 
 
 
 
 
 
Discount rate
4.27
%
 
3.60
%
 
3.52
%
 
3.26
%
Weighted average assumed healthcare cost trend rates
 
 
 
 
 
 
 
Healthcare cost trend rate assumed for next year
6.25
%
 
6.50
%
 
6.25
%
 
6.50
%
Ultimate healthcare trend rate
5.00
%
 
5.00
%
 
5.00
%
 
5.00
%
Year the ultimate healthcare trend rate is reached
2024

 
2024

 
2024

 
2024

Net Accrued Benefit Liability
The total accrued non-pension, post-retirement, benefits liability at December 31st represents unfunded post-retirement benefits and is included in the Consolidated Balance Sheets as follows:
December 31,
(dollars in thousands)
 
2018
 
2017
Non-pension post-retirement benefits (current portion)
 
$
3,951

 
$
4,185

Non-pension post-retirement benefits
 
43,015

 
49,758

Total non-pension post-retirement benefits liability
 
$
46,966

 
$
53,943

Amounts Recognized in Accumulated Other Comprehensive Loss
The cumulative pretax amounts recognized in AOCI as of December 31 are as follows:
December 31,
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
 
2018
 
2017
 
2018
 
2017
 
2018
 
2017
Net actuarial gain
 
$
(5,176
)
 
$
(80
)
 
$
(806
)
 
$
(832
)
 
$
(5,982
)
 
$
(912
)
Prior service credit
 
(980
)
 
(1,262
)
 

 

 
(980
)
 
(1,262
)
Total credit in AOCI
 
$
(6,156
)
 
$
(1,342
)
 
$
(806
)
 
$
(832
)
 
$
(6,962
)
 
$
(2,174
)
Anticipated Benefit Payments
Non-pension, post-retirement, benefit payments, net of estimated future Medicare Part D subsidy payments and future retiree contributions, are anticipated to be paid as follows:
Fiscal Year
(dollars in thousands)
 
U.S. Plans
 
Non-U.S. Plans
 
Total
2019
 
$
3,888

 
$
146

 
$
4,034

2020
 
$
3,879

 
$
141

 
$
4,020

2021
 
$
3,761

 
$
130

 
$
3,891

2022
 
$
3,746

 
$
120

 
$
3,866

2023
 
$
3,593

 
$
108

 
$
3,701

2024-2028
 
$
15,739

 
$
254

 
$
15,993

v3.10.0.1
Net Loss per Share of Common Stock (Tables)
12 Months Ended
Dec. 31, 2018
Earnings Per Share [Abstract]  
Computation of Basic and Diluted Earnings Per Share
The following table sets forth the computation of basic and diluted loss per share:
Year ended December 31,
(dollars in thousands, except earnings per share)
 
2018
 
2017
Numerator for loss per share:
 
 
 
 
Net loss that is available to common shareholders
 
$
(7,956
)
 
$
(93,368
)
 
 
 

 
 

Denominator for basic loss per share:
 
 
 
 
Weighted average shares outstanding
 
22,180,102

 
22,030,672

 
 
 
 
 
Denominator for diluted loss per share:
 
 
 
 
Effect of stock options and restricted stock units
 

 

Adjusted weighted average shares and assumed conversions
 
22,180,102

 
22,030,672

 
 
 
 
 
Basic loss per share
 
$
(0.36
)
 
$
(4.24
)
 
 
 
 
 
Diluted loss per share
 
$
(0.36
)
 
$
(4.24
)
 
 
 
 
 
Anti-dilutive shares excluded from computation of diluted loss per share
 
1,285,307

 
1,075,175



v3.10.0.1
Employee Stock Benefit Plans (Tables)
12 Months Ended
Dec. 31, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Abstract]  
Award Activity
The following table summarizes award activity for the current fiscal year:
 
 
Stock Options
 
Stock and RSUs
 
 
Shares
 
Weighted-average Exercise Price
(per share)
 
Shares / Units
 
Weighted-average Grant Date Fair Value
(per share)
Outstanding balance at December 31, 2017
 
762,550

 
$
16.91

 
354,204

 
$
15.30

Granted
 

 
 
 
596,688

 
$
5.50

Exercised or vested
 
(5,300
)
 
$
1.01

 
(200,612
)
 
$
13.04

Forfeited or expired
 
(166,678
)
 
$
17.74

 
(57,351
)
 
$
13.53

Outstanding balance at December 31, 2018
 
590,572

 
$
16.82

 
692,929

 
$
7.66

Exercisable at December 31, 2018
 
344,233

 
$
18.94

 
 
 
 
Schedule of Award Expensing and Fair Value Information
The following table summarizes award expensing and fair value information for the periods presented:
Year ended December 31,
(dollars in thousands, except grant date fair values and assumptions)
 
2018
 
2017
Total stock compensation expense
 
$
2,827

 
$
3,460

Total fair value of stock, stock options and RSUs vested
 
$
3,371

 
$
2,643

Weighted average grant date fair value of stock options granted
 
Not applicable
 
$
3.00

Weighted average grant date fair value of stock and RSUs granted
 
$
5.50

 
$
10.38

Intrinsic value of stock options exercised
 
$
38

 
$
17

Intrinsic value of stock and RSUs vested
 
$
1,230

 
$
1,918

 
 
 
 
 
Weighted-average assumptions for stock option grants:
 
 
 
 
Risk-free interest
 
Not applicable
 
2.07
%
Expected term
 
Not applicable
 
5.8 years

Expected volatility
 
Not applicable
 
38.54
%
Dividend yield
 
Not applicable
 
4.32
%
v3.10.0.1
Derivatives (Tables)
12 Months Ended
Dec. 31, 2018
Derivative [Line Items]  
Fair Values of Derivative Instruments
The following table provides the fair values of our derivative financial instruments for the periods presented:
December 31,
(dollars in thousands)
 
 
 
Fair Value of Derivative Assets
 
Balance Sheet Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Interest rate swaps
 
Prepaid and other current assets
 
$
1,425

 
$

Interest rate swaps
 
Other assets
 

 
646

Natural gas contracts
 
Prepaid and other current assets
 
226

 

Natural gas contracts
 
Other assets
 
39

 

Total designated
 
 
 
1,690

 
646

Derivatives not designated as hedging instruments:
 
 
 
 
Total undesignated
 
 
 

 

Total derivative assets
 
 
 
$
1,690

 
$
646

 
 
 
 
 
 
 
December 31,
(dollars in thousands)
 
 
 
Fair Value of Derivative Liabilities
 
Balance Sheet Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Interest rate swaps
 
Accrued liabilities
 
$

 
$
213

Interest rate swaps
 
Other long-term liabilities
 
5,713

 

Natural gas contracts
 
Accrued liabilities
 

 
220

Natural gas contracts
 
Other long-term liabilities
 

 
7

Total designated
 
 
 
5,713

 
440

Derivatives not designated as hedging instruments:
 
 
 
 
Natural gas contracts
 
Accrued liabilities
 

 
264

Natural gas contracts
 
Other long-term liabilities
 

 
12

Total undesignated
 
 
 

 
276

Total derivative liabilities
 
 
 
$
5,713

 
$
716

Cash Settlements
The following table presents cash settlements (paid) received related to the below derivatives:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Natural gas contracts
 
$
426

 
$
(47
)
Interest rate swaps
 
159

 
(1,836
)
Total
 
$
585

 
$
(1,883
)
Summary of the gain (loss) recognized in the Statement of Operations and AOCI
The following table provides a summary of the impacts of derivative gain (loss) on the Consolidated Statements of Operations and other comprehensive income (OCI):
Year ended December 31,
(dollars in thousands)
 
Location
 
2018
 
2017
Cash flow hedges:
 
 
 
 
 
 
Effective portion of derivative gain (loss) recognized in OCI:
 
 
 
 
 
 
Natural gas contracts
 
OCI
 
$
1,194

 
$
(1,019
)
Interest rate swaps
 
OCI
 
(4,436
)
 
733

Total
 
$
(3,242
)
 
$
(286
)
 
 
 
 
 
 
 
Effective portion of derivative gain (loss) reclassified from accumulated OCI to current earnings:
 
 
 
 
 
 
Natural gas contracts
 
Cost of Sales
 
$
426

 
$
(45
)
Interest rate swaps
 
Interest expense
 
285

 
(1,735
)
Total
 
$
711

 
$
(1,780
)
 
 
 
 
 
 
 
Derivatives not designated as hedging instruments:
 
 
 
 
Gain (loss) recognized in current earnings:
 
 
 
 
 
 
Natural gas contracts
 
Other income (expense)
 

 
(1,036
)
Total
 
$

 
$
(1,036
)
Natural Gas Contracts  
Derivative [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions
The following table presents the notional amount of our natural gas derivatives on the Consolidated Balance Sheets:
 
 
 
 
Notional Amounts
Derivative Types
 
Unit of Measure
 
December 31, 2018
 
December 31, 2017
Natural gas contracts
 
Millions of British Thermal Units (MMBTUs)
 
3,150,000

 
2,480,000

Interest Rate Swaps  
Derivative [Line Items]  
Schedule of Notional Amounts of Outstanding Derivative Positions
The table below lists the interest rate swaps we executed as part of our risk management strategy to mitigate the risks associated with the fluctuating interest rates under our Term Loan B. The interest rate swaps effectively convert a portion of our Term Loan B debt from a variable interest rate to a fixed interest rate, thus reducing the impact of interest rate changes on future income.
Swap execution date
 
Effective date
 
Expiration date
 
Notional amount
 
Fixed swap rate
 
April 1, 2015
 
January 11, 2016
 
January 9, 2020
 
$220.0 million
 
4.85
%
 
September 24, 2018
 
January 9, 2020
 
January 9, 2025
 
$200.0 million
 
6.19
%
(1) 
________________________
(1) 
Upon refinancing our Term Loan B, the fixed interest rate will be 3.19 percent plus the new refinanced credit spread.
v3.10.0.1
Accumulated Other Comprehensive Income (Loss) (Tables)
12 Months Ended
Dec. 31, 2018
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]  
Accumulated Other Comprehensive Loss
Accumulated other comprehensive income (loss) (AOCI), net of tax, is as follows:
(dollars in thousands)
 
Foreign Currency Translation
 
Derivative Instruments
 
Pension and Other Post-retirement Benefits
 
Total
Accumulated
Comprehensive Loss
Balance on December 31, 2016
 
$
(27,828
)
 
$
(515
)
 
$
(96,854
)
 
$
(125,197
)
 
 
 
 
 
 
 
 
 
Amounts recognized into AOCI
 
12,835

 
(286
)
 
6,307

 
18,856

Currency impact
 

 

 
(152
)
 
(152
)
  Amounts reclassified from AOCI
 

 
1,780

(1) 
5,586

(2) 
7,366

Tax effect
 
(1,190
)
 
(628
)
 
(4,227
)
 
(6,045
)
Other comprehensive income (loss), net of tax
 
11,645


866


7,514


20,025

Balance on December 31, 2017
 
(16,183
)
 
351

 
(89,340
)

(105,172
)
 
 
 
 
 
 
 
 
 
Cumulative-effect adjustment for the adoption of ASU 2017-12
 

 
(275
)
 

 
(275
)
 
 
 
 
 
 
 
 
 
Amounts recognized into AOCI
 
(7,057
)
 
(3,242
)
 
(5,245
)
 
(15,544
)
Currency impact
 

 

 
(164
)
 
(164
)
  Amounts reclassified from AOCI
 

 
(711
)
(1) 
6,431

(2) 
5,720

Tax effect
 

 
1,011

 
19

 
1,030

Other comprehensive income (loss), net of tax
 
(7,057
)
 
(2,942
)
 
1,041

 
(8,958
)
Balance on December 31, 2018
 
$
(23,240
)
 
$
(2,866
)
 
$
(88,299
)
 
$
(114,405
)

_________________________
(1) 
We reclassified natural gas contracts through cost of sales and the interest rate swaps through interest expense on the Consolidated Statements of Operations. See note 12 for additional information.
(2) 
We reclassified the net pension and non-pension post-retirement benefits amortization and settlement charges through other income (expense) on the Consolidated Statements of Operations. See notes 8 and 9 for additional information.
v3.10.0.1
Fair Value (Tables)
12 Months Ended
Dec. 31, 2018
Fair Value Disclosures [Abstract]  
Fair Value of Derivatives
The fair value of our derivative financial instruments by level is as follows:
 
 
Fair Value at
 
Fair Value at
Asset / (Liability
(dollars in thousands)
 
December 31, 2018
 
December 31, 2017
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Commodity futures natural gas contracts
 
$

 
$
265

 
$

 
$
265

 
$

 
$
(503
)
 
$

 
$
(503
)
Interest rate swaps
 

 
(4,288
)
 

 
(4,288
)
 

 
433

 

 
433

Net derivative asset (liability)
 
$

 
$
(4,023
)
 
$

 
$
(4,023
)
 
$

 
$
(70
)
 
$

 
$
(70
)
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block]
Financial instruments carried at cost on the Consolidated Balance Sheets, as well as the related fair values, are as follows:
 
 
 
 
December 31, 2018
 
December 31, 2017
(dollars in thousands)
 
Fair Value
Hierarchy Level
 
Carrying Amount
 
Fair Value
 
Carrying Amount
 
Fair Value
Term Loan B
 
Level 2
 
$
380,200

 
$
362,141

 
$
384,600

 
$
370,178

v3.10.0.1
Operating Leases (Tables)
12 Months Ended
Dec. 31, 2018
Leases [Abstract]  
Future Minimum Rental Payments Under Operating Leases
Future minimum rentals under operating leases are as follows (dollars in thousands):
2019
 
2020
 
2021
 
2022
 
2023
 
2024 and
thereafter
 
$15,407
 
$13,787
 
$10,339
 
$9,143
 
$8,551
 
$20,755
 
v3.10.0.1
Other Income and Expense (Tables)
12 Months Ended
Dec. 31, 2018
Other Income and Expenses [Abstract]  
Components of Other Income (Expense)
Items included in other income (expense) in the Consolidated Statements of Operations are as follows:
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Gain (loss) on currency transactions
 
$
(1,454
)
 
$
(2,788
)
(Loss) on mark-to-market natural gas contracts
 

 
(1,036
)
Pension and non-pension benefits, excluding service cost
 
(1,232
)
 
(1,791
)
Other non-operating income (expense)
 
(78
)
 
309

Other income (expense)
 
$
(2,764
)
 
$
(5,306
)
v3.10.0.1
Revenue (Tables)
12 Months Ended
Dec. 31, 2018
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue
The following table presents our net sales disaggregated by business channel:
Year ended December 31,
(dollars in thousands)
 
2018
Foodservice
 
$
327,550

Retail
 
256,646

Business-to-business
 
213,662

Consolidated
 
$
797,858

v3.10.0.1
Segments and Geographic Information (Tables)
12 Months Ended
Dec. 31, 2018
Segment Reporting [Abstract]  
Reconciliation from Segment Totals to Consolidated
Year ended December 31,
(dollars in thousands)
 
2018
 
2017
Net Sales:
 
 
 
 
U.S. & Canada
 
$
483,741

 
$
481,797

Latin America
 
148,091

 
144,322

EMEA
 
138,399

 
126,924

Other
 
27,627

 
28,785

Consolidated
 
$
797,858

 
$
781,828

 
 
 
 
 
Segment EBIT:
 
 
 
 
U.S. & Canada
 
$
36,805

 
$
48,044

Latin America
 
12,599

 
6,590

EMEA
 
7,219

 
1,321

Other
 
1,872

 
(3,838
)
Total Segment EBIT
 
$
58,495

 
$
52,117

 
 
 
 
 
Reconciliation of Segment EBIT to Net Loss:
 
 
 
 
Segment EBIT
 
$
58,495

 
$
52,117

Retained corporate costs
 
(31,878
)
 
(27,099
)
Goodwill impairment (note 4)
 

 
(79,700
)
Fees associated with strategic initiative (1)
 
(2,341
)
 

Reorganization charges
 

 
(2,488
)
Interest expense
 
(21,979
)
 
(20,400
)
Provision for income taxes
 
(10,253
)
 
(15,798
)
Net loss
 
$
(7,956
)
 
$
(93,368
)
 
 
 
 
 
Depreciation & Amortization:
 
 
 
 
U.S. & Canada
 
$
13,358

 
$
12,665

Latin America
 
17,457

 
18,576

EMEA
 
7,412

 
7,377

Other
 
4,431

 
5,088

Corporate
 
1,675

 
1,838

Consolidated
 
$
44,333

 
$
45,544

 
 
 
 
 
Capital Expenditures:
 
 
 
 
U.S. & Canada
 
$
22,203

 
$
10,056

Latin America
 
13,527

 
18,520

EMEA
 
5,051

 
17,158

Other
 
745

 
1,226

Corporate
 
3,561

 
668

Consolidated
 
$
45,087

 
$
47,628

______________________________
(1) Legal and professional fees associated with a strategic initiative that was terminated during the third quarter of 2018.
December 31,
(dollars in thousands)
 
2018
 
2017
Segment Assets(1):
 
 
 
 
U.S. & Canada
 
$
152,168

 
$
147,809

Latin America
 
64,166

 
63,093

EMEA
 
46,576

 
48,270

Other
 
13,170

 
18,711

Consolidated
 
$
276,080

 
$
277,883


______________________________
(1) Segment assets are defined as net accounts receivable plus net inventory.
Schedule of Net Sales to Customers and Long-Lived Assets, by Geographical Areas
Geographic data for the U.S., Mexico and Other countries for 2018 and 2017 is presented below. Net sales are based on the geographical destination of the sale. The long-lived assets include net property, plant and equipment.
(dollars in thousands)
 
United States
 
Mexico
 
All Other
 
Consolidated
2018
 
 
 
 
 
 
 
 
Net sales
 
$
480,868

 
$
101,656

 
$
215,334

 
$
797,858

Long-lived assets
 
$
99,135

 
$
86,775

 
$
79,050

 
$
264,960

 
 
 
 
 
 
 
 
 
2017
 
 
 
 
 
 
 
 
Net sales
 
$
479,018

 
$
93,370

 
$
209,440

 
$
781,828

Long-lived assets
 
$
89,838

 
$
87,836

 
$
88,001

 
$
265,675

v3.10.0.1
Description of the Business (Details)
Dec. 31, 2018
plant
country
Production Operations  
Description of Business [Line Items]  
Number of countries in which entity operates 5
Sales Operations | Minimum  
Description of Business [Line Items]  
Number of countries in which entity operates 100
United States  
Description of Business [Line Items]  
Number of glass tableware manufacturing plants | plant 2
v3.10.0.1
Significant Accounting Policies (Revenue Recognition) (Details)
12 Months Ended
Dec. 31, 2018
Minimum  
Revenue from External Customer [Line Items]  
Payment Terms 0 days
Maximum  
Revenue from External Customer [Line Items]  
Payment Terms 90 days
v3.10.0.1
Significant Accounting Policies (Inventory) (Details) - USD ($)
$ in Millions
Dec. 31, 2018
Dec. 31, 2017
Accounting Policies [Abstract]    
LIFO inventory as a percent of total inventory 34.90% 32.20%
Excess of FIFO cost over LIFO $ 15.9 $ 13.4
v3.10.0.1
Significant Accounting Policies (Property, Plant and Equipment) (Details)
12 Months Ended
Dec. 31, 2018
Software  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful life 5 years
Equipment and furnishings | Minimum  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful life 3 years
Equipment and furnishings | Maximum  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful life 14 years
Buildings and improvements | Minimum  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful life 10 years
Buildings and improvements | Maximum  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful life 40 years
v3.10.0.1
Significant Accounting Policies (Treasury Stock) (Details)
Dec. 31, 2018
shares
Common Stock  
Equity, Class of Treasury Stock [Line Items]  
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased 941,250
v3.10.0.1
Significant Accounting Policies (Research and Development) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Selling, General and Administrative Expenses    
Schedule of Research and Development [Line Items]    
Research and development expense $ 3.6 $ 3.0
v3.10.0.1
Significant Accounting Policies (Advertising Costs) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Marketing and Advertising Expense [Abstract]    
Advertising Expense $ 6.1 $ 5.3
v3.10.0.1
Significant Accounting Policies (ASU 2017-07 Retirement) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]    
Cost of sales $ 646,202 $ 631,115
Selling, general and administrative expenses 127,851 126,205
Other income (expense) $ (2,764) (5,306)
Previously Reported    
New Accounting Pronouncements or Change in Accounting Principle [Line Items]    
Cost of sales   634,185
Selling, general and administrative expenses   124,926
Other income (expense)   (3,515)
Accounting Standards Update 2017-07 | Reclassification    
New Accounting Pronouncements or Change in Accounting Principle [Line Items]    
Cost of sales   (3,070)
Selling, general and administrative expenses   1,279
Other income (expense)   $ (1,791)
v3.10.0.1
Significant Accounting Policies (ASU 2017-12 Derivatives) (Details) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Jan. 01, 2018
Dec. 31, 2017
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Retained deficit $ (171,441)   $ (161,165)
Accumulated other comprehensive loss $ (114,405)   $ (105,172)
Accounting Standards Update 2017-12      
New Accounting Pronouncements or Change in Accounting Principle [Line Items]      
Retained deficit   $ 300  
Accumulated other comprehensive loss   $ (300)  
v3.10.0.1
Balance Sheet Details (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Accounts receivable:    
Accounts receivable $ 83,977 $ 89,997
Allowance for doubtful accounts 8,538 9,051
Inventories:    
Finished goods 175,074 170,774
Work in process 1,363 1,485
Raw materials 4,026 3,906
Repair parts 10,116 10,240
Operating supplies 1,524 1,481
Total inventories, less loss provisions of $9,453 and $10,308 192,103 187,886
Inventory loss provision 9,453 10,308
Accrued liabilities:    
Accrued incentives 19,359 19,728
Other accrued liabilities 24,369 24,192
Total accrued liabilities 43,728 43,920
Trade receivables    
Accounts receivable:    
Accounts receivable 82,521 88,786
Other receivables    
Accounts receivable:    
Accounts receivable $ 1,456 $ 1,211
v3.10.0.1
Purchased Intangible Assets and Goodwill (Changes in Purchased Intangibles Balances) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Intangible Assets [Roll Forward]    
Beginning balance $ 14,565 $ 15,225
Amortization (1,049) (1,073)
Foreign currency impact (131) 413
Ending balance $ 13,385 $ 14,565
v3.10.0.1
Purchased Intangible Assets and Goodwill (Composition of Purchased Intangibles) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Dec. 31, 2016
Goodwill and Intangible Assets Disclosure [Abstract]      
Indefinite life intangible assets $ 12,035 $ 12,120  
Definite life intangible assets, net of accumulated amortization of $20,006 and $19,093 1,350 2,445  
Total 13,385 14,565 $ 15,225
Definite life intangible assets, accumulated amortization $ 20,006 $ 19,093  
v3.10.0.1
Purchased Intangible Assets and Goodwill (Narrative) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Acquired Finite-Lived Intangible Assets [Line Items]    
Amortization $ 1,049 $ 1,073
Definite life intangible assets, weighted average remaining life 4 years 4 months 2 days  
Minimum    
Acquired Finite-Lived Intangible Assets [Line Items]    
Definite life intangible assets, amortization period 13 years  
Maximum    
Acquired Finite-Lived Intangible Assets [Line Items]    
Definite life intangible assets, amortization period 20 years  
v3.10.0.1
Purchased Intangible Assets and Goodwill (Future Estimated Amortization Expense of Definite Life Intangible Assets) (Details)
$ in Thousands
Dec. 31, 2018
USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]  
2019 $ 564
2020 157
2021 157
2022 157
2023 $ 157
v3.10.0.1
Purchased Intangible Assets and Goodwill (Changes in Goodwill) (Details)
$ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2017
USD ($)
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Oct. 01, 2018
Goodwill [Line Items]        
Fair Value Input, Basis Spread on Discount Rate 70      
Goodwill [Roll Forward]        
Goodwill $ 169,553 $ 169,553 $ 169,553  
Accumulated impairment losses (5,441) (85,141) (5,441)  
Goodwill, net beginning balance 164,112 84,412 164,112  
Impairment   0 (79,700)  
Goodwill, ending balance   169,553 169,553  
Accumulated impairment losses   (85,141) (85,141)  
Goodwill, net ending balance   84,412 84,412  
United States & Canada        
Goodwill [Roll Forward]        
Goodwill 43,872 43,872 43,872  
Accumulated impairment losses (5,441) (5,441) (5,441)  
Goodwill, net beginning balance 38,431 38,431 38,431  
Impairment   0 0  
Goodwill, ending balance   43,872 43,872  
Accumulated impairment losses   (5,441) (5,441)  
Goodwill, net ending balance   38,431 38,431  
Latin America        
Goodwill [Roll Forward]        
Goodwill 125,681 125,681 125,681  
Accumulated impairment losses 0 (79,700) 0  
Goodwill, net beginning balance $ 125,681 45,981 125,681  
Impairment   0 (79,700)  
Goodwill, ending balance   125,681 125,681  
Accumulated impairment losses   (79,700) (79,700)  
Goodwill, net ending balance   $ 45,981 45,981  
Valuation, Income Approach        
Goodwill [Line Items]        
Fair Value, Goodwill, Valuation Approach Allocation   70.00%    
Valuation, Market Approach        
Goodwill [Line Items]        
Fair Value, Goodwill, Valuation Approach Allocation   30.00%    
Mexico        
Goodwill [Line Items]        
Percentage of fair value in excess of carrying amount       15.00%
Goodwill [Roll Forward]        
Impairment     $ (79,700)  
Minimum | United States        
Goodwill [Line Items]        
Percentage of fair value in excess of carrying amount       50.00%
v3.10.0.1
Property, Plant and Equipment (Schedule of Property, Plant and Equipment) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 727,513 $ 687,284
Less accumulated depreciation 462,553 421,609
Net property, plant and equipment 264,960 265,675
Depreciation 43,200 44,400
Land    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 20,374 20,859
Buildings    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 109,470 107,659
Machinery and equipment    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 531,838 505,978
Furniture and fixtures    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 15,668 15,391
Software    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment 25,218 24,464
Construction in progress    
Property, Plant and Equipment [Line Items]    
Gross property, plant and equipment $ 24,945 $ 12,933
v3.10.0.1
Borrowings (Debt Schedule) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Debt Instrument [Line Items]    
Total borrowings $ 400,068 $ 387,685
Less — unamortized discount and finance fees 2,368 3,295
Total borrowings — net 397,700 384,390
Less — long term debt due within one year 4,400 7,485
Total long-term portion of borrowings — net 393,300 $ 376,905
Libbey Glass and Libbey Europe | ABL Facility | Line of Credit    
Debt Instrument [Line Items]    
Total borrowings [1],[2] $ 19,868  
Weighted average interest rate 1.94%  
Libbey Glass | Senior Loans    
Debt Instrument [Line Items]    
Interest rate 5.39% 4.43%
Total borrowings [3] $ 380,200 $ 384,600
Libbey Glass | ABL Facility | Line of Credit    
Debt Instrument [Line Items]    
Total borrowings $ 3,500 0
Libbey Portugal | AICEP Loan | Loans Payable    
Debt Instrument [Line Items]    
Interest rate 0.00%  
Total borrowings $ 0 $ 3,085
[1] Maturity date will be January 9, 2021, if Term Loan B is not refinanced by this date.
[2] The interest rate for the ABL Facility is comprised of several different borrowings at various rates. The weighted average rate of all ABL Facility borrowings was 1.94 percent at December 31, 2018.
[3] See interest rate swaps under "Term Loan B" below and note 12.
v3.10.0.1
Borrowings (Annual Maturities of Borrowings) (Details)
$ in Thousands
Dec. 31, 2018
USD ($)
Debt Disclosure [Abstract]  
All borrowings, repayments of principal, 2019 $ 4,400
All borrowings, repayments of principal, 2020 4,400
All borrowings, repayments of principal, 2021 391,268
All borrowings, repayments of principal, 2022 0
All borrowings, repayments of principal, 2023 0
All borrowings, repayments of principal, thereafter $ 0
v3.10.0.1
Borrowings (ABL Credit Agreement Narrative) (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
Dec. 07, 2017
entity
Debt Instrument [Line Items]      
Covenant terms, conditional minimum fixed charge coverage ratio 1    
Total borrowings $ 400,068 $ 387,685  
ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Commitment fee percentage 0.25%    
Libbey Glass and Libbey Europe | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Number of financial institutions participating | entity     4
Line of credit facility, maximum borrowing capacity $ 100,000    
Covenant, fixed charge coverage ratio, unused borrowing capacity below which covenant is applicable 10,000    
Additional available borrowing capacity $ 25,000    
Borrowing base, component of sum, % of eligible accounts receivable 85.00%    
Borrowing base, alternative component of sum, % of NOLV of eligible inventory 85.00%    
Borrowing base, alternative component of sum, % of eligible inventory 65.00%    
Borrowing base, alternative component of sum, amount $ 75,000    
Borrowing base, amount of rent reserves offset 500    
Line of credit facility, remaining borrowing capacity 71,600 91,900  
Libbey Glass and Libbey Europe | ABL Facility | Letter of Credit      
Debt Instrument [Line Items]      
Line of credit facility, maximum borrowing capacity 15,000    
Line of credit facility, amount outstanding $ 8,000    
Libbey Glass | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock 100.00%    
Libbey Glass | Line of Credit, Swingline | Line of Credit      
Debt Instrument [Line Items]      
Line of credit facility, maximum borrowing capacity $ 10,000    
Subsidiaries, Present and Future Direct and Indirect Domestic Subsidiaries of Libbey Glass | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock 100.00%    
Subsidiaries, First-tier Present and Future Foreign Subsidiaries of Libbey Glass | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock, non-voting 100.00%    
Security, percent of entity stock, voting 65.00%    
Subsidiary, Libbey Europe | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock 100.00%    
Subsidiary, Libbey Europe | Line of Credit, Swingline | Line of Credit      
Debt Instrument [Line Items]      
Line of credit facility, maximum borrowing capacity $ 5,000    
Subsidiaries, Dutch Subsidiaries of Libbey Europe | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock 100.00%    
Line of Credit | Libbey Glass and Libbey Europe | ABL Facility      
Debt Instrument [Line Items]      
Total borrowings [1],[2] $ 19,868    
Line of Credit | Libbey Glass | ABL Facility      
Debt Instrument [Line Items]      
Total borrowings 3,500 0  
Line of Credit | Subsidiary, Libbey Europe | ABL Facility      
Debt Instrument [Line Items]      
Total borrowings $ 16,400 $ 0  
Minimum | Line of Credit | Libbey Glass and Libbey Europe | ABL Facility      
Debt Instrument [Line Items]      
Interest period one month    
Maximum | Subsidiaries, First-Tier Subsidiaries of Libbey Europe and its Dutch Subsidiaries | ABL Facility | Line of Credit      
Debt Instrument [Line Items]      
Security, percent of entity stock 100.00%    
Maximum | Line of Credit | Libbey Glass and Libbey Europe | ABL Facility      
Debt Instrument [Line Items]      
Interest period six months    
London Interbank Offered Rate (LIBOR) | Minimum | Line of Credit, Swingline | Line of Credit      
Debt Instrument [Line Items]      
Applicable rates 0.00%    
CB Floating Rate | Line of Credit, Swingline | Line of Credit      
Debt Instrument [Line Items]      
Applicable rates 0.50%    
Netherlands Swing Line Rate | Line of Credit, Swingline | Line of Credit      
Debt Instrument [Line Items]      
Applicable rates 1.50%    
[1] Maturity date will be January 9, 2021, if Term Loan B is not refinanced by this date.
[2] The interest rate for the ABL Facility is comprised of several different borrowings at various rates. The weighted average rate of all ABL Facility borrowings was 1.94 percent at December 31, 2018.
v3.10.0.1
Borrowings (Term Loan B) (Details) - Libbey Glass - Senior Loans
$ in Millions
Apr. 09, 2014
USD ($)
Dec. 31, 2018
Dec. 31, 2017
Debt Instrument [Line Items]      
Debt instrument, face amount $ 440.0    
Proceeds from Term Loan B $ 438.9    
Debt Instrument, Discount, Percentage 0.25%    
Original issue discount $ 1.1    
Deferred finance costs, gross 6.7    
Aggregate Principal Payments, Quarterly $ 1.1    
Interest rate   5.39% 4.43%
Maximum business days for mandatory prepayment offer   10  
Minimum      
Debt Instrument [Line Items]      
Percentage Used For Mandatory Prepayments   0.00%  
Maximum      
Debt Instrument [Line Items]      
Percentage Used For Mandatory Prepayments   50.00%  
London Interbank Offered Rate (LIBOR)      
Debt Instrument [Line Items]      
Applicable rates 3.00%    
London Interbank Offered Rate (LIBOR) | Minimum      
Debt Instrument [Line Items]      
Applicable rates 0.75%    
v3.10.0.1
Borrowings (Other Borrowings Narrative) (Details)
$ in Thousands, € in Millions
Dec. 31, 2018
USD ($)
Dec. 31, 2018
EUR (€)
Dec. 31, 2017
USD ($)
Debt Instrument [Line Items]      
Total borrowings $ 400,068   $ 387,685
Libbey Portugal | AICEP Loan | Loans Payable      
Debt Instrument [Line Items]      
Total borrowings $ 0   3,085
Interest rate 0.00% 0.00%  
Notes Payable      
Debt Instrument [Line Items]      
Total borrowings $ 0   $ 0
Line of credit facility, maximum borrowing capacity | €   € 0.8  
Line of credit facility, interest rate at period end 1.50% 1.50%  
v3.10.0.1
Income Taxes (Components of Income Before Income Taxes) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Income Tax Disclosure [Abstract]    
United States $ (12,682) $ (65,224)
Non-U.S. 14,979 (12,346)
Income (loss) before income taxes $ 2,297 $ (77,570)
v3.10.0.1
Income Taxes (Current and Deferred Income Tax Expense) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Current:    
U.S. federal $ 1,945 $ (183)
Non-U.S. 6,780 4,517
U.S. state and local 694 834
Total current income tax provision 9,419 5,168
Deferred:    
U.S. federal 687 9,950
Non-U.S. 310 1,190
U.S. state and local (163) (510)
Total deferred income tax provision 834 10,630
Total:    
U.S. federal 2,632 9,767
Non-U.S. 7,090 5,707
U.S. state and local 531 324
Total income tax provision $ 10,253 $ 15,798
v3.10.0.1
Income Taxes (Narrative) (Details)
$ in Millions, $ in Billions
3 Months Ended
Dec. 31, 2017
USD ($)
Dec. 31, 2018
USD ($)
Aug. 31, 2016
USD ($)
Aug. 31, 2016
MXN ($)
Income Tax Contingency [Line Items]        
Basis difference indefintely reinvested $ 11.4 $ 14.6    
Deferred tax liability not recognized, amount of unrecognized deferred tax liability, temporary differences 2.4 3.0    
Reasonably possible decrease in gross unrecognized tax benefits, within 12 months   $ 4.1    
Effective income tax rate reconciliation, change in enacted tax rate, amount $ 6.7      
Tax Year 2010 | Mexico        
Income Tax Contingency [Line Items]        
Administrative assessment amount from tax administration service     $ 157.0 $ 3
v3.10.0.1
Income Taxes (Reconciliation of Statutory to Effective Income Tax Rate) (Details)
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Income Tax Disclosure [Abstract]    
Statutory U.S. federal income tax rate 21.00% 35.00%
Increase (decrease) in rate due to:    
Non-U.S. income tax differential 19.90% 1.20%
U.S. state and local income taxes, net of related U.S. federal income taxes 22.60% 0.10%
U.S. federal credits (9.80%) 0.30%
Permanent adjustments 27.70% 0.60%
Foreign withholding taxes 75.90% (2.00%)
Valuation allowance 143.50% (4.40%)
Unrecognized tax benefits 48.40% (3.90%)
Impact of foreign exchange 71.60% (1.60%)
Impact of legislative changes 0.00% (8.70%)
Goodwill impairment 0.00% (36.00%)
Other 25.60% (1.00%)
Consolidated effective income tax rate 446.40% (20.40%)
v3.10.0.1
Income Taxes (Components of Deferred Income Tax Assets and Liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Deferred income tax assets:    
Pension $ 9,722 $ 8,108
Non-pension post-retirement benefits 11,712 13,385
Other accrued liabilities 16,477 13,213
Receivables 1,994 2,118
Net operating loss and charitable contribution carry forwards 14,143 [1] 16,599
Tax credits 13,373 [2] 13,288
Total deferred income tax assets 67,421 [3] 66,711
Valuation allowances (22,068) (19,076)
Net deferred income tax assets 45,353 47,635
Deferred income tax liabilities:    
Property, plant and equipment 15,332 18,246
Inventories 1,699 1,639
Intangibles and other 4,987 4,708
Total deferred income tax liabilities 22,018 24,593
Net deferred income tax asset 23,335 $ 23,042
U.S. AMT credits 1,300  
Foreign tax credits 9,000  
Future taxable income needed to realize deferred tax assets 151,900  
Tax Period 2024 - 2038    
Deferred income tax liabilities:    
U.S. general business credits 3,000  
U.S. Federal | Tax Period 2019 - 2038    
Deferred income tax assets:    
Net operating loss and charitable contribution carry forwards 3,900  
Non-US | Tax Period 2021 - 2027    
Deferred income tax assets:    
Net operating loss and charitable contribution carry forwards $ 10,200  
[1] At December 31, 2018, U.S. operating loss carryforwards of $3.9 million expire between 2019 and 2038, and non-U.S. operating loss carryforwards of $10.2 million expire between 2021 and 2027.
[2] At December 31, 2018, U.S. general business credit carryforwards of $3.0 million expire between 2024 and 2038. U.S. AMT credits of $1.3 million and the foreign credits of $9.0 million do not expire.
[3] In order to fully realize our U.S. deferred tax assets as of December 31, 2018, the Company needs to generate approximately $151.9 million of future taxable income.
v3.10.0.1
Income Taxes (Change in Unrecognized Tax Benefits) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]    
Beginning balance $ 5,007 $ 3,521
Additions based on tax positions related to the current year 438 435
Additions for tax positions of prior years 9 1,735
Reductions for tax positions of prior years (1,698) (468)
Changes due to lapse of statute of limitations 513 279
Reductions due to settlements with tax authorities (57) (495)
Ending balance $ 4,212 $ 5,007
v3.10.0.1
Income Taxes (Other Unrecognized Tax Benefits Disclosures) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Income Tax Disclosure [Abstract]    
Amount of unrecognized tax benefits that, if recognized, would affect the effective tax rate $ 5,283 $ 4,107
Interest, net of tax benefit, accrued in the Consolidated Balance Sheets 1,027 572
Penalties, accrued in the Consolidated Balance Sheets 43 38
Interest expense recognized in the Consolidated Statements of Operations 523 506
Penalties expense (benefit) recognized in the Consolidated Statements of Operations $ 5 $ (67)
v3.10.0.1
Pension (Net Pension Expense) (Details) - Pension Plan - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Service cost (benefits earned during the period) $ 5,151 $ 5,001
Interest cost on projected benefit obligation 15,599 16,536
Expected return on plan assets (22,658) (22,479)
Amortization of unrecognized:    
Prior service cost (credit) (200) 32
Actuarial loss 7,094 5,826
Settlement charge 92 245
Pension expense 5,078 5,161
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Service cost (benefits earned during the period) 4,009 3,916
Interest cost on projected benefit obligation 12,615 13,787
Expected return on plan assets (22,658) (22,479)
Amortization of unrecognized:    
Prior service cost (credit) 1 236
Actuarial loss 6,472 5,232
Settlement charge 0 245
Pension expense 439 937
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Service cost (benefits earned during the period) 1,142 1,085
Interest cost on projected benefit obligation 2,984 2,749
Expected return on plan assets 0 0
Amortization of unrecognized:    
Prior service cost (credit) (201) (204)
Actuarial loss 622 594
Settlement charge 92 0
Pension expense $ 4,639 $ 4,224
v3.10.0.1
Pension (Assumptions Used) (Details) - Pension Plan
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Expected long-term rate of return on plan assets 6.50%  
Assumptions Used Determine Net Periodic Pension Costs:    
Expected long-term rate of return on plan assets 7.00% 7.00%
Cash balance interest crediting rate 5.50% 5.50%
Assumptions Used Determine Benefit Obligation:    
Cash balance interest crediting rate 5.50% 5.50%
U.S. Plans | Minimum    
Defined Benefit Plan Disclosure [Line Items]    
Cash balance interest crediting rate 5.00%  
Assumptions Used Determine Net Periodic Pension Costs:    
Discount rate 3.64% 4.18%
Assumptions Used Determine Benefit Obligation:    
Discount rate 4.31% 3.64%
U.S. Plans | Maximum    
Assumptions Used Determine Net Periodic Pension Costs:    
Discount rate 3.69% 4.23%
Assumptions Used Determine Benefit Obligation:    
Discount rate 4.33% 3.69%
Non-U.S. Plans    
Assumptions Used Determine Net Periodic Pension Costs:    
Discount rate 9.40% 9.30%
Rate of compensation increase 4.30% 4.30%
Assumptions Used Determine Benefit Obligation:    
Discount rate 10.60% 9.40%
Rate of compensation increase 4.30% 4.30%
v3.10.0.1
Pension (Projected Benefit Obligation and Fair Value of Assets) (Details) - Pension Plan - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year $ 386,020 $ 364,809
Service cost 5,151 5,001
Interest cost 15,599 16,536
Exchange rate fluctuations 138 1,214
Actuarial (gain) loss (31,537) 24,400
Settlements paid 0 (281)
Benefits paid (22,799) (25,659)
Projected benefit obligation, end of year 352,572 386,020
Change in fair value of plan assets:    
Fair value of plan assets, beginning of year 343,219 318,414
Actual return on plan assets (19,533) 47,595
Employer contributions 3,197 3,150
Settlements paid 0 (281)
Benefits paid (22,799) (25,659)
Fair value of plan assets, end of year $ 304,084 $ 343,219
Funded status of plan:    
Funded ratio 86.20% 88.90%
Funded status and net accrued pension benefit cost $ (48,488) $ (42,801)
U.S. Plans    
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year 354,053 336,648
Service cost 4,009 3,916
Interest cost 12,615 13,787
Exchange rate fluctuations 0 0
Actuarial (gain) loss (28,481) 22,991
Settlements paid 0 (281)
Benefits paid (19,602) (23,008)
Projected benefit obligation, end of year 322,594 354,053
Change in fair value of plan assets:    
Fair value of plan assets, beginning of year 343,219 318,414
Actual return on plan assets (19,533) 47,595
Employer contributions 0 499
Settlements paid 0 (281)
Benefits paid (19,602) (23,008)
Fair value of plan assets, end of year $ 304,084 $ 343,219
Funded status of plan:    
Funded ratio 94.30% 96.90%
Funded status and net accrued pension benefit cost $ (18,510) $ (10,834)
Non-U.S. Plans    
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year 31,967 28,161
Service cost 1,142 1,085
Interest cost 2,984 2,749
Exchange rate fluctuations 138 1,214
Actuarial (gain) loss (3,056) 1,409
Settlements paid 0 0
Benefits paid (3,197) (2,651)
Projected benefit obligation, end of year 29,978 31,967
Change in fair value of plan assets:    
Fair value of plan assets, beginning of year 0 0
Actual return on plan assets 0 0
Employer contributions 3,197 2,651
Settlements paid 0 0
Benefits paid (3,197) (2,651)
Fair value of plan assets, end of year $ 0 $ 0
Funded status of plan:    
Funded ratio 0.00% 0.00%
Funded status and net accrued pension benefit cost $ (29,978) $ (31,967)
v3.10.0.1
Pension (Amounts Recognized in Balance Sheet) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Pension asset $ 0 $ 2,939
Pension liability (current portion) 3,282 2,185
Pension liability 45,206 43,555
Pension Plan    
Defined Benefit Plan Disclosure [Line Items]    
Pension asset 0 2,939
Pension liability (current portion) 3,282 2,185
Pension liability 45,206 43,555
Net accrued pension liability $ (48,488) $ (42,801)
v3.10.0.1
Pension (Pre-tax Amounts Recognized in Accumulated Other Comprehensive Loss) (Details) - Pension Plan - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial loss $ 114,200 $ 110,606
Prior service cost (credit) (2,447) (2,635)
Total cost in AOCI 111,753 107,971
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial loss 105,468 98,228
Prior service cost (credit) 0 1
Total cost in AOCI 105,468 98,229
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial loss 8,732 12,378
Prior service cost (credit) (2,447) (2,636)
Total cost in AOCI $ 6,285 $ 9,742
v3.10.0.1
Pension (Contributions to Pension Plans) (Details) - Pension Plan - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Estimated contributions in 2019 $ 3,448  
Employer contributions 3,197 $ 3,150
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Estimated contributions in 2019 138  
Employer contributions 0 499
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Estimated contributions in 2019 3,310  
Employer contributions $ 3,197 $ 2,651
v3.10.0.1
Pension (Anticipated Benefit Payments) (Details) - Pension Plan
$ in Thousands
Dec. 31, 2018
USD ($)
Defined Benefit Plan Disclosure [Line Items]  
2019 $ 23,146
2020 22,266
2021 22,747
2022 23,014
2023 23,290
2024-2028 118,419
U.S. Plans  
Defined Benefit Plan Disclosure [Line Items]  
2019 19,836
2020 20,046
2021 20,211
2022 20,465
2023 20,750
2024-2028 103,988
Non-U.S. Plans  
Defined Benefit Plan Disclosure [Line Items]  
2019 3,310
2020 2,220
2021 2,536
2022 2,549
2023 2,540
2024-2028 $ 14,431
v3.10.0.1
Pension (Projected & Accumulated Benefit Obligations in Excess of Plan Assets) (Details) - Pension Plan - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Projected benefit obligation $ 352,572 $ 300,854
Accumulated benefit obligation 349,311 295,942
Fair value of plan assets 304,084 255,115
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Projected benefit obligation 322,594 268,887
Accumulated benefit obligation 322,594 268,887
Fair value of plan assets 304,084 255,115
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Projected benefit obligation 29,978 31,967
Accumulated benefit obligation 26,717 27,055
Fair value of plan assets $ 0 $ 0
v3.10.0.1
Pension (Plan Asset Allocation, Fair Value) (Details) - Pension Plan - U.S. Plans - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 100.00%  
Short-term investments    
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 3.00%  
Real estate    
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 2.00%  
Equity securities    
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 40.00%  
Debt securities    
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 45.00%  
Hedge funds    
Defined Benefit Plan Disclosure [Line Items]    
Target allocation 10.00%  
Measured at NAV as a practical expedient    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient $ 304,084 $ 343,219
Measured at NAV as a practical expedient | Short-term investments    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient 9,796 8,061
Measured at NAV as a practical expedient | Real estate    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient 6,198 16,390
Measured at NAV as a practical expedient | Equity securities    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient 108,952 156,434
Measured at NAV as a practical expedient | Debt securities    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient 146,080 125,671
Measured at NAV as a practical expedient | Hedge funds    
Defined Benefit Plan Disclosure [Line Items]    
Measured at NAV as a practical expedient $ 33,058 $ 36,663
v3.10.0.1
Pension (Narrative) (Details) - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
U.S. Plans    
Defined Contribution Plan Disclosure [Line Items]    
Total matching contribution to all Plans $ 3.8 $ 3.6
NETHERLANDS | Non-U.S. Plans    
Defined Contribution Plan Disclosure [Line Items]    
Total matching contribution to all Plans $ 2.0 $ 1.9
Salaried Employees    
Defined Contribution Plan Disclosure [Line Items]    
Employer matching contribution, percent of match 100.00%  
Employer matching contribution, percent 6.00%  
Hourly Employees    
Defined Contribution Plan Disclosure [Line Items]    
Employer matching contribution, percent of match 50.00%  
Employer matching contribution, percent 6.00%  
v3.10.0.1
Non-pension Post-retirement Benefits (Net Benefit Costs) (Details) - Non-pension Post-retirement Benefit Plans - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Service cost $ 605 $ 632
Interest cost on projected benefit obligation 1,860 2,148
Amortization of unrecognized:    
Prior service cost (credit) (282) (201)
Actuarial gain (273) (316)
Non-pension post-retirement benefit expense (income) 1,910 2,263
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Service cost 604 631
Interest cost on projected benefit obligation 1,822 2,104
Amortization of unrecognized:    
Prior service cost (credit) (282) (201)
Actuarial gain (209) (257)
Non-pension post-retirement benefit expense (income) 1,935 2,277
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Service cost 1 1
Interest cost on projected benefit obligation 38 44
Amortization of unrecognized:    
Prior service cost (credit) 0 0
Actuarial gain (64) (59)
Non-pension post-retirement benefit expense (income) $ (25) $ (14)
v3.10.0.1
Non-pension Post-retirement Benefits (Assumptions Used) (Details) - Other Post-retirement Benefits Plan
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Discount rate used to determine net postretirement benefit cost 3.60% 4.05%
Discount rate used to determine accumulated postretirement benefit obligation 4.27% 3.60%
Healthcare cost trend rate assumed for next year 6.25% 6.50%
Ultimate healthcare trend rate 5.00% 5.00%
Year that ultimate trend rate is reached 2024 2024
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Discount rate used to determine net postretirement benefit cost 3.26% 3.48%
Discount rate used to determine accumulated postretirement benefit obligation 3.52% 3.26%
Healthcare cost trend rate assumed for next year 6.25% 6.50%
Ultimate healthcare trend rate 5.00% 5.00%
Year that ultimate trend rate is reached 2024 2024
v3.10.0.1
Non-pension Post-retirement Benefits (Change in Accumulated Benefit Obligation) (Details) - Non-pension Post-retirement Benefit Plans - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year $ 53,943 $ 60,265
Service cost 605 632
Interest cost 1,860 2,148
Plan participants' contributions 512 525
Actuarial (gain) loss (5,411) (5,591)
Exchange rate fluctuations (96) 90
Benefits paid (4,447) (4,126)
Projected benefit obligation, end of year 46,966 53,943
Funded status and accrued benefit cost (46,966) (53,943)
U.S. Plans    
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year 52,648 58,921
Service cost 604 631
Interest cost 1,822 2,104
Plan participants' contributions 512 525
Actuarial (gain) loss (5,305) (5,483)
Exchange rate fluctuations 0 0
Benefits paid (4,382) (4,050)
Projected benefit obligation, end of year 45,899 52,648
Funded status and accrued benefit cost (45,899) (52,648)
Non-U.S. Plans    
Change in projected benefit obligation:    
Projected benefit obligation, beginning of year 1,295 1,344
Service cost 1 1
Interest cost 38 44
Plan participants' contributions 0 0
Actuarial (gain) loss (106) (108)
Exchange rate fluctuations (96) 90
Benefits paid (65) (76)
Projected benefit obligation, end of year 1,067 1,295
Funded status and accrued benefit cost $ (1,067) $ (1,295)
v3.10.0.1
Non-pension Post-retirement Benefits (Amounts Recognized in Balance Sheet) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Non-pension post-retirement benefits (current portion) $ 3,951 $ 4,185
Non-pension post-retirement benefits 43,015 49,758
Non-pension Post-retirement Benefit Plans    
Defined Benefit Plan Disclosure [Line Items]    
Non-pension post-retirement benefits (current portion) 3,951 4,185
Non-pension post-retirement benefits 43,015 49,758
Total non-pension post-retirement benefits liability $ 46,966 $ 53,943
v3.10.0.1
Non-pension Post-retirement Benefits (Pre-tax Amounts Recognized in Accumulated Other Comprehensive Loss) (Details) - Non-pension Post-retirement Benefit Plans - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial gain $ (5,982) $ (912)
Prior service cost (credit) (980) (1,262)
Total credit in AOCI (6,962) (2,174)
U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial gain (5,176) (80)
Prior service cost (credit) (980) (1,262)
Total credit in AOCI (6,156) (1,342)
Non-U.S. Plans    
Defined Benefit Plan Disclosure [Line Items]    
Net actuarial gain (806) (832)
Prior service cost (credit) 0 0
Total credit in AOCI $ (806) $ (832)
v3.10.0.1
Non-pension Post-retirement Benefits (Anticipated Benefit Payments) (Details) - Non-pension Post-retirement Benefit Plans
$ in Thousands
Dec. 31, 2018
USD ($)
Defined Benefit Plan Disclosure [Line Items]  
2019 $ 4,034
2020 4,020
2021 3,891
2022 3,866
2023 3,701
2024-2028 15,993
U.S. Plans  
Defined Benefit Plan Disclosure [Line Items]  
2019 3,888
2020 3,879
2021 3,761
2022 3,746
2023 3,593
2024-2028 15,739
Non-U.S. Plans  
Defined Benefit Plan Disclosure [Line Items]  
2019 146
2020 141
2021 130
2022 120
2023 108
2024-2028 $ 254
v3.10.0.1
Net Loss per Share of Common Stock (Narrative) (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Numerator for loss per share:    
Net loss that is available to common shareholders $ (7,956) $ (93,368)
Denominator for basic loss per share:    
Weighted average shares outstanding 22,180,102 22,030,672
Denominator for diluted loss per share:    
Effect of stock options and restricted stock units 0 0
Adjusted weighted average shares and assumed conversions 22,180,102 22,030,672
Basic loss per share $ (0.36) $ (4.24)
Diluted loss per share $ (0.36) $ (4.24)
Anti-dilutive shares excluded from computation of diluted loss per share 1,285,307 1,075,175
v3.10.0.1
Employee Stock Benefit Plans (Narrative) (Details)
$ in Millions
12 Months Ended
Dec. 31, 2018
USD ($)
shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Number of plans 2
Award vesting period 4 years
Options outstanding, intrinsic value | $ $ 0.0
Options exercisable, intrinsic value | $ $ 0.0
Stock Options  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Award expiration period 10 years
Options outstanding, weighted average remaining contractual term 6 years 7 months 6 days
Options exercisable, weighted average remaining contractual term 5 years 7 months 6 days
Unrecognized compensation expense related to nonvested stock options | $ $ 0.1
Weighted average period for unrecognized compensation costs to be recognized 1 year 3 months 16 days
Restricted Stock Units (RSUs)  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Unrecognized compensation expense related to nonvested non-option awards | $ $ 1.8
Weighted average period for unrecognized compensation costs to be recognized 1 year 8 months 1 day
2006 A&R Omnibus Incentive Plan  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Shares of common stock authorized for issuance as equity-based compensation | shares 2,960,000
Number of shares available to be issued | shares 784,139
2016 Omnibus Incentive Plan  
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]  
Shares of common stock authorized for issuance as equity-based compensation | shares 1,200,000
Number of shares available to be issued | shares 184,093
v3.10.0.1
Employee Stock Benefit Plans (Award Activity) (Details) - $ / shares
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Stock Options    
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward]    
Outstanding balance at beginning of period 762,550  
Granted 0  
Exercised or vested (5,300)  
Forfeited or expired (166,678)  
Outstanding balance at end of period 590,572 762,550
Exercisable balance at end of period 344,233  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward]    
Outstanding, weighted-average exercise price, balance at beginning of period (in USD per share) $ 16.91  
Exercised or vested, weighted-average exercise price (in USD per share) 1.01  
Forfeited or expired, weighted-average exercise price (in USD per share) 17.74  
Outstanding, weighted-average exercise price, balance at end of period (in USD per share) 16.82 $ 16.91
Exercisable balance at end of period, weighted-average exercise price (in USD per share) $ 18.94  
Restricted Stock Units (RSUs)    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares/Units [Roll Forward]    
Outstanding at beginning of period 354,204  
Granted 596,688  
Exercised or vested (200,612)  
Forfeited or expired (57,351)  
Outstanding at end of period 692,929 354,204
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward]    
Outstanding, weighted-average value, balance at beginning of period (in USD per Share) $ 15.30  
Granted, weighted-average value (in USD per share) 5.50 $ 10.38
Exercied or vested, weighted-average value (in USD per share) 13.04  
Forfeited or expired, weighted-average value (in USD per share) 13.53  
Outstanding, weighted-average value, balance at end of period (in USD per Share) $ 7.66 $ 15.30
v3.10.0.1
Employee Stock Benefit Plans (Award Expensing and Fair Value Information) (Details) - USD ($)
$ / shares in Units, $ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Total stock compensation expense $ 2,827 $ 3,460
Total fair value of stock, stock options and RSUs vested $ 3,371 $ 2,643
Restricted Stock Units (RSUs)    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average grant date fair value of stock and RSUs granted $ 5.50 $ 10.38
Intrinsic value of stock and RSUs vested $ 1,230 $ 1,918
Stock Options    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Weighted average grant date fair value of stock options granted   $ 3.00
Intrinsic value of stock options exercised $ 38 $ 17
Weighted-average assumptions for stock option grants:    
Risk-free interest   2.07%
Expected term   5 years 9 months 18 days
Expected volatility   38.54%
Dividend yield   4.32%
v3.10.0.1
Derivatives (Fair Value of Derivative Assets and Liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset $ 1,690 $ 646
Fair value, derivative liability 5,713 716
Designated as Hedging Instrument    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 1,690 646
Fair value, derivative liability 5,713 440
Not Designated as Hedging Instrument    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 0 0
Fair value, derivative liability 0 276
Interest Rate Swaps | Designated as Hedging Instrument | Prepaid and other current assets    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 1,425 0
Interest Rate Swaps | Designated as Hedging Instrument | Other Assets    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 0 646
Interest Rate Swaps | Designated as Hedging Instrument | Accrued Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability 0 213
Interest Rate Swaps | Designated as Hedging Instrument | Other Long-Term Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability 5,713 0
Natural Gas Contracts | Designated as Hedging Instrument | Prepaid and other current assets    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 226 0
Natural Gas Contracts | Designated as Hedging Instrument | Other Assets    
Derivatives, Fair Value [Line Items]    
Fair value, derivative asset 39 0
Natural Gas Contracts | Designated as Hedging Instrument | Accrued Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability 0 220
Natural Gas Contracts | Designated as Hedging Instrument | Other Long-Term Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability 0 7
Natural Gas Contracts | Not Designated as Hedging Instrument | Accrued Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability 0 264
Natural Gas Contracts | Not Designated as Hedging Instrument | Other Long-Term Liabilities    
Derivatives, Fair Value [Line Items]    
Fair value, derivative liability $ 0 $ 12
v3.10.0.1
Derivatives Derivatives - Cash Settlements (Details) - Cash Flow Hedging - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Derivative, Additional Cash Settlements Received (Paid) on Hedge $ 585 $ (1,883)
Natural Gas Contracts    
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Derivative, Additional Cash Settlements Received (Paid) on Hedge 426 (47)
Interest Rate Swaps    
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Derivative, Additional Cash Settlements Received (Paid) on Hedge $ 159 $ (1,836)
v3.10.0.1
Derivatives Summary of gains (losses) recognized in Statement of Operations and OCI (Details) - Cash Flow Hedging - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) reclassified from accumulated OCI to current earnings $ 711 $ (1,780)
Not Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Gain (loss) recognized in current earnings 0 (1,036)
Other Comprehensive Income (Loss) | Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) recognized in OCI (3,242) (286)
Natural Gas Contracts | Other Comprehensive Income (Loss) | Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) recognized in OCI 1,194 (1,019)
Natural Gas Contracts | Cost of Sales | Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) reclassified from accumulated OCI to current earnings 426 (45)
Natural Gas Contracts | Other Income (Expense) | Not Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Gain (loss) recognized in current earnings 0 (1,036)
Interest Rate Swaps | Other Comprehensive Income (Loss) | Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) recognized in OCI (4,436) 733
Interest Rate Swaps | Interest Expense | Designated as Hedging Instrument    
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items]    
Effective portion of derivative gain (loss) reclassified from accumulated OCI to current earnings $ 285 $ (1,735)
v3.10.0.1
Derivatives (Natural Gas Contracts) (Details) - Cash Flow Hedging - Natural Gas Contracts
$ in Millions
12 Months Ended
Dec. 31, 2018
USD ($)
MMBTU
Dec. 31, 2017
MMBTU
Derivative [Line Items]    
Maximum Length of Time Hedged in Cash Flow Hedge 18 months  
Derivative, Nonmonetary Notional Amount | MMBTU 3,150,000 2,480,000
Gain (loss) to be reclassified from AOCI into earnings within 12 months | $ $ 0.2  
Minimum    
Derivative [Line Items]    
Derivative, nonmonetary notional amount, percent of anticipated requirements 40.00%  
Maximum    
Derivative [Line Items]    
Derivative, nonmonetary notional amount, percent of anticipated requirements 70.00%  
v3.10.0.1
Derivatives (Interest Rate Swap) (Details) - Interest Rate Swaps - USD ($)
$ in Millions
12 Months Ended
Dec. 31, 2018
Sep. 24, 2018
Apr. 01, 2015
Derivative [Line Items]      
Derivative, fixed interest rate   6.19% [1] 4.85%
Senior Loans      
Derivative [Line Items]      
Derivative, floor interest rate at a future date   3.19%  
Senior Loans | Cash Flow Hedging      
Derivative [Line Items]      
Derivative, notional amount   $ 200.0 $ 220.0
Interest Expense | Cash Flow Hedging      
Derivative [Line Items]      
Gain (loss) to be reclassified from AOCI into earnings within 12 months $ 1.4    
[1] Upon refinancing our Term Loan B, the fixed interest rate will be 3.19 percent plus the new refinanced credit spread.
v3.10.0.1
Accumulated Comprehensive Income (Loss) (Schedule of AOCI) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning balance $ (105,172)  
Change in Accumulated Other Comprehensive Income (Loss) [Roll Forward]    
Ending balance (114,405) $ (105,172)
Foreign Currency Translation    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning balance (16,183) (27,828)
Change in Accumulated Other Comprehensive Income (Loss) [Roll Forward]    
Amounts recognized into AOCI (7,057) 12,835
Currency impact 0 0
Amounts reclassified from AOCI, Currency 0 0
Tax effect 0 (1,190)
Other comprehensive income (loss), net of tax (7,057) 11,645
Ending balance (23,240) (16,183)
Derivative Instruments    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning balance 351 (515)
Change in Accumulated Other Comprehensive Income (Loss) [Roll Forward]    
Amounts recognized into AOCI (3,242) (286)
Currency impact 0 0
Amounts reclassified from AOCI, Derivatives [1] (711) 1,780
Tax effect 1,011 (628)
Other comprehensive income (loss), net of tax (2,942) 866
Ending balance (2,866) 351
Pension and Other Postretirement Benefits    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning balance (89,340) (96,854)
Change in Accumulated Other Comprehensive Income (Loss) [Roll Forward]    
Amounts recognized into AOCI (5,245) 6,307
Currency impact (164) (152)
Amounts reclassified from AOCI, Pension/PRW [2] 6,431 5,586
Tax effect 19 (4,227)
Other comprehensive income (loss), net of tax 1,041 7,514
Ending balance (88,299) (89,340)
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Beginning balance (105,172) (125,197)
Change in Accumulated Other Comprehensive Income (Loss) [Roll Forward]    
Amounts recognized into AOCI (15,544) 18,856
Currency impact (164) (152)
Amounts reclassified from AOCI 5,720 7,366
Tax effect 1,030 (6,045)
Other comprehensive income (loss), net of tax (8,958) 20,025
Ending balance $ (114,405) (105,172)
Accounting Standards Update 2017-12    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Cumulative-effect adjustment   0
Accounting Standards Update 2017-12 | Foreign Currency Translation    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Cumulative-effect adjustment   0
Accounting Standards Update 2017-12 | Derivative Instruments    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Cumulative-effect adjustment   (275)
Accounting Standards Update 2017-12 | Pension and Other Postretirement Benefits    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Cumulative-effect adjustment   0
Accounting Standards Update 2017-12 | Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss) [Line Items]    
Cumulative-effect adjustment   $ (275)
[1] We reclassified natural gas contracts through cost of sales and the interest rate swaps through interest expense on the Consolidated Statements of Operations. See note 12 for additional information.
[2] We reclassified the net pension and non-pension post-retirement benefits amortization and settlement charges through other income (expense) on the Consolidated Statements of Operations. See notes 8 and 9 for additional information.
v3.10.0.1
Fair Value (Derivative Assets and Liabilities by Hierarchy) (Details) - Fair Value, Measurements, Recurring - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Level One    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) $ 0 $ 0
Level Two    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) (4,023) (70)
Level Three    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 0 0
Commodity Futures Natural Gas Contracts | Level One    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 0 0
Commodity Futures Natural Gas Contracts | Level Two    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 265 (503)
Commodity Futures Natural Gas Contracts | Level Three    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 0 0
Interest Rate Swaps | Level One    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 0 0
Interest Rate Swaps | Level Two    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) (4,288) 433
Interest Rate Swaps | Level Three    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 0 0
Total    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) (4,023) (70)
Total | Commodity Futures Natural Gas Contracts    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) 265 (503)
Total | Interest Rate Swaps    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Net derivative asset (liability) $ (4,288) $ 433
v3.10.0.1
Fair Value Fair Value (Debt Disclosure) (Details) - USD ($)
$ in Thousands
Dec. 31, 2018
Dec. 31, 2017
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Term Loan B, Carrying Value $ 400,068 $ 387,685
Libbey Glass | Senior Loans    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Term Loan B, Carrying Value [1] 380,200 384,600
Libbey Glass | Senior Loans | Level Two    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Term Loan B, Fair Value $ 362,141 $ 370,178
[1] See interest rate swaps under "Term Loan B" below and note 12.
v3.10.0.1
Operating Leases (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Leases [Abstract]    
Rental expense for all non-cancelable operating leases $ 18,900 $ 17,000
Future minimum rentals under operating leases:    
Future minimum operating lease payments due, 2019 15,407  
Future minimum operating lease payments due, 2020 13,787  
Future minimum operating lease payments due, 2021 10,339  
Future minimum operating lease payments due, 2022 9,143  
Future minimum operating lease payments due, 2023 8,551  
Future minimum operating lease payments due, 2024 and thereafter $ 20,755  
v3.10.0.1
Other Income (Expense) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Component of Other Income (Expense), Nonoperating [Line Items]    
Other income (expense) $ (2,764) $ (5,306)
Gain (loss) on currency transactions    
Component of Other Income (Expense), Nonoperating [Line Items]    
Other income (expense) (1,454) (2,788)
(Loss) on mark-to-market natural gas contracts    
Component of Other Income (Expense), Nonoperating [Line Items]    
Other income (expense) 0 (1,036)
Pension and non-pension benefits, excluding service cost    
Component of Other Income (Expense), Nonoperating [Line Items]    
Other income (expense) (1,232) (1,791)
Other non-operating income (expense)    
Component of Other Income (Expense), Nonoperating [Line Items]    
Other income (expense) $ (78) $ 309
v3.10.0.1
Contingencies Environmental Liability (Details)
12 Months Ended
Nov. 12, 2018
entity
Oct. 26, 2018
Oct. 30, 2009
Dec. 31, 2018
USD ($)
Dec. 31, 2017
USD ($)
BKK Working Group          
Site Contingency [Line Items]          
Loss contingency, number of entities cooperating with legal matter | entity 50        
Minimum | BKK Working Group          
Site Contingency [Line Items]          
Loss contingency, number of companies involved 500        
Syracuse China Company and Libbey Glass Inc.          
Site Contingency [Line Items]          
Loss contingency, claim for indemnification, incurred       $ 400,000  
Syracuse China Company and Libbey Glass Inc. | TPC York          
Site Contingency [Line Items]          
Loss contingency, claim for indemnification, remaining liability of counterparty       2,900,000  
Loss contingency, claim for indemnification, reimbursement received       1,300,000  
Syracuse China Company and Libbey Glass Inc. | Maximum | TPC York          
Site Contingency [Line Items]          
Loss contingency, claim for indemnification       7,500,000  
Lower Ley Creek sub-site          
Site Contingency [Line Items]          
Site contingency, number of potentially responsible parties     8    
Lower Ley Creek sub-site | Unfavorable Regulatory Action | Other Long-Term Liabilities          
Site Contingency [Line Items]          
Accrued environmental loss contingencies, noncurrent       700,000 $ 800,000
Lower Ley Creek sub-site | Unfavorable Regulatory Action | Other Noncurrent Assets          
Site Contingency [Line Items]          
Recorded third-party environmental recoveries, noncurrent       400,000 $ 400,000
Lower Ley Creek sub-site | Syracuse China          
Site Contingency [Line Items]          
Site Contingency, Number of Potentially Responsible Related Parties     1    
Lower Ley Creek sub-site | Motors Liquidation Company | Unfavorable Regulatory Action          
Site Contingency [Line Items]          
Loss contingency, damages paid, value       22,000,000  
Lower Ley Creek sub-site | Minimum | Unfavorable Regulatory Action          
Site Contingency [Line Items]          
Site contingency, loss exposure not accrued, best estimate       17,000,000  
Loss contingency, range of possible loss, minimum       0  
Lower Ley Creek sub-site | Maximum | Unfavorable Regulatory Action          
Site Contingency [Line Items]          
Site contingency, loss exposure not accrued, best estimate       24,800,000  
Upper Ley Creek sub-site | Minimum          
Site Contingency [Line Items]          
Loss contingency, number of companies involved   30      
Upper Ley Creek sub-site | Syracuse China Company and Libbey Glass Inc. | Maximum          
Site Contingency [Line Items]          
Site contingency, loss exposure not accrued, best estimate       $ 93,500,000  
v3.10.0.1
Revenue (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Disaggregation of Revenue [Line Items]    
Net sales $ 801,093 $ 785,156
Product    
Disaggregation of Revenue [Line Items]    
Net sales 797,858 781,828
Product | Foodservice    
Disaggregation of Revenue [Line Items]    
Net sales 327,550  
Product | Retail    
Disaggregation of Revenue [Line Items]    
Net sales 256,646  
Product | Business-to-business    
Disaggregation of Revenue [Line Items]    
Net sales 213,662  
Latin America | Product    
Disaggregation of Revenue [Line Items]    
Net sales 148,091 144,322
United States | Product    
Disaggregation of Revenue [Line Items]    
Net sales 483,741 481,797
EMEA | Product    
Disaggregation of Revenue [Line Items]    
Net sales $ 138,399 $ 126,924
Net Sales | Latin America | Minimum | Retail and Business-to-business    
Disaggregation of Revenue [Line Items]    
Percentage of revenue 75.00%  
Net Sales | United States | Minimum | Foodservice and Retail    
Disaggregation of Revenue [Line Items]    
Percentage of revenue 75.00%  
Net Sales | EMEA | Minimum | Retail and Business-to-business    
Disaggregation of Revenue [Line Items]    
Percentage of revenue 75.00%  
v3.10.0.1
Segments and Geographic Information (Reconciliation of Segment EBIT to Net Income) (Details)
$ in Thousands
12 Months Ended
Dec. 31, 2018
USD ($)
segment
Dec. 31, 2017
USD ($)
Segment Reporting Information [Line Items]    
Number of reportable segments | segment 3  
Net Sales:    
Net sales $ 801,093 $ 785,156
Segment EBIT:    
Segment EBIT 58,495 52,117
Reconciliation of Segment EBIT to Net Loss:    
Retained corporate costs (31,878) (27,099)
Goodwill impairment (note 4) 0 (79,700)
Fees associated with strategic initiative (1) [1] (2,341) 0
Reorganization charges 0 (2,488)
Interest expense (21,979) (20,400)
Provision for income taxes (10,253) (15,798)
Net loss (7,956) (93,368)
Depreciation & Amortization:    
Depreciation and amortization 44,333 45,544
Capital Expenditures:    
Capital Expenditures 45,087 47,628
Segment Assets:    
Accounts Receivable, Net and Inventory, Net 276,080 277,883
U.S. & Canada    
Segment EBIT:    
Segment EBIT 36,805 48,044
Depreciation & Amortization:    
Depreciation and amortization 13,358 12,665
Capital Expenditures:    
Capital Expenditures 22,203 10,056
Segment Assets:    
Accounts Receivable, Net and Inventory, Net 152,168 147,809
Latin America    
Segment EBIT:    
Segment EBIT 12,599 6,590
Reconciliation of Segment EBIT to Net Loss:    
Goodwill impairment (note 4) 0 (79,700)
Depreciation & Amortization:    
Depreciation and amortization 17,457 18,576
Capital Expenditures:    
Capital Expenditures 13,527 18,520
Segment Assets:    
Accounts Receivable, Net and Inventory, Net 64,166 63,093
EMEA    
Segment EBIT:    
Segment EBIT 7,219 1,321
Depreciation & Amortization:    
Depreciation and amortization 7,412 7,377
Capital Expenditures:    
Capital Expenditures 5,051 17,158
Segment Assets:    
Accounts Receivable, Net and Inventory, Net 46,576 48,270
Other Segments    
Segment EBIT:    
Segment EBIT 1,872 (3,838)
Depreciation & Amortization:    
Depreciation and amortization 4,431 5,088
Capital Expenditures:    
Capital Expenditures 745 1,226
Segment Assets:    
Accounts Receivable, Net and Inventory, Net 13,170 18,711
Corporate    
Depreciation & Amortization:    
Depreciation and amortization 1,675 1,838
Capital Expenditures:    
Capital Expenditures 3,561 668
Product    
Net Sales:    
Net sales 797,858 781,828
Product | U.S. & Canada    
Net Sales:    
Net sales 483,741 481,797
Product | Latin America    
Net Sales:    
Net sales 148,091 144,322
Product | EMEA    
Net Sales:    
Net sales 138,399 126,924
Product | Other Segments    
Net Sales:    
Net sales $ 27,627 $ 28,785
[1] Legal and professional fees associated with a strategic initiative that was terminated during the third quarter of 2018.
v3.10.0.1
Segments and Geographic Information (Sales and Long-Lived Assets by Geographic Area) (Details) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Revenues from External Customers and Long-Lived Assets [Line Items]    
Net sales $ 801,093 $ 785,156
Long-lived assets 264,960 265,675
United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets 99,135 89,838
Mexico    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets 86,775 87,836
All Other    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Long-lived assets 79,050 88,001
Product    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Net sales 797,858 781,828
Product | United States    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Net sales 480,868 479,018
Product | Mexico    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Net sales 101,656 93,370
Product | All Other    
Revenues from External Customers and Long-Lived Assets [Line Items]    
Net sales $ 215,334 $ 209,440